16501. City Trust Safe Deposit & Surety Company (Philadelphia, PA)

Bank Information

Episode Type
Suspension → Closure
Bank Type
trust
Start Date
June 21, 1905
Location
Philadelphia, Pennsylvania (39.952, -75.164)

Metadata

Model
gpt-5-mini
Short Digest
c6fcca23ba99a2ce

Response Measures

None

Description

State examiner ordered the trust company to close June 21, 1905; a temporary receiver (A. H. Taber) was appointed immediately and later J. Hampton Moore became permanent receiver. Closure resulted from large forgeries by Benjamin H. Gaskill and related losses; directors asked for receivership and planned to go out of business. Although crowds of depositors gathered at the doors, the evidence indicates an examiner-ordered suspension leading to receivership and winding up rather than a solvency-saving reopening.

Events (4)
1. June 21, 1905 Other
Newspaper Excerpt
When the big iron doors were closed a scene was witnessed ... Outside a clamoring crowd of depositors, men and women, augmented by hundreds of curious people, surged about the doors until dark.
Source
newspapers
2. June 21, 1905 Receivership
Newspaper Excerpt
A. H. Taber was appointed temporary receiver for the City Trust Safe Deposit and Surety company.
Source
newspapers
3. June 21, 1905 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Closed after extensive forgeries and losses tied to late banker Benjamin H. Gaskill (forgeries of the late Benjamin H. Gaskill and 'hit for $85,000 by the raised stock swindle').
Newspaper Excerpt
The state bank examiner has ordered the City Trust Safe Deposit and Surety company to close its doors.
Source
newspapers
4. June 26, 1905 Receivership
Newspaper Excerpt
J. Hampton Moore was to-day appointed permanent receiver for the City Trust Safe Deposit and Surety Company of this city.
Source
newspapers

Newspaper Articles (14)
1. June 21, 1905 The Fairmont West Virginian Fairmont, WV
Article from The Fairmont West Virginian, June 21, 1905

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TRUST COMPANY CLOSES ITS DOORS TEMPORARY RECEIVER OF PHIL. ADELPHIA INSTITUTION HAS BEEN APPOINTED. PHILADELPHIA, Pa., June 21 The State bank examiner has ordered the City Trust Safe Deposit and Sure. ty Company to close its doors. A. H. Tabor was appointed temporary received The company was es. tablished in 1886 and is located at 927 Chesinut street. It has a capital of $500,000 and deposits are estimated at $2,580,000. The failure is one result of the forg. ings of the late Banker Gaskill. J. Hampton Moore, formerly chief of the Bureau of Commerce and Labor, in Washington, is president of the Trust Company.

2. June 21, 1905 The Spokane Press Spokane, WA
Article from The Spokane Press, June 21, 1905

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PHIEADELPHIA TRUST COMPANY IS CLOSED UP (Scripps News Association.) PHILADELPHIA, June 21.-The state bank examined today ordered the City Trust, Safe Deposit and Surety company to close its doors. A. H. Taber was appointed receiver. The concern had a capital of $500,000 and deposits estimated at $2,500,000.

3. June 21, 1905 The Seattle Star Seattle, WA
Article from The Seattle Star, June 21, 1905

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Article Text

PHILADELPHIA, June 21.-The state bank examiner has ordered the City Trust Safe Deposit & Surety company to close Its doors. A. H. Taber was appointed receiver. The concern had a Tapital of $500,000 and the deposits are estimated at $2,500,000.

4. June 23, 1905 The Birmingham Age-Herald Birmingham, AL
Article from The Birmingham Age-Herald, June 23, 1905

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WILL PAY IN FULL. Receiver Is Busy Going Over Books of Philadelphia Bank Philadelphia, June 22.-Temporary Receiver Albert Taber of the City Trust Safe Deposit and Surety company, was busy all of today making a thorough investigation of the affairs of the company. He would not talk about the result of his work as far as he had gone, but the impression prevails that all depositors will be paid in full. President J. Hampton Moore stated today that the permanent receiver would be probably appointed within a week. It is said the plan now under consideration by the officers and directors of the corporation is to go out of business and organize a new company.

