7613. City Bank (New Orleans, LA)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
May 31, 1842
Location
New Orleans, Louisiana (29.955, -90.075)

Metadata

Model
gpt-5-mini
Short Digest
b4338725

Response Measures

Accommodated withdrawals, Full suspension

Other: Multiple New Orleans banks' suspensions driven by mutual distrust and refusal to jointly resume specie; City Bank paid large specie out then suspended.

Description

Contemporary articles (late May–early June 1842) describe a heavy run on New Orleans banks beginning May 30–31 that forced multiple banks (Citizens', Louisiana State, Consolidated, Commercial, Canal and City) to suspend specie payments. The City Bank suffered a large outflow (reported $80,000 paid out in one day) and suspended in early June 1842; by August 1842 it is listed among suspended banks. No clear evidence in these articles that the City Bank soon reopened, so classified as suspension leading to permanent closure/continued suspension.

Events (2)
1. May 31, 1842 Run
Cause
Local Banks
Cause Details
A disagreement/refusal by several major New Orleans banks (Consolidated, Citizens', State) to join a coordinated resumption undermined confidence; jealousy and lack of concert among banks triggered depositors to withdraw specie
Measures
Resuming banks doubled/trebled paying tellers and paid out specie promptly; some banks increased staff and kept counters open later to accommodate note holders
Newspaper Excerpt
a run was made on the Citizens' Bank yesterday... the crowd increased and commenced drawing specie... The run continued from 9 until 2 o'clock
Source
newspapers
2. June 1, 1842 Suspension
Cause
Local Banks
Cause Details
Following the run and the withdrawal of specie (large daily outflows reported — e.g., $80,000), the City Bank suspended specie payments along with several other New Orleans banks in early June 1842
Newspaper Excerpt
The suspension of the City Bank was announced on the 2d instant. The City Bank, therefore has suspended specie payments.
Source
newspapers

Newspaper Articles (16)
1. March 22, 1842 The New York Herald New York, NY
Article from The New York Herald, March 22, 1842

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Financial Explosions in New Orleans. This is truly the age of revolution in every branch of human life-but in none more so thani in banking and currency. We have just received accountsfrom New Orleans, of the great bank explosion which has taken place in that city. This upheaving of the financial revolution has already closed five banks, and the prospect that ten more will give up the ghost. The following is from our correspondent NEW ORLEANS, March 1812 Grand Bank Revulsion in New Orleans-More Bank Frauds-Tellers running away-Italian OperaIrish Repeal. JAMES GORDON BENNETT, Esq.:DEAR SIR:It is a great pity that there is no one to read your articles on the currency, (which are the best written of any paper in the United States,) and so understand them as to put them in practice. If some one here would undertake to do it, he would reap more honor in the end than half a dozen financiers. As this is the second commercial point in the United States, it should have a solid specie currency, and its exports should always exceed the imports. Yesterday the city was all excitement again, caused by the closing of the Atachafalaya Exchange and Orleans Banks, by the Attorney General, under the new Bank Law, which will be liquidated by the Board of Currency, who are all in favor of specie payment, and three better men could not have been chosen is our whole community. The Improvement Bank has petitioned the Legislature to go into liquidation, which I think will be granted. The Attorney General has commenced suits against all of the other banks that have not accepted the law-viz: City, Union, Louisiana, Canal and Commercial, all of which will probably be closed upin a few days. The Merchants' Bank has closed her doors, after being perfectly used up She was trying to get a snapat the public pap, but her wind broke before that stream could be brough to her aid. Uncle Sam cannot de better than to leave his money where it is, in the Union Bank. Failures are plenty here, but rouges are more so. Yesterday morning the Paying Teller of the Atachafalaya Bank was discovered to be among the missing; and as usual in suca cases, the cashier, clerks and all, began to overhaul the accounts, when it was ascertained that several individuals, with himself, had overdrawn their accounts to the amount of 150 to $2000,000, for which amount he left his due bill. His securities are not worth one cent, and some of them may have had a finger in the pie. So wego-we will soon arrive to such a state that when a man accepts any office whatever in a bank, he will be immediately set down as a rouge. We are a very quiet people here; the banks can pay or not, just as they please; it matters not to us. If they had acted in some places as they have done here, they would all have been laid to the dust ere this; while here you will only discover few persons collected together in some shanty, talking the subjectover very calmly. Business-as far that there is none here, and the less said about it the better. Cotion dull, very; flour $5, and dull; will be lower with you; pig lead, one of our great articles, has of late taken a new channel, and some 10 to 12,000 pigs have been purchased for the French market, at $3,75 to $4; whiskey 16c; corn 42s. Theatricals are in full tide just now. At the San Carlos they have the Italian Opera, which is doing wonders. Madame Ober Rassi has taken our creoles by storm, and it is with the utmost difficu ty that you can get a seat on the nights of the Opera. Mr. Bulter is playing the off-nights, in conjunction Brown and Miss Rock. Last night Fanny tz commenced an engagement at the American to a brilliant house. The Or.eans is doing nothing of note while the Italians are at the Saint Charles. This is a great city, and we do things up on the most approved plan. Of late we have had several Irish repeal meetings; and to-morrow night we are to have an anti-repeal one, so you see we shall have the benefit of both sides of the argument. We have had a very serious los in the burning of Jefferson College, which was one of the greatest ornaments to the State. Loss about $160,000; insured for $62.000, $40,000 of which is in the Ocean Insurance Company We have here now the most delightful weather, like July with you. River on the stand: More anon.

