Bank of Macomb (Macomb, IL)

Episode Information

Episode Type
Suspension → Reopening
Start Date
November 30, 1906
Location
Macomb, Illinois (40.459, -90.672)
Bank Type
private

Metadata

Episode ID
Bank ID
City ID
170412809
Model
gpt-5-mini
Short Digest

Notes

Closed by proprietor C. V. Chandler pending conversion of real-estate holdings; ultimate reopening not reported in these articles.

Events (1)
1. November 30, 1906 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank had guaranteed railway bonds and had large investments in local real estate; bondholders' demands and illiquid assets produced a lack of ready cash.
Newspaper Excerpt
This bank is closed pending negotiations subject to the conversion of the property into ready cash. The bank is solvent, and all depositors will be paid in full.
Source
newspapers

Newspaper Articles (10)
1. December 1, 1906 The San Francisco Call San Francisco, CA
Article from The San Francisco Call, December 1, 1906

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Article Text

HAVE SECURITIES, BUT NO MONEY Three Illinois Banks Are Forced to Suspend Until They Can Raise Funds PEORIA, III., Nov. 30.-Three banking institutions in McDonough County conducted by C. V. Chandler of Ma~ comb closed their doors today. Notices to the effect that the banks were short of ready cash were posted on the doors of all the banks. The banks are the Bank of Macomb, conducted by C. V. Chandler & Co., deposits $450,000 and capitalized at $50,000: the Chandler & Imes Bank, at Colchester, capitalized at $25,000. with deposits of $200,000, and the Chandler & Smith Bank of Bardolph, capitalized at $25,000, with $50,000 deposits. The money of the depositors in all three banks has been invested in McDonough County real estate, and this could not be realized upon on demand. The Macomb bank guaranteed the Macomb payment of the bonds of the and Western Illinois Electric Railway, and when the bondholders made a demand for their money they absorbed all the ready cash of the three institutions. There was little show of excitement when the banks closed. Their assets are considered good. Most of the depositors are miners.

2. December 1, 1906 The Fargo Forum and Daily Republican Fargo, ND
Article from The Fargo Forum and Daily Republican, December 1, 1906

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Article Text

Three Banks Bump. Peoria, III., Dec. 1.-Three banking institutions in McDonough county, conducted by C. V. Chandler of Ma. comb, have been closed. The banks are: The Bank of Macomb, conducted by C. V. Chandler & Co., having deposits of $450,000 and capitalized at $50,000. The Chandler & Imes bank at Colchester, capitalized at $25,000 and having deposits of $200,000. The Chandler & Smith bank of Bardo Philip, capitalized at $25,000 with $60,000 in deposits. The money had been invested in McDonough county real estate. The immediate cause of suspension is given as lack of ready cash.

3. December 1, 1906 The Morning Astorian Astoria, OR
Article from The Morning Astorian, December 1, 1906

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Article Text

Three Banking Institutions in Illinois Out of Business. MONE HAS BEEN ABSORBED It is Stated That Depositors Will Be Paid in Full, But Will Have to Wait for Collections. 1 PEORIA, III., Nov 30.-Three prominent banking institutions in McDonough county, conaucted by C. V. Chandler of Macomb, closed their doors today. Notices of the failure and suspension of the banks were posted on the doors. The banks which have failed are the Bank of Macomb, the Chandler and Ames bank at Colchester and the Chandler and Smith bank at Bardolph. The cause of the failure is due to the fact that the Macomb bank guaranteed the payment of bonds of the Macomb and Western Illinois Electric Railway, and when the depositors made a demand for their money, all of the ready cash of the three institutions had been absiorbed. It is said by the president and officials of the banks that the depositors will lose nothing, although it will require time to meet the obligations, which must come from outside loans and investments.

