Gilman, Son & Co. - New York, NY

Bank Information

Episode Type: Run → Suspension → Reopening
Bank Type: private
Start Date: October 15, 1873
Location: New York, New York (40.714, -74.006)

Metadata

Model: gpt-5-mini
Short Digest: 1ac7ec72

Response Measures

Full suspension

Other: Bank was a private banking house; suspension due to continued depositor demands and inability to make collections during the 1873 panic.

Description

Contemporary reports (Oct 15–16, 1873) state Gilman, Son & Co. were 'reported suspended' because of continued demands of depositors and inability to make collections (a depositor drain/run leading to suspension). A Jan 12, 1874 notice reports they 'resumed business' after a suspension of two months. Classified as run → suspension → reopening.

Events (3)

1. October 15, 1873 Run

Cause: Bank Specific Adverse Info
Cause Details: Continued large withdrawals by depositors (drain on money supply) combined with inability to make collections and depreciation of securities in their hands.
Measures: Firm suspended operations/payments (invoked suspension); reported inability to meet continued demands.
Newspaper Excerpt: Gilman, Son & Co., are reported suspended. Their difficulties are caused by the continued demand of the depositors and their inability to make collections.
Source: newspapers

2. October 15, 1873 Suspension

Cause: Bank Specific Adverse Info
Cause Details: Suspension due to continued depositor demands, non-payment of heavy sums due the firm, and rapid depreciation in securities held by the firm.
Newspaper Excerpt: Gilman, Son & Co., are reported suspended on account of inability to make collections, and to meet the continued demands of depositors.
Source: newspapers

3. January 12, 1874 Reopening

Newspaper Excerpt: Gilman, Son & Co., bankers, to-day of resumed business, after a suspension two months.
Source: newspapers

Newspaper Articles (5)

1. October 16, 1873 New-York Tribune New York, NY

Article from New-York Tribune, October 16, 1873

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Article Text

A QUICK REBOUND IN STOCKS. THE LOWEST LEVEL SAFELY PASSED-COMMODORE VANDERBILT SAID TO BE PUSHING UP THE STOCK LIST-CONFIDENCE REGAINED AND BETTER RATES COMMANDED. The feverishness which characterized operations in Wall-st. on the previous day was renewed yesterday morning at the opening of the Stock Exchange. Stocks which had closed very low opened still lower, and amid great, although suppressed excitement, reached their lowest figures since the beginning of the crisis. The news of the renewal of the depression drew large crowds a of expectant and curious visitors to the Exchange. The gallery creaked beneath its burden, and the aisles devoted to spectators were filled with an anxious crowd eager to catch a glimpse of the opening quotations. At 10 a. m., with the opening of the regular transactions, came a rush to sell stocks of every description. but particularly e those known as the Vanderbilt specialties." Prices dropped * beneath the pressure, and a wild excitement ensued, the average decline being from 1 to 6 per cent throughout the general list., New-York Central dropped from 85 to 82. Harlem from 103 to 100, Erie from 451 to 44%, Lake Shore from 601 to 571, Wabash from 35 to 321, North-Western from 34 to 32, Rock Island from 82 to 81, Ohio from 22 to 211, Union Pacific from 16. to 151, Western Union from 51 to 45, Pacific Mail from 26 to 25. Under this pressure numerous failures were expected, but only two were announced, N. S. Perry, a small dealer on Broad-st., and Gilman, Son & Co., bankers, of No. 47 Exchangeplace. At about 1 o'clock there was a better feeling, with slight return of confidence. Various reasons were assigned for the change, one being that the decline having been caused by liquidations on the part of stock brokers and others, prices had reached their natural basis or intrinsic value, and they must now react. These views were borne out by the payment of the $8,600,000 of the New-York Central dividend at the office of the Company's agents in Nassau-st. In addition it was asserted that Commodore Vanderbilt, from necessity, had become an active "bull" operator in the market, and as he would draw the dividends on about $40,000,000 worth of New-York Central belonging to him, this money would be used as a means of strengthening the stock market. It was also asserted that he had disposed of $10,000,000 worth of New-York Central and Hudson securities at 75 to German bankers, and that he would use this sum as a basis for bulling" the stock market and particularly Central, Lake Shore, Western Union, and other of his own securities, and that he would pay the $1,780,000 loan to the Union Trust Company. While these statements and rumors produced a marked effect, they were of minor importance in comparison to the dissolution of the Grinnell injunction by Judge Blatchford, which agitated the street, and was affirmed and denied repeatedly. The fact having been established that the injunction had been dissolved, there were fears that the 100,000 shares of stocks held for the account of Grinnell would be thrown upon the market and lead to a renewal of the panic. To the astonishment of all, however, the vast blocks of New-York Central, Lake Shore, Western Union, etc., which it was thought would be thrown upon the market were kept out of sight. It was soon reported that the Vanderbilt party had made arrangements with the bankers and brokers who held the stock to carry it over for the present, at least, one argument being that if they should not do this stocks would go much lower, and all who carried them would be correspondingly injured. All this created a reaction, which was taken advantage of by the bulls," and soon prices which appeared to be on the point of going to zero recovered and went up with almost greater rapidity than they had gone down. The whole list appreciated from 1 to 91 per cent as compared with previous quotations. At the close there "was a reaction of 1 to 1ª per cent from the highest point. The most marked improvement was in Lake Shore, Western Union, Harlem, Panama, Delaware, Lackawanna and Western, New-York Central, Rock Island, Wabash, and Pacific Mail. Lake Shore, which fell off from 611 to 571, advanced to 67, and reacted to 652. Western Union, which had declined from 51 to 45, rose to 54} and finally sold at 52% Harlem, from 100, reached 106. Panama rose from 80 to 86, and Delaware, Lackawanna and Western from 80 to 85 | ; New-York Central sold at 871@86f Rock Island at 871@85 Wabash at 391@38!, and Pacific Mail at 311@30}. Money was very irregular and closer than on the previous day. In some cases the brokers accommodated one another at seven per cent, but the bulk of the business was at 1 to to per cent for small lots, and some cases 1 per cent was paid for round lots. Some transactions were rumored at 71 per cent and interest for 60 days. Gold was moderately active, the price declining from 1091 to 1081, closing at 108%.

