Lawrence Trust Company (Lawrence, MA)

Episode Information

Episode UID
53011871584
Episode Type
Suspension → Closure
Bank Type
trust
Bank ID
5301187 routing
Routing Number
53-0118
Start Date
December 15, 1931
Location
Lawrence, Massachusetts (42.707, -71.163)

Metadata

Model
gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
395bd3cc08cfdde9

Response Measures

None

Description

The bank was closed by the State Bank Commissioner because its parent bank, the Federal National Bank of Boston, failed following a run.

Events (2)
1. December 15, 1931 Suspension
Cause
Correspondent
Cause Details
The bank was an affiliate of the Federal National Bank of Boston, which failed following a run; the state commissioner took possession to conserve assets.
Newspaper Excerpt
Lawrence Trust Company, subsidiary of the the Federal National Bank Boston, closed its doors this morning.
Source
newspapers
2. December 9, 1934 Other
Newspaper Excerpt
State Bank Arthur Guy tonight won the first step in his efforts compel repayment $3,100,000 to 60,000 depositors of four closed banks which alleged illegally taken the closed Federal National bank... Lawrence Trust company... now in possession of the state commissioner
Source
newspapers

Newspaper Articles (15)
1. December 15, 1931 Salt Lake Telegram Salt Lake City, UT
Article from Salt Lake Telegram, December 15, 1931

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Nine Massachusetts CAPPER ASKS PROBE Banks Are Closed BOSTON, Dec. 15 Massachuseits banking Institutions, with OF SHORT SELLING aggregate deposits, according to the latest $58,700,000, were closed today. The list included four national banks and five state banks. The central figure in the closings was the Federal National Bank of Boswhich has five city with which all the other institutions affiliated. The Federal National bank, whose directors voted to the take after at the bank and its branches yeshad deposits, on September of The other banks and their latest statements deposit were: The Middlesex National Lowcll, $4,000,000; the State National bank, Lynn, 013 the Gloucester National bank, the Bancroft Trust company, Worcester, the Lawrence Trust company, Lawrence, $9,555,926; the Inman Trust company, Cambridge, $3,808,412: the Brockton Trust company, Brockton, $1,508,753; the Salem Trust company, Salem, $2,115,530. Governor Joseph B. Ely said that with proper plan for the speedy reopening of the institutions could be accomplished and further said he had Bank Commissioner Arthur Guy to proceed with end in President Daniel C. Mulloney of the Federal National bank the opinion that with careful handling of resources, depositors in his bank would receive 100 cents on the dollar.

2. December 15, 1931 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, December 15, 1931

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the LAWRENCE TRUST COMPANY CLOSED THIS MORNING believe LAWRENCE, Trust Company, subsidiary of the the Federal National Bank Boston, closed its doors this morning. could from of the bank, but statement, signed Bank Arthur Guy, the notice he had the property and the Trust The president the bank is what nelius Corcoran, John O'Reilly is

3. December 15, 1931 Fitchburg Sentinel Fitchburg, MA
Article from Fitchburg Sentinel, December 15, 1931

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State Bank Commissioner Gives Statement BOSTON, Dec. Arthur Guy. state bank comstatement today: result of the closing of the Federal National hank of Boston. national banking stitution. have this day taken possession of the following companies: "Bancroft Trust Co., Worces- "Brockton Trust Co., Brock- ton. "Inman Trust Co., Cambridge. "Lawrence Trust Co., Lawrence. "Salem Trist Co., Salem "These trust companies are affiliated with and controlled by the Federal National bank. The parent bank having been closed. no other course remained but to take possession of these five trust companies to conserve the assets and for the protection of depositors. "No other state banks are Boston Clearing House association has stated in the press that in their best judgment the banking situation essentially sound and safe. In the judgment of the banking department the same is to be said of the banks of the eommonwealth generally and there should be no undue apprehension on the of depositors."

