19609. Williamsburg Bank (Williamsburg, PA)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
December 14, 1896
Location
Williamsburg, Pennsylvania (40.462, -78.204)

Metadata

Model
gpt-5-mini
Short Digest
c771e494

Response Measures

None

Description

The Williamsburg Bank (Williamsburg, PA) was an unincorporated/private bank controlled with the First National of Hollidaysburg. It suspended/failed on or about 1896-12-14 as a consequence of the heavy run on the First National; reports mention an assignment to its cashier, indicating permanent closure rather than a mere temporary pause. Some press pieces stated officials hoped to reopen, but contemporaneous reports record assignment/failed language, so I classify as suspension followed by closure.

Events (1)
1. December 14, 1896 Suspension
Cause
Local Banks
Cause Details
Suspension/closure precipitated by the heavy run on the First National Bank of Hollidaysburg and the close interrelation/control between the banks (common officers/stockholders). Depositors' withdrawals from the First National drained associated banks leading to their suspension/assignment to cashier for Williamsburg; reported as a result of the Hollidaysburg failure/withdrawals (Pennsylvania Railroad deposit withdrawal noted in some articles).
Newspaper Excerpt
the Martinsburg Deposit Bank, of Martinsburg, and the Williamsburg Bank, of Williamsburg, had also suspended business.
Source
newspapers

Newspaper Articles (10)
1. December 14, 1896 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, December 14, 1896

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Article Text

BUSINESS SUSPENDED. An 014 Banking Institution in Pennsylvanta. HOLLIDAYBURG, Pa., Dac. 14-The First national bank, the oldest in this section of the state and one of the original fifty-seven national banks of the United States, suspended business this morning. The following notice was posted: "On account of heavy drain upon this bank the past thirty days. espectally the last two or three days, the board of directors have decided to suspend business until further notice." The First National bank of Hollidaysburg had a capital of $50,000. The bank at Martinsburg and W illameburg failed as a result of the failure of the Hollidaysburg bank. Martinsburg Deposit bank was established in 1870. Colonel William Jack of Holituaysburg is president. The bank had a capital of $25,000. The Williamsburg bank is controlled by Jack and Watson Morrow & company. Colonel William Jack has been president and John Clark of Williamsburg cashier. It was established in 1873 with a capital of $30,000. The officials say the three banks will be re-opened without loss to the depositors after the reorganization has been completed. NEW YORK, Dec. 14.-The failure of Jonn Colline & Sons was announced on the cotton exenange today. W. D. Roundtree & Co. announced the failure on the cotton exchange this alternoon. Neither failure effected the market. EDWARDSVILLE, III., Dec. 14-The banking house John A. Prickett & Sons suspended today making an BH. signment to C. N. Travous and E. D. Gillespie. The causej assigned are heavy withdrawals and long continued illness of the head of the establishment. The expectation of ultimately paying the liabilities in full is expressed. The failure was entirely unexpected and caused a profound eensation.

