2161. Seventh Street Savings (Washington, DC)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
November 1, 1933
Location
Washington, District of Columbia (38.895, -77.036)

Metadata

Model
gpt-5-mini
Short Digest
d219a944

Response Measures

None

Description

Articles (Nov–Dec 1933) list Seventh Street Savings among several D.C. banks placed in conservatorship and then receivership by the Comptroller; receivers took over assets and liquidation followed with assessments in 1934. No article describes a depositor run on this specific bank, so this is classified as a suspension/closure (government action leading to receivership/liquidation).

Events (3)
1. November 1, 1933 Receivership
Newspaper Excerpt
RECEIVERS GET ASSETS OF 8 SHUT BANKS... The banks involved are ... Seventh Street Savings... designated by the Comptroller of the Currency today as receivers of the assets of the eight closed District banks now operated by conservators. Norman R. Hamilton ... will take over the remainder ... John D. Howard, Seventh Street Savings (conservator).
Source
newspapers
2. November 1, 1933 Suspension
Cause
Government Action
Cause Details
Placed under conservatorship and then taken into receivership by the Comptroller of the Currency as part of closures of several D.C. banks
Newspaper Excerpt
the eight closed District banks now operated by conservators... Seventh Street Savings... receivers of the assets of the eight closed District banks
Source
newspapers
3. July 7, 1934 Other
Newspaper Excerpt
100% Levy Made on Stockholders in 5 D. C. Banks... levied 100 per cent assessments against shareholders... Seventh Street Savings ... assessments are payable Aug. 13... collections... will be added to the other assets of the ... receivers of the five banks, the best assets of all of which were taken over by the Hamilton National Bank.
Source
newspapers

Newspaper Articles (9)
1. November 1, 1933 The Washington Times Washington, DC
Article from The Washington Times, November 1, 1933

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RECEIVERS GET ASSETS OF 8 SHUT BANKS Comptroller Shifts Task of Setting Up Affairs From Local Conservators Cary A. Hardee, Florida exgovernor and banker, and Norman R. Hamilton, Portsmouth (Va.) published and former Customs Collector, were designated by the Comptroller of the Currency today as receivers of the assets of the eight closed District banks now operated by conservators. The banks involved are Chevy Chase Savings, Federal American National, District National, Northeast Savings, Seventh Street Savings, Washington Savings, Woodridge-Langdon Savings, and Commercial and Potomac Savings. Under present plans of the Comptroller, Receiver Hardee will be in charge of liquidation of the assets of the Federal American and Chevy Chase Savings banks, while Receiver Hamilton will take over the remainder. Hardee Takes Charge Mr. Hardee entered upon his duties today, visiting the office of John Poole, conservator of the Federal American National Bank. Hamilton is not expected to arrive in the city until November 8. The receivers are expected to take over the assets of one bank at a time. According to this plan, the dual receivership will not be in full swing for several weeks as it will take a week or more for the checking-in process in the case of each bank. Approximately 65 per cent of the assets of the Chevy Chase Savings Bank were taken over by the Riggs National Bank in a "Spokane" purchase several months ago while 50 per cent of the assets of the other seven banks were taken over by the Hamilton National Bank. Move for Economy Replacement of the eight conservators by two receivers, Comptroller J. F. T. O'Connor explained, was in the interest of economy. Six salaries and high bond premiums will be eliminated in the new system. Assets of the Mt. Vernon Bank While it has been the uniform policy of the Treasury to make a survey of the condition of a bank as soon as it is placed in receivership and prepare a schedule of stock assessments commensurate with the uncollectible amount of assets, there was no indication of the Treas ury's policy in the case of the eight banks involved in the present receiverships. Four conservators replaced under the new system have been acting without pay since the Hamilton Bank opening as they had accepted positions with the new bank. They are Joshua Evans, jr., District National; George F. Hoover, Northeast Savings Bank; R. A. Sisson, Washington Savings Bank, and E. L. Norris, Woodridge-Langdon. The others are John Poole, Federal-American; George W. Offutt, Potomac Savings, and John D. Howard, Seventh Street Savings.

