f50fb36dFull suspension, Books examined
Other: Placed in hands of the State Banking Department; later special liquidation created to pay depositors.
Click image to open full size in new tab
False Rumors Cause Bank to Shut Doors PHILADELPHIA, Dec. 29 (I.N.S.).-The Aldine Trust Company, one of this city's leading institutions, did not open its doors today. A statement said the bank was solvent and will pay 100 cents on the dollar. Officials claimed false rumors were circulated about the institution.
Click image to open full size in new tab
PHILADELPHIA BANK CLOSED, BUT SOLVENT Reward Offered for Arrest of Person Starting False Rumors That Caused Run. By the Associated Press. PHILADELPHIA, December 29.-The Aldine Trust Co. at Twentieth and Chesnut streets. with two branches in West Philadelphia, did not open for business today. This action was decided upon by its directors who issued a statement that the affairs of the institution had been placed in the hands of the State Banking department. The Aldine Trust Co. has assets of $9,000,000. Its deposits, according to the last statement issued in September, totaled $6,400,000. The bank is believed to be solvent, according to a statement of the directors today. and it is believed "all depositors will ultimately be paid in full." Officials stated that "a wave of persistent and malicious rumors" for more than a week started a run that made closing necessary. A reward of $10,000 has been offered by the trust company "for information which results in the arrest and conviction of any person or persons guilty of having disseminated these false rumors."
Click image to open full size in new tab
CLOSED Aldine Trust in Closed Today to Guarantee Depositors. OFFERS A REWARD Philadelphia, Dec. Aldine 20th and Chest Trust Co., at nut Streets. with two branches West did not open for business today decided upon last Its action was night by its directors who issued statement affairs of the in stitution had been placed the hands of the State Banking Department. The Aldine Trust Co. has assets according the last issued in Septem The bank believed to be according statement of the rectors and depositors ultimately in Officers of the bank and State Banking stated that wave persistent and rumors for more than week made closing reward $10,000 been fered by company results in and any sons having these false The civil the FOR WITH BILL' Anton state Democratic leader in Illinois and protege of-the George for mayor of Chicago He one candidates who will to keep present from getting
Click image to open full size in new tab
ALDINE TRUST CO. WILL CLOSE TODAY Bank Blames Malicious Rumors for Withdrawals The Aldine Trust Company will close doors today second Philadelto close within week according formal announcement last night by M Matthews. president steady run on the bank, which started of the Bankers' Trust Company last Monday, fore ed the Aldine Company to suspend The "Persistent unwarranted and malicious rumors the the stability of the Aldine Trust Company, together with the closing one in gradual and increasing withdrawal our deposits that the board of directors to place the pany in the hands of the secretary Banking The board the bank be solvent that all positors will be paid offered for information which results in the rest and conviction persons having disseminated false rumors
Click image to open full size in new tab
MALICIOUS RUMOR STARTS RUN ON BANK Aldine Trust Company TwenChestnut streets with two branches in West Philadelphia did not tieth and for business today. decided by its directors who issued statement This action was upon that the affairs of the institution had been placed in the hands of the state banking has assets of $9,000,000. Its deposits accordThe Aldine Trust Company statement issued September totaled ing to the last believed to be solvent according to statement of the direcThe bank believed "all depositors will ultimately be paid in full." tors today and that of persistent and malicious rumors" for Officials stated wave week started that made closing necessary. more than has been offered by the Trust Company inforreward $10,000 results in the arrest and conviction of any person persons mation which of disseminated these guilty SMALL GARY, CLOSES Central Trust and Savings Comthe South Side Trust and Savings Bank, was closed pany of Gary, formerly the state banking commission was informed. this morning The bank was capitalized $100,000 and had deposits of with undivided profits of surplus in banking circles of Gary was held responsible for Recent disturbances the the seventh bank to close. closing.
