National Bank - New York, NY

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: state
Start Date: November 21, 1871
Location: New York, New York (40.714, -74.006)

Metadata

Model: gpt-5-mini
Short Digest: aa912786

Response Measures

Accommodated withdrawals, Full suspension, Books examined

Other: Receivership later; embezzlement alleged

Description

Newspaper accounts (Nov 21-23, 1871) describe a run on the National (corner Houston & Broadway) amid a wider savings-bank panic triggered by failures of other local savings banks (Guardian, Bowling Green). The National was at times under a receiver and later (Feb 6, 1872) depositors met with a receiver reporting a dividend — indicating the bank entered receivership and was being wound up. Sequence: run during Nov 1871, suspension/receivership actions in the aftermath, and by Feb 1872 the receiver is distributing dividends (closure).

Events (3)

1. November 21, 1871 Run

Cause: Local Banks
Cause Details: Panic and heavy withdrawals triggered by the failure/suspension of other local savings banks (Guardian and Bowling Green) and widespread rumors about savings institutions.
Measures: Resumed payments; maintained enough on deposit to meet demands and avoid forfeiture of charter; officials sought to reassure depositors and publish statements.
Newspaper Excerpt: the market ... that there had been NO further runs' on the savings banks, that the National had been relieved of its receiver, owing to its capacity to meet all demands, and that the savings bank panic had ended
Source: newspapers

2. November 22, 1871 Suspension

Cause: Local Banks
Cause Details: Temporary suspension/embarrassment related to the wider savings-bank panic and runs on other local savings institutions; precautionary suspension of active business noted in articles.
Newspaper Excerpt: The company, NATIONAL suspended payment, still continues to pay. ... The company wish to withdraw, during tontion do not to anticipate payment that any win for further the time drain seems will be to but made upon end them.
Source: newspapers

3. February 6, 1872 Receivership

Newspaper Excerpt: The depositors of the National bank met last night and received the report of the committee appointed to look after their interests. The receiver expressed the opinion that they will pay a dividend of twenty-five to thirty per cent. in March., Steps will shortly be taken to punish the officers of the bank who robbed the depositors. (Feb 6, 1872 article).
Source: newspapers

Newspaper Articles (5)

1. November 21, 1871 The New York Herald New York, NY

Article from The New York Herald, November 21, 1871

Click image to open full size in new tab

Article Text

GOVERNMENTS STEADY. The government list opened strong and a shade higher, but lost the improvement when gold went off to 110 1/. Although currency quotations are therefore unchanged, bonds are higher in gold. The following were the closing street prices:-United States currency sixes, 1131/4 a 1131/2; do. do., 1881, registered, 116 a 1161/2; do. do., coupon, 1173 a 118; do. five-twenties, registered, May and November, 111 a 111 1/2; do. do., 1862, coupon, do., 111% a 112; do. do., 1864, do. do., 111 1/4 a 111 1/2; do. do., 1865, do. do., 1113 a 112; do. do., registered, January and July, 113% a 114%; do. do., 1865, coupon, do., 11416 a 1141; do. do., 1867, do. do., 114 1/2 a 115; do. do., 1868, do. do, 114% a 115; do., ten-forties, registered, 1091/6 a 110; do. do., coupon, 109 1/6 a 1101. SOUTHERN SECURITIES LOWER. The Southern list was generally heavy, and in the case of the Tennessees and South Carolinas weak. The former declined to 65 and the latter to 261/6 for the new July bonds. The Virginias were steady, and for the consols firm. The South Carolinas were better at the close, when the general market was steady, as follows:-Tennessee, èx coupon, 65 a 651/4; do. new, 65 a 651/; Virginia, ex coupon, 60 a 6034: do. registered stock, old, 51 a 52; do. sixes, consolidated bonds, 63 1/2 a 64; do. sixes, deferred scrip, 28X u 2914; Georgia sixes, 75 a 80; do. sevens, 86 a 90; do. sevens, gold, 92; North Carolina, ex coupon, 38 a 88 1/2; do. funding, 1866, 28 a 30; do. do., 1868, 22 a 24; do. new, 19 a 20; do. special tax, 15 a 16; Missouri sixes, 97 a 98; do. Hannibal and St. Joseph, 93 1/6 a 94: Louisiana sixes, 65 a 90; do. new, 60 a 63; ao. levee sixes, 62 a 65; do. do. eights, 70 a 80; do. do. eights, 1875, 70 a 80; do. Penitentiary sevens, 60 a 65; do. railroad eights, 70 a 75; Alabama fives, 65 a 90; do. eights, 99 a 100; do. eights, Montgomery and Eufala Raulood, 90 a 95; South Carolina sixes, 70 a 74: do., new, January and July, 27 a 28; do. do., April and October, 25 a 27; Arkansas sixes, funded, 52 a 55. STOCKS DULL AND STRONG. The street being all agog about the reception of the Grand Duke Alexis, and confused and uncertain as to the postponement or carrying out of the oficial programme, the morning's business on the Stock Exchange was or narrow proportions, with, however, a heavy tone, which resulted in lower prices. The week opening with an apprehension that there might be during the day a run on the various savings banks, the "bears" found it easy to depress prices with light offerings of stock, and were helped by the individual weakness of Hannibal and St. Joseph, which was pressed for sale on the supposition that several thousand shares held as collateral for loans by one of the suspended savings banks would eventually be thrown on the market in the process of winding up the affairs of the institution. At least this was the explanation of a decline in St. Joseph to 50. After a very quiet forenoon, outside of the activity in the stock just noted, the street was suddenly notified by the stock telegraph that the reception and parade had been postponed until to-morrow, and the market began to show some animation, the improving tendency both in volume of business and in prices being quite actively developed later in the day, when it was known that there had been DO further "runs' on the savings banks, that the National had been relieved of its receiver, owing to its capacity to meet all demands, and that the "savings bank panic" had ended with the suspension of the Guardian and Bowling Green banks. Under this sumu. lus the whole market became exceedingly strong, and the best prices were made at the close of business, excepting for one or two specialties, which, previously strong, had tempted sales to realize. HIGHEST AND LOWEST PRICES. The following table shows the highest and lowest of the principal stocks auring the day:-

