5049. Fifth Avenue Trust & Savings Bank (Moline, IL)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
savings bank
Start Date
November 23, 1931
Location
Moline, Illinois (41.507, -90.515)

Metadata

Model
gpt-5-mini
Short Digest
317de11a

Response Measures

Partial suspension, Full suspension

Other: Directors invoked 60-day notice clause for savings withdrawals and subsequently closed; receiver appointed and bank liquidated with dividends paid later.

Description

Newspapers indicate panic withdrawals after the nearby Commercial bank closed prompted heavy withdrawals at Fifth Avenue; directors invoked the 60-day savings withdrawal clause and the bank closed (Nov 1931) and a receiver was appointed (Dec 23, 1931). OCR errors in articles corrected where obvious (e.g., dates and bank naming variants: 'Fifth Avenue Trust and Savings bank', 'Fifth Avenue Savings Bank & Trust company').

Events (3)
1. November 23, 1931 Run
Cause
Local Banks
Cause Details
Panic withdrawals triggered by the closing/distress of the nearby Commercial bank led depositors to withdraw funds from Fifth Avenue.
Measures
Directors invoked clause requiring sixty-day notice for withdrawal of savings; called mass meeting of depositors; sought to protect assets.
Newspaper Excerpt
When the Commercial bank closed, a large amount of money was withdrawn from the Fifth Avenue bank by panicky depositors.
Source
newspapers
2. December 23, 1931 Receivership
Newspaper Excerpt
Confirmation of the appointment of Robert Cole receiver for the Fifth Avenue Trust Savings bank of Moline is asked in bill filed ... The bill ... says that the bank ... Dec. 23 the auditor named Mr. Cole receiver.
Source
newspapers
3. December 23, 1931 Suspension
Cause
Local Banks
Cause Details
Following the run and insufficient cash to meet withdrawals, the state auditor placed the bank in receivership; liquidation followed.
Newspaper Excerpt
Dec. 23 the auditor named Mr. Cole receiver.
Source
newspapers

Newspaper Articles (10)
1. November 28, 1931 The Dispatch Moline, IL
Article from The Dispatch, November 28, 1931

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Article Text

ASK WOODBURN BE 5TH AVENUE BANK RECEIVER Mass Meeting of Depositors, Attended by 500, Moves to Protect Assets. CHEERING MESSAGE GIVEN Wood Says Customers Close Bank When They Take Their Money Out. Five hundred depositors of the Fifth Avenue Trust and Savings bank in cooperation with the officers of the institution moved swiftly to protect their interests last night at a mass meeting in the Moline high school auditorium. They agreed on the following plan: 1. To request the state auditor to appoint Robert S. Woodburn, director of the bank and a Moline real estate dealer, as receiver. 2. To allow Charles A. Darland, W. R. Moore and Charles King jr. to act as a depositors' committee to cooperate with the receiver during the liquidation process and keep the depositors informed of the progress. 3. To allow George M. Wood, Moline attorney, to act as permanent chairman of depositors' meetings. To Pay in Full. Both Mr. Wood and Mr. Woodburn expressed confidence that not only will the bank be able to pay all depositors in full but a substantial sum will be left over for the stockholders. Walter J. Peterson, president of the bank who called the depositors together, opened the meeting by asking for nominations for a permanent chairman. Mr. Wood was the unanimous choice of those He started his duties with a brief address explaining why the bank closed. its condition and why the depositors were called together. Mr. Wood said: Why Bank Closed. "When the Commercial bank closed. a large amount of money was withdrawn from the Fifth Avenue bank by panicky depositors. The directors to protect other depositors immediately put into effect the clause requiring sixty-day notice for withdrawal of savings. "Now in order for a bank to pay interest to depositors, it must lend the money to other persons at a higher rate of interest. Part of this money is invested in real estate mortgages, part in good bonds and part in other collateral "These mortgages may mature at any time from thirty days to ten years. Now when all the depositors come rushing in at once and want their money, of course the bank can't pay it. Time is necessary to turn all these investments into cash. Blames Panicky Depositors. "Even in normal times a bank could do nothing but close under those circumstances. If the depositors had kept their heads and left their money in the bank there would be no necessity for closing and liquidating the assets. "The other Moline banks are larger and stronger, so they easily weathered the storm and their depositors put their money back in them. The Fifth Avenue bank had received notice from their depositors that more than $160,000 was going to be withdrawn. Probably a lot of the depositors changed their minds and would not have taken out their money, but the bank could not open without sufficient cash on hand to meet all these demands. "The directors concluded that the depositors did not want the Fifth Avenue bank to continue business. They wanted to put it out of business and they did. Condition of Bank. "In order to show you that your bank was in good condition I will give you figures on how things stood when the doors were closed." Mr. Wood then presented the following figures on the bank's assets: Notes secured by real estate $149,881.95. Notes secured by other collateral Notes secured by endorsers-$64,480.62. Bonds- $174,230. Bank building-$82,305.90. Bank furniture, fixtures - $27,692.55. Deposits in other banks - $13,096.22. Cash on hand-$2883.64. Mr. Wood explained that the original cost of the building, lot and fixtures totaled more than $146,000. Deposits. The amounts owed by the bank were listed as follows: Savings deposits-$439,026.25. Commercial deposits-$32,704.17. Bills payable-$36,686.32. Mr. Wood said that the bills pay-