2. May 25, 1842 Daily Richmond Whig Richmond, VA
Article from Daily Richmond Whig, May 25, 1842

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, From the N. O. Bee, May 17. : THE CRISIS-THE FIRST DAY. I Yesterday morning. at nine o'c'ock. The Union, City, Louisiana, Carroliton, Commercial, Me I chanics' and Traders' and Canal Bank, opened their , doors under full resumption. The Consolidated , Bank, very unaccountably, withdrew from the arI rangement entered into on the Saturday before, by which it also had agreed to resume, and refused to throw open its vaults, alledging, as a reason for r such conduct, that the Citizens' and Louisiana State Banks had refused to undertake cash ments, would no. the and of that it, therefore, At paymeeting the Bank Presidents, of Saturday, at which resumption was agreed upon, the Citizens' , Bank was not represented, and the President of the ) State Bank refused to sanction the measure, as the Directors had not empowere.i him to decide, either , for or against resumption. The subsequent determination of those Banks, therefore, could scarcely ) be appealed to to justify the course of the Consoli) dated Bank Upon the opening of the Banks, a considerable run was made upon them by the holders of small sums. The excitement was increased materially by the refusal of the Consolidated, Citizens' and State Banks to join in cash payments, and until half past two o'clock. the calls for specie, at the Union, City, and Canal Bank, were constant. At the Mechanics' and Traders', Carrollton and Commercial there was some stir early in the morning; but it was not kept up for more than forty minutes; after which time the demand for coin abated, and to the expiration of banking hours few notes were presented for specie. The Union and City Banks were crowded with note holders until a later period; but before 3 0'clock, the demand for specie upon those institutions slackened off to such an extent, that there was not a man in either of them desirous of obtaining cash for his notes, unsatisfied. So far from any attempt being made to evade the full force and effect of resumption, the payir g tell. ers in the resuming banks were doubled and trebled, in order to detain note holders as little as possible. The banks "stood up to their fodder" like "Georgia majors," and made every exertion to pay out as fast as the notes were produced. The exact amount of coin taken from the vaults, we could not ascertain; but we were happy to remark a feeling of confidence gradually taking possession we noticed several of the under public mind, and persons, who, the previous excitement, had drawn specie, returning it to the banks, being perfectly satisfied to exchange it for the same notes they had so shortly before hurried over their counters for the coin. Had the Consolidated, State and Citizens' bank joined in the measure, there had been nothing left for us to regret; as it is, the resuming banks will, in our opinion, weather the crisis in fine style. The notes of the non resuming Banks are at a discount of course; and will continue to depreciate until they likewise resume. We have been furnished with the following statement of the specie drawn from the various Banks yesterday. The City Bank paid out $80,000 and received on deposite $15,000-loss $65,000. The Union Bank paid out about $50,000-Canal $25,000, Commercial $30,000, Carrotton about 2,000, Mechanics & Traders a trifling amount, and the Bank of Louisiana paid out $3,000 and received upon deposit $14.000-making in all a diminution of about $175,000 in the specie of the resuming banks. P. The Presidents of the resuming Banks have had a consultation, and are determined to go ahead. The best spirit prevailed amongst them, and they are convinced of their ability to sustain cash payments.

