1970. District National Bank (Washington, DC)

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: national
Bank ID: 9545
Charter Number: 9545
Start Date: March 1, 1933
Location: Washington, District of Columbia (38.895, -77.036)

Metadata

Model: gpt-5-mini
Short Digest: cefe30fc

Response Measures

Capital injected, Partial suspension, Books examined

Other: Assets ('prime' assets) sold to form Hamilton National (Spokane sale); conservatorship followed by receivership and liquidation/legal actions.

Receivership Details

Depositor recovery rate: 85.0%
Date receivership started: 1933-11-06
Share of assets assessed as good: 49.2%
Share of assets assessed as doubtful: 39.5%
Share of assets assessed as worthless: 11.3%

Description

During the March 1933 banking crisis the District National limited withdrawals (5%) and was placed in conservatorship/closed (did not receive license to reopen). Its prime assets were sold into the Hamilton National merger; the District National remained closed, conservator/receiver actions followed and it was ultimately declared insolvent with a receiver administering remaining assets. Classification: initial run tied to national banking holiday/panic led to suspension and eventual closure/receivership.

Events (7)

1. September 18, 1909 Chartered

Source: historical_nic

2. March 1, 1933 Run

Cause: Macro News
Cause Details: Heavy withdrawals during nationwide banking panic/bank holiday (March 1933); banks limited withdrawals to protect depositors.
Measures: Board resolution allowing depositors to withdraw 5% of balances; savings banks invoked 60-day clause on withdrawals.
Newspaper Excerpt: the District NationBank ... restriction of withdrawals to per cent ... imposed today by the District NationBank, officers announcing that was to protect the interest of depositors.
Source: newspapers

3. March 3, 1933 Suspension

Cause: Government Action
Cause Details: Banks were placed in conservatorship/closed as part of the emergency bank holiday and Treasury/Controller supervision; District National failed to receive license to reopen on March 14, 1933.
Newspaper Excerpt: the 13 banks in the hands of conservators virtually were closed on Friday night, March 3... Twenty Washington banks were licensed to reopen 100 per cent on Tuesday, March 14, and 13 banks were placed in the hands of conservators on the same day
Source: newspapers

4. May 7, 1933 Other

Newspaper Excerpt: The District National reported total deposits of $7,075,718.17 ... When the institution failed to receive its Government license to reopen on March 14, the bank had about 5,000 depositors.
Source: newspapers

5. September 25, 1933 Other

Newspaper Excerpt: the new Hamilton National Bank opened today, releasing about $8,000,000 in deposits... The District National... were the District National, the Federal-American and the Franklin National [were] trying to reorganize.
Source: newspapers

6. November 6, 1933 Receivership

Source: historical_nic

7. March 19, 1934 Receivership

Newspaper Excerpt: The Comptroller... Notices specify... three months after March 15 in the District National. (mentions Norman R. Hamilton as receiver in later articles) ,cause:null,
Source: newspapers

Newspaper Articles (22)

1. March 1, 1933 St. Louis Post-Dispatch St. Louis, MO

Article from St. Louis Post-Dispatch, March 1, 1933

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ST. LOUIS BANKS PUT 5 PCT. LIMIT ON WITHDRAWALS Continued From Page opened as usual. In Ashland and several nearby towns banks announced they would not observe the holiday, but would restrict withdrawals to per cent until further notice. Eighteen banks in two Kentucky counties adjoining Cincinnati went on restricted basis yesterday along with the Cincinnati banks. Washington Bank Limits Withdrawals to Pct. By the Associated Press. WASHINGTON, March tation of withdrawals to per cent of balances on account was imposed today by the District NationBank, officers announcing that was to protect the interest of depositors. Several savings banks invoked the right to require 60-day notices on withdrawals. Gov. McAlister Calls Moratorium Through Next Monday. By the Associated Press. NASHVILLE, Tenn., March Gov. Hill McAlister today declared bank suspension in Tennessee, beginning immediately and extending through next Monday. The Governor's proclamation, issued at m., after an all night meeting of bankers, called attention to bank holidays declared elsewhere in order that beneficial bank legislation might be enacted. "These temporary holidays," it was set out, "are seemingly becoming and have been declared in states with which the people of Tennessee daily have business transactions and it would be exceedingly unfair for our citizens and their banks to have to honor commitments from such territory where cash is not now immediately available, with the consequent disturbance in Tennessee and apprehension on the part of the people which is wholly unnecessary proper and timely action is taken.' West Virginia Legislature Passes Bill to Legalize Action. CHARLESTON, W. Va., March bill permitting bank holiday in West Virginia was enacted by the Legislature yesterday. Legislation giving the Governor and Banking Commissioner authority to limit operations of banks was passed by both Houses without dissenting vote. 10-Day Bank Holiday Proclaimed by Alabama Governor. the Associated Press. MONTGOMERY, Ala., March of the State Superintendent of Banks, Gov. M. Miller today proclaimed 10day banking holiday in Alabama to "protect the interests of the public, bank depositors and bank stockholders.'

