5318. Peoples Trust & Savings Bank (Streator, IL)

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: savings bank
Start Date: February 27, 1930
Location: Streator, Illinois (41.121, -88.835)

Metadata

Model: gpt-5-mini
Short Digest: 88d4e16c

Response Measures

Accommodated withdrawals, Full suspension, Books examined

Other: Directors closed bank; state auditor examiners and receiver later appointed.

Description

Multiple contemporary papers report a run precipitated by rumors in late Feb 1930; directors closed the bank (suspension) Feb 27–28, 1930. By early April 1930 a receiver (J. Weston Essington) was checked in, indicating the bank remained closed and entered receivership. OCR in Article 1 had garbled lines; dates taken from publication dates and text.

Events (3)

1. February 27, 1930 Run

Cause: Rumor Or Misinformation
Cause Details: Widely circulated rumors questioning the bank's stability precipitated heavy withdrawals over Tuesday and Wednesday.
Measures: $50,000 in cash shipped in to cover withdrawals; $30,000 of that was withdrawn the morning of closing.
Newspaper Excerpt: closed by its directors 10 today after 'run' precipitated by rumors of its instability.
Source: newspapers

2. February 27, 1930 Suspension

Cause: Rumor Or Misinformation
Cause Details: Directors closed the bank after inability to control withdrawals caused by rumors; bank examiner to examine books.
Newspaper Excerpt: The Peoples Trust and Savings Bank was closed by its directors at 10 today after precipitated by rumors of its instability.
Source: newspapers

3. April 6, 1930 Receivership

Newspaper Excerpt: J. Weston Essington of Streator, as receiver for the People's Trust and Savings bank. of that city. The Streator bank closed its doors several weeks ago.
Source: newspapers

Newspaper Articles (9)

1. February 27, 1930 Belleville Daily Advocate Belleville, IL

Article from Belleville Daily Advocate, February 27, 1930

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Article Text

BANKS AT STREATOR AND CLOSE DOORS TO BUSINESS Feb. Trust Savings Bank People's closed its directors at today after precipitated instability. An officer he believed depositors would full and said there was rumors. bank examiner expected examine books. The bank day real for the rumors which started bank official. could not control the situation. withdrawn nervous Tuesday and Wednesday shipped that withdrawn this morning before decided to close the HILLVIEW STATE SPRINGFIELD ILL., Feb. of the closing the view State Bank, Green county, was State Auditor Oscar Nelson here this by directors bank. The directors requested the state banking department to the books examination. financial report of the Hillview bank showed capital stock $500 and deposits

2. February 27, 1930 Dixon Evening Telegraph Dixon, IL

Article from Dixon Evening Telegraph, February 27, 1930

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Article Text

Illinois Banks Closed Doors Today Springfield, Notice the closing of the Hillview, Green county, was given State Auditor Oscar Nelson here this morning by directors of the bank. The requested the Sate Bankto take over the books for examination. The last financial report of the Hillview bank showed capital stock of $25,000, surplus of $500 and deposits of $60,000. Streator, Ill., Feb. Peoples Trust Savings Bank closed by its directors 10 today after "run" preciptated rumors of its instability. An offihe believed would paid in full and said there was for the rumors. A bank examiner was expected toto examine the books. The bank is 20 years old. "There was no real basis for the rumors which started the run," said the bank official. "But could not conrol the situation. was withdrawn by nervous depositors Tuesday and Wednesday. We had $50,000 shipped in and $30,000 of that withdrawn this morning before decided to close the doors."