5. June 24, 1905 Spirit of the Age Woodstock, VT
Article from Spirit of the Age, June 24, 1905

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Philadelphia Bank Closed. Philadelphia.-As a direct result of the extensive forgeries of the late Benjamin H. Gaskill, a banker, the City Trust, Safe Deposit and Surety Company, 931 Chestnut street, has closed its doors and gone into the hands of a receiver. Although the move was a great surprise to the depositors and the general public it was not altogether unexpected by financiers after it became known that the trust company had been "hit" for $85,000 by the "raised" stock swindle. The receivership was asked by the president and directors of the company and directors of the company, who assembled in a special meeting. When the big iron doors were closed a scene was witnessed the like of which Philadelphia has not seen in many years. Outside a clamoring crowd of depositors, men and women, augmented by hundreds of curious people, surged about the doors until dark. Late in the afternoon Hampton Moore, president of the company, said: "It is the belief of the board of directors as well as of the receiver that all the depositors of the company will be paid in full." The Busy Czar. There is ncwadays not a great deal of gayety at the Russian court. The emperor is a very busy man; he probably has more to do, even in time of peace, than any other man in the world. Combine the responsibility of the president, the cabinet, congress, the governors of states, state legislatures and mayors of the principal cities in this country, and ycu will begin to form an idea of the load on the shoulders of Nicholas II. There is no finality below him, except as he permits it; and the mass of details that

6. June 24, 1905 New-York Tribune New York, NY
Article from New-York Tribune, June 24, 1905

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SAYS DEPOSITORS WILL BE PAID. Receiver for a Philadelphia Trust Company Makes Hopeful Statement. Philadelphia, June 23.-Albert L. Tabor, temporary receiver of the City Trust, Safe Deposit and Surety Company, which closed its doors on Wednesday, said to-day that he was confident that every depositor will be paid dollar for dollar. The deposits amount to $1,470,347, while a rough estimate of the sure assets, he said, would certainly aggregate $1,525,000. The fate of the depositors, however, will depend a great deal on the way the surety bonds of the company turn out. These now aggregate $25,000,000, and it is not known what the company may have to pay out through them. The solicitor of the trust company announced today that under the State law the surety claimants and depositors would stand on an equal plane. The depositors hoped that they would be made preferred creditors. The solicitor also announced that under a decision of State courts the company was not liable for losses that might accrue under its outstanding contracts for surety after the date of the appointment of the receiver. He advises all holders of contracts of suretyships to reinsure elsewhere.

7. June 24, 1905 Evening Journal Wilmington, DE
Article from Evening Journal, June 24, 1905

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DEPOSITORS WILL BE PAID Assets of Defunct Trust Company Exceed Deposits. Philadelphia, June 24. - Albert L. Taber, temporary receiver of the City Trust, Safe Deposit and Surety company, which closed its doors Wednesday, said that he was confident that every depositor will be paid dollar for dollar. The deposits amount to $1,470,347, while a rough estimate of the sure assets, he said, would certainly aggregate $1,525,000. The fate of the depositors, however, will depend a great deal on the way the surety bonds of the company turn out. These now aggregate $25,000,000, and it is not known what the company may have to pay out through them. The solicitor of the trust company announced that under the state law the surety claimants and depositors would stand on an equal plane. The depositors had hoped that they would be made preferred creditors. The solicitor also announced that under a decision of the state courts the company was not liable for losses that might accrue under its outstanding contracts of surety after the date of the appointment of the receiver.

8. June 25, 1905 The Washington Times Washington, DC
Article from The Washington Times, June 25, 1905

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CITY TRUST WILL PAY DEPOSITORS Time of Settlement, However, Is Uncertain. CREDITORS HOLD A MEETING Thirty Days May Elapse Before Affairs of Defunct Institution Are Settled Up. PHILADELPHIA, June 24.-While making encouraging statements that the depositors of the City Trust, Safe Deposit and Surety Company will probably receive the full amount of their deposits, neither J. Hampton Moore, the president, nor Albert Taber, the temporary receiver, are able to say definitely when the first payment will be made. It is thought at least thirty days will elapse before the affairs of the institution are in shape to warrant a partial liquidation of its obligations to the depositors. A meeting of the depositors was held at 1518 Chestnut street Friday evening and steps taken to form an organization to protect their interests. Col. Henry W. Gray, one of the founders of the company, and a stockholder and depositor, was elected permanent chairman, and William E. Chapman secretary. In addressing the meeting, which was representative of about one-third of the depositors, Colonel Gray said their action was not to antagonize the officers of the trust company. He declared he would not be satisfied with the appointment as permanent receiver of a man who could not or would not devote his entire time to winding up the affairs of the concern. Names Are Taken. The names and addresses of those present were taken by the secretary for the purpose of giving Colonel Gray an idea of whom to select for a committee to represent the depositors in their dealings with the trust company. At first it was suggested that the committee be composed of ten members, but after a discussion it was decided that this would make the body too unwieldy, and the size of the membership was left to the discretion of the chairman. Depositors who did not attend the meeting are expected to send their names and addresses to Colonel Gray, at 1518 Chestnut street. There was discussion as to the standing of the depositors as creditors, whether they were preferred or on the same plane with other creditors. Lincoln L. Eyre, a former counsel for the company and one of the depositors, said that the priority of a deposit claim to that of a bondholder's claim had never been established by the courts in reference to a trust company. Mr. Eyre is also one of the administrators of the estate of the late Benjamin Gaskill, whose forged stock certificates are responsible for part of the City Trust's losses.