4. December 15, 1931 Beatrice Daily Sun Beatrice, NE
Article from Beatrice Daily Sun, December 15, 1931

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CLOSED BOSTON, Dec. 15 Nine Massachusetts banking institutions, with aggregate deposits, according the latest statements, of were closed today. The list included four national banks and state banks. The central figure in closings was Federal National Bank Boston, which has five city branches and with which all the other institutions were affilThe Federal National bank. whose directors voted to ask the comtroller of currency to take charge after runs the bank and its branches had deposon September 29, of 238 The other banks and their latest available statements of deposit were: Other Institutions The National bank, Lowell, the State National bank, Lynn, the Gloucester National bank, 000; the Bancroft Trust company, Worcester, the Lawrence Trust company, Lawrence, Trust Cambridge, the Trust company, Brockton, the Salem Trust company, Salem, Governor Joseph Ely, statement from his home in Westfield, said that with proper measures, plan for the speedy opening of the could be and further said he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Three savings banks in East Boston and South Boston experiencing small runs today. They were of the group fected in today's closings and officers sought reassure depositors that their funds were safe. CHRISTMAS GIFTS LINCOLN. Dec. bootleggers and other violators federal law may spend at home this year the lenfency of Judge MunAsked by an attorney to let Bert Bryant, confessed transporter of liquor, spend Christmas at home, Munger replied he would suspend until after the holiday the execution of all imposed by him before that time. At least two other violators of the laws will appear before the judge Saturday for sentence. Teams of Dr. Walter E. Meaneight Big Ten basketball during coaching tenure at the University

5. December 16, 1931 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, December 16, 1931

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NINE BANKS CLOSED. Institutions Affected By Heavy Run At Boston. Boston. December 15 group of nine Massachusetts banks, having aggregate deposits of approximately $58,700,000. and of which the Federal National Bank of Boston was the central figure, was closed today The Federal National Bank, with which the other eight were affillated. had deposits of $28,235,233. according to its most recent statement condition Three other national banks were in the group that closed today They include the Middlesex National Bank of Lowell with deposits of approximately $4,000,000 the State National Bank of Lynn, with about $2,013,565 in deposits and the Gloucester National Bank Gloucester. which has deposits of approximately $1,600,000. Five state banks trust companies. had their affairs taken over by the Bank Commissioner, who announced their deposits to be approximately as follows the Bancroft Trust Company, Worcester $6,000,000; the Lawrence Trust Company. Lawrence, $8,860,000; the Brockton Trust Company. Brockton, $1,500,000; the Inman Trust Company, Cambridge, $3,500,000 and the Salem Trust Company, Salem. $2,200,000. The Bank Commissioner estimated that 75,000 depositors were affected by the closing of the state banks Joseph B. Ely. of Massachusetts expressed the belief that If prompt action were taken by the Federal authorities. making use of the National Credit Corporation, with the aid of the state authorities, speedy plan reorganization could be accomplished for the reopening of all the institutions. He said he knew of no reason why any other banks in the state should be affected Bank Commissioner Arthur Guy, pointing out that the trust companies were "affiliated with and controlled by the Federal National Bank, no other remained but to take possession of the trust companies to conserve the assets and for the protection of depositors.' The closing of the Federal National Bank was the consequence of run that developed on the hank and its five branches in Boston yesterday, after which the Directors voted to have the Comptroller of Currency take charge of the bank's affairs.

6. December 16, 1931 The Waterbury Democrat Waterbury, CT
Article from The Waterbury Democrat, December 16, 1931

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Boston, Dec 16.-(UP)-A receiver appointed by the comptroller of the currency to-day took charge of the affairs of the Federal National Bank of Boston, the closing of which has tied up deposits totaling $57,740,238. Herbert Pearson, the receiver, arrived from Washington last night at the end of a day which witnessed the closing of eight affiliated banks in central and eastern Massachusetts, To-day he was to begin an appraisal of the Federal National's assets with a view to liquidatoin. There were several reassuring reports, including the statement of President Daniel C. Mulloney that Federal National depositors would be paid 100 cents on the dollar, and the prediction of Gov Joseph B. Ely of Massachusetts that with "proper action" it should be possible to reopen all the closed institutions. The closed banks and their deposits follow:Federal Natoinal $28,235,238. Lawrence Trust Co, $8,000,000. Bancroft Trust Co of Worcester, $6,000,000. Middlesex National Bank of Lowell, $4,505,000. Inman Trust Co of Cambridge, $3,500,000. Lynn State National, $2,200,000. Salem Trust Co, $2,200,000. Gloucester National Bank, $1,600,000. Brockton Trust Co, $1,500,000. It was estimated that more than 75,000 depositors were affected by the bank closings. A suggestion by Governor Ely that the newly-organized National

