19493. Sandy Lake Savings Bank (Sandy Lake, PA)

Bank Information

Episode Type: Run → Suspension → Reopening
Bank Type: savings bank
Start Date: January 16, 1891
Location: Sandy Lake, Pennsylvania (41.349, -80.082)

Metadata

Model: gpt-5-mini
Short Digest: f27bdf01

Response Measures

Accommodated withdrawals, Capital injected, Full suspension, Books examined

Other: Depositors' committee examined books; stockholders pledged funds and agreed to time payments.

Description

Failure of the nearby Stoneboro (Citizens') Bank and assignment of its cashier triggered depositor panic at Sandy Lake. The Sandy Lake Savings Bank closed its doors around Jan 16–17, 1891 to avoid a rush, then resumed operations Jan 23, 1891 after an agreement with depositors and a committee report showing solvency.

Events (3)

1. January 16, 1891 Run

Cause: Local Banks
Cause Details: Depositors rushed and were frightened by the failure/assignment of the Citizens' Bank at Stoneboro (one mile away), prompting heavy withdrawals and agitation.
Measures: Closed doors Wednesday evening to avoid a rush; later agreed with depositors to grant time and staged payments.
Newspaper Excerpt: The doors of the Sandy bank were closed Wednesday evening to avoid a rush by the depositors, who were frightened by the failure of the Citizens' Bank at Stoneboro, one mile distant.
Source: newspapers

2. January 16, 1891 Suspension

Cause: Local Banks
Cause Details: Suspension/closing was a precautionary response to the panic caused by the nearby Stoneboro bank's failure/assignment; bank later arranged with depositors to grant time.
Newspaper Excerpt: The doors of the Sandy bank were closed Wednesday evening to avoid a rush by the depositors...
Source: newspapers

3. January 23, 1891 Reopening

Newspaper Excerpt: The Sandy Lake Bank resumes operations to-day by consent of the depositors... A deposit of $20,000 cash will at once be placed in the bank; ... The bank agrees to pay the depositors 10 per cent in ten days, 15 per cent in three months, and 75 per cent in three quarterly payments, with 2 per cent interest on all deposits.
Source: newspapers

Newspaper Articles (7)

1. January 17, 1891 Pittsburg Dispatch Pittsburgh, PA

Article from Pittsburg Dispatch, January 17, 1891

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Article Text

TWO BROKEN BANKS. Causes Which Led to the Assignment of Cashier Zahiniser. ONE BANK THOUHGT TO SOLVENT Tall Tales Told Still by the Nervy Johnstown Flood Frauds. THE PIONEER COKE FUEL FURNACE 'SPECIAL TELEGRAM TO THE DISPATCH.1 SANDY LAKE, PA., Jan. 16.-The assignment of M. L. Zabiniser, proprietor of the Citizens' Bank, of Stonesboro, and cashier of the Sandy Lake Savings Bank, has caused a great excitement in this vicinity. The depositors at once hastened to the bank here to withdraw their money. When the doors were closed some were so much excited as to threaten violence. The doors of the Sandy bank were closed Wednesday evening to avoid a rush by the depositors, who were frightened by the failure of the Citizens' Bank at Stoneboro, one mile distant. Zahiniser has assigned to his son Harry, as trustee, to protect his depositors to the amount of $28,000 and $2,000 and $1,000 to his son Harry. The assets cannot as yet be ascertained. Mr. Zahiniser owns a large interest in a leading drygoods store and considerable real estate, and is also a prominent shareholder in the Excelsior Stock Company of Sandy Lake. The real cause of the failure arises from the fact that R. R. Wright, of Mercer, was contemplating the purchase of an interest in the Sandy Lake Bank, and he would. thereupon. become cashier of the bank. Among the papers upon which Mr. Wright desired better security were those of M. L. Zahiniser. amounting to $18,000. The bank officials urged Mr. Zahiniser to reduce this sum, or otherwise make it good. Fearing an execution Mr. Zahiniser made the assignment to preferred creditors. The Sandy Lake Bank is thought to be entirely solvent, as its stockholders are all men of good financial standing and are individually liable. The deposits in this bank are about $50,000. A reorganization will doubtless be effected soon, a new cashier elected and the doors opened for business as usual. The Stoneboro Bank was opened about two years ago by Mr. Zahiniser as a private institution while yet he remained acting cashier of the Sandy Lake Bank.