9. June 27, 1905 The San Francisco Call San Francisco, CA
Article from The San Francisco Call, June 27, 1905

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Knight, Donnelly. & Co. Forced Into Bankruptcy. Closing Grain Prices Show Net Liabilities of $150,000. Belief That the Collapse Will Not Seriously Affect the Stock Markets. CHICAGO. June 26.-Knight, Donnelly & Co., one of the most widely known grain and stock brokerage firms in the West and of reputed financial standing throughout the business world, became involved in involutary bankruptcy proceedings in the United States District Court late this afternoon. The petitioning creditors, with claims amounting to $16,000 filed the petition before Judge Landis, and Edward C. Potter was appointed receiver, in bonds of $100,000. The bankruptcy proceedings are believed to be friendly because of the presence in court of Attorney Silas H. Strawn, representing R. H. Donnelly, one of the members of the firm. The case was carried through the court burriedly, and after the proceedings wel. completed but little information could be obtained from those interested. According to the petition of the receiver. there is $250,000 outstanding in va. rious kinds of grain, stock and bond transactions. Attorney Whitney, for the brokerage firm. declared to-night that the failure would cause little excitement on the Chicago Board of Trade or the New York Stock Exchange to-morrow morning. as the trades were so evenly balaficed that the transactions on the long side of the market would to a great extent offset the trades on the short side. "For every transaction made by the firm," said Whitney, "the Chicago banks hold collateral. and if the banks sell out at the present market price money will be gained instead of lost. The petition for the appointment of a receiver sets forth that if an attempt be not immediately made to realize on the $250,000 worth of transactions the deal will necessarily have to be closed out at a great sacrifice. R. H. Donnelly, senior member of the firm. declared to-night that no one would be harmed financially, but he refused to give any reason for the failure of the company. He said: "As newtly as I can estimate to-night, our liabilities are about $250,000 and our assets about $100,000. This estimate is made by taking as a basis the closing prices of stocks and grain to-day. As soon as Receiver Potter cleans up our affairs the firm of Knight, Donnelly & Co. will be dissolved. The firm had wires running to New York, St. Louis and other leauing financial centers of the country. TERRE HAUTE, Ind., June 26.-The Vigo County National Bank issued the statement -day that Cashier Conzmanthes has resigned and that a shortage of about $16,000 had been discovered in his accounts. Conzmanthes has turned over securities amounting to $60,000. Later a "run" upon the bank was started, but all demands for deposits were promptly met. PHILADELPHIA, June 26.-J. Hampton Moore was to-day appointed permanent receiver for the City Trust Safe Deposit and Surety Company of this city. Moore was formerly chief of the Bureau of Manufactures in Washington, and became president of the City Trust three weeks ago. CLINTON, Mo., June 26.-The Circuit Court to-day appointed John B. Egger, a banker of Appleton City, receiver of the closed Salmon Bank Cashier Thomas M. Caste who was arrested yesterday, charged with forgery, is ill at his home, under guard. CINCINNATI, June -Holzman & Co., brokers and bankers, who recently assigned, were to-day declared bankrupt by the United States Court.

