19003. Citizens Bank (Philadelphia, PA)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
September 22, 1873
Location
Philadelphia, Pennsylvania (39.952, -75.164)

Metadata

Model
gpt-5-mini
Short Digest
4209997d

Response Measures

None

Description

The articles describe Citizens' Bank (Second and Race Sts.) temporarily suspending payments during the September 1873 financial panic and resuming a few days later. No run on the bank is described; suspension appears precautionary due to the wider panic and scarcity of currency (national macro shock). Dates: suspension reported Sep 22, 1873; resumption reported later (article dated Oct 2 states it resumed 'on Monday last' — taken as 1873-09-29).

Events (2)
1. September 22, 1873 Suspension
Cause
Macro News
Cause Details
Precautionary suspension amid the nationwide financial panic and scarcity of currency during the Sept. 1873 crisis; directors chose to suspend until currency could be had.
Newspaper Excerpt
The Citizens' Bank ... suspended this morning
Source
newspapers
2. September 29, 1873 Reopening
Newspaper Excerpt
The Citizens' Bank ... resumed business again on Monday last, and is now in full operation.
Source
newspapers

Newspaper Articles (6)
1. September 23, 1873 New Orleans Republican New Orleans, LA
Article from New Orleans Republican, September 23, 1873

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resultion he vielded to the clamor that mistake, beset him. and the would have made been nationalized instead narrow limits. panic of being would concentrated have within the Bonds Bought. $83,333.3 The total amount of bonds bought at the sub-treasury Evening Items. that the statement on Saturday Bank had been The of the Continental House was in thrown checks out at the Clearing confounded with The the error. it having been Commonwealth Continental National Bank Bank if the is and has been paying bonds as usual. Three million dollars in to this P.M by the sub- Treasurer up the bought hour. and more coming in at the suit of Judge National Fancher Bank, to-day. of this the city, property grant of the Union $10,000. ed Grocers' an attachment National Bank, against of Philadelphia, in this city for Co. overdrew their acA. D. Williams Bank & of North America te decount in the $450,000. To-day the still firm due an amount posited $250,000, of leaving are $200,000 now engaged in that sum. The endeavor bank authorities to compel the payment of Bank Failures.E of the National tion The executive committee concluded their investiga this at the found Trust of Company the affairs of the securities institution all corof the reet. ternoon. They and report sound, the condition and their keep- notify all accounted Company depositors perfectly that the funds for left to the in last dollar ing will total be assets are $5,350,000. loan certificates The Many bankers thick issued earlier, but should have this. been with the purchase greatly in of bonds agree the that government, has aided that there was no ter. New storing by confidence. apprehension and of further disas- this 97. for ground for York Central stock sold dividend, Bank afternoch. The report ex of the instability of a of number the of the customers to returning of North America of A. grew D. out Williams & that Co., firm on Saturday evening checks on the Bank of fright- North their certified Williams & Co. became account good America. failed to make their their securities. as that by ened turning and into has the been bank stated, in the bank reThis resulted. ports of heavy over-drafts attachment upon upon will and their taking one It is an stated this trouble Williams amicably & Co. arranged very soon. his -night be What Jay Gould Thinks. opinion Jay Gould safety expressed for the mercantile general com that the only general public is in the munity suspension and of the banks. From Milwaukee. the A diepatch from Milwaukee adjourned says until Wednesday Chamber of on Commerce account of the state of affairs. Action of the Government. September 22.-President Grant is at reasserts the security Jav WASHING Cooke Willards. of the London of the morning In the called house. course at the Treasury Secretary Department the Presi- Richdent and had a conference with ardson. result of it may be inferred Secretary from The that New the York Assostated the fact to the agent the of President the will do any ciated within Press that the law. but authority; in no particular he will the maintain the credit go thing beyond clear safety legal of the Treasury of De- the partment States and from protect the influences of general curfinancial United abarrassments. amount of will be a sufficient belonging to rency There in New York to to-morrow buy all the bonds of that the the go vernment offered The Secretary and will may be all that is necessary, hands Treasury out that has there is enough to in buy the every in the thing for sale. Judge of look the assistant shape treasurer of governmet Richard- bonds that is presented he will see that law, the government ard that he son does says its exactly duty within where the to get not, all the however, funds knows necessary He does talked that are word about the much part of the money intimate a reserve furnishing a treasurer at legal tender to go to the assistant New York. Department denies that the The Treasury fund has been transferred banks navy from Jay account Cooke, Mo Washington Culloch & savings Co. The run on comparatively the very slight. o-day was Richardson received the follow Secretary dispatch dated New York, as to-day usual ng Mercantile business progresses itself. The people Wall street is atulations already to the President stability. and oin in conj for their The cretary Stock Richardson Exchange will be opened on Wednesday Rock Banks Endeavor to CreThe Little ate a Panic. panic LITTLE Rock. September North, 22 the On banks account here f o-day the financial refused to take city money, circulation home at currency, which has and been as in a consequence ar for six years. prevailed. This money reat asalways excitement been received the same as greenacks. citizens' meeting was held in to the take after- the A which it was resolved impression is onn. at usual. The general to-morrow, honey as panic will be over by usual. nd hat the the money will be taken as Philadeiphia All Right. September There to-day. was III PHILADELPHIA, better feeling on the street & Co. much excitement in London- Jay Cooke Continue to Pay 22, Cash. 5 M.-Much LONDON. manifested September on all sides to Cooke, hear ixiety is from New York. Jay cash in rther eCulloch news & Co. continue over their to pay counter. to usual the manner rumors current in the England Stock mong one that the Bank of of rehange of Jay Cooke & Co. accept nces and that olde $300,000 Rathschilds has $100,000 of un same paper. M.-A dispatch announcing the 5:30 P. of the New York Gold Exchange 18 acosing been bulletined. This news is s just an indication of the gravity for of pted as situation. and the market merican e financial securities 18 again depressed. Cincinnati Feels Confident. 2.-The feeling for ma men CINCINNATI, confidence September which has prevaile during here mong financial and the trouble business in New York is e continued progress, of throughout to-day. have Applica- been ou the banks for discounts from the ha ons at light. and orders less than imparatively untry for currency have been th má encouraging :pected. The entire situation this afternoon than at any was ronger since and the more financial storm in the East as fairly de eveloped. th ser Suspensions in Philadelphia. de PHILADELPHIA, September institution. 22. at The No. Key- 1326 of pr one Bank, street, State suspended this morning, in hestnut inability to secure currency Ga Second of er nsequence he Citizens' of Bank and Race a State streets institution, enspended cor-

