1712. New Milford Savings Bank (New Milford, CT)

Bank Information

Episode Type
Run Only
Bank Type
savings bank
Start Date
November 27, 1903
Location
New Milford, Connecticut (41.577, -73.408)

Metadata

Model
gpt-5-mini
Short Digest
4c567bc5

Response Measures

Accommodated withdrawals

Description

Multiple November 1903 newspaper accounts describe a short-lived run on the New Milford Savings Bank triggered by a careless remark that was misconstrued and spread as a warning. The bank met all demands, officials and local businessmen reassured depositors, and the scare subsided within days. No suspension, receivership, or permanent closure is reported.

Events (1)
1. November 27, 1903 Run
Cause
Rumor Or Misinformation
Cause Details
Started by a careless remark of a merchant advising an employee to withdraw money to make a purchase; the employee misconstrued the remark as a warning that the bank was unsafe and circulated it, producing a wave of withdrawals.
Random Run
Yes
Random Run Snippet
Employer told employee to withdraw; remark misconstrued and widely spread
Measures
Claims were promptly paid over the counter; officials and prominent citizens issued public assurances; two wealthy men offered to cash books at face value; bank kept large cash reserve ($600,000 reported) ready to meet demands.
Newspaper Excerpt
A run in progress on the New Milford (Conn.) Savings Bank, considered one of the most solid financial institutions in that state.
Source
newspapers

Newspaper Articles (10)
1. November 27, 1903 Alexandria Gazette Alexandria, VA
Article from Alexandria Gazette, November 27, 1903

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Article Text

Woodward & Lothrop, 10th, 11th and F Sts., N. W. WASHINGTON, D.C. University, and a frantic madman, amid screaming and fainting women, nearly broke up the union Thanksgiving services in the Immanuel Methodist Church of Evanston, Ill., yesterday. At last the man was thrust outside the church. While four boys ranging in age from 9 to 17 years, were hunting rabbits near Leavenworth, Ks., yesterday, John Butler was shot in the chest and killed by Emmett Lipp, and Lipp, after seeing what he had done, threw the gun to the ground in such a forcible manner that the second shell in the gun was discharged, the shót seriously wounding Everett Lipp, brother of the careless youth. There is a run in progress on the New Milford (Conn.) Savings Bank, considered one of the most solid financial institutions in that state.

2. November 28, 1903 The Washington Times Washington, DC
Article from The Washington Times, November 28, 1903

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Article Text

DEPOSITORS, IN PANIC, START A BANK RUN NEW MILFORD, Conn., Nov 28.-Depositors of the New Milford Savings Bank are almost in a panic because of a run which started early in the week and reached alarming proportions yesterday. Depositors from the surrounding towns, hearing of the reported trouble, came in to withdraw their money. All the claims presented were promptly paid. Assurances given by leading citizens and by bank officials that the institution is perfectly sound will have the effect, it is hoped, of allaying fears. Two wealthy men-J. B. Merwin and Turhey Soule-have offered to buy all bank books presented at face value.

3. November 28, 1903 The Daily Morning Journal and Courier New Haven, CT
Article from The Daily Morning Journal and Courier, November 28, 1903

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Article Text

RUN ON NEW MILFORD BANK CAUSED BY CARELESS REMARK OF A MERCHANT. Advised One of His Employes to Withdraw Deposit to Make a PurchaseStatement Construed Into a Warning and Quickly Spread-All Demands Met-Institution Sound. New Milford, Conn., Nov. 27.-A run, which started early in the week on the New Milford Savings bank reached considerable proportions to-day when people from several of the nearby towns came in to withdraw their money. Claims were paid over the counter of the bank as fast as the books were presented and certified. Citizens of prominence in New Milford and the bank officers gave depositors assurances that the institution is perfectly sound and during the last business hour some of the money which had been withdrawn had been re-deposited. It is not believed that the run will continue. Two men of the town, J. B. Merwin and Turney Soule, have offered to cash all bank books presented to them at face value. President Isaac B. Bristol and TreasRandall are in latter ill town, urer H. the LeRoy being and the not former being on a trip to the west to attend to some personal business. Tonight Assistant Treasurer E. J. Emmons made the following statement to the Associated Press: "The run on the bank was of little and will have no effect the finances of whatever consequence upon the to bank. meet The cash on hand was sufficient all who It was draw the demands their deposits. of wished not to assist- with- and will not be necessary to call for ance. The rumor that the bank was in poor condition was entirely false, and already many of those, who earlier in the day drew their money, have replaced it. We anticipate no further trouble." The trouble to the bank is said to have been caused by reports that western investments by the bank were not turning out as good as was expected. To this, Assistant Treasurer Emmons that the laws of this state do not permit of a savings bank making western loans, so that there ground for any report of this the town on nature. was no In itself the remark run the bank is attributed to a made by an employer to an employe during the early part of the week. This employe wished to buy a gasoline engine and did not have quite enough money in hand to complete the purchase. His employer told him to draw his out of the bank. The emthis for a ploye money mistook and warning he imme- that his money was not safe diately circulated a report among his friends. To-day when the bank opened quite a number of these friends were on hand to get their money. The report had spread widely, however, and until late in the day there was a stream of callers at the bank. The return of the bank according to the state manual showed that the amount of deposits on January 1, last, was $1,546,026.65 and that the surplus was $105,000. The statement of the bank issued showed total resources liabilities April 1, 1903, of $1,737,346.35. The resources and include loans on Connecticut real estate of $794,788; town and city bonds, $356,100; railroad bonds, $217,000; town, city and school district notes, $63,000; loans on stocks and bonds, $30,538; loans on personal securities, $50,231.67; bank stocks of Connecticut, $7,287.17; premium account, $45,899.95; real estate by foreclosure, $31,898.40; cash in hand, $34,608.77. The liabilities are: Due depositors, $1,603,015.12; surplus, $105,000; balance interest account, $19,602.90; sundry account, $9,923.18.

