7607. Citizens Bank (New Orleans, LA)

Bank Information

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

Metadata

Model
gpt-5-mini
Short Digest
ebbe4e16

Response Measures

None

Description

Multiple contemporaneous newspapers (Mar 20-21, 1879) list Citizens' Bank (Citizens Bank of Louisiana) among New Orleans banks that temporarily suspended payment because of a scarcity of currency; later local paper (Mar 26, 1879) reports clearing-house banks resumed payments. No explicit depositor run is described in the provided items.

Events (2)
1. March 20, 1879 Suspension
Cause
Local Shock
Cause Details
Growing scarcity of currency in New Orleans; clearing-house limits payouts and ordered currency shipments from New York to avert panic.
Newspaper Excerpt
A growing scarcity of currency caused the temporary suspension here of the following banks: ... Citizen's Bank of Louisiana ... 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. March 25, 1879 Reopening
Newspaper Excerpt
RESUMPTION. Yesterday, after the opening of business hours, our mercantile community found Itself running again in the accustomed gear, the Clearing-House banks having opened wide their vaults, and paying over the counter in the good old way all solid checks presented. Confidence in our banks has evidently been restored, for not the least sign of a rush could be seen on any of these institutions, and no anxiety appeared to be felt about the safety of any. Two of our leading banks, the Canal Bank and the Citizens' Bank, step up to the front and publish statements this morning, which can be found in the proper column of the DEMOCRAT. Both show undeniable strength.
Source
newspapers

Newspaper Articles (11)
1. March 21, 1879 New-York Tribune New York, NY
Article from New-York Tribune, March 21, 1879

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EFFECT IN THIS CITY. VERY LITTLE EXCITEMENT IN FINANCIAL CIRCLESOVER $1,000,000 SENT TO NEW-ORLEANS BY NEW-YORK BANKS. The news of the suspension of all the New-Orleans banks did not cause much excitement in this city yesterday, and bankers declared that it would be temporary. The suspension of one or two of the banks with small capital precipitated action by the New-Orleans Clearing House. The resolution to suspend was followed by telegraph orders upon the New-York correspondents for the balances here to be forwarded in legal-tender notes. The only regret manifested by bankers was that the suspension, even though temporary, should have occurred at this time. It was stated by a leading banker that between March 15 and April 1 was the general settling season between the banks of New-York, Pennsylvania and a part of New-England. Last year at this season $4,000,000 was sent away from this city, against $15,000,000 during the same time in 1877. It was not expected that much over $5,000,000 would be required this year, some of which had been forwarded. The Boston and Philadelphia banks are reported as well supplied with legal-tender notes, and exchange on New-York was quoted yesterday at a discount. The banks yesterday made demands for call loans to meet the drain of $1,000,000 sent to New-Orleans. It was feared that this would make a poor showing on this week's bank statement. The legal-tender surplus last week was less than $4,000,000, and it was feared that on Saturday it would run down to below $3,000,000. The New-York correspondents of the banks which have temporarily suspended are as follows: For the German National of New-Orleans, the Fourth National and Importers' and Traders' Banks of NewYork; for the Hibernia National, the Importers' and Traders'; for the Louisiana National, the Third National Bank: for the New-Orleans National, the American Exchange and Hanover Banks; for the State National, the Bank of New-York and Park Bank; for the Union National, the Park Bank ; for the Bank of Lafayette, the American Exchange Bank; for the Citizens' Bank of Louisiana, the Metropolitan Bank: for the Mechanics' and Traders', M. Morgan's Sons; for the New-Orleans Canal and Banking Company, M. Morgan's Sons; for the People's Bank, the Merchants Bank; for the Workingmen's Bank, the Park Bank: for the Mutual National, the City and Mechanics' Banks. Over $1,000,000 was sent to New-Orleans yesterday from this city. Seven banks in the city which hold the deposits of the New-Orleans banks were called on for money and promptly responded. The following are the amounts sent by the several banks:

