19401. Enterprise Bank (Pittsburgh, PA)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
October 18, 1905
Location
Pittsburgh, Pennsylvania (40.441, -79.996)

Metadata

Model
gpt-5-mini
Short Digest
1083ac4d

Response Measures

None

Description

Enterprise Bank (Pittsburgh) closed in mid-October 1905 after discoveries of missing funds, alleged fraud by Cashier Clark (who later committed suicide), and the finding of duplicate books. A receiver (Cunningham, later Rinaker) was appointed and numerous suits and prosecutions followed; depositors were told they might recover only a fraction (10%) of deposits. No clear, discrete depositor run triggering suspension is described; the failure appears driven by bank-specific fraud and insolvency. Dates are inferred from publication dates and references (closure described in Oct 1905 dispatches).

Events (5)

1. October 18, 1905 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Missing cash and fraudulent transactions traced to Cashier Clark; suicide of the cashier and discovery of duplicate books; insolvency of the bank revealed by examiner Moxey and director statements indicating looting/misappropriation of funds.
Newspaper Excerpt
the Enterprise last Wednesday ... closed its doors
Source
newspapers
2. October 19, 1905 Receivership
Newspaper Excerpt
Receiver Cunningham ... took charge ... found $2,000,000 less than ought to have been there ... Receiver Cunningham is in possession of a duplicate set of books ... and upon them the federal government will base its criminal suits. (Oct-Nov 1905 articles.)
Source
newspapers
3. November 2, 1905 Other
Newspaper Excerpt
Cashier Clarke had left another written statement ... charges W. H. Andrews with Clarke's ruin. ... Special Examiner Moxey has not finished his investigation, and will not be able to do so for several months. (Nov 2, 1905 dispatch.)
Source
newspapers
4. November 15, 1905 Other
Newspaper Excerpt
Another suit on four notes, aggregating $91,038, was entered today by Receiver John Cunningham, of the defunct Enterprise Bank against Wm. H. Andrews ... (Nov 15, 1905).
Source
newspapers
5. October 31, 1906 Other
Newspaper Excerpt
Receiver Rinaker, of the Enterprise Bank, has sued the Cosmopolitan Bank to recover securities stolen from the Enterprise Bank by the cashier ... (Oct 31, 1906).
Source
newspapers

Newspaper Articles (13)

