Multiple contemporary articles (late Sept 1909) report a run on the Mercantile Trust Company (run on Saturday, Sept. 25, 1909) which depleted reserves; the company then did not open and made voluntary assignments to the state banking commission (Sept. 27, 1909) with James L. White named temporary receiver. The failure to complete a merger and low reserves are cited as underlying causes. Spelling of city appears as 'Pittsburg' in the sources (historical usage).
Events (3)
1.September 25, 1909Run
Cause
Bank Specific Adverse Info
Cause Details
Run followed depletion of reserves and inability to complete merger; examiners had found low cash reserves two weeks earlier and certificates of deposit had been used in financing purchase of Mercantile stock.
Measures
None successful in stopping withdrawals; subsequent voluntary assignment to state banking commission and appointment of temporary receiver.
Newspaper Excerpt
a crisis being reached on Saturday when a run was made on the Mercantile Trust company.
Source
newspapers
2.September 27, 1909Receivership
Newspaper Excerpt
James L. White has been appointed temporary receiver, and an application will be made immediately for a permanent receiver.
Source
newspapers
3.September 27, 1909Suspension
Cause
Voluntary Liquidation
Cause Details
Banks made voluntary assignments to the state banking commission after failing to carry out planned merger and lacking sufficient funds following the run; temporary receiver appointed.
Newspaper Excerpt
The Land Trust company and the Mercantile Trust company ... did not open for business today. James L. White is temporarily receiver for both banks.
Source
newspapers
Newspaper Articles (18)
1.September 27, 1909Dziennik ChicagoskiChicago, IL
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robotnicza i gdyby nie szybki ratunek móglby byt latwo wielkie szkody wyrzadzic. Ma to byé pierwszy od roku 1814 pozar, St. Paul, Minn., 27 wrzesnia. Zmarly John Johnson, gubernator Minnesoty, pozostawit testament Z r. 1897, którym zamianowat generalna spadkobierczynia swoja zone. Spadek wynosi 35,000 dolarów. Des Moines, Iowa, 27 wrzesnia. - Onegdaj usitowalo wlamac sie 3 zlodziei do "Banku farmerów" W Runnels, postugujac sie dynamitem. Skoro jednak zostali spostrzezeni przez zwabionych hukiem eksplozyi ludzi uciekli wszy scy 3 do Adelphi, gdzie wlamali sie do urzedu pocztowego, kradnac nieco gotówki i marki pocztowe. Z Adelphi uciekli Z pomoca drezyny do najblizszej stacyi kolejowej, a stamted pociagiem do Percy, gdzie mieli zostac przez zaalarmowana policye otoczeni. Pittsburg, Pa., 27 wrzesnia. Wybuchh tu pozar, ktory objal 3 zabudowania. Mimo rychlej pomocy, domy spality sie, a W nich 3 dzieci John'a Langa W wieku 4 do' 10 lat. Biedne dzieci spaty na poddaszu, wobec tego zostaly ob. jete plomieniem, zanim mogly zbiedz na dól. Live Oak, Fla., 27 wrzesnia.Wczoraj nad ranem znaleziono W Perry W Taylor County wiszace zwloki negra Charley'a Andersona. Anderson zostal zlynczowany za zamordowanie Hawkins'a Mar szala. Pittsburg, Pa., 27 wrzesnia. Zbankrutowaly tu dwie finansowe instytucye: "Krajowa Trust Co." i "Mercantile Trust Co." Powodem bankructwa bylo niespodziewane a silne wycofywanie wkladek.
2.September 27, 1909The Birmingham Age-HeraldBirmingham, AL
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BANKS WILL FAIL TO OPEN TODAY Pittsburg, September 26.-The Land Trust company and the Mercantile Trust company, both of this city, will not open their doors tomorrow, arrangements having been made tonight whereby they will make assignments tomorrow to State Banking Commissioner W. H. Smith. Deputy State Bank Examiner James L. White is in charge of both institutions as temporary receiver. Lack of money is given as a reason for the assignments, a crisis being reached on Saturday when a run was made on the Mercantile Trust company. The Land Trust company, with a capital of $700,000, arranged about a year ago to take over the Mercantile Trust company, which has a capital stock of $750,000, but was unable to meet all the obligations to complete the merger. Two weeks ago Examiner White found the institution did not have the required reserve. The company was given an Apportunity to bring the amount up to requirements, but the run on the Mercantile Trust company on Saturday depleted the resources and it was decided to make the assignments. State Bank Examiner White stated that all the depositors will be paid in full.
