Higganum Savings Bank - Higganum, CT

Bank Information

Episode Type: Suspension → Closure
Bank Type: savings bank
Start Date: September 30, 1919
Location: Higganum, Connecticut (41.497, -72.557)

Metadata

Model: gpt-5-mini
Short Digest: cb6aeb0d

Response Measures

None

Description

Article (New-York Tribune, 1919-09-30) states the Higganum Savings Bank would suspend all business as a savings institution and close out depositors accounts at approximately $1.70 on the dollar. No run is mentioned; directors cite lack of business and a planned closeout—consistent with voluntary liquidation/closure rather than a run or regulatory receivership.

Events (1)

1. September 30, 1919 Suspension

Cause: Voluntary Liquidation
Cause Details: Directors cited lack of business and decided to suspend operations and close out depositors' accounts, disposing of stock and investing proceeds in Liberty bonds for settlement.
Newspaper Excerpt: The Higganum Savings Bank of Higganum, Conn., announced to-day it would suspend all business as a savings institution and close out depositors accounts at aproximbately $1.70 on the dollar.
Source: newspapers

Newspaper Articles (1)

1. October 1, 1919 New-York Tribune New York, NY

Article from New-York Tribune, October 1, 1919

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Article Text

Savings Bank Suspends ; Pays $1.70 on the Dollar Advance in New York Stocks Bought at Par Made Assets Valuable Special Correspondence MIDDLETOWN, Conn.. Sept. 30. The liigganum Savings Bank of Higganum, Conn., announced to-day it would suspend all business as a savings institution and close out depositors acounts at aproximbately $1.70 on the dollar. The bank was the only one in the state paying 6 per cent interest. The directors say lack of business has caused the bank to close. Eugene C. Burr, secretary, explained the institution had been fortunate in disposing of its securities, and that stocks in New York banks that had been purchased at par had been sold at several times the original price. In the report to the bank commissioners these had been carried at par value. with the result that the bank itself had a surplus 20 per cent over its deposits. All the stock has been disposed of by the directors and the money obtained has been invested in Liberty bonds. These bonds will be figured in the settlement of depositors accounts.