2. March 1, 1933 Evening Star Washington, DC

Article from Evening Star, March 1, 1933

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LOCAL BANKS ACT TO PROTECT FUNDS District National Limits Withdrawals-Others Invoke 60Day Clause on Savings. The District National Bank opened today on a 5 per cent withdrawal basis, following action taken by the directors early this morning, for the protection of depositors. President Joshua Evans, jr., announced. (The following notice was addressed today to the depositors in the bank: "Owing to heavy withdrawals of deposits during the last few days, and in order to safeguard all of our depositors, the board of directors has passed a resolution allowing depositors to withdraw 5 per cent of their balances in this bank at the close of business February 28, 1933, until further notice. All new deposits and new accounts opened March 1, 1933, and thereafter are subject to 100 per cent withdrawal at any time after actual realization cf funds by the bank." 60-Day Clause Invoked. The officials stressed the fact that all deposits made today and after this date can be withdrawn in full at any time. It was announced in the financial district that most of the local building and loan associations have invoked their time clauses on withdrawals, limiting the amount to $100. For larger amounts notice must be given in advance. Officials said the rule would be in force for the present. Several savings banks here invoked the 60-day clause on withdrawal of savings accounts. Some of these banks permit the withdrawal of 10 per cent up to $100. Above that amount, the 60day or two-month notice, is being required. Protective Measure. Among the local banks which have adopted this rule-the same plan which has been adopted extensively in other cities-are: United States Savings Bank, Chevy Chase Savings Bank, Security Savings & Commercial Bank, Park Savings Bank, Seventh Street Savings Bank, Washington Savings Bank, Anacostia Bank, Mount Vernon Savings Bank and the Northeast Savings Bank. (In an earlier edition of The Star the name of the Washington Mechanics' Savings Bank was included with those involking the 60-day clause. This was incorrect.) Officials said the action was taken merely as a protective measure, both for the banks and for the depósitors. The Commercial National Bank. which closed yesterday, has been placed in the hands of Robert C. Baldwin, a receiver of the office of the controller of the currency. Mr. Baldwin has taken over the receivership from J. L. Bailey, who took charge when the bank was closed. It was explained that Mr. Bailey will remain for a while in his capacity as a national Bank examiner to assist Mr. Baldwin. Has Considerable Experience. In the meantime, it was said at the Treasury Department, the new receiver probably will use a large part of the staff of the bank for his work. The new receiver. before Joining the office of the Controller of th è Currency, had considerable liquidating experience. Under the auspices of the Government he has been receiver for e bank at Lynn, Mass., since the latter part of 1931, and has been directing its liquidation. An official of the Treasury said in regard to Mr. Baldwin: "By reason of his ability in liquidating that bank, the Treasury Department saw fit to transfer him to the Commercial National Bank. We have every confidence that he will administer the affairs of the institution in a manner satisfactory to all concerned."

3. April 29, 1933 The Washington Times Washington, DC

Article from The Washington Times, April 29, 1933

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300 Reserve Banks Now Open, Says Controller Three hundred of the 388 member banks of the fifth district of the Federal Reserve System have reopened since the banking holiday, John S. Walden, controller of the Federal Reserve Bank of Richmond, announced today. Seven of the 300 are new members, the American Security and Trust Company, of Washington, being one of these, its admittance to the system being announced a week ago. Of the 95 member banks in the fifth district that are trying to reorganize three are in Washington-the District National, Federal-American, and the Franklin National. The Commercial National Bank, also a member of the system, is in the hands of a receiver.

4. May 7, 1933 Evening Star Washington, DC

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SECOND D. MOVES TO REOPEN District National Outlines Reorganization Basis to Stockholders, (Continued From First Page equal to one-half of the par value of their present holdings in the District National Bank R. F. C. Would Take $500,000 'It is assumed that as the Reconstruction Finance Corporation will own $500,000 preferred stock, it will be represented on the new board of directors and it is hoped that other banks which have not yet opened on a 100 per cent basis will adopt similar plans which may result in much larger institution through the merging of interests and the supplying of such additional capital as the enlarged organization may require Manifestly the management of the new institution will be chosen by the stockholders In addition to Chairman Wells. the other members of the Reorganization Committee are Robert N. Harper, Joseph P Tumulty. Charles J. Brand. E J. Murphy, Horace G Smithy and Charles C. Rogers, who are all stock holders and directors in the present District National Bank Wharton E. Lester is counsel for the committee. On the date of the Controller of the Currency's last bank call, December 31, 1932. the District National reported total deposits of $7,075,718.17 When the institution failed to receive its Government license to reopen on March 14, the bank had about 5.000 depositors The main office is located at 1406 G street, and the bank has maintained branches at 939 Ninth street and at Connecticut avenue and K street This was the second one of Washington's 13 closed banking inst: itutions to take steps during the last week toward reopening, the Franklin National having made a similar move. The District's announcement indicates that the new bank also would have a new name. This matter, as well as the official personnel would be decided by the board of directors. Treasury Continues Work. Meantime, the Treasury Department has continued its study of the whole bank situation in the District of Columbia with a view to reopening banks as soon as possible. Rights of the depositors, it is understood, are being given primary consideration been Careful examinations have completed of every one of the 13 closea banks. Reports on these examinations are in the hands of experts of the Treasury Department Personal conferences have been held between Walter Cummin executive assistant to the Secretary of the Treasury, his aides and conse rators of local banks Serious study has been made by the Treasury Department, not only of the individual banks which are closed. but also of the entire picture of the bank situation in the District of Columb Several of the closed banks have drawn up plans for reopening some have sold stock and others have prepared plans for strengthening their capital structure If these banks can succeed in providing a sufficient capital structure to reopen as part of the general picture of the bank situation, and fit into the bank needs of this city it is understood they would be permitted to go ahead The Treasury has broad authority under the act of Congress. passed during the emergency giving the controller of the currency virtually absolute control over all financial institutions in the District of Columbia At the same time It is known to be the policy of the Treasury Department to take into consideration so far as possible the proposals which originate voluntarily out of each of the closed banks. Evidently however they must not only be satisfactory to the Treasury as regards the individual bank itself but also satisfactory as a part of the general picture of the financial situation in the District of Columbia. Other Problems Pressing Among the factors which apparently have delayed consideration of the District of Columbia banks is the amount of time officials have had to devote to trying to reopen banks in other parts of the country This idea presumably was one of the outstanding reasons behind the only official tement ever issued from the office of Mr Cummings at the Treasury Department The statement pointed to the fact. backed up by statistics, that only 12 1/2 per cent of the deposits of this city were tied up in the closed banks Mr Cummings big waiting room on the first floor of the Treasury Depart ment filled almost to overflowing all day long The assistance of two of the Capital's leading trade bodies was offered to Mr to Cummings yesterday in his efforts A reopen banks and free deposits. delegation calling at the Treasury included Claude G Owen president of the Board of Trade Thomas P Littlepage president of the Chamber of Commerce, and Robert J Cottrell. executive secretary of the Trade Board After the conference Mr Cummings said they had offered to assist in whatway could. they While it is known that some of the local banks have shown a willingness to go along with any general plan agreed to, others have been resisting a merger and wish to reopen under their old names The 13 banks in the hands of conservators virtually were closed on Friday night. March 3. just before the inauguration The President's famous bank holiday order closing all institutions in the country was issued the next night. Twenty Washington banks were licensed to reopen 100 per cent on Tuesday, March 14. and 13 banks were placed in the hands of conservators on the same day They have been virretually closed since, doing only stricted business. such as making t change. giving access to safety deposit vaults and handling so-called 'baillee accounts' for checking An order for the liquidation of the insolvent Commercial National Bank 2 has come from Justice James M Proctor of the District Supreme Court officially authorizing the receiver. Robert C Baldwin, to proceed and conclude i the reg ivership and to sell assets of the itution for the benefit of its creditors.

