17333. Commercial Bank of Lake Erie (Cleveland, OH)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
January 1, 1842*
Location
Cleveland, Ohio (41.499, -81.695)

Metadata

Model
gpt-5-mini
Short Digest
c223cba1

Response Measures

None

Description

Contemporary reports state the Commercial Bank of Lake Erie closed its doors for the last time and was placed in the hands of receivers/commissioners who are winding up affairs and being prosecuted for malpractices. No explicit contemporaneous description of a depositor run is given in these articles; events describe closure/suspension and receivership (permanent). OCR errors in articles corrected where obvious (e.g., punctuation and names).

Events (2)

1. January 1, 1842* Receivership
Newspaper Excerpt
It will be remembered that Cleveland Bank, and the Commercial Bank of Lake Erie, were put in the hands of receivers. The persons appointed as Commissioners, to wind up the concerns of the Commercial Bank of Lake Erie, at Cleveland, have lately been prosecuted for malpractices, upon the information of one Joseph Mayward, Hayward swore out four warrants, upon which the commissioners were arrested ... the stockholders had appointed P M Weddell, a commissioner to act in their behalf ... he testified that he was entirely satisfied with the conduct of the commissioners, and that he had heard no complaint from stockholder, creditor or any one else, except the prosecuting witness-Hayward . (Wheeling Times and Carroll Free Press reports.)
Source
newspapers
2. February 11, 1842 Suspension
Cause Details
Reported closure amid a general 'panic' in the city/state; specific proximate cause not described in these excerpts (article mentions panic but does not describe a depositor run or insolvency details).
Newspaper Excerpt
the Commercial Bank of Lake Erie closed its doors for the last time to day.
Source
newspapers

Newspaper Articles (3)

Article from Richmond Enquirer, March 1, 1842

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Article Text

Esq., U. S. Attorney. To Another Bank Closed.-The Utica Gazette says: "A letter from a gentleman in Cleveland, to his correspondent in this city, dated the 11th instant says, 'the panic noticed in my last has not decreased. The Com. mercial Bank of Lake Erie closed its doors for the last time to day.' This was one of the oldest, and supposed to be one of the strongest banks in Ohio. Apprehensions are entertained that other banks which have hitherto been in good credit, will soon stop." The Philadelphia Ledger says that notice has been received in that city that the Merchants' Bank and the Commercial Bank of New York have thrown out and refused to collect notes of mercantile houses made payable in Philadelphia.


Article from Carroll Free Press, December 16, 1842

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Article Text

BANKS AT CLEVELAND It will be remembered that Cleveland Bank, and the Commercial Bank of Lake Erie, were put in the hands of receivers. The office was a fat one, and there was among the faithful to It fell to the of a scramble Locos. lot of certain lead ers the and they went to the work of winding up these "swindling Banks," good honest men! under a sala. of $1,500. This was remonstrated at the of hard were ap against the money time. class But six receivers for pointed, receiving this amount on pay ser vices to be rendered. It would seem, however. that the 'apoilsmen" were not at peace among Complaints were made certain were against themselves. moved. receivers: revelations they Yet no were made arrived law, had to at the term at the they But Court-and the time report their late when, proceedings by held order was on were to Cleveland, this effect. Reports served made them and on the 22d the came up for or the from Judges instant, each Bank. acceptance, question Tuesday, rejection. before and "a to jection Judges Hayward filing protest" Coe for that their effect re-Bissell and Warren (or their acceptance. And now a fine scene was enacted in how men court-quite "spoils" dramatic withal feel, -illustrat- and of what will do H. one the Bank ing Commercial they receivers B Payne, stepped first boards. He denounced the proits authors. was on tests the and All charges The former false. its as to speculation and were thors of 11-a -liars. dishonesty Judge polite-man Hay base, ward this and Mr. responded the Payne au The must go on as to briefly. record-the public Protest could judge the its Meck as was reply, it soothe or correctness. did not satisfy Rice. the this offended of parties, and up rose II. one the receivers of the Cleveland Bank. who made a furious attack on Judges Hay matter, he said a was ward was, and Coe. Locofoco He The quarrel. whole It dog eat deg. meant to expose and disclose, and he did SO in manner and terms as follows: to the $1500 Mr. Rice "In relation charged salary that Judge H of the first to in other to agree to that each, ward duced was the judges suggest it, and sum-that after the Receivers had entered their about the of or was upon made duties and high much approached salaries clam the Receivers, they were and confidentially advised that in case theywould divide their salaries with cer the be the tain continued persons, by $1500 Court!-that salaries would said Receivers were advised and instructed to dismiss the Clerk of the Cleveland because he was a Whig! and an selected for this was to 10 secure other them. Bank, one and from be done the party' of certain secret caususes were the removal two bench--that the favor held, members of and of plot. the Re one and engag. ceivers substitute tings resolved appointed, upon. and his certainly bail ed, even before any proceedings were had to remove-that probably the objections of a member of the Court to certain compromises of the Bank. arose from the fact that he could not comprohe he would up. remisel his debt pay as it pleased; would holders. be and some that Judge the 'poor bill here saide, he owed lief made Hayward to to him, if the reference Bank noth. was ing. Mr. Rice rejoined, that his name wasir the Bank, and he had never heard that it was claimed forgery Such is a specimen of the language to. and the grave charges made of our Court this, while upon against, used Pleas, and judges sitting of Common the bench and in open court. His Honor, Judge Hayward, in anto Mr. Rice, said, among other that there was an rera between them which he the things. swer regretted issue he would of set of 80 much passion ba exhibition tle city elsewhere-that and that and that he felt chagrined should exist between such feeling. a controversy political brethren of the same faithshould do his duty to Bank pro that this insolvent he tearlessly, in relation and in lect the bill-holders as far as his power. That in relation to the $1500 salaries, first came to him, that the fixed ed him. Mr. Rice stockholders should And had not inform that sum-that he acoffice unless it was cept the upon allowed- the the Bank was able to pay bill the stockholders con this was and holders. trol as on point-and that should it all then insisted upon that sum, the yielding, high, save other that thought he judges although Judge Warren, they he en fix the salary, quarter deavor who wholly 10 objected-that each should bereafter, according 10 the services.


Article from Wheeling Times and Advertiser, January 27, 1843

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Article Text

COMMERCIAL BANK OF LAKE ERIE.The persons appointed as Commissioners, to wind up the concerns of the Commercial Bank of Lake Erie, at Cleveland, have lately been prosecuted for malpractices, upon the information of one Joseph Mayward, Hayward swore out four warrants, upon which the commissioners were arrested and brought before Medulistice Benedict. The charges of Hayward were based upon a sale of certain stocks to Mears Hilliard & Hayes--a compromise of the indebtedness of Measts Grifith, Standart & Co. and the sale of a house and lot to N Munroe. It turned out on the examination, that the house and Jot were sold by the Bank before it went into the hands of the Receivers-that, by the compromise with Griffith, Standart & Co. about ten thousand dollars had been saved by the commissioners, and that the Hilliard & Hayes transaction was justifiable and satisfactory. The stockholders had appointed P M Weddell, a commissioner to act in their behalf He is one of the most sound financial men in Northern Ohip, and testified that he was entirely satisfied with the conduct of the commissioners, and that he had heard no complaint from stockholder, creditor or any one else, except the prosecuting witness-Hayward Cin Rep.