Waterbury National Bank - Waterbury, VT

Bank Information

Episode Type: Suspension → Reopening
Bank Type: national
Bank ID: 1462
Charter Number: 1462
Start Date: April 18, 1900
Location: Waterbury, Vermont (44.338, -72.756)

Metadata

Model: gpt-5-mini
Short Digest: a49069ba

Response Measures

None

Description

Teller J. C. Farrar was discovered to have a $25,000+ shortage and absconded; the bank closed temporarily pending the national bank examiner and then reopened (no run reported; deposits reportedly increased). Dates are taken from newspaper dates and internal references (closure reported Apr 18, 1900; reopening reported as opened Friday afternoon in the Apr 25, 1900 paper, i.e., Apr 20, 1900).

Events (4)

1. July 17, 1865 Chartered

Source: historical_nic

2. April 18, 1900 Suspension

Cause: Bank Specific Adverse Info
Cause Details: Discovery of a $25,000 (or more) shortage caused by teller J. C. Farrar, who absconded and was later arrested.
Newspaper Excerpt: The bank is closed today, pending the arrival of National Bank Examiner Fish.
Source: newspapers

3. April 20, 1900 Reopening

Newspaper Excerpt: The Waterbury National Bank opened Friday afternoon. There was not the rush for withdrawals... but on the contrary quite a material increase in the deposits, thus showing the confidence in the bank. (published Apr 25, 1900; 'Friday' refers to Apr 20, 1900).
Source: newspapers

4. October 1, 1911 Voluntary Liquidation

Source: historical_nic

Newspaper Articles (4)

1. April 16, 1900 The Portland Daily Press Portland, ME

Article from The Portland Daily Press, April 16, 1900

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Article Text

TELLER RETURN. DIDN'T And Bank Found a $25,000 Shortage. Sequel to Discovery of Error in Vermont Institution. Trusted Official Suddenly Leaves Town. Was Highly Respected and Implicitly Trusted. Waterbury, Vs., April 15.-Following on beels of the name the last defalcation close the disappearance Rutland bank night of J. C. Farrar of the bank and the at same time of an oally Nasional the discovery Waterbury apparent praotiin his accounts of left the in shortage Whether south Farrar city a $25,000. north or bound train has not his absence and the certained, but yet been subse- as. quent disclosure caused a sensation today. Besides his position as teller, Farrer Was town treasurer, but the latter's not exceed three or sand funds dollars. do four thouBeing an unusually bright man, and of a the disclosures alto his young family, most incredible highly today respectable seemed a blow to his and proved his terrible many friends young wife and parents. His friends believed that It was simply a case of borrowing to speculations in the ot his and does not sound appearance make ket The good story discovery unfamiliar. stock the mar- dis. was working at his when yesterday Farrar afternoon quietly Cashier Char. deak him about some Farrar at once error Wells what seemed in asked figures. apparent began to be a thorough investigatwo working for unravel the in trying tion, the to tangle some the At six G'clook Farrar be for the work suspended an get supper. He that in counts. cashier order to suggested told hours hour the aohe would be back If possible. the mistake that Cashier and Wells find readily assented to the adjournment, but his trusted teller has not yet tacile good either his engagement or what the bank now is a shortage of at could have left 000. claims Farrar town least within $25, half an hour after his departure from the bank. A train for the north left at 6.10 while another went south at 6.30, but no one so far as is known, saw Farrar take either. Mr. Wells returned to the bank accordbour ing to agreement and after waiting halfan began an investigation on account, with the result that during bis own evening the bank officials including the the president, ex-Governor W. P. were notifie of the of the bank is sur plus over officials and ham, As its the capital $35,000 situation. the Dilling- $100,000 be stated today that the loss bank the ber and that the would not be impaired. of course readily bank is capital This could provided that no further age to a lat hour tonight, no issued for the arrest of had Up is been discovered. the Warrant abort. ing teller, and so far as learned the miss- bank examiner had not been notified. Farrar was born here twenty-four ago his and has spent his whole life years most fellow towaspeople, becoming among universal favorite He has been an al. ployed in the bank six or seven em. gaining, during that time, the years, him all the officials, who naturally confidence trusted implicitly. About two years ago he married A estimable been young lady and one child most living born to them. Both his parents has people and of the are town. among the most respected are During the all the funds of the has in and there should be a of handled Waterbury, the past few years village he four bank in the town's favor of balance amount bank thousand has dollars. Whether nearly this loth is not yet followed known. the funds of the that he actually stole make he money, but are rather of the the borrowed to believe it for a short His opinion friends good time to that by the are prostrated by the His failure to trace his family It is his stock market whereabouta accounts. shook and the expected that complete statement of sued in condition a few days. of the bank will be isIt was quite a stated tonight that Warrar of the heavy loser in the recent was tan. Burling stock brokers Knost & Clausson failure of

