17294. Third National Bank (Cincinnati, OH)

View Charter #2730 on SPMC

Bank Information

Episode Type
Run Only
Bank Type
national
Bank ID
20
Charter Number
2730
Start Date
January 1, 1881*
Location
Cincinnati, Ohio (39.103, -84.515)

Metadata

Model
gpt-5-mini
Short Digest
25fd8b8f

Response Measures

Accommodated withdrawals, Capital injected

Other: Directors telegraphed and sent funds (capital injection) to cover shortage caused by speculative wheat deal.

Description

Multiple contemporary articles recount an 1881 liquidity scare at the Third National Bank during a large wheat speculation (Handy/Harper deal). Directors telegraphed funds and outside parties (Handy) raised collateral to 'save' the bank. No suspension or closure of the Third National is mentioned; event is described as a near-run/withdrawals and rescue.

Events (1)
1. January 1, 1881* Run
Cause
Bank Specific Adverse Info
Cause Details
Liquidity crisis caused by heavy exposure from a large wheat speculation (Handy/Harper deal) which left the bank nearly out of cash and prompted heavy withdrawals/fear.
Measures
Directors telegraphed $325,000 to the bank; Handy gathered negotiable paper/collateral and provided funds and certificates of deposit to strengthen the bank.
Newspaper Excerpt
one night found the bank with only $1,600 in cash on hand. Some of the directors went to Chicago that night, and by 11 a. m. next day had telegraphed $325,000 to the bank and saved it.
Source
newspapers

Newspaper Articles (7)
1. August 12, 1887 Sierra County Advocate Truth or Consequences, Hillsboro, Kingston, NM
Article from Sierra County Advocate, August 12, 1887

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Article Text

HARPER'S BOMB. -An Interesting Incident of the Handy Wheat Deal in Chicago. A prominent city official, says The Cincinnati Commercial-Gazette, who for many years was engaged in the pork-packing business s and met with reverses, and afterward removI ed to Chicago and went into a meat specula$ tion in hopes to retrieve his lost fortune, gave this little incident as a reminiscence of the : Handy wheat deal of 1881: "I had loaned Truman B. Handy $8,000, all my available funds, one day during his deal at Chicago, to help him along. The money was to be paid back on call. I, of course, watched the markets, and was kept advised of affairs in Cincinnati. "One noon I received a telegram saying the Third National bank was in trouble. I hunted about Chicago for Handy, and after a lengthy search ascertained he had gone to Cincinnati. I was in a cold sweat about my $8,000. It was all the means I possessed. I had been told by Handy who was in the deal, and when I received that telegram I knew that there would be h-1 to pay if the bank funds had been exhausted. I shall never forget how I spent that night. To sleep was out of the question. So bright and early I arose the next morning and wandered over to the hotel where Handy was wont to stop. Train time passed but no Handy, and my fears grew more appalling. I went over toward the brokers' offices, and when crossing a bystreet spled Handy ascending the steps of a broker's office. Quick as my legs would carry me I went toward him and called aloud his name. "He stopped until I caught up to him, when I said: Truman, I want my money-must have it." I can't stop now, 1 am very busy,' replied he. I grabbed his arm, in fact clinched it, and said: "Truman, I know all about the bank, and before everything goes with the wreck I want you to gimine my money. Do it at once, or I will expose the whole thing.' 'For God's sake be calin, man,' panted he. 'Follow me, but keep cool; I will pay you in a few minutes Here, while waiting, read these, and he handed me two telegrams, one bearing date of the day before. They were from his son. The first onesaid: 'Come home; there's trouble at the bank.' The other was from George Wilshire and, as near as I now remember, read: 'Come home at once; must consult.' "Handy in the meantime acted. He had gone to Cinciunati and found that not over $75,000 remained in the bank's vaults. Those of the bank's directors who were in the deal were almost wild. Harper was in Chicago. Handy, after hearing their story at the bank, turned to them and said: 'Don't make fools of yourselves. Give me the bank's collaterals and I'll show you how to run a bank.' He gathered up every bit of negotiable paper to out on to tide affairs over enough be had and went the street for several and raised days: besides, he had money enough and certificates of deposit to strengthen matters at Chicago. He was about to display his paper to the brokers when I ran up to mim. I waited for him over an hour. When he came out he handed me a check for $8,000, and said: 'George, with all your business experience I never expected to see you excited over such a small amount. To succeed you must have nerve. You have met with losses, to be sure, but never give up. The excitement of heavy loss spurs me on to larger deals.' 'Yes, Truman, that is all well enough,' I replied, 'but this $8,000 was all I had in the world.' I bastened over and cashed the check and got my money, but every moment I expected to hear of the failure of the Third National. "Truman Handy, though, was a man of wonderful nerve. Harper is one like unto him. It is a pity that he has to suffer when others equally as bad are given their free. dom.'

