7063. State Savings Bank (Topeka, KS)

Bank Information

Episode Type
Run Only
Bank Type
savings bank
Start Date
July 3, 1905
Location
Topeka, Kansas (39.048, -95.678)

Metadata

Model
gpt-5-mini
Short Digest
7407aefd

Response Measures

Accommodated withdrawals

Description

Articles report the failure/closing of the First National Bank of Topeka on July 3, 1905, which triggered small runs on several other Topeka banks including the State Savings Bank. The State Savings experienced withdrawals (~$60,000) but paid depositors who requested funds and did not suspend. Event date taken as 1905-07-03.

Events (1)
1. July 3, 1905 Run
Cause
Local Banks
Cause Details
Run was triggered by the failure/closing of the First National Bank of Topeka (news of that failure caused depositors at other local banks to withdraw small amounts)
Measures
Paid depositors who requested their money; cashier noted most withdrawals were small amounts
Newspaper Excerpt
Other runs of a lesser degree were started on the State Savings bank ... At each institution all depositors who requested their money were paid
Source
newspapers

Newspaper Articles (10)
1. July 4, 1905 The Montgomery Advertiser Montgomery, AL
Article from The Montgomery Advertiser, July 4, 1905

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IT LOANED TOO MUCH BIG BANK FAILURE OCCURS AT TOPEKA, KAS. The First National Holds Papers of C. J. Devlin, Principal Stockholder, for $1,000,000-WIII Probably Pay Out. Topeka, July 3.-No definite statement was obtained up to a late hour today regarding the condition of the First National Bank, controlled by C. J. Devlin, the big coal mine owner, which closed its doors this morning. Colonel W. H. Rossington, vice-president of the bank, locked the institution's books in the vault to await the arrival of J. T Bradley, the national bank examiner, whom the comptroller had appointed receiver of the failed bank, and he would only say: "The bank's trouble has not been caused by dishonesty on the part of any one, but by lending too largely to one borrower. There has been no stealing." This borrower is, of course, Mr. Devlin, and the bank is said to hold the capitalist's paper to the amount of a million dollars. Mr. Devlin, whose sudden illness brought about the tangle in the big coal mining and railroad properties, valued, It is estimated, at close to seven millions of dolars, is still under the care of a physician and no statement could be secured from him. All that came from his home during the day or could be secured from other sources, was that the stricken coal operator had turned over to the bank nearly $700,000 in life insurance and about the same amount in Topeka real estate. Business assistants of Mr. Devlin gave it as their opinion that, if properly handled, this would allow the bank to pay out. Elmer Ames, bank examiner for the northern district of Kansas, who took charge pending the arrival of Receiver Bradley, would say nothing additional that would throw any light on the subject. Aside from the temporary flurry that the failure of the First National Bank caused upon the other banks of the city, probably the most interesting phase of the situation was the statement of State Treasurer Kelly that the bank held $547,000 of the State's funds and the knowledge that Mr. Devlin was one of three of Mr. Kelly's bondsmen. The statement was made that Treasurer Kelly had exceeded his authority in placing more of the State's money in the bank than the law allowed, but Mr. Kelly declined to discuss the matter at this time. Following the announcement of the failure a lively run was started on the Central National Bank and before closing time today it was known that something more than $100,000 had been withdrawn from this institution. The Central National also held some of Devlin's paper, but he likewise owns fifteen twenty-eighths of the capital stock of $250,000 of this institution. But it developed that the Central National Bank held but little of Devlin's paper and when its officers displayed $700,000 in cash and made every effort to pay the depositors as fast as they made demands, the excitement died down and at closing time only a few small depositors remained at the teller's window. Other runs of a lesser degree were started on the State Savings Bank, the Bank of Topeka and on the Merchants' National Bank. At none of the banks, however, was the demand for withdrawal great, only the small depositors taking their money and there was little excitement during the day.