2. April 18, 1900 The Vermont Watchman Montpelier, VT

Article from The Vermont Watchman, April 18, 1900

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Article Text

J. C. FARRAR, The Teller, Is Captured To-day in Boston. Following close on the defalcation at the Merchants National bank at Rutland comes the disappearance of J. C. Farrar, teller at the Waterbury national bank, and the statement that he is a defaulter in the sum of $25,000 or more. Mr. Farrar has been a trusted employe of the bank for several years and is also treasurer of the village. He is an unusually bright young man, twenty-four years of age, born and reared in the village of Waterbury and a universal favorite in the community hav ng the implicit confidence of the bank officials and every one who knew him. His parents are highly respected people who have always lived in Waterbury. He married an estimable lady about two years ago and has one child. His wife and parents are nearly frantic with grief. Charles Wells, cashier of the bank, discovered a shortage in the funds of the bank Saturday afternoon. Farrar at once began what seemed a thorough investigation, the two working for some hours trying to unravel the tangle in the accounts. At six o'clock, Farrar suggested that the work be suspended for an hour, in order to get supper. He told the cashier that he would come back and find the mistake, if possible. Cashier Wells readily assented to the adjournment, but his trusted teller has not yet made good either his engagement or what the bank now claims is a shortage of least $25,000. Mr. Wells went on with the examination Saturday evening and the bank officials, including the president, ex.Gov. W.P. Dillingham, were notified of the situation and of Farrar's disappearance. As the capital of the bank is $100,000, and its surplus over $35,000, the bank officials stated today that the loss could be readily borne, and that the capital of the bank would not be impaired. This, of course, is provided that no further shortage is discovered. During the past few years Farrar has handled all the funds of the village of Waterbury, and there should be a balance in the books in the town's favor of nearly $4,000. Whether the amount has followed the funds of the bank, is not yet known. It is said that Farrar was a heavy loser in the Knott & Closson failure, and that he has been speculating heavily of late in a bucket shop at Waterbury. The loss falls upon Cashier Wells, as he is paid a lump sum for running the bank, and is responsible for the help he employs. The bank is closed today, pending the arrival of National Bank Examiner Fish. J. W. Brock and C. N. Arms of this city are directors ofthe bank, and Hon. W. P. Dillingham is president. Farrar was arrested Monday afternoon in Boston. He is willing to return to Waterbury without requisition papers. Deputy Sheriff F. H. Tracy left Monday with G. E. Moody of Waterbury for Boston to bring back Mr. Farrar.

