First Bankers Union (Boston, MA)

Episode Information

Episode UID
5017871546
Episode Type
Run → Suspension → Closure
Bank Type
private
Bank ID
501787 routing
Routing Number
5-0178
Start Date
October 29, 1928
Location
Boston, Massachusetts (42.358, -71.060)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
6c9912c7e3f29022

Response Measures

None

Description

Bank was closed by the State Bank Commissioner and a receiver appointed after a short run; president had disappeared.

Events (3)
1. October 29, 1928 Run
Cause
Bank Specific Adverse Info
Cause Details
Depositors withdrew after reports concerning the president's disappearance and threatened personal safety, undermining confidence.
Measures
None reported prior to closure; depositors withdrew funds during the run.
Newspaper Excerpt
a four-hour run on the bank
Source
newspapers
2. October 29, 1928 Suspension
Cause
Government Action
Cause Details
State Bank Commissioner closed the private bank after examination found its condition hazardous to the public and following the run.
Newspaper Excerpt
State Bank Commissioner Roy A. Hovey ordered the First Bankers' Union... closed yesterday afternoon, taking possession
Source
newspapers
3. October 30, 1928 Receivership
Newspaper Excerpt
Guy L. Vaughan... has been appointed receiver of the First Bankers Union, Inc., a private bank ... which was closed yesterday by State Bank Commissioner Roy A. Hovey.
Source
newspapers

Newspaper Articles (3)
1. October 30, 1928 New Britain Herald New Britain, CT
Article from New Britain Herald, October 30, 1928

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Article Text

Guy Vaughn Receiver For Bankers Union Boston, Oct. 30 (UP)-Guy L. Vaughan, Boston lawyer, has been appointed receiver of the First Bankers Union, Inc., a private bank in the north end which was closed yesterday by State Bank Commissioner Roy A. Hovey. Meanwhile authorities are trying to locate Louis Saporito, president treasurer of the institution, who, with his family. has been missing more than a fortnight. The banking commissioner intervened following a four-hour run on the bank. The bank claims capital and resources of $400.000, but according to the commissioner. deposita total about $200,000. There are some 1,700 depositors.

2. October 30, 1928 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, October 30, 1928

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Article Text

RECEIVER NAMED FOR FIRST BANKERS' UNION Private Bank Closed by State Commissioner Luigi Saporita, President, Leaves City-Run Precedes Closing State Bank Commissioner Roy A Hovey ordered the First Bankers' Union, Inc, at 333 Hanover st, closed yesterday afternoon, taking possession of It and stating that the examination of the company's affairs showed it to be in such a condition that the continuation of its business would be hazardous to the public. On petition brought in the Supreme Court yesterday Judge Pierce appointed Guy L. Vaughn, Boston lawyer, as receiver for the bank, enjoining bank officers, directors and stockholders and creditors from interference with the company's affairs, and the bank from doing business. Mr Vaughn has filed bond for $25,000. According to Commissioner Hovey the safe-keeping deposits of the private bank amounted to $200,000. When the bank was examined last June by State officials its books were in good shape. The State now holds a bond of $65,000 for the protection of deposits. Luigi Saporita, president of the bank, left Boston for Washington several days ago, according to information received by Commissioner Hovey. to arrange to have the institution taken over as national bank. The commissioner said that It is believed his failure to this. together with threats against his personal safety, have caused his disappearance from Boston. Examiners from the Bank Commissioner's office are now at work on the books ation, of the company and the examinaccording to Mr Hovey, will probably take two or three days. A run began on the bank yesterday morning before the Bank Commissioner took possession, number of depositors withdrawing their accounts before noon.

3. October 30, 1928 New Britain Herald New Britain, CT
Article from New Britain Herald, October 30, 1928

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Article Text

Guy Vaughn Receiver For Bankers Union Boston, Oct. Vaughan, Boston appointed of the First Bankers Union. Inc., private bank the north end which closed by State Bank Commissioner Roy Hovey. authorities are trying locate Louis Saporito. president with his family. has been missing more than fortnight. banking commissioner intervened following the bank. The claims capital and resources but cording the commissioner. posits total about $200,000. There are some 1,700 depositors.