2. November 2, 1933 The Virginian-Pilot Norfolk, VA
Article from The Virginian-Pilot, November 2, 1933

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TammanyPuts Hamilton Goes Added Weight To Capital As Bank Receiver New York Mayor Given Support of Civil Service Conference for Re-election New York, Nov. Hall today its drive to elect Mayor John P. O'Brien as the allied civil service conference inhim second term. As Joseph V. McKee, and Fiorello H. verbal blows what the mayor described cat dog Tammany and its affiliated quietly out the rank and file that the mayor can be Tammany's belief that Mayor O'Brien can returned to the City Hall days and careful analysis of the electorate's to the McKee and LaGuardia. O'Brien's stock, at its lowest ebb days, when the civil 178,000 city and Federal metropolitan New York, the mayor; for president of the board and Frank Prial, independently of Tammany the Democratic ticket for comptroller. Influences Huge Vote James conference secretary, estimated that the conference 600,000 votes after lowing of approximately per cent of the cause of political faith. was out on the average each civil service worker influences five victory in the over for comptroller was to the active backing of civil service with whom he been identified for of century. Endorsement of O'Brien by the political leaders successful largely its acceptance Prial after he defeated the organization in the primary. Strength Estimated The conference computed elecstrength follows: One hundred and thousand civil service employes, 38,000 Federal service employes living in New York. the workers would stand by the conference's decision. "Each these employes," said statement issued by the capable of influencing at least five votes. The the may result in total from these conference's and its of the city, Tammany strategy of votes effort (Continued on Page Column Portsmouth Publisher Wins Long Fight for Appointment To Federal Job Washington, Nov. ment of Norman Portsmouth publisher, one two ceivers eight looked upon today climax of long the publisher and his friends obtain him an important under the Roosevelt Hamilton was for lector of to office Maj. Trustun, of was named. was indicated at the that Hamilton would be named to other not requiring Senatorial conhim and Harry Flood the State's Under The was made O'Connor, Comptroller customs collector during the administration of President Wilson, and campaign to him named again was started before Roosevelt was inUnder distribution of patronage between Glass and Byrd, of the collector was left to the Glass, backed Byrd in his of Truxtun. Hardee. former Governor of Florida, was other receiver They will have charge of the FedNational Chevy Chase Savings the Seventh Street Savings the the and Commercial Bank and the Potomac Savings Bank. Distinguished Bravery Under the tentative Hardee will have charge first and Hamilton publisher the mouth director as Norfolk for several years and now on the board of the Mutual ing Association there. During his eight-year term lector, charge neutrality in Virginia waters. He interned German raiders Eitel and Kron Prins Wilhelm and the ship at Newport News. He also boarded the Russian loaded worth allied and placed arrest the crew of mutinous Norman R. Hamilton has been leading figure politics in the Second District. was collector customs for two terms under of President Wilson and during his term the house Norfolk grew to (Continued on Page Column

3. December 14, 1933 Evening Star Washington, DC
Article from Evening Star, December 14, 1933

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M'LEAN APPOINTED TOD. C. BANK POST Former Governor of North Carolina to Aid Liquidation in Capital. Angus W. McLean. former Governor of North Carolina, who has been practicing law here for about six months, today was appointed by Controller of the Currency J. F. T. O'Connor to be attorney for the six Washington banks now being liquidated by Receiver Norman R. Hamilton. Mr. McLean is the third prominent public figure to be brought into the Washington closed bank situation. Mr. Hamilton, who has already taken over three of the six local banks which he is to liquidate, was appointed from Portsmouth, Va., where he is the publisher of the Portsmouth Star. Former Gov. Cary Hardee of Florida has taken charge of liquidation of the remaining assets of two banks. the old FederalAmerican National Bank & Trust Co. and the Chevy Chase Savings Bank. The six institutions which will be served by former Gov. McLean as attorney are the District National Bank, the Northeast Savings Bank and the Washington Savings Bank, which have been taken over officially by Receiver Hamilton, and these three others: Seventh Street Savings, Woodridge-Langdon Savings & Commercial and the Potomac Savings Bank. In announcing McLean's appointment, a statement from the office of the controller said: "Mr. McLean brings to his new duties a wealth of experience as a lawyer and as a public servant. A practicing lawyer in his native State for the past 30 years, he was chosen president of the North Carolina Bar Association in 1920. During the World War and for two years thereafter he was director and then managing director of the War Finance Corporation in Washington. "Mr. McLean also served during 1920 and 1921 as Assistant Secretary of the Treasury, in charge of customs, internal revenue, prohibition enforcement f and secret service. Throughout the I same period he also served as chairman 1 of the Railway Loan Advisory Committee, for Secretary of the Treasury D. F. Houston. "From 1925 to 1929, Mr. McLean was Governor of North Carolino. "He has maintained, with his associates, law offices in Lumberton and Raleigh, N. C., for many years. while he established a law office in the : Southern Building here about six months ago. He has been in active practice here since then." Mr. McLean took over his new duties as attorney for Hamilton today. Headquarters for liquidation of the six banks is in the District National Bank Building on G street near Fourteenth.