3. April 25, 1900 St. Johnsbury Caledonian Saint Johnsbury, VT

Article from St. Johnsbury Caledonian, April 25, 1900

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VERMONT NEWS. A Vermonter's Success in Chicago. The late Silas B. Cobb, of Chicago, one of the old business men and a millionaire several times over, was a native of Vermont, having been born in Montpelier Jan. 23, 1812. He went to Chicago in 1833, when it was nothing more than a group of log houses, known as Fort Dearborn, and be earned his first money there in the building of a log hotel,-that money releasing him from debt to a kind person who had redeemed him from imprisonment for debt for his passage on a lake schooner from Buffalo. This incident illustrates the brief period of Chicago's history. He traded trinkets with the Indians, and began larger business as a harness-maker, and in 1848 he entered upon a general leather and boot and shoe trade, continuing therein for four years, after which he became a dealer in real estate and exploiter of local enterprises. So he went on, until he was at the fore of many businesses, president of the Chicago city railroad, director of railroads and banks, and very rich. He gave away some moderate sums,-such as $100,000 and $150,000,-to the Chicago university, the Presbyterian hospital, the Humane society and the republican party. Teachers Meet. The annual meeting of the Vermont School Masters' club was held at Montpelier April 12. An afternoon meeting of the county examiners was held at which Principal O. D. Mathewson of Barre, H. D. Ryder of Bellows Falls and H. Dressel Jr., of Springfield, were appointed a committee to suggest changes in the Vermont school laws at the next Legislature. One of the changes under stood to be desired by the examiners is to fix the standard of high schools whose graduates are allowed two year certificates for teaching without further examination. A banquet was held at the Pavilion in the evening, 30 covers being laid. Principal H. K. Whitaker, president of the club presided. Among the speakers were President Buckham, Supt. Stone, A. H. Kennerson, Principal C. H. Morrill of Brigham academy and W. E. Ranger principal of Johnson school. Considerable sentiment in favor of Mr. Ranger for state superintendent of education is found among the educators present However, it is understood that he will not run against the present incumbent. Death of B. S. Beckwtth. Buel Smith Beckwith of the firm of Beckwith & Co., of Middlebury, died very suddenly Saturday afternoon. He had been at his place of business during the day and attended a funeral in the afternoon. After the funeral he had been in the store but a short time when he started for his home. He just got out of the door when his partner noticed that something was wrong and called him back, secured a team and he was taken home. Medical aid was summoned but he lived only about twenty minutes. His death was caused from heart failure. He is survived by a wife, who was Miss Emma Wainwright, ason, Fred W. Beckwith, who is a student in Worcester Academy and who left for his school only Tuesday last. Mr. Beckwith was 66 years of age and has held many offices both in town and village. A Big Land Deal. Arrangements are in progress which if consumated, as there is every reason to think they will be, will make one of the largest land deals ever consummated in Vermont. It is the purchase by a New York syndicate of some thirty thousand acres of heavily wooded timber lands lo cated in Arlington and Sutherland. A party of surveyors were on a tour of inspection recently and pronounce that it is fully up to expectations and will so report. They were accompanied by an Arlington man who is thoroughly conversant with the property. They wore snow-shoes nearly all the time and report that the snow is from five to seven feet deep on the mountain. While out they met one black bear and four deer. The timber on the tract is mostly spruce with some hard wood. There was a small wreck on the St. J. & L. C. R. R. at Swanton last Wednesday noon. The shifting gang making up freight trains, were going from the West station to the East station, when just as they went over the switch near the East station, the first back of theengine jump ed the track, pulling off the tender and one or two other cars. The engine and most of the train remained on the track One brakeman was considerably injured It is supposed that it was some defect in the outer rail that caused the accident. The St. Albans Foundry Company, recently petitioned into bankruptcy, has filed a schedule of assets and liabilities, which shows that the estimated assets are $49,264.47, and the liabilities, $96, 323 33. The unsecured claims foot up $62,193 47. This same company made a worse failure than this in 1876. The company owes its help $4,129.85. The Waterbury National Bank opened Friday afternoon. There was not the rush for withdrawals which perhaps might have been expected, but on the contrary quite a material increase in the deposits, thus showing the confidence in the bank. Lucian Wells, son of the cashier, is assisting in the clerical work of the bank. The postoffice department has established a postoffice at South Newport, and commissioned Edgar P. Wright postmaster. Frank Burr, of Thetford Center, and his brother, Fred, of Foxboro, Mass. have purchased the jewelry store of the late Perley Chandler at Barie. Rev. Albert Hammatt, minister of the Universalist church at Bellows Falls, has accepted an invitation from E. H. Stoughton post, G. A. R., of Bellows Falls to deliver the Memorial day ad-