2. December 15, 1896 New-York Tribune New York, NY
Article from New-York Tribune, December 15, 1896

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Article Text

PENNSYLVANIA BANKS SUSPEND. THE FIRST NATIONAL OF HOLLIDAYSBURG AND TWO BRANCH INSTITUTIONS CLOSED. Hollidaysburg, Penn., Dec. 14.-The First National Bank of Holidaysburg was compelled to suspend business this morning. owing to a heavy run made by its depositors. This bank was organized in 1863, is capitalized at $50,000, and is one of the fifty-seven oldest National banks in the United States. The foilowing notice, signed by the Board of Directors, was posted on the front of the bank this morning: On account of the heavy drain upon this bank for the last thirty days. and especially the last two or three days, the Board of Directors have decided to suspend business until further notice. The excitement over the closing of the bank was soon intensified by the reception of the news that the Martinsburg Deposit Bank, of Martinsburg, and the Williamsburg Bank, of Williamsburg. had also suspended business. These two banks were branches of the First National Bank and were unincorporated. The Martinsburg Deposit Bank was established in 1870. Colonel William Jack, of Hollidaysburg. is the president, and W. S. Nicodemus, of Martinsburg, is the cashier. The bank employed a capital of $25,000. The Williamsburg Bank is controlled by Jack, Blair, Watson, Morrow & Co., of which Colonel William Jack has been president and John Clark. of Williamsburg, cashier since its establishment in 1873. A capital of about $30,000 is used. The First National Bank of Hollidaysburg was organized in 1863, with a capital of $50,000. It is officered as follows: President, William R. Babcock, of Cumberland, Md.: vice-president, William P. Smith: cashier, Hartley H. Jack: directors, W. R. Babcock, Colonel William Stone. J. D. Hemphill, Colonel William Jack and W. S. Nicodemus. The officials say that the suspension is only temporary. and that the three banks will be reopened without any financial loss to the depositors after the work of reorganization is completed. The New-York correspondents of these banks were Winslow. Lanier & Co., who had no information yesterday as to the cause of the failure. The Hollidaysburg bank, according to a report of its condition made last summer, had a surplus of $7,000 and deposits of $160,540. A number of small banks throughout the country have failed recently. The president of a leading New-York bank said these failures had no special significance. The banks had doubtless been weak for some time, and had hung on In the hope that brightening business prospects might help them out. Help did not come soon enough. and they gave up.

3. December 15, 1896 The Times Richmond, VA
Article from The Times, December 15, 1896

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BUSINESS TROUBLES, Three Banks Go Under in Pennsylvania Other Failures. HOLLIDAYSBURG, PA., December 14. -The First National Bank of Hollidays= burg was compelled to suspend business this morning, owing to a heavy run made by depositors. This bank was organized in 1863, was capitalized at $50,000. and is one cf the fifty-seven oldest national banks in the United States. The 101lowing notice was posted on the front of the bank this morning: "On account of a heavy drain upon this bank for the past thirty days, and especially the last two or three days, the Board of Directors have decided to suspend business until further notice." Excitement over the closing of the bank has been intensified by the reception of the news that the Martinsburg Deposit Bank, of Martinsburg. and the Williamsburg Bank, of Williamsburg, also suspended business. These two banks were branches of the First National Bank and were unincorporated EDWARDSVILLE, ILL., Dec. 14.-The banking house of John A. Prickett & Son, of this city, made an assignment to-day. The causes assigned in the notice posted are heavy cash withdrawals during the panic time and the long continued illness of the senior partner. The assets and liabilities are not stated. JACKSON, MISS., Dec. 14.-The DavisEllis Company one of the biggest mercan. tile firms in this part of the State, doing business at Terry and Steen's Creek filed an assignment here to-day. placing assets at $70,000 and liabilities at $40,000. Jackson and Capital State Banks of this city, are preferred for $5,000 and $6,000. respectively. Other, preferred creditors are home people. there being about one hundred mentioned in sums from $800 to $400 each. Low price of cotton and poor collections are given as the reason of the failure. W. H. Barnes and J. W. Grantham are assignees.

4. December 15, 1896 The Copper Country Evening News Calumet, MI
Article from The Copper Country Evening News, December 15, 1896

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Article Text

New line of teachers' bibles and albums at the book auction. Bank Suspends Business. Hollidaysburg, Pa., Dec. 15.-The First National bank of this place, the oldest bank in this section of the country, and one of the original fifty-seven national banks in the United States, suspended business Monday morning. The following notice was posted on the door of the-bank: On account of the heavy drain upon this bank for the past thirty days, and especially the last two or three days, the board of directors have decided to suspend business until further notice." The Martinsburg Deposit bank and the Williamsburg bank also failed. They are unincorporated and controlled by the stockholders of the First National bank. citement. The failures produced great ex-

