Integrity Trust Company - PHILADELPHIA, PA

Bank Information

Episode Type: Run Only
Bank Type: trust company
Start Date: October 14, 1931
Location: PHILADELPHIA, Pennsylvania (39.952, -75.164)

Metadata

Model: gpt-5-mini
Short Digest: 9f745362

Response Measures

Borrowed from banks or large institutions, Public signal of financial health, Capital injected

Description

Articles (dated 1931-10-14) describe heavy withdrawals and unreasoning hysteria against the Integrity Trust Company and actions by an advisory committee and a credit pool to back the bank with large deposits/credits. There is no mention the bank suspended operations or was closed — support aimed to restore confidence. Cause judged as rumor_or_misinformation (public hysteria) rather than bank insolvency or correspondent failure. OCR corrected minor punctuation/spacing only.

Events (1)

1. October 14, 1931 Run

Cause: Rumor Or Misinformation
Cause Details: Public unreasoning hysteria and heavy withdrawals from depositors; loss of about $10,000,000 in deposits over two weeks according to articles.
Measures: Advisory committee of leading banks deposited full $43,000,000 of institution's deposit liability behind its grilles; a six-bank credit pool and Drexel & Co./J.P. Morgan branch made $50,000,000 available as support; announcements to restore public confidence.
Newspaper Excerpt: the result of the action should be to put an effectual stop to the unreasoning hysteria ... The assistance given the Integrity Trust Company ... will not impair either the usefulness of the institution ... it not only entirely solvent
Source: newspapers

Newspaper Articles (3)

1. October 14, 1931 The Philadelphia Inquirer Philadelphia, PA

Article from The Philadelphia Inquirer, October 14, 1931

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Article Text

Leading Bankers Move to Restore Faith of Public Continued From First Page visory committee is chairman of the board of the Philadelphia Trust Company Mr. Wayne, president of the National Bank and chairman of the Clearing House of the Philadelphia Clearing House Association: Mr Lloyd. member of the firm of Drexel & Company, and J. P. Morgan & Company Mr. Newhall, executive vice president of the Pennsylvania Company for Insurances on Lives and Granting Annuities: Mr Loeb, chairman of the Tradesmen's Bank & Trust Company and Mr Smith of the Real Title & Trust Company. Should End Hysteria While the reaction in banking circles throughout the city was that no amplification of the statement was necessary. there was considerable unofficial It was said in reliably informed quarters that the result of the action should be to put an effectual stop to the unreasoning hysteria which has been in evidence, and against which prominent bankers, not this city. but throughout the country, have been maintaining a ceaseless counter-ofThe assistance given the Integrity Trust Company in with the announcement will not it has "been emphasized, impair either the usefulness of the institution nor its identity as hitherto maintained On the contrary the action taken improves its and the facility with which can transact all the ordinary and usual functions of a bank It was learned from reliable sources that an investigation of the bank's condition. prior to announcement of the formation of the advisory committee. established that it not only entirely solvent, but that it is is such as to warrant fully its unhampered continuance. Decision Over Week-end The week-end. following by the banking holiday on Monday Columbus Day gave banking leaders of the city opportunity to survey the situation and decide definite course of action which would strike at the roots of the present situation This course was announced with decisive significance yesterday. Opinion was unanimous that what has been done by the advisory com mittee to stand back of the Integrity Trust Company, to the point of depositing the full $43,000,000 of the institution's deposit liability bebind its grilles, is, effect. the serving of notice on the public gen erally that its previous uneasiness was The Integrity Trust Company has its main office at the southeast corner of Sixteenth and Walnut streets, and its branch offices at 717 Chestnut street, Fourth and Green streets. Fortieth street and Lancaster avenue, Thirty-sixth and Walnut streets and Broad street and Columbia avenue

2. October 14, 1931 The Waterbury Democrat Waterbury, CT

Article from The Waterbury Democrat, October 14, 1931

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Article Text

DEPOSITORS ARE TO RECEIVE SUM OF $7,000,000 Banks of Phil Are to Be Saved and Special Liq= uidation Will Accom= plish It Philadelphia, Oct 14. -(UP)Several bright spots were seen today in the serious banking situation of Philadelphia. Dr William D. Gordon, state secretary of banking, announced that prompt payment of $7,000,000 would be made to more than 125,000 depositors in three closed banks of the city. A 20 per cent dividend will be made to the depositors of each of the three banks, the Bankers Trust company, the Aldine Trust company, and the Darby Bank and Trust company. The payments will be made through the creation of a special liquidating private bank headed by John A. McCarthy, vice president of the Real Estate Trust company. The entire staff of the security of banking, augmented by a special force will work day and night preparing dividend checks for the depositors, Dr Gordon said. They will start ta-day. In an effort to save the Integrity Trust company and other solvent Philadelphia banks which have suffered tremendous withdrawals of deposits in the past two weeks a group of Philadelphia banks have formed a credit pool. For the immediate use of the Integrity Trust company, $50,000,000 was made available to the institution. The credit pool was formed by six of the city's largest banks and Drexel & Co bankers, Philadelphia branch of J. P. Morgan & Co. The Integrity Trust company, showed deposits of $42,620,000 at the close of business Saturday, having lost deposits of approximately $10,000,000 through withdrawals in the past two weeks. The bank has resources of over $76,000,000.

3. October 14, 1931 The Waterbury Democrat Waterbury, CT

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Article Text

DEPOSITORS ARE TO RECEIVE SUM OF $7,000,000 Banks of Phil Are to Be Saved and Special Liq= uidation Will Accom= plish It Philadelphia, Oct bright were day in the serious banking situaDr William D. Gordon, state secretary of that prompt payment of $7,000,000 would made more than 000 in three closed banks of the 20 per cent dividend will be made the depositors of the three the Bankers Trust company, the Aldine Trust and the Darby Bank and Trust payments will be made through the creation of special liquidating private bank headed by John McCarthy, vice president of the Real Estate Trust The entire staff of the security of banking. augmented by special force will work day and night paring dividend checks positors, Dr Gordon said. They will start In an effort to save the Integrity company and solvent banks which have suffered tremendous withdrawals deposits in the past two weeks group of banks have formed credit pool. For the mediate the Integrity Trust made available to the institution. The credit pool was formed by six of the banks and Drexel Co branch Morgan Co. The Integrity Trust showed deposits of $42,620,000 the close business Saturday, havlost deposits approximately through withdrawals in the past two weeks. The has of over $76,000,000.