10. June 29, 1905 The Monticellonian Monticello, AR
Article from The Monticellonian, June 29, 1905

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GENERAL NEWS ITEMS. It has been decided to resume the 18hour schedule of the Twentieth Century limited on the Lake Shore and New York Central railroads between Chicago and New York, temporarily suspended following the recent accident at Mentor, O. Thomas M. Casey, cashier of the Salmon bank at Clinton, Mo., has been arrested charged with forging two notes aggregating $10,000. Casey is alleged to have hypothecated the original notes in Kansas City and placed the forged duplicates among the assets of the bank. During a dense fog off Cape Prior, on the northwest coast of Spain, the British cruiser Carnarvon, collided with the North German Lloyd steamer Coblenz, damaging the latter SO badly that it was found necessary to tow her to Ferrol, where she will have to go into drydock. The Australian government has decided to invite Secretary Taft and members of his family and Miss Roosevelt to extend their tour from the Philippines to Australia. President Roosevelt has issued orders that the classes of Chinese exempt from the inhibition of the exclusion law are to have the same courtesy shown them by officers of the immigration bureau as is accorded to citizens of the most favored nations. Yvonne Davis, 18 months old, was killed by a bulldog, owned by the child's father, in Chicago. It was necessary to pry the dog's jaws apart after it had been killed in order to release its hold. The White House at Washington is practically closed for the summer vacation. The German yacht Hamburg defeated Emperor William's Meteor III. over a 33-knot course at Kiel, by nearly six minutes. The temporary receiver of the City Trust, Safe Deposit & Surety Co., of Philadelphia is confident that every depositor will be paid dollar for dollar. Assistant Secretary of State Loomis has gone on a month's trip to Europe. He expects to participate in the Paul Jones exercises in Paris. Unless Kansas gets a better response to her call for harvest hands much of her wheat crop will be lost. The Carlton club of London, England., has accepted the offer of John Wanamaker, who is an honorary member, to present a portrait of President Roosevelt, by Sargent, to the club.

11. June 29, 1905 The Gold Leaf Henderson, NC
Article from The Gold Leaf, June 29, 1905

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DEPOSITORS WILL BE PAID Assets of Defunct Trust Company Exceed Deposits. Philadelphia, June 24. - Albert L. Taber, temporary receiver of the City Trust, Safe Deposit and Surety company, which closed its doors Wednesday, said that he was confident that every depositor will be paid dollar for dollar. The deposits amount to $1,470,347, while a rough estimate of the sure assets, he said, would certainly aggregate $1,525,000. The fate of the depositors. however, will depend a great deal on the way the surety bonds of the company turn out. These now aggregate $25,000,000, and it is not known what the company may have to pay out through them. The solicitor of the trust company announced that under the state law the surety claimants and depositors would stand on an equal plane. The depositors had hoped that they would be made preferred creditors. The solicitor also announced that under a decision of the state courts the company was not liable for losses that might accrue under its outstanding contracts of surety after the date of the appointment of the receiver.

12. June 30, 1905 The Jasper Weekly Courier Jasper, IN
Article from The Jasper Weekly Courier, June 30, 1905

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GENERAL NEWS ITEMS. It has been decided to resume the 18hour schedule of the Twentieth Century limited on the Lake Shore and New York Central railroads between Chicago and New York, temporarily suspended following the recent accident at Mentor, O. Thomas M. Casey, cashier of the Salmon bank at Clinton, Mo., has been arrested charged with forging two notes aggregating $10,000. Casey is alleged to have hypothecated the original notes in Kansas City and placed the forged duplicates among the assets of the bank. During a dense fog off Cape Prior, on the northwest coast of Spain. the British cruiser Carnarvon, collided with the North German Lloyd steamer Coblenz, damaging the latter so badly that It was found necessary to tow her to Ferrol, where she will have to go into drydock. The Australian government has decided to invite Secretary Taft and members of his family and Miss Roosevelt to extend their tour from the Philippines to Australia. President Roosevelt has issued orders that the classes of Chinese exempt from the inhibition of the exclusion law are to have the same courtesy shown them by officers of the immigration bureau as is accorded to citizens of the most favored nations. Yvonne Davis, 18 months old, was killed by a bulldog, owned by the child's father, in Chicago. It was necessary to pry the dog's jaws apart after It had been killed in order to release its hold. The White House at Washington is practically closed for the summer vacation. The German yacht Hamburg defeated Emperor William's Meteor III. over a 23-knot course at Kiel, by nearly six minutes. The temporary receiver of the City Trust. Safe Deposit & Surety Co., of Philadelphia is confident that every depositor will be paid dollar for dollar. Assistant Secretary of State Loomis has gone on a month's trip to Europe. He expects to participate in the Paul Jones exercises in Paris. Unless Kansas gets a better response to her call for harvest hands much of her wheat crop will be lost. The Cariton club of London. England., has accepted the offer of John Wanamaker, who is an honorary member, to present a portrait of President Roosevelt. by Sargent. to the club.

