State Savings Institution

Bank Information

Episode Type: Suspension → Closure
Bank Type: savings bank
Start Date: August 1, 1877*
Location: Chicago, Illinois (41.850, -87.650)

Metadata

Model: gpt-5-mini
Short Digest: 8d637092

Response Measures

None

Description

Article recounts the 1877 failure of the State Savings Institution in Chicago: bank was dead broke and its president D. D. Spencer fled to Europe with the cash; a receiver (Judge Goudy) was later appointed. No run is described in this excerpt; the institution failed and had a receiver.

Events (2)

1. August 1, 1877* Receivership

Newspaper Excerpt: judge Goudy receiver of the exploded institution and the attorney had an interview with States Attorney Grinnell ... The motion was to dismiss the indictments against Spencer ... the judge declined to take such step secretly and off handed, but promised that he would hear all that could be said in favor of it in open court next Tuesday morning.
Source: newspapers

2. August 1, 1877* Suspension

Cause: Bank Specific Adverse Info
Cause Details: Bank was dead broke and president D. D. Spencer fled to Europe, presumed to have taken remaining cash (embezzlement/flight by officer).
Newspaper Excerpt: in August, 1877, when bank failures were of daily occurrence, the people were nevertheless thunderstruck to learn that the state savings institution ... was dead broke and that the president, D. D. Spencer had sailed for Europe, presumably with all the cash that was left in the safes.
Source: newspapers

Newspaper Articles (1)

1. June 27, 1885 Omaha Daily Bee Omaha, NE

Article from Omaha Daily Bee, June 27, 1885

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Article Text

PLEADING FOR SPENCER, AN INDICTED CHICAGO BANK WRECKER WANTS A CLEAR FIELD. Special Telegram to The BEE. CHICAGO, Ill., June 26,-A motion was made in Judge Moran's court this morning that will revive in many minds the bitter memories of the days of the great monetary panic. In August, 1877, when bank failures were of daily occurrence, the people were nevertheless thunderstruck to learn that the state savihgs institution which they even then regarded as infallible was dead broke and that the president, D. D, Spencer had sailed for Europe. presumably with all the cash that was left in the safes. The failure affected all classes, but especially the poor, and popular indignation and rage ran so high that if Spencer could have been caught he would infallibly have hanged to the nearest lamp post. He was immediately indicted, but concealed his whereabouts in Europe for years, until all thoughts of extradition were abandoned. Sometimes he was reported to be living in great style, and then again it was said that he was living in the greatest destitution and his family with him. However that may be be now hankers to come back to Chicago. Accor dingly this morning judge Goudy receiver of the exploded institution and the attorney had aninterview with States Attorney Grinnell, and the three had a long palaver at a sidebar with Judge Moran, the purport of which all four modestly declined to communicate to reporters. It was learned, nevertheless, that the motion was to dismiss the indictments against Spencer, so as to enable that worthy to return to Chicago without running any risk of continuing his journey to Joliet. The judge declined to take such step secretly and off handed, but promised that he would hear all that could be said in favor of it in open court next Tuesday morning.