7. December 16, 1931 Daily News New York, NY
Article from Daily News, December 16, 1931

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9 BAY STATE BANKS FAIL WITH $58,700,000 DEPOSITS Boston, Dec. 15 (AP)Nine Massachusetts banking institutions, with aggregate deposits of $58,700,00, were closed today in the migst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. Move for Reopenings. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank Lynn, $2,013,565; Gloucester Na tional Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474: Lawrence Trust Company Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412 Brockton Trust Company, Brockton. $1,508,753; Salem Trust Company, Salem, $2,115,530. Gov. Joseph B. Ely, in a statement from his home in Westfield. said that with proper measures a program for the speedy re-opening of the institutions could be worked out and that he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Run on Savings Banks. Three savings banks in East Boston and South Boston were experiencing small runs today. President Daniel C. Mulloney of the Federal National Bank expressed the opinion that, with careful handling of resources, depositors in his bank would receive 100 cents on the dollar. The city of Boston had $900,000 on deposit in the Federal National Bank while the State had $773,889. besides $287,000 in other banks closed today. The bank commissioner's office estimated there were 75,000 depositors in the five State banks affected. Marion, 0., Dec. 15 (P).-The Marion National National Bank with resources of $1,911,422 failed to open today.

8. December 16, 1931 Daily News New York, NY
Article from Daily News, December 16, 1931

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9 BAY STATE BANKS FAIL WITH $58,700,000 DEPOSITS Boston, Dec. 15 (A).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. Move for Reopenings. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000: State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton. $1,508,753; Salem Trust Company, Salem, $2,115,530. Gov. Joseph B. Ely, in a statement from his home in Westfield, said that with proper measures a program for the speedy re-opening of the institutions could be worked out and that he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Run on Savings Banks. Three savings banks in East Boston and Squth Boston were experiencing small runs today. President Daniel C. Mulloney of the Federal National Bank expressed the opinion that, with careful handling of resources, depositors in his bank would receive 100 cents on the dollar. The city of Boston had $900,000 on deposit in the Federal National Bank while the State had $773,889. besides $287,000 in other banks closed today. The bank commissioner's office estimated there were 75,000 depositors in the five State banks affected.

9. December 16, 1931 Daily News New York, NY
Article from Daily News, December 16, 1931

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9 BAY STATE BANKS FAIL WITH $58,700,000 DEPOSITS sachusetts banking institutions, with aggregate deposits of $58,700,00, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. Move for Reopenings. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Gov. Joseph B. Ely, in a statement from his home in Westfield, said that with proper measures a program for the speedy re-opening of the institutions could be worked out and that he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Run on Savings Banks. Three savings banks in East Boston and South Boston were experiencing small runs today. President Daniel C. Mulloney of the Federal National Bank expressed the opinion that, with careful handling of resources, depositors in his bank would receive 100 cents on the dollar. The city of Boston had $900,000 on deposit in the Federal National Bank while the State had $773,889. closed today. The bank commissioner's office estimated there were 75,000 depositors in the five State banks affected. Marion, O., Dec. 15 (/P).-The Marion National National Bank with resources of $1,911,422 failed to open today.

10. December 16, 1931 Daily News New York, NY
Article from Daily News, December 16, 1931

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9 BAY STATE BANKS FAIL WITH $58,700,000 DEPOSITS Boston, Dec. 15 (A).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. Move for Reopenings. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Gov. Joseph B. Ely, in a statement from his home in Westfield, said that with proper measures a program for the speedy re-opening of the institutions could be worked out and that he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Run on Savings Banks, Three savings banks in East Boston and South Boston were experiencing small runs today. President Daniel C. Mulloney of the Federal National Bank expressed the opinion that, with careful handling of resources, depositors in his bank would receive 100 cents on the dollar. The city of Boston had $900,000 on deposit in the Federal National Bank while the State had $773,889. besides $287,000 in other banks closed today. The bank commissioner's office estimated there were 75,000 depositors in the five State banks affected.

