2266. City Savings Bank (Atlanta, GA)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
savings bank
Start Date
March 31, 1913
Location
Atlanta, Georgia (33.749, -84.388)

Metadata

Model
gpt-5-mini
Short Digest
61e8e9d909ebec9c

Response Measures

None

Description

Multiple articles (Apr 1–3, 1913) report a small run (started by gossip/unverified rumors) that exhausted cash and led directors to request the State Treasurer take charge. The bank was later placed in receivership and its assets were assumed by a new institution (Empire State Bank) in October 1913, so the City Savings did not resume independent operations. Dates are taken from newspaper reports; OCR inconsistencies corrected (e.g., some pieces show March 27 as a closing date in later summaries, but contemporary reports of the run/suspension are Apr 1, 1913).

Events (4)
1. March 31, 1913 Run
Cause
Rumor Or Misinformation
Cause Details
Word-of-mouth gossip and unverified rumors triggered withdrawals that exhausted cash on hand (estimated run of $3,000–$4,000).
Measures
Directors decided to close temporarily and requested the State Treasurer take charge to ensure equitable treatment of depositors.
Newspaper Excerpt
The bank faced a small run yesterday, and feared another run to-day. ... The troubles of the City Savings began yesterday because of word of mouth gossip, current for several days.
Source
newspapers
2. April 1, 1913 Suspension
Cause
Rumor Or Misinformation
Cause Details
Directors turned the bank over to the State Treasury after a small run and lack of cash to meet demands; closure described as temporary/for liquidation to let all depositors share alike.
Newspaper Excerpt
The City Savings Bank closed its doors this morning. The State Treasurer is in charge. The State took charge at the request of the bank's directors.
Source
newspapers
3. September 24, 1913 Receivership
Newspaper Excerpt
Depositors in the City Savings Bank may expect a dividend within 30 days, according to L. F. McClelland, receiver. ... The City Savings, though solvent, closed its doors in the spring because of a run by alarmed depositors.
Source
newspapers
4. October 12, 1913 Other
Newspaper Excerpt
The new Empire State Bank will take over the assets of the City Savings Bank, which closed its doors on March 27, according to L. F. McClelland, receiver. The new bank will be opened for business early in November.
Source
newspapers

Newspaper Articles (16)
1. April 1, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, April 1, 1913

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Article Text

Started by Gossip, Given as Reason for Closing by the Vice President-$50,000 Deposits. The City Savings Bank closed its doors this morning The State Treasurer is in charge The State took charge at the request of the bank's directors. The bank faced a small run yesterday. and feared another run to-day. Cash was almost exhausted. and rather than let those first in line get their money while others would have to wait. the directors decided to close temporarily and let all share alike Officers of all the other financial institutions in Atlanta, when seen by Georgian reporters, declared emphatically that the banking situation in Atlanta will not be affected in the slightest degree by the action of the City Savings Bank. These officials emphasized the fact that there is no cause for any apprehension on the part of the public. Position of At. lanta banks is unusually strong: no other institutions are concerned in the action the City Savings Bank has taken, and the whole affair is merely an incident in banking circles. which will not cause a ripple on the surface of general conditions. Deposits Placed at $50,000. Deposits of the City Savings Bank are estimated by the bank examiners at $50,000. of which $19,000 is in checking accounts and $31,000 in savings accounts, There are 1,700 depositors. Directors declare the bank entirel solvent. Depositors will receive 10 cents on the dollar, and even the stockholders will suffer but small loss if any, according to the bank's off cers. No irregularity is even hinted The troubles of the City Savings began yesterday because of word of mouth gossip, current for several days. No newspaper had given dignity to this gossip by publishing it. and the rumors were spread only b' tongue. Depositors in the City Savings are men who could ill afford any loss. The average balance they carry is very small. It was estimated to-day that 200 checking accounts make up the $19,000 in that department, and that the $31,000 savings are held by 1,500 men, women and children. which makes the average account a trifle more than $20. Beauchamp Explains Act. But there will be no loss, according to the directors. C. S. Beauchamp. Jr., vice-president. issues the following statement "The directors of the City Savings Bank last evening passed a resolution deciding to turn the bank over to the State Treasurer for liquidation. The cause 01 this action was a heavy withdrawal of deposits yesterday. The assets of the bank are entirely adequate to take care of the depositors, but on account of having invested a large proportion of the working capital in purchase-money notes, this working capital could not be converted into cash immediately to meet the demand of checking depositors. The assets of the bank are intact. "The directors wish to state to the public and to the depositors that every dollar of deposits will be paid back, and, in addition to this, that the stockholders themselves have no cause to fear a loss." R. H. McDougall is president of the City Savings Bank; C. S. Beauchamp, Jr., vice-president; W. A. Sims, cashier. The other directors are James L. Wright, S. O. Wickers,

