4678. State Bank (Chicago, IL)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
January 16, 1930
Location
Chicago, Illinois (41.850, -87.650)

Metadata

Model
gpt-5-mini
Short Digest
4280152f

Response Measures

Full suspension, Books examined

Other: Paid out 85% of deposits before final closing; state auditor took charge.

Description

Newspaper accounts show a depositor run in January 1930 that forced the bank to close for an examination (government action). The bank experienced continuing deposit drains through 1932 and by Feb 18, 1933 the State Auditor was taking over after paying out most deposits — a permanent closure/receiver action. I corrected OCR artifacts and consolidated multiple articles into a single episode for the Chicago State Bank at 801 N. Clark (1933 article gives address).

Events (5)
1. January 16, 1930 Run
Cause Details
Large crowd and heavy withdrawals led to a run; article does not attribute to a specific rumor or correspondent failure.
Measures
Bank closed doors for an examination; officials invoked an examination/temporary closure.
Newspaper Excerpt
RUN CLOSES BANK ... crowd had gathered, run ... the bank close doors today for an examination Louis Bomash, president of the State Bank.
Source
newspapers
2. January 16, 1930 Suspension
Cause
Government Action
Cause Details
Closed for an examination following the run; government/banking system examiners involved as consequence of crowd/run.
Newspaper Excerpt
run ... the bank close doors today for an examination Louis Bomash, president of the State Bank.
Source
newspapers
3. October 18, 1930 Other
Newspaper Excerpt
Records Show Sum was Not Deposited in Defunct Bank. ... have not deposited in the defunct State Bank ... withdrawn the money deposited it in the Roosevelt State bank.
Source
newspapers
4. May 15, 1932 Other
Newspaper Excerpt
CHICAGO, May State today became the third Chicago ask depositors to come get money. ... the bank will wait for better times resume operations, was announced. Money available pay all demands.
Source
newspapers
5. February 18, 1933 Receivership
Newspaper Excerpt
STATE BANK PAYS OUT 85 PCT. OF ITS DEPOSITS; CLOSES ... The board directors State Auditor ward Barrett take over the affairs the institution. ... bank closed its deposits ... the bank an with banks.
Source
newspapers

Newspaper Articles (5)
1. January 16, 1930 The Cleveland Press Cleveland, OH
Article from The Cleveland Press, January 16, 1930

Click image to open full size in new tab

Article Text

RUN CLOSES BANK Depositors Withdraw Chicago Institution By CHICAGO, Jan. crowd idle, curious persons attracted police patrol, congregated in bank here week started run on the institution which officials the bank close doors today for an examination Louis Bomash, president of the State Bank. the Federal System, said after crowd had gathered, run withthan The bank had deposits of HELD ON MURDER CHARGE A man narcotic was held today for on by Detective he admitted he wanted the his fingerprints Bertillon checked wanted

2. October 18, 1930 The Afro-American Baltimore, MD
Article from The Afro-American, October 18, 1930

Click image to open full size in new tab

Article Text

BETHEL DREW $2,500 BEFORE BANK CRASH Common Sense Committee Asks Officials to Show Where Money Went. PRODUCE LETTERS Records Show Sum was Not Deposited in Defunct Bank. CHICAGO upon members and officials of Bethel A.M.E. Church to find out $2,500 deposited for the of Mt Sinal Temple, went, the two letters that it had not deposited in the defunct State Bank, this week. In circular in which letters from the bank's declaring that no deposit was made by Bethel officials, the quotes Bishop Carey as having told Bethel members that he and the pastor had withdrawn the money deposited it in the Roosevelt State bank. Asks For Proof In the that the bishop, the presidelder the pastor know where the money went and suggests that the members in the form of receipts or bank book. The $2,500 referred to collected make payment on the Mt. Sinai Temple which the to buy, but which purchase was some time ago.

3. June 11, 1931 The Peninsula Times Tribune Palo Alto, CA
Article from The Peninsula Times Tribune, June 11, 1931

Click image to open full size in new tab

Article Text

June 11 bankers today reassure depositors their confidence banks, 25 which locked doors the three days. Six closed On March they had total deposits of aplargest was the NorthwestTrust Savings Bank, with deposits Others were Northwestern State Bank, the Italian Trust and SavBank, the State Bank, the Lincoln State Bank, and the Town Bank. Both Melville presiof the First Union Trust group, and Arthur Reynolds, the Continental Illinois Bank Trust that they were backing outlying institutions.

4. May 15, 1932 Detroit Free Press Detroit, MI
Article from Detroit Free Press, May 15, 1932

Click image to open full size in new tab

Article Text

Chicago Off and "Quits the Game" CHICAGO, May State today became the third Chicago ask depositors to come get money. Deposits $2,000,000 1929 have shrunk $150,000, officials said, making it impossible to earn expenses. Started in 1926, the bank will wait for better times resume operations, was nounced. Money available pay all demands.

5. February 18, 1933 Chicago Tribune Chicago, IL
Article from Chicago Tribune, February 18, 1933

Click image to open full size in new tab

Article Text

STATE BANK PAYS OUT 85 PCT. OF ITS DEPOSITS; CLOSES After paying out more than 85 cent the last years the State bank, 801 North Clark street, day closed doors. The board directors State Auditor ward Barrett take over the fairs the institution. bank opened for business usual morning but closed shortly thereafter. Thor Thorsen, declared that steady drain on deposits necessitated bank closed its deposits At of 1930 Capital and are The bank an with banks.