German American Bank (Seattle, WA)

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SEATTLE IS IN GRIP OF FREAK PANIC, FEDERAL RESERVE TO AID BANKS SEATTLE, Wednesday.-Following the run of yesterday, the German-American bank did not open for business today and the Fremont State bank, a small suburban institution closed its doors at noon. The former bank is among the small institutions of the city and was not in a position to meet instant demands for SO much cash, although able to pay out fully. Up to 1:30 o'clock this afternoon offers of cash assistance had been tendered to the Seattle banks by outside institutions in case of need which totaled several hundred millions. San Francisco bankers offered to put $50,000,000 in cash on a special train. Strong support was forthcoming early today for all local banks which have been in any way affected by the closing of the Northern Bank and Trust company yesterday morning. The Seattle clearing house gave notice this morning that all solvent banks, whether members of the clearing house or not, will be given support. This announcement strengthened the situation among the bankers considerably, and it is believed that all but the weakest institutions will be able to get by without outside assistance. The freakishness of the situation is seen in the fact that there is a slight run on the Dexter Horton National bank, the strongest instituation in the Northwest, which carries the largest cash reserve west of Chicago, and north of San Francisco. It is estimated that this bank can pay out cash as fast as the teller can count it for weeks. There is also a slight run on the aNtional Bank of Comnerce, which is almost as strong. The run started yesterday on the People's Savings continues and there is quite a run at the ScandinavianAmerican bank. The officials have examined both of these banks recently and report them perfectly sound. All of the banks with the exception of three are experiencing a heavy rush of business today but for some reason for which there is no apparent cause there is not the slightest excitement around the Seattle National, Union Savings & Trust Company or Bank of Califronia.

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of Seattle, Jan. 31-As a result the failure of the Northern Bank and Trust Company yesterday, depositors in great numbers demanded their money at all banks in this city with the exception of three of the largest National Banks. The run was most persistent on the savings institution, and when it was learned that the German American bank had failed to open its doors this morning, the excitment around the other banks grew intense. In anticipation of a feeling of unrest which might be made manifest this morning a great many of the banks were prepared with vast

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DEPOSITORS BECOME PANICKY AND DEMAND MONEY FROM BANKS Run Begins When Institutions Open Three Big Doors For Day's Business German-American Banks Exempt Fails to Open Today After Hard Run of amounts of gold, silver and currency Seattle, Jan. 31-As a result OIL their counters when they opened the failure of the Northern Bank all for the day's business, and and Trust Company yesterday, dedemands were met without any hesipositors in great numbers demanded tation on the part of the paying tell their money at all banks in this ers. city with the exception of three of The Seattle Clearing house gave the largest National Banks. all The run was most persistent on notice that it would assist solvent banks in meeting the dethe savings institution, and when it mands of their depositors, whethwas learned that the German Amer they were members of the assoerican bank had failed to open its doors this morning, the excitment ciatien or not. The advice does not state whetharound the other banks grew iner OT not the German American tense. In anticipation of a feeling of bank will re-open, but owing to the unrest which might be made mani- run which was made on that infest this morning a great many of stitution all day yesterday its doors the banks were prepared with vast were no+ opened this morning.

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SEATTLE, Jan. 31.-Two more banks, following the run which was started yesterday when the Northern Bank and Trust Company's institution was forced to close its doors. failed to open their doors this morning. The two banks suspending this morning were the German-American bank, at the corner of Marion street and Second avenue. in the Marion block, and the Fremont State Bank, at Fremont. Charles E. Remsberg and A. E. Dixon, being the bankers. Every bank in Seattle. except the three National banks, were again experiencing runs today. The runs are most persistent on the savings institutions. At noon today the Clearing House Association gave notice that all solvent banks, whether members of the association or not would be assisted. At 1:30 o'clock this afternoon cash assistance was tendered to the Seattle financial institutions by out. side banks in case any was needed. The Clearing House Association officials announced that three million dollars from various sources have been offered for the relief of the local banks if this amount is needed. Late this afternoon. just before the closing hours of the banks it was stated that there is sufficient reserve in the banks to undoubtedly meet all cash withdrawals.

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A Run Is on All Banks In Seattle Two Close Doors German American Bank Fails To Open Its Doors This Morning, Clearing House Gives Notice of Solvency SEATTLE, Jan. 31.-With the exception of three banks, a run by depositors was started yesterday on every bank, principally on the savings institutions. Their halls are full of depositors. who clamor for their savings; although the Clearing House issued a statement that every bank was solvent. This, however, had no moral effect on the stampeders and the run continues. It is thought that some assistance will be given them. The German-American Bank, on which a heavy run was started yesterday, failed to open its doors this morning. The Fremont State Bank, Remsberg & Dixon, owners, closed their doors last evening. It is thought that others will follow.

