1582. City Bank Trust Company (Hartford, CT)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
January 1, 1932*
Location
Hartford, Connecticut (41.764, -72.685)

Metadata

Model
gpt-5-mini
Short Digest
cada6ee2

Response Measures

None

Description

The City Bank Trust Company was closed and placed in receivership (Thomas Hewes as receiver) in January 1932. Newspaper items through 1933 discuss receiver actions (selling property, paying partial dividends, receiver compensation) and conversion of deficits to surplus; there is no mention of a depositor run or reopening. The likely cause was bank-specific insolvency leading to receivership; the articles do not describe a run or misinformation.

Events (4)
1. January 1, 1932* Receivership
Newspaper Excerpt
Thomas Hewes, receiver of the City Bank Trust Company, told Judge Allyn Brown ... since January Thomas Hewes, receiver of the bank, told Judge Allyn Brown of the Superior Court Friday.
Source
newspapers
2. January 1, 1932* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank was closed and placed in receivership due to insolvency/deficits in commercial and savings departments; receiver appointed January 1932.
Newspaper Excerpt
the closed City Bank Trust Company
Source
newspapers
3. June 4, 1932 Other
Newspaper Excerpt
Permission to sell tenement property ... which it acquired two years ago by foreclosure was sought by City Bank Trust Company receiver ... proposed sell the property to Mrs. Molly Perlsky for $40,000. only $500 of which will be paid in cash. receiver will take first mortgage and second mortgage for the balance accept payments on them over long period of time.
Source
newspapers
4. October 22, 1932 Other
Newspaper Excerpt
Application has been filed ... for authority to pay dividend not less than 25 per cent to the depositors the bank's commercial department. ... that depositors with balances in amounts $25 paid in full.
Source
newspapers

Newspaper Articles (8)
1. April 9, 1932 Hartford Courant Hartford, CT
Article from Hartford Courant, April 9, 1932

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Article Text

Bank City Meets Opposition Buford, ObjectAttorney Small Acing to Paying Asks Discount counts, Dividend to All Opposition to the payment savings accounts of $100 or less by the receiver the closed City Bank Trust Company developed Friday hearing before Judge John Cornell of the Superior Court when Attorney Harry H. Buford of West Hartford suggested an alternative that discount dividend be paid all the depositors of the bank. Attorney Thomas Hewes, receiver the bank, replied Mr. Buford's suggestion by saying that the bank did not have enough cash pay dividend to all the depositors. Would Clear Accounts. The court was asked by Attorney Lucius of counsel for the approve an application Mr. to pay 24,000 savings depositors accounts are not more than total $213,500 and 3000 savings depositors whose not $420,000 all. This intended wipe the off the books and great expense ceiver and other clerical necessary to carry them. Mr. Robinson explained in detail would only fraction the rights the positors, accounts are larger. Details Discussed. Attorney Arthur Shipman, resenting committee the positors, took part the discussion before Judge Cornell and said the receiver insist absolute release all claims the deposiwhose accounts are less than when are paid. suggested passbooks surrendered the accounts are closed that there be no claims made them for Mr. Robinson Mr. Shipman discussed the of hard and fast the Mr. Shipman said this might be unfair and slightly excess $100 settled that figure the owner wanted and his claims the Thus having slightly than would withdraw $100 their counts would have to render the excess funds. Refers Investments. Payment of the 27,000 depositors whose accounts are less than would leave than $14,000,000 the savings department the credit the 14,000 positors. The average account in the class which suggested paid $16, Mr. Hewes the court. In course answering Buford's questions about the paying all depositors dividend. Mr. that the securities the bank present below what worth on January the cline market. He the department investments are savings (Concluded on Page

2. June 4, 1932 Hartford Courant Hartford, CT
Article from Hartford Courant, June 4, 1932

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Article Text

City Bank Receiver Seeks Right to Sell Russell St. Property Permission to sell tenement propat and 44 Russell Street, which it acquired two years by foreclosure was sought by City Bank Trust Company receiver in an application presented Friday to Judge Arthur Ells the Court by Barclay Robinson of counsel for the receiver. proposed sell the property to Mrs. Molly Perlsky for $40,000. only $500 of which will be paid in cash. receiver will take first mortgage and second mortgage for the balance accept payments on them over long period of time. Mr. Robinson said that the reason for the ceiver's desire dispose of property on these terms to avoid loss which ensue the propcarried longer the bank. He said that Mrs. Perlsky has been successful renting her other property in the neighborhood. Judge Ells reserved decision.

3. October 22, 1932 Hartford Courant Hartford, CT
Article from Hartford Courant, October 22, 1932

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Article Text

Balances Fully Funds in Hand Make Possible Within Two Weeks If Request Is Granted BY MAGNELL. Application has been filed in the Superior Court by Attorneys inson, Robinson Cole, counsel for Thomas Hewes. receiver of the City Bank Trust Company, for authority to pay dividend not than 25 per cent to the depositors the bank's commercial department. When the case comes before court the facts will be presented and under the wording of the application possible that the amount distribution will made exceed the specified minimum 25 cent. is also proposed that depositors with balances in amounts $25 paid in full. Would Take $1,214,000. The amount required for the distribution of the dividend of 25 per slightly more than and the amount required for the closing the accounts and approximately Cash the hands of the receiver longing the commercial department about application will come next Friday and the facts then resubmitted Attorney Barclay Robinson prepared the application. May Pay in Two Weeks. distribution ordered the court the machinery for prompt payment ordered the started and will be in within two probably take the checks There are about 5700 the department the City Bank Trust Company and the payments in the and numbering 2000, eliminate expense bookkeep postage like. There approximately accounts balances remaining between and application filed counsel for Receiver forth that receiver on hand funds commercial the defendant corporation sufficient enable first dividend than cent deposits said Commercial Department that judgment, desirable dividend the That the depositors having acDepartnot over $25 each number approximately such deposit accounts aggregating amount that the handling said will involve expense clerical services, supplies, connection with bookkeeping payment partial dividends and that the payment the deposiwhose accounts do not exceed $25 each, upon the basis the praised value the assets defendant and the gregate defendant corporation would materially diminish dividends which remaining depositors commercial receive liquidation would largely, not wholly, offset saving expense present payment, that has addition to said dividend ficient in full said deposits the receiver prays the Court dividend less than twentyfive per claims deposits said $25 each further that the claims which allowed deposits department amounts not exceeding