11. December 16, 1931 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, December 16, 1931

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HEAVY WITHDRAWALS AT BANKS IN LAWRENCE Dec of the the Trust Company today heavy the other local and they tinued until the close of business this savings banks and the cial banks that affected by the withdrawals, all of the banks took customers, and officials of said tonight that take of demands that might be made The Arlington Trust Company issued statement that it had temporarily the right to require notice statement said, in part: "The Arlington Trust has ample funds and resources in its savings department. All funds so deposited are entirely Moreover, means loss of terest for six months' period Because of this the company unwise permit continual withdrawal funds large While the requiring withput 30-day period. is likely that conditions will change that it may be possible to suspend it after few Several truckloads of cash were brought during the day from other cities and of were the banks depositors their Following meeting of the stockholders of the Lawrence Trust Company, Pres Cornelius Corcoran issued the closing the Federal National Bank of Boston, the depository of the Law-

12. December 16, 1931 St. Louis Globe-Democrat St. Louis, MO
Article from St. Louis Globe-Democrat, December 16, 1931

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STUDENT WHOSE AUTO FEDERAL NATIONAL KILLED MAN INDICTED OF BOSTON CLOSES The grand jury yesterday voted an indictment charging leaving the scene an injury to person against Robert C. Behn, 25-year-old the death of Wilfred Fone, 37. flower salesman, 1407A Ange street, who was injured fatally by an automobile driven by Behn at Lindell and Euclid avenue on November In confession to the police. Behn said he unavoidably struck Fone when the flower seller stepped out from behind traffic going the opposite direction, and that he drove on to Taylor avenue and stopped and walked back. There, his confession said. he heard woman say he had been careless and speeding and became frightened and drove home without Identifying himself as the driver. He told his mother what had OCcurred. and. on advice, surrendered to the police. Governor Expects Speedy Reopening of Bank and Eight Affiliates. By Associated Press MASS., December 15.Nine Massachusetts banking institutions, with aggregate deposits, according to the latest statements. of $58 were closed today. The list included four National Banks and five state banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. Gov Joseph B. Ely. in statement from his home in Westfield. said that with proper measures. plan for the speedy re-opening of the institutions could be accomplished and further said he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. The Federal National Bank, whose directors voted to ask the comptroller of currency to take charge after runs the bank and its branches yesterday. had deposits, on September 29, of $28,285,238. The other banks and their latest available statements of deposit were: The Middlesex National Bank, Lowell, $4,000,000: The State National Bank, Lynn, $2,013,565; The Gloucester National Bank, The Bancroft Trust Company. Worcester. $5,876,474 The Lawrence Trust Comman Trust Company. Cambridge. $3,808,412 The Brockton Trust ComTrust $2,-

13. December 16, 1931 Omaha World-Herald Omaha, NE
Article from Omaha World-Herald, December 16, 1931

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Call Money Complete Range of Prices on the New York Stock Exchange 21/2 Per Cent official on Eastmn 8.00 or when STOCK MARKET AVERAGES day to restrict and Dividends Boston Bank tors Crash Carries Others Down for fine trading limited to nearby said statement issued by the Nine banking insti- New York, Money and Exchange. tutions, with aggregate deposits of 000, were closed today. Omaha bank clearings Tuesday regular The list included four national the both corresp day last banks and five state banks. The 30 holders central figure in the closing was New York Money stock New money the Federal tional bank Bos- that year. per cent which has five city branches with which all the other insti- to cent. tutions were affiliated. Bankers The Federal National bank, whose directors voted to ask the New York Bar Silver comptroller of currency to take higher charge after runs at the bank and Foreign Exchange its branches yesterday, had deposits, on September 29, of $28, Great Britain in others The other banks and their latest available statements of deposits were: cables, The Middlesex National bank, Demands. Any good fixed trust provides Lowell, $4,000,000; the State National bank Lynn, $2,013,565; the for the investor the essential Gloucester National bank, $1,600, element of diversification for 000: the Bancroft Trust company Worcester, $5,876,474; the Law- his funds, plus the convenrence Trust company, Lawrence, ience and protection of the $9,555,926; the Inman Trust comtrust form of holding. pany, Cambridge, $3,808, 412; the Trust company, BrockIn addition to the above, the ton. 508 the Salem Trust company Salem, $2, 115,530. important factor of recogGovernor Joseph B. Ely, in nized and experienced sponstatement from his home in Westfield, said that with proper meas- sorship is provided in ures, a plan for the speedy reCity opening of the institutions could be accomplished and further said he had instructed Bank Commissioner Arthur Guy to proceed with CORPORATE that end in view. Three savings banks in East Boston and South Boston were ex- TRUST SHARES periencing small runs today. They were independent of the group Are Sold by fected in today's closing and officers sought to reassure deposiT. H. Crane & Co. tors that their funds were safe. Sugar. Investment Trust Specialists York, Dec P.)-Raw sugar Local Handling All Types of Investment Trusts Chicago Detroit 717-718 City Nat'l Bank Bldg. there AT 0658 Reports that was further