2. October 16, 1873 The Wheeling Daily Intelligencer Wheeling, WV

Article from The Wheeling Daily Intelligencer, October 16, 1873

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y NEW YORK CITY. NEW YORK, Oct. 15.-Two laborers were killed last evening while working in a the Harlem Railroad tunnel. The heirs in Brooklyn, of Sarah and e Waltert Webber's estate, in Holland, val0 ued at $100,000,000, have appointed three of their number delegates to a meeting in this city November 10, with a view of settling up the affairs of the estate. Charles R. White, an agent for a western house, supposed to be in Cleveland, is missing since Sunday, and as he was in the habit of carrying considerable money about him, foul play is suspected. His overcost, hat and some letters were found in a hallway on Liberty street, Monday night. The failure of W. S. Perry, a small operator, is announced. Assistant District Attorney Russell day made the opening address for the prosecution in the case of Edward S. Stokes, on trial the third time for the murder of James Fisk, Jr. Gilman, Son & Co., are reported suspended. Their difficulties are caused by the continued demand of the depositors and their inability to make collections. W.S. Perry attributes his suspension to the decline in stocks. This is the fourth day of the fall meeting of the American Jockey Club, at Jerome Park. The first race, for a purse of $500, distance 11 miles. was won by Catesby, beating Wizard, Livingstone, Mart, Jordan, Governness, Hansom, Cora Linn, and Medora. Time2:14. The third race free, handicap sweep. stakes, $40 each, with $300 added by the Club, distance 2 miles, was won by Harry Bassett, beating Katie Pease, (second) Village Blacksmith, Victoria, Warlike, Merodoe, and Wheatley. Time 8:39 The fourth race was a selling race, one mile and one-eighth. It was won by Minnie Mc. in 211. The Fifth race, a match race for $2,000, between Cora Linn and Cross the Sea, was won by the former in 3:21+ The sixth race, a dash of half mile, was won by Grey Planet. Time-50 sec. Mrs. Backus, formerly Miss Kate Newton, was buried at Greenwood Cemetery to-day. A great many members of the theatrical profession were present during the services, which were conducted by Rev. Mr. Houghton, pastor of the "Little Church around the corner." The testimony taken to day is substantially the same as given in previous trials. Senator Norwood arrived in the city this morning to attend the meeting of the Committee on Transportation. On New York the over the route of the leaving Senate pass James committee river will and Kanawha canal, and will then examine the route of the proposed Atlantic and Great Western canal through the States of Georgia, Alabama and Tennessee If the sanitary condition of the far south permits the Committee will also visit Louisiana and inspect the various internal improvements and projects there, and go from there to St. Louis. The Produce Exchange Committee to-morrow will meet the Transportation Committee to give information as to this port for handling grain, Charles R. White, reported missing has been found ats hote): The yacht Julia, returning from the regatta this evening was in collision with the ferry boat James Fiske, in North River, and was sunk. Geo. Bird, Grennell & Co. day filed a petition to be adjudicated bankrupts. This proceeding superseds and virtually terminates the proceeding instituted in involuntary bankruptcy by Henry Meyers.

