19720. Greene & Cranston (Providence, RI)

Bank Information

Episode Type
Suspension → Closure
Bank Type
private
Start Date
December 18, 1875
Location
Providence, Rhode Island (41.824, -71.413)

Metadata

Model
gpt-5-mini
Short Digest
634e8739

Response Measures

None

Description

Multiple contemporaneous newspaper reports state Greene & Cranston suspended payment on Dec 18, 1875 and made an assignment to James Y. Smith. The immediate trigger was inability to realize on advances to the Providence Tool Company and delays in remittances from the Turkish government. The assignment indicates permanent closure/insolvency rather than a temporary suspension, so classification is suspension_closure.

Events (1)
1. December 18, 1875 Suspension
Cause
Correspondent
Cause Details
Failure to realize on advances to the Providence Tool Company; delay/omission of remittances from the Turkish government and Providence Tool Company's inability to meet maturing obligations at the bankers' caused cash shortfall leading to suspension. - Sources: contemporaneous newspaper accounts (Dec 18–20, 1875).
Newspaper Excerpt
The banking firm of Greene & Cranston, of this city, suspended payment this morning, and made an assignment to James Y. Smith.
Source
newspapers

Newspaper Articles (8)
1. December 18, 1875 Evening Star Washington, DC
Article from Evening Star, December 18, 1875

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Article Text

A Liberal Elected to Parliament Robert Henry Hurst, liberal, was elected to Parliament yesterday from Horsham, to fill a vacancy. Suspension. PROVIDENCE, Dec. 18.-The banking firm of Greene & Cranston, of this city, suspended payment this morning, and made an assignment to James Y. Smith. The liabilities are represented to be 675,000; the assets, firm and individual, are said to be 809,000. The direct cause was the failure of the Providence Tool Company (which has large contracts with the Turkish government for arms) to meet maturing obligations at the bankers'. It is supposed the delay in expected remittances from Turkey is at the bottom of the trouble.

2. December 19, 1875 The New York Herald New York, NY
Article from The New York Herald, December 19, 1875

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Article Text

SUSPENSION OF A BANK. PROVIDENCE, R. I., Dec. 18, 1875. The banking firm of Greene & Cranston, of this city, suspended payment this morning and made an assignment to James Y. Smith. The liabilities are represented to be $675,000. The assets-firm and individual-are said to be $800,000. The immediate cause of the suspension was the failure of the Providence Tool Company, which has large contracts with the Turkish government for arms, to meet maturing obligations at the bankers. It is supposed that the delay in expected remittances from Turkey is at the bottom of the trouble. Representatives of the Providence Tool Company state that the embarrassments of that company are only temporary and do not arise from its relations with the Turkish government, which pays every week for the arms manufactured, and has now on deposit with the Tool Company $1,200,000 worth of guns as security for the fulfilment of their contract.

3. December 19, 1875 Chicago Daily Tribune Chicago, IL
Article from Chicago Daily Tribune, December 19, 1875

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Article Text

FINANCIAL. PROVIDENCE, R. 1. PROVIDENCE, R. 1., Dec. 18.-The immediate Jause of the suspension of the banking-house of Greene & Cranston, announced to-day, was the failure of the Providence Tool Company, which has large contracts with the Turkish Government for arms. to mest their maturing obligations at the bankers'. It is eupposed that the delay in the expected remittance from Turkey is at the bottom of the trouble. PROVIDENCE, R.I., Dec. 18.-The Providence Tool Company state that their embarassments are only temporary, and do not arise from their relations with the Turkneh Government, which pays every week for the a:ms manufactured. and that there is now on deposit with the Tool Company $1,200,000 worth of gune, as security for the fulfiliment of their contract. Greene & Craneton have made an assignment to James Y. smith. Their liabilities are represented to be $675,000, and their assets $800,000. BOSTON. BOSTON, Mare., Dec. 18.-The firm of J. M. Goldemith & Co., of this city, dealers in naval stores, are reported failed. Liabilities $123,000, including about $20,000 as indorsed paper, upon which the firm will be obliged to pay 50 per cent. Aesets nominally $30,000, but ontside of $11,000 cash assets are said to amount to but little. MONTREAL

