4449. German Savings (Chicago, IL)

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: state
Start Date: July 1, 1877*
Location: Chicago, Illinois (41.850, -87.650)

Metadata

Model: gpt-5-mini
Short Digest: 739e8706

Response Measures

Accommodated withdrawals

Description

Newspapers describe a run on the German Savings beginning in July 1877 (withdrawals through Oct) and later the bank being placed in liquidation/receivership in December 1877. Receivers (Horton) are preparing reports and the bank is described as in liquidation in subsequent accounts, with no indication of reopening.

Events (3)

1. July 1, 1877* Run

Cause: Local Banks
Cause Details: Run began with broader runs on Chicago savings banks (started July) rather than a single misinformation incident; depositors left notices and heavy withdrawals ensued.
Measures: Paid out withdrawals (about $350,000 total paid out since July); notices being wiped out; some depositors returning and redepositing funds.
Newspaper Excerpt: The run on the German Savings is about at an end. ... Since the run first commenced on the savings-banks here last July Mr. Greenebaum says he has paid out about $350,000
Source: newspapers

2. December 15, 1877 Suspension

Cause: Government Action
Cause Details: Bank placed in liquidation / in the hands of a receiver (receiver Horton appointed and preparing report).
Newspaper Excerpt: Receiver Horton, of the German Savings, is preparing his first report, which will be submitted during the coming week.
Source: newspapers

3. December 22, 1877 Receivership

Newspaper Excerpt: Elias Greenebaum filed his voluntary petition in bankruptcy... the German National, German Savings, and Greenebaum & Co.'s banks are in liquidation or in the hands of a receiver.
Source: newspapers

Newspaper Articles (10)

1. October 4, 1877 Chicago Daily Tribune Chicago, IL

Article from Chicago Daily Tribune, October 4, 1877

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OUR BROKEN BANKS. THE RECEIVERS STILL PEGGING AWAY. The various gentlemen presiding over the destinies of the broken savings banks in the capacity of Receivers are getting away with a good deal of routine work, but as for anything of public Interest in connection with the banks, It does not exist. The only thing to relieve the monotony of Dr. Turpin's life yesterday was a visit to Hooley's Theatre, at the request of Mr. Quinlan, for the purpose of seeing the inside of the building on which the Fidelity has a mortgage. The Doctor expressed bimself ns well satisfied with the place, particularly with the many improvements put In during the present season, and was on the whole disposed to think the Fidelity had not made a bad investment. The Interest on the mortgage, and the taxes, are kent up, and there is therefore no reason for expecting anything like a foreclosure. Receiver Ward was occupied nearly all day with insurance business before the Master in Chancery, and had simply nothing to report In regard to the investigations Into the bec-hive's ultates. The clerks were working on the books as usual, but were of about as much use as sources of information us a last year's bird's nest is of practical utility after having served the purpose for which it was designed. At the State Savings Institution Judge Other kindly bent down his head to the reporter and Imparted the stunning secret, Nothing today." The run on the German Savings is about at an end. The notices left about n month ago are being rapidly wiped out, no new ones being left, and some of the depositors who have left them are not 80 anxious for their money as they once were, while many who drew out a few days ago are quietly returning and depositing their funds. About $2,000 Was paid out yesterday. Since the run first commenced on the savings-banks here last July Mr. Greenebaum says he has paid out about $350,000, and he may be called upon to pay out $10,000 more should the remainder of the scary depositors who have left notices come for it. If they come for their money It will be paid them, and the bank will not only have sufficient to do that with, but will retain a sufficiently handsome balance to run right along as If there had never been any scare.

