Merchants National Bank (Helena, MT)

View Charter #2732 on SPMC View balance sheet

Episode Information

Episode UID
273201123
Episode Type
Run Only
Bank Type
national
Bank ID
27320 national
Charter Number
2732
Start Date
July 27, 1893
Location
Helena, Montana (46.593, -112.036)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
4334deaefbb0cc0c

Response Measures

Accommodated withdrawals

Receivership Details

Depositor recovery rate
66.0%
Date receivership started
1897-06-02
Date receivership terminated
1903-06-17
OCC cause of failure
Losses
Share of assets assessed as good
37.3%
Share of assets assessed as doubtful
45.4%
Share of assets assessed as worthless
17.3%

Events (3)
1. June 14, 1882 Chartered
Source
historical_nic
2. July 27, 1893 Run
Cause
Local Banks
Cause Details
Runs triggered by failure/closure (failed to open) of the First National and Montana National banks in Helena
Measures
Paid depositors promptly; remained open and reported deposits exceeded withdrawals by day's end.
Newspaper Excerpt
the run is now confined principally to the Merchants' National bank, which is paying everybody. They are confident that they will be able to stand the run.
Source
newspapers
3. June 2, 1897 Receivership
Source
historical_nic

Newspaper Articles (10)
1. July 27, 1893 Evening Star Washington, DC
Article from Evening Star, July 27, 1893

Click image to open full size in new tab

Article Text

MONTANA BANKS SUSPEND. Two Helena Institutions With Plenty of Assets, but Unable to Realize. HELENA, Mont., July 27.-The First National and Montana National banks failed to open this morning. A run is now in progress on the other banks of the city. 11 a. -The run is now confined principally to the Merchants' National Bank, which is paying everybody. They are confident that they will be able to stand the run. The two closed banks have ample assets, but cannot realize. S. T. Hauser is president of the First National Bank. The capital stock is $500,000; surplus $100,000; undivided profits $600,000 and average deposits $3,250,000. John T. Murphy is president of the Montana National. The capital stock is $500,000; surplus $100,000; undivided protits $100,000, and average deposits $1,500,000. Other Banks Closed. MIDDLESBORO, Kan., July 27. - The First National Bank of this place closed its doors this morning. The notice upon the door reads: "This bank closed by order of directors. "J. P. SANDIFEE, Cashier." LOUISVILLE, Ky., July 27.-The Sarmers' Bank of Mount Sterling, Ky., suspended payment this morning. EXETER, N. H., July 27.-The National Granite State Bank temporarily suspended payment this morning. The Institution is declared by officials to be perfectly sound, the present embarrassment having been caused by a drainage of the cash supply and delayed remittances from Boston. A resumption of business is expected.

2. July 27, 1893 San Antonio Daily Light San Antonio, TX
Article from San Antonio Daily Light, July 27, 1893

Click image to open full size in new tab

Article Text

Two More Banks Flicker. HELENA, Mont., July 27.-The First National and Montana National banks, failed to open this morning and a run is now in progress on the other banks of the city. At 11 o'clock this morning the run is now confined principally to the Merchants' National bank, which is paying everybody. They are confident that they will be able to stand the run. The two closed banks have ample assets, but it cannot be realized. S. T. Houser is president of the First National; capital stock is $500,000; surplus, $100,000; undivided profits, $600,000, and average deposits, $3,250,000. John T. Murphy is president of the Montana National bank; capital stock is $500,000; surplus $100,000; undivided profits $100,000 and average deposits $1,500.000.

