19066. Guarantors' Finance Company (Philadelphia, PA)

Bank Information

Episode Type: Suspension → Closure
Bank Type: state
Start Date: March 25, 1898
Location: Philadelphia, Pennsylvania (39.952, -75.164)

Metadata

Model: gpt-5-mini
Short Digest: 23516d82

Response Measures

None

Description

The Guarantors' Finance Company (Philadelphia) had an assignment / receiver asked for in late March 1898; articles describe a receivership suit/application and assignment. There is no evidence of a depositor run on the Guarantors' Finance Company itself in these excerpts (the People's Bank experienced a closure related to loans to Guarantors' manager). Classified as suspension_closure because the company entered receivership/assignment and did not reopen in the coverage here.

Events (2)

1. March 25, 1898 Receivership

Newspaper Excerpt: It is believed that ... the State Commissioner appoint on a receiver for the Guarantors' Company, which did an insurance business; a receiver asked for the Guarantors' Finance Company, Philadelphia; a receivership suit brought against the Guarantors' Finance company, Philadelphia.
Source: newspapers

2. March 25, 1898 Suspension

Cause: Government Action
Cause Details: Application filed for a receiver / company placed in assignment due to insolvency and financial reverses; court action requested to appoint receiver
Newspaper Excerpt: the assignment made last night by the Guarantors' Finance Company, which assigned the other day, and ... application had been made for a receiver for the Guarantors' Company
Source: newspapers

Newspaper Articles (10)

1. March 26, 1898 The Wilmington Daily Republican Wilmington, DE

Article from The Wilmington Daily Republican, March 26, 1898

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ANOTHER BANK CLOSED. The People's, of Philadelphia, Now Undergolug an Examination. Philadelphia, March 26.-On Thursday John S. Hopkins, cashier of the People's bank, died at his home here, and it was announced that he was a victim of heart disease. Yesterday it was discovered that he had committed suicide by shooting, and the bank was closed pending an investigation of its affairs. It has been developed that Hopkins had transactions with Richard F. Loper, of the Guarantors' Finance company, which assigned the other day, and President James Mcmanes, of the bank, declared in answer to a question that "$150,000 would not be a flea bite in comparison with the bank's loss," although it was impossible to learn just what amount was involved. Mr. Loper was summoned before the bank directors yesterday. After the meeting he said to a reporter: "I have done nothing to be ashamed of, and my transactions with the bank were all above board, but I consider it prudent at present to say no more." The closing of the People's bank recalled to many bankers and financial men the similarity between the careers of Mr. McManes and Mr. Singerly. Both made money in other pursuits and then took to banking, both becoming presidents of financial institutions, in which they were largely interested. The fate of Mr. Singerly's bank needs no comment, while today Mr. McManes' bank is closed pending an examination into its accounts.