2. January 5, 1932 The Rock Island Argus Rock Island, IL
Article from The Rock Island Argus, January 5, 1932

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AUDITOR SEEKS COURT HELP ON BANK RECEIVER Bill Asks Confirmation of Selection of Cole for Fifth Avenue Affairs. Confirmation of the appointment of Robert Cole receiver for the Fifth Avenue Trust Savings bank of Moline is asked in bill filed in the Rock Island county cuit court by the state of Illinois relation of Oscar Nelson, state auditor of public accounts. The bill the usual petition to give the receiver the authority of the court in liquidating the bank. Fred H. Railsback filed the bill. which shows the auditor represented by Attorney General Oscar and his assistant, Daird Kadyk. explained the bill that the bank Nov. tion of the board of directors, and that Dec. 23 the auditor named Mr. Cole receiver. and that he determined that the bank could reorganized. The bill says that the cash sources of the bank the day closed amounted to $15,620.27. an inadequate amount in comparison liabilities, auditor says. The auditor sets forth the condition of the bank revealed by his audit involved impairment of capistock to more than $60,000. Liabilities are listed follows: Capital stock. $100,000: surplus, $10,000; undivided profits, $5.077.49: demand deposits, 704.17; time deposits. bills payable. $36,686.32: drafts outstanding. $1,038.42: total. $624,Resources follows: Cash, $7,491.75: due from banks, $13,096.22: drafts collections, other loans and discounts, other real estate, $9,952.99; banking house, furniture fixtures, total, $624.-

3. July 14, 1932 The Rock Island Argus Rock Island, IL
Article from The Rock Island Argus, July 14, 1932

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ASKS RELEASE OF SECURITIES POSTED BY BANK Receiver for Moline Institution Moves to Surrender Trusts and Get $50,000. Measures were taken today by F. A. Cole, receiver for the Fifth Avenue Savings Bank & Trust company of Moline, to release the bank of all trust obligations in order to obtain surrender of $50,000 in securities which are on deposit with the state. The question of trusts was referred by Judge Leonard E. Telleen in the Rock Island county circuit court to James F. Murphy, master-in-chancery of the court, to take evidence and report findings. The hearing began this morning before the master, and there was no contest of the proceedings. Under the state law, the bank in its trust capacity had to deposit securities with the state to cover its obligations, the trust activities, like those of the bank, being under supervision of the state auditor of public accounts, but supervised separately. In order to make the securities available in liquidation of the bank. the trusts must be closed as far as the bank is concerned and the company discharged. The probate court will name successors in trust in matters relative to estates pending in that court, and in the case of other trusts the circuit court will name the successors to the bank to handle private trusts. Fred H. Railsback, attorney for the receiver, filed the petitions and conducted the hearing before the master.