3. May 26, 1842 The Daily Madisonian Washington, DC
Article from The Daily Madisonian, May 26, 1842

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HURRA FOR A SOUND CURRENCY Yesterday's sun rose brighter than usual, and looked down upon the broad lands of Louisiana with a smile that gladdened the hearts of all good citizens, and men were observed to move upon the dull earth with lightsome step and heads erect. be reYesterday was a memorable day. It will ferred to hereafter as the epoch of " honesty" returned to Louisiana after a five years' absence. Seven out of the ten surviving banks made a grand effort aad paid their obligations in the legal money of the Republic. It was a remarkable day, too, for the signal piece of treachery to sacred promises on the part of the State ank Consolidated Banks. These institutions solemnly agreed on Saturday last to pay coin yesterday, but the directors reconsidered that promise, and refused to come up to the rack." two Nothing daunted by the desertion of these George Stanleys, on the morning of the battle the City, Commercial, Union, Mechanics' Carrollton, Canal, Louisiana Banks marched out in solid column, and opened their vaults to their creditors. Had the three Banks down town, now known by the significant title of the 'State of Consolidated Citizens, done their duty to the public, resumption of specie payments would have passed of as an ordinary occurrence. But it proved otherWise, not in consequence of any doubt on the part of the holder of notes, but in consequence of a scheme said to be set on foot by the State of Consolidated Citizens, which paid out the notes of the resuming institutions to an army of Faithfuls to go up and draw the cash, for the purpose of replenishing the vaults of the said "State, &c The appearance of these gentlemen in such numbers alarmed, temporarily, the unwary, and the crowd in the Union, City, and Canal Banks increased up one o'clock, when people having got wind of the "movement" of the "State, &c., fell off and for two hours thereafter great indignation was expressed by the bystanders and the citizens generally. The main point of attack was upon the City Bank, whose President is regarded with especial horror by "State of Consolidated Citizens." The common talk among those citizens was, Ah, ah, we have got damne. Yankees on the hip at last. The Citizens' Bank will give Peters hell to-day, the Consolidated will follow to-morrow, and on the third day the State will close his weer with a "sockdologer.' This is evidently the feeling at the bottom of this whole affair, but It has failed, and will fail most miserably. The Seven Banks will pay their debts, let come hat may The people are with them, heart and hand. Au early hour, the notes of the "State of Consolidated Citizens" were offered in the streets and in the brokers' offices, at all sorts of discounts. Actual were made as follows Citizen's Bank notes, 10 to 18 per cent. discount. Consoididated " 10 to 18 State 101515 They are tendi downwards, and it three clock yesterday, they were regarded with great suspicion. is The Citizens' Bank committed gross violation law in paying out Third Municipality Shinpiasters yesterday, at her counters, in exchange for her own notes. This was th game played by the Burstups, when they were driven to the wall. They say that the Citizens' paid out $40,000 of this trash in the course of the day, and " is now known by the name of Citizens Bank currency. The State Bank did large business. She paid her notes under five do lara in coin. It was a disgrace to see S wealthy a conc rn palter in a double serise. and treat the public so scurvily The Consolidated threw herself upon her reserved rights, and refused to redeem her notes in anything. She considered them as good as wheat, though the holders did not, as the above table will show. Considerable quantities of specie, drawn out of the coin paying Banks, by the inhabiants of the region of "les trois Banques," were deposited, it is said, in those institutions, on special deposite. The notes of the "State of Cons ls. and Citiz ns, were repudiated by the seven specie-paying Bank and refused in payment of debts On a comparison of the best information out dorrs, it appears that some $150,000 in coin were paid out by the seven Banks, but chiefly by the Union and City, at which a dead set seemed to be made. But what are $150,000 to these institutions? They can and will pay out if called on. ten times that amount They stand on the rock of truth and honesty, and not all the enemies of a sound currency in the world can overthrow them. The amount of coin received on deposit by the seven Banks, we learn, reached $100,000. two days more, the deposits will exceed all that has been paid out. Public confidence is with the-seven Banks, and in their march they will not leave a vestige of irredeemable paper behind them. The Courier of last evening (French side) asserts that " confidence is the basis of human affairs." To be sure it is, but Banking affairs must rest upon the basis of coin, before confidence in them can exist.No talk, no argument will sustain the " Trois Banques" against Banks which pay their debts in coin. The Plaquemine Gazette gives the alarm against Consolidated notes. It says that that section of the State is flooded with this paper, and remarks that an enormous flight of Exchange and Atchafalaya Bank iper preceded the destruction of those institutions. The seven Banks paid out coin yesterday with the utmost alacrity and promptitude. No let or hindrance was made to bill-holders and depositors, but all were immediately accommodated. This is the way. Men or Banks who can pay their debts, have nothing to fear, and the seven Banks are fortunately in this category. Immense quantities of sight Exchange were sold yesterday, on New York, at par to one per cent. premium. To people, abroad, we have but one word to say, and we think we have a right to say it, for we have been alone in our advocacy for resumption in this city, and gave warning always, where there was danger. Our word is Stand by the seven specie-paying Banks of New Orleans. if you doubt them, try them, and they will dissipate all doubt, by paying you what they owe you. They resolved to pay, they can pay, let come what may If the three repudiated Banks, the C. C. S. do not c ome in. their notes will be at 30 per cent. discount in a week's time. Trade has already felt the benign influences of resumption. People breathe.freer. Confidence has returned. The People of New Orleans have sworn eternal enmity to irredeemable paper currency, and they will foster the seven honest coin-paying Banks, and the law and public opinion will prevent them from ever suspending again.' Hurrah, then, for a sound currency

