2218. First National Bank (Dover, DE)

Bank Information

Episode Type: Run Only
Bank Type: national
Bank ID: 1567
Charter Number: 1567
Start Date: June 7, 1897
Location: Dover, Delaware (39.158, -75.524)

Metadata

Model: gpt-5-mini
Short Digest: 77c26d5c

Response Measures

Accommodated withdrawals, Public signal of financial health, Capital injected

Description

In June 1897 a threatened run occurred after the discovery of a large defalcation by teller William N. Boggs. Newspapers report a run was threatened but did not materialize; directors and other banks pledged funds and the president personally assured depositors. No suspension or closure of the bank is reported in these articles.

Events (2)

1. September 23, 1865 Chartered

Source: historical_nic

2. June 7, 1897 Run

Cause: Bank Specific Adverse Info
Cause Details: Discovery of large embezzlement/defalcation by paying-teller William N. Boggs (reported >$100,000 shortage) prompted depositor alarm.
Measures: Directors deposited over $150,000 to demonstrate support; Farmers' Bank and National Bank of Philadelphia pledged assistance; President Richardson pledged personal funds and publicly reassured depositors.
Newspaper Excerpt: At 10:30 o'clock a run was threatened, but President Richardson succeeded in assuring most of the depositors that there was no necessity for anxiety, and they departed.
Source: newspapers

Newspaper Articles (11)

1. June 8, 1897 New-York Tribune New York, NY

Article from New-York Tribune, June 8, 1897

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BOGGS'S DEFALCATION GROWING. SAID TO BE OVER $100,000-A RUN ON THE DOVER BANK AVERTED. Dover, Del., June 7. - The First National Bank opened as usual this morning, prepared to meet a run, but the run did not occur. The Farmers' Bank here has pledged assistance, as has also the National Bank of Philadelphia, through which the local institution transacts its business. Sheriff Shaw this morning issued an execution against the former sureties of William N. Boggs, the defaulting paying teller, as follows: George V. Massey, John M. Moore, A. H. Moore, Dr. John M. Smith. Joseph R. Whitaker (estate) and William N. Boggs. This bond was entered December 3, 1891. and was for $10,000. While no definite statement of the amount of Boggs's defalcation is given out by the officers of the bank. it is known in financial circles that it will exceed $100,000. At 10:30 o'clock a run was threatened, but President Richardson succeeded in assuring most of the depositors that there was no necessity for anxiety, and they departed. The directors have since Saturday deposited over $150,000 as an evidence of their faith in the institution.

2. June 8, 1897 Evening Journal Wilmington, DE

Article from Evening Journal, June 8, 1897

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BONDSMEN TO SUFFER. Judgment Against Personal Friends of the Teller. BANK READY TO MEET DEMANDS WHARTON DENIES THAT HE IS WITHDRAWING HIS MONEY. WARRANT FOR BOGGS NOW IN THE U. S. MARSHAL'S HANDS. Dover, June 8.--The First National Bank opened as usual this morning, prepared to meet a run, but the run did ) not occur. The Farmers' Bank here has pledged assistance,as has also the National Bank of Philadelphia, through which the First National of Dover transacts its business. Sheriff Shaw has issued execution against former sureties of William N. Boggs, the defaulting paying-teller of the First National Bank, as follows: George V. Massey, John M. Moore, A. H, Moore, Dr. John M. Smith, James Boggs and Joseph R. Whitaker (estate.) This bond was entered December 3, 1891, and was for $10,000. While no definite statement of the amount of Boggs' defalcation is given out by the officers of the bank, it is now known in financial circles that it will exceed $100,000. At 10.30 o'clock a run was threatened, but President Richardson succeeded in assuring most of the depositors that there was no necessity for anxiety and they departed. The directors since Saturday have deposited over $150,000 as an evidence of their faith in the institution. President Richardson announced that he would back the bank to his last dollar. Of the defalcation it is probable that at least half of it will have to come out of the bank's capital, which is $100,000. The par value of the stock, is $100 a share, but it has been selling recently at $148. The bank's surplus, according to the last statement, was about $38,000. This is wiped out by the defalcation. The bond for Boggs, given by the American Surety Company, amounts to $10,000, which makes a total of $48,000 applicable to the shortage. There is a probability of the other sureties, amounting to $10,000, given by Boggs in previous years, being available, but their liability is a question to be legally determined. A few fruit growers and some wage 1 workers besieged the bank shortly before opening time this morning and S withdrew their deposits. None of the large depositors, however, were in the least alarmed over the stability of the institution and deposited their money as usual. At the close of business hours one of the directors announced that the amount of the deposits exceeded the withdrawals. Samuel Wharton, one of the directors, has written an open letter denying that he has been drawing his money out of the bank since the Boggs t. defalcation came to light. The warrant for Boggs' arrest has ). been sworn out in Wilmington and placed in the hands of Marshal Lan nan. e No clue to Boggs has yet been r found.