5. May 8, 1933 The Washington Times Washington, DC

Article from The Washington Times, May 8, 1933

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NEW NATIONAL BANK TO TAKE IN OTHERS District Bank Officials See Opportunity to Release Large Deposits If officials of the District National Bank are successful in their efforts to form a new national bank it will "almost immediately become a part of a larger new institution." In a statement issued to depositors of the District National today, the reorganization committee stated that: "All the banks in the District of Columbia not now in full operation will be given the opportunity to sell their prime assets to the new bank, and thus, in effect, release a large proportion of the deposits now held unavailable." $900,000 Capital Two other banks "in situations like ours," operating on a restricted basis under supervision of conservators, the statement said, have already adopted similar plans "and it is expected when their plans are consummated they will become part of the larger new bank." The plan, under way today, proposes formation of a new bank "as strong and as liquid as possible," with capital of $900,000, of which $500,000 would be preferred stock subscribed to by the Reconstruction Finance Corporation, and $400,000 of common stock to be sold at a premium of 25 per cent, thus giving a surplus of $100,000. Half Deposits Available The plan would make available from 50 to 60 per cent of the deposits of the bank. The statement says: "This is the only plan by which any substantial amount of the deposits will be immediately liberated, and if it be no perfected, a receiver must be appointd who will collect assets when and as he is able, and make distributions when collections are made. But little could be expected for a number of months and then only in small instalments." Based on a report of an examiner of the R. F. C., as of March 23, the District National had "prime" assets readily convertible into cash of $4,748,141.39, and other assets on which it could borrow at least $1,000,000, according to the statement. Assets listed under the headings of "slow, doubtful and loss" aggregated $4,349,981.53 and include real estate and real estate securities held by the bank. Under the reorganization plan the new bank would take only those assets which are "prime."

6. May 15, 1933 Evening Star Washington, DC

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or Four Three Considering Final Details Before Taking Action. SUCCESS IS EXPECTED WITHOUT R. F. C. HELP. at of Least Talked Million Capital as Officials Meet With Graham, Central Bank Chief. four more Possibility banks that in three the movement or hands of con offi servators Washington launched may join Saturday the a new night big by central foul institutions cially bank to form arose went today forward as official with of national the new merger to set up the new taken bank. up program action had been may today by was freely that within the No noon definite but the it institutions decisions which prethe to come in, 48 hours banks dicted will be reached. to be Among contemplating Savings Bank, the understood are the Northeast Savings, the Woodmatter States Commercial United Savings & Bank. Langdon Street stands The merger as national Bank and ridge. the the Seventh new it now Savings bank. will the & Co., unite in a National National Bank, Federal- American the District Bank and with the a Washingtocapital the Trust Potomac Savings Savings structure Bank, of $1,000,000. minimum C. Conference Graham, conference head Starts. of early the joint new this Edwin into of the to bank, went with members with a view the big afternoon organizing committee further details John of Poole, working out He had with him of the Fed- jr., and merger. and conservator Joshua Evans, Dispresident Prei-American president conservator and of the concerning trict Nationannouncement bank was up by expected the Further development problems to be forthcoming were committee. of the taken shortly, now the as many stands out joint organizing sale of factors stock in the situation. a capital as The one the of new the at bank least is $1,000,000. building the old Stock- banks joining the to this stock. holders structure and and of depositors new one will in be asked to to The capital asking to struction subscribe without structure Corporation is the expected Recon- sub- is raised Finance such as be scribe for preferred under the terpreted stock, emergency in bank- bank- of This was indication ing act. circles today the part as of an the privilege new of it authorized ing on retain the bank, if strength would still C. to subscribe believed, as it the R. F. confidently will however, without desired. that the whole to the so be asking raised Finance It is recourse Corporation. structure Reconstruction Favorable. the F. C. Held further that was R. understood Finance Corporation organization is Reconstruction It to the in a position for at of the least new favorable bank in other and is organization particulars of in to assist in it -called member banks was ininstance, advanced to This factor touch with the the loans new merger. by those in close only helpful the to terpreted the situation but as as not an indication Government merger. plan has expressed merger. as confidence a mat- as in the new for the be known is The plan is coming to because it the ter of Washington fact, plan' many "Spokane particuplan." a lars distinct from the plan. for example. of several inThe Capitaconsolidation to eight has or cludes the may run up plan banks, nine; whereas which used the only and Spokane for successful single insti- been, has tutions. been largely So sound of the Spokane out. plan banks two principle was pointed the last however, over a under an increase years have begun with have and since. the which, invariably it reopened period continued with of its program suc- inin cessful deposits operational ever Bank, change which in its The to District make no vital plan for and reopen- depositors previouslysped tends announcedckholders its to stock. subscribe De- to ing. positors has have to subscribe been asked to Column 2