4. May 27, 1842 Richmond Enquirer Richmond, VA
Article from Richmond Enquirer, May 27, 1842

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19th Resumpts the 17th, 18th, connect and interesting On the Banks of Orleans papers, accounts of of the of events that city. resumption "a 17th May, run the day of was the resumption, made upon was them (the increased by the materially holders and State sums of the The excitement wa Consolidated, and Citizens', until half past and two refusal in cash payments, at The Union, City, and calls for specie, At the Mechanics some Bank the were constant. and Commercial there not was kept up Carrollton, the morning: but after it was which time the hours de and than in forty at minutes: the expiration of The bonding City Bank loss and Caabout abated. presented for on specie. deposite $15,000 $50,000; Commercial a trifling and Traders The Union Bank 30,000; paid Carrollton out amount, about and 2.000; the and out upon received $3,000, paid of a all about in diminution the banks. resuming the go ahead. the resuming specie of banks, held a consultaand was passed, State ausolidated (the complete. 19th) the crisis At 12 clock, Banks on open- the is now not "There Bee says, for cash the The city that known does that not the pay three inconside non When begun was cash payments, the excitement an of time. banks had made upon them; bat No more specie of the one With that Now not drawn. length required by the or two business wo solitary exceptions, the banks in coin obligations fixed the period aid and will meet forward were to redeem their by law- we have support reason ithevery a equal currency been It therefor. valued they The State acquired has at 2 now high sacrifice, obsolutely and this to enjoy her continue citizens and all panic have emselves Let of their discourage institution as business they will of the The Presidents their monetary worthy of faith, Banks and that resumed The citizens good spirits. all and envies jealousies. We that trust, disappear the of ouncing will 11th the pleasure The Bank Convention intimated that 1st the August. in Virginia. already it is Exchange "the At WheelBaltimore the and discount, papers cent. Banks discount per Virginia of Henrico Society Harticultural Quar Bacon Wednesday and and Fair It place was at one of the witness- most scenes interesting the which Associa the least the was better and brilliant, The Company was the largest, among them, part not of the Crethe of the whole into spirit from mean, admirable The ladies of course, the opening address prayer by read Mr. Mr Turner-the the were Rev Mr Reports Norwood of the the Premium fruits Committees and the worst flowshibitedthe President, that of the Ladies-an works hop from the needles produced from pronounced the by the cutlery of that this city, was that was manufactured in various Ame from Mr Barnes equal to any There were also the manu Mr Foreign artists.) implements of various descrip the varieties which, agricultural Palmer-and stock and qualities of the subs Lamong wound most conspicuous. up by cheap, Turner but presided; very domes nothing which capital Mr. cider, and the Gaiety and no the over and vicinity of Richmond. there was The toasts speeches patriotic and we about left catching that table, man without the on great from his neighbor, We had which together brought a more heard finer spirit exhibitedthe on and to speed expressed, at details further and publish of SOON the enthusiasm have no room Mr. Garnett's for as Address, possible. CommitteesRHODE ISLAND. the from on country, return night Tuesday we find the for had been week, agitation abated Rhode considerably cuestion Island the once upon than vere more over without bloodshed is out some called parties yet the scene has passed The troops mystery of the There that of transactions the under impres the Suffiage The Suffrage the party had induced Gov all Dorr resort to of calling the Charter party volunteers to abandon Convendethe and by solemn basis promises of suffrage, correcting of yielding to the enlarging the Government, Island But there men of present the People whether of Rhode some designing whe people. imposed serious doubts, upon the Suffrage has not Party been induced We has we.gatheret the two during which even Mr. Sheriff deceive Anthony and to betray laid very the copious last detranspired we our the from Herald Providence From 21.) May Herald. Procidence were and Tuesday Wednesday no shed was blood out, turned as have these, makWhile was every preparation such and while deadly conflict, accom side sides almost for inevitable, came from proposition to of Mr the that few :emost positive men on the Landholders if he would settled but retire ho assuring days, him, every thing What this should proposition be positive was, we grances both:parties learn that the most into effect be On know; but given we should honorable be carried to Mr Wednesday Dorran onner friends-this which should was on Tuesday planted around Mr had Dorr de to emained torning 8 cannon had been by brave men and who no doubt it. The from cannon artets, and stand manned by him to the Landholders death, party some had them hold received have done several pieces accession of of men to make man the ar towns prepared, and an understand, to We preparations believe, Mr. Dorr,a we whatever learn, that these of his ow his unwilling be should on shed account. least what that the blood He there of of both parfriends he After Mr. had Anthony retired, he did so the why troops, reasons stating and the would low cease, difficulties to the manner party Suffrage honorable so, be and the should great the What left and satisfied ground. have informal Mr of the house approached tired, had Dorr they generally in affair know Thus about an troops hour known after Mr. in the terminated -why for not "drawn battle, of both parties; agreement that was blood spilt. libe "No one against contends the extension op _and earliest to after record suffrage lighment of be should made. "IL liberal (at that such an what do you conceive think- it quite 80 li. pray, Mr. Many Journal, of your least party they have hitherto