4. December 20, 1875 New-York Tribune New York, NY
Article from New-York Tribune, December 20, 1875

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Article Text

FAILURES. THE PROVIDENCE TOOL COMPANY EMBARRASSED. PROVIDENCE, Dec. 19.-Greene & Cranston, bankers, suspended yesterday, and made an assignment to James Y. Smith. The liabilities are $675,000; assets, $400,000. The cause of failure is announced to be inability to realize on advances made to the Providence Tool Company. Representatives of the Providence Tool Company state that the embarrassments of that Company are only temporary, and do not arise from its arms contract with the Turkish Government, which pays every week for the arms manufactured, and has now on deposit with the Tool Company $1,200,000 worth of guns as security for the fulfillment of their contract. LATER.-The Providence Tool Company will issue a statement to-morrow, showing that it has a contract with the Torkish Government for the manufacture of 600,000 rifles, with the option of accepting an additional order for 200,000; and that large expenditures have been made in the preparation of buildings, machinery, and tools, so that the present capacity of manufacture is 4,000 rifles per week, employing 1,800 men. During the past year the Company has reduced the debt incurred in making preparations, $600,000, and added $300,000 to Its general assets. A combination of unfortunate circumstances, which are explained in their circular, has placed the company under financial embarrassment, and compels it to ask such extension as will enable it to carry to successful result the enterprise in which it is engaged. A committee will be invited to examine the Company's affairs and report forthwith. The statement represents that the assets or the Company at a low valuation exceed, over and above its liabilities, $1,250,000. Under the existing accepted contracts, the Company has already manufactured 220,000 rifles, leaving 380,000 in process or yet to be made in fulfillment of the present contract. Probably 100,000 of this number can be completed from materials on hand in various stages of progress, and in the production of which one-half the cost of the labor to fully complete them has been alrea paid, and no further outlay is required for machinery, tools, or buildings. It is not the purpose of the officers or principal stockholders of the Company, who are personally liaDie for the indebtedness of the Company, to in ke any assignment of their private estates, but they intend to employ their utmost resources to aid in extricating the Company from what they believe to be only its temporary embarrassment. It is thought that if this statement had been issued four weeks ago serious embarrassment would have been avoided. The private property of the stockholders of the Company is estimated at about $5,000,000.

5. December 20, 1875 The Rutland Daily Globe Rutland, VT
Article from The Rutland Daily Globe, December 20, 1875

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Article Text

Heavy Failure. PROVIDENCE. Dec. 19. The banking firm of Greene & Cranston of this city suspended Saturday morning, and made an assignment to James Y. Smith. Liabilities, $675,000 ; assets said to be $800,000. The suspension is believed to have been caused by inability to realize on advances made to the Anoum manufacturing company, amounting to $400,000. The immediate cause of the suspension of the banking house of Messrs. Greene & Cranston, was the failure of the Providence tool company, which has large contracts with the Turkish government for arms, to meet their maturing obligations at the bankers. It is supposed that the delay in the expected remittances is at the bottom of the trouble.

6. December 21, 1875 The Daily Dispatch Richmond, VA
Article from The Daily Dispatch, December 21, 1875

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Article Text

SUSPENSION OF A PROVIDENCE BANKING FIRM.- Providence, December 18.-The banking firm of Greene & Cranston, of this city, suspended payment this morning.

