4383. Elston State Bank (Chicago, IL)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
June 9, 1931
Location
Chicago, Illinois (41.850, -87.650)

Metadata

Model
gpt-5-mini
Short Digest
fd1eb62f

Response Measures

Full suspension

Description

Elston State Bank was one of twelve 'Bain' neighborhood banks that closed June 9, 1931 after heavy withdrawals following the suspension of several other Chicago banks. The bank suspended and remained closed (receiver later filed suits in 1933), so this is classified as a run leading to suspension and permanent closure.

Events (3)

1. June 9, 1931 Run
Cause
Local Banks
Cause Details
Heavy withdrawals triggered by suspension/closures of other local Chicago banks (contagion from other neighborhood bank failures).
Newspaper Excerpt
Closing of the Bain banks followed the suspension of business at six other neighborhood banking institutions yesterday. Heavy withdrawals were made on the banks ... The banks which closed today are ... Elston State Bank ...
Source
newspapers
2. June 9, 1931 Suspension
Cause
Local Banks
Cause Details
Bank suspended operations (closed) on June 9, 1931 due to heavy withdrawals tied to earlier suspensions of other local banks.
Newspaper Excerpt
Twelve outlying Chicago banks ... were closed today because of 'heavy withdrawals following closing of several other Chicago banks.' ... The banks which closed today are ... Elston State Bank ...
Source
newspapers
3. February 15, 1933 Receivership
Newspaper Excerpt
Irwin T. Gilruth, receiver of the 12 Bain banks, yesterday filed suit ... The claims against the bonding company, plus interest closing of the banks on June 9, 1931, follow: ... Elston State 65,000 ...
Source
newspapers

Newspaper Articles (4)

Article from The Washington Times, June 9, 1931

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Article Text

HEAVY DRAIN ON DEPOSITS BLAMED Bain Institutions on South Side Have $15,860,000 e in "Vaults; 6 Closed Yesterday CHICAGO, June 9 (I.N.S.). I welve outlying Chicago banks, In all of which John Bain, financial leader, is chairman of the board, were closed today because of "heavy withdrawals following closing of several other Chicago banks." The 12 banks, as of record March 25, have total deposits of $15,860,000, total cash resources of $1,239,000, and total capital, surplus and undivided profits of $6,306,737. 6 Closed Yesterday Closing of the Bain banks followed the suspension of business at six other neighborhood banking institutions yesterday. Heavy withdrawals were made on the banks in spite of the statements of financiers that two huge mergers of downtown banks, accomplished early yesterday, had "cleared up" the banking situa. tion in the city. The banks which closed today are Armitage State Bank, Auburn Park Trust and Savings Bank, Brainerd State Bank, Bryn Mawr State Bank, Chatham State Bank. Chicago Lawn State Bank, Elston State Bank, Ridge State Bank. Stony Island State Savings Bank. West Englewood Trust and Savings Bank. West Highland State Bank and the West Lawn Trust and Savings Bank. All On South Side All of the institutions are on the South and Southwest Side. Dramatic action by officers was necessary to check runs at one or two other neighborhood banks this morning. The State Savings Bank and Trust Company, which was an affiliate of the Foreman group. today was acquired by the Liberty Trust and Savings Bank.


