19605. Brown & Gray (Wilkes-Barre, PA)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
private
Start Date
September 24, 1873
Location
Wilkes-Barre, Pennsylvania (41.246, -75.881)

Metadata

Model
gpt-5-mini
Short Digest
4bb20a1a

Response Measures

None

Description

Multiple contemporary newspapers (Sept 24–26, 1873) report Brown & Gray, bankers of Wilkes-Barre, suspended payments on 1873-09-24, posting a card blaming the failure of Henry Clews & Co. as the cause and stating they expected to resume in a few days. Articles mention local excitement but do not report a distinct depositor run on this specific firm. Classified as a suspension (caused by correspondent failure) with an intended reopening.

Events (1)
1. September 24, 1873 Suspension
Cause
Correspondent
Cause Details
Card posted on their door cited the failure of Henry Clews & Co. (a correspondent/associated house) as the immediate cause of suspension.
Newspaper Excerpt
Brown & Gray, bankers, have suspended, giving the failure of Clews & Co. as the cause, but stating that they will resume in a few days.
Source
newspapers

Newspaper Articles (11)
1. September 24, 1873 Evening Star Washington, DC
Article from Evening Star, September 24, 1873

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The Situation in Pennsy Iyania. PHILADELPHIA, Sept. 24 No failures are rew ported at Alleutown. Bethelem, Harrisburg, Pa., and Trenton, N.J. SUSPENSION AT WILKESRARRE WILKESBABRE, PA., Sept. 24 -Brown & Gray, bankers, have suspended, giving the failure of Clews & Co. as the cause, but stating that they will resume in a few days. The mining classes are large depositors with this firm, and much excitement exists. They were considered good and reliable men. EXCITEMENT IN RICHMOND. Two Banks Closed. A RUN ON THE OTHER BANKS. RICHMOND, VA., Sept. -The Dollar Savings bank closed this morning. Isaacs, Taylor & Williams have suspended on account of the scarcity of currency, their assets being double their liabilities. In both of the above concerns the stone-cutters employed at the government stone-yard were depositors to a large amount. There is considerable excitement in the neighborhood of the various banks. There is a run of small depositors on the banks, but all are holding out as yet and will doubtless weather the storm through the day, the Freedmen's Savings bank requiring legal notice, as also other private institutions. A general meeting of the members of the Chamber of Commerce, Corn Exchange, and Tobacco Association, and leading merchants will be held at one o'clock to consider the state of affairs and adopt some measures to strengthen the public confidence.

2. September 24, 1873 Evening Star Washington, DC
Article from Evening Star, September 24, 1873

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THE SALE OF BONDS TO THE GOVERNMENT. NEW YORK, noon - Up to this hour the subtreasury has !purchased twelve hundred thousand bonds, and numerous sellers are still in line. An effort is being made by the sub-treasurer to distribute greenbacks as much as possible, and with that view no more is supplied to savings banks than their needsrequire. Holders of small amounts are requested to deal through their bankers, and lessen the labor at the subtreasury. NEW YORK, Sept. 24. 12.30 p. m - The subtreasurer has purchased a million and a half bonds up to this hour. THE GOLD MARKET. NEW YORK, Sept. 24 -Gold opened firm at 112 K, but after frequent fluctuations fell to 111%. The rate paid for carrying was : per cent. to flat for borrowing. Foreign exchange is demoralized, and quotations are almost nominal. AT THE MEETING OF BANK PRESIDENTS to-day it was resolved, in addition to the issue ing of $10,000,000 of loan certificates and the suspension of currency payments in large amounts, to stand by each other with all assets, and any member failing to do so will be expelled. Each member was appointed a committee to ascertain when the ten million government bonds or any part thereof can be purchased. said bonds to be purchased on account of each bank and sold to the Treasury, any loss accruing thereby to be sustained by the banks according to their deposits in the clearingbonse. The committee request the President and Secretory of the Treasury to anticipate the pay ment of bonds due January 1874. Bad News from New Jersey. MORE MEN THROWN OUT OF WORK. PATERSON. N.J., Sept. .-Fourteen more men are to be discharged from the locomotive works of Rogers to-morrow, making one thousand men laid off this week, or two-thirds of the whole force of the establishment. The Situation in Pennsylvania. PHILADELPHIA, Sept. -No failures are rew ported at Alleutown. Bethelem, Harrisburg, Pa., and Trenton, N. J. SUSPENSION AT WILKESBARRE. WILKESTABEE PA., Sept. 24.-Brown & Gray, bankers, have suspended, giving the failure of Clews & Co. s the cause, but stating that they will resume in a few days. The mining classes are large depositors with this firm, and much excitement exists. They were considered good and reliable men.