4. December 17, 1932 Hartford Courant Hartford, CT
Article from Hartford Courant, December 17, 1932

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Article Text

Question Of Fee For City Bank Receiver Waits Judge O'Sullivan Continues Case of Hewes Judge O'Sullivan of the Superior Court, who on Thursday duced the of counsel for the receiver of the City Bank Trust Company from $22,000 to 17250. Friday until the term the the matter Thomas Hewes, receiver the bank Mr. was in court motion. which not definite amount, was told Judge that the court had decided after the matter other hear the Judge O'Sullivan's term completed here at the end of the month. Judge O'Sullivan granted motion Robinson counsel authority to approve the bank trustee, fiduciary agent. This will allow the continue the work of the trust department of the bank.

5. December 29, 1932 Hartford Courant Hartford, CT
Article from Hartford Courant, December 29, 1932

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Article Text

City Bank Receiver's Compensation to Come Before Court Friday Thomas Hewes, receiver the Bank Trust Company, for compensation for his since last May scheduled be heard Friday the Superior Court. will come before either Judge Allyn Brown Judge Newell Jennings, who term court application continued present term by Judge O'Sullivan.

6. December 31, 1932 Hartford Courant Hartford, CT
Article from Hartford Courant, December 31, 1932

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Article Text

Bank City Into Surplus Hewes Reviews Receivership in Conversion Indicated in Three Months deficit of in the commercial and savings departments of the closed City Bank Trust Company has been converted into surplus of $124,000 since January Thomas Hewes, receiver of the bank, told Judge Allyn Brown of the Superior Court Friday. Mr. Hewes said that the present deficit of the savings department will wiped out and converted into surplus within the next three months at the present rate of crease in the assets. The surplus the commercial department is now The deficit in the savings department January and the surplus the commercial department net ficiancy according Mr. Hewe's report. Departments Separated "Underlying the great reduction and he said, the when two August 1932. the the department to pay the savings department addition minor adjustments the sum $500,000 result the all the assets savings been held from that time for the exclusive benefit of department depositors and the present increase value these due to the excess the present deficit should into surplus within the next three The result of the order are likewise for the benefit the free and clear of claim the savings positors. the basis praised figures the liability mercial depositors fully covered with excess to Receivership Expenses. All expenses the receivership July 30 paid from

7. December 31, 1932 Hartford Courant Hartford, CT
Article from Hartford Courant, December 31, 1932

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Article Text

Bank Receiver Answers Criticism Aroused by Decision Cutting Fees For Counsel Judge Brown Praises Work Court Hears Law Firm Has Given Most of Time to Year Hinted as Taking the stand that in fixing his compensation the court should not be governed by the same principles which led Judge livan to from $22,000 to $7250 bill for services of his counsel, Thomas Hewes, receiver of the City Bank Trust Company, went before Judge Allyn Brown of the Superior Court Friday and read prepared statement which reviewed length the work he has done since he became on January and his opinion of the considerations which should govern the fixing of fees for his services. Mr. Hewes did not ask for speamount for his work during the last seven months and Judge Brown reserved decision on the petition, saying he would have the receiver's statement before him when he deliberated the be paid. He that the about year the former statutory fixing the cent of the amount dividends paid depositors. This statute was in 1931. fee that he also said would cents the original depositors, during the past their interest increased rate approximately aplece net after payment expenses.' Praised By Court. Judge Brown, nearly year appointed receiver the bank and the law firm Robinson for the receiver, reaffirmed faith the choice, don't think will question the by the receiver and receiver's counsel. remember year when the receivership was brought to this court felt the responsibiltheir election than fair to that the court fortunate being in position appoint Mr Hewes receiver Robinson counsel. Nothing has changed mind since Mr. Hewes's statement supplemented by Attorney LuRobinson of said that when the City Bank Mr. Hewes had been lected the best man available handle the receiver. "Not banks willing Mr Robinson. forced Mr. Hewes. He didn't Discusses State Control. all his inability intelligent come criticism his work. He has used his best and has advice from authorities. took cognizance the recent placing the control State Banking and the office, other states have this course said, hope have bank failures. Picture the Banking Commissioner AttorneyGeneral the City Bank thrown Their personnel would be doubled, Differs With Judge. Mr. Hewes, who $10,000 for his during the first four months of the said he wanted make his cause the court and the and among creditors about to ceivers and their counsel which seemed have reached the Judge and in the accompublicity opinion of Judge O'Sullivan was filed." he said,

8. June 11, 1933 Hartford Courant Hartford, CT
Article from Hartford Courant, June 11, 1933

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Article Text

Hewes Requests Compensation For Bank Receivership Specific Fee for- Work Since Dec. 12, 1932, Not Asked in Motion In motions filed in Superior Court Saturday. Thomas Hewes, who has been receiver of the City Bank Trust Company since January 1932. asked that his resignation be accepted. that successor be appointed and that he be allowed com-