3. June 8, 1897 The Wilmington Daily Republican Wilmington, DE

Article from The Wilmington Daily Republican, June 8, 1897

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Boggs' Stealings Over $100.000. Dover, Del., June 8.-The officials of the First National bank were prepared for a run yesterday, but nothing of the sort occurred. While no definite statement of the amount of Boggs' defalcation is given out by the officers of the bank, it is known in financial circles that it will exceed $100,000.

4. June 8, 1897 The Wilmington Daily Republican Wilmington, DE

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Boggs' Sureties Liable. DOVER, June 7,-President Harry A. Richardson, of the First National Bank. stated to-night that the reports in regard to the increase of the Boggs defalcation are untrue, and that nothing definite will be known for at least a week. From another seource it was learned that the directors and others interested in the investigation had obligated themselves not to divulge any of the business of the bank until a final statement could be prepared. An execution was issued by Sheriff S. L. Shaw this morning, against George V. Massey, John M. Moore, William N. Boggs, A. H. Moore, Dr. J. M. Smith and the estate of Joseph R Whitaker, of which Judge Samuel W. Pennypacker and George V. Massey are executors. Boggs' bond in which the above names appear, amounts to $10,000, was issued on December 3, 1891. The directors of the bank were approbensive of a run when the institution opened for business this morning. but every preparation had been made to meet it and there was very little excitement. DEPOSITORS UNDISTURBED. The only accounts withdrawn were those of women and a few farmers, none of whom were large depositors. The large depositors, the substantial business people of the town and surrounding country appeared as usual with their Saturday night receipts and deposited them as if nothing out of the ordinary had occurred. President Richardson, who is individually worth half a million. said this morning it would be impossible to break the bank as if necessary his entire fortune would be placed in the vaults for the use of the institution in the emergency. It is hardly probable that the loss will exceed $78.000. It is probable that at least half of the defatcation will have to come out of the bank's capital, which is $100,000. The par value of the stock is $100 a share, but it has been selling recently at $148 The bank's surplus, according to the last statement, was about $38,000. The bond for Boggs given by the American Surety Company amounts to $10,000, which makes a total of $43,000 applicable to the shortage. There is a probability of the other securities amounting to $10.000, given by Boggs in previous years being available. but their liability is a question to be legally determined. Bank Examiner Buck appeared before Clerk Smith of the United States Court yesterday afternoon and swore out a warrant for the arrest of William N. Boggs, the defaulting teller of the First National Bank of Dover.

