7612. Brunswick Savings Institution (Brunswick, ME)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
savings bank
Start Date
September 15, 1877
Location
Brunswick, Maine (43.915, -69.965)

Metadata

Model
gpt-5-mini
Short Digest
6525d0bfbbcae65c

Response Measures

None

Description

Articles report a court-ordered reduction of depositor accounts (under the 1877 savings-bank law) to cover losses and allow the bank to continue. No explicit bank run is described; the bank appears to remain in business after the decree. I corrected OCR oddities (estitution -> institution).

Events (2)
1. September 15, 1877 Suspension
Cause
Government Action
Cause Details
Judge intimated he would issue a court decree to reduce depositor claims to 90 cents on the dollar under savings-bank law to enable bank to continue operations.
Newspaper Excerpt
Investigation of the affairs of the Brunswick Savings estitution shows the bank's condition more favorable than expected, and at present marked rates, the assets of the bank would produce about 92 cents to the depositors. Judge Walton intimated that he should issue a decree for a reduction of the bonds to 90 cents on the dollar, in order to enable the bank to go on safely with its business
Source
newspapers
2. December 16, 1878 Suspension
Cause
Government Action
Cause Details
Court decree under the 1877 act reducing deposit accounts (pro rata reductions) for Brunswick Savings Institution; implemented to address shrinkages and avoid dissolution.
Newspaper Excerpt
Thirteen of the fifty-nine savings banks now doing business, have had their deposit accounts reduced by decree of court... They are Brunswick Savings Institution...
Source
newspapers

Newspaper Articles (2)
1. September 15, 1877 The Portland Daily Press Portland, ME
Article from The Portland Daily Press, September 15, 1877

Click image to open full size in new tab

Article Text

STATE NEWS. ANDROSCOGGIN COUNTY. David Sevens, who has just been committed to Oxford county jail for bigamy, has a record in Lewiston police annals. Two years ago he was found guilty of breaking and entering a Park street stable. Judge Walton gave him a round sentence, and he began duty in Auburn work-shop. Soon he fell ill, ostensibly. and a lady called to see him. "Why are you?" asked the jailor. "The wife of David Stevens," said she-and was admitted. A few days after another lady called to see him. "Who are you?" asked the jailor. "The wife of David Stevens," replied the woman. "I don't exactly see, but I suppose it's all right," said the sarcastic jailor, and she was admitted. Meantime Stevens was reputed to be ill of consumption, and in course of time he was pardoned out. Now he turns up as a quack doctor, married again in Norway, not so consumptive as he might be. The Sophomore class of Bates College have chosen the following officers for the ensuing year: President, I. F. Frisbee; Vice President, O. W. Foss; Secretary, C. H. Deshon; Treasurer, C. B. Rankin; Orator, R. C. Gilbert; Poet, H. L. Merrill; Historian, J. A. Palmer; Prophet, M. P. Judkins; Toast Master, M. T. Newton; Odist, E. G. Moore; Chaplain, C. A. Holbrook; Committee, W.A. Purington, A. L. Woods, E. L. Richards. The Auburn jail workshop is now making paste work, inner soles, &c. The county commissioners have disposed of all unsold shoes made in the workshop for $4500. When business shall have sufficiently improved, the manufacture of shoes will be resumed. There are now about thirty prisoners employe in the workshop. AROOSTOOK COUNTY. Hadley Fairfield's majority for Register of Deeds in Southern Aroostook is about 500. CUMBERLAND COUNTY. Mr. Robert Pennell of Brunswick, Saturday attempted to pass through an entry way to another room in the dark, mistook the door, and fell down cel'ar receiving injuries from which he died Tuesday. Investigation of the affairs of the Brunswick Savings estitution shows the bank's condition more favorable than expected, and at present marked rates, the assets of the bank would produce about 92 cents to the depositors. Judge Walton intimated that he should issue a decree for a reduction of the bonds to 90 cents on the dollar, in order to enable the bank to go on safely with its business, and to give all the depositors an opportunity to secure their proportion whatever appropriation there might hereafter be in any of their suspended securities. KENNEBEO COUNTY. Wednesday night last, between eleven and twelve o'clock, the sleeping apartment of Mr. Daniel Hanscom of Hallowell, was entered, and his wallet, containing upward of one hun-

2. December 16, 1878 The Portland Daily Press Portland, ME
Article from The Portland Daily Press, December 16, 1878

Click image to open full size in new tab

Article Text

THIRTEEN OF THE FIFTY-NINE SAVINGS BANKS NOW Thirteen of the fifty-nine savings banks now doing business, have had their deposit accounts reduced by decree of court, under the provision of section thirty-six of the act to revise and consolidate the laws relating to savings banks, approved February 9, 1877. They are Brunswick Savings Institution, Thomaston, Orone, Camden, Bangor, Androscoggin County, Pembroke, Calais, Skowhegan, Bridgton, Auburn, Dexter, and Franklin County Banks. It is believed that ultimately there will be no loss to depositors in the Auburn and Bangor banks; that the losses in the others will range from two to ten per cent., except the Thomaston which will be about twenty per cent. The losses in these banks, with one exception, are comparatively small, and are all the result of shrinkages that could not be foreseen, many of which are temporary. The Examiner strongly condemns the efforts which have been made to bring Savings as well as National banks into disrepute and says this effort has contributed very much to strengthen the ruinous and senseless panic of the past year, which for a time threatened the stability of our savings institutions. The banks that have been compelled to apply to the courts have been brought to this largely by this panic. So far from the assertions as to the rottenness of our savings institutions, which contributed to this panic, being true, the savings banks have with rare exceptions been well managed and prudently conducted. Their capital has suffered much less depreciation than a like amount of capital invested by the best business men of the country, since the inauguration of our civil war. The Examiner says that the result of the law of 1877, authorizing the court to reduce accounts of depositors, so as to divide losses pro rata among them has been beneficial to all concerned and the law has prevented much evil that might have resulted from runs upon the banks. The Supreme court having ruled in the matter of the Newport Savings bank that under section 36 of the Savings bank act, if the point was taken and proved that a bank had exceeded its powers or failed to comply with any of the conditions or restrictions of the act the petition must be denied, the Examiner suggests that the section be so amended that the court be empowered to reduce the deposit account, and thereby avoid a dissolution of the bank, if the loss did not arise from dishonesty on the part of the managers of the bank. The deposits and profits of the fifty-nine banks doing business on the 4th day of November last, were $23,173,112.22. The assets, as compared with 1877, are as follows: Assets. 1817. 1878.