2. December 15, 1877 Chicago Daily Tribune Chicago, IL

Article from Chicago Daily Tribune, December 15, 1877

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Article Text

BROKEN BANKS. Yesterday's Developments. Yesterday was only another In the list of dall days among the banks. Receiver Jackson. of the Third National, was in the midst of his correspondence with country banks, and buay with the proofs of 'claims which are being filed. These amount to about $170.000 up to date. and the rest are coming In with beautiful regularity. Mr. Jackson could say nothing an to dividends, except that It was the Comptrolier's desire to declare one as soon as things were in shape to do 20. Receiver (llover, of the Central National, will complete his Inventory in a few days. and send It to the Comptroller, with the recommendation that A 25 per cent dividend be declared. It " possible that each a construction may be placed on the ninety-day notice rule as will insure the depositors a dividend before that time shall have clapsed. Mr. Glover has heard nothing from Mr. Endicott. The latter's brother stated Thursday that the ex-President of the bank had gone East to real. According to Mr. (lover, the brother doesn't know nie address. The Receiver wants information in regard to certain details, but can neither see the m3b who can give them not learn where a letter will reach him. The motion for Receiver in the case of Beris YR. The German-American Savings Bank, came up before Judge Moore again yesterday. The bill was filed Tuesday, and an application for Receiver made. but postponed two days to enable the parties interested to agree on some person. They did so, and vesterday Col. Inessen and Mr. Blanke, the attorneys for the bank and the complainant, respectively. appeared in court. The latter remarked that the stockholders and depositors had agreed that Mr. Justus Killan, the President of the bank, should be appointed Receiver. Stockholders to the amount of $104. 100, and depositors representing $30,630, had signed a paper to that effect. Judge Moore sold It was not the policy of the courte to allow Interested partice to act as ReceivCTP, though It was sometimes done. in which case toey generally acted without compensation. In the present Instance, however, as all consented to it, he did not fee) like refusing. Mr. Justus Killan was therefore appointed Receiver, his bond being fixed at $50,000, which was filed. Receiver Hurton, of the German Savings, 10 pre. paring bis first report, which will be submitted during the coming week. The liquidation of the German National is progressing by slow and cary stages, but the routine work in connection with its closing up shuts out any possibility of news. The private firm of Henry Greenebaum is doing very little business. A few drafts come in and are promptly met, but no European drafts are 19. sued. As Mr. Greenebaum himself expressed It yestorday. be has not recovered from the stunning effect of the failure of his other two institutions. He has as vet made little or no endeavor to get outside aid, because be hopes to pull through with. out It. In this laudable endeavor be will no doubt have the sympathy of a large mass of citizens who look upon him as the victim of misfortune and the vindictiveness of his enemies, and who admire the pluck under itall. and hope he will succeed. There was nothing but the usual routine business at the other banks. Receiver Ward, In a burst of triumph. produceds draft for $549.20. which he had just received froms country debtor, and expressed n wish that others would follow the said debtor's praiseworthy example. The balance of that Fidelity dividend, about $15,000, is being slowly worn down. Dr. Turpin thinks It will all be paid out but about 000, which will be formed into a first dividend fund, and kept for those who do not care to draw Just at present.