5. February 20, 1898 The Sun New York, NY

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DEFAULTER BOGGS HOME. THE DOVER, DEL., BANK OFFICIAL BURRENDERS HIMSELF. He Stole $107,000 and Disappeared in May Last - Four Leading Citizens or the State Also Arrested for Sharing the PlenderBogsn Says Me WAIR Tell All on the Stand. WILMINGTON. Del.. Feb. 19.-William N. Boggs, who stole $107,000 from the First National Bank of Dover. this morning surrendered himself to United States Marshal John Connor Short, on warrants sworn by Harry A. Richardson, the bank President. Amos Cole, exSheriff of Kent county; Thomas S. Clark, a leading real estate dealer; Charles H. Butler of Dover, associated with Clark in business. and Col. Ezekoelt Cooper, former Clerk of the House of Representatives. one of the most prominent Democratic politicians in Delaware. were arrested and placed under bail for their appearance at court to be tried for aiding and abetting Boggs to loot the bank. Boggs did not ask for bail, but was committed for a preliminary hearing on next Saturday. Col. Cooper was charged with receiving $23,000 of the embezzled funds, and he was held in $10,000 bail. Cole is charged with receiving $15,000. Clark $4,000, and Butler $1,800. All furnished bail. The return of Boggs has caused a sensation in the State. Knots of men in public life are discussing the matter in every place. Boggs's return was a great surprise. With his brother Walter D. Boggs and Francis Shunk Brown. the well-known lawyer, the defaulter arrived in this city at 9 o'clock from Philadelphia and immediately visited District Attorney Vandegrift's office, where they remained until 10 o'clock. when they walked to the Federal building, Boggs immediately surrendering. The news spread and the room soon was filled with his friends. Anticipating Boggs's return, which was voluntary and known to the bank and its lawyer, President Richardson came to Wilmington yesterday afternoon and swore out the other warrants. Cooper. Clark and Butler were arrested at their homes in Kent county. and Cole was arrested in Wilmington. All were present when Boggs arrived. and, excepting Boggs. who confessed, they waived a hearing and offered bail. which was accepted. Boggs is tanned a rich brown, indicating exposure in a tropical climate. It was stated that he was in South America, where he contracted yellow fever and nearly died. He says he will tell all on the witness stand. Francis Shunk Brown, who represents the Dover Bank, and who accompanied Boggs to Wilmington. admits that he knows where the fugitive had been, but at present he will not divulge his information. President Richardson says: Boggs will tell all he knows, and every man who participated in robbing the bank. no matter who he is, will be prosecuted.' District Attorney Vandegrift is reticent on the case. This afternoon Boggs was taken to New Castle Jail and his wife at Dover was notified of his surrender. She fainted when the news was received and to-night visited her husband. Boggs left Dover on May 29 last, and the first intimation that he was a defaulter was received five days later. when it was found that there was a $38,000 shortage. After an examination it was officially announced his shortage aggregated $107,000. He had been a trusted official and stood high in public life. A run on the bank was avoided by Mr. Richardson, the President. who pledged his fortune of $1,000,000. He then began a search for Boggs. Representative Hugh C. Browne to-night said the American Surety Company will not take any action to protect its interests in the case at present.

6. February 21, 1898 The Sun Wilmington, DE

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STORY OF THE DEFALCATION. A Steal That Carried off the Entire Bank. Capital Stock of a National N. Boggs is charged with mis William $107,000 while Bank paying of teller appropriating of The the first First intimation National of the on short- June was received after Boggs had 1897, his post for five was a age 3rd, Dover. from when, by the public the books days, been absent examination of out that he was A the made, hasty and it was given extent of $38,000. careful a defaulter examination to July was 14th, at the once official comannouncement menced, and, was on made that the shortage Boggs aggregated May left 29th, Dover $107,000. the on impression Saturday Dover on being after- the noon, he would return to not suspected that Tuesday. It was until his failfollowing was wrong specified, and, to not at the the bannk that anything ure he was return at the time bank of on Wednesday, as the suspicious aroused of some and an investiofficials were commenced. On Thursday was a gation was it leaked out that a Boggs letter, which morning On that day written by defaulter. was+upposed received to have at been the bank, in of Boggs, was was an acknowledgment directions which there and in which could the shortage given by which the officials in eluding the discover were the methods The used letter exonorated bank examiner. with the bank The all others connected on letter sheet# of sub- the letter was written York City but St. Cloud Hotel, New at the hotel failed to sequent that inquiry anybody answering Boggs show had been there. of the description Richardson. president became known, matifying the bank, Harry as telegraphed A. soon as the the defalcation government American aubesides New York, Surety bond for therities, Company Boggs of $10,000. at which once The went agent was on to of Dover, the surety in order company to obtain definite information. following Monday morning severa. a Ow the bank was threatened, depositore ran on the who were among President the Richfarmers becoming apprehensive. in assurring most ardson that there was them, however, succeeded and they departed. no but neces- the A of 8 tv for anxiety sum was withdrawn, every e insiderable abundantly able to meet assistance bank demand was made without The directors asking had, after from trouble outside. became known, an deposited evidence the like $150,000 as weathersomething faith in the institution on tlat day of their At noon of ing the storm. Richardson, in speaking statement: President the following anythe matter, say for me that should this bank "You like can run take place on first. I am thing have a to break me last back it will of the institution to my dollar." June 8th, a warrant Francis was N. On Tuesday, out by Bank Examiner Commissioner sworn before United States United States Buck Rodmond Smith, in the the arrest of S. this city, for embezzlement Court, charging in him with of the instituBoggs, the books in the by falsifying warrant was placed Lannon, tion. of The United States Marshal to locate Boggs, hands made a S rong effort which way who It was notknown Some at the supposed time that he he he had Canada, gone. while others thought the latter was in to South America, His family opinion had gone being pretty for general. some time, in the West with of B remained locating in Dover stockholders relatives. finally the 14th the what On July a meeting to determine the defalbank held with respect to val, action to which take resulted in the appro of cation, unanimous vote of recommended a plan reor- by by a which was The plan was to ganization, the board of defalcation directors, by reducing cent. the or cover the stock of the bank 50 This per cut in half from capital $100,000 to $50,000. each shareholder, as to the investment the par value of of the stock of each was were $100 the holders pt be reduced and George la while remain to at to the one-half. chair Manlove Secretary Hayes Maswas Jones called appointed secretary. of the condition Jones ey read a statement the close of business by on of the 30th, bank which at had been prepared of Phila June Lybrand & Co., experts, following phia, Heins, and which showed the