3. September 24, 1873 Wilmington Daily Commercial Wilmington, DE
Article from Wilmington Daily Commercial, September 24, 1873

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From Pennsylvania. FAILURE AT WILKESBARRE. WILKESBARRE, Sept. 24. Brown & Gray. bankers, have suspended, giving the failure of Clews & Co., as the cause, but stating they will resume in a few days. The Mining classes are large depositors, with the firm and much excitement exists. They were considered good and reliable men.

4. September 25, 1873 The New York Herald New York, NY
Article from The New York Herald, September 25, 1873

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A Wilksbarre Bank Suspended. WILKSBARRE, Pa., Sept. 24, 1873. Brown & Gray, bankers. suspended this morning. A card, posted on their door, gives the failure of Henry Clews & Co. as the cause, but states that the firm will be all right in a few days. The mining classes are large depositors with them, but they have not yet learned of the suspension. It is the principal topic of conversation among bankers and business men, and much excitement exists.

5. September 25, 1873 Nashville Union and American Nashville, TN
Article from Nashville Union and American, September 25, 1873

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The Developments Elsewhere. Failure of Henry Clewes' London House. LONDON, Sept. 4.-Clewes, Hambicht & Co. were informed yesterday that Henry Clewes & Co. were safe, and first knew of the suspension of that New York house to. day. They immediately called in their solic tors, and after a consultation decided to suspend payment. Their liabilities are £240,000. Their other liabilities are £64,000. They have assets sufficient to meet their own liabilities, but not those of Henry Clewes & Co. The liquidation of affairs depends upon the condition of the New York house. £158,000 were drawn from the Bank of England on balance to-day, for shipment to New York. It is believed in financial circles that a flow of bullion from England to the United States will commence. Petersburg. RICHMOND, Sent. 24.-The corporation of Petersburg had over two hundred thousand dollars in the suspended banks of that city. McIlvaine & Co., of Petersburg, one of the largest commission firms in the State, is reported suspended. The Directors of the Citizens' Bank o! Petersburg, at a meeting yesterday decided to suspend to-day. Richmond Failures. The Dollar Savings Bank closed this morning. Isaacs, Taylor & Williams, bankers, suspended on account of the scarcety of currency, their assets being double their liabilities. In both the above concerns the stone cutters employed in the Government stone yard, were depositors to a large amount. There is considerable excitement in the neighborhood of the various banks. There is a run of small depositors, but the banks are altholding out and will doubtless weather through the day. The Freedmen's Savings Bank requires legal notice, as also other private institutions. A general meeting of members of the Chamber of Commerce, the Corn Exchange, the Tobacco Association and leading merchants will be held to-day, to consider the state of affairs and adopt measures to streugthen public confidence Pennsylvania. 14 PHILADELPHIA, Sept. 24.-No failures are reported at Allentown, Bethlehem, or Harrisburg, Pennsylvania, or Trenton New Jersey. Wilkesbarre. WILKESBARRE, Sept. 24.-Brown & Gray, bankers, suspended this morning. A

