Willimantic Savings Institute

Bank Information

Episode Type: Suspension → Reopening
Bank Type: savings bank
Start Date: October 25, 1898
Location: Willimantic, Connecticut (41.711, -72.208)

Metadata

Model: gpt-5-mini
Short Digest: e602c2c1

Response Measures

None

Description

Article (Oct 25, 1898) reports a court injunction restraining the bank from paying out more than 10% of deposits (to prevent a run). This is a suspension/limitation imposed by court action (government action). The piece implies the restriction is temporary (injunction expires Nov 8) and directors are arranging resumption of normal interest payments, so classified as a suspension with expected reopening.

Events (1)

1. October 25, 1898 Suspension

Cause: Government Action
Cause Details: Court injunction restraining payouts to 10% of each deposit to take advantage of new state law and to prevent a run
Newspaper Excerpt: the injunction which restrains the bank from paying out any money in excess of 10 per cent. on each deposit. The injunction expires November 8
Source: newspapers

Newspaper Articles (1)

1. October 26, 1898 The Daily Morning Journal and Courier New Haven, CT

Article from The Daily Morning Journal and Courier, October 26, 1898

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Article Text

WILLIMANTIC SAVINGS INSTITUTE. Bank Examiners Meet the DirectorsHouse Probably Solvent. Willimantic, Conn., Oct. 25.-Bank Examiner S. W. Crofut of Killingly and Charles Nobles of New Milford visited this city this afternoon and made an examination of the Willimantic Savings institute. Afterwards the examiners met the directors to consider action to be taken at the expiration of the injunction which restrains the bank from paying out any money in excess of 10 per cent. on each deposit. The injunction expires November 8, and it was obtained in order that the bank might take advantage of the new state law to prevent a run. No action was taken at to-day's meeting as far as could be learned. The directors, however, recommended the bank commissioners to ask the supreme court to allow the bank to pay interest on all deposits from October 1, at the regular rate of interest, the first dividend to come due April 1, next. This recommendation of the directors is believed to indicate that the institution is solvent.