5. June 10, 1842 Holly Springs Gazette Holly Springs, MS
Article from Holly Springs Gazette, June 10, 1842

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NE 10, 1842. VOLUME 1---NUMBER 46. From the Kennebeck Journal. THE Banks.-On Sunday morning we announced the PASS ROUND unanimous opinion of the Banks, with one solitary exception, to resume specie payments yesterday, and even that bank had The true Whig, published at Washington, reminds its not given a direct negative to the question of recumption-she readers and the public that in the two years previous to Gen. was merely not represented at the meeting, at which it was Jackson's war on our currency system, the number of tanks agreed ou. We hailed the announcement as le commencecreated was 22, with a capital of $8,000,0000: that in the ment of a new and a better era; we thought it would be the next two years the number of banks created was 268, with signal for the restoration of confidence--the prelude to the $368,000,000; that the former banks were generally sound, the that improveme of business-the harbinger of Leaer trade and and the latter have generally better times. Bu: what was our astonishmen: to find, yesterLoco Focos are now breaking down the very currency they day morning, that of the nine banks which had resolved to regave us, bad as it is, and are fast reducing us to the condition sume the payment of specie, two of them, the Consolidated of no currency at all. Bank and the Louisiana State Bank, withdrew from their reAnd pass it round, we add, that by the reports of the Secresolve, and in common with the Citizens Bank refused to pay tary of the Treasury, it appears that the bank bills in circuspecie on the opening of their doors yesterday morning. lation in the whole Union. in 1816, amounts to This circumstance, and the reports so industriously circu$68,000,000. lated by interested individuals, of the solvent condition of this This was before the charter of the second U. S. Bank, and institution and the bankrupt condition of that, created quite a when we had been without a National Bank for four years. panic among our community, and every one, from the holder The charter of that Bank wasthen granted, with a capital of of a V to him who had thousands placed to his credit in certain of the banks, seemed eager to convert it into the precious thirty five millions of dollars. Did expension follow? Oh metal. The consequence of this feeling was, tha: the seven no-very far from it. Fourteen years afterwards, or in banks that commenced the good work of resumption, had 1830, the whole amount of bank paper in circulation, from what is called in technical phrase, a run on them all day. all the banks, was They withstood it nobly. All hands were called to attend $61,323 898, to the desires of claimants; indeed, the wish seemed to be with being a decrease in fourteen years, while the U. S. Bank was them, not how little, but how much they could reekon and in operation, of nearly seven millions. pay out. As sheer justice to them, we will here give their Well, what next? The President vetoed a bill to re-charter names. They are-The Bank of Louisiana, The Union the Bank in 1832, and then what followed! In 1837, the Bank, The Canal Bank, The Mechanics and Traders Bank, bank paper in circulation had increased to The Carrolton Bank, The City Bank, The Commercial $149,185,890. Bank -N. O. Picayune of 24th May, 1842.