3. July 27, 1893 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, July 27, 1893

Click image to open full size in new tab

Article Text

FINANCIAL FAILURES. A Run on Helena, Montana, Banks Today. HELENA, Mont., July 27.-The First National and Montana National banks failed this morning. A run is in progress on the other banks. The run is new confined principally to the Merchants' National, which claims to be able to stand. The closed

4. July 28, 1893 The Wichita Daily Eagle Wichita, KS
Article from The Wichita Daily Eagle, July 28, 1893

Click image to open full size in new tab

Article Text

THE HELENA BANKS SQUEEZED. HELENA, Mont., July 27.-The First National and the Montana National banks failed to open their doors this morning. In consequence a run on the other banks of the city quickly commenced. The two closed banks Lave ample assets, but cannot realize on them. The capital stock of the First National bank is $500,000 and it has a surplus of $100,000, undivided profits of $60,000 and deposits of $3,250,000. The Montana National also has a capital of $500,000, with a surplus of $100,000, undivided profits of $100 000- and average deposits of $1,500,000. The run on the other banks was soon confined principally to the Merchants' National bank. The depositors at this bank were paid promptly. and the officers are confident that they will be able to stand the run.

5. July 28, 1893 The Helena Independent Helena, MT
Article from The Helena Independent, July 28, 1893

Click image to open full size in new tab

Article Text

AT THE OTHER BANK. Short Run at the Merchants but None at Other Institutions. At 10 o'clock yesterday morning there were probably 1,000 people in front of the Merchants National bank. The majority were there from curiosity, but there were also a large number of people who wanted their money, and a considerable number who had money to put in. When the doors opened a cheer went up, and then the scramble to get inside began. 'I here were a number of inrge deposits, and a great besieging by holders of certificates of small amounts. The rush Insted for two hours. From 12 to one little business was transnoted. From the latter hour until three o'clock considerable business was done, but there was nothing like the early crowding. Later in the afternoon the officers said as a result of the day's business their deposits had exceeded the withdrawals, They expressed the opinion that the worst was over so far as they were concerned. and they felt the utmost confidence in their ability to meet all calls upon them. At the other banks there was no excitement whatever. The American did not do its average business nt the paying teller's window. A number of prominent business houses that bad been doing business at the First and Montana opened accounts at the American, and the bank's deposits at the close of business were away aboad of their payments. But one account was withdrawn during the day, and that for only A few hundred dollars. The party who took his money ont forgot that he had n check ont, and later in the day it came in. Assistant Cashier Cope onshed is, and mailed the former depositor a notice that his account was overdrawn. The American not only had cash enough to pay its own depositors, but it also answered ealls from several state banks. It also

6. July 28, 1893 The Morning News Savannah, GA
Article from The Morning News, July 28, 1893

Click image to open full size in new tab

Article Text

TWO HELENA BANKS CLOSE. The Assets of Each Largely in Excess of Their Liabilities. Helena, Mont., July 27.-The First National and Montana National banks failed to open this mornings A run is in progress on the other banks of the city. The First National Bank has assets over $1,000,000 in excess of its liabilities. The Montana Bank has $850,000 in excess of its liabilities They simply could not get currency enough to meet the demands. The Merchants' National stood a three hour's run and then received in deposits more cash than had been withdrawn. There was no run on the other banks.