Article from Evening Star, October 23, 1905

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PENROSE HAD NOTE m L. Cla Made Homer by Castle IN ENTERPRISE BANK INSAYSPAPER W WASPAID AFTER STITUTION CLOSED. President Says He Will Spend Clear- Money to "Make Fur Fly" in ing Situation. that says Philadelphia denials, A dispatch from Penrose. despite wrecked all EnSenator Boles for $75,000 in the it went to the had note National Bank and when that the note terprise last Wednesday that time- -taken orup and wall taken up since republican state doors day has been settled by the after the bank's made ganization the the startling Homer statement L. Castle. the prohibition closed-is vesterday in this candidate city by for supreme court hours several justice. Castle stopped Pittsburg here for on his an cam- inbefore Mr going on He to spoke freely about to the Penpaigning trip and told not only other incidentials terviewer but about smash in as related rose paper to the bank several other banks way He asserted that almost as bad a One, he state are in Enterp arise. run at the the the unfor tunate withstanding a said, was barely attention was complicity called in present When time. Mr Penrose's Castle's dental of emphatiaccuse to the Senator bank failure, he either Senator but calls do not or John wish to Shaw National with W lying. Bank adnesday of Penrose when the Enterpris its doors on note for $75. by Allegheny was among closed its Shaw assets and indorsed Penrose Penrose 000 there made by John I. statement pubBoies "Then this Senator morning is Castle false replied Shaw and "The inlished Not exac tly made Mr by which John was in the paid bank on $75,000 note by Penrose. the crash was Bank dorsed the time The of cash was who carried acting paid and from lifted bank wrecked Examiner Thursday and Cunningham, with among the effects was of the Not Much Cash. else about something Mr Castle, the Let looting me "something tell of that you that bank, has continued not yet been took charge. published 'When his Receiver first Cunningham acts to was safe to depository. count more the one of and transfer it $50,000 of depositors the in cash He found $2,000,000 less belonging than National to the there was of than Enterprise was all the cash victims of paid politThat sum sight for the $75,000 was liftimmediate until the -Penrose note rascality Shaw-F the bank the Thursday Ical and the the assets of doing did among Sha bank? Why among stitution ever ed What from was assets this of make the such a loan ab the was asked question with but M Castle answer that was the another, reply. and utting them to solute know can actitude one thing. together and I know reach this conclu- John payment finding sion: That $75.00 the representation organization were tion for serv itself and rendered shaw by lican the Servination make the payment deof the repu the funds to an old trick the head manded. without resorted make note, that note, therehad Shaw indorsed ion respons bank the organizi the organizati political organiz by making was cashed which the that they were with and then state funds, with the by republical Mr. Castle had deposit to be manipulated spoke with this that Mind Articians you emphasis- "and by don't which say the that looted note manner effects of together particular is exactly be the among the one and The one conclusive have came to but by putting viction. bank: this concern equalified theory arrive give as my in this an implieit belief 's Statement. President last Pittsburg fly before A dispato the from fur is going one to who knows hold of me a tell you Every take the thing is that over. when I once am going for after knows thing never ght let about go. the this resident uttered of the who bro Gwinner. Bank. the sitting merederick rprise standing home in Allelooted Ente tonight bioned with the inthese words of of his form fairly and shook eyes the blazed closroom His eling formed intergheny tensity of his His utterance first suicide the with sentences and anger. of given the since and the the closing of view ing he T. has Lee Clark Mr. Gwinner bank Cashier dreation doors. was made by the ruined than was be the state deposits larger Fathues million would were that from or State they reached over a sensaimagined that bound to credexplanation dollars admit. and This call is for immediate that the Castle. state tion Mathues. is of the also opinion is Homer which defrom Gwinner and combination such is a posits are who is protectet political a was to wildest force corruption dreams even looted but that the bank fact beyond fighting the the State of the men today wal not condition the lowed 1sts. Nobody Mathues knows just would nancial would be nisodes folTreasure treasury creasurer sastrous in. and fina the Enterprise. if other in the disastro train of to Confer. there meeting of all Politicians is to be parties crash lid, philadelphia It is said that colitical tomorrow of the as bank were. and Atested in the gitting ashier the today for Philadel be there ex-Lieut Mantic City general Trimbo Gov mble. drews Lyon left believed to Examiner phia at tonight Atlantic that Bank affairs Lyon of the or said has and outself the for Messrs. Conningen ningham von counsel also and the ntment, Santa to his bank Mr and Kenned Kennedy and appo was the baccance Torrand Railr Railroad is very the day Alleghen Central the least feat tures hositors had say of of the certain speants of ositor. have who disthe One del said though in buying up bank... is said, who the account for $10,000 $1000.00 that the have specie Wating and account versicians will resume on the if this Cent reformation cannot ring and that are the now bank of the suffering as peoinform full hedness and more smothered pay fears and look more Add would smounless af by bank ple. begins rotten to mentical influence and the The whole hine inside out. are the state suits mach are turned instead hine and leaders in fear fairs criminal that the the state the situation statement go fact frenzy disaster over to have my Gwinner. since in of further am glad id. agered said Mr. and misrep the old the the been world badsete tunate athetic OCCURRE hed feeling. The out havis this man store of unto said, bank with been are publi to be prosecution


Article from The Roswell Daily Record, November 2, 1905

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ANDREWS TO BLAME. Accused of Being the Cause of Cashier Clarke's Ruin. Pittsburg, Pa., Nov. 2.-U. S. District Attorney Dunkle stated today that Cashier Clarke had left another written statement besides the one aildressed to his wife dealing with the Enterprise Bank's affairs. Attorney Dunkle said that the statement or confession was in the hands of ro ceiver Cunningham. It is not signed, but charges W. H. Andrews with Clarke's ruin. "Has anything been done towards beginning a criminal action against any one?" was asked. "Nothing yet," replied Dunkle. "We must be able to show that Clarke and others were engaged in a conspiracy to wreck the bank or misappropriate its funds before we can get action against them, and as Cashier Clarke is dead it is going to be something difficult to do. Besides htat, Special Examiner Moxey has not finished his investigation, and will not be able to do so for several months."