2. March 26, 1898 The San Francisco Call San Francisco, CA

Article from The San Francisco Call, March 26, 1898

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HOPKINS TOOK HIS OWN LIFE Sudden Death of the Philadelphia Banker Explained. He Had Loaned Over $600,000 to One Man on Worthless Security. Following This Disclosure the Institution of Which He Was Cashier Suspended. Special Dispatch to The Call. PHILADELPHIA, March 25.-The sudden death yesterday of John S. Hopkins, cashier of the People's Bank, and the assignment made last night by the Guarantors' Finance Company, were followed to-day by disclosures which showed an important connection between the events. The Coroner's investigation this afternoon developed the fact hitherto concealed by the family that Hopkins had committed suicide by shooting, and an examination of the affairs of the People's Bank by its officers resulted in the revelation that Hopkins had during the past two years loaned the bank's funds in large amounts to Richard F. Loper, general manager of the Guarantors' Finance Company. These loans, which remain unpaid and aggregate, it is said, over $600,000, were made wholly without the knowledge of the officers and directors of the bank. The securities given by Loper as collateral for the loans were found, according to the statement of one of the bank's officials, to have very little value. In consequence of these relations the bank closed its doors to-day Insurance asked the court to Wednesday indefinitely. The State Commissioner appoint on a receiver for the Guarantors' Company, which did an insurance business, and it is believed that Hopkins, on learning that the company could not make good its indebtedness to the bank and knowing that exposure would follow an investigation of the Guarantors' affairs, concluded to end his troubles by taking his life. It is the general belief in financial circles that the People's Bank will pay dollar for dollar to its creditors. President McManes is reputed to be worth at least $10,000,000, and he is credited with the statement that he would see that no creditor of the bank lost a cent. The directors are: James G. Wells, Clay Kemble, Allen B. Roorke and John Wiseman. The bank was incorporated in 1870 under the State laws, and for years was known as the "Political Bank," because it attended to the financial transactions of nearly every city or State politician of note. United States Senator Quay has had extensive dealings with the bank, but a telegram received to-day from Mr. Quay stated that he was not affected in any way by the failure. The bank has a capital stock of $1,500,000 and is an official depository for the city and State. The active deposit of the State's fund is $505,000. and of the State sinking fund there is on deposit about $250,000. City Treasurer Michael says there is $25,000 of city money on deposit, this being about 13 per cent of the deposit to which the bank is entitled by law.

3. March 29, 1898 Kansas City Journal Kansas City, MO

Article from Kansas City Journal, March 29, 1898

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LOPER UNDER ARREST. Man Whose Borrowings Wrecked a Philadelphia Bank to Be Prosecuted. Philadelphia, March 28.-Richard F. Loper, vice president and general manager of the Guarantors' Finance Company, was placed under arrest this afternoon charged with conspiracy to defraud the People's bank. The warrant, which was sworn out by Albert Tabor, receiving teller at the People's bank, charges that when the bank closed its doors on March 25, Loper was indebted to that institution to the extent of $600,000, for which he had given securities that were actually worthless. Cashier John S. Hopkins, of the People's bank. committed suicide Thursday morning. March 24, after he had learned that application had been made for a receiver for the Grantors' company. Mr. Loper subsequently entered bail before Magistrate Jermon in the sum of $25,000. His bondsmen are Henry C. Ellis. treasurer of the Guarantors' company, and Gilbert Reter. President McManes. of the People's bank, to-night issued a sworn statement in which he personally agrees to make good all losses of the bank's proceeds. He says an examination reveals that the bank is insolvent. due to unauthorized and unlawful transactions between the dead cashier, John S. Hopkins and Richard F. Loper. The amount of these transactions will reach about $700,000. It is understood that the capital stock of the bank. which is $150,000. shall be paid in by the stockholders. In addition, President McManes consents to the appointment of Thomas W. Barlow as temporary receiver for the bank.

4. March 29, 1898 The Indianapolis Journal Indianapolis, IN

Article from The Indianapolis Journal, March 29, 1898

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HIS SECURITIES WORTHLESS. Arrest of R. F. Loper on Charge of Conspiracy to Defraud. PHILADELPHIA, March 28.-Richard F. Loper, vice president and general manager of the Guarantors' Finance Company, was placed under arrest this afternoon, charged with conspiracy to cheat and defraud the People's Bank. The warrant, which was sworn out by Albert Tabor, receiving teller of the People's Bank, charges that when the bank closed its doors on March 25 Loper was indebted to that institution to the extent of about $600,000, for which he had given securities that were actually worthless. Cashier John S. Hopkins, of the Peo, ple's Bank, committed suicide Thursday morning, March 24, after he had learned that application had been made for a receiver for the Guarantors' Company.

