1757. Putnam Savings Bank (Putnam, CT)

Bank Information

Episode Type: Suspension → Closure
Bank Type: savings bank
Start Date: December 4, 1925
Location: Putnam, Connecticut (41.915, -71.909)

Metadata

Model: gpt-5-mini
Short Digest: 655a6be2

Response Measures

None

Description

Newspaper articles describe the Putnam bank in receivership with a large, long‑running shortage/embezzlement by G. Harold Gilpatric and a formal bankruptcy/receiver's statement. There is no description of depositor runs; the bank was in receivership and being wound up. I therefore classify as a suspension leading to permanent closure/receivership. Dates are taken from article publication dates showing receiver activity by Dec 1925 and detailed investigation in Jan–Mar 1926.

Events (4)

1. December 4, 1925 Receivership

Newspaper Excerpt: no further official reports from the Federal receiver... Receiver George M. Coffin of the First National Bank appeared before the committee and formally presented the bank's claims against the state. ... Receiver George M. Coffin today announces that shortage ... has been entirely accounted for.
Source: newspapers

2. December 4, 1925 Suspension

Cause: Bank Specific Adverse Info
Cause Details: Large unexplained shortages and embezzlement attributed to former treasurer G. Harold Gilpatric; bank placed in receivership and suspended following discovery of losses.
Newspaper Excerpt: Putnam bank matter continues quiet from this end. Word from the treasury department is that no further official reports from the Federal receiver have been received here.
Source: newspapers

3. January 22, 1926 Other

Newspaper Excerpt: Receiver of wrecked Putnam bank would bring Harold Gilpatric back to state at once for its questioning. ... George M. Coffin, receiver of the Putnam bank, who had asked the opportunity to present his claim to the committee, was invited in and presented the claim.
Source: newspapers

4. March 9, 1926 Other

Newspaper Excerpt: Putnam Bank Receiver Traces Entire $383,000 Shortage ... Every penny of the First Putnam bank shortage ... has been accounted for. The bank claimed an unexplained shortage caused by Harold Gilpatric, former banker.
Source: newspapers

Newspaper Articles (8)

1. December 4, 1925 Putnam Patriot Putnam, CT

Article from Putnam Patriot, December 4, 1925

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Washington, D. C., Dec. 3.-The Chapman case, and the rushing and rather mysterious visits and conferences here of State's Attorney Aleron U. S. Attorney to an have and Assistant served overshadow of the increase Cohen, Con. of activity of the members meeticut congressional delegation here preparatory to the opening of Congress in about a couple of weeks. Al. corn and Cohen, in their conference at the justice department in an effort to get Federal authorities to make sure that Gerald Chapman will be hanged by the state of Connecticut, were chased all around by newspaper men who got little for their pains. Any. how. the name of Alcorn is well known in Washington today. Fenn Opens Office The week saw the opening up of the office of Congressman Fenn of Hartford. who will be chairman of the House census committee and who has moved into the committee offices, some speeches by Senator Bingham, and some news from the office of Floor Leader Tilson, including word that he will put in a bill calling for an extra Federal judge for Connecticut. Many are asking whether Tilson will run for the Republican senatorial nomination against Bingham next year. especially after his former campaign manager, Mr. Tower, has been elected mayor of New Haven, but Col. Tilson is playing possum, and probably will for some time to come. Bank Matter Quiet The Putnam bank matter continues quiet from this end. Word from the treasury department is that no further official reports from the Federal receiver have been received here. and that the date of declaration of the next dividend is yet on the laps of the gods. More Religion Fewer Laws Senator Bingham, in speeches at New Haven and Huntington, urged more religion and fewer laws, and greater reliance on the individual and the state. He also said that our air services stand first in engineering skill and development, taking a slap at some of the reports that have been produced by the Mitchell and Shenandoah trials. In this connection. the secretary of a Nutmeg State member of Congress says that Mitchell has gathered large popular sympathy throughout Connecticut; and from other sources it is indicated that the same situation exists through New England and beyond. Thus, Congress will be liable to demand many changes in our air services at the coming session and threatens to get so worked up that it may want to go beyond the recommendations of the president's special aircraft board. of which Mr. Bingham is a member. To Make His Mark Floor Leader Tilson annears to be