3. December 16, 1877 Chicago Daily Tribune Chicago, IL

Article from Chicago Daily Tribune, December 16, 1877

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P. S.; George 11. Lanin, Treasurer, Secretary; E. R. Catiin. R. A. C. A. C. Lamb, M. Third V. S. W. McArthur, M. Second V.; W. E. Poulson, M. First V. ; James McNair, Sentinel. The officers-elect of Gen. George A. Custer Post, No. 40. G. A. R., are ns follows: F. C. Vierling. Commander; John Goggin, S. ViceCommander; Philip Punch. J. Vice-Commander; Richard T. Higgins, Quartermaster; Richard D. Foss. Chaplain: L. S. Hudson, O. D.; John Moran, Adjutant: Charles Schroeder, O. G.: R. C. Gibson. Surgeon. F. C. Vierling. Frank Kennedy, and B.S. Wakeman are delegates to the State Encampment. At the regular annual convocation of Ellwood M. Jarret Chapter. No. 176, R. A. M., at Englewood, Thursday evening, the following officers were elected and appointed for the ensuing Masonic year: R. J. Colburn. M. E. II. Priest; J. G. Woods. E. King: Frank Sheffield, Scribe: A. Charles Potter, Captain of Host: E. N. Tillottson, P. Sojourner: James A. Blaine, R. A. Captain; William Puliman. Grand Master Third Veil; C. H. Vehmeyer, Grand Master Second Veil; W. S. Hancock, Grand Master First Veil; J. G. Griffiths, Sentinel. SUICIDE. Emily, aged 16, the daughter of Theodore Spangler, of No. 216 Chestnut street, committed suicide yesterday morning. She was a woman at 14, and premature development, in the opinion of the family physician, had affected her mind. At times she was apparently happy: at others melancholy. For several years she had not played with the other children. and, occasionally, would refuse to see any one at all, though usually she seemed delighted at meeting people. Within the last six months she had frequently expressed a wish that she were dead. saying she was tired of life, and asking whether strychnine or arsenic WILL the best poison. When her father left home at half-past 7 o'clock yesterday morning. she bid him good-by lovingly, and subsequently went into a neighbor's house, being apparently very cheerful. Along towards 9 o'clock. after her return, she came from the kitchen to the back parlor, where her mother was sitting, and said to her: "I have taken poison." Why did you do so?" asked her mother. **Save me! save me!" was the only reply. Dr. Strausser was sent for, but the youdg lady was in convulsions when he arrived, and. though he used the stomachpump. his efforts to save her were unavailing. She died in less than half an hour. The symptoms were those peculiar to strychnine. Where she procured the drug is unknown, as there was none in the house. The Coroner will nold an inquest today. THE BANKS. Intense quiet prevailed among the banks yesterday, nothing occurring out of the dull routine connected with the settling-up process. Receiver Jackson, of the Third National, reports that 117 claims have been proved up, representing in amount $300,000. Holders of drafts drawn upon foreign correspondents of this bank are informed that they stand in the same position as the depositors, -i.e., they are required to prove up their drafts according to the manner prescribed. Mr. Kilian, Receiver of the German-American Savings Bank, filed his bond yesterday. which was approved. He will take possession Monday, and apply himself with all diligence to the work of closing up the concern. Receiver Horton, of the German Savings, is still at work on his first report, which he hopes to file during the week. Receiver Glover, of the Central National, was not around yesterday, his attack of fever and ague keeping him at home. The clerks said there was no news. Utter. unrelieved dullness expresses the condition of things at the other institutions. HOTEL ARRIVALS. Sherman House-e. M. Brazee, Rockford; J. S. Jenkins, Clinton. la.: the lion. C. A. Hamilton, Connecticut: J. H. Dewey. Brooklyn; C. W. Goodrich, Salem, Ore: Prof. F.. 0. sewell, New York: A. J. Rock. New York: T. Maguire, San Franelseo: J. W. Sunders. Behaire, 0. Tremont House-J. J. Dan. Oshkosh: G. M. and C. B. Henderson. Portland: W. B. Williamson. New Orleans: Dr. J.J. Marston, Offawa: R. J. Bard. Deadwood; J. S. Cole, Wheeling. W. Va.: L. E. Thompson and A. M. Bennett, Detroit: W. J. Schatiner. St. Louis: G. c.

4. December 23, 1877 The Sun New York, NY

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The Greenebaum Failure. CHICAGO, Dec. 22.-Elias Greenebaum filed his voluntary petition in bankruptcy to-day. His liabilities are over $300,000, of which $125,000 is accommodation paper. held by city bankers and are guaranteed by good men. The assets foot up about $70,000 but his personal affairs are so mixed up with those of the firm and their banks that these figures do not properly represent his condition The three brothers, Henry. David, and Elias, are now in bankruptcy, and the German National Ger man Savings, and Greenebaum & Co.'s banks are in liquidation or in the hands of A receiver. The New York branch is also closed

5. December 23, 1877 The Cheyenne Daily Leader Cheyenne, WY

Article from The Cheyenne Daily Leader, December 23, 1877

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ILLINOIS. The Greenebaums Gone Up. Chicago, Dec. 22.-Elias Greenebaum filed his voluntary petition in bankruptcy to-day. His liabilities are over $300,000, of which $125,000 is accommodation paper held by the city bankers, and guaranteed by good men. His assets foot up about $70,000, but his personal affairs are so mixed up with those of the firm and their banks that these figures do not properly represent his condition. The three brothers, Henry, David and Elias are now in bankruptcy, and the German National, German Savings and Greenebaum & Co's. banks are in liquidation or in the hands of a receiver. The New York branch is also closed. The liabilities are perhaps over a million and a half. Their assets are much smaller, but the affairs are very much complicated.

