6721. Citizens Savings Bank (New Orleans, LA)

Bank Information

Episode Type
Suspension → Closure
Bank Type
savings bank
Start Date
March 20, 1879
Location
New Orleans, Louisiana (29.955, -90.075)

Metadata

Model
gpt-5-mini
Short Digest
efd4d393328b91e8

Response Measures

None

Description

The bank was one of many New Orleans banks that temporarily suspended on/around March 20, 1879 due to a local scarcity of currency (to avert panic). Later, in October 1879 the Citizens' Savings Bank went into liquidation/receivership (receivers appointed Oct 4, 1879) and did not resume normal operations. Reports also describe alleged embezzlement/overdrafts by the cashier (Milton Benner) and his arrest; receivership appears voluntary/liquidation. No clear, discrete run event on this specific bank is described in the articles (the March action is described as a general suspension to avert panic), so I classify this as a suspension followed by permanent closure/receivership.

Events (4)
1. March 20, 1879 Suspension
Cause
Local Shock
Cause Details
Scarcity of currency in New Orleans and threatened local panic; banks temporarily suspended and ordered large shipments of currency from New York.
Newspaper Excerpt
A growing scarcity of currency caused the temporary suspension here of the following banks: ... Citizens' Savings bank ... The order of suspension will expire on the 29th inst., and before that time funds from New York will have reached the banks. The action taken was to avert a threatened panic.
Source
newspapers
2. October 4, 1879 Receivership
Newspaper Excerpt
The Citizens' Savings Bank in the Hands of Receivers. Persons having business yesterday with the Citizens' Savings Bank...appointing Messrs. E. V. Hitch and P. H. Legendre commissioners to take charge of the assets of the bank...The character of the proceedings indicate that the liquidation is voluntary on the part of the bank.
Source
newspapers
3. October 11, 1879 Other
Newspaper Excerpt
Milton Benners, cashier of the Citizens' Savings' bank, in voluntary liquidation, has been arrested on the affidavit of J. W. Fairfax, a depositor, charging Benners and others with defrauding him of securities, etc. He gave bail in $4,000.
Source
newspapers
4. October 23, 1879 Other
Newspaper Excerpt
Milton Benner, late cashier of the suspended Citizens' Saving Bank, was rearrested...Books show that on the day of its suspension Benner drew one check of $7000 and another of $2900 to his own order...At the time of the panic, on the twenty-seventh of March, Benner drew out of the bank $36,277.60...
Source
newspapers

Newspaper Articles (14)
1. March 6, 1879 Catoctin Clarion Thurmont, MD
Article from Catoctin Clarion, March 6, 1879

Click image to open full size in new tab

Article Text

NEWS OF THE WEEK. The only hope of the Washington lobby now is in an extra session of Congress. At the present rate of increase of the Selay race, Russia will have 300,000,000 of inhabitants in fifty years. Patrick McGough Was run over by the cars and killed in Brooklyn, N. Y., Saturday. The President has recognized Antonio De La Cooidlpe La Corte as vice consul of Spain at Baltimore. At Lancaster, Pa., Saturday, Geo. Frady was sentenced to nine years imprisonment for manslaughter. The New Orleans Citizens' savings bank has suspended. Depositors will receive 15 cents on the dollar only. One-third of the sewage of Paris is utilized on 2,000 acres of market gardens, and the vegetables are wholesome. A fire Saturday night at No. 394 Broadway, New York, damaged Strasburger and Pfeiffer to the extent of $10,000. Wilson & Co.'s cracker bakery on North Front street, Pniladelphia, IS damaged by fire Saturday night to the extent of about $25,000. The Ocean house at Long Branch, N, J., took fire from a defective flue Saturday evening. The fire was speedily extinguished; damages about $1,500. Frederick Yack, a German, em ployed in Sheflield's paper mill it Sangerties, New York, was found dead in a large vat Friday afternoon An applicant for a school in Mississippi spelled "piece" seven different ways, and then failed to spell it correctly. He was not engaged. A Providence machinist has made $360,000 worth of gold and silver models of locomotives, ships, palace cars, &c. The number is fifty-six. There were forty-eight failures reported in New York city during the past month. A tolerably fair commencement for the spring trade in bankruptcy. A fire at Reno, Neb., destroved on Sunday morning the entire business portion of the town. The loss is estimated at $1,000,000. Five persons were burned to death. A fire occurred Monday evening at the lumber wharf of C. H, Hanan & Co, Albany strert, Boston, Mass.About $20,000 worth of lumber was destroyed, said to be insured. Neil Dennison, son of ex-Gov. Dennison, was nominated on Saturday by the Democrats for Mayor of Columbus, Ohio. Bassett, convicted at Bridgeport Conn., for the murder of F. Weinbecker, was sentenced Friday to the State prison for life. Within one hour five fires CC inrred on Saturday night in Columbus, O. It is thought desperate incendiaries are at work for the porpose of plunder. Edward O'Kellev, the last of the Fenian prisoners, has arrived from Marseilles, in New York, prematurely ag d and broken down by the rigors of protracted imprisonment under brutalized keepers. By a collision between passenger and freight trains Saturday at Valparaiso, Ind., one fireman and one engineer were scaided to death by escaping steam, and two others seriously injured. The grocery store of G. Rockaway, Chicago, was entered Saturday night by masked men, who robbed the store, shot and killed the proprietor while endeavoring to protect his property. At St. John, N. B., on Saturday, the Supreme court granted an order discharging from custody Thomas Ellis, the defaulting teller of the National Park bank of New York, who has been in jail there nearly 2 years. Frank Barrett, on trial at Bridgeport, Conn., for the murder of "Stuttering Jack," was found guilty of the secand Sat.

