National Bank - Chicago, IL

Bank Information

Episode Type: Suspension → Closure
Bank Type: national
Bank ID: 1867
Charter Number: 1867
Start Date: January 1, 1878*
Location: Chicago, Illinois (41.850, -87.650)

Metadata

Model: gpt-5-mini
Short Digest: 6fec914e

Response Measures

None

Description

OCR errors corrected (ational -> National). Article describes the National Bank of Chicago having closed more than 20 years before 1899, a receiver being appointed, and the receiver later paying depositors (by 1881). Cause of failure described as poor loans, speculative real-estate paper and doubtful assets—bank-specific adverse information. No contemporaneous depositor run is described; the bank closed and entered receivership.

Events (2)

1. January 1, 1878* Suspension

Cause: Bank Specific Adverse Info
Cause Details: Speculative, poorly secured loans and large quantities of doubtful paper and real-estate taken at boom prices, undermining solvency.
Newspaper Excerpt: More than 20 years ago the National bank of Chicago closed its doors and a receiver appointed to satisfy the depositors.
Source: newspapers

2. January 1, 1881* Receivership

Newspaper Excerpt: By the process known as ... the receiver managed to pay before the fall of 1881 the depositors the face of their claims. A receiver appointed to satisfy the depositors and later paid depositors in full by 1881. (Article notes receiver Huntington W. Jackson.)
Source: newspapers

Newspaper Articles (1)

1. September 9, 1899 The Maryville Times Maryville, TN

Article from The Maryville Times, September 9, 1899

Click image to open full size in new tab

Article Text

More than 20 years ago the ational bank of Chicago osed its doors and a receiver ointed to satisfy the depositors. 1 the stockholders feared an te assessment for the payment ilities and offered to give their , anyone who would assume itz ons. To-day this stock is held : double its par value, and it arded as gild-edged security. ve years, although the bank eived no deposits, made no ed no currency, sold no as paid two dividends to its stocl s and promises many more. ery name of the bank has otten, except by a few en who are personally interes Si affairs. Moreover, it is eing a corporation having large nd no liabilities beyond the ) its stockholders. The earliest report on the f the bank, made by the receive untington W. Jackson, showe e nominal assets were about 0 and the debts were nearly 0, leaving a nominal $800,000 e stock liability of $750,000. On is looked most encouraging, lose examination showed that E the loans of the bank, made mes, were secured by collater ncertain value, and real estate led at boom prices and taken nly available payment .or aned. There was too much aper and not enough "short" Of the real estate, one tract cres lay on a barren sand e lake shore and nearly ten outheast of the city hall, in a nsettled part of a suburb. act of 45 acres was nearly as e west of the city on the rairie, where there was little f its ever being anything cabbage plant. Still another roperty lay far out in the rn portion of the city, in a et almost wholly undeveloped romising little immediate ept in taxes and special assessi here was a score of other arcels of land, some in New Yorl nd a great quantity of paper, ; more or less doubtful or wort n fact, it seemed to some of tockholders that it would hardl e bank to retain its propert eet the expenses of manageme By the process known as ig" and the sacrifice of some hoicer pieces of real estate eiver managed to pay before the f 1881 the depositors the face & their claims. A year later eived their interest in full, tockholders were left, nearly fter the close of the bank, with f pieces of expensive real estate f which had comparatively little nt cash value, and a quantity of 11 claims and lawsuits, the he panic. But Chicago was growing. rb in which the hundred-acre