2. October 10, 1887 New-York Tribune New York, NY
Article from New-York Tribune, October 10, 1887

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Article Text

HOW RPER MANAGED THE FIDELITY BANK. CINCINNATI, Oct. 9 (Special).--Amm Baldwin, cashier of the defunct Fidelity Bank, has made a statement of affairs in that institution which gives an inside view. It begins with giving some news regarding the condition of the Third National Bank, in which Baldwin was cashier. In 1881 Handy, Harper and others were engaged in the big wheat deal at Chicago, and one night found the bank with only $1,600 in cash on hand. Some of the directors went to Chicago that night and by 11 a. m. next day had telegraphed $325,000 to the bank and saved it. The other directors never knew until now how near their bank was to wreck. Baldwin's brother, also in that bank, embezzled $18,000. Ammi covered the crime up for him, with the help of Harper and others, and thus got into Harper's power. When the latter founded the Fidelity Bank he took Baldwin along with him. The Fidelity was run on wind and by Harper alone, who knew all the details, attended to all business and kept all the secrets of the business save such as he shared with Miss Jessie Holmes, the exchange clerk. Harper was bound to keep the stock of the bank up and at a premium, and bought everybody's stock who wanted to sell. Baldwin was ill and absent for a few weeks and on his return found that Harper had assumed the duties of cashier and continued to perform them on the plea of relieving Baldwin of hard work. Harper'sinstitutions all seemed to have unlimited credit at the bank and Harper himself had balances of $10,000 or so on hand nearly all the time. The money seems now to have come mostly from hypothecating the bank's stock and from the discounting of accommodation paper. Yet, so adroitly was it all done that Baldwin did not suspect the true state of affairs until the crash came. He had often heard .. Ben" Hopkins, the assistant cashier, say that Harper must be worth at least $5,000,000.

3. October 11, 1887 The Memphis Appeal Memphis, TN
Article from The Memphis Appeal, October 11, 1887

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Article Text

BANK. THE Some Inside Views Thrown on Crooked Transactions. CINCINNATI, O., Oct. 10.-It is understood that Ammi Baldwin, late cashier of the defunct Fidelity bank, has made a statement of affairs in the institution which gives an inside view. It begins with giving some news regarding the condition of the Third national bank, in which Baldwin was cashier. In 1881, he says, Handy, Harper and others were engaged in the big wheat deal at Chicago, and one night found the bank with only $1,600 in cash on hand. Some of the directors went to Chicago that night, and by 11 o'clock n. in. the next day had telegraphed $325,000 to the bank and saved it. The other directors never knew until now how near their bank was wrecked. Baldwin's brother, also in that bank, embezzled $18,000. Ammi COVered it up for him, he says, with the help of Harper and others, and then got into Harper's hands. When the latter founded the Fidelity, he took Baldwin along with him. The Fidelity was run on wind and by the one-man power of Harper alone, who knew all the details and kept all the secrets of the business, save such as he shared with Miss Josie Holmes, the exchange clerk. Harper was bound to keep the stock of the bank yp, and at the premium bought everybodu's stock who wanted to sell. Baldwin was sick and absent for a few weeks, and on his return found Harper had assumed the duties of cashier, and continued to do 80 on the plea of relieving Baldwin of his work. Harper had balances of $100,000 or SO on hand nearly all the time. The money seems now to have come mostly from hypothecating the bank's stock and from the discounting of accommodation paper, yet so adroitly was it all done that Baldwin did not suspect the true state of affairs until the crash came. He had often heard Ben Hopkins, the assistant cashier, say that Harper must be worth at least $5,000,000.