2. March 21, 1879 The Cheyenne Daily Leader Cheyenne, WY
Article from The Cheyenne Daily Leader, March 21, 1879

Click image to open full size in new tab

Article Text

LOUISIANA. A General Suspension of Banks. New Orleans, March 20.-A growing scarcity of currency caused the temporary suspension here of the following banks: Germania National Bank, Hibernia National, State National, Union National, Bank of Lafayette, Citizen's Bank of Louisiana, Citizens' Savings bank, Louisiana Savings bank, Metropolitan bank, New Orleans Canal and Banking company, People's bank and Workingmen's bank. Orders for currency have been sent to New York and large amounts were shipped to-day. The order of suspension will expire on the 29th inst., and before that time funds from New York will have reached the banks. The action taken was to avert a threatened panic. The banks held this morning about $2,200,000 in legal tenders and $3,000,000 sight exchange on New York, exclusive of their portfolios, with which to meet about ten millions due depositors. Most of the banks to-day received more currency from depositors than they paid out. Collections for distant customers will be remitted for as heretoforein currency checks on New York. The effect of this action involves only local interests here and has checked the chances for a panic, any pretext for which will be entirely removed in a day or two when the currency arrives.

3. March 21, 1879 The Wheeling Daily Intelligencer Wheeling, WV
Article from The Wheeling Daily Intelligencer, March 21, 1879

Click image to open full size in new tab

Article Text

Wholesale Suspension of New Orleans Banks. NEW YORK, March 20.-The following is a list of the New Orleans banks whose temporary suspensions were announced to-day: Germania National Bank, Hebernia National Bank, Louisiana National Bank, Mutual National Bank, New Orleans National Bank, State National Bank, Union National Bank, Bank of Lafayette, Citizens' Bank of Louisiana, Citizens' Savings Bank, Louisiana Savings Bank, Metropolitan National Bank, New Orleans Canal and Banking Company, People's Bank, Workingmen's Bank. Many orders for currency were received here to-day from New Orleans and large amounts were shipped. The order of suspension expires on the 29th inst., and before that time the funds from this city will have reached the banks. The action taken was to avert a threatened panic. NEW York, March 20. -Over - one million dollars were sent to the New Orleans banks to-day from this city.