2. January 20, 1891 The Madison Daily Leader Madison, SD

Article from The Madison Daily Leader, January 20, 1891

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SPARKS FROM THE WIRES. ALLEN & Co., the bucket shop firm of Buffalo, N. Y., have discontinued business. The claims against the firm are heavy. IT is stated that the Irish of the provinces of Ulster, Connaught and Munster have reached the extreme limit of destitution. THE pope has remonstrated with the Russian government for its. persecution of Catholics and for closing the Catholic churches in Vilna. THE board of trade and the Farmers' alliance of Palouse City, Wash., have sent a carload of flour to the destitute farmers In Cheyenue county, Nebraska JOHN JOHNSON a 15-year-old negru boy, was hanged at Opelika, Ala., for murder. Johnson on the scaffold said he felt as If he had religion. THE operative Plasterers' International union at Boston voted not to affiliate with the American federation of labor after an exhaustive debate. UNKNOWN parties in Shousetown, Pa. tattooed a cross on the forehead of Charles Russ while, it is supposed, he was under the influence of chloroform He had separated from his wife. AT Denver the store of the Conforth Grocery company has been closed by the sheriff. Attachments to the amount of $34,000 have been filed in the district and county courts. THE Riley-Osborn Manufacturing company. of Newark, N. J., is in the hands of a receiver. Debts, $390,000; assets less than half. Six hundred persons were employed by them. The line is fancy metal. THE most decided sensation was sprung in the Indiana legislature when a special message from the governor was read, charging Warden Murdock of the Northern prison, with misapplying a about $40,000. y e AT Pittsburg Rev. J. T. Riley, the f Methodist Episcopal minister, has been found guilty by a church committee of imprudence and unministerial conduct. f The charges were preferred by W. T. I Minnick, who alleged that Rev. Mr. Riley had alienated the affections of his wife. THE Stoneboro, Pa., Savings bank and t the Sandy Lake, Pa., Savings bank, both h of which were largely managed by the same parties, have failed. The liabilif ties of the Stoneboro institution exceed if the assets, but the Sandy Lake concern claims to be able to pay Its debts in full. r

3. January 22, 1891 The Worthington Advance Worthington, MN

Article from The Worthington Advance, January 22, 1891

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THE EAST. By the explosion of a locomotive at Ashland, Pa., three men were killed and one was fatally injured. By the bursting of a steam pipe in the Edison Electric Light Company's works at Philadelphia three men were fatally scalded. FLAMES ruined E. M. Van Tassell's grain elevator in New York, causing a loss of $200,000. AT an Italian wedding at the residence of Michael Sussano in Erie, Pa., the baby son of the host fell into a caldron of soup and was cooked to death. THE representatives of thirty tanning establishments, with $12,000,000 and covering the whole country, were forming a combination at Pittsburgh, Pa. THE directors of the Bell Telephone Company at Boston voted to issue $2,500,000 new stock. This would increase the capital stock to $15,000,000. ON the Long Island Rapid Transit railroad nine persons were injured in a collision near Denton station, Long Island. ICE gorged in the Susquehanna river near Wilkesbarre, Pa., and the surrounding country was flooded. TELEGRAPH operators on the line of the Nickel-Plate have been given an increase of five dollars per month in wages. ON the 15th the Republicans of the New Hampshire Legislature nominated Jacob H. Gallinger to succeed Senator Blair in the United States Senate. ON the 15th Charles King, of Middletown, Mass., was 110 years old. His health was good. AT the Bannock granite quarry at Split Rock, N. Y., a runaway car instantly killed Engineer Norton, George Talbot and Robert and David Robertson, and fatally injured four other men. THE Sandy Lake Savings Bank and the Stoneboro Savings Bank, both of Pennsylvania and both managed by the same parties, have failed. IN the carpet-mill of John and James Dobson at Philadelphia fire caused a loss of $500,000. A SHOCK of earthquake was felt in Pepperell, N. H., and adjoining towns which rung sleigh bells in stables and crockery was rattled.