6. June 12, 1842 The New York Herald New York, NY
Article from The New York Herald, June 12, 1842

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COMMERCIAL BANK OF NEW ORLEANS, NEW ORLEANS, June 1st, 1842. public is hereby notified that this not Bank resume has until susThe its payments in specie, and will fixed by law. pended the 5th of December next, the GEO. peried O. HALL, Cashier. following are further extracts from New that Orleans The papers, describing the state of feeling in pleasant capital NEW ORLEANS, June 1 SpeANOTHER BANK CRISIS-MORE throughout SUSPENSION.-The the whole of vestercie excitement abatement. continued The crowd at the Consolidated gave way day without was so dense and eager that the of counters the police became before Bank the pressure, and the presence Several persons in urging necessary to to the preserve paying order. teller, fainted from with exhaustion, a compact betheir way the heat and wrestling confusion some ing overcome multitude. by In the midst of the profitable munutuary fingered gentry cerried on Banks. a more By the bye, of the light the bill holders of the that class of this business run upon than the Banks is facilities, furnishing which, if there best our be population with rumours, uncommon they are improving to the that set truth advantage. in current Notwithstanding Association, the strong current she stood her in against the Consolidated and was paying specie to the alose pub- of ground manfully, hours. From the statement there of her should affairs, be no lished doubt business 01 in the the Courier ility of the of yesterday, institution corporations. to sustain resumpwas tion Against equally the with Canal her Bank hours sister a run was commenced prosecuted with early vigor, in the day, towards and for the at several afternoon the City Bank, abated but considerably. the supposition was carried There is, off.- that some nearly stir as too much specie was said, deposited that the as run upon the banks On the whole it failure. may be The attack may be renewed The towas but decided certainly with poor prospects confined of success. chiefly to the feeling, day, we are glad to classes percieve, of our is population. Among poorer and informed transcient and truly patriotic a and resolution public spirited, not to sa- a the strong well confidence is cherished the community and for the gratification if crifice the avarice interests or of a selfish cupidity. Very of the little, pending any of a blind expressed of the result world table of doubt, need be institutions publish to the a receive struggle. Our to their liabilities, and if deserve, they there assets, equivalent generally the support they specie pay from the citizens uncertainty as to the continuance Bulletin. of 2. can ments be by no the banks of New Orleans. JUNE The run upon consequence, the Banks continued three institutions, yesterday the without Con- are solidated abatement. Association, In the Commercial, ments. and The the remaining Canal, forced into a cessation viz. of the specie City, pay the Union, the Louisiana, Mechanics' and seem resolved to hold on, the five corporations, and Traders' and the Carrolton, of their still to hold out manfully, can be little, if any doubt, unthe ability end. to maintain There their resumption ground. The commenced, circumstances were cerder which the recent and ill-advised, and to this, more We alluded than any to tamly untoward be ascribed the failure. Banks themother want cause, of confidence is to existing jealousy among so the openly and frethe selves, and the hostility There and can be no question and sustained but that, each if quently displayed. had acted in concert have been very our institutions of the experiment might excited a similar other, the result As is, their mutual The distrust inevitable consequence was, a run ableto stand.