Click image to open full size in new tab
RUMORS FOR RUN ON Trust Small Company Is Closed by Directors $10,000 REWARD POSTED Dec. 29 The Aldine Trust company. at 20th streets, branches Philadelphia, did not open for business today action decided upon last night, by statement affairs of the institution placed hands the state banking department. Aldin Trust company has sets Its cording statement September totalled The bank believed be according statement the rectors 'all positors ultimately be paid Officers of the department that and licious started that made closing necessary of been ed company disseminated these the in charge the sec retary of the which Allen dent. was organized The Aldine member of the Federal Aldine Trust the Trust of Philadelphia week today
Click image to open full size in new tab
CAMERON REASSURES CLOSED BANK'S PATRONS HARRISBU 29 There depositors Philadelphia banks should depoSecretary Banking Peter G Aldine Trust company in Philadelphia directors (of the bank) issued statement can He pressed bank solvent said that it closed doors its stock holders depositors due "stampede on the part of the deposi-
Click image to open full size in new tab
RUN CLOSES LARGE BANK $10,000 Reward Offered As False Rumors Shake Faith PHILADELPHIA, Dec. 28 The Aldine Trust company will close its doors tomorrow-the second large Philadelphia bank to close within a to a forannouncement tonight by A. Matthews, steady run on the bank, which started after the closing of the Bankers' Trust last Monday, forced the Aldine company to suspend business. The statement follows: "Persistent unwarranted and malicious rumors circulated throughout the city concerning the stability the Aldine Trust company, together with closing of one large trust company the center of the city, have caused gradual and increasing withdrawal of our deposits. "For that reason the board of directors have determined to place the company in the hands of the secretary of banking the commonwealth Pennsylvania. The board believes the bank to be solvent, and that all depositors will ultimately be paid in full. "A reward of $10,000 is offered for information which in the conviction of any person persons having disseminated these false rumors."
Click image to open full size in new tab
BANK CLOSES Aldine Trust Head Blames "Malicious Rumors. Reward Offered. 29 The Aldine Trust closed doors today- the second large Philadelphia bank to close within week formal of the closing was last night Matthews, president of the run bank. which the the Bankers Trust last Monday forces the Aldine company to suspend business The statement follows: unwarranted and circulated throughout the city the stability of Trust together the one trust compan the of the caused gradual withdrawal of our that reason the Board of DI. rectors determined to place the company the hands of the secretary the The board the bank be that all dewill ultimately be paid in full. of $10,000 offered results in the arrest and conviction or persons of having disseminated these false
Click image to open full size in new tab
BANK CLOSES Adine Trust Head Blames "Malicious Reward Offered. Dec. 29 (U.N.). The Aldine closed its Philadelbank to close week. of the closing last night by Matthews, president the bank. steady run on the which the the Bankers last Monday, forced the Aldine company to suspend busiThe follows: and maliclous circulated the city the stability the Aldine Trust company, together with the closing large company in the caused and withdrawal of our that Board DIdetermined to place company the hands of the banking Pennsylvania The board believes the bank be solvent. that all depositors will ultimately paid full. the and conviction any perhaving these
Click image to open full size in new tab
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.
Click image to open full size in new tab
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.
Click image to open full size in new tab
GORDON STANDS BY CLOSED BANK PLANS Secretary Asserts Law Does Not Require His Filing of Report Within Year Department Has in Mind Only the Welfare of Depositors, He Says HARRISBURG April (A. on an order issued by Judge Lambertson in Philadelphia, requiring the State Banking Department to show cause why should not file an account of the affairs closed Aldine Trust Company, Secretary Banking William D. Gordon today said the State banking law does not require filing of such accounts within year. Dr Gordon reviewed the practices of the department in liquidating assets of closed banks. He said his department was now working on an accounting of the trust company affairs: would file it soon as is completed Drop in Value of Assets "I wish to emphasize that absolutely law has been Dr Gordon said "for the filing within entirely discretionary with the department of banking Of course, contingent upon our ability to prepare the great mass of detail involved in 2000 page report which requires great care and accuracy. "The Department of Banking has in mind only the welfare and best interests of the depositors and with business at low ebb, real estate drug the market, and the stock market at the bottom. it is gigantic task to readily convert assets into cash without causing great sacrifice in their value.