5. March 29, 1898 The Record-Union Sacramento, CA

Article from The Record-Union, March 29, 1898

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CONSPIRACY TO DEFRAUD. Vice-President of a Bank Placed Under Arrest. PHILADELPHIA, March 28.-Richard F. Loper, Vice-President and General Manager of the Guarantors' Finance Company, was placed under arrest this afternoon, charged with conspiracy to defraud the People's Bank. The warrant, which was sworn out by Albert Tabor, receiving teller at the People's Bank. charges that when the bank closed its doors on March 25th Loper was indebted to that institution to the extent of $600,000, for which he had given securities that were actually worthless. Cashier John S. Hopkins of the People's Bank committed suicide Thursday morning, March 24th, after he had learned that application had been made for a receiver for the Guarantors' Company.

6. March 29, 1898 The Scranton Tribune Scranton, PA

Article from The Scranton Tribune, March 29, 1898

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LOPER ARRESTED. Vice-President of the Guarantors' Finance Company Under Bailon Charge of Conspiracy. Philadelphia, March 28.-Richard F. Loper, vice president and general manager of the Gurantors' Finance company, was placed under arrest this afternoon charged with conspiracy to cheat and defraud the People's bank. The warrant was sworn out by Albert Tabor, receiving teller of the People's bank. When the bank closed its/ doors on March 25, it was said that Loper was indebted to that institution to the extent of $600,000, and that he had given securities which were practically worthless. Cashier John S. Hopkins, of the People's bank, who made the loans to Loper, committed suicide Thursday morning, March 24, after he had learned that application had been made for a receiver for the Guarantors' company. Mr. Loper subsequently entered bail before Magistrate Jermon in the sum of $25,000. His bondsmen are Henry C. Ellis, treasurer of the Guarantors' company, and Gilbert Riter. President McKanes, of the People's bank, tonight issued a sworn statement in which he agreed to personally make good all losses of the bank's proceeds. He says an examination reveals that the bank is insolvent due to unauthorized and unlawful transactions between the dead cashier, John S. Hopkins, and Richard F. Loper. The amount of these transactions will reach about $700,000. It is understood that the capital stock of the bank, which is $750,000, shall be paid in by the stockholders. In addition President McMane consents to the appointment of Thomas W. Barlow as temporary receiver for the bank.

7. March 30, 1898 The Times Richmond, VA

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POLICY HOLDERS HERE PROTECTED. State Treasurer Harman Holds the $25,000 Fund TO SATISFY THEIR CLAIMS. Story of Illegal Transactions That Drove a Bank Cashier to Commit Suicide-Suits Pendin Circuit Court. The local policy holders in the Guarantee Liability and Indemnity Company, of Pennsylvania, which was bought out by the Guarantors' Finance Company, of Philadelphia, the concern for which a receiver has been asked, will not lose any. thing by reason of the entanglement the concern has found itself in. This was determined by State Treasurer Harman, with whom the original guarantee fund was deposited by the former company according to the State laws. It was some time ago that the Guarantee Liability and Indemnity Company of Pennsylvania took steps towards doing business in Virginia. The company deposited $25,000 with State Treasurer Harman, according to the laws of this State, as a guarantee fund, and a number of policyholders were secured in several cities, including Alexandria, Richmond and Norfolk, where it seems the larger part of the business in Virginia was done. Pleasants & Crenshaw were the agents here of the company. FINANCIAL REVERSES. Subsequently the Guarantors' Finance Company, of Philadelphia, purchased or otherwise secured the interests, liabilities and business of the former concern, but the latter company did not comply with the laws of Virginia in the way of putting up the required guarantee fund to secure its policy-holders, and consequently the concern did not make an effort to do business in the State. The Guarantors' Company had financial reverses, and recently application was made for a receiver. Richard F. Toper, vice-president and general manger of the company, and John S. Hopkins, cashier of the People's Bank, of Philadelphia, had a number of dealings with each other that resulted in the latter killing himself a few days ago upon learning that a receiver had been applied for. On March 25th the bank closed its doors, and it was then indebted to the Guarantors' Company to the extent of about $600,000. Monday afternoon Toper was arrested, charged with conspiracy to cheat and defraud the People's Bank whose president has, by the way, agreed to make good the losses of the bank's patrons. He claims that the dead cashier and the manager of the Guarantors' Company had unlawful transactions, involving $700,000, which rendered the bank insolvent. LOCAL CLAIMS. Meantime an effort was made by the Guarantors' Company to get hold of the $25,000 deposited with Treasurer Harman, but he refused to comply with the request until the Virginia policy-holders' claims are satisfied. The $25,000 will more than satisfy these claims, which are believed to amount to not more than $15,000 at most. Among those who have claims against the original company were the Chesapeake and Ohio Railway Company, the Richmond Traction Company, and the Richmond Cedar Works. The two latter companies brought suits against the company here in the City Circuit Court. The suit of the Traction Company was dismissed, while others are still pending. Mr. R. Carter Scott is counsel for State Treasurer Harman in the controversy. It is not known when the suits will be settled, as the claims and indemnities have first to be settled by commissioners. It is expected that the cases will be pending for some time yet. It will be gratifying to the Richmond policy-holders to know that they will lose nothing in the