2. July 4, 1905 New-York Tribune New York, NY
Article from New-York Tribune, July 4, 1905

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TOPEKA BANK SHUTS DOOR LARGE LOANS TO ONE MAN. C. J. Devlin, One of the Wealthiest Men in Kansas City, Involved. Topeka, Kan., July 3.-The First National Bank of Topeka, of which C. J. Devlin is the principal stockholder, failed to open its doors to-day. The government officials are making an examination of the bank's affairs, but gave out no statement to-day. On the door of the bank appeared this notice: This bank is closed by orders. The Controller of the Currency has been communicated with and will send an examiner, who will make a statement. W. H. ROSSINGTON, Vice-President. No definite statement was obtainable to-day regarding the condition of the First National Bank, controlled by Charles J. Devlin, a wealthy coal mine owner, which closed its doors this morning. Colonel W. H. Rossington, vice-president of the bank. locked the institution's books in the vault to await the arrival of J. T. Bradley, national bank examiner, whom the Controller had appointed receiver of the failed bank. Colonel Rossington would only say: "The bank's trouble has not been caused by dishonesty on the part of any one, but by lending too largely to one borrower. There has been no stealing." The borrower, it is said, is Mr. Devlin, and the bank is said to hold the capitalist's paper to the amount of $1,000,000. Mr. Devlin, whose sudden illness brought about the tangle in the big coal minrailroad valued, at close to $7,000,000. is still under care ing and properties, it the is estimated, from of a physician, and no statement can be obtained him. All that came from his home to-day was that coal had over in life insurance the bank stricken nearly $700,000 operator turned and about to the the same amount in Topeka real estate. Business associates of Mr. Devlin expressed their opinion that if properly handled this would allow the bank to pay out. Aside from the temporary flurry that the failure of the First National Bank caused on the other banks of the city, the most interesting phase of the situation was the statement of the State Treasurer, T. T. Kelly, that the bank held $547,000 of the State's funds. Mr. Devlin was one of the Mr. Kelly's bondsmen. Following the announcement of the failure, a lively but not disastrous run was started on the Central National Bank. Other runs of a lesser degree were started on the State Savings Bank, the Bank of Topeka and on the Merchants' National Bank. At none of these banks, however, was the demand for withdrawals great. Following the closing of the First National Bank there was a slight run on the Central National Bank, in which Mr. Devlin also is a large stockholder, and there were small runs later in the day on the Merchants' National Bank, the Bank of Topeka and the State Savings Bank. At each of these institutions all depositors who requested their money were paid and confidence was expressed in the ability to meet any demands of the depositors. Cash to the amount of $300,000 was deposited in the Central National to offset the run. J. W. Gleed stated that $700,000 worth of real estate -$300,000 unencumbered Topeka property, the other $400,000 in coal lands in Southeastern Kansas-had been turned in by Mr. Devlin, together with $700,000 life insurance. Mr. Gleed asserted that the Central National was in a perfectly solvent condition. He further stated that nothing more would be done with the Missouri organization of the Devlin property until after the report of the Controller here. In the First National Bank the State of Kansas has over $500,000 in deposits, the city of Topeka. $39,000, and the county of Shawnee about $30,000. Mr. Devlin, who has been under the care of a physician, was unable to leave his home to-day. He was up and around, however. He was in the best of spirits, and in reply to questions, said that he expected to be able to go to the bank in another week.

3. July 4, 1905 The Daily Morning Journal and Courier New Haven, CT
Article from The Daily Morning Journal and Courier, July 4, 1905

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FAILURE OF THE TOPEKA FIRST NATIONAL BANK NO DEFINITE STATEMENT AS TO ITS CONDITION. Institution Controlled by Charles Devlin, a Wealthy Mine Owner, Whose Paper It Holds for a Million-Closing of the Bank Causes Small Runs on Other Banking Houses-All Depositors Paid Who Appeared. Topeka, Kan., July 3.-No definite statement was obtainable to-day regarding the condition of the First National bank, controlled by Charles J. Devlin, a wealthy coal mine owner, which closed its doors this morning. Col. W. H. Rossington, vice president of the bank, locked the institution's books in the vault to await the arrival of J. T. Bradley, national bank examiner, whom the comptroller had appointed receiver of the failed bank, and the colonel would only say: "The bank's trouble has not been caused by dishonesty on the part of anyone, but by lending too largely to one borrower. There has been no dishonesty." The borrower, it is said, is Mr. Devlin, and the bank is said to hold the capitalist's paper to the amount of $1,000,000. Aside from the slight run begun on the Central National bank immediately after the failure of the First National, there were small runs later n the day on the Merchants National bank, the Bank of Topeka and the State Savings bank. At each institution all depositors who requested their money were paid and confidence was restored in the ability to meet all demands.