7. May 18, 1933 The Washington Times Washington, DC

Article from The Washington Times, May 18, 1933

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The name, the First National Bank of Washington, the unanimous choice of directors of five closed banks participating in the merger, has been definitely discarded, it was learned today. The name by which the bank will be known is to be announced by President Edwin C. Graham today. Stock Campaign Opens Each of the five banks began an intensive campaign today to obtain $1,250,000 in subscriptions to the capital stock of the new institution. Use of the name First National, it was said, would ze contradictory to a policy observed by the Treasury Department in disapproving adoption of a name which has once been used by a bank which has failed. A First National in the District. it was said, went into receivership about 50 years ago. The names Central, United, and Hamilton, it was stated at yesterday's meeting of directors, had been approved by the Treasury officials. The names of Colonial and Consolidated also were suggested. At a meeting of directors of the institutions which are merging their "prime" assets in the new bank it was stated by Mr. Graham that he hoped the stock would be subscribed in seven days and that the new bank would be functioning early in June. 100,000 Depositors The new bank, it was stated. will start business with entirely liquid assets totalling $11,131,211 and that it will have 100,000 depositors. Member of Reserve It will be a member of the Federal Reserve system and will conduct a general banking business unencumbered with real estate or real estate mortgages, it was stated. Slow or doubtful assets are to be liquidated through conservators of the "old" banks. This, it was pointed out, would be and to than other Shuman, stockholders more ing W. returns rapid Irving orderly depositors of in methods. the bring- office and reorganization division of the of the Comptroller of the Currency, in reviewing the "Washington plan" of releasing frozen assets of closed banks, reminded the directors that stockholders' liability with respect to the "old banks" remains until the liquidation of their affairs is completed. 50 Per Cent Available All banks becoming a part of the new institution will make available 50 per cent of their deposits. 1 The capitalization of the new institution probably will be e changed as other banks enter the S merger. The five participating banks at S present are the Federal-American < National Bank and Trust Comf pany, the District National, the e Potomac Savings, Washington f Savings and the Northeast Savings. t The Woodridge-Langdon Savings and Commercial Bank also is exI pected to join and the United States Savings, Seventh Street ) I Savings and Chevy Chase Savings : Banks, are considering joining.

8. May 25, 1933 The Washington Times Washington, DC

Article from The Washington Times, May 25, 1933

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POOLE, EVANS PONDER NEW BANK POSTS 2 Must Quit as Conservators If They Become Officers Of Hamilton National John Poole, president of the Federal-American National Bank and Trust Company, one of 13 local banks operating on a restricted basis, is expected today decide whether he will remain to as conservator of that bank or become an officer in the new Hamilton National Bank. Poole's decision is to be made at because J. this time Wilmer the FedWaller, vice president of has vice named ert1-American, president and also cashier been of the new bank. Poole, Treasury officials stated, could not serve both as conservator of the old and officer of the new bank. Evans to Choose, Also jr., president and of the conservator Joshua Evans, District National, will also be required to make a choice, it is said. Evans' decision, however, is not expected in the near future. Few, if any, employes of banks participating in the formation of the Hamilton will lose their jobs because of the merger, Edwin C. Graham, president. stated today. Instead of cutting down personnel of the banks. Graham indicated more help might be needed. Closing out the business of the merging institutions will be a "tremendous task," he said. Opening of the new bank will also mean there will be openings for experienced help. Progress Noted Expressing satisfaction made in with securing the progress being subscriptions to the $1,000,000 capital stock and $250,000 surplus for new the Hamilton National, for Graham emphasized the need intensive work and "fullest cooperation" on the part of stockholders and depositors of the members banks. Total subscriptions for stock to date were not disclosed following a meeting of the general subscription committee yesterday. It was pointed out that some of the subscription committees had not been able to begin active work until yesterday. Bank Bill Helps Sale of stock in the new bank, it is said, has been stimulated by the passage by the House of the Class-Steagall banking bill with an amendment which provides for elimination of the double liability of stockholders in national institutions chartered after the bill has gone into effect. The bill still has to receive the sanction of the Senate and signature resigned R. L. of Hargreaves President Roosevelt. has as conservator of the Park Savings Bank and has been replaced by J. L. Bailey. Both men are bank examiners of the Treasury Department. Hargreaves resigned on his own and has request been assigned another task as bank examiner.