2. January 22, 1926 New Britain Herald New Britain, CT

Article from New Britain Herald, January 22, 1926

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London - The king and queen of Rumania are reported to have 1 gone to one of their castles for a rest cure, necessitated by Carol's affairs. Madrid - Alvator Retana and Juan Caballero, novelists, have been fined, jailed and deprived of civil rights for 11 years for books regarded as offensive to modesty. New York - "Hiking Hiram." Colonel Hiram Bearss, U. S. M. C., retired, who led his marines at Vera Cruz and Chateau Thierry. is picking 200 fighting men to guard the greatest store of treasure in New York, that in the federal TOserve bank. Bridgeport-Rt. Rev. William M. Brown, deposed bishop, urges working classes to take what is rightfully theirs. Hartford-Everett Victor Meeks. dean of Yale fine arts school. en gaged as architectural adviser by Hartford committee. Hlartford-Succession tax case involving New York estate of R. D. Hirst, late of Stamford. to go to su. S preme court from Fairfield court. e Waterbury-Verdict of $5,000 for Joseph Simenauskas against Connecticut company; plaintiff's seven year old child killed June 5, 1923. S. Hartford-Attorney General Healy e says state, by paying low salaries. is S. losing many of its efficient execu0 tives. Derby-One man under arrest another arrest expected in connection with holdup and robbery of taxicab rdriver Wednesday night. 1. 0Greenwich- P. J. Hinds general ." manager of American Thread comin pany at Willimantic, weds Mrs. Nell rd Poindexter of Dalton, Ga. n. at Hartford-State to secure fishing streams in southern part of state to offset conditions due to pollution. ised Hartford-Two appeals to courta ry affect bus lines in Windham county in and in Waterbury-Hartford district pt VHartford-Receiver of wrecked Putnam bank would bring Harol Gilpatric back to state at once for its questioning. rd en There is hardly an American in be which to not now boing vidit

3. January 22, 1926 New Britain Herald New Britain, CT

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ALL STATE RECORDS OPENED TO PROBERS (Continued from First Page) tigation. He accepted the commission on behalf of the firm. "Thereafter Mr. George M. Coffin, receiver of the Putnam bank, who had asked the opportunity to present his claim to the committee was invited in and presented the claim. Governor Trumbull asked Deputy Treasurer Judd to attend the confeernce and instructed him to open all the records of his office to Scovell, Wellington and company at all reasonable hours and to assist as much as possible in arriving at the facts. The records of earlier investigations which were immediately available were turned over to Mr. Scovell for his preliminary study. "The committee's formal instructions to Scovell, Wellington and company here have not yet been completely formulated but will be issued in writing shortly for publication as well as to the accountants. "The commission adjourned at 12 o'clock to meet subject to call of the chairman." Following the conferene, Charles G. Morris of New Haven, a member of the committee was asked if the committee had considered the advis. ability of bringing Gilpatric to Hartford for questioning. Mr. Morris said that this had been considered "somewhat," but that it was the opinion of the committee that such action should be delayed for a time, at least until the investigating committee has laid its groundwork.

4. January 29, 1926 Putnam Patriot Putnam, CT

Article from Putnam Patriot, January 29, 1926

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The Holcomb committee, appointed by Governor Trumbull to make a sweeping investigation of the accounts of the state treasury during Gilpatric's terms, has selected Scovell, Wellington & Company of Boston as the accountants to make the audit of books and accounts in the state treasury department. The selection was announced after a meeting last Friday at which the head of the accounting firm was present and promised to take personal charge of the investigation. Bank's Claim Presented Receiver George M. Coffin of the First National Bank appeared before the committee and formally presented the bank's claims against the state. It is the bank's claim that money and bonds belonging to estates and individuals were used in the purchase of bonds now held by the state when Gilpatric was fore a iver the bonds immediately to the state treasury department. Following the conference the following statement was issued by the committee: Committee Issues Statement "The governor's committee to investigate the activities of G. Harold Gilpatric as treasurer of the state, held its third meeting in the governor's office January 22, 1926, at 10 a. m. All members present. "The governor read a telegram and letter from G. Harold Gilpatric, which was addressed to his brother and transmitted to the attorney general, in which he offered to assist the committee in every way within his power and offered to submit himself to interview and examination. Boston Firm Retained "After discussion of procedure the committee decided to complete the selection of its firm of accountants before proceeding on other details. Mr. Scovell of Scovell, Wellington & Co., had been requested to be available and then came before the committee and after questioning his firm was engaged to make the investigation. He accepted the commission on behalf of the firm. 'Thereafter George M. Coffin, receiver of the Putnam bank, who had asked the opportunity to present his claim to the committee, was invited in and presented the claim. Governor Trumbull asked Deputy Treasurer Judd to attend the conference and instructed him to open all the records of his office to Scovell, Wellington & Co. at all reasonable hours and to assist as much as possible in arriving at the facts. The records of earlier investigations which were immediately available were turned over to Mr. Scovell for his preliminary study. To Make Instructions Public "The committee's formal instructions to Scovell, Wellington & Co. have not yet been completely formulated, but they will be issued in writing shortly for publication, as well as to the accountants. "The committee adjourned at 12 to meet subject to the call of the chairman."