4. April 27, 1900 Middlebury Register Middlebury, VT

Article from Middlebury Register, April 27, 1900

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malpractice Flanders was charged with testithe plaintiff. Miss Mullen's club by showed she was suffering with that Dr. Flanders a operation could eure of alleged improper care one of her feet was simple set result feet. mony in and and assured contrary her. amputated gangrene her As to the other operated upon She is now a while before going to Of do considerable could and her ple consent. housework. Barlington helpless made crip gen- she these charges Dr. Flanders a didenial and testified that had his could eral rections been followed the plaintiff found walk now The jury on Saturday a verdict for the plaintiff to recover 86833 Frank and Dustin Shaw. father and at broke out of the county jail Monday night. discovered about 1 son. being Woodstock o'clock the escape next The by the night watchman. who were not locked in given the run of the a window in the rods. by light out This morning but men, through were was protected able third iron jail. the to story. broke cage. bend which the prisoners were twist until they could squeeze two and From the window the to the roof of through. jumped the by county rope men record building and thence a made of blankets reached the ground. state. The Shaws are from New York been in ! and the father is said to have with before. They were charged from prison larceny, and were committed Rochester. H. Childs of Brattleboro has Fred re. W. word from his son, C. the ceived Childs, who is on a trip around while that he had broken his leg accident world. Egypt. It is understood the a occurred in while Childs was climbing the The fracture was close to some pyramid. He was in a hospital for to ankle. but is out now and had crossed in a time. Constantinople. He has his ankle crutches. cast and goes upon acplaster father had no knowledge of the the cident His until after he had been out of hospital some time. The saw mill of W. H. Taft with the by mill connected and operated West grist Levi Boyden were burned at Townsend about 2 o'clock Friday mornHow the fire originated nobody was ing. as the whole building knows. ublaze when the fire was first discovered. The Nothing was saved of the contents. and is about $2500 on the saw mill and loss the building with small insurance The mill about $200 on the grist mill. and been standing about 11 years 8 or had had been operated by Mr. Taft for 10 years. The hotel at Queen City Park, Wednesday Bur was broken into Park lington, Dr. Smith. president Brandon of the of association, night. was notified at it fact. Upon investigation was the found that nothing had been taken so will far be ascertained. The hotel as on June 1 for guests. now being made up gram be could open is Spiritualistic The for pro- the annual meetings of the that the association. Dr. Smith says be complete list of speakers would printed about June 1. directors of the Waterbury Nation- bank The bank opened the doors of the they al afternoon. They state that Friday able to do this. under instructions Washwere the treasury department at the from without any impairment of Farington, bank's capital. Abscouding Teller amount has returned 85000 of the $30.000 rar stolen. It is now believed that will cover his stealings. of the largest derrick spars arrived that Six ever been seen in Barre to have recently. It required four cars 90 feet there them. They are from 70 to inches carry length. Three of them are 30 and in at the base. two 28 inches all through inches. They were shipped the one the way 26 from British Columbia for Barre firm. Col. 11. W. Hall of Burlington, chair- Gill of the board of trustees of the has man Odd Fellows' Home at Ludlow, board called the annual meeting of the Monbe held at the home in Ludlow, to May 7. An application has from been a day. made for admittance to the home 62. brother in Felchville Lodge, No. Application for authority to Rutland" establish National Bank of of $100,000 has a with the with "The Washington City capital comptroiler been John filed of at The applicants are the currency. Silas Griffith, N. P. Kingsley, A. Page. E. C. Tuttle and the Brattleboro to take out the they W. Both Mead. R. applied National others. additional But banks have under the new law. alcirculation before the full circulation the old law, 90 per in-tead of par as now, each lowed their had capital by $25,000. cent. so of that the increase is only Clarence Burnet Davis, who has States been of the crew on the United four one mont ship Solace for nearly