7. February 24, 1898 Delaware Gazette and State Journal Wilmington, DE

Article from Delaware Gazette and State Journal, February 24, 1898

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The Return of Boggs. The return of William N. Boggs, defaulting paying-teller of the First Na tional Bank of Dover, created a senea tion throughout this State on Saturday. The return of Boggs, and his apparent intention to plead guilty and tell the full story of his crime, will simplify the situation and greatly aid in the administration of justice. That Boggs will he visited with the full penalty of his offence cannot be doubted, and if, as has been NO freely charged in the past, others were criminally implicated with him in the work of robbing the bank, the guilty accessories will also be compelled to stand trial and take their chances before a jury. Great credit is due to Mr. Harry A. Ricbardson, president of the robbed bank, for the course he has pursued in the matter from the first. At the time the robbery was discovered, and a run, upon the bank that would have quickly ended its existence was threatened, Mr. Richardson stepped to the front and offered to back the bank to the extent of every dollar needed to amply protect the depositors. This stopped the run, and the bank was thus enabled to continue in business, the only course by which it was possible for the institution to recoup itself and save its stock holders from losing nearly every dollar represented by their share holdings. This action was all the more creditable by reason of the fact that as a share holder Mr. Richardson's interest was practically insignificant, he being the possesser of only a small number of shares. After thus safely steering the bank through its financial danger, Mr. Richardson proceeded, quietly and systematically, with the work of investigating the defalcation, with a view to discovering who were the accom plices of the defaulting paying-teller, and the extent to which they were involved. When convinced that he had sufficient grounds to warrant the step taken, he officially lodged complaint against certain parties, and the arrests that created such a sensation on Satur day followed. In pursuing this course, Mr. Richardson was obliged to disregard personal considerations and strong personal friendships, but he did not for an instant falter in the line of his plain duty to the public and to the holders of the bank's stock. The return of Bogga will greatly simplify subsequent proceedings, as there is no doubt that he will tell the truth and the whole truth. This may result in further disclosures and further arrests, but the sequel will not be known until the preliminary hearing of the accused parties, on Saturday next. The machinery of the law is now fully employed in the direction of administering whatever justice may be possible in the way of punishment to those responsible for the robbery of the Dover bank. There should be no halt or deviation. No matter who they may be, all who are proved to be criminally involved with William N. Bogge in the transaction should be relentlessly prosecuted to the end.