4. March 21, 1879 Daily Globe Saint Paul, MN
Article from Daily Globe, March 21, 1879

Click image to open full size in new tab

Article Text

FINANCIAL FLURRY. Temporary Suspension of the National and State Banks of New Orlean-Scarcity of Currency and Threatened Panic the Cause -Large Currency Shipments from New York. NEW YORK, March 20.-The following is a list of New Orleans banks whose temporary suspension was announced to-day: Germania National bank, Hibernia National bank, Louisiana National bank, Mutual National bank, New Orleans National bank, State National bank, Union National bank, Bank of Lafayette, Citizens' Bank of Louisiana, Citizens' Savings bank, Louisiana Savings bank, Metropolitan bank, New Orleans Canal and Banking company, Peoples' bank, and Workingmen's bank. Many orders for currency were received here today from New Orleans, and large amounts were shipped. The order of suspension expires the 29th inst., and before that time funds from this city will have reached the banks. The action taken was to avert a threatened panic.

5. March 21, 1879 Chicago Daily Tribune Chicago, IL
Article from Chicago Daily Tribune, March 21, 1879

Click image to open full size in new tab

Article Text

NEW YORK. Recial Dispatch 10 The Tribune. NEW YORK, March 20.-The news of the action of the New Orleans Cluaring-House was early received on the street, but produced no apparent effect. Business went on as usual, and no apprehension was felt of trouble here in the future arising from the difficulties of the Now Orleans banks. The prlucipal cause of the fluancial troubles in Louisiana is here held to be Democratic misrule, and the probability of repudiation, which sent Louisiana bonds from S3 to 48 within the past six weeks. Between $1,500,000 and $2,000,000 left this city to-day for New Orleans. Some of the New Orleans banks made no call on their correspondents, though having large balances on deposit here. The New Orleans banks are nearly all in excellent condition as regards their New York accounts, and bankers here generally express their belief that the paute will subside without serious results to the Southern banks. The effeet of the withdrawal of 80 much currency just at this time, when New York bank reserves are down to $4,325,723 above the legal limit, and Government bond settlements, growing out of the marketing of the 4 per cent loan and the dunual settlements of the farmers of Eastern and Middle States are about to occur, was seriously discussed 'n financial circles. It was suggested that the Secretary of the Treasury be requested to change the place of payment of the called bonds to New York from Washington, to anticipate the payment of the April interest, and the payment of all called bonds maturing before April 15, making payment hero without robate, to agree to call on National banks for money only after nctual payment of checks given for called bonds, and to allow National banks to satisfy calls upon them for money by turning into the Treasury any past-due called bonds, they to be credited on account. These measures will probably be proposed to the Secretary, and no apprehensions are felt that he will refuse to act upon them, as bankers any he has given them personal assurance of his intention to prevent, by any legitimate means, the possibility of a monetary stringency here. Tothe Wastern Associated Press. New YORK, March 20.-The following is n list of the New Orleans banks whose temporary suspension is announced to-day: Germania National Bank, Ilibornia National Bank, Louisiana National Bank, Mutual National Bank, New Orleans National Bauk, State National Bank, Union National Bank, Bank of Lufayette, Citizens' Bank of Louisiana, Citizens' Savings Bank, Louisiana Savings Bank, Metropolitan Bank, Now Orlenus Canal & Banking Company, People's Bank, Workingmen's Bank. Many orders for currency were received here to-day from New Orleans, and large amounts shipped. The order of suspension expires on the 29th inst., and before that time funds from this city will have reached the banks. The netion taken was to avert a threatened panie.

6. October 4, 1879 The New Orleans Daily Democrat New Orleans, LA
Article from The New Orleans Daily Democrat, October 4, 1879

Click image to open full size in new tab

Article Text

IN LIQUIDATION. The Citizens' Savings Bank in the Hands of Receivers. Persons having business yesterday with the Citizens' Savings Bank, located at the corner of Gravier and Baronne streets, found the doors closed, and posted in one of the windows a copy of an order which issued from the Fifth District Court late on Thursday evening, appointing Messrs. E. v. Hitch and P. H. Legendre commissioneers to take charge of the assets of the bank. The order was issued on the application of E. V. Hitch, who alleged violation of charter and failure to meet checks, etc. The bank, in answer to the petition of Hitch, denied violation of charter, but admitted the other charges, and submitted the matter to the court, and thereupon the order issued. The order, in addition to appointing the gentlemen named as receivers, designates Messrs. Geo. Paifrey and F. A. Luminais as the ap/ praisers. The condition of the affairs of the bank could not be ascertained, but the character of the proceedings indicate that the liquidation is voluntary on the part of the bank.