9. June 20, 1933 The Washington Times Washington, DC

Article from The Washington Times, June 20, 1933

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RECEIVERS ASK RIGHT TO BUY BANK STOCK Minority Wardman Bandholders Protest Move of Peyser and Tumulty Julius I. Peyser and Joseph P. Tumulty, as receivers for the Wardman Real Estate Properties, petitioned Justice Jesse C. Adkins today in District Supreme Court for instructions as to whether they had power to use $20,000 assets in the closed District National Bank for purchase of stock in the proposed new Hamilton National Bank. Vigorous opposition to the investment came from W. Bissell Thomas, representing minority Wardman bondholders. He contended the court was without authority to grant the power of investment, and that a full accounting of all assets in the bank should be made before any of the assets were removed. Justice Adkins continued the hearing until next Tuesday to give all parties interested an opportunity of submitting authorities in support of their opinions. The receivers made no recommendation regarding the instructions.

10. June 27, 1933 The Washington Times Washington, DC

Article from The Washington Times, June 27, 1933

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Court Blocks Purchase Of Stock in New Bank The petition of Julius I. Peyser and Joseph P. Tumulty, as receivers for the Wardman Real Estate Properties, Inc., to subscribe $20,000 assets now on deposit in the closed District National Bank for stock in the newly proposed Hamilton National Bank was denied today by Justice James M. Proctor in District Supreme Court. Hearing on the petition started last Tuesday and was continued until today. All parties interested in the proposal were invited to voice their sentiments to the court. None spoke in favor of the proposal. The receivers took a neutral stand on the petition, declaring it had been brought before the attention of the court in the nature of a test case.

11. July 19, 1933 Evening Star Washington, DC

Article from Evening Star, July 19, 1933

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HAMILTON BANK'S OPENING DELAYED Complications Involving Two Member Institutions Hinder Plans. Letters from the eight member banks of the proposed Hamilton National Bank to their thousands of depositors have been further delayed by complications involving the two banks which were on a 5 per cent withdrawal basis before the banking holiday. These two banks. the District National Bank and the United States Savings Bank, had restrictions in effect allowing depositors to withdraw only 5 per cent of their deposits. The question now has arisen as to how the bank will handle the various groups of depositors which have made different kinds of withdrawals. For instance. supposing a depositor in the District National Bank had $100 on deposit. and withdrew $5 after the bank went on a 5 per cent restriction. Would this man be allowed to withdraw a full 50 cents on his dollar. or would he be credited only with 45 cents. making a total of 50 cents in withdrawal since the bank went on a restricted basis? Letter Revised Several Times. As soon as this point can be settled it is believed the long-delayed letter to depositors of the eight member banks will be ready for mailing out by the conservator The letter has been revised several times. Meantime an important work of examination by the Treasury Department on the two banks retaining trust departments is being completed. The finished Bank now trict examiner National has and with is the wind- Dising up an examination of the Federal American National Bank and Trust company When this is concluded it will open the way for final reorganization of loans between the Reconstruction Finance Corporation and the member banks. This reorganization of loans has been going on for some time already but more remains to be done before the Hamilton Bank can open. May Borrow Cash. When the Hamilton Bank gets ready to apply for its charter. after raising its complete quota of subscriptions. for a capital structure of $1,250,000. it is thought likely that using the subscriptions for collateral, the Hamilton will borrow cash from other banks in order to present to the Treasury Department a certified check This check would accompany the application for a charter. Edwin C. Graham, president: Roger J. Whiteford. general counsel. and other officials of the Hamilton were busy today on numerous details of the new bank organization. including by-laws, forms and many others. Meantime at the Park Savings Bank. which is now in the hands of a receiver. the board of directors plan to hold a meeting tonight. The Depositors' Committee of this bank has called a mass meeting of all depositors at Central High School auditorium tomorrow night at 8 o'clock to explain the law suit it has filed and to tell the depositors about plans for the future by the committee.