4. July 4, 1905 The Morning Astorian Astoria, OR
Article from The Morning Astorian, July 4, 1905

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TOPEKA BANK FAILS FOR HALF A MILLION Topeka, July 3.-No definite state- lin, and the bank is said to hold the capitalist's paper to the amount of a ment was obtainable up to a late hour million dollars. Devlin, whose sudden today, regarding the condition of the illness brought about a tangle in his First National bank, controlled by Chas. 26 big coal mining and railroad propJ. Devlin, the big coal mine owner, erties, estimated at a value close to which closed its doors this morning. seven million dollars, is still under the care of his physician. Following the W. H. Rossington, vice president of the bank, locked the institution's books in announcement of the failure, a lively run started on the Central National the vaults to await the arrival of J. bank and before closing time today it T. Bradley, national bank examiner, was known that something more than whom the comptroller has appointed receiver of the failed bank. He would $100,000 had ben withdrawn from this institution. Other runs, of lesser deonly say: "The bank's trouble is not caused by dishonesty on the part of any gree, were started on the State Savings bank of Topeka and on the Merone, but by lending too largely to one these banks, however, was the demand borrower. There has been no stealing." This borrower is, of course, Mr. Dev. for withdrawls great.

5. July 4, 1905 The Times Dispatch Richmond, VA
Article from The Times Dispatch, July 4, 1905

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TOPEKA BANK CLOSES DÓORS Failure Due to Too Extensive Loans to Charles J. Devlin, Millionaire Mine Owner. CRASH HITS MANY PLACES Liabilities of Bankrupt Estimated at $2,500,000 to $4,000,000. Run on Banks. (By Associated Press.) TOPEKA, KAS., July 3.-No definite statement was obtainable to-day regardIng the condition of the First National Bank, controlled by Charles J. Devlin, a wealthy coal mine owner, which closed Its doors this morning. Col. W. H. Rossington, Vice-president of the bank, locked the institution's books in the vault to await the arrival of J. T. Bradley, National Bank Examiner, whom the comptroller had appointed receiver of the failed bank, and the Colonel would only say: "The bank's trouble has not been caused by dishonesty on the part of anyone, but by lending too largely to one borrower. There has been no stealing.' The borrower. it is said, is Mr. Devlin, and the bank is said to hold the capitalist's paper to the amount of $1,000,000. Mr. Devlin, whose sudden Illness brought about the tangle in the big coal mining and milroad properties valued, It is estimated at close to $7,000,000. is still under the care of a physician, and no statement could be secured from him, All that came from his home during the day or could be secured from other sources was that the stricken coal operator had turned over to the bank nearly $700,000 in life insurance and about the same amount In Topeka real estate. Business associates of Mr. Devlin gave It as their opinion that If properly handled this would allow the bank to pay. Aside from the flurry that the failure of the First National Bank caused on the other banks of the city, the most interesting phase of the situation was the statement of State Treasurer T. T. Kelly that the bank held $547,000 of the State funds, and the knowledge that Mr. Devlin was one of Treasurer Kelly's bondsmen. Following the announcement of the failure a lively but not disastrous run was started on the Central National Bank. Other runs of a lesser degree were started on the State Savings Bank, the Bank of Topeka and on the Merchants National Bank. At none of these banks, however, was the demand for withdrawals great. Devlin was generally credited as being one of the wealthiest men in Kansas City. He was at the head of twentysix different companies, coal mining enterprises and mercantile establishments, and owned stock in twenty-five banks. His liabilities are stated to be from two and a half to four millions, principally due to fourteen banks. The First National has a capital of $300,000 and owes depositors a million and a half.