4. November 14, 1932 The Rock Island Argus Rock Island, IL
Article from The Rock Island Argus, November 14, 1932

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Auditor Instructs Receivers That Applications Are Be Made for Advances. Four closed banks of Rock Island county will among the 203 closbanks of Illinois receivwill make application for loans from the federal nance Uncollected sets of these banks represent roughly face value. Of these portion likely be that would not be acceptable for pledges to the ReconstrucThe two largest banks in this county that are closed are the Commercial Savings bank, Moline, which has million dollars, round figures. of uncollected assets, face and the State bank of East Moline, which has something less than unliquidated assets at face value. The depositors of the Commercial bank have received 10 per cent dividend. amounting to about $150.The depositors of the Manufacturers bank have received dividends to 19 per cent the of claims of depositors and $170,000 bills payable. The bank had assets of face value. when closed. Charles Smith, receiver for the Commerbank, and Oscar Ohlweiler, ceiver for the Manufacturers bank, said they had not determined what portion of remaining uncollectassets might be used basis for an application for loan. Cole, receiver for the Fifth Avenue Savings Bank and Trust company, Moline, estimates that uncollected assets of that bank, face value, amount to about $425,000. Depositors bank have had one 10 per cent dividend and another will be paid soon. The first amounted to in round figures. Harry E. Thompson, receiver for the Farmers State bank of Reynolds, has made 20 cent distribution. That bank had assets rated and the receiver's collections have been about $80,000. The assets are partly second mortgages, chattel mortgages and unsecured notes, and only survey would determine what portion might be useful as security for corporation loan. Associated Press dispatches from Springfield today said that Oscar Nelson, auditor of public accounts. the receivers banks to apply for loans. The instructions were issued of the amendment giving bank the power to pledge for loans. The money borassets rowed corporation would used to pay depositors. The amendment giving the quired authority receivers pected to be made effective within days proclamation from Governor Louis Emmerson. has been made regarding the type of securities ceptable by the corporation for loans. Nelson said everything possible would done the money distributed to depositors quickly as possible.

5. April 6, 1933 The Dispatch Moline, IL
Article from The Dispatch, April 6, 1933

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RECEIVERS MOLINE MAKE Commercial and Fifth Avenue Submit Statements nancial Condition. TELL WHERE MONEY GOES Next Payment to Depositors Depends on General Business Situation. Reports on the costs of administration of the the Savings bank and the Avenue Savings bank of Moline made public today. prepared Charles Smith, bank and Cole, receiver charge the Fifth Avenue stitution, and cover the period from the dates of the banks until April 1933. connection with reports both receivers nounced that the amount the additional payments which will be made depositors will depend to great extent on general business conditions. the present time, it stated, there market for real estate mortgages, no matter how sound may be, and the bond market low that both receivers feel would be serious mistake attempt hurried liquidation and that depositors' interests served by delaying the securities owned by the two banks. Prospects Cheering. bank has far paid total percent of liability. The Fifth Avenue percent. In both bulk of assets intact, the having disposed only such assets as have brought their approximate book Mr. Smith and Mr. Cole believe that institutions to their eventually high percentage their claims. Collection of stockholders' liability of 100 percent has been started Mr. Smith for the Commercial bank and (Continued

6. May 16, 1933 The Rock Island Argus Rock Island, IL
Article from The Rock Island Argus, May 16, 1933

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NAMED SUCCESSOR TO AINSWORTH Circuit Court Appoints Him as celver to Collect Liability For Closed Bank. Judge Nels A. Larson in the Rock Island county circuit court this morning allowed the petition of Lloyd Ainsworth of Moline for leave to resign as receiver to collect stockholders' liability of the Fifth Avenue Savings Bank Trust company of Moline, and appointed Cole, receiver for the bank, receiver to collect stockholders' liability to succeed Mr. Ainsworth. In his petition to the court, Ainsworth assigned the pressing need of attention to private interests, as his reason for resigning. No objections were offered to the acceptance of the resignation Mr. or appointment Mr. Cole. Attorney George Wood of Moline, group of depositors to appointment of Mr. Cole for the bank and had indicated that objections be filed his Mr. Ainsworth collect from was not present, though he had been notified of the hearing. Ainsworth was first appointin February, 1932, and he has collected $14,600 the stockholdliability, which he directed turn over now to Mr. Cole, pending an order for distribution. Liability of stockholders is $100,000. Bond of the receiver to collect bility was reduced from $100,000 $35,000 in an order signed by Judge Larson. Judge Larson allowed Mr. Ainsworth $150 for his services ceiver during the period of his vice. Fred H. Railsback presented the petition to the court as attorney for the receiver.

