16826. Sing Sing prison savings bank (Ossining, NY)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
private
Start Date
October 15, 1915
Location
Ossining, New York (41.163, -73.862)

Metadata

Model
gpt-5-mini
Short Digest
f9597d7d

Response Measures

Full suspension

Other: Prison internal 'token money' savings scheme; depositors' committee formed and officers to be tried for malfeasance.

Description

Multiple contemporary wires (Oct 15, 1915) report a run on the short-lived Sing Sing prison savings bank that 'revealed' funds dissipated by unsecured loans and gambling; the bank suspended payment after five days and was ordered dissolved with a depositors' committee appointed and officers to be tried. No reopening is reported; treated as permanent closure.

Events (2)

1. October 15, 1915 Run
Cause
Bank Specific Adverse Info
Cause Details
Run was prompted by discovery that funds were dissipated by excess unsecured loans and unsuccessful gambling by borrowers.
Measures
Warden ordered the bank dissolved; a depositors' committee was appointed to salvage assets; officers to be tried.
Newspaper Excerpt
There was a run on the prison bank which revealed the fact that its funds had been dissipated by bad loans.
Source
newspapers
2. October 15, 1915 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Suspension followed discovery of insolvency caused by unsecured loans and dissipated funds due to gambling and bad loans.
Newspaper Excerpt
The Sing Sing prison savings bank has suspended payment after an existence of five days.
Source
newspapers

Newspaper Articles (6)

Article from The Topeka State Journal, October 15, 1915

Click image to open full size in new tab

Article Text

SING SING BANK FAILS Run Discloses Insolvency of New Convict Enterprise, Ossining, Oct. 15.-The Sing Sing prison savings bank has suspended payment after an existence of five days and today the prisoners are mourning the loss of the token money they had deposited. An excess of loans without security, followed by unsuccessful gambling by the borrowers wrecked the bank. The plan of using "token money" in the prison was put into effect last Friday and each prisoner was paid $2 for two days' work on Saturday. Financiers among the convicts promptly started a savings bank and many prisoners deposited their savings. Warden Osborne notified the prisoners Tuesday morning that they must pay forty cents a day in the "tokens" for their board. There was a run on the prison bank which revealed the fact that its funds had been dissipated by bad loans. The warden ordered the bank dissolved. A depositors' committee has been appointed to save all possible from the assets and the Mutual Welfare league is expected to put the bank's officers on trial for malfeasance.


Article from The Daily Telegram, October 15, 1915

Click image to open full size in new tab

Article Text

PRISON BANK Goes to the Wall after an Existence of Five Days and Officers Will Be Tried. (RY ASSOCIATED PRESS) OSSINING, N. Y., Oct. 15.-The Sing prison savings bank has suspended payment after an existence of five days. An excess of loans without security followed by unsuccessful gambling by the borrowers wrecked the bank. A depositors' committee has been formed to save all possible from the assets and the Mutual Welfare League is expected to but the bank's officers on trial for malfeasance,


Article from The Oklahoma City Times, October 15, 1915

Click image to open full size in new tab

Article Text

SING SING BANK BROKE IN HURRY Savings Bank Scheme Among Prisoners Hits Rocks After Five Days' Trial SSINING, N. Y., Oct. 15.-The o Sing Sing prison savings bank has suspended payment after an existence of five days and today the prisoners are mourning the loss of the "token money" they had deposited. An excess of loans without security followed by unsuccessful gambling by the borrowers wrecked the bank. The plan of using "token money" In the prison was put into effect last Frl. day and each prisoner was paid $2 for two days' work on Saturday Flnanelers among the convicts promptly started a savings bank and many prisoners deposited their savings. Warden Osborne notified the prisoners Tuesday morning that they must pay forty cents a day in the "tokens" for their board. There was I run on the prison bank, which rerealed the fact that its funds had been dissipated by bad loans. The warden ordered the bank dissolved. A depositors' committee has been appointed to save all possible from the assets and the Mutual Welfare engue is expected to put the bank's officers on trial for malfeasance,


Article from The Evening Herald, October 15, 1915

Click image to open full size in new tab

Article Text

SING. SING BANK BLOWS UP IN FIVE DAYS [By Evening Herald Leased Wire] Ossining, N. Y., Oct. 15.-The Sing Sing prison savings bank has suspended payment after an existence of five days and today the prisoners are mourning the loss of money they had deposited. An excess of loans without security. followed by unsuccessful gambling by the borrowers wrecked the bank. The plan of using "token money" in the prison was put into effect last Friday and each prisoner Was paid $2 for two days' work on Saturday. Financiers among the convicts promptly started a savings bank and many depositors deposited their savings. Warden Osborne notified the prisoners Tuesday morning that they must pay forty cents a day in the "tokens" for their board. There was a run on the prison bank which revealed the fact that its funds has been dissipated by bad joans. The warden ordered the bank dissolved. A depositors' committee has been appointed to save all possible from the assets and the mutual welfare lengue is expected to put the bank's officers on trial for malfeasance.


Article from Omaha Daily Bee, October 16, 1915

Click image to open full size in new tab

Article Text

Unsecured Loans Wreck the Sing Sing Prison Savings Bank OSSINING, N. Y., Oct. 15.-The Sing Sing prison savings bank has suspended payment after an existence of five days, and today the prisoners are mourning the loss of the "token money" they had deposited. An excess of loans without security, followed by unsuccessful gambling by the borrowers, wrecked the bank. The plan of using "token" money in the prison was put into effect last Friday and each prisoner was paid $2 for two days' work, Saturday. Financiers among the convicts promptly started a savings bank and many prisoners deposited their savings. Warden Osborne notified the prisoners Tuesday morning that they must pay 40 cents a day in the "tokens" for their board. There was a run on the prison bank, which revealed the fact that its funds had been dissipated by bad loans. The warden ordered the bank dissolved. A depositors' committee has been appointed to save all possible from the assets and the Mutual Welfare league is expected to put the bank's officers on trial for malfeasance.


Article from River Falls Journal, October 21, 1915

Click image to open full size in new tab

Article Text

Prison Savings Bank Suspends. Ossing, N. Y., Oct. 19.-The Sing Sing prison savings bank has suspended payment after an existence of five days and the prisoners are mourning the loss of the "token money" they had deposited. An excess of loans without security followed by unsuccessful gambling by the borrowers wrecked the bank. The plan of using "token money" in the prison Was put into effect last Friday. Financiers among the convicts promptly started a savings bank and many prisoners deposited their savings.