Island City Savings Bank

Bank Information

Episode Type: Suspension → Reopening
Bank Type: savings bank
Start Date: January 1, 1885*
Location: Galveston, Texas (29.301, -94.798)

Metadata

Model: gpt-5-mini
Short Digest: 4561bee3

Response Measures

None

Description

Articles report Island City Savings Bank suspended circa 1885 (suspension two years ago from Feb 1887), was reorganized and continued business (compromised with depositors at 74 cents on the dollar) and by Feb 1887 was doing a good business. A rumored run was predicted in July 1887 after a local firm's failure but did not occur. Suspension date is approximate based on newspaper wording.

Events (3)

1. January 1, 1885* Suspension

Cause: Bank Specific Adverse Info
Cause Details: The bank suspended (circa 1885) and later reorganized, compromising with depositors at 74 cents on the dollar, indicating bank-specific financial difficulties leading to suspension.
Newspaper Excerpt: the Island Savings Bank at the time of its suspension two years ago. The bank was reorganized and continued business by compromising with depositors at the rate of 74 cents on the $1.
Source: newspapers

2. February 25, 1887 Reopening

Newspaper Excerpt: These payments, however, will in no way affect the solvency of the bank as it is doing a good business since its reorganization.
Source: newspapers

3. July 18, 1887 Other

Newspaper Excerpt: From the fact that Mr. Runge is president of the First National bank and a director in the Island City Savings bank, a run was predicted upon these depositories this morning. This, however, did not materialize, as depositors became convinced that each bank was not affected in the least by Runge's failure and could promptly meet all demands on call.
Source: newspapers

Newspaper Articles (3)

1. May 13, 1886 San Antonio Daily Light San Antonio, TX

Article from San Antonio Daily Light, May 13, 1886

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Article Text

STATE NEWS. Galveston public schools close May 31. The Laredo ferry now makes all night trips. Taylor wiil raise $25,000 to grade the road to Elgin. Scarlet fever cases continue to be reported at Austin. Crop prospects at Abeline have almost disappeared in the drouth. The Democratic State convention will meet in Galveston in August. I. V. Collins' safe at Crockett, was cracked on Monday night and contents taken. Wichita Falls stockmen fed 15,000 bales of hay last winter, and now divide up stock. Regular trains are now run on the San Antonio and Aransas Pass road to Pettus. The Red Fish Club, of Houston, have taken up their rods for the summer fishing season. The Land Board has applications from actual settlers for ten locations in Ochiltree county. Denton and Graperine both get the go-by in the location of the Gulf, Colorado and Santa Fe. Saba court is in session with a full docket: rain is very much needed to insure safety of small crops. The contract for building the Austin County Court-house has been awarded to Houston parties at $35,500. Erie Thomas, arraigned at Big Springs for killing J. B Fuller May 5, was declared not guilty yesterday. Helena joins the proeession of Texas towns that have one, two and threeyear-old cattle to sell for hard cash. The Grand Commandery K. T. of Texas is in session in the Corsicana asylum, with a full attendance of delegates. An excursion by coach from Beeville to Pettus to take in the new railroad was given by Chase & Sons' livery on Tuesday. Laredo has at last caught the undertow of the great strike wave, and feels hit hard. Thermometer above 100 right along. The special committee of the Texas Bar association. to consider amendments to the judiciary laws, is in session at Austin. The Galveston Tax payers have formed a protective association to resist the increase of assessments by the city government. County Physician Johnson, of Galveston, recommends for that county a hospital service similar to that of the marines. Antonio Valdez, well known in this city, was killed by a premature mining blast in Guadalupe rock quarry, Huesachito, Mexico. Frank Latham, colored. convicted of perjury in the case of his brother Rans, charged with murder, has been sent up for nine years. The Farmers Alliance and K. of L. members met at Fort Worth yesterday and nominated a full county ticket, State Legislators and Congressman. Carl Brossman, eight years County Treasurer of Austin county. is on his way to visit his mother in Germany, whom he has not seen for 30 years. Midland is to have a 20 acre stock yard with water for the accommodation of stock men. It 18 the best shipping point on the staked plain. The Texas State Fair association. of Dallas, met yesterday and declined to arbitrate with the Dallas State Fair association. Too big for its boots. San Marcos' tabernacle rises visibly and rapidly; the crop prospects in that section are lovely; the Commissioners Court is in session and S. M. is happy. The Engineers are busy locating the route between Aransas and Papalote, the later creek will be crossed a few hundred yards east of Hatchie's store. The Island City Savings Bank, of Galveston, not having made satisfactory settlement with its cred tors, suit will be brought for full amount of deposits with accrued interest. A rate of 2 cents per mile has been made for all parties wishing to attend the State shoot in this city. Tickets good from the 17th to the 2 d; on sale at all principal stations. Geo. Edwards, Marshal of Texarkana. openly assaulted Evangelist Wolf while he was holding forth in the streets of that town Monday night. The evangelist drove across the street into Arkansas and continued services. Charles Livermore, the Young Men's Christian Association protege of Galveston, of unsavory memory, who was accused of misappropriation of tire relief funds, attempt to rob and other deviltry, had his case nolled yesterday on account of lack of evidence. Sherman has been quietly working to secure the extension of the St. Louis, Arkansas and Texas road, and had raised $75.000 of the $150.000 required