2. April 1, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, April 1, 1913

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Article Text

Lack of Cash to Meet Demands, Started by Gossip, Given as Reason for Closing by the Vice President-$50,000 Deposits. The City Savings Bank closed 19 doors this morning. The State Treasurer is in charge. The State took charge at the request of the bank's directors. The bank faced a small run yesterday, and feared another run to-day. Cash was almost exhausted. and rather than let those first in line get their money while others would have to wait, the directors decided to close temporarily and let all share alike. Officers of all the other financial institutions in Atlanta. when seen by Georgian reporters, declared emphatically that the banking situation in Atlanta will not be affected in the slightest degree by the action of the City Savings Bank. These officials emphasized the fact that there is no cause for any apprehension on the part of the public. Position of Atlanta banks is unusually strong: no other institutions are concerned in the action the City Savings Bank has taken, and the whole affair is merely an incident in banking circles, which will not cause a ripple on the surface of general conditions. Deposits Placed at $50,000. Deposits of the City Savings Bank are estimated by the bank examiners at $50,000 of which $19,000 is in checking accounts and $31,000 in sayings accounts There are 1,700 depositors Directors declare the bank entirely solvent Depositors will receive 100 cents on the dollar and even the stockholders will suffer but small loss, if any. according to the bank's officers. No irregularity is even hintéri. The troubles of the City Savings began yesterday because of word of mouth gossip. current for several days. No newspaper had given dignity to this gossip by publishing it. and the rumors were spread only by tongue. Depositors in the City Savings are men who could ill afford any loss. The average balance they carry is very small. It was estimated to-day that 200 checking accounts make up the $19,000 in that department. and that the $31.000 savings are held by 1.500 men. women and children. which makes the average account a tritle more than $20. Beauchamp Explains Act. But there will be no loss. according to the directors. C. S. Beauchamp. Jr., vice-president. issues the following statement: "The directors of the City Savings Bank last evening passed a resolution deciding to turn the bank over to the State Treasurer for liquidation. The cause 0, this action was a heavy withdrawal of deposits yesterday. The assets of the bank are entirely adequate to take care of the depositors, but on account of having invested a large proportion of the work: ing capital in purchase-money notes, this working capital could not be converted into cash immediately to meet the demand of checking depositors. The assets of the bank are intact. "The directors wish to state to the public and to the depositors that every dollar of deposits will be paid back, and, in addition to this, that the stockholders themselves have no cause to fear a loss." R. II. McDougall is president of the City Savings Bank: C. S. Beauchamp. Jr.. vice-president; W. A. Sims, cashier The other directors are James 1. Wright, S. O. Wickers, G. Hunt F M Loveless and J. M. Speer The bank was organized about fifteen months agu, to do a savings business It took over the savings deposits of the Guarantee Trust and

3. April 2, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, April 2, 1913

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Article Text

BANK'S DOORS CLOSED Officers Say Run In Caused by Unverified Rumors. Atlanta, Ga., April 1.-The City Savings Bank, of this city, at the request of its directors. to-day went into the hands of the State Treasury Department. following a small run on the institution yesterday. The bank was organized fifteen months ago to do a savings business. At that time the institution took over the savings deposit of the Guarantee Trust and Banking Company, which at that time retired from the general banking business. R. H. McDougall is president of the City Savings Bank. Officers of the institution declare that the bank's 1,700 depositors will receive 100 cents on the dollar. The last report of the institution to the State Treasurer, January 27, 1313, showed its capital stock paid in amounted to $43,129.94--authorized capital $50,000. Deposits of the institution are said to amount to $19,000 in checking accounts and $31,000 in savings accounts. Officers of the institution contend that the small run Monday was caused by unverified rumors.

4. April 2, 1913 The Pensacola Journal Pensacola, FL
Article from The Pensacola Journal, April 2, 1913

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Article Text

Run on Atlanta. Bank Causes it to Close Doors BY ASSOCTATED PRESS. Atlanta, April 1.-The City Savings bank, at the request of the directors, today went into the hands of the state, treasury department, following a small run yesterday. The bank was organized fifteen months ago. R. H. McDougall, the president, declared the creditors would receive a hundred cents on the dollar.