3. October 16, 1873 The Rock Island Daily Argus Rock Island, IL

Article from The Rock Island Daily Argus, October 16, 1873

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morning. The warm weather lessens the chance of checking the scourge; a few new cases at noon. Robberies and frauds on charity are growing common. The latest afternoon report of the visit ing committees are unfavorable. The disease is becoming more scattered throughout the city. Localities heretofore exempt from any former epidemic to-day report several cases, although physicians agree that the fever is less malignant. The decrease in the mortuary report at noon today inspired hope that not many new cases have yet occurred. and will be attended with less fatality. The weather continues clear and warm. No prospect of a frost is now looked for till rain that will have any effect towards deciding the abatement of the scourge. NEW YORK, Oct. 15. Memphis merchants residing here have contributed eight thousand dollars for the city of Memphis. NEW YORK, Oct. 15.-Gilman, Son & Co. are reported suspended on account of inability to make collections, and to meet the continued demands of depositors. The First National Bank at Athens, Pa. was entered by burglars Monday night. Two seized and gagged the cashier and robbed the vaults. The amount was not large. From the special deposits were taken $2,000. LONDON, Oct. 15.-Unfavorable rumors from America are afloat on the Stock Exchange. It is reported that the failure of several brokers, caused by the decline in Erie, will be announced in the Stock Exchange to-morrow. LONDON, Oct. 15-£155,000 in bullion were shipped from Liverpool to New York to day. CHICAGO, Oct. 15. - A fire about 11 clock this morning caught in the planing mill of Pond & Loper, 22d street, between Loomis and Laflin, and spreading rapidly, entirely destroyed the building, and communicated to a planing mill adjoining, owned by Hair & Odionne. The fire orignated from sparks from the Hair & Odionne factory, and their loss is about $25, 000.

4. October 16, 1873 Chicago Daily Tribune Chicago, IL

Article from Chicago Daily Tribune, October 16, 1873

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forms THE TRIBUNE reporter that the suspension of the house of Gilman, Son & Co. was due to a continued drain on their monoy supply by depositors, the non-payment of heavy sums due the firm, and the rapid depreciation in socurities, etc., in their hands. He belloved the firm entirely solvent, and anid they would pay all drafts against remittances. W.S. PERRY was only a small dealer. He was carrying more stocks than he could care for, and was theroforo obliged to suspond. [To the Associated Press.] A MORE PROMISING LOOK. NEW YORK, Oct. 15.-In regard to the banks, it may be stated that the situation is improving. They are confining themselves to a legitimate business, are not liampered by stock operations, and currency is coming into the city from the country in considerable quantities. A membor of the Governing Committee of the Stock Exchange said this afternoon that he thought all danger of further financial disturbance was now over, and that the banks had nover been in so good a condition sinco the panic as at present. The few small susponsions yestorday and to-day should not excito any apprehoneion. He believed that all the houses had succumbed which were likely to, and that confidence among businoss men would rapidly increase. RESUMED. Meanrs. Brown, Wadaworth & Co. have rosumed business. They have notified the Stook Exchange to that effect. This is the first private banking firm which suspended during tho recent panic to resume. THE GENERAL SITUATION. The Post says the situation to-day is as follows : At the Clearing-House returns of the banks this morning show an important gain in legal-tender notes. There in no change in loan certificates, and there is likely to be no contraction of them at present. From up-town merchants the advices to day are good. THE LARGE DRY GOODS FIRMS, which, in the general uneasy feeling, have not eecaped unfavorable rumor, are. WO are assured, strong. Their collections are fair, and if they wore not they have the support of the banks, whose duty it is to carry through morcantilo firms which are sound, and whose only embarrassments arise from the temporary disuse into which the ordinary methods of basiness are thrown by the panic. AT THE PRODUCE EXCHANGE business is good, that dono yesterday in breadstuffs having been rathor above the average. On good authority WG are told that, at the regular session yesterday, sales of breadstuffs amounted to about e825,000, of which $500,000 were of wheat, $125,000 of flour, and $100,000 of corn. INVOLUNTARY BANKRUPTOY. George Bird Griunoll & Co. to-day filed & petition to be adjudicated bankrupts. This proceeding supersedes, and virtually terminates, the proceeding instituted in involuntary bankruptoy by Honry Myers.