6. July 4, 1905 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, July 4, 1905

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Property Turned Over. Cash to the amount of $300,000 was deposited in the Central National to offset the sum, J. W. Gleed stated today that $700,000 worth of real estate, $300,000 in Topeka property and $500.000 in coal lands in southeast Kansas had been turned in by Mr. Devlin: also $700,000 in life insurance. Mr. Gleed says the Central National is perfectly solvent. In the closed bank the state of Kansas has over $500,000 in deposits, the city of Topeka $39,000, and the county of Shawnee about $30,000. Runs on Other Banks. Aside from the slight run begun on the Central National bank, immediately after the failure of the First National, there also were small runs later in the day on the Merchant's National bank, the Bank of Topeka and the State Savings bank. At each of these institutions all depositors who requested their money were paid, and perfect confidence was expressed in the ability to meet any demands of the depositors. It is stated that the First National bank holds $547,000 of the state's money. T. T. Kelly, the state treasurer, declined to make a statement regarding the state's funds. Mr. Devlin is on Treasurer Kelly's bond for $500,000. The remainder of his bond is secured by a security company. The Central National bank is said to hold only a small amount of Devlin paper, which it is stated, is amply secured. Loans Were Too Heavy. Vice-President Rossington, who declined to make a statement at this time regarding the affairs of the First National Bank, said: "The trouble has been brought about purely through loaning too largely to one borrower." Major William Sims, president of the First National, has not been in charge of the bank for several years because of illness, and C. E. Hawley, the cashier, is confined at his home, ill with some nervous disease. A large amount of securities, it is said, have been brought into the bank within the past few days, as it was anticipated that enough cash would be on hand this morning to pay off depositors. The money did not materialize. however. Mr. Devlin, who has been under a physician's care, was unable to leave his home today. He was upand around, however, and in the best of spirits. His physician thought that Mr. Devlin would be able to return. to the bank in about a week.

7. July 5, 1905 The Topeka State Journal Topeka, KS
Article from The Topeka State Journal, July 5, 1905

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END OF THE RUN. Over $300,000 Taken Out of Banks. This Was During the All Day Excitement Monday. FEW LARGE DEPOSITS People With Small Savings Got Their Money. Devlin Liabilities Believed to Be Under $3,000,000. Estimates secured from the officials of the Bank of Topeka, Central National, Merchants National and State Savings bank make the amount of funds withdrawn from those four institutions during Monday's run at $346,000, divided as follows: Bank of Topeka, $111,000. Central National, $150,000. State Savings, $60,000. Merchants National, $25,000. "Ninety per cent of the deposits withdrawn from our bank were in checks of less than $100," said John R. Mulvane of the Bank of Topeka. "Our depositors who withdrew were people who had but small amounts. But two broke over in the thousands and quite a number of them took out but $2 to $6," this is the statement of William Macferran, cashier of the State Savings. These are the statements which are also made by the Central National and Merchants National. This amount of $346,000 was distributed among some 1,800 depositors. A great many of these same people today returned to the bank where they had withdrawn their savings and redeposited. Sam Radges, who is endeavoring to secure an organization of the creditors of the bank stated this noon that a preliminary meeting looking to an organization will be held in a few days. In the meantime he is soliciting names of the depositors and those who are desirous of forming such an organization. "I understand,' said Mr. Radges, "that the insurance policy which Mr. Devlin has turned over as security is not worth anything whatever unless he dies within a few months. In other words, and I have this from good authority, that it is not a paid up policy. It just like fire insurance on a house." Radges has his entire fortune of $20,000 tied up by the failure. Cuts Down Liabilities. Later information revises the list of liabilities which the estate of Chas. J. Devlin will be responsible for on settlement. The revision reduces the amount by $179,000, making the total $2,631,000 instead of $2,810,000 as published Tuesday. Chas. S. Gleed, who is president of the holding corporation, said this noon: "It must be remembered that these liabilities are against the companies in which Mr. Devlin is interested and not personal liabilities. The personal notes which Mr. Devlin may have out can be covered by a few thousand dollars Mr. Devlin may be personally broke but it does not follow that the companies will fail to pay out. This is a point which has not been clearly brought out. The companies are good and it is against them that the liabilities hold and not against Mr. Devlin personally. Mr. Chas. S. Gleed stated that he was unable to determine whether the bank would pay out or not. Mr. J. W Gleed expressed his opinion in this manner: "I believe that the bank will pay its depositors in full if the men who are put in charge of the property manage it wisely.' Opinions still vary with reference to the status of the state as a creditor. John R. Mulvane gave it out as his opinion that in a national bank, the United States is the first preferred creditor, the state the second, the county the third and the city the fourth preferred creditor, the depositors coming last. "If this is true, said Sam Radges, "the depositors won't get a thing. For I have looked into this matter and a great deal of this collateral security is not worth its face value." Another prominent banker who did not wish his name to appear in print stated that the stand taken by State Treasurer Kelly is absolutely ridiculous. "If those in charge or the judge who makes the decision hands down an opinion of that character he should be impeached. It's the most ridiculous statement I have ever seen in print. That money had been collected by the bank and was lying there. It should have been taken out by Mr. Kelly. If such an interpretation is to be given to it, what is to prevent every one that wants to having money on deposit and simply writing across the back, 'these are collections to, be held in trust. It would be entirely possible for any one to have money on deposit for seventeen years at that rate and simply call it collections. If this does not put Mr. Kelly in a tight fix I don't see what can. Mrs. Devlin Won't Leave. Mrs. C. J. Devlin denied emphatically this afternoon that there was any foundation to the rumor that she was going east to raise funds to aid in securing the bank's creditors. She said: "I wish you would state for me that there is nothing whatever in that rumor. Of course I don't know what I am going to do next." Both Mr. Devlin and Mr. Hawley were reported as improving, this morning. Mrs. Devlin said: "Mr. Devlin is doing very nicely and is still improving. His physician forbids him to go out yet." It is stated that Mr. Deviin will not go away for a rest trip until the tangle which has taken place is entirely