13. July 1, 1905 Macon Beacon Macon, MS
Article from Macon Beacon, July 1, 1905

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GENERAL NEWS ITEMS. It has been decided to resume the 18hour schedule of the Twentieth Century limited on the Lake Shore and New York Central railroads between Chicago and New York, temporarily suspended following the recent accident at Mentor, O. Thomas M. Casey, cashier of the Salmon bank at Clinton, Mo., has been arrested charged with forging two notes aggregating $10,000. Casey is alleged to have hypothecated the original notes in Kansas City and placed the forged duplicates among the assets of the bank. During a dense fog off Cape Prior, on the northwest coast of Spain, the British cruiser Carnarvon, collided with the North German Lloyd steamer Coblenz, damaging the latter so badly that it was found necessary to tow her to Ferrol, where she will have to go into drydock. The Australian government has decided to invite Secretary Taft and members of his family and Miss Roose velt to extend their tour from the Philippines to Australia. President Roosevelt has issued orders that the classes of Chinese exempt from the inhibition of the exclusion law are to have the same courtesy shown them by officers of the immigration bureau as is accorded to citizens of the most favored nations. Yvonne Davis, 18 months old, was killed by a bulldog, owned by the child's father, in Chicago. It was necessary to pry the dog's jaws apart after It had been killed in order to release Its hold. The White House at Washington is practically closed for the summer vacation. The German yacht Hamburg defeated Emperor William's Meteor III. over a 33-knot course at Kiel, by nearly six minutes. The temporary receiver of the City Trust, Safe Deposit & Surety Co., of Philadelphia is confident that every depositor will be paid dollar for dollar. Assistant Secretary of State Loomis has gone on a month's trip to Europe. He expects to participate in the Paul ones exercises in Paris, Unless Kansas gets a better response to her call for harvest hands much of her wheat crop will be lost. The Carlton club of London, Engend., has accepted the offer of John Vanamaker, who is an honorary memer, to present a portrait of President Roosevelt, by Sargent, to the club. The central committee of the Chicago Retail Grocers and2 Market Men have withdrawn their aid from the striking teamsters. Col. Winfield S. Edgerly, Second cavairy, now on duty in the Philippines, has been promoted to brigadier general. William J. Bryan has given $500 of the Bennett fund to the Congregational college at Kingfisher, Okla. Owing to heavy losses sustained by the Gaskill forgeries, the City Trust & Safe Deposit Co. of Philadelphia has been compelled to suspend operations, and is in the hands of a receiver.

14. July 1, 1905 Morris Tribune Morris, MN
Article from Morris Tribune, July 1, 1905

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Concluded from page 7. financial world to fairly gasp for breath Mr. Hendricks goes so far as to say that the only adequate remedy is to eliminate stock control, even though guarded, as proposed in the Ryan trust, and bring about complete mutualization. The present evils are traced back to the founder of the society, Henry B. Hyde, for inaugurating the system of using the society's money for the selfish ends of the offieers, especially in renting building space at a nominal rate to safe deposit companies in which they were interested. The various crooked transactions with special organized trust companies is described, and how J. H. Hyde and his friends took stock of the increased capital allotted to the society. Mr. Hendricks says that the officers and directors who profited by these various transactions should be compelled to make restitution, and the attorney general was expected to bring suits to compel them to disgorge. He tells how the young vice president, J. H. Hyde, exacted inordinate salaries for his friends and himself, and used his stock control to justify various extravagances. Forgeries Close Trust Company. Owing to the forgeries of Benjamin H. Gaskill, the City Trust, Safe Deposit and Surety company of Philadelphia closed its doors June 21 and went into the hands of a receiver. An excited crowd of depositors gathered about the doors, and the police had to be summoned to maintain order. Hyde and Alexander Out. Paul Morton, the new chairman of the board of directors of the Equitable Life Assurance society, announced June 20 that he had accepted the resignations of President Alexander and Vice President Hyde. This action came suddenly. after a rigid investigation of the society's affairs had been begun by Mr. Morton's own accountants. Lawson Says Rogers Cheated. In the July Everybody's Thomas W. Lawson tells how the National City bank was used to decoy Amalgamated investors and how H. H. Rogers cheated him out of $4,000,000 of his share of the copper deal profits. Mr. Lawson calls on the policy holders of the New York, Mutual and Equitable Life to take concerted action under his leadership for their protection. He urges them to have nothing to do with any committee and says that his plan has for its aim the preservation of the face value of all policies, the reduction of future premium payments and the restitution of millions looted from the three great companies.