7. July 28, 1893 New-York Tribune New York, NY
Article from New-York Tribune, July 28, 1893

Click image to open full size in new tab

Article Text

TEN MORE BANKS CLOSED. SIX OF THEM ARE IN STATES OF THE FAR NORTHWEST. INABILITY TO REALIZE ON ASSETS THE CAUSE OF THE SUSPENSION OF ALMOST ALL -THE PANK FAILURES FROM MAY 1 TO JULY 22. Seattle, Wash., July 27.-A dispatch from Spokane says: "The First National Bank suspended payment* yesterday afternoon. Its doors closed at 2 o'clock, and the following notice was posted: "Owing to continued withdrawals by the depositors, and inability to realize on securities, this bank has temporarily suspended payment.' "The Spokane Savings Bank, which is connected with the First National, was closed at the same time. In a few minutes the news was generally known throughout the city, but it was received quietly. There was no effect perceptible at any of the other banks. President Glover says that the suspension is only temporary, and that all depositors will be paid in full." Portland. Ore., July 27.-The Oregon National Bank and the Northwest Loan and Trust Company of this city, suspended this morning. Both institntions were started about live years ago. The rapid withdrawal of depesits and inability to realize on securities are given as the cause of the suspension. George B. Markle is president of both institutions. Capital stock of the Oregon National, $200,000; surplus, $40,000: average deposits, $500,000. Capital stock of the Northwest Loan and Trust Company. $250,000; surplus, $25,000. Helena, Mont., July 27.-The First National and Montana National banks failed to open this morning. Runs were started on the other banks of the city, the most extensive being that on the Merchants' National Bank, which paid everybody. The 1WO closed banks have ample assets, but cannot realize. S. T. Hauser Is president of the First National. The capital stock Is $500,000; surplus, $100,000; the undivided profits are $600,000. and the average deposits $3,250,000. John T. Murphy is president of the Montapa National: its capital stock is $500,000: surplus, $100,000: Its undivided profits are $100,000, and its average deposits $1,500,000. Portage, Wis., July 27.-The City Bank closed its doors this morning. The suspension is due to the condition of the money market. Middlesberoigh. Ky., July 27.-The First National Bank of this place closed its doors this morning. The officers of the bank refuse to talk, and it is impossible to get either assets or liabilities. Most of the merchants here were depositors. Washington, July 27.-The First National Bank of Middlesborough, Ky., which closed its doors this morning, had a capital of $50,000, and 1ts individual deposits aggregated usually about $50,000. Mount Sterling. Ky., July 27.-The new Farmers' Bank of this city closed its doors this morning. The failure was caused by an inability to realize on its paper. The deposits are about $200 000. The bank holds first-class paper to the amount of $000,000. The depositors will be paid in full and the officers of thes bank hope to be able to resume business in a short time. The capital stock is $250,000. Exeter, N. H., July 27 The National Granite State Bank temporarily suspended payment this morning. The institution 18 declared by officials to be perfectly sound, the present embarrassment having been caused by a drainage of the cash supply and delayed mit tances from Boston. An immediate resumption of business is expected. Baltimore. July 27.-A summary of the bank fallures from May 1 to July 22, inclusive, shows that 301 banking institutions. with # total capital of $38,951 033, suspended. The Manufacturers' Record" publishes a complete list of closed banks by States, also a table which shows that five-sixths of these fullures and four fifths of the capital involved were in Western and Pacific States, while only 10 per cent of the failures and 11 per cent of the capital involved were in the South. The number of failures In Southern States was thirty-seven. involving $4.392,100: in the Western and Pacific States the number was 251, involving $31,258,933: and in the Eastern and Northern States, thirteen, with $2,600,000 capital.