4. December 15, 1933 Evening Star Washington, DC
Article from Evening Star, December 15, 1933

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BANK LIQUIDATION WILL BE QUICKENED Former Gov. McLean Named to Help Receiver in D.C. Institutions. BY EDWARD C. STONE. Liquidation of six Washington banks is to become more rapid by the appointment of Angus W. McLean, former Governor of North Carolina, as attorney to assist Receiver Norman R. Hamilton. The banks to which he will give attention are the District National, Northeast Savings, Seventh Street Savings, Washington Savings, Potomac Savings and Woodridge-Langdon Savings & Commercial. Appointed yesterday by Controller J. F. T. O'Connor, he has already begun his new duties. Mr. McLean has maintained a law office in Washington for the past six months. He resided here at the time of the World War and for two years after that period. being director and later managing director of the War Finance Corporation. He was Assistant Secretary of the Treasury in 1920 and 1921, being in charge of customs. internal revenue, prohibition enforcement and secret service: also serving as chairman of the Railway Loan Advisory Committee, under Secretary D. F. Houston. He served as Governor of his home State from 1925 to 1929, and back in 1920 was president of the North Carolina Bar Association. Depositors in the six banks are hoping for an early payment of a part of their funds. This, however, depends on an opportune time for the sale of frozen assets. Banks Planning for Insurance. Banks all over the United States must start the reports at once which they will make the Federal Deposit Insurance Corporation, in connection with the temporary insurance plan which goes into effect on January 1. Under the temporary arrangement all deposits up to $2,500 will be insured up to July 1. After that the permanent law is to go into effect. by which larger amounts are to be protected. The reports to the guarantee corporation are to be made as of today, December 15, and cover the number of depositors each bank has, amount of deposits and other facts. The banks are given until December 23 for the completion of these reports. On or 08fore that date the reports must be filed and the first payment of onefourth of 1 per cent of deposits must be turned into the insurance fund. In some quarters it is anticipated that there will be a considerable increase in bank deposits after the first of the year. With deposits guaranteed up to $2,500. a new era in confidence is expected to develop. New York Banks Paying Dividends. As reported in a bulletin by Waggaman, Brawner & Co., Inc., investment bankers, most of the large New York Clearing House banks have declared their regular dividends for the last quarter of 1933. These bank stocks are largely held by local investors, and checks covering their dividends will be received by them on January 1 or 2. Dividends already declared are:

5. March 2, 1934 The Washington Times Washington, DC
Article from The Washington Times, March 2, 1934

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ings on the Flecher Rayburn bill and kept his local manager, A. Harmer Reeside, on the jump showing him around. Like all brokers we've talked to. Mr Westheimer thinks the Hare Fletcher Ray- Dunbar burn bill must be modified or else the stock market business will go to the "bow-wows." He says: "All American progress is due to the fact that people have speculated." He cites some very conclusive reasons for his statement-building of the railroads, promotion of aviation, advance of telegraphic and telephone communication, and the like. Says Mr. Westheimer, and he's right, too: "Where would America be if the weren't a we have today speculative any empire mood? people stretching Would in across the country, or still be a small English colony?" He thinks the average Amerigamble, can citizen take the wants big chance. to plunge, Is he right? And while on the subject of the Westheimer firm. it might be stated that Miss Bessie Shoor, is popular customer's woman, around and about again. She recently was operated on for appendicitis We're beginning to get fan mail. People are writing in to ask about the condition of certain stock. though, we aren't posing and do the brokers' usurp Sorry, as experts business. not wish So, in- to if you write us for that kind of formation and we don't answer, please appreciate our position. Now that the Potomac Savings Bank has physically moved into the District National Bank Building things are really buzzing there. The Northeast Savings already was there. Norman Hamilton is receiver for five of the closed banks which entered the Hamilton National Bank merger and he hopes to have more company soon. In addition to District and Northeast and Potomac, Mr. Hamilton is receiver for the Washington Savings and Seventh Street Savings. Ferry Heath, of E. H. Harriman & Co., goes to lunch without his coat in this weather. But he wears his hat. Richard Whitney, who's been about here testifying the visited stock a exchange, hasn't even single local brokerage office, it's said. John Caswell, ir., manager of Clark, Childs and Keech, is out of the city. He's in New York. Milton Sherrill, local for Investors in the Barr manager with James offices Syndicate, Building, business that February the reports through Washington cent above office was exactly 100 per that done in January, and with two exceptions, the best month since May, 1933. Mr. Sherrill said: "Our business over the United and Canada and we States rapidly, expect is improving 1934 from to A report office in states that Minn., the be a home good year. the Minneapolis, first six months of this year shows an increase for the company of 21 per cent over the same period in 1933. "Mrs. Rose Morrow led the entire sales force here in production in February. She has been with the syndicate several years and February was one of her best months." Mr. Sherill states that he very optimistic about the immediate future for his business in Washington. "Things are more settled here and the than at any brighter right now future time looks for over a year. In my opinion, business is going to be good in Washington this year."

6. March 26, 1934 The Washington Times Washington, DC
Article from The Washington Times, March 26, 1934

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DISTRICT TRADE IMPROVEMENT GENERAL Bank Deposits Up, Insurance Writings Climb, While Shop Sales Rise By DUNBAR HARE The financial picture in Washington took on a brighter hue last week, with indications that the District is nearer normalcy than it has been at any time since before the banking holiday. During the past week, the bank condition call of the comptroller of the currency showed that local bank deposits had jumped $23,000,000 since the last call on December 30. This represented the difference between $222,000,000 in deposits of December 30 and $245,000, of as 000 as of March 5. the date the most recent call. $2,000,000 in Insurance Another indication of prosper- inis the fact that new life $2.surance ity totaling more than dur000,000 was written last week ing "Financial Independence Week." E. McCombs, chairman of a J. committee of the District Assospecial Columbia Underwriters' of said these figures com- inciation, with a total of $1,300,000 unpare written by local life surance derwriters during the corresponding week of 1933. Also during the past week, sevbankers reported that many that merchants eral had asserted was their business during March was 30 per cent better than it March of last year. generally during Bankers in financial all of Washington's 21 open despite institutions are optimistic, securpessimistic attitude of These the and stock brokers. of latter ity blame the sluggishness securities business on the strike their act and on the current agitation. Deposits May Be Freed Conditions in Washington's imbanks also showed provement closed during the past hundreds week, indications that will be with thousands of dollars future of released within the near has depositors whose money to frozen since the banking holiday been and, in some instances, before. Marked progress was made afthe week in whipping Naduring of the closed Franklin The fairs Bank into shape. is to merge Washington tional Franklin unrestricted with and Me- the the chanics Savings Bank which Vernon Savings Bank, part of Mt. opened its doors as a three-way combine, paying dethe out $800,000 among 30,000 positors. Clarence F. Burton, president which of Washington Mechanics, Bank of the become The City three-corWashington will after the consummated, merger is that the nered today it was hoped combinasaid Franklin would join the off not and begin paying tion than April 23. Stockholders the later meet April 10, approve features are to and certain other dename merger. After that only of tail the work will remain. Early Release Sought Receivers and conservators remaining who charge of the they are in banks also report that make an closed doing their best to deposiare early release of funds to tors. is particularly true Savings, in the This of the Northeast Street case Savings, Seventh Savings Potomac and Washington stockholders Savings Assessments of and the Bank. these State banks which Woodridge-Lanedocational in all of and the District Bank, with Federal the American National National formed the Hamilton within the Bank, are expected The Hamilton's next few months. of the five option on assets expired last week. naOption banks on in the combine will tional State banks assets year. of the two not expire for a somere