3.September 27, 1909The Montgomery AdvertiserMontgomery, AL
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TWO TRUST COMPANIES WILL CLOSE THEIR DOORS Pittsburg, Pa., Sept. 26. 1 The Land Trust Company and the Mercantile Trust Company both of this city, will not open their doors tomorrow, arrangements having been made tonight whereby they will make assignments tomorrow to State Banking CommisState sioner W. H. Smith. Deputy Bank Examiner James L. White is in charge of both institutions as temporary receiver. Lack of money is given as the rea. son for the assignments, a crisis being reached on Saturday when a run was made on the Mercantile Trust Company. The Land Trust Company with a capital of $700,000 arranged about a year ago to take over the Mercantile Trust Company which has a capital stock of $750,000 but was unable to meet all the obligations to complete the merger. Two weeks ago Examiner White found the institution did not have the required reserve. The company was given an opportunity to bring the amount up to requirements, but the run on the Mercantile Trust Company on Saturday depleted the resources and it was decided to make the assignments. State Bank Examiner White stated tonight that all the deposits will be. paid in full.
4.September 27, 1909The Newark Star and Newark AdvertiserNewark, NJ
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RUNS DRAIN RESOURCES; PITTSBURG BANKS SUSPEND. Mercantile Trust and Land Trust Will Pay Depositors. PITTSBURG, Sept. 27.-The Mercantile Trust Company, capitalized at $750,000, and the Land Trust Company, capital $500,000, are closed today following a big run. An application will be made for a receiver and the affairs of both concerns will be wound up. State Bank Examiner James L. White asserts that there has been no crooked work and that no one will lose. There was a great run on the Land Trust Company. the cause of which is not known. Two weeks ago the bank examiners found the cash reserves of both concerns low and gave warning that they must be fixed up. The bankers say they were getting along well when the run came and hurt them badly. As they coûld not stand another run they decided on voluntarily closing.
5.September 28, 1909New-York TribuneNew York, NY
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BANKS SHUT DOORS. Temporary Receiver Named for Two Pittsburg Trust Companies. [By Telegraph to The Tribune:] Pittsburg, Sept. 27.-A secret meeting of the directors of the Mercantile and Land Trust Companies, which failed to open their doors today, was held at the Fort Pitt Hotel to-night. What was done could not be learned, but there is a report that the session was stormy at times and that the history of the banks was traced back a number of years. James L. White has been appointed temporary receiver, and an application will be made immediately for a permanent receiver. In the mean time a statement has been issued that the books show no irregularities, and the depositors are expected to receive dollar for dollar. When the banks closed it was known that no irregularities would be shown by tht books, but in the financial district to-day the purchase of the Mercantile Trust Company stock by the Land Trust Company was characterized as "most feverish high finance." The state bank examiner said that the stock of the Mercantile company had been paid for by certificates of deposit. These certificates could not have been met when they became due. This method of buying control of a trust company is regarded as precarious, and to it is traced in a manner the necessity of closing the doors of both institutions.
DEPOSITORS WILL NOT LOSE Two Pittsburg Financial Institutions Retire From Business. Pittsburg, Sept. 28.-The Land Trust company and the Mercantile Trust company, both state Institutions, did not open for business. James L. White, state bank examiner, is temporary receiver for both banks. The trust companies consolidated recently. It is said they were unable to carry out the merger and made arrangements to assign voluntarily to the state banking commission. According to the officials the depositors will be paid in full. The capital stock of the Land Trust company is $500,000, with a surplus of $100,000. The deposits approximate $800,000. The capital stock of the Mercantile Trust company is $710,000. The deposits approximate $300,000.