5. February 19, 1926 Putnam Patriot Putnam, CT

Article from Putnam Patriot, February 19, 1926

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GILPATRIC COVERED UP BANK LOSSES FOR OVER TEN YEARS (Continued from Page Four) to be his signature was affixed to a about as far as he could on the "bond registered mail receipt for the bonds. business" and Gilpatric said he was He admitted that the size of the bonds not satisfied with his part in the inwas unusual, and said that they ought vestigation. to be easy to trace, but that he could Hoped to Return Bonds not remember their coming into the The Overlock bonds were mentioned bank. "I am ashamed to admit the and Gilpatrie said he sold $37,000 carelessness in the way bonds were when he needed money for the bank, handled," said Gilpatric. but at the time intended to buy the Held Out a Year bonds back again when money was easier. He said the Federal Reserve Bonds purchased for the Putnam Bank was asking him to reduce the reCemetery Association, it was brought discounts and the First National Bank out, were not turned over to the assoof Boston was pressing for money. ciation until about a year afterward. Turning to Miss Sharpe, Gilpatrie $100,000 to Play With said: "Sometimes I deceived you peoGilpatrie, referring to state bond ple here in making entries." transactions, said that the state In conclusion Gilpatric said that woud buy a lot of bonds and he would there were other losses that he felt he use them. Then it woud buy another could account for, mentioning one of lot and he would make the first lot $10,000 to the Climax Machine Comgood with the second lot. He said that pany. On some notes he said interest a purchase of $300,000 worth and an was paid and on others interest was adjustment of $200,000, left him a marked paid but was never paid. balance of $100,000 "to play with as I Mr. Coffin produced a broker's acwanted to." count showing Gilpatric's dealings in Davis Daley copper stock. The acHope Not Realized count showed a loss of $7,000. Gilpatric said that when the crash Courtesy to Press came he expected to sell the Hartford property and make restitution of Mr. Coffin asked members of the bonds taken from envelopes. He nampress if they wished to ask any quesed a number of people whose bonds he tions. A few were answered by himhad taken and told how he replaced self and by Gilpatric. Gilpatric assome of them. He called attention to sured those present that his only transactions with Burns had to do the fact that he had means of his own, with his real estate. saying that he had $40,000 come to him in 1923 and during the last five Mr. Coffin said that if any creditors years had a fixed income of at least had anything to ask he would be the $15,000. He had lived modestly and "question box." Gilpatric asked if he that his home expenses were not over would be given an opportunity to go over some of the accounts in the re$30 a week. He owned a good home, ceiver's hands to see if he could clear but "it is not the palatial residence shown in a newspaper when a reporter up anything, and was assured that such opportunity would be afforded took a picture of the house across the him. He took off his glasses and street," he said, laughingly. showed his blind eyes, saying that his State Has All was a peculiar case, and that he had When asked if he did not think several times been exhibited to docthat the state has every bond it paid tors. He said he had given up hope for Gilpatric said: "I would say that of ever seeing again, but that he hoped is so." At one time, when his memory to gain victory over blindness. failed, Gilpatric said: "I was trying Valuable Assistance to do one hundred things and not doMr. Coffin paid a compliment to Miss ing any one of them." He told of takSharpe for her valuable assistance, ing seven of eight thousand dollars in and cited instances where she had bonds at one time to put up as security round old coupons believed worthless, in a Hartford bank for a loan for but persisted in making an effort and Burns. eventually recovering around $300 for No Light the creditors. Mr. Coffin said that the bank had Whateve information is gained claims against Gilpatric's estate of from going over the accounts will be $363,298, including about $200,000 submitted to the trustee in bankrupt"safe keeping" claims, and that two cy. It is doubtful if further hearings other claims being approved brought will be had in Putnam. Receiver Cofthe total up to $393,298. "We are tryfin was thanked for his courtesy to ing to find out where this went to, the newspaper men. said Mr. Coffin. Gilpatric said he nev-