8. January 1, 1899 Wheeling Sunday Register Wheeling, WV

Article from Wheeling Sunday Register, January 1, 1899

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plosion in a colliery at Hamme, Prussia, kills nearly 100 men. A cotton mill strike against reduction of wages begins at New Bedford and other New England towns. 19-Leaders of the English engineers' strike accept employers' terms. 21-Attorney General McKenna confirmed by the Senate as associate justice of the Supreme court. 22-A total eclipse of the sun observed in India by American astronomers. John W. Griggs nominated Attorney General. 26 -The inter-state coal convention at Chicago adjourns after settling all points in favor of miners. The second monetary convention at Indianapolis approves its commission's plan. 28-The Teller concurrent resolution, asserting the Government's right to pay bond in silver, passes the Senate. 31-The Teller resolution defeated in the House. FEBRUARY. 1-Thirty-six lives lost in a wind and snow storm on the Massachusetts coast. 2-4 decree forbidding importation of American fresh meats issued by the Prussian Minister of Finance. Cashier Quinlan, of the Chemical National bank, New York, resigns, having loaned $393,000 on collateral supposed to be worthless. 3-The United States and Japan concludes a memorandum on the subject of Hawaii. The National Biscuit Company organized. 4- -The United States legation at St. Petersburg raised to an embassy. New York Central directors authorize the issue of $100,000,000 bonds for the purchase of Lake Shore railroad stock. 5-A government relief expedition sails from Portland, Ore., for Dyea, Alaska; afterward recalled. 8- -Three thousand New York trousers makers strike. 9-A storage warehouse fire at Pittsburg ends in the loss of $1,650,000 and 18 lives-President Kruger, of the Transvaal Republic, re-elected. Luetgart, the Chicago wife murderer, convicted. President Barrios, of Guatemala, assassinated. 10-Drs. Lunbeck and Elfstrom, of New York, announce the discovery of an anti-toxin cure for pneumonia. 12-The American Flag Association organized. 15-Leaders of Democratic, Silver Republican and Peoples' parties in Congress issue a manifesto urging fusion in Congressional elections. 16--The French steamer Flachet wrecked off the Canary islands; 87 people drowned. 17-The Eastern division of the Kansas Pacific railroad sold under foreclosure to the reorganization committee. 9-The House passes the bankruptcy bill. The Hargrave faction secedes from the American Theosophical Society. 21-Zoia convicted in Paris of contempt of court because of his criticisms of the conduct of the Dreyfus case. 22 -Frazer B. Baker, colored postmaster at Lake City, S. C., killed, several of his family wounded and his house burned by a mob. The British steamship Asia wrecked off Nantucket; 18 people drowned. 24-The life of King George of Greece attempted. The Hall Chemical Works at Kalamazoo, Mich., burned; ten lives lost. MARCH. 2-Rebellion breaks out in Venezuela. 5-The Rock Island railroad mortgaged for $100,000,000. 6-The Imperial University and 3,200 other buildings burn in Tokio, Japan. Cavalotti, poet, mortally wounded in a duel with Macola, Deputy, in Rome. 8-Prof. James E. Keeler, the Pittsburg astronomer, elected Director of Lick Observatory, California. 9 9-Sheriff Martin and deputies, participate as peace officers in the Lattimer, Pa., riot, acquitted of murder. 11-The Kentucky elections bill becomes a law over the Governor's veto. 13-The Bowery mission .lodging house in New York burns; eleven lives lost. 14-Zoar community in Ohio dissolves. 15-A Bessemer pig iron pool formed. 16-Fifteen lives lost in the burning of a Chicago business block. 18-Japanese elections won by the government. A mine explosion at Bolmez, Spain, destroys about 100 lives. 19-The British-Chitral war in Northern India ended. The bark Helen W. Almy, bound for Alaska, founders off Point Bonita, Cal.; 40 people drowned. 21-Ten lives lost in the burning of the Hall House in Butte, Mont. 23-Forty-eight seal hunters perish on an ice floe off Bay de Verde, N. F. A receiver ship suit brought against the Guarantors' Finance Company, Philadelphia. 1-The battleships Kentucky and Kearsage launched. China leases two ports to Russia. 25-The People's Bank. Philadelphia. closes its doors after the suicide of Cashier Hopkins. / 27-Ministerialists win the Spanish

