5303. State Bank (Springfield, IL)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
December 2, 1840
Location
Springfield, Illinois (39.802, -89.644)

Metadata

Model
gpt-5-mini
Short Digest
52426428

Response Measures

None

Description

Articles describe the State Bank of Illinois (Springfield) suspending specie payments, legislative action legalizing the suspension, and a December 2, 1840 statement by directors saying the bank was ready to resume specie payments when other leading banks did. Later (Feb 1841) the paper reports the State Bank has again suspended specie payment. No run or receivership is mentioned. Sequence is a suspension with intent/statement to resume (resumption language present), then another suspension; I classify as suspension_reopening because the bank publicly stated readiness to resume specie payments and there is no evidence of permanent closure or receivership. Dates are taken from article contexts; OCR errors corrected (e.g., 'Bauk' -> 'Bank').

Events (3)
1. December 2, 1840 Other
Newspaper Excerpt
THE STATE BANK OF ILLINOIS READY TO RESUME SPECIE PAYMENTS. ... The Directors state that the Bank is ready to resume specie payments whenever such payments shall be resumed by the Banks which led the way in the suspension.
Source
newspapers
2. February 15, 1841 Suspension
Cause Details
General suspension of specie payments following other banks' suspensions; legislative and economic context prompted suspension (no specific bank insolvency or run reported).
Newspaper Excerpt
The State Bank has again suspended specie payment.
Source
newspapers
3. March 1, 1841 Other
Newspaper Excerpt
Among its acts was one, for legalizing the suspension by the State Bank.
Source
newspapers

Newspaper Articles (4)
1. December 12, 1840 Boon's Lick Times Fayette, MO
Article from Boon's Lick Times, December 12, 1840

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Article Text

THE STATE BANK OF ILLINOIS REA. DY TO RESUME SPECIE PAYMENTS. Correspondence of the New Era. SPRINGFIELD, ILL. Dec. 2. Sir. A letter was this day laid before the Sen. ate from the President and Directors of the State Bank of Illinois, giving a statement of the present condition of that institution. The Directors state that the Bauk is ready to resume specie payments whenever such payments shall be res umed by the Banks which led the way in the suspension. The amount of specie on hand is $529, 640. A letter was received from the Governor, and another from the Fund Commissioner, in reply to resolutions of inquiry which had been adoptedby the Senate. A bill to make school commissioners for coun. ties, elective by the people, instead of being ap. pointed by the county commissioner's courts, was ordered to be engrossed for a third reading. The Senate refused, 19 to 15, to pass a joint resolution from the House af Representatives for the appointment of a joiut committee to inquire into the expediency of removing the seat of Gov. ernment to Vandalia.

2. December 29, 1840 The Pilot and Transcript Baltimore, MD
Article from The Pilot and Transcript, December 29, 1840

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Article Text

ILLINOIS. The correspondent of the St. Louis Republican writes from the seat of government of Illinois. "Mr. Hicks of Jefferson, introduced another bill this afternoon to provide for the payment of interest due on the Internal Improvement bonds alone, excluding the State House bonds and Canal bonds; it had the same feature in as the previous bills, which cut off all bonds in the hands of innocent holders where the consideration had not been received by the State. It was read the first time; the rules of the House unanimously dispensed with, and read the second time by its title; the question then was on ordering the bill to be engrossed for a third reading, and it was decided in the negative; the Yeas and Nays being demanded by a vote of 40 Yeas to 45 Nays. This is the fourth attempt to pass a bill through the House containing the obnexious clause above referred to, and it has been invariably rejected. Such a proposition never can and never should receive the sanction of the Whigs so long, as they have any regard for the well established principles of law, equity or moral obligation. A bill was ordered to be engrossed for a third reading in the Senate, providing for the hypothecation of bonds to pay all the interest due by our State debt without providing any fund to redeem the bonds. It will finally pass the Senate on to-morrow; but will most assuredly be rejected in the House, unless the destructives abandon the ground they have thus far assumed. "A bill was also introduced in the Senate explanatory of the act passed at the last session of the Legislature legalizing the suspension of specie paymentby the State Bank of Illinois. It declares that the last act of the Legislature extends its benefits and provisions to the State Bank until the close of the second Session of the 12th General Assembly. This is as com-

3. February 26, 1841 The Illinois Free Trader Ottawa, IL
Article from The Illinois Free Trader, February 26, 1841

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Article Text

Illinois Legislature. Election of Canal Commissioners. The two Houses, on Friday the 19th inst., in joint meeting, elected the following board of Canal Commissioners: ISAAC N. MORRIS, President of the Board. JACOB FAY, Acting Commissioner. NEWTON CLOUD, Treasurer. The Legislative Register says: "All but the acting commissioner are new officers. We think the new board will have the public confidence. Mr. Morris is a resident of Quincy. He is an intelligent man, possessed of firmness, and integrity. The name of Mr. Cloud is of itself a guaranty for honor and probity in the duties of Treasurer of the Board." Judges of the several Circuits. The bill fixing the Circuits of this State, has been acted on in both Houses, but not yet passed. Several alterations in the Circuits are proposed by the bill. Henry county is taken from the 9th Circuit and attached to the 6th. The judges are stationed as follows, by which it will be seen that Judge Ford remains in this Circuit, much to the gratification of the members of the Bar and the citizens generally, who entertain the highest respect for his ability and integrity: First Circuit-SAMUEL D. LOCKWOOD. Second Circuit-SIDNEY BREESE. Third Circuit-WALTER B. SCATES. Fourth Circuit-WM. WILSON. Fifth Circuit-STEPHEN A. DOUGLASS. Sixth Circuit-THOMAS C. BROWN. Seventh Circuit-THEOPHILUS W. SMITH. Eighth Circuit-SAMUEL H. TREAT. Ninth Circuit-THOMAS FORD. The latest dates from Springfield contain but little interest, save the above. On the 15th inst. the Chair laid before the Senate a communication from the canal commissioners, in answer to a resolution of the Senate, relative to the probable cost of the Illinois and Michigan canal from the Illinois river to the Dupage feeder (giving the estimated cost at 1,400,000.) On the 17th inst. the bill in relation to the Central railroad was taken up in the Senate, which authorized the sale of $500,000 of state bonds, when the same could be sold at par, to progress with said work. After several attempts were made to amend the bill, which were severally discussed, the bill and amendments were indefinitely postponed, by a vote of 23 to 16. The State Bank has again suspended specie payment. Several propositions are now before the Legislature in relation to the suspension. What will be done is not yet known, but we hope such a course will be taken in relation to the matter, as the best interests of the State require, and reason and common sense seem to dictate.

4. March 27, 1841 Richmond Palladium Richmond, IN
Article from Richmond Palladium, March 27, 1841

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Article Text

ILLINOIS.-The Legislature of Illinois adjourned sine die on the 1st inst. Among its acts was one, for legalizing the suspension by the State Bank. Referring to this aci, the Springfield Jour nal says:-Many of those individuals who were engaged in the SINE DIE adjournment affair, "took the back track," as was expected--and many oth. ers of the same kidney would have done so, we believe, if their votes had been needed. When this question came up for final disposition, the haters of Banks "roared as gently against the Bank as sucking doves." Another of the laws passed, was one, authorising a Company to construct a Railroad from Springfield, via Berlin to Alton. Another law, requires their completion of the Railroad between Springfield and the Ilinois River.