- [bid. different. feeling in the opon public the banks, mind. which none but the strongest if was greater, of them BANKS. is excitement yesterday day. The stoppage jourTHE than upon any previous announced in the public the possible, Consolidated Bank, and as the subsequent the withdrawal number of of nais of the morning, and Canal Banks from unsettled the the Commercial institutions, so of cempletely one or two of the paying publicimind, specia-paying that the counters suffocation until the distrust expiration o spread banks were hours. crowded The to contagion became of popular fidgety, uneasy drain- and banking itself to the depositors, considerable who extent assisted The in amounts suspicious, vanits already and to beset a with the multitude. ing abstracted were enormous. that we acquaint the public It s with no little chagrin which had borne the brunt determined of the that the City such Bank, fortitude and resolution, There has could be no to discontinue crisis with cash payments of to day. her depositors had been dedisguising their the fact faith that or some constancy : and her assistance directory of shaken in evening, rather than accept the suspend at other cided last banks in sustaining specie payments, to once. now four banks that continue specie Carroll- payThere are Louisiana, Mechanics' and Traders', of Peru, they ments-the too, and Union-and had we the mines should be at now their reaping service. the blessings of will Locofoco follow tamper- experiWe are Experiment until the pubing with the currency. tread upon expedient, resource for ment, and expedient satisfied that there is a but national one currency lic sound will become circulation, and the that nation is passed through the same preTwenty a five years ago in finances endured Governcisely the and same rash fluctuations legislation-unt by creating the General a circulation uawise ment put an end to experiments Sooner or later a like remedy will are for the whole Union. When the inventions to of the quackery old remedy be resorted the to. people will been go found back a specific against the end the exhausted, which. in times past, now has afflicts us. All others, in JONE very will prove disease dead that weights."-[Beean The cashier of the Union Bank called statement, last eve that all inas the drew our had attention suspended, to yesterday's which continued he deemed all an day error, to pay w o Banks the Union Bank had if error it be. When would much demand. as We correct the error, idea the Union Bank It i ma the statement we had But no it did- we saw it done. pay specie that yesterday. the Bank paid out about the Board $200,000. of Currency rumored According to the this last Bank report had of of circulation $536,000. meet th an dated 23th 4710.000-making May, $1,255,000, and to One half depositos quarter $400,000 in specie only. out yesterday million and a is supposed to have than been a million, drawn have a right and is amount creditors laiming more not call? And can the Union will Ban to call to-day. Will they call? That enough of them ma cai can doubt pay take them away if they the do remaining $200,000, no reasonable

