19923. Carolina Savings Bank (Charleston, SC)

Bank Information

Episode Type
Run Only
Bank Type
savings bank
Start Date
May 21, 1879
Location
Charleston, South Carolina (32.777, -79.931)

Metadata

Model
gpt-5-mini
Short Digest
d5967ec9

Response Measures

Accommodated withdrawals

Description

Articles (late May 1879) describe modest withdrawals of a few thousand dollars after news of the suspension of Williams, Birnie & Co. in New York and rumors tying the New York firm to local interests. The Carolina Savings Bank sustained only small outflows, received new accounts, and remained open and sound. Date of the disturbance is tied to telegrams dated May 21, 1879 mentioned in the reports.

Events (1)
1. May 21, 1879 Run
Cause
Rumor Or Misinformation
Cause Details
Rumors that Williams, Birnie & Co. of New York's suspension implicated G. W. Williams & Co. and the Carolina Savings Bank, prompting some withdrawals.
Measures
Reassurances via telegrams and opening of new accounts; no suspension or formal emergency measures taken.
Newspaper Excerpt
At the Carolina Savings Bank the experience was the same. A few thousand dollars were drawn out early in the day, but ... the opening of new accounts ... evidence of their confidence in the Bank and Mr. Williams.
Source
newspapers

Newspaper Articles (3)
1. May 28, 1879 The Abbeville Press and Banner Abbeville, SC
Article from The Abbeville Press and Banner, May 28, 1879

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Article Text

NOT A DOLLAR LOST BY THE FIRM OR BY THE CAROLINA BANK. Suspension of Williams, Birnie & Co., of New York--Heavily "Short" of Futures for their Customers-Obligations Promptly Met -- No Connection With G. W. Williams & Co. of Charleston, and the Carolina Savings Bank--These Institutions Firm as a Rock, and Sound as a Dollar. News and Courier. There was some excitement in the city on Monday evening, caused by the announcement that the firm of Williams, Birnie & Co., of New York, had suspended on the Cotton Exchange. The usual rumors were soon in circulation, and the liabilities of the suspended firm were said to be enormous. Yesterday morning it wascurrently reported that Williams, Birnie & Co. were "short" 70,000 bales of "futures," involving a loss of several hundred thousand dollars. Some anxiety was felt, as Mr. G. W. Williams, of Charleston. was known to be connected. more or less, with the New York firm of Williams, Birnie & Co., and it was feared that the firm of G. W. Williams & Co., of Charleston, and the Carolina Savings Bank, might be involved. This is not.the case. The firm of Williams, Birnie & Co., of New York, had no connection whatever with the firm of G. W. Williams & Co. of Charleston, but Mr. Williams, the senior partner in the Charleston House, was a limited partner in the New York firm. Neither the firm of G. W. Williams & Co. nor the Carolina Savings Bank losesa dollar by the New York failure. Mr. Williams was in New York when the trouble come on, and with characteristic coolness and courage Insisted that the New York firm call a half, and "make their loss.' This was done, The firm was dissolved. And every draft made upon Williams, Birnie & Co. has been promptly paid. The firm of G. W. Williams & Co. has al. most unlimited credit, and yesterday morning the managing partners here were approached by wealthy friends and offered any assistance they might need. No help was required, but the kindness that prompted the offers was appreciated and will not be for gotten. At the Carolina Savings Bank the experience was the same A few thousand dollars were drawn out early in the day, but against this is set the opening of new accounts by gentlemen who seized the occasion to give practical evidence of their confidence in the Bank and Mr. Williams. The story of what was done in New York and how the Charleston firm stands, is best told perhaps in the following telegrams: TO G. W. WILLIAMS & CO. NEW YORK, May 21. G. W. Williams & Go., Charleston: Draw on Drexel, Morgan & Co., and on Park Bank as heretofore. Firm of Williams, Birnie & Co. dissolved. G. W. WILLIAMS. TO PRESIDENT A. SIMONDS. NEW YORK, May 21. Andrew Simonds, President National Bank: G. W. Williams & Co., are not implicated in the affairs of Birnie & Co. They (G. W. Williams & Co.) have one and a half millions o . Co