2. September 24, 1873 New Orleans Republican New Orleans, LA
Article from New Orleans Republican, September 24, 1873

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dence in the banks appears to be generally unshaken. Philadelphia Quieted. PHILADELPHIA, September - -The panic in Philadelphia is now a thing of the paet, and with the exception of the Union Bank. ing Company and the Citizens' Bank. all our moneyed institutions carried on regular business today. The Citizens® Bank is solvent. but the present course has been adopted as the most prudent-the directors not wishing :0 continue until plenty of currency can be had. It will most likely commence business to-morrow. There has been no run on any bank or banking institution today. and the excitement on the street has completely died out. Good Feeling ns Cincinnati. CINCINNATI, September 23.-Rumers pre vailed in financial circles here to-day that $10,000,000 of city bonds. for the Southern railroad. had been negotiated in New York through a German house. The financial situation here has not specially changed since vesterday. The encouraging news from New York this morning was received with great satisface tion. There has not been the combiance of a run on any of the banks. The conservative course of the latter 10 generally approved by our business men. City Currency Refused at Little Rock. LITTLE Rock. September 23.-The ex. citement over our city money continued 10day. Most of the merchants refused to take it. A meeting of the merchants will be held to-morrow, which it is generally believed will result in the merchants refus. ing to receive city money as long as the banks decline it. Workmen Discharged. PATTERSON. N. J., September 23-In con. sequence of the financial erisis at New York and the general depreciation of new railroad securities, the orders for locomotives for three months ahead at Rogers' locomotive works have been canceled and 585 workmen discharged To-day. It is feared that 500 more may be discharged.