9. January 1, 1899 The Anaconda Standard Anaconda, MT

Article from The Anaconda Standard, January 1, 1899

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TRADE AND INDUSTRY. JANUARY. 1-Fall River spinners vote to accept a reduction in wages. 15-The Kentucky Trust company of Louisville assigns: William Reinecke, missing vice president, a confessed defaulter. 17-A cotton mill strike against reduced wages begins at New Bedford and other New England points. 19-Leaders of the Englisheengineers strike accept terms. 26-The inter-state coal convention at Chicago adjourns after settling all points in favor of miners. FEBRUARY. 1-Michigan iron mining wages raised. 2-Cashier Quinlan of the Chemical National bank. New York, resigns, having loaned $393,000 on collateral supposed to be worthless. 3-The National Biscuit company organized. 4-New York Central directors authorize the issue of $100,000,000 bonds for the purchase of Lake Shore railroad stock. 8 Three thousand New York trousers makers strike. 17-The Eastern division of the Kansas Pacific railroad sold under foreclosure to the reorganization committee. MARCH. 5-The Rock Island railroad mortgaged for $100,000,000. 15-A Bessemer pig iron pool formed. 18-The wire nail combination perfected. 23-A receivership suit brought against the Guarantors' Finance company, Philadelphia. 25-The People's bank, Philadelphia, closes its doors after the suicide of Cashier Hopkins. 30-Depew resigns the presidency of the New York Central railroad to assume the chairmanship of the entire Vanderbilt system. APRIL 2-U. S. Judge Taft. at Cincinnati, decides Clover Leaf railroad bonds valid and decrees foreclosure sale. 4-Five thousand Chicago carpenters strike. Two thousand cotton mill operatives at Taftville, Conn., strike. 11-A receiver asked for Dolge & Son at Dolgeville, N. Y. MAY. 1-Steam fitters of the country strike. 9-Robert Lindbolm. Chicago board of trade operator. assigns. JUNE. 7-Arkell and Judge Publishing companies, New York, apply for receivers. 8-The Southern iron agreement collapses. Ernest T. Hooley, the English promoter, declared bankrupt. 15-Joseph Leiter's wheat corner collapses. 22-The Baltimore & Ohio railroad reorganization plan made public. JULY. 1-Chicago stereotypers strike, suspending for several days publication of every morning newspaper in the citv. 14-Subscriptions to the government war loan closes. AUGUST. 1-The bankruptcy law takes effect. 3-The United States Spirits association organized. 11-The Westinghouse Electrical and Manufacturing company announces that its floating debt would be funded by the issue of $3,500,000 in gold debenture certificates. 13-Arbuckle sugar refinery begins operations. 17-Charles M. DePauw of New Albany, Ind., files a petition in bankrutey. 18-The tinware trust fails. SEPTEMBER. 3-Flint glass manufacturers organize a trust. 6-American Indies company organized in New York. 9-The Federal Steel company incorporated. 16-James J. Hill's Chicago syndicate secures control of the Baltimore & Ohio railroad. 23-A receiver appointed for the New England Loan and Trust company, New York. OCTOBER. -The Tradesmen's National bank of New York closes its doors.