Article from Omaha Daily Bee, November 3, 1905

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SECOND LETTER BY CLARK Receiver Cunningham Has Note Left by Dead Cashier of Enterprise Bank. PITTSBURG, Nov. 2-United States Dis. trict Attorney Dunkle stated today that Cashier Clark had left another written statement besides the one addressed to his wife, dealing with Enterprise bank affairs. Attorney Dünkle said the statement, or the confession, as it has been referred to, was in the possession of Receiver Cunningham. It is shorter than the one to Mrs. Clark. It is not signed, but charges W. H. Andrews with Clark's ruin. "Has anything been done toward beginning criminal action against anyone?" was asked. "Nothing yet," replied Attorney Dunkle. "We must be able to show that Clark and others were in conspiracy to wreck the bank or misappropriate its funds before we can get action against them and, Cashier Clark being dead, that is going to be something of a difficult matter to do. Resides Special Examiner Moxey has not finished his -Investigation and will not be able to do so for several months."


Article from The Washburn Leader, November 3, 1905

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DEPOSITORS ENRAGED. I Defunct Allegheny Bank Will Pay Only Ten Cents on the Dollar. Pittsburg, Nov. 1.-The report that the Enterprise bank will be unable to pay more than 10 per cent of the deposits has greatly enraged the depositors and a movement to organize for mutual protection has been started. The directors of the suspended institution meet almost daily, but their conferences are confined almost entirely to the discussion of the extent of their liability. They declare that any possible action on their part must be delayed until the. report of the receiver shall be published.


Article from Albuquerque Evening Citizen, November 15, 1905

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A STORY THAT SOUNDS DECIDEDLY FISHY. Pittsburg, Pa., NOV. 15.-One of the latest reports concerning the Enterprise bank is that Receiver Cunningham has in his possession a duplicate set of books kept by persons in the


Article from Albuquerque Morning Journal, November 15, 1905

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HYDE BUT PUPPET OF WALL ST. BUCCANEERS DEAD CASHIER KEPT OPENED DOOR DUPLICATE BOOKS OF PEOPLE'S Secret Accounts of the Enterprise Bank Showing Details of Crooked Transactions To Be the Basis TREASURY of Government's Criminal Prosecutions. Pittsburg, Pa., Nov. 14.-If the latest reports concerning the Enterprise Most Sensational Testimony bank are true, Receiver Cunningham is in possession of a duplicate set of books kept by persons in the bank between August 25 last, when the federal Committee Has Heard. examination was made, and the day the bank closed its doors. This information comes from one of the directors of the Enterprise bank, who appeared to be surprised that no mention had been previously made of this incident in HARRIMAN AND FRICK the examination of the bank's accounts. The finding of the books was some days subsequent to the suicide of SOUGHT TO EXILE HIM Cashier Clark, and a perusal of them has been of invaluable assistance in tracing to their source many of the fraudulent financial transactions that wrought the wreck of the bank. It is said Examiner Moxey carried with him Petted Son Tells How He Came From to Washington a complete copy of these accounts, and upon them the federal government will base its criminal suits. College to $30,000 Job and Just who will be hit by this contemplated action is a matter of conHow He Was Used by jecture. The presumption is that Clark had not sole knowledge of these books, and was not the only person who made entries in them. It is known Smarter Men. that certain employes of the Enterprise bank have been compelled to secure the receiver by giving judgment notes and making real estate transfers. New York. Nov. 14.--James Hazen Inquiry into the reason for this elicits the information that these emHyde, former vice president of the ployes secured loans from the bank that have not yet been met. What the Equitable Life Assurance society, sums aggregate is not known, but Receiver Cunningham insisted that these whose resignation followed the sensaloans be insured by notes and property transfers of equivalent value. tional disclosures in that company last