2. November 22, 1871 The New York Herald New York, NY

Article from The New York Herald, November 22, 1871

Click image to open full size in new tab

Article Text

THE BANK TROUBLES. The Situation Yet rday-Better Prospects for the Depositors-The Receiver of the Bowling Green Bank HopefulStatements Yest: The panic which prevailed very extensively in the city among the poorer classes relative to savings banks has Been greatly less ned by the statements of the various companies vesterday. and public confidence has in some measure been restored. The smash of two or three of the smaller banks raised apprehensions in the minds of the untainking that all kind ed institutions must necessarily collapse, and in consequence will rutnors have been freely circulated ab nt different co spanies, some of them the strongest in the city, which have turned our to he urterly un ounded. all having proved thoron nly solvent except the two or three which have been controlled by the Ring. The old standard banks of the city have maintained the even tenor of their way. though a number or them were more or less affected DV the stories which have been mooted abroad. It now seems as If the erisis is over, and probably when all is known the loss to the depositors will not prove 80 serious as at first represeated. The measures hich have-been so promptly taken to uard their interests cannot fail in securing all the available assets of the backs which have suspended, and the sums may ossibly be large. enough to cover, or nearly so, the indebredness. A ERTE KETCH of the situation yesterday will explain how matters at present stand, and show the condition of the various banks which have already burst, and the others whose name have been associated with the nying ramors of Monday. THE GUARDIAN. NO new developments have taken place relative to the Goardian Savings Bank, the receiver not being in a ition as yet to give 8 correct opinion upon of afairs. The offices yesterday remained the entire day. various parties of procuring an entrance the closed sirous state who were being deby a padlocked door, the building. officers met having completely eserted company the will renor at all probable that this 15 as the neads O. 1 the sum confidence of the people, and, 1031 state o their finances prombit present It the basines, have Anything besides, completely like states that his his Mr. is very signt, be having only R bank resulaption, Tweed connection supposed allowed with the ino as President croin the name it had with the people. it IS finance the old man is more deeply to ever. that appear contess; Dat 13 likely. impucated dimicult nowthan particulars, ae is willing the to other officials of the bank pregain a strict reticence on the subject. serving THE BOWLING GREEN was visited by a AERALD reporter, who, after procured admission. con- Mr. siderab the directly secretary, was found in the once, and up Se mea. of clerks, busily engaged 1a squaring with the deanumoer with a look to settlement able the accounts, Mr. Selmes scares tney expect to as be the reever Golia, or nearly so, as SOON business. to pay has concluded his research of himself the ceiver positors. both Mr. Smith and deeply, 1eel lie says the bank very as they They do not intend to resuine them the failure took of a deep interest among business in is success a variety of reasons, chief memagain being the or the partisite Committee 01 adnerence Manage of nent to e the Tam- to the present spects if pers Rine. Mr. Kaapp, the receiver, and many before the 1st of a depositors will be paid the the possi There was no to declare 10.all them. dividend excitement January It Juil around useless amount own the people neding make office any yesterday, further exernous to procure their money under existing circumstances. THE YORK ILLE from has so far weathered Of the the city storm, Hall accounting its distance for hav- its the atinosphere the hanks situated near hea tquarters deposits. ing recen ed 01 a lar business en done in tate bank one 1: small, bunThe amount not of deposit+ being under tears out the solveney, whole amo amount Mr. Genet of Tamariar nas no dred monsand prove all right. of ars. The depositors contrary also to seem report to have confidence 1il place more tuan usual at any unie no rua since the Guardian It will having takea THE the company, NATIONAL suspended payment, still continues to pav. and on the hand cashier to meet states all that 11athere are abundant was lustis progressing yesterday of in a billines. manner, there being no very qmet of money being out unusual reported large sum were their amount Bosiness indication exoress WILLGRAWD