5. April 2, 1913 The Sentinel=record Hot Springs, AR
Article from The Sentinel=record, April 2, 1913

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BANK TO LIQUIDATE. Atlanta, Ga., April 1.-The city savings bank of this city, at the request of its directors, today went into the hands of the state treasure department following a small run on the institution yesterday. The officers declare that all depositors ill receive 100 cents on the dollar.

6. April 2, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, April 2, 1913

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Fearing Repetition of Yesterday's Run, Directors Ask State Treasurer to Take Charge, Declaring That None Will Lose a Penny. Lack of Cash to Meet Demands, Started by Gossip, Given as Reason for Closing by the Vice President-$50,000 Deposits. The City Savings Bank closed its doors this morning. The State Treasurer is in charge The State took charge at the request of the bank's directors. The bank faced a small run yesterday, and feared another run to-day. Cash was almost exhausted. and rather than let those first in line get their money while others would have to wait, the directors decided to close temporarily and let all share alike Officers of all the other financial institutions in Atlanta, when seen by Georgian reporters, declared emphatically that the banking situation in Atlanta will not be affected in the slightest degree by the action of the City Savings Bank. These officials emphasized the fact that there is no cause for any apprehension on the part of the public. Position of Atlanta banks is unusually strong: no other institutions are concerned in the action the City Savings Bank has taken, and the whole affair is merely an incident in banking circles, which will not cause a ripple on the surface of general conditions. Deposits Placed at $50,000. Deposits of the City Savings Bank 1 are estimated by the bank examiners at $50,000. of which $19,000 is in checking accounts and $31,000 in savings accounts There are 1,700 depositors. Directors declare the bank entirely solvent. Depositors will receive 100 cents on the dollar, and even the stockholders will suffer but small loss, if any. according to the bank's officers. No irregularity is even hinted. The troubles of the City Savings began yesterday because of word of mouth gossip. current for several days. No newspaper had given dignity to this gossip by publishing it, and the rumors were spread only by tongue. Depositors in the City Savings are men who could ill afford any loss. The average balance they carry is very small. It was estimated to-day that 200 checking accounts make up the $19,000 in that department, and that the $31,000 savings are held by 1,500 men, women and children, which makes the average account a trifle more than $20. Beauchamp Explains Act. But there will be no loss, according to the directors. C. S. Beauchamp. Jr., vice-president, issues the following statement: "The directors of the City Savings Bank last evening passed a resolution deciding to turn the bank over to the State Treasurer for liquidation. The cause of this action was a heavy withdrawal of deposits yesterday. The assets of the bank are entirely adequate to take care of the depositors, but on account of having invested a large proportion of the working capital in purchase-money notes, this working capital could not be converted into cash immediately to meet the demand of checking depositors. The assets of the bank are intact. "The directors wish to state to the public and to the depositors that every dollar of deposits will be paid back, and, in addition to this, that the stockholders themselves have no cause to fear a loss." R. H. McDougall is president of the City Savings Bank: C. S. Beauchamp. Jr., vice-president: W. A Sims. cashier The other directors are James 1. Wright, S. O. Wickers, J. G Hunt E' M. Loyeless and J. M. Speer The bank was organized about fif. teen months ago, to do a savings business It took over the savings deposits of the Guarantee Trust and

7. April 2, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, April 2, 1913

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# EXAMINERS FIND # BANK PAPER O. K. Effort Will Be Made to Avoid the Apopintment of Receiver for City avings Bank. Directors of the City Savings Bank met this morning in the office of the State Treasurer, and went over the loans of the institution. The bank's paper was found to be excellent, and the bank to be in good shape. Near- ly every loan was declared to be good. A meeting of the stockholders will be held as soon as possible, and at this meeting a decision will be reach- ed as to what course to pursue. An effort will be made to avoid a re- ceivership, which it is feared might be expensive. Under the scrutiny of the examin- er, paid-in capital stock shrank to $14,383.44. Loans past due, however, had been reduced since January 27 from $11,000 to $3,041.50. Much of the bank's paper is very small loans, which is regarded as en- couraging. Cash on hand yesterday was but $1,016.74, indicating that the run of Monday amounted to $3,000 or $4,000. A remarkable state of affairs was shown in that the City Savings owed no other banks a cent, and had no bills payable.