3. February 28, 1930 The Times Streator, IL

Article from The Times, February 28, 1930

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Article Text

WORKING Firm In Conviction That Depositors Will Lose. "Depositors the People's Trust Savings Bank will not This statement made by Philip Saunders, cashier, quoted the officials and stockholders of the bank. These officials and stockholders in were yesterday afternoon the closing of the doors and while official statement will not be made the bank examiners have completed their check, the condition the bank warrants this opinion. As stated yesterday, no occasion the run the which started on Monday. Idle rumors and remarks taken up and people grew hysterical. Bank examiners in Streator yesterday, and are working strenuously prepare statement which will be made public at earliest Outlook Very Bright Bank officials state there good prospect of the bank reopening, but nothing can be known regarding this until state bank officials their check. are most optimistic and determined the depositors shall not lose penny. Expressions confidence are heard on all sides today. There severe penalty those who circulate rumors such the that started the run on local bank. Following the law governing Stringent Penalty State laws provide stringent penalty convicted circulating malicious to the solvency any bank, trust company or building and loan association. heavy fine, jail term both may be inflicted upon convicted person. An excerpt from the crim. inal code of Illinois reads: Section enacted by the People of the State of Illinois, represented In the General Assembly: Any person who shall wilfully and maliciously make, circulate transmit to another others, any statements, rumor suggestion, written, printed by word mouth, which directly by inference derogatory to the financial condition, with intent affect the solvency or financial standing of any corporation doing banking trust business this state, or any building and doing business in this State, whe shall cause, aid, procure induce anothto start, transmit circulate any such statement, rumor suggestion, shall be punished fine not more than imprisonment in the county exceeding or both: Provided, that the truth said by the makthereof shall complete any this OPENING will campaign renomination United States senate probably next Monday, according to announcement today. Two or three will be devoted the which scheduled to open in eastern part of the state.

4. February 28, 1930 St. Louis Globe-Democrat St. Louis, MO

Article from St. Louis Globe-Democrat, February 28, 1930

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Article Text

STREATOR, ILL, BANK CLOSED AFTER RUN Official Denies Rumor Institution Is in Unstable Condition By Associated Press. February The Peoples Trust and Savings Bank was closed by its directors at 10 today after precipitated by rumors of its instability. An officer said he believed depositors would be paid in full and said there was no basis for the rumors. A bank examiner was expected to examine the books today. The bank 20 years old. "There was no real basis for the rumors which started the said the bank official. could not control the situation. $70,000 was withdrawn by nervous depositors Tuesday and Wednesday. We had $50,000 shipped in and $30,000 of that was withdrawn this morning before we decided to close the doors.

5. February 28, 1930 Sterling Daily Gazette Sterling, IL

Article from Sterling Daily Gazette, February 28, 1930

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Article Text

STREATOR BANK WAS CLOSED BY BIG RUN STREATOR. The People's Trust and Savings Bank passed by the house and -ent to the was closed by its directors Thurs- president. day after a "run" precipitated by rumors of its instability. An 01ficers said he believed depositors would be paid in full and said there Here was no basis for the rumor: A bank examiner was expected to examine the books. The bank 13 20 years old. "There was no real basis for the the rumors which started the run. said the bank official "but we could not control the situation and $70,000 was withdrawn by nervous deposi-

6. March 11, 1930 The Times Streator, IL

Article from The Times, March 11, 1930

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RUN ON BANK AT GRANVILLE OFFICERS KEEP INSTITUTION OPEN DESPITE HEAVY WITHDRAWAL OF FUNDS. GRANVILLE, III., March 11.Spurred by wildly circulated rumors questioning the soundness of the First National Bank of Granville, scores of depositors in that Institution yesterday began a "run" on the bank and hundreds of dollars in deposits were withdrawn. According to officers of the bank, who are not in the least alarmed over the situation, the rumor originated early Monday morning in the western section of Granville-Mark community and by the time the bank was opened for the days' business the report had spread from mouth to mouth until a large crowd had gathered about the front of the bank. Up to noon the doors of the bank still remained open and all those insisting upon withdrawing their funds were being accommodated There were scores of others who, apprised of the falsity of the rumor and assured that the report was groundless, left their money in the bank after originally going there to make withdrawals. "There is nothing to worry about." declared John G. Pletsch, president of the bank. who added. "We have the situation well in hand." The "run" on the Granville bank is similar to one conducted at the Peoples' Trust and Savings bank in Strentor last week, "run" which assumed such proportions as to force closing of the bank's doors pending examination and adjustment by state auditors. The Streator bank "run" was precipatated by rumors. A heavy penalty is provided for those persons found guilty of irculating reports questioning the soundness of a bank. which was very successful In New York, has however, not been taken on tour. It has never played in Chicago, and since only the New York Audience has been given the opportunity of seeing it, it has therefore been taken up recently by the Little Theatres and is considered one of the outstanding successes in all parts of the country. Northwestern Alumni in Streator and Ottawa are cooperating in an effort to make the show a success. The children of the grade schools, together with high school students will be given an opportunity to witness the performance In the afternoon, a special rate having been made for students. A reception is to be given the players at the close of the evening performance, which is being sponsored by the local alumni of the university and the Thespian club of the high school.