12. September 25, 1933 Evening Star Washington, DC

Article from Evening Star, September 25, 1933

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HAMILTON BANK'S OPENING MARKED BY NEW DEPOSITS One Receipt of $100,000 and Another for $50,000 Reported. BALANCE EXPECTED TO GROW DURING DAY President Graham and Other Officers Recipients of Many Congratulations With its headquarters and seven branches decorated with flowers and comfortably filled with customers, the new Hamilton National Bank opened today, releasing about $8,000,000 in deposits. To the surprise of both officials of the bank and police who had been stationed at each of the buildings. no lines formed before the opening hour of 8:30 and early crowds were small. The number of customers increased, however, during the morning hours until just before noon most of the lobbies were fairly well filled. Some persons were withdrawing while some others were making new deposits. President E C. Graham of the Hamilton merger and other officers were flooded with congratulations arriving by mail and by wire and there was a spectacular floral exhibit of baskets of flowers at headquarters. Deputy Controller of the Currency Lioyd G. Awalt called at the Hamilton Bank shortly after noon to greet President Graham and congratulate the officers on the opening of the new institution. Awalt was acting controller of the currency when the movement for merger of the Hamilton Bank was first started He came to the bank in the company of Maj. W Irving Shuman of the Treasury Department. who had handled the Government's negotiations for opening the new merger Most of the withdrawals were said to be small while there were many substantial new accounts. officials said Among the deposits at Hamilton headquarters at Fourteenth and G streets were one for $100,000 and another for $50,000. Larger Deposits Seen. While some bank officials were too conservative to make a prediction about the net business for the day. it was freely predicted in some quarters where the flow of business was being watched closely that by the end of the day the Hamilton would have ,larger deposits than when it opened for business this morning. The first customer at Hamilton headquarters arrived at 7:15 a m. with a request to make a deposit. He was George Tait. 421 Fifteenth street southeast He was admitted and made a deposit While the formal opening hour was 8 :30. the front doors of the Hamilton headquarters were actually opened for a little group of about four women who were there at 8:15. and from then on the customers came in a small but seadily increasing stream during the morning Established with a capital stock of $1,000,000, with $250,000 surplus. the Hamilton had on hand this morning to meet the demands of its depositors $2,500,000 in cash, President Graham said Most of this had been delivered to headquarters and to four of the member branches Saturday, but some of it was distributed to the three branches of the old Federal-American National Bank & Trust Co. early this morning President Graham. in an official statement on the financial set-up of the bank today said With a capital structure of $1.250.000, the Hamilton National Bank eniovs the unique position of being practically without liabilities beyond its deposits. Unencumbered by Loans, "In respect to assets. the Hamilton is a particularly model example We are unencumbered by loans or real estate All assets taken over by the bank consist of cash Government bonds, listed bonds at Saturday's selling prices. and loans on which schedules are checked up to date by the United States Treasury and Federal Reserve Board. This statement plainly shows that the Hamilton Bank has nothing but prime assets upon which depend the security and financial integrity of an institution of this kind. The value of equipment for the several banks comprising the Hamilton institution amounts to less than $50,000 The Hamilton has not borrowed a dollar from the R. F. C. or from any other source. Meantime, the Treasury Department had no appointed new conservators to take the place of four men who were taken over by the Hamilton National Bank for its official staff What the Treasury will do in this respect remains to be seen, although the business of conservatorship was moving forward today in these four banks- the District National. the Washington Savings, the Northeast Savings and the WoodridgeLangdon Savings and Commercial Bank. Some kind of action by the Treasury is anticipated soon in this respect as the situation regarding these in old member banks is now left "up the air." This, however, does not affect in any way the operation of the new Hamilton merger and it is anticipated that the Treasury will clear up the inservatorship question shortly Reports received at Hamilton headquarters from its seven branches pointed to a situation in the outlying houses very similar to that at headquarters. Many persons were making withdrawal (Continued on Page 3. Column 5.)

13. September 25, 1933 Fort Worth Star-Telegram Fort Worth, TX

Article from Fort Worth Star-Telegram, September 25, 1933

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Advanced by RFC During August WASHINGTON, Sept. Finance Corporation Monday reported to Congress that during August it authorized advances aggregating $111,495,529. The report, made public by South of the House, showed was authorized loans banks, companies, railroads and institutions. total turned to Federal Relief for distressed States. That brought the amount under act to Aug. 31. Of loans to financial institutions, $36,178,287 went banks trust companies. This included $17,aid the liquidation of banks closed or in process liquidation. Other advances were listed as follows: To building and loan associations, insurance companies, $650, mortgage companies, $3.Federal Land Bank Omaha, $2,000,000 : Agricultural Credit Corporations, stock Credit Corporations, Corpothe cago Northwestern ComApplications for loans filed by fed institutions August totaled 221, as follows: 148 from banks and trust three each from building and loan and surance companies: 20 from mortgage companies: each from credit union, Federal Land Bank, Joint Stock Land Bank, railroad and from State insurance fund from Agricultural Credit Corporations and from Regional Agricultural Credit Corporations. Of the other advances authorized, $3,500,000 went the Agriculture for 500,000 the Secretary of the Treasmake payments Federal ury Home Loan stocks; $3,200,000 the Land Bank Commissioner facilitate loans on farm mortgages. The corporation sold $70,000,000 making total $1,690,000,000 notes outstanding at the close of business on Aug. Among some of the larger leads au thorized Federal National Bank Trust Washington, the Commercial Bank of Washington (receiver), $1,885,000 District National Bank, conservator, Washington, the City Savings Bank Trust Company ShrevePresque Isle National Bank, conservator, Presque Maine, $1,378,000; Dearborn State Bank, Mich. $2,539,000; Guardian Bank Dearborn, Mich., $2,000,000; Grand Rapids National Bank, conservator, Grand Rapids, Mich., Highland Park State Bank, Highland Park, Mich., Peoples Bank of Highland authorized includ$1,000,000 to the East Tennessee National Bank receiver, Knoxville: the County Corporation of Cambridge, Md., $1,600,000 New Mexico Corporation, Albuquer$400,000: Lebanco Realty Investment Company of Louis, $2,048,000. Loans previously authorized and withdrawn canceled during August totaled Receipts the corporation during the month amounted expenditures totaled $149,064,634.

