19610. Williamsburg bank (Williamsburg, PA)

Bank Information

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

Metadata

Model
gpt-5-mini
Short Digest
3171c661

Response Measures

Books examined

Other: Bank was unincorporated/assigned to cashier (private partnership/branch of Hollidaysburg interests).

Description

Multiple contemporary articles (Dec 14-16, 1896) report a run/heavy withdrawals triggered by a dispute with the Pennsylvania Railroad (withdrawal of railroad deposits / pay car paying employees), causing the collapse of the Hollidaysburg First National and consequential failure of the unincorporated Williamsburg bank. The Williamsburg bank was assigned to its cashier and described as a hopeless wreck by Jan 5, 1897, indicating permanent closure. OCR typos corrected (e.g., Willimsburg -> Williamsburg).

Events (3)
1. December 14, 1896 Run
Cause
Local Banks
Cause Details
Steady withdrawals precipitated by withdrawal of Pennsylvania Railroad deposits and pay car paying employees, triggering minor depositors to run.
Newspaper Excerpt
The result of this contention between the railway company and the banks was a steady run on the institutions by the minor depositors, and they succumbed this morning after withstanding the run for seven days.
Source
newspapers
2. December 14, 1896 Suspension
Cause
Local Banks
Cause Details
Suspension/failure followed heavy withdrawals tied to the railroad deposit withdrawals and the collapse of the Hollidaysburg bank to which Williamsburg was closely connected/controlled by same people.
Newspaper Excerpt
The First National bank ... suspended business this morning. ... The banks at Martinsburg and Williamsburg failed as a result of the failure of the Hollidaysburg bank.
Source
newspapers
3. December 15, 1896 Receivership
Newspaper Excerpt
A deed of assignment was recorded ... The Williamsburg bank ... assigned to its cashier, John Clark. This bank is unincorporated ... its affairs will be settled up by an assignee. The Williamsburg bank ... is said to be a hopeless wreck, and its affairs will be settled up by an assignee. (Jan. 5 report).
Source
newspapers

Newspaper Articles (10)
1. December 14, 1896 The Providence News Providence, RI
Article from The Providence News, December 14, 1896

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Article Text

Keystone. State Institutions Go to the Wall. First National Bank of Holidaysburg First to Close. Institutions at Martinsburg and Williamsburg Follow. HOLIDAYSBURG, Penn., Dec. 14.-The First National bank of this place, the oldest bank in this section of the State, and one of original 75 National banks in the United States suspended business this morning. The first notice was posted on the front door of the bank as follows: On account of the heavy strain on 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) THE BOARD OF DIRECTORS. The closing of, the First National bank has precipitated the failure of the Martinburg Deposit bank of Martinsburg, and the Willimsburg bank of Williiamsburg, both in this county. The two banks are unincorporated and are controlled by the stockholders of the First National bank. The failures of these banks have caused great excitement. The First National Bank of Holidaysburg was organized in 1863 with a capital of $50,000. Its officers are AS follows: President, William R. Babcock, Cuberland, Md.; vice president William P. Smith; cashier, Hartley H. Jacks: directors, W. R. Babcock; Colonel William Stone, J. D. Hemphill, Colonel William Jack, and W. S. Nicodemus. 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 had a capital of $20,000. The Williamsburg bank is controlled by Jack, Blair, Watson, Morrow & Co., of which Colonel William Jack has been president and Hon. John Clark of Williamsburg, cashier. It was established in 1873 capital of $30,000. The official of the banks say that the suspension is only temporary and that the banks will reopen without any financial loss to depositors.

2. December 14, 1896 Rock Island Argus Rock Island, IL
Article from Rock Island Argus, December 14, 1896

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Article Text

More Prosperity. Hollidaysburg, Pa., Dec. 14.-The First National bank of this place, the oldest bank in this section, one of the original 57 national banks in the United States, suspended this morning on account of heavy drawing on funds in the past few days. Two other banks at Martinsburg and Williamsburg failed as a result. The Hollidaysburg bank had $50.000 capital, the Martinsburg de posit bank $25,000, and the Williamsburg bank $30,000.