8. July 28, 1893 The Sun New York, NY
Article from The Sun, July 28, 1893

Click image to open full size in new tab

Article Text

ELEVEN MORE BANKS FAIL. Seven in the West. Three in Kentucky, and One In New England, HELENA. Mon.. July 27.-The First National and Montana National banks failed to open this morning. A run is now in progress on the other banks of the city. The run is now confined principally to the Merchants' National Bank. which is paying everybody. They are confident that they will be able to stand the run. The two closed banks have ample assets. but cannot realize. S. T. Hauser 1s President of the First National. The capital stock is $500,000. surplus $100,000. undivided profits $600.000. and average deposits $3,250.000. John T. Murphy is President of the Montana National. The capital stock is $500.000. surplus $100,000. undivided profits $100,000. and average deposits $1,500,000. SPOKANE. Wash.. July 27.-The First National Bank suspended payment yesterday afternoon. Its doors closed at 2 o'clock. and a'notice was posted announcing that. "owing to continued withdrawal by depositors and inability to realize on securities. this bank will temporarily suspend payment." The Spokane Savings Bank. which is connected with the First National. was closed at the same time. In a few minutes the news was generally known throughout the city, but it was received quietly. There was no effect perceptible at any of the other banks. President Glover said that the bank has only temporarily suspended. and all depositors will be paid in full. The bank commenced business in December. 1882. Its paid-up capital is $200,000. PORTLAND. Or., July 27.-The Oregon National Bank and the Northwest Loan and Trust Company. kindred institutions, failed to open their doors this forenoon. Notice on doors says: Owing to withdrawal of deposits and inability to realize on securities this bank is forced to suspend." George B. Markle is President of both institutions. Capital stock of the Oregon National $200,000: surplus. $40,000: average deposits. $500.000. Capital stock of the Northwest Loan and Trust Company. $250,000: surplus. $25,000. MIDDLESBOROUGH, Ky.. July 27.-The First National Bank of this place closed its doors this morning. The notice on the door reads: This bank closed by order of directors." The officers of the bank refuse to talk. and it is impossible to get either assets or liabilities. The effect on business here will be serious, as most of the merchants were depositors. The Coal and Iron. the other bank here. will not be affected. The suspended bank had a capital of $50,000. and its individual deposits aggregated usually about $80,000. MOUNT STERLING. Ky.. July 27.-The new Farmers' Bank of this city closed its doors this morning. The failure was caused by inability to realize on its paper. The deposits are about $300,000. The bank holds firstclass paper to the amount of $600.000. The depositors will be paid in full. and the omcers of the bank hope to be able to resume in a short time. The capital stock is $250,000. This afternoon the Breeders' Bank also closed its doors. EXETER. N. H.. July 27.-The National Granite State Bank temporarily suspended payment this morning. The institution is declared by officials to be perfectly sound. the present embarrassment having been caused by a drainageof the cash supply and delayed remittances from Boston. An immediate resumption of business is expected. PORTAGE. Wis., July 27.-The City Bank closed its doors this morning. The suspension is due to the condition of the money market.

9. July 28, 1893 St. Paul Daily Globe Saint Paul, MN
Article from St. Paul Daily Globe, July 28, 1893

Click image to open full size in new tab

Article Text

HELENA IN TROUBLE. wo of the Largest Banks in Mon< tana Close-Business Difficulties of All Kinds. HELENA, Mont., July 27.-Financial coubles reached Helena, Mont., today' nd resulted in the closing of two of the iggest banks in the state. They are he First National and Montana Naonal. The First National is the pioneer ank, of which S. T. Hauser is presient. Its directory includes some of he wealthiest men in Montana. For iree weeks there has been a steady rain on the banks, and on Wednesday fter the day's business was over there as very little cash on hand. Last ight the directors met and unanihously decided that it was he duty of the stockholders to support nmediately a voluntary liquidation, nd that the bank temporarily suspend. n conformity with this the bank did ot open this morning, and the followig notice was posted on the door: "We re compelled to suspend business under ie stringency of the money market nd from the heavy drafts on deposits. ithout being able to make correspondig reduction of loans. Our assets are mple, but we cannot command the curency to continue payments." A stateent up today shows assets of $3,771,80; liabilities, $2,590,762. The bank ad a capital of $500,000, and its busess extended all over the Northwest. John T. Murphy is president of the Iontana National. It was regarded as trong as the First National, but was ot SO old. It had a capital of $500,000, -'18 10 assess SMO Is statement the pu 50,000, liabilities $900,000. The diectors desire a voluntary liquidation, nd its closing was due to the same auses as forced the suspension of the irst National. When the banks opened lain street was crowded with people, e largest number being about the lerchants' National. There was a teady run on this bank for three hours, ut it came out all right, the offiers saying they gained more cash uring the day. There was no run on e other banks. President Edgerton, i the Second National, says he made a ight gain in deposits. Cashier Baird, : the Helena National, says there was o run on that bank. as does Cashier ohnson, of the American National. here was no run on either of the two avings banks. The unanimous opinion that the people have gotten over the xcitement, and that the banks now oing business will be able to keep ben. Assignments today were the homas Pointer Drug company, S. C. shby, A. M. Holter and C. W. Cannon, II personal. No mercantile failures ave been reported. MIDDLESBORO. Ky., July 27.-The irst National bank of this place closed S doors this morning. LOUISVILLE, Ky., July 27. - The armers' Bank of Mt. Sterling, Ky., spended payment this morning. CINCINNATI, July 27. - The Deer reek cotton mills at Fifth street and ggleston avenue, and a belting factory ; Plum and Canal streets, controlled y the Henry Pearce Sons company, nut down indefinitely today, throwing 0 hands out of employment. Dull ade is the cause given. PORTAGE, Wis., July 27.-The City ank of Portage closed its doors today. was capitalized at $25,000. H. Breeze, -secretary of state, was president of e bank. The directors of the bank