14. March 4, 1934 Evening Star Washington, DC

Article from Evening Star, March 4, 1934

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Both Stocks and Bonds Have Climbed Steadily From Depression Bottom. ADVANCES MOST RAPID IN LAST TWO MONTHS Black Urges Credit Banks for Loans to Aid Smaller Industries. BY EDWARD c. STONE. Stock Securities on the Washington progress Exchange have made marked when year ago at this time the since exact a "bottom of the depression was reached. at the securities list Electric show Glances Washington Railway & March preferred that was selling at 82 1/2 in was a year ago. It is now 90 changCapital Traction early in March. stock 1933. at ing closed hands the week yesterday at 25 1/2 cent It Potomac Electric Power 6 per year sold on this date last and has preferred at 10712 while it is now 109 been as high as 112 prePotomac Electric was moving 412 per around cent 106 two power at ferred this stock time last year. while issues, it is how- now 108. These not good examples months of broad as ever, are in the past 12 above par advances remained well first constantly they have since the depression got under way Bonds Also Are Higher. advanced Capital bonds also the last have 12 months 48 a materially during R first 5s sold at Ana Anacostia R They are now 5s were 65 901, year ago R guaranteed costia R. moved to 94 1/2 climbed having Capital since during Traction the 5s year. have 1933. They while were selling points at recent 52 in sale March on the exchange took the most place equally at 72 interesting January to look It is since 1958 the gains made Washingto Gas 5s. Washthis year. stepped up from Electric consolihave Railway & from 83 to 88 ington dated 4s have ascended consolida idated 5s 10212 have Electric months from climbed Potomac in two important into 104 of the most division this year creases One in in the Washington stock Gas 1934 Light at has been stock opened so the list shares. This is now 59' And include other 4512 and be expanded to have been cited to the show prices. might issues. Enough better cases trend and higher Yesterday's Market Quiet. was rather dull on Capital the exchange Business here vesterday hands at 26 advance its new Traction changed the present the Since high mark closed during with 2534 bid the for recent stock The week and 27 asked. of earnings under operations conglowing reports railway of talk Capital solidated street been a great deal Traction Present about there has the future holders of have not apstock. peared anxious to Linotype sell. appeared on at Mergenthaler two 10-share sales been the board in stock has recently is former market This active to take again. much 261/2. more leader, and is expected when business of dividends its old place the resumption Washington warrants bond division figured in In the Electr 4s Yesterday Railway transfer & at 89 held under $1,000 second business session was the Saturday being the "new been deal. resumed two after years Increased has abandoned just trading for about brought back the old schedule Favors Credit Banks. interBlack of Government he has The system credit banks which necessary mediate proposed is absolutely Eugene Black in of an- the a swer this time, Gov. Board members said of of Federal to Reserve question the by House Banking the subcommittee Committee details Currency any thought and Without asserted giving that he get out and the Governor Government that should he is working on there business that end asserted that market a plan The Governor to a financial and been small industries rehas never country for have complete can this we would not industries covery get finance ancial or paying that until the aid small without exorbitant mortgaging something loans. estimate of interest said he on had money made necessary no of He the amount such of system have of such banks. system, figures but of such indicated in finance few he days. should might The be the reserve backbone of course. a plan, he said. Gossip. Financial District vernon Opening of as the a unit Mount of the Bank Washing- will ings Bank Savings events Mechanics important week. ton the most this one of circles openus here receivership are Morrow financial is the Savings Bank tarried on work proceedings Potomac the District at now 1406 being National G street from Bank 1726 The past Pennsylvania headquarter in rters transfer avenue sferred during the Co., Transit Public week. Washington report Rapid revealed to the a gain in the Utilities of 313.18 deficit of The its January Commiss earnings in net $6,322.91 in compared like period a Westheir year heimer firm of of during the with Henry a Exchange ago. Capital westheime New proposed York in excl own of his week & Co. Stock to was egulate connection in the with Harmer the He company. Reeside visited the bill the local managed office by president Florida of which is C. GrahaBank is in visitors is Edwin National Returns Hamilton short visit. land of business before just broke. the boom report for doing like a that the arvelous the "good old Winter days

15. March 19, 1934 The Washington Times Washington, DC

Article from The Washington Times, March 19, 1934

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THREE DISTRICT BANKS TO PAY OFF SOON Comptroller of the Currency Indicates Intention to Push Clean-Up Here By DUNBAR HARE Comptroller of the Currency J. F. T. O'Connor in published notices has indicated that he desires to finish up the closed bank situation here as soon as possible. Notices appearing in local papers are said to indicate that the stymied condition of depositors will be released within the next four months Seven banks went into the Hamilton merger and each of them paid off 50 per cent. The Comptroller's action is taken as indicative that an additional payment to depositors is to be made by the three barks in question. They are the Northeast Savings Bank of Washington, Washington Savings Bank of Washington, D. C.. and the District National Bank of Washington, D. C. The notices specify that depositors of the Northeast Savings must present claims to Norman R. Hamilton, receiver, three months after February 28; three months after February 20 in the Washington Savings, and three months after March 15 in the District National.

16. July 23, 1934 Evening Star Washington, DC

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claims in part upon the methods pursued in the formation of the Hamilton National Bank, the terms of the contract under which it acquired certain assets of the District National Bank of Washington, the conduct of the receivership of the latter and other matters." The letter of the new Stockholders Committee bore the names of Robert N. Harper, former president of the District National Bank; George A. Lipscomb, and John A. Manfuso. Up to an early hour this afternoon, The Star had been unable to reach any (Continued on Page 6, Column 1.)