3. December 15, 1896 Kansas City Daily Journal Kansas City, MO
Article from Kansas City Daily Journal, December 15, 1896

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Article Text

PENNSYLVANIA BANKS FAIL. Three Institutions Fail as the Result of a Contention With a Railroad Company. Hollidaysburg, Pa., Dec. 15.-The First National bank, of this place, the oldest bank in this section of the state, and one of the original fifty-seven national banks in the United States, suspended business this morning on account of heavy withdrawals of deposits. The bank was organized in 1863, with a capital of $50,000. Two other banks, at Martinsburg and at Williamsburg, failed as a result of the first failure. The Martinsburg Deposit bank was established in 1870. Colonel William Jack, of Hollidaysburg, is the president. The bank had a capital of $25,000. The Williamsburg bank is controlled by Jack and Watson, Morrow & Co., of which Colonel William Jack has been president and Hon. John Clark, of Williamsburg, cashier. It was established in 1873, with a capital of $30,000. The officials of the bank say that the suspension is only temporarily, and that the three banks will be reopened without any financial loss to the depositors after the work of reorganization is completed. The closing of the bank. it is said, was due principally to the withdrawal of the deposits of the Pennsylvania railroad ten days ago. The banks retaliated by refusing to cash the checks of railroad employes when they were presented. The Pennsylvania Railroad Company last week ran their pay car over the several branches centering here. There was a banking department aboard the car and the employes received their money without going to the banks. The result of this contention between the railway company and the banks was a steady run on the institutions by the minor depositors, and they succumbed this morning. after withstanding the run for seven days. The average deposits in the three banks was $450,000.

4. December 15, 1896 The Topeka State Journal Topeka, KS
Article from The Topeka State Journal, December 15, 1896

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Article Text

BANKS VS. railroad. Failed Pennsylvania Banks Were Fought by Pennsylvania Railroad. Hollidaysburg, Pa., Dec. 15.-The closing of the Hollidaysburg, Martinsburg and Williamsburg banks, it is said, was due principally to the withdrawal of the deposits of the Pennsylvania railway ten days ago. The banks retaliated by refusing to cash the checks of railroad employes when they were presented. The Pennsylvania company last week ran their pay car over the several branches centering here. There was a banking department aboard the carand the employes received their money without going to the banks. The result of this contention between the railway company and the banks was a steady run on the institutions by the minor depositors and they succumbed yesterday morning after withstanding the run for seven days. The average deposits in the three banks was $350,000. The banks have been distrusted in financial circles since September 18 last. On that date the private banking house of Gardner, Morrow & Co. of this city failed with liabilities of $325,000 and assets, so far as ascertained, $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 circumstance that between $4,000 and $5,000 worth of securities were returned by the private bank aroused suspicion.

5. December 15, 1896 The Wichita Daily Eagle Wichita, KS
Article from The Wichita Daily Eagle, December 15, 1896

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Article Text

ly 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, of course, 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, William S. Nicodeemus. The bank was a private partnership with a paid up capital of $25,000. Its assets will aggregate $200,000. The Williamsburg bang, of Williamsburg, this county, assigned to its cashier, John Clark. This bank is unincorporated with a paid up capital of $27,000. Its mercantile rating is $275,000. Edwardsville, Ill., Dec. 14.-The banking house of John A. Prickett & Son in this city suspended today, making an assignment to C. N. Travos and E. D. Gillespie. The cause assigned in the notice posted are heavy cash withdrawals during the panic times and long continued illness of the head of the establishment. The expectation of ultimately paying liabilities in full is expressed. The failure was entirely unexpected and has caused a profound sensation, as the bank was largely patronized locally. New York, Dec. 14.-The failure of John Collins & Sons was announced on the cotton exchange today and 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. Chicago, III., Dc. 14.-The Filip & Raichart Manuacturing company, manufacturers of sash, doors and blinds, made an assignment to John P. Hand today. Assssets, $30,000; liabilities, $28,000.

6. December 16, 1896 The Wilmington Daily Republican Wilmington, DE
Article from The Wilmington Daily Republican, December 16, 1896

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Article Text

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.