taken any inthough the it 13 week. The company wish to withdraw, during tontion do not to anticipate payment that any win for further the time drain seems will be to but made upon end them. here. The and r1-k the oficials are condident that be at all an Will be right THE 14 a CITIZENS'. few days. rumor o: a run upon This old established it, DANK in nas circulation proved solvent, yesterday, the being entirely untrathful. THE MANHATTAN it being also concerning is also square, the street report is responsible for the stories unrounded. on Wall with the TWO banks, but, like source many, in connection the same nas other to be a canard. their it has to the savings sensations turned relative our Nothing banks. any way. transpired names the situation. figuring I will in the he excitement seen and from the people the in above. who sup- nas become more about to be neeced in a wholesale as they posed they were cease to be 80 much The manner may encouraging safe.y of their alarmed lungs. will rehave been about the good men and tru, who ceivers discharge their duties 10 doubless favor or appointed affection. preserving are and the depositors. strict impartiality III without a very both the companies 10 publish their they are short time they of clearing up all and trafactorily. hoperni expect appear upon statements, their accounts Bowling Green will they The mardian and more ascompanies. the support Jalled. the scene no upon 80 long having entirely the event of have depended be with the National in the other another How 1. will crisis remains to be seen; but all banks are perfectly sound.

3. November 23, 1871 The New York Herald New York, NY

Article from The New York Herald, November 23, 1871

Click image to open full size in new tab

Article Text

THE SAVINGS BANKS. Abatement of the Excitement-The Guardian and Bowling Green Still Closed--The Na= tional Our of the Wilderness. Inquiries made yesterday about the savings banks of the city give the gratifying fact that the poor who have deposited in them are not likely to lose their savings, except, perhaps, 10 the Guardian and the Bowling Green banks, and even from these many will draw out nearly all possibly. It is very certain that nothing like a run has been made upon any Institution with the exception of the three above named. At the Bowling Green yesterday there was very little excitement and few clamorers for entrance The office is still kept closed, and yester day afternoon President Henry Smith, Re ceiver Knapp, the directors and Judge Hogan were for some hours busily employed in sounding its aifairs with a view or getting at an actual idea of its condition. Mr. Knapp as. sured a HERALD reporter, who called for the latest facts, that no statement of its affairs would be completed before Friday, when It would be given to the pubilc, yet 80 far as they had examined the subject the condition of the bank Is better than was supposed, and the officers hope to pay in due time a hundred cents on the dollar. Judge Hogan, who has taken an active part on behalf of the protection of the depositors, has called a meeting of the officers and creditors at No. 172 Green wich street to-day. when the directors may make scms overtures to their depositors. Mr. Knapp says there 18 no serious cause 1or alarm, and he hopes the press will assist in allaying the excitement. At the National, corner of Houston street and Broadway. the excitement has entirely ceased, and when a reporter visited it yesterday afternoon one clerk was sufficient to attend to business, and Henry Smith, the president, considers the run at an end. The clerk reports that ne received more money yesterday on deposit than was called for on check. He explains the last report made to the Banking Department at Albany of only $2,000 of deposits very satisfactorily. It appears that the institution suebus pended active business for a time, 18 kept enough on deposit to enable of to report and avoid a forfeiture the charter. They resumed business in June or July last, and the deposits have largely increased, but for some reason ne declined to state how nigh they range now. The office furniture IS much more valuable than the estimate given a reporter on Monday by a gentleman who looked it over. The Guardian Institution still disregards public opinion, and not only keeps its doors locked, refusing all admission to the representatives of the press, but 80 far has published no intimation of what the depositors may expect to realize from their investments. Outside rumor says it 18 in such n condition that the directory have no hope of being able and do not contemplate a resumption of business.