Article from The Roswell Daily Record, November 15, 1905

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es ANNDREWS IS SUED ON li FOUR MORE NOTES. p PPittsburg, Pa., Nov. 15.- 8 o Another suit on four notes, agb gregating $91,038. was entered S1 $ B. today by Receiver John r1 Cunningham, of the defunct cl Enterprise Bank against Wm. a: H, Andrews, of New Mexico. o X X x X X x x X S x 53


Article from New-York Tribune, November 15, 1905

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HAVE DUPLICATE BOOKS. Report That a Second Set Was Kept in Enterprise Bank. Pittsburg, Nov. 14.-If the latest report concerning the Enterprise Bank be true, Receiver Cunningham has a duplicate set of books kept by persons in the bank between August 25, when federal examination was made, and the day the bank closed its doors. The finding of the books was some days subsequent to the suicide of the cashier, Mr. Clark, and a perusal of them has been of invaluable assistance in tracing to their source many of the fraudulent financial transactions that wrecked the bank. It is said that the examiner, Mr. Moxey, carried with him to Washington a complete copy of these accounts, and upon them the federal government will base its criminal suits.


Article from Richmond Planet, November 18, 1905

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HAS DUPLICATE BOOKS Said to Be In Possession of Receiver of Enterprise Bank. Pittsburg, Pa., Nov. 15-If the latest report concerning the Enterprise Bank is true, Receiver Cunningham is in possession of a duplicate set of books kept by persons in the bank between August 25 last, when federal examination was made, and the day the bank closed its doors. This information comes from one of the directors of the Enterprise bank, who appeared to be surprised that no mention had been previously made of this incident in the examination of the bank's accounts. The finding of the books was some days subsequent to the suicide of Cashier Clark, and a perusal of them has been of invaluable assistance in tracing to their source many of the fraudulent financial transactions that brought about the wreck of the bank. It is said Examiner Moxey carried with him to Washington a complete copy of these accounts. and upon them the federal government will base its criminal suits.


Article from Santa Fe New Mexican, March 7, 1906

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IS SANTA FE SOLD? CENTRAL Pittsburg Reports Say Deal Has Been Closed. TALLMADGES INTERESTED Sale Would Probably Make This Line Part of Gould System. Pittsburg dispatches still maintain that the Santa Fe Central Railway Company has been sold to the Tallmadges and others. Despite the fact that Colonel W. S. Hopewell, vice president of the road, says the reports are without foundation, the following dispatches indicate the reverse: Officials Meet. Pittsburg, March 7.-A meeting of the Pennsylvania Development Company, owners of the Santa Fe Cen tral Railway, was held here tonight at which it is announced it was agreed to accept the offer made for the railroad by C. W. Tallmadge, of Chicago The formal negotiations will be com pleted within a week and the transfer will be made immediately thereafter. Francis J. Torrance, vice president of the Santa Fe Central, said that he would issue a statement when the sale is consummated. The sum realized from the sale of the road will be an enormous benefit to the depositors of the closed Enterprise Bank. Some of the properties of the Santa Fe Central Railway had been rated by Special Examiner E. P. Moxey, of the bank as "doubtful" the others as "good' The sale now said to be nearing consummation will put an entirely different face on the next report covering these properties, and it is agreed that the large portion of the "doubtful" assets would be switched into the "good" assets column, for the real value of these properties is not questioned here. Was Not Informed. "I have not been informed of this sale," said Receiver Thomas Rinaker of the Enterprise Bank, 'but it will be a good thing for theodepositors. I cannot, however, undertake to say how much it will do." Various estimates of the price that is to be paid for the railroad property have been made here. The fact that the company has a stock issue of $2,500,000 was used as a basis for the price to be paid. Inasmuch as the proposed buyers offered 100 per cent of the actual money invested in the building of the road and in securing the property, the amount of the bond issue can barely be taken as indicating the actual price offered. The new owners are to assume the bonds issued by the road and pay the stockholders the amount their stock cost What this will be is not stated and is likely that no statement will be made until the matter has been deflnitely closed up. Pittsburg, Pa., March 7.-Thomas Rinaker, receiver of the Enterprise Bank, said this afternoon that Francis J. Torrance, vice president of the Santa Fe Central Railway, had not informed him that negotiations were in progress for the sale of the road to the Tallmadge syndicate, of which rumors have been current here for some days. Admit Deal Is On. Roswell, N. M. March 7.-E. R. Tall madge, of the firm of Tallmadge & Tallmadge, Chicago, arrived in Ros well tonight, having come from Pittsburg by way of El Paso, Torrance and the automobile line. He has been in Pittsburg for the past month with his brother, C. L. Tallmadge, negotiating for the purchase of the Santa Fe Central Railway. Tonight Mr. Tallmadge declined when pressed by the Morning Journal correspondent, to discuss the salient point of the deal, in that he would not say whether or not the deal for the purchase of the road had been closed. While Mr. Tallmadge said that he was not in a position to give out any definite statement as to the conclusion of the negotiations, he talked of the proposed sale of the railroad, saying that the Tallmadges "were not mere brokers in the deal, but that they were generally interested and were now preparing to move their headquarters from Chicago to Roswell for the present, at least. Urged to make a statement as to who were behind the Tallmadge syndicate in the pending transaction. he said that he could not do so: but he said that it was a notable fact that the Goulds refused to discuss the deal leaving the inference that they are interested. He said further that there is no question of the immediate extension of the line to Roswell and Albuquer