8. April 2, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, April 2, 1913

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EXAMINERS FIND BANK PAPER 0. K. Effort Will Be Made to Avoid the Appointment of Receiver for City Savings Bank. Directors of the City Savings Bank met this morning in the office of the State Treasurer, and went over the loans of the institution. The bank's paper was found to be excellent, and the bank to be in good shape. Nearly every loan was declared to be good. A meeting of the stockholders will be held as soon as possible, and at this meeting a decision will be reached as to what course to pursue. An effort will be made to avoid a receivership, which it is feared might be expensive. Under the scrutiny of the examiner, paid-in capital stock shrank to $14,383.44. Loans past due, however, had been reduced since January 27 from $11,000 to $3,041.50. Much of the bank's paper is very small loans, which is regarded as encouraging. Cash on hand yesterday was but $1,016.74, indicating that the run of Monday amounted to $3,000 or $4,000. A remarkable state of affairs was shown in that the City Savings owed no other banks a cent, and had no bills payable.

9. April 3, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, April 3, 1913

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EXAMINERS FIND BANK PAPER 0. K. Effort Will Be Made to Avoid the Appointment of Receiver for City Savings, Bank. Directors of the City Savings Bank met this morning in the office of the State Treasurer, and went over the loans of the institution. The bank's paper was found to be excellent. and the bank to be in good shape. Nearly every loan was declared to be good. A meeting of the stockholders will be held as soon as possible, and at this meeting a decision will be reached as to what course to pursue. An effort will be made to avoid a receivership, which it is feared might be expensive. Under the scrutiny of the examiner, paid-in capital stock shrank to $14,383.44. Loans past due, however, had been reduced since January 27 from $11,000 to $3,041.50. Much of the bank's paper is very small loans, which is regarded as encouraging. Cash on hand yesterday was but $1,016.74, indicating that the run of Monday amounted to $3,000 or $4,000. A remarkable state of affairs was shown in that the City Savings owed no other banks a cent, and had no bills payable.

10. April 3, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, April 3, 1913

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BANK DECLARED SOLVENT State Examiner Says It Is in Excellent Financial Condition. Atlanta, Ga., April 2.-State Bank Examiner W. J. Speer, who yesterday took charge of the City Savings Bank, of Atlanta, upon the request of the institution's officials, to-day declared that the bank is solvent and in excellent financial condition. The affairs of the bank were turned over to the State Treasury after a small run on the institution Monday. In a statement made public to-day the State Bank Examiner announces that the assets of the Institution are $97,340, with liabilities amounting to $57,421.

11. April 3, 1913 The Daily Missoulian Missoula, MT
Article from The Daily Missoulian, April 3, 1913

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RUN ON SMALL BANK. Atlanta, Ga., April 8.-The City Savings bank of this city, at the request of its directors, went into the hands of the state treasury department today following a small run on the institution yesterday. Officers of the institution declared that the bank's 1,700 depositors will receive 100 cents on the dollar. The last report of the institution showed paid-in capital stock of $43,129.94. Deposits are said to be $50,000.

12. September 24, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, September 24, 1913

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# City Savings Likely # To Pay Dividend Soon. Depositors in the City Savings Bank may expect a dividend within 30 days, according to L. F. McClelland, receiver. "Preparations now are being made to submit a statement of condition to the judge," said Mr. McClelland Wednesday. "Collections have been as good as looked for and there will be no untoward delay in making the first payment." The City Savings, though solvent, closed its doors in the spring because of a "run" by alarmed depositors,

13. September 24, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, September 24, 1913

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# City Savings Likely # To Pay Dividend Soon. Depositors in the City Savings Bank may expect a dividend within 30 days, according to L. F. McClelland, receiver. "Preparations now are being made to submit a statement of condition to the judge," said Mr. McClelland Wednesday. "Collections have been as good as looked for and there will be no untoward delay in making the first payment." The City Savings, though solvent, closed its doors in the spring because of a "run" by alarmed depositors.

14. October 12, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, October 12, 1913

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# Empire Bank Takes Over City Savings Receiver Announces That New Financial Institution Will Open for Business in November. The new Empire State Bank will take over the assets of the City Savings Bank, which closed its doors on March 27, according to L. F. McClelland, receiver. The new bank will be opened for business early in November. McClelland planned to request the court's permission to pay a dividend to depositors in the City Savings Bank, but this was abandoned when it was decided to reorganize. The new bank will be operated by an entirely new set of directors, and with outside capital, it is said.

15. October 12, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, October 12, 1913

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New Bank to Take Over City Savings Empire State Asks Charter and Will Assume Obligations of Failed Institution. The business of the City Savings Bank, on East Alabama street, which closed on March 27 and later went into the hands of a receiver, will be

16. October 12, 1913 Atlanta Georgian Atlanta, GA
Article from Atlanta Georgian, October 12, 1913

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New Bank to Take Over City Savings Empire State Asks Charter and WIII Assume Obligations of Falled Institution. The business of the City Savings Bank, on East Alabama street, which closed on March 27 and later went into the hands of a receiver, will be