3. September 24, 1873 New-York Tribune New York, NY
Article from New-York Tribune, September 24, 1873

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IN PENNSYLVANIA. THE CRISIS OVER IN PHILADELPHIA-THE STATE BANKS RESUMING. PHILADELPHIA, Sept. 23.-The financial crisis here is over, and the bankers and brokers are transacting business as usual. All the State Banks that were under temporary difficulties have resumed, except the Union and Citizens. The latter will soon resume. All the National Banks stood firm, and no doubts were entertained of their stability. HEAVY RUN ON THE PITTSBURGH BANKS-THE DOORS OF THE NATIONAL TRUST COMPANY CLOSED-COOD CONDITION OF THE NATIONAL BANKS. PITISBURGH, Sept 28.--Considerable excitement still exists in monetary circles here, but the feeling has improved since yesterday. Some banking institutions have endured a rather heavy run to-day, and one of them. the National Trust Company, was compelled to close its doors. It is believed to befully able to meet all its liabilities, and will probably reopen to-morrow. Many people are drawing their funds from the smaller banks and depositing them with the National Banks. The latterare now strongerthan before the panic. General business has not been affected by the excitement. THE EXCITEMENT OVER IN PHILADELPHIATHE CIT1ZENS' BANK SOLVENT. PHILADELPHIA, Sep#: 23. - -The pania in Philadelphia is now a thing of the past and, with the exception of the Umon Banking Company and Citizens' Bank, all our moneyed institutions carried on regular business to-day. The Citizens' Bank is solvent, but the present course has been adopted as the most prudent, the directors not wishing to continue until plenty of currency can be had. It will, most probably, commence busidess to-morrow. There has been no run on any bank or banking in istitution to-day, and the excitement on the street bas.completely died out.

4. September 24, 1873 The New York Herald New York, NY
Article from The New York Herald, September 24, 1873

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An Easy Feeling in Philadelphia. PHILADELPHIA, Pq., Sept. 23, 1873. The panic in Philadelphia is now a thing of the past and, with the exception of the Union Banking Company and Citizens' Bank, all our monied institutions carried on regular business to-day. The Citizens' Bank is solvent, but the present course has been adopted as the most prudent. the directors not wishing to continue until plenty of currency can be had. It will, most probably, commence business to-morrow. There has been no run on any bank or banking institution to-day, and the excitement on the street has completely died out.

5. October 2, 1873 Wilmington Daily Commercial Wilmington, DE
Article from Wilmington Daily Commercial, October 2, 1873

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Money and Business In Philadelph'a. [From the Philadelphia L edger, To-Day ] -It is gratifying to learn that the drain of currency from the large cities is rapidly diminishing. simp y because currency is becoming scarcer, and the command can only be partially satisfied The dem and of the country bank 18 about the same as before. Bank are say that the country people seem to want a they can get. and acung on this policy. the city banks let them have the least possible. There is reason to believe that this difference is fast approach. ing an end. - Chera were some unfoun !ed rumors in eirculation yesterday covering statements of com mercial failures in this city. It is greatly to be regretted that at times like these men can be found malicious enough to fabricate each injurious charges. or, what is almost as bad. men inconsiderate enough to give such rumors circulation. We have heard of no recent failures of any consi lerable amount, and the aspect of business affairs ie quite cheerful. -The produce markets are becoming quite active, the exports within the last three days having materially quickened. The ocean freight market is again decidedly stronger, rates on grain by steam to Liverpool and Glasgow having advanced one penny per bushel, with general pargo quotations also favoring ship-owners, who were offering accommodation less freely. -Prices of the principal products of industry have not materially declined. and it is a most important feature of the panic and the crisis arguing an early and comparatively easy resumptions of business and return of confidence. - -The Citizens' Bank of this city. at Second and Race streete, which temporally suspended for two or three days. resumed business again on Monday last, and is D.W in full operation. -Our jobbing trade is only purchasing for immediate wants, and a cautious policy is observed. with no disposition to anticipate future wants.