4. November 28, 1903 Waterbury Evening Democrat Waterbury, CT
Article from Waterbury Evening Democrat, November 28, 1903

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Article Text

NEW MILFORD BANK. Threatened Run on Institution Día not Materialize. New Milford, Nov. 28.-Fears as to the condition of the New Milford Savings bank which led to a small run on the institution yesterday, had practically subsided to-day, as a result of strong statements of confidence in the soundness of the bank issued by responsible citizens. About twenty depositor's from New Haven and Bridgeport came to town by the early trains to-day and withdrew their money from the savings bank, but among local depositors the scare was evidently over, and none of them took out their savings. On the other hand several deposits, one of $800, were made. One factor in allaying the fears of depositors was the statement of Hon Nicholas Staub, a prominent citizen, who went to Danbury yesterday and personally looked over the savings banks securities.

5. November 28, 1903 The Providence News Providence, RI
Article from The Providence News, November 28, 1903

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Article Text

RUN QUICKLY ENDS New Bedford Savings Bank Promptly Pays All Who Demand Deposits. New Milford, Conn., Nov. 28.-Fears as to the condition of the New Milford Savings bank, which led to a small run on the Institution yesterday, had practically subsided today, as a result of strong statements of confidence issued by responsible citizens. About 20 depositors from New Haven and Bridgeport came to town today and withdrew their money, but among local depositors the scare was evidently all over, and none of them took out their savings. On the other hand, several large deposits were made. To meet a possible renewal of the run today the bank officials had $600,000 in readiness to pay depositors, but only a small fraction of the amount was needed.

6. November 29, 1903 The Washington Times Washington, DC
Article from The Washington Times, November 29, 1903

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Article Text

FARMERS' RUN ON BANK. DERBY, Conn., Nov. 28.-A run on the New Milford Savings Bank was started by an apparently groundless rumor that Western investments made by the bank are not sound. It was continued today, despite the offer of the business men of the community to take up all the books at 100 cents on the dollar,

7. November 29, 1903 New-York Tribune New York, NY
Article from New-York Tribune, November 29, 1903

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Article Text

RUN ON BANK IN NEW-MILFORD OVER. New-Milford, Conn., Nov. 28.-Fears as to the condition of the New-Milford Savings Bank, which led to a small run on the institution yesterday, had practically subsided to-day, as a result of strong statements of confidence issued by responsible citizens. The bank officials had $600,000 in readiness to pay depositors, but only a small fraction of the amount was needed