6. September 25, 1873 Nashville Union and American Nashville, TN
Article from Nashville Union and American, September 25, 1873

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WILKESBARRE, Sept. 24.-Brown & Gray, bankers, suspended this morning. A

7. September 25, 1873 New-York Tribune New York, NY
Article from New-York Tribune, September 25, 1873

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and this Board recor amends that all outside trading be discontinued. SUSPENSION OF A WILKESBARRE BANKING FIRM. WILKES BARRE, Penn., Sept. 24.-Brown & Gray, br hires, suspended this morning. A card. posted on th all door, gives the failure of Henry Clews & Co. as th ease. but states that the firm will be all right in a few days. The mining classes are large depositors with them, but they have not yet learned of the suspension. It is the principal topic of conversation among bankers and business men, and much excitement exists. "CITY MONEY" TROUBLES IN LITTLE ROCK. LITTLE Rock, Sept. 24. - -The money panic in this city continues. While a large number of merchants decided to-day to continue taking the city money as formerly, a large number, including nearly all the produce and grocery dealers, signed an agreement not to take it 80 long as the banks refuse to give Eastern exchange for it. The excitement is very great, the city money having been the only circulating medium in use for several years. NO FAILURES AT MEMPHIS. MEMPHIS, Sept. - -The financial storm in the East has had no perceptible effect on business here except the annoyance caused by the difficulty in negotiating Eastern exchange.

8. September 25, 1873 Chicago Daily Tribune Chicago, IL
Article from Chicago Daily Tribune, September 25, 1873

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PHILADELPHIA. Special Dispatch to The Chicago Tribune. CALMING DOWN. PHILADELPHIA, Sept. 24.-The excitement has almost entirely disappeared. A slight sonsation was caused to-day on receipt of the following telegram WILKESBARRE, Pa., Sept. 24.-Brown & Gray. bankers, suspended this morning. A card posted on their doors given the failure of Henry Clows & Co., of New York, as the cause, but states that the firm will be all right in A few days. Much excitement exists. Also the following : BALTIMORE, Sept. 24.-The associated banks of this city, to prevent a run, have agreed to suspend curronoy payments. The stock market is utterly demoralized and a general panic pervades commercial circice. [This was subsequently contradicted.] Also the following : PATERSON, N. J., Sept. 24.-Four hundred and nfteen more mon are to be discharged from the Rodgers' Locomotivo Works to-morrow, making 1,000 men Inid off this week, or two-thirds of the whole force of the establishment, Leading bankers assured mo to-day of their belief that THE WORST 18 NOW OVER. Confidence is restored, and depositors are returning their hastily-clutched money to their respective banks. Inquiries throughout the interior of the State show that no failures have occurred at Allontown, Bethlohom, Harrisburg, or Reading. The Union Banking Company issued the following tardy circular this morning: PHILADELPHIA, Sept. 22, 1873.-I is our painful duty to announce to you that wo have been compelled to suspend payment. This result was wholly unoxpected to ourselves, but it became necessary in view of the condition of the money market, which immedintaly ensued on the failure of Mesars. Jay Cooko & Co. With an abundance of the best assets, it proved to be impossible to ralso money to meet the immediate demanda of depositors upon any securities. We will submit to you without dolay, and BB speedily as it can be prepared, a statement of our assets and liabilities, together with a proposition which will Insure such an administration of our assets, under the supervision of our creditors, as will insure the very best result for all who are interested. Meanwhile, we nak a brief indulgence, and express the hope that our creditors will ultimately suffer little or no loss. Respectfully yours, N. O. MUSSELMAN, President. JAMES A. HILL, Cashier. [To the Associated Press.] REPORT CONTRADIOTED. PHILADELPHIA, Sept. 24.-The reported suspension of the Juniata Valley Bank at Miflin, Pa., is contradicted.

