5263. Saybrook Bank (Saybrook, IL)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
October 6, 1931
Location
Saybrook, Illinois (40.427, -88.526)

Metadata

Model
gpt-5-mini
Short Digest
f8b14fde

Response Measures

None

Description

The Saybrook Bank closed (suspended) on October 6, 1931 and a receiver (Thomas/Thos. Freed) was appointed later (reported Dec 1931). Articles describe depositor complaints and receiver administration; no article describes a depositor run prior to suspension. Local merchant failures and bad credits are mentioned as contributing factors, so I classify the cause as bank-specific adverse information leading to suspension and permanent closure/receivership.

Events (2)
1. October 6, 1931 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank closed after accumulating bad credits/merchant failures (local merchant O.E. Means bankruptcy and customers unable to make payments) contributing to insolvency.
Newspaper Excerpt
Thos. Freed, of Gridley, has been appointed receiver for the Saybrook Bank, which closed its doors October 6.
Source
newspapers
2. December 10, 1931 Receivership
Newspaper Excerpt
Thos Freed Has Been Appointed Bank Receiver Thos. Freed, of Gridley, has been appointed receiver for the Saybrook Bank, which closed its doors October 6. Mr. Freed has about a week's preliminary work, after which he will be ready to meet the former customers of the bank.
Source
newspapers

Newspaper Articles (6)
1. December 10, 1931 The Saybrook Gazette and Arrowsmith News Saybrook, IL
Article from The Saybrook Gazette and Arrowsmith News, December 10, 1931

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Article Text

Thos Freed Has Been Appointed Bank Receiver Thos. Freed, of Gridley, has been appointed receiver for the Saybrook Bank, which closed its doors October 6. Mr. Freed has about a week's preliminary work, after which he will be ready to meet the former customers of the bank. Another bit of bank news is that a petition has been circulated the past week, to engage a law firm to take whatever legal action is necessary against the stockholders of the bank to protect the interests of the depositors.

2. December 12, 1931 The Pantagraph Bloomington, IL
Article from The Pantagraph, December 12, 1931

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Article Text

Saybrook Bank Receiver Is Thomas Freed. Gridley of Gridley has been appointed receiver of the which closed Oct. Mr. Freed here this week with take over the and will be ready to meet the for mer customers of the bank after the work is finished. This will take about he

3. December 17, 1931 Gibson City Courier Gibson City, IL
Article from Gibson City Courier, December 17, 1931

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Article Text

Saybrook (From the Gazette, Dec. 10.) Miss Mary McNulty of Lincoln, Neb. is visiting at the home of Mrs. W W Henderson. -Gretchen Thompson of Tipton, Ind., is visiting at the home of her -Mr. and Mrs. H. P. Porney and Mr. and Mrs. P. Stevens and two daughters of Decatur spent Sunday with Mrs. Mary Owens Butler has to leave for school about 6:30 m. He is driving to the U. of each day He and E. F. Ring and Herman Anderson are making the trip every day. Mr. and Mrs Chas. Lowry attended the funeral of the latter's Mrs. Frank Lewis, at DecaTuesday. The remains were laid to rest in the cemetery at Shelby- Mrs. H. R. Coole has been appointed collector of special pavement ments and is getting the first notices ready for mailing. These asments are due January 2 of each but all payments can be made time. few public spirited citizens, headed by Dr. C. B. Cline, placed a tmas tree in the park to-day. The tree will be lighted and shine forth the glad tidings to all. It is a ommendable act and will spread theer to the people of this ity About the nicest hristmas seaon The Courier could ask for would not be gifts, but the renewal payments of all subscribers who are now in arrears. Now you know what will make the publishers happy. Do it now! big electric sign of the C. I. P. S. Co., has finally been lighted. Many months ago the sign was placed in position, but from some cause the sign was never lighted until this week. It certainly helps the appearance of Lincoln street at night. Floyd Evans, the son of Mr. and Mrs. Wayne Evans, won second honors in the McLean county spelling contest at Bloomington, Saturday Floyd-missed two words out of 126. Vonne Marsh. of Arrowsmith, won first place, spelling each word correctly -Mr. and Mrs. Joy Goff. of Farmer City and Mr. and Mrs. Roy Able and son. of Bellflow gathered at the home of Mr. and Mrs. Luther Weaver. southwest of Saybrook, Tuesday evening and spent the eve- ning playing music. A good time was enjoyed by all present. Bank Receiver. Thos Freed of Gridley has been appointed receiver for the Saybrook bank. which closed its doors October 6. Mr. Freed has about week's preliminary work, after which he will be ready to meet the former customers of the bank. Another bit of bank news is that a petition has been circulated the past week, to engage a law firm to take whatever legal action is necessary against the stockholders of the depositors. goods and clothing stores brook and Piper City for years and enjoyed good business his overhead was big, and big credit business. Of late of his customers were unable to payments, and as a consequente gations. was unable to take care of We understand Mr. Means been offered positions with wholesale establishments, doubt will accept one of them and Thos. Freed Has Been displaying Christmas greeting City with envelopes, priced from to 10 cents. Also boxed assortment at bargain prices. Shop early get good selections.- The Booken O. E. Means' Store Closed. The O. E. Means stores in Saybrook and Piper City were closed Tuesday when Mr. Means filed bankruptey. There can be no triumph Mr. Means has conducted dry you have difficulties to triumph