2. March 21, 1879 Memphis Daily Appeal Memphis, Hernando, Grenada, Jackson, Vicksburg, Atlanta, Griffin, Macon, Montgomery, Selma, TN
Article from Memphis Daily Appeal, March 21, 1879

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A FINANCIAL EARTHQUAKE. New Orleans Banks Imposing Restrictions that Indicate an Alarming Shakiness-The Effect in St. Louis and New York. NEW ORLEANS, March 20.-The clearinghouse banks decide not to pay out on checks more than two hundred dollars to one depositer in one day, all other payments to be made by the certification of checks, which shall be received on deposit by the banks of the clearing house. The arrangement will be temporary. Collections for distant customers will be re.nitted for as heretofore in currency checks on New York. In effect, this action involves only local interests here, and has checked the panic, the pretext for which will be entirely removed in a day or two, when the currency arrives which is already ordered from New York. The banks held this morning about two million Etwo hundred thousand legaltenders and three million 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. THE EFFECT IN ST. LOUIS. ST. LOUIS, March 20.-The news of the suspension of the banks at New Orleans had comparatively little effect on 'change other than in the southern provision jobbing trade, which was somewhat depressed owing to the belief that monetary affairs at New Orleans and adjacent towns which do their business through the New Orleans banks would be at least temporarily disturbed. The general business of the city and banks here will not be affected to any appreciable extent. NEW YORK COMING TO THE RESCUE. NEW YORK, March 20.-The following is a list of the New Orleans banks whose temporary suspension is announced: 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 to-day from New Orleans, and large amounts shipped. The order of suspension expires on the twenty-ninth instant, and before that time funds from this city will have reached the banks. The action taken was to avert a threatened panic. Over one million dollars were sent to the New Orleans banks to-day from this city. Mr. Hendricks's Position. Indianapolis Journal: "We are not authorized to speak for Governor Hendricks, nor is Montgomery Blair, and when he says that Mr. Hendricks is for the old ticket of Tilden and Hendricks he does not speak authoritatively. That may be Mr, Hendricks's second choice. It is not fair play, however, for eastern Democrats to assume to speak by authority and place Mr. Hendricks second on the ticket. Hailing from the only State north of Mason and Dixon's line carried by the Democrats last year, he is entitled to fair play in the canvass. Natal Railwav Accident

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

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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.

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

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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.

5. March 21, 1879 Wheeling Register Wheeling, WV
Article from Wheeling Register, March 21, 1879

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Financial Flurry in New Orleans. NEW YORK, March ).-The following is the list of New Orleans banks whose temporary suspension was announced to-day: Germania National Bank, Mutual National Bank, New Orleans National Bank, State National Bank, Union National Bank. Bank of Lafavette, Citizens Bank of Louisiana, Citizens Savings Bank, Louisiana Savings Bank, Metropolitan National Bank, New Orleans Canal and Banking Company, People's Bank andWorkingmen's Bank. Many orders for currency were received here to-day from New Orleans and large amounts shipped. The order of suspension expires ou 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 Collections for distant customers will be remitted for, as heretofore, in currency checks on New York. In effect this action involves only local interests here, and has checked the panic, the pretext for which will be entirely removed in a dav or two, when the currenev arrives which is already ordered from New York. The banks hold this morning about $2,200,000 in legal tenders and $3,000,000 of sight exchange on New York, exclusive of their portfolios, with which to meet about $10,000,000 due depositors. Most of the banks to-day received more currency from depositors than they paid out.

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

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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.

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

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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.