4. December 1, 1906 Los Angeles Herald Los Angeles, CA
Article from Los Angeles Herald, December 1, 1906

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Article Text

THREE ILLINOIS BANKS CLOSE DOORS By Associated Press. PEORIA, Ill., Nov. 30.-Three banking institutions in McDonough county conducted by C. V. Chandler of Macomb closed their doors today. Notices to the effect that the banks were short of ready cash were posted on the doors of all the banks. This decision was reached yesterday on an examination of the books by Mr. Chandler himself. The banks'are the Bank of Macomb, conducted by C. V. Chandler & Co., deposits of $450,000 and capitalized at $50,00; the Chandled & Imes bank at Colchester, capitalized at $25,000 and deposits of $200,000. and the Chandler & Smith bank of Bardolph, capitalized at $25,000, with $60,000 deposits. The money of the depositors in all three banks has been invested through Mr. Chandler, senior member of the private banking firms, in McDonough county real estate, and the immediate cause of the suspension of the three institutions is given as a lack of ready cash. The Macomb bank guaranteed the payment of the bonds of the Macomb & Western Illinois Electric railway, and when the bondholders made a demand for their money they absorbed all the ready cash of the three institutions. The following notice appeared on the doors of all three banks, signed by C. V. Chandler and the other members of the firm in the respective towns: "This bank is closed pending negotiations subject to the conversion of the property into ready cash. The bank is solvent, and all depositors will be paid in full. There is ample property to meet all obligations and all that is necessary is a reasonable amount of time to convert the holdings into money." C. V. Chandler has been in the banking business in Macomb for a quarter of a century.

5. December 3, 1906 The Bemidji Daily Pioneer Bemidji, MN
Article from The Bemidji Daily Pioneer, December 3, 1906

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Article Text

LIABILITIES OF $700,000. Three McDonough County (III.) Banks Close Their Doors. Peoria, Ill., Dec. 3.-Three banking institutions in McDonough county, conducted by C. V. Chandler of Macomb, have been closed. The banks are: The Bank of Macomb, conducted by C. V. Chandler & Co., having deposits of $450,000 and capitalized at $50,000; the Chandler & Imes bank at Colchester, capitalized at $25,000, having deposits of $200,000, and the Chandler & Smith bank of Bardolph, capitalized at $25,000, with $60,000 in deposits. The money has been invested in McDonough county real estate. The immediate cause of the suspension is given as a lack of ready cash. The Macomb bank was responsible for the payment of the bonds of the Macomb and Western Illinois Electric railway and when the bondholders demanded their money they badly embarrassed the three banks. The liabilities are upwards of $700,000.

6. December 5, 1906 New Ulm Review New Ulm, MN
Article from New Ulm Review, December 5, 1906

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Article Text

THREE BANKS CLOSE UP INSTITUTIONS IN M'DONOUGH COUNTY, ILL., SUSPEND. All Conducted by C. V. ChandlerNotices Posted Say They Are Short of Ready Cash. Peoria, Ill., Dec. 1.-Three banking institutions in McDonough county, conducted by C. V. Chandler, of Macomb, closed their doors Friday. Notices to the effect that the banks were short of ready cash were posted on the doors of all the banks Friday morning. The decision to close was reached Thursday upon an examination of the books by Mr. Chandler himself. The banks are: The Bank of Macomb, conducted by C. V. Chandler & Co., having a deposit of $450,000 and capitalized at $50,000; the Chandler & Imes bank at Colchester, capitalized at $25,000, having a deposit of $200,000, and the Chandler & Smith bank of Bardolph, capitalized at $25,000, with $50,000 in deposits. The money of the depositors in all three banks has been invested through Mr. Chandler, the senior member of the private banking firm in McDonough county real estate, and the immediate cause of suspension of the three institutions is given as a lack of ready cash. The Macomb bank stood good for the payment of the bonds of the Macomb and Western Illinois Electric railway, and when the bondholders made a demand for their money they absorbed all the ready cash of the three institutions. The following notice appeared on the doors of all three banks, signed by C. V. Chandler and the other members of the firms in the respective towns: "This bank is closed pending negotiations subject to the conversion of the property into ready cash. The bank is solvent and all depositors will be paid in full. There is ample property to meet all obligations and all that is necessary is a reasonable amount of time to convert the holdings into money."

7. December 6, 1906 Mexico Missouri Message Mexico, MO
Article from Mexico Missouri Message, December 6, 1906

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Article Text

THREE ILLINOIS BANKS CLOSE. Chandler's Financial Institutions in McDonough County. Peoria, Ill.-Three banking institutions in McDonough county, conducted by C. V. Chandler, of Macomb, closed their doors Friday. Notices to the effect that the banks were short of ready cash were posted on the doors of all the banks. This decision was reached Thursday upon an examination of the books by Mr. Chandler himself. The banks are the Bank of Macomb, conducted by C. V. Chandler & Co., deposits of $450,000 and capitalized at $50,000; the Chandler & Imes bank at Colchester, capitalized at $25,000 and deposits of $200,000, and the Chandler & Smith bank of Randolph, capitalized at $25,000, with $60,000 in deposits. The money of the depositors in all three banks has been invested through Mr. Chandler, the senior member of the private banking firms, in McDonough county real estate, and the immediate cause of the suspension of the three institutions is given as a lack of ready cash. The Macomb bank guaranteed the payment of the bonds of the Macomb & Western Illinois electric railway, and when the bondholders made a demand for their money they absorbed all the ready cash of the three institutions. A notice was posted on the doors of the banks that all claims would be paid in full. There was no excitement.