7. October 5, 1933 The Dispatch Moline, IL
Article from The Dispatch, October 5, 1933

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EVANSTON MAN IN CHARGE OF CLOSED BANKS Fred W. Allen Appointed to Replace Pemberton as Deputy Receiver. OCCUPIES SKINNER HOUSE May Be Placed in Control of Commercial, Fifth Avenue Institutions. Fred W. Allen of Evanston today relieved G. Herbert Pemberton as deputy receiver of the Moline State Trust and Savings bank; the People's Savings Bank and Trust company of Moline and the Manufacturers' State bank of East Moline. William L. O'Connell of Chicago. appointed receiver for banks which have closed since Edward J. Barrett has been state auditor, made the appointment, replacing Mr. Pemberton because he has assumed his duties as president of the Rock Island Bank and Trust company. It is understood that the state auditor's office plans to establish deputy receiverships for banks within counties, which may mean that the auditor will appoint Mr. Allen as deputy receiver in charge of the closed Commercial Savings bank of Moline and the closed Fifth Avenue Trust and Savings bank of Moline. Charles J. Smith of Moline is now receiver for the Commercial bank and R. A. Cole of Moline is now receiver for the Fifth Avenue institution. Mr. and Mrs. Allen have moved to Moline, establishing their home in the Skinner residence at 1217 Eleventh avenue, Moline. They have four children, three of whom are attending Moline elementary schools and one a junior high school. Has Been Receiver. Mr. Allen has been deputy receiver of the Papanel: Kovac state bank and the Kaufman state bank during the last eighteen months. These banks have now been placed in a group with several others under one deputy receiver. For seventeen years Mr. Allen was connected with the First National bank of Chicago and for five years he was manager of the foreign exchange department of the Northern Trust company, Chicago This week all closed banks of Mercer county were placed under the supervision of one deputy receiver, J. M. Connors. The receivership of the Farmers' State bank of Reynolds, it is understood, will be placed in the Mercer county group instead of the Rock Island county group. For the time being, Harry E. Thompson of Rock Island remains in charge of the bank as receiver.

8. December 17, 1933 Quad-City Times Davenport, IA
Article from Quad-City Times, December 17, 1933

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AVENUE BANK WILL Checks to Be Mailed Out This Week, Receiver Announces. Dividends in the amount of five per cent will be paid to depositors the Fifth Avenue Savings bank, Moline, it was announced Saturday Robert Cole, receiver. Mr. Cole said he expected place the checks for the depositors the mails on Tuesday night, which means they will be delivered Wednesday. The total amount to be uted will $23,000. Approximatechecks will be mailed. Consent to pay dividend this time was obtained by Mr. Cole from Edward Barrett, state itor, at Springfield Friday The receiver rushed the procedure thru this time that the depositors would have the money available Christmas shopping. This will make total of per cent paid depositors of the Fifth Avenue bank The latest dividend come from general assets of the bank. Funds are available for per cent from the stockholder liability fund, but this payment being held because legal which veloped connection with attempt of Commercial bank receiver pay dividend from stockholder liability collections.