Article from Dziennik Dla Wszystkich, June 10, 1931

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Article Text

Bank Założony Przez Smulskiego Przeszto Dwadzieścia Pięć Lat Temu Oraz 20 Innych Zostato Zamkniętych Dyrekcja Oświadcza, Le Bank Będzie Wypłacalny 90 Dniach. Tłumy Przed Bankami Nie Mogą Wyciągać Pieniędzy. (Depesza Własna) rano zamknał swe podwoje "The North Western Trust and Savings Bank", który został założony niemal éwieré wieku temu przez Jana F. Smulskiego. Tysiące depozytarjuszów stoi dziś przed bankiem, domagając się wypłaty deponowanych sum, lecz bez skutku, gdyż bank jest W rękach urzędników stanowych wszelka wypłata depozytów Zamknięcie banku spowodowane było przez nagly "run" na bank dniu wezorajszym. Gdy dziś run trwał W dalszym ciągu władze stanowe objely bank posiadanie wstrzymały wypłaty. Dyrekcya Banku wydała oświadczenie, ze jest pewna, ze wszelkie należytości będą wypłacone W zupełności W przeciągu 90 dni kiedy spodziewają się, iz kwidacya będzie dokonana. Chodzą pogłoski, iż śladem banku Northwestern pójdą inne banki chicagoskie. Bank North Western byt pierwszym bankiem polskim W Ameryce i należał do W ostatnich dwóch dniach zamknięto 20 banków Chicago. A dzis oprócz Banku Northwestern zytow do ostatniego dolara. gdyby wymagala tego konieczność.Ale zaden Bank ,bez względu na to jak wielki bogaty, nie może jednym dniu czy tygodniu wy dac wszystkich depozytów, jesli chce normalnie sie zystować, wha tow znajdowała sie W kasie banku. Reszte zdobywa sie sprzedazy bondów, zwrotu pożyczek innych wpływów, które przychodzą normalnie, biegiem czasu, lecz nie jednym dniu lub godzinie. dlatego wyjątkowej sy tuacji, jak obecna, prawo pozwala ograniczenie natychmiasto wej wyplaty depozytów na pewien okreslony czas. To wlasnie czyni sie obecnie W naszym Banku. Tymczasem, aby ulzyc rodzinom wogóle osobom, pozwalamy na wyciąganie pewnej sumy oszczedności, po trzebnej dla normalnego życia domowego wedlug uznania urzędnikew bankowych. Zatem dla Waszego własnego dobra prosimy Was wsrystkich cierpiiwość wspólprace dzisiaj." Następujące banki zostaly zaFirst North Western State Bank, Second North Western Bank Inland State Bank. wszystkie trzy tak zwane Smulskiego banki. Cheltenham Trust Company, Industrial State Bank, Sheridan State Bank, South Side Trust, Washington Park National, Armitage State, Auburn Park Trust Company, Breinard State Bank, Bryn Mawr Bank, Chatham State Bank, Chicago Loan Bank, Elston State Bank, Rich State Bank, Stone Illinois State Bank, West Engleton State Bank, West Highland State Bank, West Lane State Bank. Jest wiadomem, 12 W Banku Northwestern mialy depozyty najwieksze polskie organizacye, jak N. Zwiazek Polek, Zjednoczenie inne. Wszystkie pieniadze Konsulatu Polskiego Chicago lokowane byly W banku Smulskiego. Dziennik dla Wszystkich rozmowie Henclem, skarbnikiem Związku N. zyt ZNP. W Northwestern Banku innych zamknietych nie prze wyższał sumy $25,000 ze to sume spodziewają sie odebrać W calości po Sa pogłoski, iz Zjedn. P. R. K. zdołało wyciagnac większą czesc swoich depozytów przed zamknię ciem Banku North Western, tak, dzie sie bez straty. Do tego czasu Dziennik nie mógł sie skomunikować zarządem Związku Podowiedzieć się 0 stanie ich depozytów W zamkniętych bankach. Dzis calem Chicago panuje chaos thumy ludzi przed kazdym bankiem, nie tylko tak zwanym Loup, ale mieściu. Wszedzie domagaja sie wyplaty depozytów. Nawet kolosalny First National Bank, wezoraj uratował tak zwane man Banks" przechodzi


Article from Chicago Tribune, October 18, 1931

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Article Text

N. W. FEDERATION TO HELP RELIEVE DEPOSITORS' WOE to Aid Bank Receivers. Plans for the protection of deposithe liquidation closed north west side banks will discussed at meeting to be held sometime this week of bank of the of Improvement clubs and the executive committee the United Depositors' The was ap. pointed last week, with Richard Wuerst in the tion in an effort to obtain for the of depositors whose funds tied the greatest possible bene. fit the receivership of the closed Others on Committee. members of the committee are W. Holmes, Boyle, Fouchard, John W. Alex Koehn, Edward president of the Mme. and B. of the expects to be able to cital thing the depositors closed banks, said Mr. Wuerst, the those funds are tied and second by legislation prevent occurrences in the by any Means of close all keeping in contact closed be discussed at the Mr. Wuerst indicated. In this way hoped that the will sing committee be able to cooperate with the receivers bringing about liquidations where possible of the closed bank to insure depositors the maximum return on their funds. Names Banks to Be Aided. The expects to where possible in the now under of several closed banks, including the National bank, the Albany Park Na. tional and bank, which is Noel State bank, Immel State and Elston State bank. Mr. Wuerst sald.


Article from Chicago Tribune, February 15, 1933

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Article Text

BAIN RECEIVER FILES $1,452,000 SUIT ON BONDS Irwin T. Gilruth, receiver of the 12 Bain banks, yesterday filed suit agai the Eagle Indemnity company of New York to recover $1,452,000 for the depositors of the closed institutions. The suit was filed in the Superior court against the two $100,000 bonds which the company had written for each of the eleven of the twelve banks. The bill, filed by the law firm of Kirkland, Fleming, Green & Martin, counsel for receiver, states that the receiver is entitled to sue on liabilities up to the full of each bond. The claims against the bonding company, plus interest closing of the banks on June 9, 1931, follow: Auburn Park Trust and Savings. 12,000 Brainerd State 105,000 Bryn Mawr State 150,000 Chatbam State 190,000 Chicago Lawn State 190,000 Elston State 65,000 Ridge State 70,000 Stony Island State 220,000 West Englewood Trust and Savings 200,000 West Highland State 160,000 West Lawn Trust and 90,000 For the 12th bank Receiver Gilruth already has brought suit for $100,000