4. November 25, 1871 Ashtabula Weekly Telegraph Ashtabula, OH

Article from Ashtabula Weekly Telegraph, November 25, 1871

Click image to open full size in new tab

Article Text

WEEKLY TELEGRAPH ASHTABULA, OHIO. Saturday Morning Nov. 25th, 1871. ITEMS. The Cleveland aspers-are instly clased over the progress of the Lake Shore and Tus. carawas Road, just opened to Medina, and count on it for a very rapid growth of the city. to Lieut. Gen. Sheridan, having made official report of the military authority exercised by him in Chicago, Gen. Sherman has placed the document on file with his emphatic endorsement. Secretary Robeson has directed the dismissal from the Naval Academy, of six of its cadets, for disobedience to the order forbid. ding "Hazing." He promises to follow up this-punishment, to the very last dadet refusing obedience. The New York Ring Rascalities seem to have extended to several of the saving banks of that city. Two-the Guardian and Bowling Green, have suspended, and a third-the National-by last accounts, proposed to pay all demands. (7r The estimates of the Treasury Department will be somewhat in excess of last year, owing to the fact that it will be necessary not only to continue public buildings already under consideration, but to erect new ones, especially in Chicago, which will cost at least four or five millions. W The Philadelphians are preparing for the centennial of the Declaration in 1876. It is proposed to invite representatives of every government on earth to attend, and when this motly assemblage is gathered and padded out with eminent representatives of Art and Letters, they are to be treated to a monster musical performance, compared with which Gilmore's was a mere whisper. or At the last Cabinet meeting AttorneyGeneral Akerman reported that he had two thousand prisoners in South Carolina alone, capsured under the Kn Klux act. A debate followed as to the ability of the courts and OR the general government to the care of so large a proportion of the population, and a general disposition was manifested to have the arrests somewhat restricted, and, if possible, confined to those ascertained to be active in the Ku Klux order. The Governor of Kentucky, in a recent message, uses these words: "I will never consent to the giving of one dollar for the education of the blacks in this States" It is worthy of notice that this Governor is a professed Democrat, and is received into full fellowship by the Democrats of the North. This declaration has an ugly look. It puts party above principle and endorses a policy which is as Anti-Democratic asean well be conceived. The blacks are forcibly kept in ignorance by positive statute. The Governor of Kentucky bodily asserts, in the face of the fact that Preedom is the law of the country, that the slave holding doctrine shall still prevail in that State.

5. February 6, 1872 Public Ledger Memphis, TN

Article from Public Ledger, February 6, 1872

Click image to open full size in new tab

Article Text

NEW YORK. NEW YORK, February 6.-The depositors of the National bank met last night and received the report of the committee appointed to look after their interests. The receiver expressed the opinion that they will pay a dividend of twenty-five to thirty per cent. in March. Steps will shortly be taken to punish the officers of the bank who robbed the depositors. Sheppard Knapp, receiver of the Bowling Green savings bank, is now preparing a report of its condition. It is believed his exhibit will show a large deficit. The receiver of the Union Square National bank estimates that a dividend of fifty per cent. will be paid on Saturday. Thesecond dividend of fifty per cent will be paid early in March. The run on the Third Avenue savings bank continues, and its officials still maintain their ability to meet all demands. The morning press continue to discuss the situation with England. The Times believes the next meeting of parliament will furnish opportunity for intelligent discussion of the subject, and is more than ever of opinion that a complete settlement will be the result of the present difference. The Herald's special from London says: "The Times' editorial yesterday says that the treaty of Washington has become inoperative, for the reason that it is not based on a perfect understanding between signatory parties. It is with the utmost reluctance that we contemplate the possibility that a referonce of this question to arbitration court should come to nothing."