10. January 1, 1899 The Anaconda Standard Anaconda, MT

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TRADE AND INDUSTRY. JANUARY. 1-Fall River spinners vote to accept a reduction in wages. 15-The Kentucky Trust company of Louisville assigns; William Reinecke, missing vice president, a confessed defaulter. 17-A cotton mill strike against reduced wages begins at New Bedford and other New England points. 19-Leaders of the English-engineers' strike accept terms. 26-The inter-state coal convention at Chicago adjourns after settling all points in favor of miners. FEBRUARY. 1-Michigan iron mining wages raised. 2-Cashier Quinlan of the Chemical National bank, New York, resigns, having loaned $393,000 on collateral supposed to be worthless. 3-The National Biscuit company organized. 4-New York Central directors authorize the issue of $100,000,000 bonds for the purchase of Lake Shore railroad stock. 8-Three thousand New York trousers makers strike. 17-The Eastern division of the Kansas Pacific railroad sold under foreclosure to the reorganization committee. MARCH. 5-The Rock Island railroad mortgaged for $100,000,000. 15-A Bessemer pig iron pool formed. 18-The wire nail combination perfected. 23-A receivership suit brought against the Guarantors' Finance company, Philadelphia. 25-The People's bank. Philadelphia, closes its doors after the suicide of Cashier Hopkins. 30-Depew resigns the presidency of the New York Central railroad to assume the chairmanship of the entire Vanderbilt system. APRIL. 2-U. S. Judge Taft. at Cincinnati, decides Clover Leaf railroad bonds valid and decrees foreclosure sale. 4-Five thousand Chicago carpenters strike. Two thousand cotton mill operatives at Taftville, Conn., strike. 11-A receiver asked for Dolge & Son at Dolgeville, N. Y. MAY. 1-Steam fitters of the country strike. 9-Robert Lindbolm, Chicago board of trade operator, assigns. JUNE. 7-Arkell and Judge Publishing companies, New York, apply for receivers. 8-The Southern iron agreement collapses. Ernest T. Hooley. the English promoter, declared bankrupt. 15-Joseph Leiter's wheat corner collapses. 22-The Baltimore & Ohio railroad reorganization plan made public. JULY. 1-Chicago stereotypers strike, suspending for several days publication of every morning newspaper in the city. 14-Subscriptions to the government war loan closes. AUGUST. 1-The bankruptcy law takes effect. 3-The United States Spirits association organized. 11-The Westinghouse Electrical and Manufacturing company announces that its floating debt would be funded by the issue of $3,500,000 in gold debenture certificates. 13-Arbuckle sugar refinery begins operations. 17-Charles M. DePauw of New A1bany, Ind., files a petition in bankrutey. 18-The tinware trust fails. SEPTEMBER. 3-Flint glass manufacturers organize a trust. 6-American Indies company organized in New York. 9-The Federal Steel company incorporated. 16-James J. Hill's Chicago syndicate secures control of the Baltimore & Ohio railroad. 23-A receiver appointed for the New England Loan and Trust company, New York. OCTOBER. 4-The Tradesmen's National bank of New York closes its doors.