7.September 28, 1909The Salt Lake Herald-RepublicanSalt Lake City, UT
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RECEIVERS APPOINTED. Two Trust Companies at Pittsburg Go to the Wall. Pittsburg, Sept. 27.-The Land Trust company and the Mercantile Trust company, both state institutions, did not open for business today. James L. White, state bank examiner, is temporarily receiver for both banks. The trust companies consolidated recently. It is said they were unable to carry out the merger and made arrangements Saturday to assign voluntarily. According to the officials, the depositors will be paid in full. The capital stock of the two companies is $1,210,000.
BANKS SUSPEND WHEN MERGER PLANNED FAILS TWO STATE INSTITUTIONS AT PITTSBURG WITH AGGREGATE DEPOSITS OF $1,100,000 GO TO THE WALL-DEPOSITORS WILL BE PAID. By Associated Press. Pittsburg. Sept. 27.-The Land Trust Company, and the Mercantile Trust Company. both state institutions, did not open for business today. Failure to carry out a merger caused these companies to assign voluntarily to the state. The capital stock of the Land Trust Company is $500,000, with a surplus of $100,000. The deposits approximate $800,000. The capital stock of the Mercantile Trust Company is $710,000. The deposits approximate $300,000. According to the bank's officials, depositors will be paid in full.
9.September 28, 1909The Fargo Forum and Daily RepublicanFargo, ND
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MERGER-OF BANKS ENDS IN FAILURE PITTSBURG TRUST COMPANIES GO INTO HANDS OF STATE EXAMINER. Pittsburg, Pa., Sept. 28.-The Land Trust Co. and the Mercantile Trust Co., both state institutions, did not open for business today. James' L. White, state bank examiner, is temporarily receiver for both banks. The trust companies consolidated recently. It is said they were unable to carry out their merger, and made arrangements Saturday to assign voluntarily to the state banking commission. According to the officials, the depositors will be paid in full. The capital stock of the Land Trust Co. is $500,000 with a surplus of $100,000. The deposits approximate $800,000. The capital stock of the Mercantile Trust Co. is $710,000. The deposits approximate $300,000.
10.September 29, 1909The Forest RepublicanTionesta, PA
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BANKS FAIL TO OPEN DOORS Bank Examiner Has Charge but Officers Say Depositors Will Get Their Money. Pittsburg, Sept. 28.-The Land Trust company and the Mercantile Trust company, both state institutions, did not open for business yesterday. James L. White, state bank examiner, S temporary receiver for both banks. It is expected the court will appoint a permanent receiver some time today. The trust companies consolidated recently. It is said they were unable to carry out the merger and made arrangements Saturday to assign voluncarily to the state banking commission. According to the officials the depostors will be paid in full. The aggregate deposits of the institutions approximate $1,100,000.
PITTSBURG BANKS SUSPEND PAYMENT Two State Institutions, Recently Consolidated, Fail to Open for Business. Pittsburg, Pa., Sept. 29.-The Land Trust company and the Mercantile Trust company, both state institutions, did not open their doors for business today. James L. White, state bank examiner, is temporarily receiver for both banks. The trust companies consolidated recently. It is said they were unable to carry out the merger and made arrangements Saturday to assign voluntarily. According to the officials the depositors will be paid in full. The capital stock of the two companies is $2,210,000.
PITTSBURG BANKS SUSPEND PAYMENT Two State Institutions, Recently Consolidated, Fail to Open for Business. Pittsburg, Pa., Sept. 29.-The Land Trust company and the Mercantile Trust company, both state institutions, did not open their doors for business today. James L. White, state bank examiner, is temporarily receiver for both banks. The trust companies consolidated recently. It is said they were unable to carry out the merger and made arrangements Saturday to assign voluntarily. According to the officials the depositors will be paid in full. The capital stock of the two companies is $2,210,000,
13.September 30, 1909The Free LanceFredericksburg, VA
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TRUST COMPANIES FAIL Two In Pittsburg Make Assignments to Banking Commissioner. Pittsburg, Sept. 27.-The Land Trust company and the Mercantile Trust company. both of this city, did not open their doors this morning. They made assignments to State Banking Commissioner W. H. Smith. Deputy State Bank Examiner James L. White is in charge of both institutions as temporary receiver. Lack of money is given as a reason for the assignments, a crisis being reached on Saturday when a run was made on the Mercantile Trust company.