8. December 9, 1898 The Times Washington, DC

Article from The Times, December 9, 1898

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# SENATOR KENNEY'S TRIAL. No Startling Developments at Yesterday's Session. Wilmington, Del., Dec. 8.—The trial of United States Senator Kenney dragged today in the United States Court and no new facts were brought out. Boggs was recalled twice during the day and asked a few questions and John H. Beatman, who was receiver of the First National Bank of Dover when Boggs was teller, gave some evidence to the effect that he had warned the teller not to cash the checks of a certain man, not the defendant. Employes of the Farmers' Bank of Dover, and one of the First National were also questioned briefly as to the course of certain checks. The books of the robbed bank were presented in evidence in spite of the objections of the defense, who claimed they were not properly kept. The court issued a writ for Ezekial T. Cooper, now serving a term in the Trenton penitentiary for complicity with Boggs, and he will be brought here for the defense. Cooper was a witness in Kenney's first trial.

9. January 18, 1902 Evening Journal Wilmington, DE

Article from Evening Journal, January 18, 1902

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WILLIAM N. BOGGS GETS LONG SENTENCE COMMUTED Will Leave New Jersey Penitentiary on April 25 He Was Convicted of Embezzling $107,000 From the First National Bank of Dover President Roosevelt yesterday denied twenty-one applications for pardon and granted one pardon and one The commutation of sentence. commutation of sentence was for the benefit of William N. Boggs, who was teller of the First National Bank of Dover. and who on April 21, 1898, pleaded guilty to the charge of embezzlement of funds of the bank and on May 10, 1899, was sentenced to imprisonment for five years in the New Jersey State Prison. His full term of imprisonment, with allowances for good conduct, would expire May 16, 1903. He was kept in jail for more than a year between the date of plea of guilty and the date of his in order be used mony his sentence might against that his his co-de- testifendants. The Attorney-General reccommended that his sentence be so commuted as to give him credit for the time in between and sentence, and guilty spent jail the his President plea and of has approved this recommendation commuted his sentence to expire April 25. 1902. Boggs in 1898 was sentenced by Judge Bradford to five years imprisonment in the Trenton Penitentiary for embezzling $107,000 of the bank's funds. Delaware never had a greater scandal than the one which grew out of the defalcations of this young man Boggs. It. involved a United States senator, Richard R. Kenney, who was twice placed on trial in the United States District Court. charged with improper use of the bank's money: a member of the Delaware State Legislature, Colonel Ezekiel Cooper, who died in prison while serving his sentence, and several other prominent citizens of the Diamonda State. Next to Senator Kenney Boggs was the most conspicuous figure in the scandal. Without his aid the Government never could have unraveled the tangled books of the Dover Bank He was a wonder at figures. The fact that he stole more than the whole capital stock of the institution, in a very few years, right under the noses of the directors and the national bank examiner, is proof of his ability. Boggs was regarded as one of the most remarkable young men in Delaware-and he was. His system of carrying along balances and deficits without ever getting into a tangle, his cool head and quick judgment under the most trying circumstances, and his unerring judgment of human nature were wonderful. Deserted by the men who had profited by his violations of the law and who had helped to place him in the position of a criminal,Boggs fled to South America June 1. 1897. Then the great defalcation was discovered. A run was started on the bank. but the Richardsons put up money enough to make good the shortage. Tiring of his enforced banishment, Boggs returned in the spring of 1898 and gave himself up to the Federal authorities Lewis Vandegrift was then United States District Attorney for Delaware. With the aid of Boggs he began a vigorous prosecution of several of the most prominent citizens of the State. The two trials of Senator Kenney, then a member of the United States Senate. were full of sensations and dramatic incidents. Senator Kenney was defended by his colleague, Senator Gray, and Levi C. Bird. Against this able pair Boggs acquitted himself as a witness in a most astonishing manner. Hie testimony relating to the speculation in Bay State Gas and the adroit manner in which he introduced matters which the defense endeavored to exclude made him really a more interesting figure than the detendant himself. Upon each trial the jury in the case of Senator Kenney disagreed. Bogge was a witness against all the defendants in the Dover Bank cases, Clark, Cooper and the five or six others. It is not known what he will do or where he will reside.