7. October 7, 1879 The Weekly Miner Butte, MT
Article from The Weekly Miner, October 7, 1879

Click image to open full size in new tab

Article Text

that mens the of rich gold and silver ore and argue sooner we had an Indian war and th savages be for were exterminated the better it woul the country, and the frontiersme ces particularly. Seeing that serious consequer Schurz would follow the invasion of their domai into asked Congress for authority to ente States negotiations for cession to the Unite of the reservation of the Utes that and might be thrown open to settlers and miners this request was also disregarded. The scene of Thornburgh's disaster is o the which edge of the reservation at Milk Creel runs into Painted Rock Creek. Thorn burgh co and was formerly stationed at San Francis man. Alaska. Agent Meeker is a Colorado BALTIMORE, Oct. 2.-A box containing from $28,000 worth of bonds, which were stole the National Bank of Baltimore in Sep tember, 1878, was unearthed a few days age near Woodbury by some young men while hunting. stolen Thirty-five thousand dollars were from the bank at the same time, and have not yet been recovered. NEW YORK, Oct. 2.-The joint executive railroad committee voted an advance in eas bound 40 rates to the basis of 35 cents on grain cents on fourth class, and 50 cents on live hogs, from Chicago to New York, to take ef fect October 13th. NEW YORK, Oct. 2.-The Chamber o from Commerce meeting to-day received a lette be in DeLesseps informing them that he would this country shortly to look after the that proposed Darien Canal. It was suggeste him the officers of the Chamber should mee on his arrival. The matter was referre to a committee. NEW ORLEANS, Oct. 2.-The Citizen' Savings Bank to-day went into voluntar liquidation. No loss to depositors. CONNELSVILLE, Pa., Oct. 2.-Bank block $17,000. burned to-day. Loss, $30,000; insurance PHILADELPHIA, Oct. 2.-The steamshi Pennsylvania, which arrived to-day, ha among other passengers John Henry Pulestor member of English Parliament. WASHINGTON, Oct. 2.-On account of th S Indian immediately. troubles Secretary Schurz will retur BUFFALO, Oct. 2.-Judge Hammondto-da fined Henry Locke 150 dollars for placin e obstructions on the passenger track of th Lake Shore railroad. WASHINGTON, Oct. 2.-At a meeting € the letter Washington Monument Society to-day y was read from Dom Pedro, Emperor e Brazil, formally presenting to the Society th € stones which he has sent to this country to b it placed in the monument. e TOPEKA, Ks., Oct. 2.-Two of the witnesse n for the Memorialists in the Ingalls briber d case flitted out to-day and the trial seem ie likely to do the same. d NEW YORK, Oct. 2.-Tilden denies that h y r. ever in uttered the statements imputed to hit a recently published interview criticisin he the blundering policy of the South. d SAN FRANCISCO, Oct. 2.-Salvador, the In d dian who murdered Paul Ryger in Mari licounty this last spring, was hanged at San Rafa afternoon. He confessed to five othe le murders but met his death with firmness. ne RAWLINS, Oct. 2.-No news received fro d from Payne's command to-day. The mail carrie the Ute Agency, due here to-night, ha nnot arrived yet. All sorts of rumors ai n. afloat, but the only rehable information r of ceived is the statement of a ranchman name leMorgan, who arrived here to-day from h ty the ranche on Snake river. On the morning of 30th, the day after the fight he heard heav firing in the direction of the battle ground ar General Merritt, with 350 cavalry, left her ve at 10:30 this morning. He will be followe by the infantry to-morrow. Merritt was a he companied by the scout Rankin. Great e: of citement prevails here. Settlers from the he vicinity of the Ute reservation are arrivir in hourly. Many white men, freighters at arhunters, were known to have been in tl ad neighborhood of the Ute Agency and fea ent are entertained for their safety. nd OTTAWA, Oct. 2.-About fifty million fe ell of lumber, purchased by foreign dealers ed this city, have not been delivered some dif at culty having been experienced in procuru ans on boats for conveyance of the lumber. Freight owing to increased demand for transport tion, have advanced from 25 to 50 cents nd thousand. There is not a single steamer p dly Chaudiere at present as the entire fleet is e tly ald chasers. gaged in delivering lumber for American pu de ed, COUNCIL BLUFFS, Oct. 2.-This eveni ain Lieut. Gilbert, with 240 soldiers from Fo the Snelling, arrived over the North Western a tle took a special train over the Union Pacific f hat the scene of the recent Indian fight in which ge, Major Thornburgh was killed. The soldie ucwere all in good condition and spirits. en WASHINGTON, Oct. 2.-General Knap agChief Clerk of the Post-office Departmer his received to-night the following reply to h telegram to the postmaster at Laramie aski the information relative to First Asst. Postmast sdo General Tyner and party: ks. LARAMIE CITY, Oct. 2. and To W. A. Knapp, Chief Clerk P. O. D. ent A party has just arrived who saw Gener ajor Tyner and party on Big Creek about fifte ted miles from Tinkham's ranche at the entran amto North Park. A messenger has been se on, to warn them of the danger from Indian and Think they are all right. Will telegraph y when I hear from them. (Signed) C. W. SPAULDING, 'OVActing Postmaster. es. and This places General Tyner and friends o arhundred and fifty miles east of the scene ere Thornburgh's disaster with a mountain ran rses the between them and free from danger unle eral outbreak among the Indians is more ge eral than now supposed. ediST. LOUIS, Oct. 2.-The Committe on M gent itary education reported to the Military Co yes vention certain recommendations to be la ildbefore Congress and the people. They clude military schooling in public