4. February 18, 1932 The Gridley Advance Gridley, IL
Article from The Gridley Advance, February 18, 1932

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Article Text

RECEIVER OF TWO BANKS Thomas Freed, of Gridley, who of the Saybrook bank time ago, the cipient of has been tendered the position up the affairs the Bellflower Exchange Bank, which suspended business Jonuary 20. Saybrook are located near each other, Mr. Freed can take receiverships very conveniently. already started his work on second job.

5. December 3, 1933 The Pantagraph Bloomington, IL
Article from The Pantagraph, December 3, 1933

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Article Text

ATTACKS BANK RECEIVERSHIP Saybrook Depositor Sends Letter of Complaint to State Auditor. Pantagraph Central Illinois Service. Lille C. Collins, Saybrook citizen, has filed complaint with the state banking department declaring "local people have lost confidence in the present receiver" of the Saybrook bank and calling attention to large amounts of money which she claims have been paid to the receiver and others depositors have not recelved any dividends from their frozen deposits. Miss Cellins asserted she had her life savings of $2,100 tied up in the bank when It closed in October, 1931. Her complaint to the state auditor was made In registered letter sent him under date of Nov. 24, copy of which was made available to The Pantagraph, as follows: Nov. Mr. Edward J. Barrett. Auditor for State of Illinois, The Saybrook bank closed here in October, 1931. and short time later a receiver was appointed to administer the affairs of the bank in the interests of the creditors and depositors. To date no dividends have been paid and none are promised. At the same time the receiver is pur ported to receive salary of $150 month. all of which taken from the assets of the bank It also believed that the receiver administers the affairs of two other banks for which he collects like amount Fees paid attorneys in settling claims seem to be entirely out of proportion to the volume and type of business carried on by the Tocal bank When the bank closed. money had on deposit. representing life's savinge was tied up and seems to be lost entirely There are capable business men would be willing to administer the affairs of the bank for practically nothing Local people have lost confidence in the pres. ent receiver and on the face of the matter. It would seem that he has not acted in good faith. Thanking you for any consideration request may have I beg to remain. Yours (Signed:) LILIE C. COLLINS A statement of the bank receiver. Thomas E. Freed. published as of Sept. 30. carried several Items which Miss Collins said depositors objected to. Among these were er's $461 attorney's fees. $1.710: legal expense $151 clerk and stenographer miscellaneous expense miscellaneous Mr. Freed was appointed receiver under Oscar Nelson as state audistration at Springfield. At the time the bank was closed the deposits were reported to be $130 000 and the capital $30,000.

6. December 22, 1933 The Pantagraph Bloomington, IL
Article from The Pantagraph, December 22, 1933

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Article Text

ASKS OUSTER OF RECEIVER Saybrook Bank Depositors Forward Petition to State Auditor. Pantagraph Central Illinois Service. deposibank have tors of the signed petition addressed to the state auditor. Edward Barrett. seeking the removal of the present receiver and asking the return of the costs of the receivership. extending over period of approximately two years, into the assets of the bank The petition was sponsored by Miss Lillie C. Collins, who declares she had her life savings, $2,100. in the bank and no depositors' dividends It the petition that courts have forced the return recosts where they have been shown be though they covered legal expenditures. Petition Carries Charges. The petition addressed to the state auditor after enumerating four charges against the receiver concludes this request: "Therefore: We that the present receiver of the bank be removed and that he be ordered to return into the assets of the bank the total costs of the date, aggregating $11,000, as being orbitant and confiscatory charges. wantenly violating social if not legal statutes.' statement of the bank receiver Thomas E. Freed. published as Sept. 30 carried several Items which the petitioners and depositors object Among were "receiver's attorreceiver's neys' legal clerk and stenographer pense (administrative) miscellaneous expense Mr. Freed was appointed receiver under Oscar Nelson as auditor the L. administration at Springfield. At the time the bank was closed deposits were reported be $130,000 and the cap- Letter Cites Ethics. A copy of the registered letter to the state the petition furnished The graph follows: Dec. Dear find the Because liability many about taching petition like attention code fees devoted the ethics, article reads lawyers avoid charges their dervalue ability charge excess may fees should the and money There current property would concerning would healtate that changer the (Signed) LILLIE