8. March 26, 1879 The New Orleans Daily Democrat New Orleans, LA
Article from The New Orleans Daily Democrat, March 26, 1879

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RESUMPTION. Yesterday, after the opening of business hours, our mercantile community found Itself running again in the accustomed gear, the Clearing-House banks having opened wide their vaults, and paying over the counter in the good old way all solid checks presented. Contrary to the anticipations of wiseacres, and that class of men who always see the gloomy side of coming events, everything in our financial circles passed off briskly and at the same time quietly. Confidence in our banks has evidently been restored, for not the least sign of a rush could be seen on any of these institutions, and no anxiety appeared to be felt about the safety of any. Two of our leading banks, the Canal Bank and the Citizens' Bank, step up to the front and publish statements this morning, which can be found in the proper column of the DEMOCRAT. Both show undeniable strength. The Canal Bank's expose shows an amount in gold, United States Treasury notes. etc., immediately disposible, of $2,911,688 14, against an amount of deposits of $3,257,748 77, with loans on demand and mortgage loans realizable immediately upon any emergency. The Citizens' Bank shows a total amount subject to check of $778,426 77, to face which it has on hand $715,821 87, leaving only a difference of $62,604 90, which can be made up within the space of half an hour by calling in some of the loans on call, $100,000 of which, 80 we are informed, could be immediately realized. This is a splendid showing for these two banks; in fact, it demonstrates that it is the next thing to an impossibility to break them.

9. March 27, 1879 The Stark County Democrat Canton, OH
Article from The Stark County Democrat, March 27, 1879

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TEMPORARY BANK SUSPENSIONS. New Orleans Banks Suspend a Few Days to Avert a Panic. New Orleans, March 20.-The Clearing House banks decide not to pay out on checks, more than $200 to any one depositor on one day. All other payments will be made by certi fication of checks, which shall be received on de posit by the banks of the Clearing House. The arrangements will be temporary. Collections for distant customers will be remitted as heretofore in currency checks on New York. In effect this action involves only local interests here and has checked a panic, the pre. text for which will be entirely removed in a day or two when currency arrives, which is already ordered from New York. The banks held this morning about two millions two hundred thousand legal ten ders and three millions sight exchange on New York, exclusive of their deposits with which it will meet about $10,000,000 due depositors. Most of the banksto-day received more currency from depositors than they paid out. New York, March 20.-Following is a list of New Orleans banks whose temporary suspension was announced to day: The Germania Nat'l Bank, Hibernia National Bank Louisiana Nat'l Bank, Mutual National Bank, New Orleans Nat'l Bank, State National Bank, Union National Bank, Bank of Lafayettee, Citizens Bank of Louisiana, Citizens Savings Bank, Louisiana Savings Bank, Metropolitan National Bank, New Orleans Canal and Ba king Company, Peoples' Bank, Workingmen's Bank. The suspension has had but little effect in other cities. Many orders for currency were received here to-day from New Orleans, and large amounts shipped. The order of suspension expired on the 29th inst., and before that time funds from this city will have reached he bank The action taken was to avert a threatened panic.