6. March 1, 1926 New Britain Herald New Britain, CT

Article from New Britain Herald, March 1, 1926

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GUI COUPONS OF OTHERS' BONDS (Continued From First Page) The former banker explained that in the state was taken to office, frequently he task treasurer's because of delayed interest payments, and he draw his check the would then for required amount. This, Gilpatric be when became actual said, would coupons adjusted due. He the assumed the difference in time might be 30 or 40 days. Pointing out that the first interest on bonds Gilpayment state paid by patric included three cents, Mr. this would been coupons Scovell said had clipped indicate from that bonds of smaller denomination than $1,000. the denomination of those purchased by Gilpatric for the state. not get far It did today, Mr. Scovell announcing that he wished more time to study the matter and Receiver George M. Coflin of the wrecked Putnam bank. giving notice that he was investigating this question. It was brought out, however, that of the $750,000 in these bonds for purchased by Gilpatric the state, $500,000 of the bonds had been shifted later to fourth. issue the from Gilpatric, the ask- fifth ed Scovell that at the done, by said Mr. why time this he was was very "bullish" on fourth and that he loan bonds probably Liberty had made the transfer to take ad. vantage of a premium which the fourth issue was paying at that time. Mr. Scovell asked Gilpatric if it was the practice of bis bank in the make entries bank's records to on the day following the date of to various his bank transactions. attempted Gilpatric balance said its every night, but that were made on the books ly entries frequent. following day to arrive at the balhowever, that as as $47,000. mentioned ance. large He said, proper entries by Mr. Scovell, were not made in this manner. The question of possible manipuin the lation by Gilpatric purchase of Fifth Liberty Loan bonds for the state of Connecticut. is one about which little has been said in the four hearings in which Gilpatric has figured. Second Trip To Hartford state whose The former treasurer. temporary Connecticut prison has father's home in return from Atlanta since been his his Putnam penito aid in the of accounts was tentiary his muddled untangling brought here last night. was second visit to It his Hartford since his conviction. Two weeks ago was into to he explain called transactions bankruptcy that result- court pil in the wrecking of the the whoreabouts of bank and Putnam funds still missing The examination banker was the former then trans- of ferred to Putnam where for three was questioned by Coffin. days, George Gilpatric M. receiver of the Since a now of the books of bank checkup wrecked bank. then, the has been made with Gilpatric aiding the receiver in the task $100,000 inaccounted For return to and Gilpatric's the four public hearings Connecticut held have brought forth several more than of ures but still $100,000 disclosembezzled funds remained unexplained when today's hearing opened. It was brought out state Gilpatric used funds however, supposed. that ly for the erty own at once advanced bonds, for his purchase use, of libtime holding in his possession for 18 months, bonds valued at many thousands of dollars. Funds of the First National Bank were used by the former banker when he found it necessary to reach a settlement with the state in the Liberty bond account. The defaulting first was unable tions cashier in his to four account examina- for $91,000 involved in the purchase of which he these bonds, needed to square his accounts with the com-

7. March 9, 1926 New Britain Herald New Britain, CT

Article from New Britain Herald, March 9, 1926

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TAKEN IS ACCOUNTED FOR Putnam Bank Receiver Traces Entire $383,000 Shortage WAS AIDED BY GILPATRIC George M. Coffin Today Announces That Shortage ed Three Weeks Ago Has Been Entirely Up. March Every penny of the First Putnam by Harold Gilpatric, former George M. Coffin the funct declared today. The bank claimed an unexplained shortage Receiver charge of its affairs in When Gilpatric came to Connecticut from Atlanta, where years. the bank's shortage had reduced $150,That three ago. During these three weeks, Gilpatric. in Hartford for his amination before Referee in BankSaul was the bank going records with Receiver Coffin, which refreshed his mind by producing papers involved in various transactions, in the hope that in this way Gilpatric would able recall how the remaining $150,000 had used. This proved Receiver Coffin announced today. declaring Gilpatric's aid every penny the $150,000 has been accounted for.

8. March 10, 1926 New Britain Herald New Britain, CT

Article from New Britain Herald, March 10, 1926

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RECEIVER COFFIN FILES STATEMENT Reports in Detail of Putnam Bank Investigation in Bankruptcy final report of the National of the G. Harold that learned made of entered as Receiver's Statement In the of the the the perof stay in Connectistatement is as follows: that Mr. Gilpatric has been Atlanta think the of the National bank of entitled to know was north and through By agreement between of his estate he to find out from had of and of for the state but not delivered to meeting of the he for Trustee As trust of 75 against his Referee Berman him to Putnam. where books and records could be used The this provided news reportpresent my questioning Gilpatric in Putnam. For questioned him before to bring out the information After that books and read to him. On Saturday about left New York. returning 12 the night of FebruMr. Gilpatric to Saturday and Birthday arranged to have my clerk and continue the work results me on my Accounted For the approval of the to this Mr. until March result been to of of funds and of this have been to no from matter a some this cost of of the "As of