17. July 26, 1934 Evening Star Washington, DC

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BANK COMMITTEE SEEKS ACCOUNTING Rover Reveals District National Plans in Hope of More Cash. In hope of getting more cash for depositors and other creditors out of prime assets sold by the District National Bank to the Hamilton National Bank, the new Stockholders' Protective Committee of the District Bank will seek an accounting of these assets through a bill soon to be filed in court. This was disclosed today by Leo A. Rover, former District attorney, new counsel for the Stockholders' Protective Committee, as the first step in a fight to prevent the collection of 100 per cent assessment against the stockholders by the controller of the currency. Announcement that Rover had been retained as counsel was made late yesterday by John A. Manfuso, secretary of the committee. Other members of the committee are Robert N. Harper, chairman, and George A. Lipscomb. Leahy Repudiates Name. Manfuso explained that William E. Leahy and William J. Hughes, jr., attorneys, whose names appeared on earlier communications sent out to stockholders, were no longer connected with the committee as counsel. Leahy had repudiated the use of his name on the previous communications. In explaining the first step in the new fight would be to ask for an accounting of the assets sold to the Hamilton National Bank, Mr. Rover declared that it would not be his intention to attempt to break down or set aside the contract between the District National Bank and the Hamilton National Bank, whereby the best assets of the former were sold to the latter under a system known as a "Spokane sale." This plan was used in many cases of bank reorganization throughout the country as well as here in Washington, under direction of the controller of the currency. Seek More Cash. The accounting of the prime assets of the District National Bank will be asked, Mr. Rover explained, with a view to determining whether there might be more cash available from them than the 50 per cent dividend which was paid to depositors when the Hamilton National Bank opened. The District National Bank was the first institution to join the Hamilton National Bank merger. As a matter of fact, the first announcement of a bank merger came officially through the District National Bank, which took a leading part in the Hamilton organization. After the District Bank's prime assets were sold to the Hamilton, the remaining assets stayed in the hands of its conservator, Joshua Evans, jr., former president, who became vice president of the Hamilton National Bank. When a receiver, Norman R. Hamilton, was appointed to take over the District National's remaining assets, and four other banks which had joined the Hamilton, the District Bank was declared insolvent. Later the controller of the currency levied a 100 per cent assessment against all stockholders, because the bank's assets were insufficient to meet its liabilites without the assessment.

18. July 27, 1934 Evening Star Washington, DC

Article from Evening Star, July 27, 1934

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ORDER CONFUSED Told to Pay, Stockholder Requests Interest From Bank. At least one stockholder in the insolvent District National Bank has the wrong idea of what an assessment of 100 per cent by a. receiver means. In response to the receiver's demand for payment of $1,000 to help meet the bank's obligations to depositors and other creditors, the stockholder replied: "If there is any interest due me up to date please send me check for same as I have been very sick and am in need of cash."

19. August 15, 1934 Times Herald Washington, DC

Article from Times Herald, August 15, 1934

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RECEIVER Three default judgments, totalling $13,525, were ordered by Justice James M. Proctor today in District Supreme Court in favor of Norman R. Hamilton, receiver of the District National Bank, against defendants who failed answer suits filed against them in connection with promissory notes in the proper time. The judgments were entered against Harry L. Sweinhart, 1500 block Sixteenth St. N. W., $2,150; Samuel Jr. and Margaret M. Edmonston, 2800 block St. $2,375; and Hamilton Smith, 3400 block Holmead Pl. N. W., In each case Attorneys Angus McLean and Charles E. Wainwright, the receiver, were awarded $200 counsel fees. PRINCE IN VENICE VENICE, Aug. 15 Prince Rudiger von Starhemberg, vice chancellor of Austria, ar- his rived here today by plane from Rome. He announced that he will stay here day or two before going to Vienna. Line Railway operates the

20. August 31, 1934 The Washington Daily News Washington, DC

Article from The Washington Daily News, August 31, 1934

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Dern Seeking Dismissal of District Bank Action A motion for dismissal of a suit by District National Bank stockholders against Treasury officials and War Secretary Dern, was filed in District Supreme Court today on behalf of Dern. The stockholders had asked for an accounting from Dern who, as trustee of the Philippine Island Gold Standard Fund. withdrew about $750,000 from the bank when it closed. Government attorneys contended that Dern cannot be rightfully sued by the stockholders and that if any action exists it must be brought by the bank's receiver.

21. August 31, 1934 The Washington Times Washington, DC

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# SUIT DISMISSAL # ASKED BY DERN Dismissal of the District National Bank stockholders' suit, in so far as it calls for an accounting from Secretary of War George H. Dern as trustee of the Philippine Islands gold standard fund, was asked in a motion filed today in the District Supreme Court. The stockholders, through Leo A. Rover, former district attorney, filed the suit several weeks ago. It is principally aimed against Treasury officials, the receiver of the bank, and officials of the Hamilton National Bank. It protests against the levying of a 100 per cent assessment against stockholders. Secretary Dern was named defendant on allegation that, as trustee of the fund, he was paid over approximately $750,000 which he had on deposit in the bank when the institution was closed. The motion, filed through District Attorney Leslie C. Garnett and his assistants, Harry L. Underwood and John W. Fihelly, contends that if any action exists against Secretary Dern, it belongs to the bank's receiver and not to the stockholders.

22. September 11, 1934 The Washington Times Washington, DC

Article from The Washington Times, September 11, 1934

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EARLY DIVIDEND BY C. BANK UNLIKELY By EUGENE A. KELLY Prospects for early payment of another dividend to depositors in the closed District National Bank are exceedingly gloomy, it was learned from official sources today. This prediction is based on the fact that the assets now held by the bank are only secondary. the prime assets having been taken over by the Hamilton National Bank. These secondary assets, while normally good, would be sold at a great loss if thrown on the market today. RFC Loans Blocked Furthermore, the receiver of the bank is not authorized to ask the Reconstruction Finance Corporation for additional loans on the assets he now holds because of a contract made with the Hamilton National Bank. This contract expires September 25. Under its terms the Hamilton National Bank can throw back any assets it has taken over and take others in their place. The defunct institution still owes the RFC approximately $600,000. This debt, it is believed, will be liquidated before additional relief is granted the depositors. Assessments Delayed While some relief is anticipated from the assessments levied against the stockholders, it was learned today that much of this money will be collected through court procedure, which means protracted legal battles and consequent delay in relief. The receiver of the District National Bank probably will ask for a reappraisal of the assets given as security for the loan from the RFC. If there are sufficient assets, the receiver will be cnabled also to ask for new loans.