6. December 26, 1877 Ottumwa Weekly Courier Ottumwa, IA

Article from Ottumwa Weekly Courier, December 26, 1877

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The Cone-Up Greenbaums. Chicago, Dec.22.-Elias Greenbaum filed his voluntary petition in bankruptcy to-day. Liabitities over $200,000, of which $125,000 is accommodation paper by the city bankers and guaranteed by good men. The assets foot up about $75,000, but his personal affairs are so mixed up with those of the firm and their banks that these figures do not properly represent his condition. The three brothers, Henry, David and Elias, are now in bankruptcy, and the German National, German Savings and Greenbaum & Co's., banks are in' liquidation or in the hands of a Receiver. The New York bank is also closed.

7. December 27, 1877 The Manitowoc Pilot Manitowoc, WI

Article from The Manitowoc Pilot, December 27, 1877

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THE WEST. A LARGE hord of ponies dashed through Spearfish Valley, near Deadwood on the 22d inst. It is the opinion that they belong to a camp of Sioux located on the Belle Fourche. IT has been decided by the San Francisco water commissioners to proceed to condemn the property of the Spring Valley company, the conference having failed to agree upon a price. ELIAS GREENEBAUM a Chicago banker, filed a voluntary petition in bankruptcy on the 22d inst. His liabilities are over $300,000, and assets about $70,000. The three brothers-Henry, David and Eliasare now in bankrupey, and the German National, German Savings and Greenebaum & Co.'s, are in liquidation or in the hands of receivers. B. E. Smith, surviving partner of the banking house of Bartlett & Smith, has brought suit against prominent gamblers of Columbus, Ohio, to recover about $1,000, which sum it is alleged was lost at play by attaches of the bank in question. When it was known seven months ago the large sums of money were missing from the bank, W. C. Faxon, teller, and Frank McClelland, book keeper, left the bank, and gossip charged them with the loss. Neither of the young men, however, were prosecuted. Eminent legal talent has been engaged by both parties. A VICTORIA dispatch says the excitement over the quartz discoveries at Cariboo continues unabated. Reports of new discoveries are constantly coming in. Business throughout the province has received a great impetus, and extensive city improvements are projected. Ex-MAYOR WILLIAM C. DUNCAN, of Detroit, died on the 19th inst. THE Cosmopolitan Savings and Exchange bank of San Francisco suspended on the 19th inst. THE Indian agent at Camp Thomas, Arizona, reports that Pinonesenay, the leader of the Renegade Apaches is dead. J. T. FARLEY was elected United States senator by the California legislature on the 18th inst. A FREIGHT train on the Ohio and Mississippi road was thrown from the track at Lebanon, III., on the 18th inst. Nobody hurt.

8. December 28, 1877 Vicksburg Weekly Herald Vicksburg, MS

Article from Vicksburg Weekly Herald, December 28, 1877

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Financial Condition of the Greenbaums. CHICAGO, Dec. 22-Elias Greenbaum has filed a voluntary petition in bankruptcy-liabilities over $300,000, of which $125,000 is accommodation paper held by city bankers guaranteed by good men; assets $70,000. His personal affairs are mixed up with those of the firm so that these figures do not properly represent his condition. The three brothers, Henry. David and Elias. are now in bankrup.cy, and the German National, German Savings and Greenbaum and Companies bank are in liquidation or in the hands of a receiver. The New York branch is also closed.

