4611. State Bank (Springfield, IL)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
February 1, 1841*
Location
Springfield, Illinois (39.802, -89.644)

Metadata

Model
gpt-5-mini
Short Digest
bf69b480207f123c

Response Measures

None

Description

Newspaper articles from Feb–Mar 1841 report that the State Bank (Springfield, IL) suspended specie payments and that the Illinois Legislature passed a law legalizing the suspension. No mention of depositor runs or a permanent closure/receivership; the suspension is presented as a lawful/temporary measure.

Events (2)

1. February 1, 1841* Suspension
Cause Details
Article reports the bank again suspended specie payment in mid-February 1841; no explicit cause given in the text provided (likely liquidity/specie shortage).
Newspaper Excerpt
The State Bank has again suspended specie payment.
Source
newspapers
2. March 1, 1841 Suspension
Cause
Government Action
Cause Details
Illinois Legislature passed an act legalizing the bank's suspension (legislative authorization of suspension).
Newspaper Excerpt
Among its acts was one, for legalizing the suspension by the State Bank.
Source
newspapers

Newspaper Articles (2)

Article from The Illinois Free Trader, February 26, 1841

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Article Text

Illinois Legislature. Election of Canal Commissioners. The two Houses, on Friday the 19th inst., in joint meeting, elected the following board of Canal Commissioners: ISAAC N. MORRIS, President of the Board. JACOB FAY, Acting Commissioner. NEWTON CLOUD, Treasurer. The Legislative Register says: "All but the acting commissioner are new officers. We think the new board will have the public confidence. Mr. Morris is a resident of Quincy. He is an intelligent man, possessed of firmness, and integrity. The name of Mr. Cloud is of itself a guaranty for honor and probity in the duties of Treasurer of the Board." Judges of the several Circuits. The bill fixing the Circuits of this State, has been acted on in both Houses, but not yet passed. Several alterations in the Circuits are proposed by the bill. Henry county is taken from the 9th Circuit and attached to the 6th. The judges are stationed as follows, by which it will be seen that Judge Ford remains in this Circuit, much to the gratification of the members of the Bar and the citizens generally, who entertain the highest respect for his ability and integrity: First Circuit-SAMUEL D. LOCKWOOD. Second Circuit-SIDNEY BREESE. Third Circuit-WALTER B. SCATES. Fourth Circuit-WM. WILSON. Fifth Circuit-STEPHEN A. DOUGLASS. Sixth Circuit-THOMAS C. BROWN. Seventh Circuit-THEOPHILUS W. SMITH. Eighth Circuit-SAMUEL H. TREAT. Ninth Circuit-THOMAS FORD. The latest dates from Springfield contain but little interest, save the above. On the 15th inst. the Chair laid before the Senate a communication from the canal commissioners, in answer to a resolution of the Senate, relative to the probable cost of the Illinois and Michigan canal from the Illinois river to the Dupage feeder (giving the estimated cost at 1,400,000.) On the 17th inst. the bill in relation to the Central railroad was taken up in the Senate, which authorized the sale of $500,000 of state bonds, when the same could be sold at par, to progress with said work. After several attempts were made to amend the bill, which were severally discussed, the bill and amendments were indefinitely postponed, by a vote of 23 to 16. The State Bank has again suspended specie payment. Several propositions are now before the Legislature in relation to the suspension. What will be done is not yet known, but we hope such a course will be taken in relation to the matter, as the best interests of the State require, and reason and common sense seem to dictate.


Article from Richmond Palladium, March 27, 1841

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Article Text

ILLINOIS.-The Legislature of Illinois adjourned sine die on the 1st inst. Among its acts was one, for legalizing the suspension by the State Bank. Referring to this aci, the Springfield Jour nal says:-Many of those individuals who were engaged in the SINE DIE adjournment affair, "took the back track," as was expected--and many oth. ers of the same kidney would have done so, we believe, if their votes had been needed. When this question came up for final disposition, the haters of Banks "roared as gently against the Bank as sucking doves." Another of the laws passed, was one, authorising a Company to construct a Railroad from Springfield, via Berlin to Alton. Another law, requires their completion of the Railroad between Springfield and the Ilinois River.