8. July 6, 1905 Iowa County Democrat Mineral Point, WI
Article from Iowa County Democrat, July 6, 1905

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NATIONAL BANK FAILS. Too Much Loaned to One Speculating Capitalist. Topeka, Kas., July 4. - No definite statement was obtainable up to a late hour yesterday regarding the condition of the First National bank, controlled by Charles J. Devlin, the big coal mine owner, which closed its doors yesterday morning. Colonel W. H. Rossington, vice president of the bank, locked the institution's books in the vault to await the arrival of J. T. Bradley, national bank examiner, whom the comptroller appointed receiver of the failed bank, and he would only say: "The bank's trouble was not caused by dishonesty on the part of any one, but by lending too largely to one borrower.' The borrower is, of course, Devlin. and the bank is said to hold the capitalist's paper to the amount of $1.000.000. Devlin, whose sudden illness brought about a tangle in big coal mining and railroad properties, valued, it is estimated, close to $7,000.000, is, still under the care of a physician, and no statement could be secured from him. Following the announcement of the failure, a lively run started on the Central National bank, but the officers made every effort to pay the depositors as fast as they made demands. The excitement died down, and at closing time only a few small depositors remained at the teller's window. Another run of lesser degree started on the State Savings bank, the Bank of Topeka and on the Merchant's National bank. At none was the demand for withdrawals great.