9. July 25, 1934 The Daily Times Davenport, IA
Article from The Daily Times, July 25, 1934

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STEPHENSON HEAD OF JUNIOR COMMERCE Wilbert A. Stephenson is the president Moline Junior Association Commerce, his election at monthly dinner meetlast night being unopposed. Mr Stephenson, who lives 2419 Twelfth avenue, was elected for six-months term and succeeds John Martin. The meeting was held in the John Athletic in East Moline. Other officers were electas follows: Executive vice Vice president in charge of comKenneth Rosenberg Vice in charge of proMilford Nelson Donkey Baseball Game Kenneth Rosenberg was named general chairman the baseball game which Moline Junior Association Commerce will promote the purpose of raising funds for the Moline municipal life saving corps The game, which is to be played donkeys, will staged August 12. Arrangements being made to teams from meet in games. Frank named chairticket sales game and Peterson was selected as grounds chairman. Moline deputy receiver has already exchanged over $800,000 worth of these mortgages in liquidation substantial amount remains to be exchanged completed which will permit of futher substantial loan from and permit that much more being available under free positors bank East Moline Bank The Manufacturers State Bank East Moline closed by der state auditor of public During the period liquidation, total ceipts which itemized in the accompanying statement receipts and these ceipts, the has paid preferred claim holders, paid shortly the closing of the this, the has been paid ceiver's legal expense, for attorney's for clerk and hire. the bank closed had bills the has since that time off full, Total the $147. have been paid date and there remains the the receiver sum which available for future diviIn the case of the stockholder's bank, been which been depositors and remains hands Truman Schafer receiver the Fifth Avenue Bank The Fifth Avenue Trust Savings Bank which cently taken over William as receiver from Robert former receiver. resigned closed 23, 1931 and the present time show liquidathe sum $166. Out of has been paid to preferred claim holders in the the banks, was paid shortafter the closing the bank addition this, the sum been ceiver's salary, expense, for attorney's fees for clerk and stenographer At the bank closed, the sum $36. payable bills payable, been paid full during the period of liquiCommon dividends the sum have paid date and has been lected from the former this bank, Robert maining Cole, in the suit as of June 30, liability 1934. Commercial Bank This report made of the Commercial Savthe bank having ings for since the quarterly report made the various banks Mr O'Donnell's charge. Their statement ceipts and disbursements during of the the bank closed on Sept. 23, 1931 in the accompanying state During the period of liquidation, most of which has derived from the sale bonds other securities from which has been the this paid back form and paid on the bills due unpaid time the closing the has clerk stenographer fees and attorney's receiver's salary, pense legal the of the stockholder's In case

10. July 25, 1934 The Daily Times Davenport, IA
Article from The Daily Times, July 25, 1934

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Detailed Closed Banks Report on Fifth Avenue Trust Savings Bank Peoples Savings Bank Trust Co. RECEIPTS RECEIPTS notes notes discounts From additional assets assets covered covered From rents, premiums interest rents and estate receipts loss Total 6,630.75 None expense 70,210.53 3,170.00 clerk settlement with state None expense expense 1,998.33 expense 10,558.42 1,663.19 banking spe23,797.48 450.00 expense payable and redis5,239.17 expense Interest payable 6,142.30 paid etc. 7,614.28 1,803.96 and Total hands 66,066.07 Total dividends Liability None receivership Total from 42,265.55 Other Receiver's Total expense Total Balance in hands receiver Total Commercial Savings Bank RECEIPTS From and $195,919.34 20% dividends from stock assets Manufacturers State Bank of East covered None 52,073.41 and advancefund. receipts loss settlement state 7,055.93 expense expense 3,800.96 expense 2,730.12 spe300.00 and 170,000.00 bank building pense) 10,288.13 Total hands receiver Total Interest account Total collections from Receiver's Accountant' fee expense, in hands Total from bank 15% cent common assessment liability suit, the sum of been from the former this bank and the hands the disbursement at early date. Dividend Payments In the case of the Peoples SavBank Trust per cent has to the general claimants against bank. the Moline State Trust Savings Bank, paid to date. In the case of the State Bank East Moline 15 cent has been paid from the ceipts of assets of from the bank stockholders' Fifth Avenue Trust Savings Bank has paid 20 per in dividends from the stock assessment the cial Bank paid per in the and stock fund. The attorney for Peoples Savings Bank Clyde Walker and the case the Moline State Trust Savings Bank, Sinnett Britton counsel ceiver. James M. Johnston torney Manufacturers State Bank of East Moline, Railsback Fifth Trust Savings Bank Sinnett Britton recently Harper, former attorney for the the SavBank, resigned when William O'Connell took charge this bank. premiums and interest 64,536.92 3,311.48 receipts by 55,612.12 state 10,050.00 salary expense stenographer expense 16,259.96 expense 3,503.87 banking spe960.00 rediscounts 47,288.27 bills payadvancements, Total in hands receiver Total Stockholders' Liability RECEIPTS holders Receiver's and Balance in hands receiver Total paid from bank 16% assessment None Moline State Trust Savings Bank RECEIPTS notes discounts assets covered premiums and 62,557.62 estate and receipts 92,393.68 loss 52,849.68 expense and 34,009.33 expense 7,483.63 expense 1,526.76 2,100.00 and 161,844.66 Interest common None receivership advancements 147.712.94 Total Total Liability from 1,200.00 holders