2. May 29, 1879 Yorkville Enquirer York, SC
Article from Yorkville Enquirer, May 29, 1879

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Article Text

GEORGE W. WILLIAMS & CO. There was some excitement in business circles here last Thursday, caused by the announcement that the firm of Wil iams, Birnie & Co., of New York, had suspended on the Cotton Exchange. This house is understood to be a branch of the Charleston house of G. W. Williams & Co., and naturally enough fears were entertained that the complications of the New York house might involve that of Charleston, the embarrassment of which would be seriously felt throughout the State. Fortunately those fears were ungrounded. So far our as information goes, the Charleston house of George. W. Williams & Co., is solvent and will go on in the even tenor of its way, unaffected by the New York suspension. The News and Courier of Thursday, noticing the event, says: Yesterday morning it was currently reported that Williams, Birnie & Co. were "short" of 70,000 bales of "futures," involving a loss of several hundred thousand dollars. Some anxiety was felt, as Mr. G. W. Williams, of Charleston, was known to be connected, more or less, with the New York firm of Williams, Birnie & Co., and it was feared that the firm of G. W. Williams & Co., of Charleston, and the Carolina Savings Bank, might be involved. This is not the case. The firm of Williams, Birnie & Co., of New York, had no connection whatever with the firm of G. W. Williams & Co., of Charleston, but Mr. Williams, the senior partner in the Charleston House, was a limited partner in the New York firm. Neither the firm of G. W. Williams & Co. nor the Carolina Savings Bank loses a dollar by the New York failure. Mr. Williams was in New York when the trouble came on, and with characteristic coolness and courage insisted that the New York firm call a halt, and "make their loss." This was done. The firm was dissolved. And every draft made upon Williams, Birnie & Co., has been promptly paid. The firm of G. W. Williams & Co., has almost unlimited credit, and yesterday morning the managing partners here were approached by wealthy friends and offered any assistance they might need. No help was required, but the kindness that prompted the offers was appreciated and will not be forgotton. At the Carolina Savings Bank the experience was the same. A few thousand dollars were drawn out early in the day, but against this is set the opening of new accounts by gentlemen who seized the occasion to give practical evidence of their confidence in the Bank and Mr. Williams. [From the New York Times, 21st.] The excited bull movement in cotton, reported in yesterday's Times, continued yesterday and a further advance of 50 points, or 1 cent a pound, was recorded up to 1.45 o'clock, when, in the midst of the excitement, Williams, Birnie & Co., of No. 76 Beaver street, sent a notice to the Cotton Exchange of their inability to meet their engagements. The firm was regarded as one of the wealthiest and most stable in the business, and the news came like a thunderbolt, knocking the market off 30 points, but it afterwards partially recovered when the true state of affairs became known, closing at 43 points above Monday's closing prices. George W. Williams, the senior member of the concern, was originally in the wholesale grocery business in Augusta, Ga., the firm, Hand, Williams & Wilcox, being one of the best known in that region. In 1851 Mr. Williams removed to Charleston, and founded the firm of George W. Williams & Co. Shortly afterward he

3. May 30, 1879 The Weekly Union Times Union, SC
Article from The Weekly Union Times, May 30, 1879

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Article Text

Suspension or York. Birnie There was some excitement in the city on Monday evening, caused by the announcement that the firm of Williams, Birnie & Co., of New York, had suspended on the Cotton Exchange. The usual rumors were soon in circulation, and the liabilities of the suspended firm were said to be enormous. Yesterday morning it was currently Preported that Williams, Birnie & Co. well 'short' of 70,000 bales of "futures," involving a loss of several hundred thousand dollars. Some anxiety was felt, as Mr. G.W Williams, of Charleston, was known to be connected, more or less, with the New York firm of Williams, Birnie & Co., and it was feared that the firm of G. W. Williams & Co., of Charleston, and the Carolina Savings Bank, might be involved.— This is not the case. The firm of Williams, Birnie & Co., of New York, had no connection whatever with the firm of G. W. Williams & Co., of Charleston, but Mr. Willams, the senior partner in the Charleston House, was a limited partner in the New York firm. Neither the firm of G. W. Williams & Co. nor the Carolina Savings Bank loses a dollar by the New York failure. Mr. Williams was in New York when the trouble came on, and with characteristic coolness and courage insisted that the New York firm call a halt, and "make their loss." This was done. The firm was dissolved. And every draft made upon Williams, Birnie & Co. has been promptly paid. The firm of G. W. Williams & Co. has almost unlimited credit, and yesterday morning the managing partners here were approached by wealthy friends and offered any assistance they might need. No help was required, but the kindness that prompted the offers was appreciated and will not be forgotten. At the Carolina Savings Bank the experience was the same. A few thousand dollars were drawn out early in the day, but against this is set the opening of new account, by gentlemen who seized the occasion to give practical evidence of their confidence in the Bank and Mr. Williams. The story of what was done in New York, and how the Charleston firm stands, is best told perhaps in the following telegrams : TO G. W. WILLIAMS & co. NEW YORK, May 21. G. W. Williams & Co., Charleston: Draw on Drexel, Morgan & Co., and on Park Bank as heretofore. Firm of Williams, Birnie G. W. WILLIAMS. & Co. dissolved. TO PRESIDENT A. SIMONDS. NEW YORK, May 21. Andrew Simonds, President National Bank: G. W. Williams & Co. are not implicated in the affairs of Birnie & Co. They (G. W. Williams & Co.) have one and a half millions of unencumbered assets. Drexel, Morgan & Co. will cash their drafts for any amount they wish to G. W. Williams. draw. TO PESIDENT A. SIMONDS. NEW YORK, May 21. The drafts of Messrs. G. W. Williams & Co. on us, to the extent of $100,000, will be honDREXEL, MORGAN & Co. ored. TO THE NEWS AND COURIER. NEW YORK, May 21. To the Editor of the News and Courier: Birnie & Co. did not suspend on the Cotton Exchange for want of money. Their friends offered them $500,000, if needed. I was unwilling to put another dollar to aid the cotton gamblers in their demoralizing speculations. The firm did not have a bale of cotton on their own account. They pay every draft drawn on them. Parties are sending margins freely, rather than lose their contracts which otherwise would be forfeited. The friends all approve of my G. W. WILLIAMS. prompt action. This last dispatch discloses the whole situation. The Southern customers of Williams, Birnie & Co. got on the wrong side of cotton, and were unable to keep up with the rapid advance in price. Mr. Williams insisted on stopping at once. This was done, every obligation is met as it matures, and margins are now coming in freely from customers, which will, by 80 much, reduce the losses of the New York firm. The house of G. W. Williams & Co. of Charleston and the Carolina Savings Bank are as steady as a rock. This flutter in New York has only demonstrated more clearly the stability of nesition