8. December 7, 1906 Iowa State Bystander Des Moines, IA
Article from Iowa State Bystander, December 7, 1906

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Article Text

CLOSED BANKS ILLINOIS THREE INSTITUTIONS IN M'DONOUGH COUNTY SUSPEND. All Conducted by c. V. ChandlerNotices Posted Say They Are Short of Ready Cash. Peoria, III. - Three banking institutions in McDonough county, conducted by C. V. Chandler, of Macomb, closed their doors after posting notices to the effect that the banks were short of ready cash. The banks are: The bank of Macomb, conducted by C. V. Chandler & Co., having a deposit of $450,000, and capitalized at $50,000; the Chandler & Imes bank at Colchester, capitalized at $25,000, having a deposit of $200,000, and the Chandler & Smith bank at Bardolph, capitalized at $25,000 with $50,000 in deposits. The money of the depositors in all three banks has been invested through Mr. Chandler, the senior member of the private banking firm in McDonough county real estate, and the immediate cause of suspension of the three institutions is given as a lack of ready cash. The Macomb bank stood good for the payment of the bonds of the Macomb and Western Illinois Electric railway, and when the bondholders made a demand for their money they absorbed all the ready cash of the three institutions. C. V. Chandler has been in the banking business in Macomb for a quarter of a century, and in addition to his private holdings is treasurer of the Western Illinois State Normal School of Macomb and treasurer of the city of Macomb. It is not thought either the school or the city will lose by the failure of the banks. The state is protected by a trust company bond and the city's deposits in the bank are small at this time of the year. Mr. Chandler made a statement setting forth in effect what was stated in the notices posted on the doors of the banks. The liabilities are upwards of $700,000, with unincumbered real estate worth over $400,000. The mortgages are mostly on central Illinois farms and are considered gilt edge. There was little show of excitement over the closing of the banks. The depositors have faith in the word of Mr. Chandler and expect the fulfillment of his promise. In Colchester the major part of the depositors are miners who made no demonstration when they read the notice on the doors of the bank.

9. December 7, 1906 The Worthington Advance Worthington, MN
Article from The Worthington Advance, December 7, 1906

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Article Text

LIABILITIES OF $700,000. These McDonough County (III.) Banks Close Their Doors. Peoria, III., Dec. 1.-Three banking institutions in McDonough county, conducted by C. V. Chandler of Macomb, have been closed. The banks are: The Bank of Macomb, conducted by C. V. Chandler & Co., having deposits of $450,000 and capitalized at $50,000; the Chandler & Imes bank at Colchester, capitalized at $25,000, having deposits of $200,000, and the Chandler & Smith bank of Bardolph, capitalized at $25,000, with $60,000 in deposits. The money has been invested in McDonough county real estate. The immediate cause of the suspension is given as a lack of ready cash. The Macomb bank was responsible for the payment of the bonds of the Macomb and Western Illinois Electric railway and when the bondholders demanded their money they badly embarrassed the three banks. The liabilities are upwards of $700,000.

10. December 7, 1906 Little Falls Herald Little Falls, MN
Article from Little Falls Herald, December 7, 1906

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Article Text

LIABILITIES OF $700,000. Three McDonough County (III.) Banks Close Their Doors. Peoria, Ill., Dec. 1.-Three banking Institutions in McDonough county, conducted by C. V. Chandler of Macomb, have been closed. The banks are: The Bank of Macomb, conducted by C. V. Chandler & Co., having deposits of $450,000 and capitalized at $50,000; the Chandler & Imes bank at Colchester, capitalized at $25,000, having deposits of $200,000, and the Chandler & Smith bank of Bardolph, capitalized at $25,000, with $60,000 in deposits. The money has been invested in McDonough county real estate. The immediate cause of the suspension is given as a lack of ready cash. The Macomb bank was responsible for the payment of the bonds of the Macomb and Western Illinois Electric railway and when the bondholders demanded their money they badly embarrassed the three banks. The liabilities are upwards of $700,000.