4. January 22, 1891 River Falls Journal River Falls, WI

Article from River Falls Journal, January 22, 1891

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THE EAST. AT an Italian wedding at the residence of Michael Sussano in Erie, Pa., the baby son of the host fell into a caldron of soup and was cooked to death. THE representatives of thirty tanning establishments, with $12,000,000 and covering the whole country, were forming a combination at Pittsburgh, Pa. THE directors of the Bell Telephone Company at Boston voted to issue $2,500,000 new stock. This would increase the capital stock to $15,000,000. ON the Long Island Rapid Transit railroad nine persons were injured in a collision near Denton station, Long Island. ICE gorged in the Susquehanna river near Wilkesbarre, Pa., and the surrounding country was flooded. TELEGRAPH operators on the line of the Nickel-Plate have been given an increase of five dollars per month in wages. ON the 15th the Republicans of the New Hampshire Legislature nominated Jacob H. Gallinger to succeed Senator Blair in the United States Senate. ON the 15th Charles King, of Middletown, Mass., was 110 years old. His health was good. AT the Bannock granite quarry at Split Rock, N. Y., a runaway car instantly killed Engineer Norton, George Talbot and Robert and David Robertson, and fatally injured four other men. THE Sandy Lake Savings Bank and the Stoneboro Savings Bank, both of Pennsylvania and both managed by the same parties, have failed. IN the earpet-mill of John and James Dobson at Philadelphia fire caused a loss of $500,000. A SHOCK of earthquake was felt in Pepperell, N. H., and adjoining towns which rung sleigh bells in stables and crockery was rattled. THE loss by the recent fire in the Dobson carpet mills at Philadelphia was $1,500,000, and 5,000 persons were thrown out of work. AT Buffalo, N. Y., flames in the hardware,store of Walbridge & Co. caused a loss of $225,000. IN Boston George Clarke, his wife Maggie and daughter Mary, 5 years old, were suffocated by illuminating gas while asleep at their home.

5. January 24, 1891 The Cape Girardeau Democrat Cape Girardeau, MO

Article from The Cape Girardeau Democrat, January 24, 1891

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AT an Italian wedding at the residence of Michael Sussano in Erie. Pa. the baby son of the host fell into a caldron of soup and was cooked to death. THE representatives of thirty tanning establishments. with $12,000,000 and covering the whole country, were forming a combination at Pittsburgh, Pa. THE directors of the Bell Telephone Company at Boston voted to issue S2.500,000 new stock. This would increase the capital stock to $15,000,000. ON the Long Island Rapid Transit railroad nine persons were injured in a collision near Denton station. Long Island. ICE gorged in the Susquehanna river near Wilkesbarre, Pa.. and the surrounding country was flooded. TELEGRAPH operators on the line of the Nickel-Plate have been given an increase of five dollars per month in wages. ON the 15th the Republicans of the New Hampshire Legislature nominated, Jacob H. Gallinger to succeed Senator Blair in the United States Senate. ON the 15th Charles King. of Middletown. Mass. was 110 years old. His health was good. AT the Bannock granite quarry as Split Rock. N. Y., a runaway car instantly killed Engineer Norton, George Talbot and Robert and David Robertson. and fatally injured four other men. THE Sandy Lake Savings Bank and the Stoneboro Savings Bank. both of Pennsylvania and both managed by the same parties. have failed. IN the carpet-mill of John and James Dobson at Philadelphia fire caused a loss of $500,000. A SHOCK of earthquake was felt in Pepperell, N. H., and adjoining towns which rung sleigh bells in stables and crockery was rattled. THE loss by the recent fire in the Dobson carpet mills at Philadelphia was $1,500,000. and 5.000 persons were thrown out of work. AT Buffalo, N. Y.. flames in the hardware store of Walbridge & Co. caused a loss of 8225.000. IN Boston George Clarke. his wife Maggie and daughter Mary. 5 years old, were suffocated by illuminating gas while asleep at their home.

6. January 24, 1891 Pittsburg Dispatch Pittsburgh, PA

Article from Pittsburg Dispatch, January 24, 1891

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SANDY LAKE'S BANK RESUMES. An Agreement Made Between It and Stockholders. 'SPECIAL TELEGRAM TO THE DISPATOH.1 SANDY LAKE, PA., Jan. 23,-The Sandy Lake Bank resumes operations to-day by consent of the depositors, as it was expected its solvency is completely established, depositors agreeing to grant time. The total assets of the Sandy Lake Bank and its stockholders amount to about $90,000. while the bank's liabilities will not exceed £60,000. This is established by the report of a committee of five, appointed by the depositors to carefully examine the condition of the bank. A deposit of $20,000 cash will at once be placed in the bank; in addition to the funds now on hand. The bank agrees to pay the depositors 10 per cent in ten days, 15 per cent in three months, and 75 per cent in three quarterly payments, with 2 per cent interest on all deposits. The suspension of the bank here has caused considerable financial embarrassment in this vicinity, but with the opening of the bank business is expected to move on as heretofore.

