18889. New Castle Savings & Trust Company (New Castle, PA)

Bank Information

Episode Type
Suspension → Closure
Bank Type
trust company
Start Date
February 9, 1907
Location
New Castle, Pennsylvania (40.996, -80.346)

Metadata

Model
gpt-5-mini
Short Digest
6f58107d

Response Measures

None

Description

The bank failed to open on Feb 9, 1907 and posted notice of suspension; later placed in receivership (by at least Sept 6, 1907). No article describes a depositor run prior to suspension. Cause of suspension described as large lines of credit to local firms/individuals (bank-specific lending losses).

Events (2)

1. February 9, 1907 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Suspension attributed to large lines of credit extended to local firms and individuals; inability to realize quickly on securities when pressed for funds.
Newspaper Excerpt
the Newcastie Savings and Trust Company failed to open its doors this morning. The notice of the suspension of the bank was posted last night in ten different languages... The suspension was caused by large lines of credit extended to local firms and individuals.
Source
newspapers
2. September 6, 1907 Receivership
Newspaper Excerpt
vice president of the New Castle Savings Bank and Trust Company, which is now in the hands of a receiver, filed a bankruptcy petition... the New Castle Savings and Trust Company. A number of causes led up to the failure of the bank, he said. ... The doors were closed about February 9, 1907. For a time the State bank examiner acted as temporary receiver, and later I was appointed receiver
Source
newspapers

Newspaper Articles (6)

Article from Evening Star, February 9, 1907

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Article Text

PENNSYLVANIA BANK CLOSED. Newcastle Institution Said to Be Insolvent. YOUNGSTOWN, Ohio, February 9.-A telephone message from Newcastle, Pa., says the Newcastie Savings and Trust Company failed to open its doors this morning. The notice of the suspension of the bank was posted last night in ten different languages, the concern having numerous patrons of foreign birth. It is said the suspension was caused by large lines of credit extended to local firms and individuals. The bank, it is understood, will have about $280,000 to meet its outstanding accounts of $300,000.


Article from The Richmond Palladium, February 10, 1907

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Article Text

Pennsylvania Bank Failure. Publishers' Press] New Castle, Pa., Seb. 9.-The New Castle Savings and Trust company failed to open its doors. Notice of the suspension was posted in 10 different languages, the concern having numerous patrons of foreign birth. The suspension was caused by large lines of credit to local firms and individuals. The bank, it is understood, will have about $280,000 to meet its outstanding accounts of 000


Article from The Madison Daily Leader, February 11, 1907

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Article Text

PENNSYLVANIA BANK CLOSED. Notice of Suspension Posted in Ten Different Languages. Newcastle, Pa., Feb. 11.-The Newcastle Savings and Trust company failed to open its doors during the day. The notice of the suspension of the bank was posted in ten different languages, the concern having numerous patrons of foreign birth. It is said the suspension was caused by large lines of credit extended to local firms and individuals. The bank, it is understood, will have about $280,000 to meet its outstanding accounts of $300,000.


Article from The Bemidji Daily Pioneer, February 11, 1907

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Article Text

PENNSYLVANIA BANK CLOSED. Notice of Suspension Posted in Ten Different Languages. Newcastle, Pa., Feb. 11.-The Newcastle Savings and Trust company failed to open its doors during the day. The notice of the suspension of the bank was posted in ten different languages, the concern having numerous patrons of foreign birth. It is said the suspension was caused by large lines of credit extended to local firms and individuals. The bank, it is unCerstood, will have about $280,000 to meet its outstanding accounts of $300,000.


Article from The Fairmont West Virginian, September 6, 1907

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Article Text

WANTS TO SAVE COAL STOCK so VICE PRESIDENT OF BANK FILES A PETITION IN BANKRUPTCY. PITTSBURG, Pa., Sept. 6.-Beriah U. Young, of New Caastle, vice president of the New Castle Savings Bank and Trust Company, which is now in the hands of a receiver, filed a bankruptcy petition in the U. S. court here, liabilities fifty-eight thousand eight hundred and fifty dollars, assets eghty four thousand six hundred and thirtynine dollars. He stated the proceedings were to forestall sales of shares of coal stock now in the hands of the sheriff at New Castle.


Article from The Citizen, November 9, 1910

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Article Text

be applied in reference to the matter.' The loose business standards of Berry are best described by Attorney John H. Painter, receiver of the New Castle Savings and Trust Company. "A number of causes led up to the failure of the bank," he said. "Prominent among them was the inability of the bank to realize quickly upon securities when pressed for funds. The doors were closed about February 9, 1907. For a time the State bank examiner acted as temporary receiver, and later I was appointed receiver by Judge Kunkel, sitting in the Dauphin county court, Harrisburg. "Along in July I received a check from Berry for $25,000 as a deposit for the institution. It certainly stumped me. The bank was insolvent, yet the State of Pennsylvania, through the State Treasurer, made a deposit of $25,000. "Although the incident amazed me very much, I also had to laugh. I never said anything about the matter, but put the check in a safe and waited for developments. Three months afterward, or about nine months after the bank failed, some person realized the blunder that had been made and wrote me, requesting the return of the check. I immediately sent it back."