gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
adc69814714fa951
Response Measures
None
Receivership Details
Depositor recovery rate
100.0%
Date receivership started
1936-03-18
Share of assets assessed as good
6.2%
Share of assets assessed as doubtful
73.6%
Share of assets assessed as worthless
20.2%
Description
Articles describe a coordinated suspension of specie payments by Boston national banks; no bank-specific mention or later reopening coverage in these clippings.
Events (4)
1.December 24, 1864Chartered
Source
historical_nic
2.August 3, 1914Suspension
Cause
Macro News
Cause Details
Coordination by major national banks (New York, Chicago, Boston) to conserve U.S. gold reserves amid international financial strain (early WWI), suspending specie payments and issuing clearinghouse certificates
Newspaper Excerpt
suspend the payment of specie and issue clearing house certificates instead
MEASURES TAKEN TO CONSERFE READY CASH This Action Believed Best In Order to Assure Stability of Business. In order to conserve the American supply of gold and to maintain the credit of the national banks of New York, Chicago and Boston Monday decided to suspend the payment of specie and issue clearing house certificates instead. Other cities throughout the country are expected to follow the lead of these big financial centers. Depositors also will be required to give 60 days notice to banks before withdrawing funds on time deposit. The situation is not regarded as grave by any means and reassuring statements have been issued in every quarter. The measures being taken are purely of a precautionary nature.
2.August 6, 1914The Tabor IndependentTabor, SD
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Article Text
MEASURES TAKEN TO CONSERFE READY CASH This Action Believed Best In Order to Assure Stability of Business. In order to conserve the American supply of gold and to maintain the credit of the national banks of New York, Chicago and Boston Monday decided to suspend the payment of specie and issue clearing house certificates instead. Other cities throughout the country are expected to follow the lead of these big financial centers. DeposItors also will be required to give 60 days notice to banks before withdrawing funds on time deposit. The situation is not regarded as grave by any means and reassuring statements have been issued in every quarter. The measures being taken are purely of a precautionary nature.
Bank runs are almost always and everywhere a deterioration of bank fundamentals.
But not for you.
You are the measure-zero exception: great fundamentals, solid bank, and yet the Diamond Dybvig fairy spread its rumor. Depositors woke up. Your collateral was not prepositioned. The Clearinghouse had it for you.
Do not pass Go. Do not collect $200. Go directly to jail… or worse.