5. December 15, 1896 The Saint Paul Globe Saint Paul, MN
Article from The Saint Paul Globe, December 15, 1896

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BUSINESS DIFFICULTIES. HOLIDAYSBURG. Pa., Dec. 14.-The First National bank of this place, the oldest bank in this section of the state, and one of the original fifty-seven banks in the United States, suspended this morning. Two other banks, at Martinsburg and Williamsburg, failed as 8. result of the first failure. The Martinsburg Deposit bank was established in 1870. Col. William Jack, of Hollidaysburg, is the president. The bank had a capital of $25,000. The Williamsburg bank is controlled by Watson, Morrow & Co. It was established in 1873, with a capital of $30,000. The closing of the banks, It is said, was due principally to the withdrawal of the deposits of the Pennsysvania railroad company ten days ago. The total of deposits in the three banks was $450,000. The banks have been distrusted in financial circles since Sept. 18 last. On that day the private banking house of Gardner, Morrow & Co., of this city, failed, with liabilities of $325,000 and assets so far as ascertained, of $92,000. The intimate relations existing between the four banks, the fact that they were mainly officered and controlled by the same people, and the additional circumstances that between $60,000 and $75,000 worth of securities was removed to the First National bank from the private bank before its failure aroused suspicion. The national bank officers claimed that these securities were given them for cash balances due on the exchange of checks. A deed of assignment was recorded in the Blair county court this evening from the Martinsburg Deposit bank of Martinsburg, this county, to its cashier, Wm. S. Nicodemus. The bank was a private partnership with a paid up capital of $25,000. Its assets will aggregate $200,000. The Williamsburg bank, of Williamsburg, this county, assigned to its cashier, John Clark. This bank is unincorporated with a paid up capital of $27,000. Its merchant rating is $175,000. New York, Dec. 14.-The firm of W. D. Rountree & Co. announced their failure on the cotton exchange this afternoon. Neither this nor the Collins failure affected the market. Edwardsville, III., Dec. 14.-The banking house of John A. Prickett & Sons, in this city, suspended today, making an assignment to S. N. Travous and E. D. Gillespie. Chicago, Dec. 14.-The Filip & Rachart Manufacturing company, manufacturers of sash, doors and blinds, made an assignment to John R Hand today. Assets, $30,000; liabilities, $28,000. WALL STREET TALK. The entire $3,200,000 issue of Louisville & Nashville refunding bonds put on the open market the latter part of the preceding week has been sold to investors in various parts of the country. A syndicate of New York bankers made a good thing on the deal, as they purchased the whole issue at par and sold out for prices ranging from 102 to 105. Sugar will sell ex-dividend tomorrow. The Standard Oil people have been making large loans on this specialty. Big Four earnings for the first week in December decreased $1,451. Edison Illuminating company shows an increase for November of $39,680. President Depew says the Vanderbilts have not had a controlling interest in the New York Central since 1880. A break in cotton and some troubles among the cotton houses attracted some attention in Wall street, mainly because the market had nothing else to talk about. The occurrence in question is a direct result of a break in the price of cotton. That rate of discount in London open market advanced 1/8 today, to 31/4 per cent. NEW YORK MONEY. NEW YORK, Dec. 14.-Money on call easy at 11/4@2 per cent; last loan, 1½, closed at 1½ @2 per cent. Prime mercantile paper, 4@5 per cent. Sterling exchange firmer, with actual business in bankers' bills $4.86%@4.87 for demand, and $4.83%@4.84 for sixty days. Posted rates, $4.84½ and $4.871/2@4.88. Commercial bills, $4.821/2. Bar silver, 65%o. Silver certificates, 65%@65%c. FOREIGN FINANCIAL. NEW YORK. Dec. 14.-The Evening Post's London financial cablegram: The stock markets were idle and dull today, except for Kaffirs. Americans sagged all day because of the absence of business, and the lower New York prices. The close was at the lowest. Consols were flat on the continental demands for gold. PLAN UNDESIRABLE. NEW YORK, Dec. 14.-Messrs. J. P. Stewart, Edward King and Alexander E. Orr, of the committee under the trust debenture of the Union Pacific railway company, have issued a circular to the holders of Union Pacific collateral trust notes stating that in the opinion of the committee, he proposed plan of reorganizaion is undesirable. BANK CLEARINGS. St. Paul-$837,842.67. Minneapolis-$1,675,084.64. New York-Clearings, $79,497,359; balances, $4,341,648. Boston-Clearings, $13,800,397; balances, $2,122,375. CHICAGO MONEY. CHICAGO, Dec. 14.-Money steady, unchanged. New York exchange 50c premium. Foreign exchange firm; demand, $4.86%; sixty days, $4.84.