5. January 13, 1874 The Wheeling Daily Register Wheeling, WV

Article from The Wheeling Daily Register, January 13, 1874

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NEW YORK. Spanish News. NEW YORK, January 12-A special the Times from Madrid saye General that to Dominegues telegraphs of the Atalaya Lopez castle is in the hands having troope. its garrison heavy government forced to surrender by a the becn He has summoned surrender cannonade. forts and the city to situated other Atalaya castle is city on him. two hills on the north of the and one of Cartagena, of both strongly the fortified city. in a measure commanding NewsItems, The workingmen's central commit- this will hold a special meeting evening, tee at Masonic Hall, to consider proposed parade of the working- in the men to-morrow, and take action lation thereto. Vallentine was arrested on the Carl of the steamer Hamburg, arrival with & heavy detalcation involved comcharged in Berlin. The amount to be over $80,000. in mitted said position The prisooccupied a high official Berlin and will be held for extradition. The Herald this morning publisbee vessels list of the prominent steam 17 a this port, that during the past burned, from have been wrecked, or years stranded, sold into foreign service 367 destroyed. The total number is steamers of 387,042 tons burden. The case of James C King, the murderer of Anthony F. E. O'Neal, was but called in Oyer and Terminer court, after some diecussion was adjourned next Monday. The case of Mulkolland, charged Wedwith homicide, set down for needay, in the same court. Gilman, Son & Co., bankers, to-day of resumed business, after a suspension two months. W. Baily, a gold and silver plater of 222 Bowery, suicided today, The cause by taking cyanide of potassium. is unknown. The men and women arrested Cassino Hall, Houston street, for dancwere to-day fined $10 each, except proprietor, and ing, Marv Groff, commit- Hugo Kcohler, manager, who were ted in default of $1,000 bail. The Coal Miners' Strike. The coal miners' strike in Penn. sylvania does not appear to affect the market here. Prominent operators express the opinion that the etrike will not affect the price of coal here, unleas prolonged until April 1st. There enough coal here to supply all demands for some time. The Walking Match. The walking match of ten miles for dollars a side and the LL. United championship five hundred States and he W. E Harding, of this city of Boston, comes at Glass Hall, to-morrow tween Edward Miller, night. off The the causes great excitement in circle. The even. race sporting betting is Arrested for Robbery. night a detective of Newark, New Jersey, arrested a Saturday residing widow Stoddard and her son, New Jersey, on named in Harrison, suspicion the large of concerned in some of of robberies that ted number being in neighborhood. recently Goods commit- found valone thousand dollars were house and seized. a in was ued in druggist the at Newark, whose Henry house Roth, five weeks ago. identified a porthe The woman her robbed tion of goods. after and son were captured only a severe struggle and were committed for trial. Evaugell al Ailiance. The closing meeting o the American branch of the Evangelical Alliance took place last evening at Steinway Hall. Several eminent divines were on the platform during the proceedings The hall was to most and the were large capacity crowded proceedings its Each of & very interesting character. in turn spoke of unprecedented of the speaker progress Alliance. the by Rev. The meeting opened with prayer Hoyt, after Mm E. were made Wayland by which Dodge, chairman addresses the meeting, Rev. Dr. Washburn, and others. Financial. Saturday in Wall street afforded another illustration of the old rule that a Bull market Saturday is always for out to day on selling close the week's low and therefore while on a Bear prices, transactions, market shows it for the same reason, always the day for and The stock was covering advance. aborte, therefore market shows again excited on Saturday, and prices advancpoint the A memorial to the ed to the panic highest reached Western since Union Company, for of the stock on seems to be taken up by likely a division Telegraph hand, the calling entire street, many prominent operatore stock houses and heavy having already claim signed or agreed to sign it. They that Commodore Vanderbilt is com-