14.September 30, 1909The Bon Homme County IndependentTabor, SD
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PITTSBURG BANKS SUSPEND PAYMENT Two State Institutions, Recently Consolidated, Fail to Open for Business. Pittsburg, Pa., Sept. 29.-The Land Trust company and the Mercantile Trust company, both state institutions, did not open their doors for business today. James L. White, state bank examiner, is temporarily receiver for both banks. The trust companies consolidated recently. It is said they were unable to carry out the merger and made arrangements Saturday to assign voluntarily. According to the officials the depositors will be paid in full. The capital stock of the two companies is $2,210,000.
Trust Companies Assign. Pittsburg, Pa.-The Land Trust Co. and the Mercantile Trust Co., both of this city, did not open their doors September 26. Lack of money is given as a reason for the assignments, a crisis being reached when a run was made on the Mercantile Trust Co
TRUST COMPANIES FAIL Two In Pittsburg Make Assignments to Banking Commissioner. Pittsburg, Sept. 27.-The Land Trust company and the Mercantile Trust company, both of this city, did not open their doors this morning. They made assignments to State Banking Commissioner W. H. Smith. Deputy State Bank Examiner James L. White is in charge of both institutions as temporary receiver. Lack of money is given as a reason for the assignments, a crisis being reached on Saturday when a run was made on the Mercantile Trust company.
17.October 5, 1909Wausau PilotWausau, WI
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TWO PITTSBURG BANKS CLOSED. Land and Mercantile Trust Companies in State Examiner's Hands. The Land Trust Company and the Mercantile Trust Company, both, State institutions in Pittsburg, did not open for business Monday. James L. White, State examiner, is temporary receiver for both banks. These companies were consolidated recently, but, it is said, they were unable to carry out the merger and made arrangements Saturday to assign voluntarily to the State banking commission. Officials say the depositors will be paid in full.
18.October 6, 1909The Lamar RegisterLamar, CO
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GENERAL NEWS. Four persons were killed and three others injured in a collision between a freight train and a hand car one mile west of Edgar, Wis. Pole dwellings 4,000 years old, similar to those discovered in the north of Switzerland, have been unearthed in a swamp on the plateau east of Lake Vatter, 120 miles northwest of Stockholm. The excavations disclosed petrified apples, wheat kernels, nuts, pottery, flint and horn implements, amber ornaments and wild boar teeth, all in a good state of preservation in the calcareous mud. The Land Trust Company and the Mercantile Trust Company, both state institutions at Pittsburg, did not open for business Monday. James L. White, state bank examiner, is temporarily receiver for both banks. The trust companies consolidated recently. It is said they were unable to carry cut the merger, and made arrangements Saturday to assign voluntarily. According to the officials, the depositors will be paid in full. The capital stock of the two companies is $1,210,000. The late Gov. Johnson's will has been filed in the Ramsey county probate court. The value of the estate is valued in a petition for probate in excess of $37,430. Wireless telephone communications for Colorado and Wyoming is the object of the visit to Cheyenne of Sam Covington of Seattle, representative of a wireless company now operating in the Northwest city. Covington declares that his company proposes to establish wireless stations at Cheyenne and Sheridan, Wyo., and Denver and Pueblo, Colo. A voluntary increase in wages has been announced for the 2,200 motormen and conductors employed by the Detroit United Railway and on interurban lines who have been in the service of the company for two years or more. Five days ahead of schedule time, Walter Chaffee and Charles Hahn, each twenty-one years old, arrived in Seattle, 131 days out from Philadelphia, whence they started out on a foot journey across the country the afternoon of May 19