7. December 24, 1875 Dodgeville Chronicle Dodgeville, WI
Article from Dodgeville Chronicle, December 24, 1875

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sentence 01 his wife, convicted of the same offense, was commuted to life imprisonment. An excursion composed of 500 people from Washington, including the President and several Cabinet officers, the members of the Supreme Court and a majority of both houses of Congress, reached Philadelphia on the evening of the 17th, for the purpose of inspecting the Centennial buildings and grounds. Alexander P. Tutton, the Supervisor of Internal Revenue who was assigned to St. Louis in McDonald's place, has written a letter to the President in which he claims that the order transferring the Supervisors of Internal Revenue in January last was suspended at his own instance, and not at the request of Gen. Babcock. A large number of mechanics and laboring men out of employment joined in a public demonstration at Montreal, Canada, on the 17th and demanded of the authorities support for themselves and their families. Some rioting occurred, and the police were called upon to suppress it. Several arrests were made. On the 18th four of the rioters were sentenced to four months' imprisonment at hard labor. Arrangements had been made to give aconsiderable number of laborers employment. The police were out in force at last accounts and further disturbances were feared. On the morning of the 18th the United States Express Company's car on the St. Louis, Kansas City & Northern train, en route for St. Louis, was entered between Ferguson and Jennings' Station by two or three masked men, the messenger, Charles K incaid, thrown into a large packing-box which the robbers emptied for the purpose, and the safe robbed of between $10,000 and $20,000 in money and valuables. The New York Graphic of a recent date broaches the theory that Tweed was not a voluntary fugitive, but had been abducted and killed by men whom he could implicate in the plundering of the city treasury, and who were interested in getting him out of the way because he had threatened to make damaging revelations concerning them. A regular business meeting of Plymouth Church was held on the 17th, at which Deacon West's letter was placed on file. In Mrs. Moulton's case a letter missive was proposed for an advisory council to be held Jan. 11 to determine certain questions of rule and discipline. On the motion for its adoption being made, Mr. Shearman moved a slight amendment and Mr. Beecher asked if the effect would not be to open up the whole investigation of 1874. Upon being answered that it would he said he favored the amendment, and it prevailed. At the conclusion of some subsequent remarks Mr. Beecher said: If such an advisory council should say another investigation is necessary, I would say, Do it!' Do it!' If they should say not, I certainly should not object." Mr. Shearman resigned the position of Clerk of the church, and Mr. T. J. Tilney was chosen as his successor. The trial of Piper, the Boston sexton, for the murder of Mabel Young has resulted in a disagreement of the jury, which is said to have stood nine for conviction and three for acquittal. On the 18th the banking-house of Greene & Cranston, of Providence, R. I., failed in consequence of the suspension of the Providence Tool Company. -The assets are $800,000 and the liabilities $675,000. The embarrassment of the Tool Company is said to be only temporary. D. A. Ross & Co., manufacturers of and dealers in lumber in Detroit, Mich., failed on the 18th. Their liabilities are stated at $300,000 and assets at $400,000. Several distinguished personages were in attendance upon the Moody and Sankey meetings in Philadelphia on the 19th, among them being President Grant and wife. At the women's meeting in the afternoon several ladies rose for prayers and subsequently went into the inquiryaoom. Henry W. Longfellow having declined to act as Centennial poet, John G. Whittier will probably serve m his stead. On the occasion of the recent hanging of three colored men in New York city the rope was carelessly adjusted around the neck of one of them, and just as the weight descended the knot slipped and the victim was left writhing between heaven and earth. He made desperate efforts to relieve himself and loudly called for assistance. The knot again slipped and he finally died by strangulation.

8. December 27, 1875 Chicago Daily Tribune Chicago, IL
Article from Chicago Daily Tribune, December 27, 1875

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The Providence Tool Company. A correspondent of the Springfield (Mass.) Republican represents that the n bottom fact" in the recent suspension of Greene & Cranston, bankers, and the Providence Tool Company, was the delay or omission of the Turkish Government to place their second installment of £600,000 in London to the credit of the Tool Company, which has an order from Turkey for 600,000 Peabody-Martini rifles, and has already