8. October 11, 1879 The Donaldsonville Chief Donaldsonville, Gonzales, LA
Article from The Donaldsonville Chief, October 11, 1879

Click image to open full size in new tab

Article Text

The Citizens Savings Bank of New Orleans, located in the Grunewald 'building on Baronne street, has suspended.

9. October 13, 1879 Daily Globe Saint Paul, MN
Article from Daily Globe, October 13, 1879

Click image to open full size in new tab

Article Text

time ran high, and threats of lynching were freely indulged in, but finally better counsel prevailed. Cochran delivered himself up, and was committed to jail, but the following day was out attending to business as usual. Judge Hayden will be buried Sunday, and Cochran will have his examination Tuesday. Although the murder occurred Thursday, nothing was known of the affair outside of Centralia until to-day. KU-KLUXISM. GALVESTON, Oct. 11.- A News special from Dallas says: The cabin of a negro WCman named Esther, on Aldridge's plantation, early this morning was visited by a band of forty disguised men who demanded her son, Charley. Upon refusal the door was fired into and a girl wounded. A freedman inside fired on the attacking party, wounding one. The door was forced open, and Esther and family with a negro from a neighboring cabin carried away. Several negroes escaped. Esther and her son Charley were shot dead, Several arrests have been made. A DESPERATE ORGANIZATION. NEW YORK, Oct. 11.-The Herald's Atlanta special says the judge of Baldwin county, and a delegation of citizens, reached here this morning to ask the government for a military force to suppress the Georgia Tigers, a desperate organization, who were fully described in the columns of the Herald a year ago. They hold possession of half the county, and defy arrest. They killed two men Tuesday and burned several houses. They have killed in the past three years twenty men and women, mostly negroes. The governor sent some of his staff and a number of detectives down, and will send the militia if needed. Members of the legislature in adjoining counties have been telegraphed by their families, and have gone home. The feeling here is intense. The scene of disorder is only a day's ride from this city. BOLD ROBERY. NEW YORK, Oct. 11.-Dr. N. C. MacLean, London, arrived in this city with his wife a few days ago and took rooms at twentyfour East Twentieth street. Last night during the absence of the doctor and wife one of their trunks were broken open and $15,000 in bank of England notes stolen. SENTENCED. PHILADELPHIA, Pa., Oct. 11.-John Cannon, the stolen bond receiver, has been sentenced to pay a fine of $500 and to imprisonment in the penitentiary for ten years. DISHONEST BANK OFFICIAL. NEW ORLEANS, Oct. 11.-Milton Benners, cashier of the Citizens' Savings' bank, in voluntary liquidation, has been arrested on the affidavit of J. W. Fairfax, a depositor, charging Benners and others with defrauding him of securities, etc. He gave bail in $4,000. INDICTED. BOSTON, Oct. 11.-The grand jury has indicted Chas. Demond for embezzling $229,000, the property of the Massachusetts Home Missionary society.