9. July 6, 1905 The Oskaloosa Herald Oskaloosa, IA
Article from The Oskaloosa Herald, July 6, 1905

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BANK IN TOPEKA CLOSES'ITS DOORS FAILURE OF THE FIRST NATIONAL IS ANNOUNCED RECEIVER IS APPOINTED Institution Is Saiti to Owe Depositers a Total of $1,390,000-The $7,. 000,000 Estate of c. J. Deviin Envolved in Failure. Topeka, Kan., July 4.-By closing Its doors Monday the First national bank of Topeka threw Into liquidation. the $7,000,000 estate of C J Devllu. in which several Chicago banks are heavily Interested. The bank owed depositors $1,300,000. The comptroller of the currency has appointed National Bank Examiner J. T. Bradley receiver of the bank. There were several hundred deposi tors in line when the hour for opening the First national arrived. The bank, however, did not open. Instead, the 300 or 400 men in line read on the door the following notice: "This bank is closed by my orders The comptroller of the currency has been communicated with and will send an examiner, who will make a statement. W. H. Rossington, Vice President." Government Agents in Charge. The government authorities are now making an examination of the bank's affairs, but will give out no statement According to a recent statement the First national bank of Topeka owed depositors $1,390,000. Of these depositors the state of Kansas has over $500,000 in deposits, the city of Topeka $39,000 and the county of Shawnee about $30,000. Mr. Deviin's wealth is largely in coal mining properties in southern Kansas, in the vicinity of Marceline. Mo., and in Illinois. These properties include the following: Mount Carmel coal mines. Toluca coal mines the Marquette Third Vein mines, the Devlin Coal company, the DevlinMiller Coal company the Crawford County Mining company. the Pittsburg and Midway Coal company the Kansas City Coal and Coke company, the Southwestern Fuel company, the Wiley Coal company and the Marceline Coal company. Try to Save Bank. Less than 36 hours previous to the closing of the bank the Chicagoans had formed the Deviin Mining, Manu facturing and Mercantile company with a capital of $1,000,000, as a holding company to take over and manage the Devlin properties. The closing of the bank will prevent the holding com pany from managing the Devlin interests. Mr. Deviin has long been reputed the richest man in Kansas, Recently he became too 111 to manage his affairs longer, It was said, and his interests became involved in such a way that the Chicagoans interested in his schemes were notified that a large sum would have to be raised to keep the various enterprises going. This led to a conference in Topeka of representatives of Kansas City, Topeka and Chicago banks. The Chicagoans in the conference included D. A. Moulton, vice president of the Corn Exchange bank; A. A. McClanahan, of the Continental national bank, and Adolph Uhrlaub, vice president of the Central Trust company. At the conference it was decided that between $250.0 and $1,000,000 would be necessary to put new life into the 26 different Devlin companies. The banks concerned took immediate steps to raise the amount and to form the holding corporation that was intended to take over the management of the properties. The holding corporation was formed Saturday in Kansas City and a special train to Jefferson City was hired torsecure its charter. Holds State Funds. Aside from the temporary flurry that the failure of the First national bank caused upon the other banks of the city, probably the most interesting phase of the situation was the statement of State Treasurer T. T. Kelly, that the bank held $547,000 of the state's fund, and the knowledge that Mr. Devlin was one of Treasurer Kelly's bondsmen. The statement was made that Treasurer Kelly had exceeded his authority in-placing more of the state's money in the bank than the law allowed, but Mr. Kelly declined to discuss the matter at this time. Runs on Other Banks. Following the announcement of the failure, a lively run was started on the Central national bank, and before closing time Monday it, was known that something more than $100,000 had been withdrawn from this institution. The Central national also held some of Devlin's paper, and he likewise OWDS fifteen twenty-eighths of the capital stock of $250,000 of this institution. But It developed that the Central national held but little of Devlin's paper, and when its officers displayed $600,000 in cash and made every effort to pay the depositors as fast as they made demads the excitement died down, and at closing time only a few small depositors remained at the teller's window. Other runs, of a lesser degree, were started on the State savings bank, the Bank of Topeka, and on the Merchants' national bank. At none of these banks, however, was the demand for withAenels great only the small deposit-

10. July 10, 1905 Vilas County News Eagle River, WI
Article from Vilas County News, July 10, 1905

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ton, vice president of the bank, locked the institution's books in the vault to await the arrival of J. T. Bradley, national bank examiner, whom the comptroller appointed receiver of the failed bank, and he would only say: "The bank's trouble was not caused by dishonesty on the part of any one, but by lending too largely to one borrower." The borrower is, of course, Devlin. and the bank is said to hold the capitalist's paper to the amount of $1,000.000. Devlin, whose sudden illness brought about a tangle in big coal mining and railroad properties, valued, it is estimated, close to $7,000,000, is, still under the care of a physician, and no statement could be secured from him. Following the announcement of the failure, a lively run started on the Central National bank, but the officers made every effort to pay the depositors as fast as they made demands. The excitement died down, and at closing time only a few small depositors remained at the teller's window. Another run of lesser degree started on the State Savings bank, the Bank of Topeka and on the Merchant's National bank. At none was the demanu for withdrawals great. In Debt for Millions. Kansas City, July 4. - The Journal says: The Kansas City bank last night received an inquiry from Baltimore indicating that Devlin owes $710,000 to a Trust company of this city. It is known that Devlin and his corporations owe the First National of Topeka $1,100,000; other banks of Topeka something like $500,000; Kansas City banks nearly $1,000,000; St. Louis $300,000, and Chicago about the same amount.