10. November 5, 1893 The Sun New York, NY
Article from The Sun, November 5, 1893

Click image to open full size in new tab

Article Text

t trick of the Republican City hour of the sale was changed. epresentative alone was there to it in the warrants at a discount of The Democratic managers went 9 to Cruse and asked him to give ants for another sale. 80 that could be present and make the I for their value. Cruse consente our that e should pay him the difference int. said Dan Hanley. the Chairma a Democrat and a miltionaire. is for $200 at a time like this ess is business. me good mon." ТСпош our 102 eq pay TIOMSUR 414 terly indifferent to the comments : of neighbors. On the day when anks closed he rode in an open vn Main street and passed a run on the Merchant's National. ed in the usual broadcloth suit. hirt front, with its guard of a massi ch chain. and silk hat. He e carriage wearing what one of ed A double- barrelled grin. ir fists nt him. swore in the oaths r extraordinary occasions and it he might be forced to change queezing men out of business. 11" 07 Image UGARIN U SW PI 1qnd B holding 10 MINI usdo SUM 9 on meeting. Then he relented to releasing some of the attachmen asurancethat his bank would be these IIIM our up 9.11 quiquent 10 sp nd other historic usurers. When : near to its height in Helena a wel erchant who is rated at from 0.000 wanted to borrow $4,000. get it from any of the national bank re refusing to lend. 80 he went ank and stated his business. e not lending." said the cashier. tht. said the merchant as he door. not reached Broadway when he ck by a shout from the bank. wanted to say." said the Treasure Cruse is willing to let you have four percent. a month-as an . He says that you have always best friends." r was declined on the spot. for said that an assignment was his taste than an obeisance to "II red stories are told about his Last July Mgr. Satolli. Dr. O'Gorma gton University. Archhishop Irelan p Grace of St. Paul visited Helena intinental tour. Whether Cruse. er. searching a barren country easure. ever dreamed that Col. onaire banker. would entertain legate. is not to be known: but it of Satollihimself that few entertait his experience ever equalled that Commy Cruse. Everything not jo required SUM 11 10A0 persond SHAL Ρ‡ΠΎΡ‚Ρ‡ΠΌ lece. was as perfect as money n Montana. The gossips of Heler when it was all over Cruse kissed ablectate our resenter puw 'pu otograph of himself to the Pope. in occasions, he finds great deligi g to certain Helena people the financial prosperity dates back nd of the mysterious gold float. e Montana Club's annual reception el. along with others. became influence of what is known as s punch. Some one said somethin ded the old man's sensitive his position in society. He flash. and turning on one of the nes have been mentioned. said: yez. ye would ha' been walkin' . but for Tommy Cruse." , turned on another and another. ch with a sharp touch of his Scotel asm. Not one had a word to say. lated the truth. Notone would at on the sale of his mine if the 'MOU smoul ou se menth SD MOU t contradiction of the old adage, the nd faro players never know when e has shown hard sense by keepin von. Other Montana citizens d in mines. real estate. and railwa $ after making a stake. Cruse locke r part of his money in Governmer 1 placed the balance in such safe