7. March 27, 1934 The Washington Times Washington, DC
Article from The Washington Times, March 27, 1934

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STOCKHOLDERS BANKS FOUR FACE LEVIES By DUNBAR HARE Stockholders in four of the closed "State" banks which became part of the seven-bank combination that merged into the Hamilton National Bank may have to pay their assessments within three weeks, it was learned authentically today. Practically all details in connection with levying the assessments necessary before an additional payment to depositors can be made have been completed, except in some cases where the approval of the comptroller of the currency is being temporarily withheld. That, however, will be straightened out within two weeks. giving an extra week for the sending-out of the notices. Banks Involved Banks involved are: Potomac Savings, Northeast Savings, Washington Savings and Seventh Street Savings. The fifth "State" bank in the Hamilton merger, the WoodridgeLangdon Commercial and Savings, is not involved at present, since it is not in receivership. However, its remaining assets, like those of the other four, were released from the option held by the Hamilton last week, and a levy there is expected as soon as the Treasury Department decides whether to give that bank a separate receiver or bring it under one of the two receivers who are handling the affairs of the other six banks-two of them national -which became part of the combine. Assessments Delayed The Hamilton merger was predicated on the fact that after six months that institution could call on receivers of the closed "State" banks to substitute secondary assets for time assets up to 25 per cent. In the case of the Federal American and the District National banks, however, the option does not expire until September 23, at which time the consolidated bank can demand 50 per cent of remaining assets for those it now holds but deems unworthy. Under the circumstances, stockholders of the Federal American and the District National are not expected to fear assessment until after the option expires. Stockholders of the four "State" banks involved are expected to produce about $500,000, a 100 per cent assesment on the par value of the stock they hold.

8. July 7, 1934 The Washington Daily News Washington, DC
Article from The Washington Daily News, July 7, 1934

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100% Levy Made on Stockholders in 5 D. C. Banks Huge Sum Would Be Available for Depositors and Other Creditors By ROBERT M. BUCK The blow, expected for a year, has fallen on the stockholders of five of Washington's closed banks. J. F. T. O'Connor, Comptroller of the Currency, today announced that he had levied 100 per cent assessments against shareholders of the following banks: The receivers of the five banks, the best assets of all of which were taken over by the Hamilton National Bank, which was organized for that purpose, have been instructed to demand of each stockholder $1 in cash for every $1 he has invested in stock. INTEREST AFTER AUG. 13 These assessments are payable Aug. 13, but may be paid in four equal instalments monthly beginning on that date. They bear 6 per cent interest after Aug. 13. The collections, when made, will be added to the other assets of the No. of stockBank Assessment holders Federal-American National $2,000,000 642 District National 1,000,000 325 140,000 68 Potomac Savings Northeast Savings 100,000 185 Seventh Street 100,000 123 Savings Totals $3,340,000 1343

9. November 14, 1934 The Washington Times Washington, DC
Article from The Washington Times, November 14, 1934

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D.C. BANKS GET MORE FUNDS Depositors in five of Washington's closed banks may soon receive additional dividends it appears today as a result of stockholders paying $1,000,000 of a $3,340,000 assessment. Yesterday was the last day for stockholders to make payments on their assessments if they wanted to avoid suit in court and the risk of losing their homes and personal effects. Not until late today will it be known exactly how much was received by Receivers Cary A. Hardee and Norman R. Hamilton. The assessments were levied on 1,343 holders of stock in the Federal-American, District National, Seventh Street Savings, Northeast Savings and Potomac Savings banks.