10. October 23, 1879 The New Orleans Daily Democrat New Orleans, LA
Article from The New Orleans Daily Democrat, October 23, 1879

Click image to open full size in new tab

Article Text

NEWS OF THE CITY. THE CITIZENS' SAVINGS BANK. The Cashier Rearrested and Committed to the Parish Prison. Yesterday Milton Benner, late cashier of the suspended Oltizens' Saving Bank, was rearrested on the motion of counsel of Mr. John W. Fairfax. who represented that the bond furnished by Benner to secure his attendance in Court to answer to the charges of embezzlement and perjury was not sufficient to hold him. The bond was increased. but Benner fail_ ing to furnish it, Judge Sheeban committed him to the Parish Prison. An investigation of the circumstances on which the charges are based developed the following: All the directors of the bank, excepting Mr. Thos. Hasam. have been absent from the city for months, and Mr. Hasam having tendered his resignation. though It was never formally accepted, severed his connection with the affairs of the bank some time ago, Benner has had full and undisputed control of the business and funds of the concern. On the first of September Benner published a statement of the condition of the bank. making a most favorable showing. This statement in the original was sworn to, and, subsequent events tending to show It to be false, It furnishes the foundation for the charge of perjury. As to THE CHARGE OF EMBEZZLEMENT. the books of the bank show that on the day of Its suspension Benner drew one check of $7000 and another of $2900 to his own order. and this notwithstanding the fact that his account was already overdrawn to the extent of $8000 or more. The books further show that on the same day he drew the balances of his two daughters. amounting together to $76, and that he cashed H check of one of the employes of the bank for $250, The books further show that at the time of the panic, on the twenty-seventh of March, Benner drew out of the bank $36,277 60, being 88000 in excess of the balance to his credit. Beveral of the books of the bank are missing. but the others. as well as the papers, are being Investigated by the receivers. It will be some time. however, before any statement of the condition of the institution can be prepared and submitted to the depositors.

11. October 24, 1879 The Portland Daily Press Portland, ME
Article from The Portland Daily Press, October 24, 1879

Click image to open full size in new tab

Article Text

# MINOR TELEGRAMS. Two women returning from a visit to Monticello, N. Y., were found dead in the road yesterdaymorning, beside their overturned buggy. Milton Benner, late cashier of the Citizen's savings bank, of New Orleans, has been surrendered by his bondsmen and sent to prison. It is stated that Benner had overdrawn $17,000 a short time before the bank had suspended. Walter Paine, the Fall River defaulter has been again arrested in Quebec, this time on a civil process. The Porte has prohibited the exportation of cereals. The rumor has been revived in London that Parliament will meet in December. The political relations between Germany and Russia have improved. It is reported that the Hungarian Budget shows a deficiency of 17,000,000 florins.

12. October 24, 1879 Daily Kennebec Journal Augusta, ME
Article from Daily Kennebec Journal, October 24, 1879

Click image to open full size in new tab

Article Text

# Bank Matters. Milton Benner, late cashier of Citizens Savings Bank, New Orleans, was surrendered by his bondsmen and sent to prison. It is stated that Benner has overdrawn $17,000, a short time before the bank suspended.

13. October 24, 1879 Evening Star Washington, DC
Article from Evening Star, October 24, 1879

Click image to open full size in new tab

Article Text

A DEFAULTING CASHIER IN JAIL-A telegram from New Orleans, Oct. 22d, says:-Milton Benner, late cashier of the Citizens' Savings Bank, who had given bonds to answer criminal charges, was to-day surrendered by his bondsmen and sent to the parish prison. It is alleged that Benner overdrew his account some $17,000 a short time before the bank, of which he was the principal manager, suspended.

14. March 13, 1880 The Donaldsonville Chief Donaldsonville, Gonzales, LA
Article from The Donaldsonville Chief, March 13, 1880

Click image to open full size in new tab

Article Text

Mr. Milton Benner, formerly cashier of the suspended Citizen's Savings Bank of New Orleans, has been tried and acquitted on a charge of embez- zling funds belonging to the bank.