8. December 4, 1903 The Newtown Bee Newtown, CT
Article from The Newtown Bee, December 4, 1903

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Ton Pages. New Milford. NEW MILFORD SAVINGS BANK O. K. A citizen prominent in financial circles in speaking of the New Milford Savings bank to a reporter said: The New Milford Savings bank is in a thoroughly sound condition and is one of the sound banks of the state. The institution is stronger than at any time in its history. The institution, is all right and that is all there is about 1. The bank has: a large amount of quick assets, which could be converted into cash. As the institution has no Western loans, the statement that the bank had lost sums of money in that class of investments, falls of its own weight. In their annual report they will show a surplus of $105,000, which is an actual surplus above all liabilities. The talk about this institution being unsound is too foolish to be considered. Said one of New Milford's most conservative business men to the editor of THE BEE: The run on the New Milford Savings bank was entirely uncalled for and without reason. It started from idle rumors, and contidence was soon restored. The total amount withdrawn was very small indeed. There is no stronger or better bank in Connecticut or New England. The bank had quick assets amounting to more than $600,000 and abundant cash on hand for all demands. The New Milford Savings bank has no bad assets. It was reported that the bank had Western loans, but it never held a Western loan and it would be contrary to state law to have any. In tine it may be said it is one of the richest, strongest banks in the state. BOYS TO HAVE A MOCK TRIAL. A mock trial will be given by the Boys' Military club of St John's on Tuesday, December 8, at 8 p. m., in the Parish house. It will be a darkey breach of promise case, with the following cast of characters: Judge, Walter Erwin. Clerk, Ray Osborne. Josephus Jellybrain, Joe Moore. Seraphina Sugarplum, Charles Donnelly. Snowball, Frank Canfield. Brass, Gifford Noble. Peter Periwinkle, Granville Breinig. Crier, Woolsey Pepper. Policeman, Lee Randall. Jury, 12 boys. CLIPPER MINSTRELS AT FIREMEN'S FAIR. To-night (Friday) the Clipper Minstrels will be at the Town hall. The following will take part: Messrs George Bassett. L. S. Richmond, A. A. Taylor, J. Waite, R. L. Findley, Myron Whitlock, Wesley Anthony, F Starr. H. C. Harris, F. Woodford, C. Worley, J. Riley, Elward Dolan. Miss Brown will be the accompanist, George Bassett musical director, C. Worley stage director.

9. December 11, 1903 The Newtown Bee Newtown, CT
Article from The Newtown Bee, December 11, 1903

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Article Text

EDITORIAL INK DROPS. The folly of heeding the advice of idle street gossip, "They say," was illustrated in the case of the incipient run on the sound New Milford Savings bank, last week, when many excitable and uninformed people, disturbed by idle street talk, began a small run o this old bank, which ended in two days' time. People are far too ready in country communities to peddle harmful gossip relating to their neighbors, individuals and local institutions. In many cases harmless circumstances are magnified by the gossips into stories that are wrong, malicious and libelous in their result. If you are not sure of your facts it is safe to give "They say" the cold shoulder. For just taking you into my confidence, I will say: "Mother Jasper told me, that she heard Greatwood's wife say, that John Hardstone's aunt mentioned to her, that Mrs Trusty was present, when the Widow Parkman said, that Capt Hartwell's cousin thought Ensign Doolittle's sister believed, that old Mr Oxley reckoned, that Sam Trifle's better half told Mrs Spaulding, that she heard John Brimmer's woman say, that her mother told her, that she heard her grandmothersay,that Mrs Gardner had two husbands." Even if you know your neighbor is wrong it is wiser to leave him for trial to earthly tribunals and to that Final Court of Assizes, where no mistakes are made. * * * * The excellent Waterbury American reprints from THE BEE of recent date an article on the early history of St John's (Episcopal) church of Washington, giving full credit to this paper. It was from the pen of one of THE BEE'S esteemed correspondents. * * * * By the courtesy of our friend, William H. Prindle, THE BEE is able to give some interesting short articles on local subjects written by men now in mature life, and printed in The Academician in 1853 and 1854. We venture to say some of these men will smile as they peruse again their early effusions.

10. April 10, 1904 The Washington Times Washington, DC
Article from The Washington Times, April 10, 1904

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Article Text

POLICE CAPTURE YOUNG ROBBERS Gang of Five Rounded Up in Connecticut. AN OLD MAN THEIR VICTIM Break Into Lonely House of Aged Miser and Steal His $12,000 Hoard. LANESVILLE, Conn., April 9.-The five boys who robbed Henry Davis, the old miser living in the woods near here, yesterday afternoon of $12,000 were caught this morning. Four were taken near their homes in this place by Detectives Kenaugh and Keegan, of Waterbury. The fifth, John Turner, who is about sixteen years old, was captured in New Milford, where he lives. The four others, who are between sixteen and twenty years old, are Samuel McCormick, Henry Plant, Fred Blodgett and Edward Ware. They all live within a few miles of Davis' lonely home. When they were taken $8,000 of their booty was found on them. Disclosed Hiding Place. The fifth boy, Turner, who confessed immediately after his capture, took the detectives to a stone wall near Brookfield Junction, where he had hidden $1,200, his share of the plunder. Turner said that all the stolen money can be recovered. The boys' victim, Henry Davis, who is sixty-five years old, lives in the woods near here with some people of the name of Turner. A few months ago, when there was a run on the New Milford Savings Bank, Davis drew out $12,000 which he had on deposit, and put it in his trunk, against the advice of his 1 friends. A few days ago a young fellow, thought to be Blodgett, saw him counting this money. There had been some suspicion directed toward the lad on account of petty thefts in the neighborhood, and Davis was warned again to put his money in some bank for safe keeping. It was said that he had concluded to do so today.