6. October 3, 1873 Perrysburg Journal Perrysburg, OH
Article from Perrysburg Journal, October 3, 1873

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Monday was carried through with a ritsh Government had purchased $10,000,000 in bonds, but this had not relieved the street. Everybody had bonds, and everybody wanted the cash for them. A run had been made on the First National Bank of Hoboken, but up to the hour of closing it had paid all demands. One reason for therun was the fact that it had $207,0 of its funds locked up in the Bank of the Commonwealth, which had suspended. The President had reached New York and had arranged for conference with the Secretary of the Treasury and leading New York financiers on the following day. The President had expressed full determination to use the power of the Treasury to the etc. tent of $16,000,000 balance and $44,000,000 reserves. Among others the following addid tional firms had failed Ketchum & Belknap E. C. Brodhead; Saxe & Rogers; Taussig & Fisher; P. M. Meyers; Miller & Walsh Lorenz Josephs; Fearing & Dillinger; Wil liams & Bostwick. The extent of the shrinkage in stock values for the week ending the 20th had been, on some of the leading lines, as follows: Harlem, 393 per cent.; Western Union, 35; Panama, 32: Wa bash, 23; Northwestern 19: Rock Island, 191/2 total shrinkage, according to the best authorities, of over $100,000,000. Telegrams from Philadelphia, of the 20th, state that since the preceding day a better feeling had prevailed in financial circles. It was thought that the crisis had been passed. The run upon the Fidelity Deposit had continued up to the time of closing the institution on the 20th, and every claim had been met. Dur ing the day over $950,000 had been paid out over the paying teller's desk. The Union Banking Company had suspended. The failure was said to have been bad one, and that it would not be able to settle up at over 50 cents on the dollar. San Francisco dispatches of the 20th say that, so far, the Pacific coast interests had not been compromised by the embarrassments in the East. No trouble was apprehenped to general business, except the increased degree of caution Incident to such state of things. A St. Louis dispatch of the 20th announced that the banking firm of Taussig, Gemp & Co. had suspended, in consequence of the suspension of Taussig, Fisher & Co. of New York, of which house it was branch. According to a dispatch from San Francisco of the 20th, fire had broken out in the Yellow Jacket Mine, In Nevada, In the 1,300 foot level. Six lives had been lost. At last accounts the fire had been got under control. A Memphis dispateh of the 20th says the ravages of the yellow fever in that city had been stayed somewhat. The disease had ap peared in New Orleans, and the dengue or break bone fever raged also as an epidemic, In Shreveport the fever exhibited no abate ment. New cases were not so numerous, but the ratio of deaths had been fully as great as at any time since the appearance of the scourge. A telegram from Burlington, Iowa, dated September 20, says that a destructive fire had broken out in the heart of the city at one o'clock in the morning of that day, which swept over two squares before it could be checked. The estimated loss reached $200,000. The Grand Lodge of the I. O. of O.F., in session at Baltimore, Md., adjourned on the 20th, having first voted to hold the next annual Communication at Atlanta, Ga. to News from Washington on the 21st was the effect that the Comptroller of the Currency had directed the collection paper of the First National Bank of Washington to be deposited with the National Metropolitan Bank for collection. The result of the conference held in New York on the 21st, between the President and Secretary of the Treasury and leading financiers, had been the issuance of an order directing the purchase of all five-twenties offered at private sale. It was thought that this measure would release $20,000,000 to $25,000,000 greenbacks, without touching the reserves. The bank statement for New York appeared on the evening of the 20th. From that it appeared that they had sustained loss of $1,579,700 specie and $2,409,300 legal tenders, contraction of $6,114,500 in loans and $9,277, 400 in deposits, during the week ending on that date. In anticipation of a run upon their institutions, the Inter-Occan of the 22d says that the Presidents of the fourteen savings banks of Chicago had conference on the 21st, and mutually agreed to hereafter insist upon requiring thirty days' notice for the with drawal of deposits, according to their respective rules. An Augusta, Ga., dispatch of the 22d says that on the 19th a terrific storm passed over Florida in the vicinity of Tallahassee. A large number of dwellings had been blown down, and the crops in all that section ruined. Three or four lives had been lost, several persons persons injured and large number of cattle killed. The town of St. Marks had been completely washed away, only two houses being left standing, and twenty families had been made homeless. The town of Newport had also been swept out of existence. A telegram from Philadelphia, of the the 22d, says that the financial horizon had better and clearer outlook, and that by the following day matters would resume their normal condition. The Citizens', the Iron, the State and the Keystone banks had temporarily suspended, but arrangements had been made to enable them to resume immediately. A New York dispatch of the 22d says that the financial atmosphere had become much clearer. The business of the day had developed remarkable strength in the banks, only two of them finding it necessary to call for loan certificates at the Clearing House. The Stock Exchange had not been opened, though set tlements were making on generally satisfacin tory terms. It was thought that business the stock line would speedily be resumed. A Washington dispatch of the 22d says that the President and Secretary of the Treasury had reached that city. The President felt confident that the right method had been hit upon to afford help from the Treasury, and the general conclusion reached by the informal interchange of views was, that if further help appeared to be needed it should be given 80 far as it was possible for the Treasury to act. It had been decided to send $20,000,000 to New York, to enable the Assistant Treasurer in that city to buy all the bonds that may be offered. In Chicago, on the 22d, the impression prevailed that the worst had been reached. Money was very tight, but no further failures had been announced. For the first time in the commercial history of that city the usual order of things was reversed in prices. There was scarcely any dealing in "options' in the Board of Trade. Cash wheat sold at $1.05, while seller October ran as high as $1.07 to $1.071/4. "Had it not been for the panie, remarked a leading dealer to reporter, "before the month closed the difference would have been greater the other way.' Ou the 22d, the President appointed Oscar