7. January 15, 1892 The Jasper Weekly Courier Jasper, IN

Article from The Jasper Weekly Courier, January 15, 1892

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BUSINESS FAILURES. Jan. 13-E H. Amidon, dry goods dealer. New York: 4697,766. Jan. 16-Stoneboro savings bank and Sandy Lake savings rank. both of Pennsylvania. Jan. 19-American national bank. Kansas City. Mo.: $2,000,000. Jan 20- State bank of Cawker City, Bank of Downs and Glen Eider bank of Gien Ender. all of Kausas, suspended Jan. ?!-Kawaka City (Kan.) state bank. Jan 16-Savings bank of Wichita, Kan.: @81,000. Feb. 5-First Arkansas Valley bank, Wichita. Kan.: $120,000. Feb. 12-First national and North Middlesex savings bank. Ayer. Mass. Feb. 19-John D. Knox u Co., private bankera. Topeka.Ka $340,000 Union Investment Company, Kansas City: $1,000,000. Feb. 25-Windsor national bank. Windsor, Vt. Mar 19-J. & A Simpkinson, beet and shoe manufacturers, Cincinnati; $400.000 United States savings bank, Topeka, Kan., $350,000. Mar. w-Theodore Schwartz & Co., private bankers. Louisville, Ky.; $600,000. Mar. 24-Washington national bank, New York Schall & Downer, bankers. York. Pa. Apr. 8-The John McNabb bank, Eufaula, Ala Apr. 4-Columbia Iron & Steel Company and Pennsylvania Construction Company, Uniontown Pa: 01,000.000 May 7-Bank of Allen ecunty at Scottsville, Ky. May 9-Spring Garden national bank. Phila delpaia. May 15-People's bank at Knoxville, Tenn. May w-Hils Shot Company at Memphis, Tenn. $000,000. May 96-Potter, White & Bailey, shoe manufacturers at Boston: $1,000,000. May 27-John Ryan's Sons, wholesale dry 5 ocas, Atlanta, Ga.: $1,000,000. June 4-The City national bank at Marshall Mich. June -Connell, Hall, McLaster & Co., wholesale dry goods, Nashville. Tenn.: $500,000 The Huntington (ind.) bank. June 13-Central national bank, Broken Bow, Neb. June 13-Sevill Scofield. woolen manufacturer at Manayunk, Pa: $800,000. June W-Tue Florence national bank. Florence, Ala., and Sax Brothers' savings bank, Nashville, Tena. July 7-Moses Bros., bankers, Montgomery, Ala; 6500.000. July 8-Bank of Commerce. Sheffield. Ala. July H-E C. Stark. banker at Onerda, N. Y.; $220,000. July 16-Spooner R. Howell & Co., lumber dealers, Chicago, and other cities; $2,000,00 July 17-First national bank, Wyundotte, Kan.: $1,000,000. July 18-First national bank. Palatka Fla.: $900,000 Bonnell & Co., printer's ink manufacturers, New York, $100,000. July Vi-Central bank of Kansas at Kansas City, Kan $100,000 Merchants' national bank. Fort Worth, Tex.: $500,000. July 23-Oitizens' bank of Jefferson. Tex.: $100,000. Aug. 4-Abraham Backer, dry goods commission, New York: $4,000,000 Samuel Hano, real estate dealer, Allston, Mass.: $500,000. Aug 8-Musonic savings bank, Louisville, Ky.: $1,000,000. Aug. 19-Johnston, Tailman & Co., fireworks importers. New York city: $600,000. Sep. 23-S. V Winte&Ca. New York, commission merchants. $2,000,000. Sep. .0-F. B. Wallace & Ca, New York. brokers: $300.000. Oct. -First national bank at Clearfield Ps., Chrisman (IIL) bank: $100,000. Oct. 3-Turner & Bra, Boston bankers; $300,000. Oct. 5-Uister county savings institution, Kingston, N. Y., robbed by officials of $463,000. Oct. 16-State bank at Gritaa, Neh. Oct. 17-The Columbia bank and the Bank of Columbia, at Nushville, Tenn. Oct. 23-Bank of Lewisburg, Tenn $80,000. Nov 2-Maverick national bank of Boston, suspended: liabilities, $10,000,000. Nov. 7-The Cochrane-Fulton Company, distillers. at Louisville, Ky.: liabilities, $500,000 Bank of Florence, A.a. $100,000. Nov. 7-The Corry (Pa) national bank closed its doors: $700.000. Nov. 13-California national bank at Santiago, Cal. Nov. 14-Bonner & Bonner. bankers at Tyler, Tex.: $500.000. Nov. 25-Farmers' and Miners' Deposit bank, Irwin, Pa.... First national bank, Wilming ton, N. C. Nov. 28-Field, Lindley, Wiechers & Co., bankers and brokers of New York. $1,000,000. Dec. 22-Private banks at Waynesboro, War. rentown and New Market, Va., closed their doors Thomas IL Alien & Co., cotton dealers. Memphis. Tena.: $344,002. Dec. 23-Back of Greenville, Greenv'Ue, Miss. $1,000,000