9. September 25, 1873 Chicago Daily Tribune Chicago, IL
Article from Chicago Daily Tribune, September 25, 1873

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WILKESBARRE, PA, WILKESBARHE, Pa., Sept. 24.-Brown & Gray, bankers, suspended this morning. A card on their door gives the failure of Henry Clows & Co. AB the cause, but states that the firm will bo all right in a few days. The mining classes are large depositors, but have not yet learned of the susponsion. This suspension is the principal topic of conversation among our bankers and business mon, and much excitement exists.

10. September 26, 1873 Sunbury American Sunbury, PA
Article from Sunbury American, September 26, 1873

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New Jersey. PATTERSON, Sept. 25.-In consequence of the financial crisis in New York and the general depreciation in new railroad securities, orders for locomotives for three months ahead, at the Rogers locomotive works, in this city have been cancelled, and 585 of the workmen were discharged today. It is feared that 500 more may be discharged at the same works, several hundred a Danforth and at the Grant works. SUSPENSION IN WILKESCARNE.- - Wilkesbarre, Sept. 24.-Brown & Gray, bankers. suspended this morning. A card posted on their doors gives the failure of Henry Clews & Co., of New York, as the cause, but states that the firm will be all right in a few days. The mining classes are large depositors with them, but they have not yet learned of the suspension. It is the great topic of conversation among bankers and business men, and much excitement exists. They were considered good, reliable men. The bank doors are locked, and no further information can be obtained. The following is the afficial list of failures in New York since Thursday last. It is a long one, and represents much of what was a little ago esteemed the financial strength of New Yord:Jay Cooke & Co., No. 5 Nassau street. New York; Fisk & Hatch; White, Defreitas & Rathbone; Beers & Edwards Eugene J. Jackson; Thomas Reed & Co W. H. Warren; George Bolton Alley & Co; Greenleaf, Norris & Co; Theodore Berdell ; Amos M. Kidder; S. II. Smith & Seaver; Day & Morse; Hay & Warner; Vernam & Hoy; Fitch & Co : W. E. Conner; Whittemore & Anderson; Jacob Little & Co E. D. Randolph & Co ; George B. Alley; Robinson & Suydam ; Richard Schell; William Bend ; C. G. White & Co; Ketcham & Belknap; Saxton & Rogers ; Williams & Bostwick; Miller & Walsh : ; E. Haight & Co; Lawrence Joseph P. M. Myers & Co ; Tausig. Fisher & Co; Fearing & Dunning; C. G. White; Marvin & Brothers ; Union Trust Company; National Trust Company; Bank of the Commonwealth Bank of North America.

11. October 1, 1873 Knoxville Weekly Chronicle Knoxville, TN
Article from Knoxville Weekly Chronicle, October 1, 1873

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More Loan Certificates NEW YORK, Sept. 24.-The $10,000,000 loan certificates are exhausted. The Associated Banks will issue $10,000,000 more to-day. The Bank of the Commonwealth has been sued for collaterals, which they cannot produce upon the tender of the amount loaned. Carlton, Secretary of the Union Trust Company, has friends who are in a treaty with the bank for a settlement of his de. falcation. Henry Clews claims that his securities are far more than ample in an ordinary time, and may resume when the money market improves. He has published their correspondents, which include 24 National and State banks, and 158 private bankers. Grain Shippers Advised to Hold Off. It is stated that the Western grain shippers are advised to hold off, on account of the difficulty in meeting sight drafts. The Stock Exchange remains closed until further orders. The sub Treasurer is offering no bonds this morning. Feeling is excited. Por Western Union Telegraph stock, 62 is bid and 64 asked. Howes & Macey have suspended. LATER.-The Sub Treasurer bought a half a million of bonds. The bank Presidents authorize the issue of another million of loan certificates. Mr. Macey, of the firm of Howes & Macey, says that all houses like theirs, having a large number of depositors, must suspend. WILKESBARRE, PA., Sept. 24.-Brown & Gray attribute their failure to Henry Clews. The miners were large depositors.