4. October 11, 1887 The Wheeling Daily Intelligencer Wheeling, WV
Article from The Wheeling Daily Intelligencer, October 11, 1887

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Article Text

HARPER'S METHODS. An Interesting Statement from the Cashior of the Wrecked Institution. CINCINNATI, Oct. 10.-It is understood that Ammi Baldwin, late cashier of the defunct Fidelity Bank, has made a statement of affairs in the institution which gives an inside view. It begins with giving some nows regarding the condition of the Third National Bank, in which Baldwin was cashier. In 1881, he says, Handy, Harper and others were engaged in the big wheat deal at Chicago, and one night found the bank with only $1,000 on hand. Some of the directors went to Chicago that night, and by 11 o'clock the noxt morning had tele. graphed $325,000 to the bank and saved it. The other (directors never knew until now. how nearly their bank was wrecked. Baldwin's brother, also in that bank, embezzled $18,000. Ammi covered it up for him, he says, with the help of Harper and others, and then got into Harper's hands. When the latter founded the Fidelity he took Baldwin along with him. The Fidelity was run on wind and by the one-man power of Harper alone, who knew all the details, attended to all the businees, and kept all the secrets of the business, save such as he shared with Mies Josie Holmes, the exchange clerk. Harper was bound to ktep the stock of the bank up and at the premium, and bought everybody's stock who wanted to sell. Baldwin was sick and absent for a fow weeks, and on his return he found Harper had assumed the duties of cashier, and continued to do 80 on the plea of relieving Baldwin of hard work. Harper's institutions all seemed to have unlimited credit at the bank, and Harper himself had balances of $100,000 or SO on hand nearly all the time. The money seems now to have como mostly from hypothecating the bank's stock and from the discounting of accommodation paper, yet 80 adroitly was it all done that Baidwin did not suspect the true state of affairs until the crash came. He had often heard Ben Hopkins, the assistant cashier, say that Harper must be worth at least $5,000,000.

5. October 12, 1887 The Indiana State Sentinel Indianapolis, IN
Article from The Indiana State Sentinel, October 12, 1887

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Article Text

The Fidelity Bank Cash. CINCINNATI, October 10.-It is understood that Ammi Baldwin, late cashier of the defunct Fidelity Bank, has made a statement of affairs in the institution, which gives an inside view. It begins with giving some news regarding the condition of the Third National Bank, in which Baldwin was cashier. In 1881, he says, Handy, Harper, and others were engaged in the big wheat deal at Chicago, and one night found the bank with only $1,600 in cash on hand. Some of the directors went to Chicago that night, and by 11 a. m. the next day had telegraphed $375,000 to the bank and saved it. The other directors never knew until now how near their bank was wrecked, Baldwin's brother, also in that bank, embezzled $18,000. Ammi covered it up for him, he says, with the help of Harper and others, and then got into Harper's hands. When the latter founded the Fidelity, he took Baldwin along with him. The Fidelity was run on wind and by the one-man power of Harper alone, who knew all the details of the business and kept all the secrets of the business, save such as he shared with Miss Josie Holmes, the exchange clerk. Harper was bound to keep the stock of the bank up, and at the premium boughteverybodys stock who wanted to sell. Baldwin was sick and absent for a few weeks, and on his return found Harper had assumed the duties of cashier, and continued to do so on the plea of relieving Baldwin of his work. Harper had balances of $100,000 or so on hand nearly all the time. The money seems now to have come mostly from hypothecating the banks stock and from the discounting of accommodation paper, yet so adroitly was it all done that Baldwin did not suspect the true state of affairs until the crash came. He had often heard Ben Hopkins the assistant cashier, say that Harper must be worth at least $5,000,000.