10. March 27, 1879 The Saline County Journal Salina, KS
Article from The Saline County Journal, March 27, 1879

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MISCELLANEOUS. THE CATTLE QUESTION. A petition in relation to the cattle export trade has been sent to Secretary Evarts, from New York. It is signed by many railroad presidents, insurance and bank presidents and prominent merchants. It suggests that certain sanitary precautions be adopted by the British government, acting in concert with this government, whereby no danger need be apprehended from exportation of our cattle and whereby the present burdensome edict may be removed or at least robbed of many of its oppressive features. Evarts is urged to secure the relief asked for in the petition at the earliest possible moment, as the question is one of national importance and threatens the destruction of one of our greatest commercial enterprises. ST. PATRICK DAY. No name stirs the Irish Catholic heart more deeply than the name of St. Patrick. It appeals at once to their patriotism and to their religious zeal, and now, after more than fourteen centuries since the landing of the saint as a missionary on the shores of Ireland, the return of St. Patrick's day is hailed by the Catholic Irishman everywhere as one of the gladdest of the year. The day throughout the width and breadth of the land, so far as have been heard from, was observed in the usual way. So far no disturbance has been reported from any point. NEW ORLEANS BANK SUSPENSION. All of the leading banks of the city of New Orleans have temporarily suspended for want of currency. The following is a list of the banks: Germania National Bank. Hibernia National Bank. Louisiana National Bank, Mutual National Bank, New Orleans National Bank, State National Bank, Bank of Layfayette, Citizens' Bank of Louisiana, Citizens' Savings Bank, Louisiana Savings Bank, Metropolitan Bank, New Orleans Canal and Banking Company. People's Bank and Workingman's Bank. ELECTRIC LIGHT COMPANY. S. D. Field, superintendent of the Electrie Light Company. San Francisco, has combined the principles of several electric machines so as to work electric light and telegraph lines at the same time. In the Western Union office of San Francisco one of his machines worked 15 lines of circuits varying from 100 to 408 miles, including one duplex 198 miles. It is the first time the experiment has succeeded in working telegraph circuits. TEN DOLLAR CERTIFICATES. The Treasury department has by amended circular, invited all collectors of customs, surveyors of customs, acting also as collectors and receivers of public moneys, postmasters of money order offices, and all other public officers of whatsoever character. to become agents for the ten dollar 4 per cent refunding certificates, authorized to be issued by act of February last. A commission will be allowed and a bond required. POTTER NEEDS INVESTIGATING. The Indianapolis Journal publishes a letter from Hon J. L Evans, late Congressman from Indiana, to Hon. Clarkson N. Potter. charging the latter with being a party either to the opening or copying a private letter addressed to Evans by Consul Bullock, at Cologne, concerning the cipher telegrams published in the New York Tribune. The letter is very severe. BOND REDEMPTION. The treasury department will now redeem the called bonds embraced in the 76th and 80th calls inclusive, paying interest to the day of redemption, or it will redeem at once the bonds included in said calls with interest to date of maturity and apply the proceeds to the payment of any subscriptions for the four per cent. consols. WILLIAM WINS. Surrogate Colvin. in concluding a very lenghthy discustion in the Commodore Vanderbilt will case, says: "I am of the opinion that the probate of the will and codicil should in all things be confirmed. Let a form of decision or a decree be presented for settlement and signature on two days' notice."

11. February 1, 1880 The New Orleans Daily Democrat New Orleans, LA
Article from The New Orleans Daily Democrat, February 1, 1880

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THE CITIZENS' bank. Below will be found a statement of the status of the Oltizens' Bank. It may be remarked that in any event It Is not A question of the hezard of the Interest of depositors, but only Interests of the stockholders. The Citizens' Bank announces to the public that the negotiation with the foreign holders of the bonds Issued In 1836 le still to progress. with reasonable assurance of a satisfactory 80Indon. The bank has no cause to apprehend that the bondholders will resort to streme mensures, certainly not during the pendeney of the negotrations. On the contrary, the bank is assured by Its friends abroad that an equitable adjustment will bemade. The banking department of the bank Is In n position to respond promptly to at demands of the depositors, but from prudential motives prefere tocurtall its operations until the favorsble issue of 118 pending negotiations. This st tement to made to act quaint the pubHe with the facts and to allay apprehensions. By order of the board. JA8 J. TARLETON. Cashier. New Orleans. January 81, 1880 STATEMENT of the Citizeus' Bank of Louistana, Banking Department, at the close of business, thirdeth of January, 1880: RESOURCES. Checks for Clearing House $182 207 28 605 059 18 Currency and coln...... Exchange 17,990 92 Loans on demand 76 866 08- $881,122 46 Loans and discounts 669,316 34 684 707 27 Mortgage department Bonds and stocss 34 385 01- 1,388,409 12 66399 08 Suspended dent Expense account 19 604 57 888 not R5 Real estate 907,090 20$2,652,625 42 LIABILITIES, $849 657 04 Due depositors 78 Due banks and bankers 221.606 Dividends unuald 404 $1,071,667 77 80,957 66 Undivided profits Capital stock 1,500,000 OU- 1.580.957 66 $2,652,626 43 Published by order of the board. JAB. J. TARLE TON, Cashier. fet New Orleans. January 81 1880