7. April 6, 1930 The Pantagraph Bloomington, IL

Article from The Pantagraph, April 6, 1930

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Mr. Greenebaum has already fur nished his bond which has proved by the state auditor's fice and will at once begin the task of untangling the affairs of the Cornell bank. Mr. Drennan said that Friday he checked in Weston Essington of Streator, as receiver for the Peo ple's Trust and Savings bank. of that city. The Streator bank closed its doors several weeks ago. Paul Hahn, formerly cashier of the Farmer's State bank at Flanagan which recently closed its doors at the order of its board of directors, Saturday checked in ceiver for that bank by Mr. Drennan. meeting of the depositors bank officials of the Flanagan held several ago Mr unanimously agreed upon as receiver of the bank The res olution adopted the meeting rec. ommending Mr. Hahn as receiver communicated the state auditor's office and Saturday Mr. Drennan completed the formalities turning over Mr. Hahn the task of liquidating the affairs of bank

8. April 7, 1930 The Times Streator, IL

Article from The Times, April 7, 1930

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COMMITTEE OF IS Arranges pointed receiver of the Peoples Trust Savings bank officialchecked the state auditor Saturday afternoon and the Upon suggestion the attorney, first acts of Mr. has been to call group Essington representative citizens afternoon at four gether arrange for general meeting the Intention the depositors their apoint the mittee the protect Interests the depositor greatest who have been called The arrange for the Mayor Myer, W. Rogers, presiTrades Council: Walter dent of the retail organization: and Rev. Louis Biskupski and Louis depositors. receiver he According concerned interests depositors and anxious to committee them all important phases of Open Wednesday. with Essingstated that the bank would ton, Wednesday mornthat all depositors make That may be rush the openthat early claimants over later and clerks will enclaimants, deavor handle the the dispatch. This would in bank will remain from to Saturday evening will from o'clock. The bank assets and listing but that Such showing dition however, be the earliest

9. April 11, 1930 The Fairbury Blade Fairbury, IL

Article from The Fairbury Blade, April 11, 1930

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PONTIAC BANKER NAMED CORNELL BANK RECEIVER J. C. Greenebaum, well known banker of Pontiac, being member of the Illinois State Savings bank of that city, which institution is receiver for the Claudon bank of this city, has been named by State Auditor of Public/ Accounts Oscar Nelson, as receiven for the Farmers State Savings bank of Cornell. This bank closed its doors recenly by order of the board of directors, they stating that the action was done for the purpose of readjustment. Mr. Drennen, a representative of the state auditors office, was in Pontiac last Saturday afternoon for the purpose of checking Mr. Greenebaum in as receiver. Mr. Drennen stated that the appointment of Mr. Greenebaum came as an individual and that the Illinois State Savings bank, of which Mr. Greenebaum is vice presi- dent and cashier. is in no manner connected with the receivership. Mr. Greenebaum has already furnished his bond, which as been approved by the state auditor's office. and will at once begin the task of untangling the affairs of the Cornell bank. Mr. Drennen stated that last Friday he checked in J. Weston Essington, of Streator, as receiver for the People's Trust & Savings bank of that city. The Streator bank closed its doors several weeks ago. Paul Hahn, formerly cashier of the Farmers State bank of Flanagan, which recently closed its doors at the order of its board of directors, was checked in last Saturday as receiver for that bank by R. Drennen, representative of State Auditor Oscar Nelson. At meeting of the depositors and bank officials of the Flanagan bank held several weeks ago Mr. Hahn was