14. December 16, 1931 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, December 16, 1931

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NINE BANKS CLOSED. Institutions Affected By Heavy Run At Boston. Boston. December 15 group of nine Massachusetts banks, having aggregate deposits of approximately $58,700,000. and of which the Federal National Bank of Boston was the central figure, was closed The Federal National Bank, with which the other eight ated. had deposits of $28,235,238. ac: cording to its most recent statement Three other national banks were in the that closed today. They include the Middlesex National Bank of with deposits of approxis mately $4,000,000; the State National Bank of Lynn, with about $2,013,565 in deposits and the Gloucester Name tional Bank, Gloucester, which has deposits of approximately $1,600,000 Five state banks, trust companies had their affairs taken over by the Bank Commissioner, who announced their deposits to be approximately as follows: the Bancroft Trust Come pany, Worcester. $6,000,000; the Laws rence Trust Company, Lawrence $8,860,000; the Brockton Trust Come pany, Brockton, $1,500,000; the Inman Trust Cambridge, $3,500,000, and the Salem Trust pany, Salem, $2,200,000. The Bank estimated that 75,009 depositors were affected by the closing of the state banks. Governor Joseph B. Ely of Massa chusetts, expressed the belief that prompt action were taken by the Federal authorities. making use the National Credit Corporation, with the aid of the state authorities, a speedy plan reorganization cculd be for the reopening of all the institutions. said he knew of no reason why any other banks in the state should be affected. Bank Commissioner Arthur Guy, pointing out that the trust companies were "affiliated with and controlled by the Federal National Bank, no other course remained but to take possession of the trust companies conserve the assets and for the protection of The closing of the Federal National Bank was the run that developed on the bank and its five branches in Boston yesterday, after which the Directors voted to have the Comptroller Currency take charge of the bank's affairs.

15. December 9, 1934 The Springfield Daily Republican Springfield, MA
Article from The Springfield Daily Republican, December 9, 1934

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STATE WINS FIRST STEP IN FEDERAL BANK LITIGATION Judge Brewster Overrules Motion to Dismuss Case and Orders Heard on Its Merits in Federal Court Boston, Dec. State Bank Arthur Guy tonight won the first step in his efforts compel repayment $3,100,000 to 60,000 depositors of four closed banks which alleged illegally taken the closed Federal National bank Judge Elisha H. Brewster in United States district court tion counsel for the Federal Nathe and ordered be heard merits. four banks involved. now in possession of the state commissioner, Inman Trust of Cambridge, Bankcroft Trust company the Trust of Brockton the Lawrence Trust company Neil Leonard, counsel the companies, alleged the National bank of trust companies through the medium the Federal National ment trust. He contended legal national to and alleged the officers the cash and other good assets the trust companies and gave in return straw loans. By these are added, the four banks lost thousands of dolfurther alleged that the Federal the these from trust for the worthless loans corporations and over these loans to the trust compahis decision, Judge Brewster would bank party fraudulent, would least breach trust the part those charged with administering the affairs the trust allegations also would comthe conclusions the bank, indirect means tained control trust outright capital stock of the trust Poli's) Counsel Federal National called bank contended that could not account for the alleged in much did not directly own stock in trust companies.