Article from The Roswell Daily Record, October 31, 1906

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TO RECOVER STOLEN SECURITIES OF ENTERPRISE BANK Special to Daily Record. Pittsburg, Pa., Oct. 31.Receiver Rinaker, of the Enterprise Bank, has sued the Cosmopolitan Bank to recovS er securities stolen from the Enterprise Bank by the cashier in the interest of politicians backing the New Mexico development project.


Article from New-York Tribune, October 31, 1906

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ANOTHER ENTERPRISE BANK SUIT. Receiver Brings Action to Obtain Accounting from Pittsburg Institution. [By Telegraph to The Tribune. 1 Pittsburg. Oct. 30.-Another lawsuit growing out of the failure of the Enterprise Bank was disclosed to-day, when Thomas Rinaker, receiver of the defunct bank, brought suit in Common Pleas Court No. 1 against the Pennsylvania Development Company, A. L. Richmond, jr., of the Ferguson Construction Company, and the Cosmopolitan Bank. Mr. Rinaker asks that an accounting be given of certain stocks which. it is alleged. were hypothecated by Clark for the benefit of the defendants. D. J. Richardson, cashier of the Cosmopolita!!, admits that certain stocks were deposited by Richmond in his bank long ago, but that they were afterward lifted by him.


Article from New-York Tribune, June 11, 1907

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ENTERPRISE BANK TRIAL. Pittsburg Real Estate Man Alleged to Have Abetted Cashier. [By Telegraph to The Tribune] Pittsburg. June 10.-Two serious charges were brought out against Lemert S. Cook, a real estate man, in his trial to-day for alleged complicity in wrecking the Enterprise Bank. It was charged that Cook had overdrawn his account at the bank $63,170.22 and that he is indebted to the bank in that sum. Testimony was introduced to show where he had placed checks for $25,000, $20,000 and smaller amounts, as well as notes when his account was overdrawn. The more serious testimony, however, showed that Cook assisted Cashier Clark to re-hypothecate securities left at the Enterprise Bank for collateral on loans. A transaction in which Cook sought to borrow $5,500 on fifteen shares of stock and three Arkansas water bonds belonging to D. L. Patterson, of this city, was shown by officials of the Guarantee Title and Trust Company, where Cook sought to make the loan, and through the vice-president of the Duquesne Bank, who was asked to transfer the stock from Patterson to the trust company. Patterson telephoned to the Duquesne Bank fifteen minutes before the demand was made for a transfer not to honor a power of attorney he had given to Clark. The receivers said they had no record of the shares at the Enterprise Bank and that they could not find the securities.