6. December 16, 1896 The Somerset Herald Somerset, PA
Article from The Somerset Herald, December 16, 1896

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Serious Financial Troubles at Hollidaysburg Hollidaysburg, Pa. Dec. 14.-The following notice was posted on the front door of the First National bank at 8:30 this morning: "On account of the heavy drain upon this bank for the past 30 days, and especially the last two or three days, the Board of Directors have decided to suspend business until further notice." Signed by Board of Directors. The First National bank is the oldest national bank in this section of the State, and one of the 57 original national banks in the United States. Its closing has precipitated the failure of the Martinsburg Deposit bank, of Martinsburg, this county, and of the Williamsburg bank, of Williamsburg, this county. These two banks were incorporated and controlled by the stockholders of the First National bank.

7. December 16, 1896 The Evening Herald Shenandoah, PA
Article from The Evening Herald, December 16, 1896

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Swindled Depositors Threaten Violence. HOLLIDAYSBURG, Pa., Dec. 16. - The comptroller of the currency has appointed William M. Hardt, of Philadelphia, as a special bank examiner to investigate the causes which led to the suspension of the First National bank of this city, and the conseqnent collapse of the Martinsburg and Williamsburg banks, which, to all intents and purposes, were branches of the local institution. Examiner Hardt took charge yesterday. While the excitement over the closing of the three institutions has died out here, the depositors at Martinsburg are at the highest pitch of indignation, and threaten violence.

8. December 16, 1896 The Enterprise Wellington, OH
Article from The Enterprise, December 16, 1896

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FAILURE OF FOUR BANKS. Three Were in Pennsylvania and the Other in Illinois. HOLLIDAYSBURG, Pa., Dec. 15.-The First National Bank of Hollidaysburg was compelled to close Monday owing to a heavy run made by depositors. This bank was organized in 1863, is capitalized at $50,000 and is one of the 57 oldest national banks in the United States. The excitement over the closing of the First national bank has been intensified by news that the Martinsburg Deposit bank, of Martinsburg, and the Williamsburg bank, of Williamsburg, also suspended business. These two banks were branches of the First national bank and were incorporated. The officials say that the suspension is only temporary and that the three banks will resume business shortly. EDWARDSVILLE, III., Dec. 15.-The banking house of John A. Pickett & Son, of this city, made an assignment Monday. The causes assigned are heavy cash withdrawals during the panic times and the long illness of the senior partner. The assets and liabilities are not stated.

9. December 17, 1896 Delaware Gazette and State Journal Wilmington, DE
Article from Delaware Gazette and State Journal, December 17, 1896

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THREE BANKS IN TROUBLE. Business Failures at Hollidaysburg, Martinsburg and Williamsburg. Hollidaysburg, Pa., Dec. 14.-The First National Bank, the oldest national bank in this section of the State, and one of the original 57 national banks in the United States, suspended business this morning. The following notice was posted on the front door of the bank: "On account of the heavy drain upon this bank for the last 30 days, and especially the last two or three days, the board of directors have decided to suspend business until further notice. "The Board of Directors." The closing of the First National Bank has precipitated the failure of the Martinsburg Deposit Bank of Martinsburg and the Williamsburg Bank of Williamsburg. These two banks are unincorporated and controlled by the stockholders of the First National Bank. The failure of these banks has pr duced great excitement.

10. December 18, 1896 The Cambria Freeman Ebensburg, PA
Article from The Cambria Freeman, December 18, 1896

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BLAIR county got an overdose of McKinley prosperity or. Monday when the First National Bank of Hollidaysburg, as well as the Martinsburg Deposit Bank, and the Williamsburg Bank, closed their doors. The officials of the respective banks say that the suspension is only temporary.