7. December 16, 1896 Evening Journal Wilmington, DE
Article from Evening Journal, December 16, 1896

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Article Text

Depositors Threaten Violence. HOLLIDAYSEURG, 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 consequent collapse of the Martinsburg and Williamsburg banks, which to all intents and purposes were branches of the local institution. Examiner Hardt has taken charge. It will not be known for several days whether or not Comptroller Eckels will permit the banks to resume business. 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 18, 1896 The Cambria Freeman Ebensburg, PA
Article from The Cambria Freeman, December 18, 1896

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Article Text

TO EXAMINE FAILED BANKS. The Comptroller Appoints William H. Hardt of Philadelphia. 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 consequent collapse of the Martinsburg and Williamsburg banks. It will not be known for several days whether or not Comptroller Eckels will permit the banks to resume business. 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.

9. December 19, 1896 Pullman Herald Pullman, WA
Article from Pullman Herald, December 19, 1896

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Article Text

FOUR EASTERN BANKS GO DOWN. Three in Pennsylvania and One in Illinois. Holl daysburg, Pa., Dec. 14.-The First National bank, the oldest in this section of the state, and one of the original 57 national banks of the United States, suspended business this morning. The following notice was posted: On account of a heavy drain upon this bank the past 30 days, especially the ast two or three days, the board of directors have decided to suspend business until further notice." The bank had a capital of $50,000. The banks at Martinsburg and Williamsburg failed as a result of the failure of the Hollidaysburg bank. The Martinsburg deposit bank was established in 1870. Colonel William Jack of Hollidaysburg is president. It had a capital of $25,000. The Villiamsburg bank is controlled by Jack and Watson Morrow. 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 opened without loss to the depositors, after reorganization is completed. An Illinois Bank. Edwardsville, Ill., Dec. 14.-The banking house of John A. Prickett & Son sus. pended today, making an assignment to C. N. Traveus and E. D. Gillespie. The cause assigned is heavy withdrawals and the long continued illness of the head of the establishment. An expectation of ultimately paying liabilities in full is expressed. The failure was entirely unexpected, and caused a profound sensation. On Trial for Fraud. Denver, Dec. 14.-The trial of Charles O. Dow, Sidney McClenken and O. O. Miller, charged with frauds in connection with the failure of the Commercial National bank of this city in 1893, was begun in the United States district court before Judge Hallett. On the Cotton Exchange. New York, Dec. 14.-The failure of John Collins & Sons was announced on the cotton exchange this afternoon. The failure did not affect the market.

10. January 6, 1897 The Indianapolis Journal Indianapolis, IN
Article from The Indianapolis Journal, January 6, 1897

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Article Text

Other Business Troubles. CHICAGO, Jan. 5.-Upon an intervening petition and information filed by Attorney General Maurice T. Moloney, Judge Payne this evening appointed George Shilling. Dr. George Emerick and Paul O. Stensland receivers of the International Building, Loan and Investment Union, fixing their bonds at $100,000 each. These are the same receivers appointed by Judge Payne last Saturday. Under the information and petition filed to-day by the attorney general the newly appointed receivers are to dissolve the union, settle up all its affairs and gradually work it out of existence. HOLLIDAYSBURG. Pa., Jan. 5.-Assurances were to-day given to the depositors of the First National Bank of Hollidaysburg and the Martinsburg Deposit Bank, which closed their doors three weeks ago, that both would be able to resume business in a few days. The Williamsburg bank, which went down in the crash. is said to be a hopeless wreck, and its affairs will be settled up by an assignee. TOLEDO, Jan. 5.-A dispatch sent out from Albany, N. Y., stated that the Milburn Wagon Company had gone into the hands of a receiver. The statement is an error. The Milburn company is located here and is in excellent financial condition. The firm which went into receivership was an Albany house. which acted as local agent for the Milburns. SEDALIA. Mo., Jan. 5.-The Van Wagener-Hanney Shoe Company, the oldest and largest house in the city, closed its doors this morning on a deed of trust. John Montgomery. jr., is trustee. The failure is a bad one, but the amount of assets and liabilities are not given.