2. February 26, 1887 Fort Worth Daily Gazette Fort Worth, TX

Article from Fort Worth Daily Gazette, February 26, 1887

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The Supreme Court. Special to the Gazette. GALVESTON, TEX., Feb. 25.-The Supreme court to-day affirmed the following cases: Heidenheimer & Co. vs. L. A. & W. 0. Ellis, from Galveston; the Island City Savings Bank VS. Aug Sachtleben, from Galveston; Margaret Moore vs. A. J. & F. M. Steele, from Brazos; Wallis, Landes & Co. vs. W. H. Taylor et al., from Grimes; J. G. Tucker vs. G. S. Smith, from Cameron. The following cases were reversed and remanded: W. E. Woodhouse VS. the Rio Grande Railway Company, from Cameron; Antonio Flores de Verett vs. Texas and Mexican Railway Company, from Duval; Lee Kreemer et al. vs. C. R. Haynie, from Austin. The case of Harriet L. Bostwick vs. James A. Bostwick, from Harris county, was dismissed for want of prosecution. The above case of the Island City Savings Bank vs. August Sachtleben is of considerable importance. Sachtleben, the defendant in error, was one of several hundred depositors in the Island Savings Bank at the time of its suspension two years ago. His claim amounted to $4400. The bank was reorganized and continued business by compromising with depositors at the rate of 74 cents on the $1. Sachtleben refused to sign the agreement and held out for the full amount of his claim. The lower court gave him judgment for the same with 8 per cent. interest, and Chief Justice Willie, in his opinion rendered to-day, affirms this finding. There are several similar claims pending against the bank, chiefly for money due to minor heirs who were unable to sign the compromise arrangements. These payments, however, will in no way affect the solvency of the bank as it is doing a good business since its reorganization.

3. July 21, 1887 The Austin Weekly Statesman Austin, TX

Article from The Austin Weekly Statesman, July 21, 1887

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Article Text

THE FAILED FIRM. Mrs. Kaufman to be Secured for the Advances She Made. Special Telegram to the Statesman. GALVESTON, July 18.-There are no new developments to report in the assignment of Kauffman & Runge. Julius Runge arrived home from New York at noon, but was accessible only to his most intimate friends. A full and complete statement of the firm's condition is promised in a faw days, when all details of the unfortunate affair will be given. The transfer of all realty, buildings, stocks of merchandise and other appurtenances owned by the firm in this city and county, aggregating $253,800, in favor of Mrs. Clara Kaufman, Bremen, Germany, was made to secure that lady for advances she had made to the firm from time to time. It is thought the creditors of the house will be paid in full, if time is allowed it to liquidate its liabilities. From the fact that Mr. Runge is president of the First National bank and r director in the Island City Savings bank, a run was predicted upon these depositories this morning. This, however, did not materialize, as depositors became convinced that each bank was not affected in the least by Runge's failure and could promptly meet all demands on call. The excitement caused by the assignment of this old and popular house has subsided, and business has resumed the even tenor of its way.