Howard National Bank (Boston, MA)

View Charter #578 on SPMC View balance sheet

Episode Information

Episode UID
57801188
Episode Type
Suspension → Closure
Bank Type
national
Bank ID
5780 national
Charter Number
578
Start Date
December 13, 1898
Location
Boston, Massachusetts (42.358, -71.060)

Metadata

Model
gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
12d781fba413702e

Response Measures

None

Description

The bank entered voluntary liquidation for consolidation, but discovery of questionable assets led to a near-receivership and a forced liquidation process.

Events (4)
1. November 19, 1864 Chartered
Source
historical_nic
2. December 13, 1898 Suspension
Cause
Voluntary Liquidation
Cause Details
The bank voted to go into voluntary liquidation as part of a plan to consolidate several local banks into one.
Newspaper Excerpt
The Howard National Bank... voted to go into liquidation last week.
Source
newspapers
3. December 17, 1898 Voluntary Liquidation
Source
historical_nic
4. December 20, 1898 Other
Newspaper Excerpt
A bank examiner will be sent to Boston to examine the Howard National Bank, one of the concerns which recently went into voluntary liquidation for purposes of consolidation.
Source
newspapers

Newspaper Articles (2)
1. December 21, 1898 The Worcester Spy Worcester, MA
Article from The Worcester Spy, December 21, 1898

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Article Text

HOWARD NATIONAL BANK. Bank Examiner From Washington to Look Into Condition of Its Finances. Washington, Dec. 20.-A bank examiner will be sent to Boston to examine the Howard National Bank, one of the concerns which recently went into voluntary liquidation for purposes of consolidation. The Howard National Bank, which is to be investigated by Comptroller Dawes, voted to go into liquidation last week. This vote was taken in pursuance of a plan inaugurated some time ago to consolidate several local banks into one, and the syndicate bank of the movement offered 97 1/2 for the stock of the Howard bank. Later it developed that certain of the assets of the bank had come into question, and various estimates were placed as to the per cent which the stockholders finally would receive. President Wilkins of the bank, however, claimed that if time is given for settlement, no loss will result. President Wilkins says concerning the situation: "I am sure that our assets are such that if time is given for their conservative liquidation, a large dividend will be realized. The face value of our assets is $1,200,000. which is 120 per cent of the stocks. These assets are in discounts, mortgages and loans on real estate." By the sworn statment filed Dec. 1, the bank showed on a capital of $1,000.000 a surplus of $200,000 and individual profits of $11,983. It reported real estate and mortgages as $162,444, but valued its banking house at only $17,302. A day or two ago, when the liquidating committee was looking through the assets of the bank. they found only $200,000 cash on hand and a. loan to the Howard of $200,000, that it might pay its depositors, was refused. The condition of the Howard bank was placed before the comptroller of the currency at Washington, and he, it is said, was about to place the institution in the hands of a receiver. but to avert this the National Bank of the Republic loaned the Howard $200,000, and thereupon the syndicate owning the majority of the stock requested the comptroller not to appoint a receiver.

2. December 21, 1898 New-York Tribune New York, NY
Article from New-York Tribune, December 21, 1898

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Article Text

UNEXPECTED CONDITIONS FOUND IN THE HOW. ARD BY THE LIQUIDATING COMMITTEE Washington. Dec. 20.-A bank examiner will be sent to Boston to examine the Howard Bank. one of the concerns which recently went into voluntary liquidation for purposes of consolidation. Boston. Dec. 20. The Howard National Bank. which is to be investigated by Controller Dawes. voted to 20 into liquidation last week. This vote was taken in pursuance of a plan to consolidate several local banks into one. and the syndicate back of the movement offered 071/2 for the stock of the Howard bank. Later it developed that certain of the assets of the bank had come into question and various estimates were made as to what the stockholders would finally receive. President Wilkins of the bank says: "I am sure that our assets are such that If time is given for their conservative liquidation a large dividend will be realized. The face value of our assets is $1,200,000. which is 120 per cent of the stock These assets are in discounts and mortgages. and considerable is in real estate In the ordinary course of business I am sure that a large proportion of the paper would be collected. But quick liquidation is a different matter." By a sworn statement. filed on December 1. the bank showed a capital of $1,000,000. a surplus of $200,000. and individual profits of $11,983. It TOported real estate and mortgages at $162,444. but valued its banking house at only $17,302. A day or two ago. when the Liquidating Committee was looking through the assets of the bank. it found only $200,000 in cash on hand, and a loan to the Howard of $200,000 in order that it might pay its depositors was refused. The exhibit of the Howard bank was placed before the Controller of the Currency at Washington and he, It is said. was about to place the institution in the hands of a receiver but to avert this the National Bank of the Republic loaned the Howard bank $200,000. and thereupon the syndicate owning a majority of the stock requested the Controller not to appoint a receiver