9. August 31, 1878 Daily Globe Saint Paul, MN

Article from Daily Globe, August 31, 1878

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CHICAGO JUSTICE. How the Swindling Savings Bank Officers of that City Have Been Punished. It being a year since the failure of the State Savings institution through the dishonesty of its president, which precipitated the other bank failures in that city, the Chicago Times reviews the work accomplished in settling up the affairs follows: of the bankrupt concerns, and sums up as .And now at the end of a year, what is the fate of the twenty-five thousand victims of Spencer, Josaphat, Myers, Haines, and Greenebaum? As miserable as villainy can make it. One dividend of 10 per cent. has been paid by Receiver Otis of the State; one by Receiver Turpin of the Fidelity; none by the Bee-hive, none by the German Savings, none by either of the two smaller swindles. But meanwhile the receivers are all drawing from $5,000 to $10,000 a year out of the depositors' money, and not one of these officials professes to know when as will be able to pay the depositors another cent. Old age has suffered the winter cold and the summer heat while its little hoard has been consumed by strangers. The widow and the orphan have despaired of their petty allowance, and self-denying poverty has learned in a terrible experience that economy may be purchased in heroic ways-for the benefit of bankers and receivers. A few of the swindled victims committed suicide. They preferred death to starvation. Doubtless many were hurried to the grave by the deprivations inflicted upon them, and the impossibility of replacing the small but ample store of which they have been robbed. And what is the fate of the robbers? Spencer's hiaing place has never been discovered. Bulkley and Guild were indicted nearly a year ago, but on account of services rendered the bank, they have never been brought to trial. Myers, as stated, was ndicted but has not been tried. Haines was not indicted; why he was not, since Myers and Spencer were, no one has yet satisfactorily explained, but since none of those indicted have been brought to trial it may have been just as well not to play the farce again in Haines' case. Thieves who steal small amounts are tried and convicted every day. Crime clothed in rags is punished, but against the thieves who have robbed twenty-five thousand people of Chicago of the savings of their lives. the "strong lance of justice" has not even been hurled. If it be, doubtless it will "hurtless break." In other parts of the country, bank thieves have been uniformly sent to the penitentiaries. In Chicago not one of them has been tried. The year has been full of misery for their victims, but in their suffering they would at least have enjoyed the spectacle of seeing the majesty of the law sitting in judgmsnt upon the chief criminals in the greatest crime ever committed in our American city.

10. September 4, 1878 The Princeton Union Princeton, MN

Article from The Princeton Union, September 4, 1878

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CHICAGO JUSTICE. How the Swindling Savings Bank Officers of that City Have Been Punished. It being a year since the failure of the State Savings institution through the dishonesty of its president, which precipitated the other bank failures in that city, the Chicago Times reviews the work accomplished in settling up the affairs of the bankrupt concerns, and sums up as follows: And now at the end of a year, what is the fate of the twenty-five thousand victims of Spencer, Josaphat, Myers, Haines, and Greenebaum? As miserable as villainy can make it. One dividend of 10 per cent. has been paid by Receiver Otis of the State; one by Receiver Turpin of the Fidelity; none by the Bee-hive, none by the German Savings, none by either of the two smaller swindles. But meanwhile the receivers are all drawing from $5,000 to $10,000 a year out of the depositors' money, and not one of these officials professes to know when as will be able to pay the depositors another cent. Old age has suffered the winter cold and the summer heat while its little hoard has been consumed by strangers. The widow and the orphan have despaired of their petty allowance, and self-denying poverty has learned in a terrible experience that economy may be purchased in heroic ways-for the benefit of bankers and receivers. A few of the swindled victims committed suicide. They preferred death to starvation. Doubtless many were hurried to the grave by the deprivations inflicted upon them, and the impossibility of replacing the small but ample store of which they have been robbed. And what is the fate of the robbers? Spencer's hiding place has never been discovered. Bulkley and Guild were indicted nearly a year ago, but on account of services rendered the bank, they have never been brought to trial. Myers, as stated, was indicted but has not been tried. Haines was not indicted; why he was not, since Myers and Spencer were, no one has yet satisfactorily exS plained, but since none of those indicted have been brought to trial it may have e been just as well not to play the farce again in Haines' case. Thieves who steal small amounts e are tried and convicted every day. Crime a clothed in rags is punished, but against the t thieves who have robbed twenty-five thousand people of Chicago of the savings of their lives. the "strong lance of justice" has not even been hurled. If it be, doubtless it will "hurtless break." In other parts of the country, bank thieves have been uniformly sent to the penitentiaries. In Chicago not one t of them has been tried. The year has beer h full of misery for their victims, but in their 0 suffering they would at least have enjoyed the e spectacle of seeing the majesty of the law sit n ting in judgmsnt upon the chief criminals in d the greatest crime ever committed in out d American city.