6. October 14, 1887 The Kenosha Telegraph Kenosha, WI
Article from The Kenosha Telegraph, October 14, 1887

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Article Text

BALDWIN'S STORY. The Cashier of the Defunct Fidelity Bank Gives the Public His Secrets-He Relates How He Got Into Harper's Power and How the Concern Was Run on Wind. CINCINNATI, Oct. 11.-It is understood that Ammi Baldwin, late cashier of the defunct Fidelity Bank, has made a statement of affairs in the institution which gives an inside view. It begins with giving some news regarding the condition of the Third National Bank, in which Baldwin was cashier. In 1881, he says, Handy, Harper and others were engaged in the big wheat deal at Chicago, and one night found the bank with only $1600 in cash on hand. Some of the directors went to Chicago that night, and by 11 o'clock a. m. the next day had telegraphed $325,000 to the bank and saved it. The other directors never knew until now how nearly their bank was wrecked. Baldwin's brother, also in that bank, embezzled $18,000. Ammi covered it up for him, he says, with the help of Harper and others, and then got into Harper's hands. When the latter founded the Fidelity, he took Baldwin along with him. The Fidelity was run on wind and by the one-man power of Harper alone, who knew all the details, attended to all the business, and kept all the secrets of the business, save such as he charged with Miss Josie Holmes, the exchange clerk. Harper was bound to keep the stock of the bank up, and at the premium, and bought every body's stock who wanted to sell. Baldwin was sick, and absent for a few weeks, and on his return found Harper had assumed the duties of cashier, and continued to do so on the plea of relieving Baldwin of hard work. Harper's institutions all seemed to have unlimited credit at the bank, and Harper himself had balances of $100,000 or so on hand nearly all the time. The money seems now to have come mostly from hypothecating the bank's stock and from the discounting of accommodation paper, yetso adroitly was it all done that Baldwin did not suspect the true state of affairs until the crash came. He had often heard Ben Hopkins, the assistant cashier, say that Harper must be worth at least $5,000,000.

7. October 14, 1887 Fort Worth Weekly Gazette Fort Worth, TX
Article from Fort Worth Weekly Gazette, October 14, 1887

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Article Text

RUN ON WIND. How Harper Rustled $325,000 and Saved Another Bank from Fatlure and Then Adreitly Worked His Own CINCINNATI, OHTo, Oct. 10.-It is understood that Ammi Baldwin, late cashier of the defunct Fidelity Bank, has made & statement of affairs in the institution, which gives an inside view. It begins by giving some news about the condition of the Third National Bank, in which Baldwin was cashier in 1881. He says, "Handy Harper and others were engaged in & big wheat deal at Chicago, and one night found the bank with only $16,000 in cash on hand. Some of the directors went to Caicago that night, and bv 11 8 m. next day had telegraphed $325,000 and saved it. The other directors never knew until now how near their bank was wrecked." Baldwin's brother also in that bank embezzled $1850, but Ammi COV red it up for him, he says, with the help of Harper and others. and then got into Harper's hands. When the latter founded the Fidelity he took the Baldwins along with him. The Fidelity was run on wind and by the one man power of Harper alone, who knew all the details of the business and kept all the secrets of business except such &S he shared with Miss Josie Holmes, exchange clerk. Harper was bound to keep the stock of the bank up, and at & premium bought everybody's stock who wanted to sell. Baldwin was sick and absent for & few weeks and on his return found Harper had assumed the duties of cashier and continued to do 80 on the plea of relieving Baldwin of bis work. Harper had & balance of $100,000 or 80 on hand nearly all the time. The money seems now to have come mostly from hypothecating the bank's stock and the discounting of accommodation paper, yet 80 adroitly was it all done that Baldwin did not suspect the state of affairs until the crash came. He had often heard B n Hopkins, assistant cashier, say that Harper must be worth at least $500,000.