10. April 25, 1902 Evening Journal Wilmington, DE

Article from Evening Journal, April 25, 1902

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WILLIAM N. BOGGS IS AGAIN A FREE MAN It Is Reported That the Famous Bookkeeper Will Clerk in Philadelphia W. N. Boggs, the defaulting teller of the First National Bank in Dover, who pleaded guilty on April 21, 1898, to having misappropriated $107.000 of the bank's funds, and in May, 1899, was sentenced to five years in the New Jersey State Penitentiary by Judge E. G. Bradford in the United States Court in Wilmington, today walked forth a free man. At the solicitation of Mr. Boggs' faithful wife, President Roosevelt pardoned the prisoner. It is said that Boggs will accept a position as clerk in a Philadelphia office. Delaware never had a greater scandal than the one which grew out of the defalcations of this young man Boggs. It evolved a United States Senator, Richard R. Kenney, who was twice placed on trial in the United States District Court, charged with improper use of the bank's money; a member of the Delaware State Legislature, Colonel Ezekiel Cooper, who died in prison while serving his sentence; Thomas Clark, who is still in the prison, and William Cotter, who was pardoned because of failing health, and who died after being liberated. Boggs was used as a witness for the prosecution and the Attorney-General recommended that his sentence be 60 commuted as to give him credit for the time spent in jail between his plea of guilty and sentence, and the President approved this recommendation. Boggs was regarded as one of the most remarkable young men in Delaware-and he was. His system of carrying along balances and deficits withQut ever getting into a tangle, his cool head and quick judgment under the most trying circumstances, and his unerring judgment of human nature were wonderful. d Boggs fled to South America June 1, n 1897. Then the great defalcation was 1. discovered. A run was started on the 0 bank. but Harry A. Ricahrdson put up money enough to make good the shortage. Tiring of his enforced banishment, d Boggs returned in the spring of 1898 and gave himself up to the Federal e authorities. Lewis Vandegrift was e then United States District Attorney for Delaware. With the aid of Boggs he began a vigorous prosecution of several of the most prominent citizens is of the State. The two trials of Senator n Kenney, then a member of the Unted e States Senate, were full of sensations e and dramatic incidents and the jury e disagreed. of

11. April 25, 1902 The Paducah Sun Paducah, KY

Article from The Paducah Sun, April 25, 1902

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BOGGS IS OUT AGAIN A Man Convicted of Stealing $107,000 Released From Frison. He Served Four Years-A Political Scandal Recalled by His Home Coming. HIS WIFE HAS BEEN FAITHFUL. Dover, April 25-William N. Boggs, formerly teller of the First National bank of this city and who, in 1898, was.convicted of embezzling $107,000 of the funds of that institution, was released from the Trenton penitentiary today, and residents of Dever are awaiting with interest his return home. The sentence was for five years, but it was commuted to four by President Roosevelt. Delaware never had a greater scandal than the[one which grew out of It the defalcations of young Boggs. involves a United States senator, Richard R. Kenney, who was twice placed on trial in the United States district court, charged with improper use of the bank's money; a member of the Delaware state legislature, Colonel Ezekiel Cooper, who died in prison while serving his sentence, and several other prominent citizens. Next to Senator Kenney, Boggs was the most conspieuous figure in the scandal. Without his aid the government never could have unraveled the tangled books of the Dover bank. He was a wonder at figures. The fact that he stole more than the whole capital stock of the institution, in a very few years, right under the noses of the directors and the National bank examiner, is proof of his ability. Boggs was regarded as one of the most remarkable young men in Delaware. His system of carrying along balances and deficits without ever getting into a tangle, cool head and quick judgment under the most trying circumstances and his unerring judgment of human nature were wonderful. Deserted by the men who had profited by his violations of the law and who had helped to place him in the position of a criminal, Boggs fled to South America, June 1, 1897. Then the great defalcation was discovered. A run was started on the bank, but the Richardsons, prominent in the canning industry here, put up money enough to make good the shortage. Tiring of his enforced banishment, Boggs returned in the spring of 1898 and gave himself up to the federal authorities. With the aid of Boggs the United States district attorney began a vigorous prosecution of several of the most prominent citizens of the state. The two trials of Senator Kenney, then a member of the United States senaté, were full of sensations and dramatic incidents. Upon each trial the jury in the case of Senator Kenney disagreed. During the imprisonment of Boggs his wife has resided in this city and most of her time has been devoted to efforts to bring about his release. It was she who visited the president and finally obtained a commutation of the sentence. Mrs. Boggs says that she and her husband have no definite_plans for the future but that there are several positions open to Boggs. LEAVE FOR REUNION.