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GERMAN AMERICAN BANK HAS CLOSED ITS DOORS FOLLOWING A HEAVY RUN INSTITUTION IS COMPELLED TO SUSPEND PAYMENT-BIG RUN IN PROGRESS ON THE PEOPLE'S SAVINGS BANK, AND OTHER SMALL SEATTLE FINANCIAL INSTITUTIONS ARE REPORTED TOTTERING - PEOPLE SACRIFICE THOUSANDS OF DOLLARS IN INTEREST BY WITHDRAWING SAVINGS-BANKS POOL $130,000,000 FOR PROTECTION.

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Special Cablegram to The Seated SEATTLE, Jan. 31. - -The German American bank failed to It had a open this morning. run on all yesterday.

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SEATTLE, Jan. 31. - With hardly any reason whatever for their acbecame tion panic depositors stricker for the safety of their savrushed to withdraw from in and several banks. The closing of the Northern Trust a day or two ago caused intense excitement, notwithstanding the government assurance that assets fully covered the liabilities if time were given to realize upon them. Today following a determined raid to withdraw deposits, the GermanAmerican bank followed suit clos-

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SEATTLE BANK PANIC AFFECTED SMALL BANKS rumors as to the bank's founded SEATTLE, Jan. 31.-With hardly ing its doors. Many smaller banks any reason whatever for their ac- according to the statement given out stability. The Seattle Clearing House pooled tion depositors became panic tonight were tottering. one hundred and thirty millions to The most spectacular raid of all stricker for the safety of their savprotect its members and all the larin and rushed to withdraw from was made upon the People' Savings ger banks are beyond question safe. several banks. The closing of the bank which paid everyone that This afternoon just before closing Northern Trust a day or two ago asked for it and was not seriously of the banks for the day the Fedcaused intense excitement, notwith- affected. Seattleites sacrificed eral Reserve wired from San Franstanding the government assurance thousands in interest and 'stood in cisco offering Seattle $68,000,000 in that assets fully covered the liabil- the January snow on the streets case of need. It is expected that ities if time were given to realize rows deep for hours making their this will eliminate he panicky feelrush to withdraw deposits. The upon them. Today following a determined raid severe run on the Peoples occasion- ing so much in evidence. to withdraw deposits, the German- ed considerable comment, but it is Now is the time to Subscribe. American bank followed suit clos- stated that it was due wholly to un-

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FORMER NOMEITESEATTLE BANK PRES

GOES PENITENTIARY on some of the Seattle banks. The Special to the Nugget. March SEATTLE, Broadway bank was the first to be 21 - Charged hit; next came the Northern Bank with falsifying the accounts of the and Trust Company and a few days o:hern Bank and Trust Company of which he was preside W. L later the German-American bank cclosed its doors, but s-from advices Collier pleaded guilty and was senreceived here-solvent. tenced to from one to ten years in A later wire received here today is penictnatary The state bank examto the effect that the sentence of the iners found that Collier Wis short in court is to be suspended as Collier his accounts over $30,000. has agreed to dig up the money to Will Collier is well known here cover his speculations. Also owing to where he was in the employ of the the fact that the further affairs of that Miners and Merchants bank for two summers. He has a host of friends institution cannot be straightened out both here and in Seattle all of whom without his adviceand explanation. It is estimated here that the bank will were thunderstruck at the announcement that he had falsified the acpay out from fifty to seventy per counts of the bank. cent of its deposits, which amounted A few weeks ago a run was made to over one and a half million dollars.

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By Echo June Zahl

There's one link in the human chain that most folks forget. That is the growing boy. We coddle him when he is a baby-we catch up the link again at manhood and wonder from which side of the house he got his prowess at leadership or lack of it. But the gap in a boy's life-the formative gap when he affects trousers-the most precious rift in a boy's life-the adolescent period, when he is in the making-is usually passed over with a hopeless wonder "whatever is going to become of him." I mingled the other day with a bunch of boys-ranging in age from 12 years to 18-all clad in khaki suits.

AND I DIDN'T WONDER WHAT WAS GOING TO BECOME OF THEM.

I KNEW! They were assembled in the German American bank building, preparing to strike out for the final lap of their campaign to raise $8,500 for their organization.

They're Polite As I stood there gazing at the energy and health of 250 human dynamos, a small, red-headed boy passed in front of me. "Excuse me," he said simply. This from a boy of 12! But politeness is one of the first rules of Scoutdom. There was a commotion at the other end of the room. I looked and saw a pair of legs disappearing thru a small hole that was formerly used as a teller window when the bank was running!

They're Democratic A crowd of excited comrades were cheering the disappearing