7. June 13, 1842 The New York Herald New York, NY
Article from The New York Herald, June 13, 1842

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BY THE SOUTHERN MAIL. OCT The Southern Mail had not arrived at the time of our going to press. LATEST FROM NEW ORLEANS-PROGRESS OF THE REVULSION.-Our accounts last evening came down to the 4th inst. The confusion, paralysis, and com mercial fright, was beyond all precedent. The following are extracts:NEW ORLEANS, JUNE 1.-The specie paying banks sustained themselves well yesterday-indeed there was no run upon any but the Union, and that was a slight one. Our citizens seem to have become convinced that the banks that have held out thus far are sound, and no depositors were disposed to draw out specie further than their business wants required. The consequence was, that no run was made yesterday, and the five specie banks remained sound and undisturbed. Should these five institutions prove themselves able to maintain their specie paying stand, our city would be able to boast that pecie was the standard of some of her banks, even if the same banks had no promises to pay affoat? The Union Bank is now believed to be established in her specie-paying position. For the honor of our city it is hoped that she and the other four banks will hold out the hard money flag-though we the people must suffer greatly from being driven to the use of a currency (the only one obtainable for daily use) greatly below par.-Bulletin. REMARKS ON THE MARKET FOR THE LAST THREE DAYS.-Once again is our currency thrown into chaos, and trade may be said to be almost completely paralysed in consequence. In our last Wednesday's report we noticed the suspension of specie payments by the Citizen's and Louisiana State Banks, but strong hopes were entertained that all the others would maintain their position. These hopes, however, have been disappointed. A panic seemed to have seized upon both billholders and depositors, and on Wednesday and Thursday four others, viz : the Consolidated, Canal, Commercial, and City, declared another suspension. The banks which still maintain their payments in specie are the Union, Mechanics and Traders, Bank of Louisiana and Carrollton. We have thus emphatically and literally a "mixed currency," and prices of merchandize partake so much of a similar variety that we find it almost impossible to arrive at correct quotations until matters become more settled. -N. O. Price Current. GEORGIA GOLD MINES.-The Milledgeville Journal states that persons who follow the pursuit of digging for gold in that vicinity, have of late been much stimulated in their labor in consequence of the handsome profits they have in many instances realized. It is said that in the neighborhood of Dahlonga, there are from fifteen hundred to two thousand pennyweights found daily. At one mine, on Battle Branch, there was lately found one lump worth, it is said, one hundred and twenty-eight dollars. It is supposed, from present prospects, that there will be at least from $300,000 to $400,000 realized in that section from the pursuit within the present year. The late success in this business is drawing the attention of many others to it.

8. June 13, 1842 New-York Daily Tribune New York, NY
Article from New-York Daily Tribune, June 13, 1842

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Iaised Bills are will We quote disc. Apalachicola 11 a Philadelphia Mobile 25 a 251 Baltimore par a 24 a 27 251 a 2. Montgomery Virginia Tuscaloosa 2/a 3 25) a 26 N Carolina - a New.Orleaus 1:a 1. Charleston 12 a 13 Nashville 12 a 2 Savannah Lonisville 2) a 21 13 a 2 Augusta 9 2 10 St. Lou 20 a 221 Columbus 20 Cinclunati 3) a 4 Macon There is some inquiry for Treasury Notes for investment, at par and t premi. A dividend of five per cent. will be paid by the Auburn and Rochester Railroad on the 1st proximo. We understand that arrangements have been made to redeem the notes of the broken James Bank on and after the 15th instant at par. The Etna fire Insurance Company have declared a div. idend of eight per cent. The attempt to resume specie payments in New-Orleaus has virtually exploded. In consequence of the hesitation of the Citizens', State and Consolidated Banks to resume on the day the other Banks resumed, confidence was impaired. and a run was kept up. The consequence was the suspension of the Consolidated. State and Citizens'. followed by the City, Commercial and Canal Banks, until 5th December next, the day fixed by the law. The Banks which pay spe. cie are the Mechanics and Traders', Carrolton, Union and Bank of Louisiana. On the Union there had been a runThe City Bank lost $160,000 Specie in one day. Therewas a most intense panic prevailing, and such were the crowds in the banking rooms that several persons fainted, and two were reported to have died. The following was the state of three of the banks on Saturday, May 28: Circulation. Specie. $294,245 $112,554 Citizens' Bank 419,390 170,025 Consolidated Bank 387,645 227,527 State Bank $1,101,280 $510,106 There are due to the three Banks, payable within 90 days, nearly a million dollars: $144,729.57 Citizens' Bank 136,355 24 Connsolidated 325,029 95 Louisiana State Bank $906,114.76 The above six banks suspended on the 30th of May and 1st of June. The v-Orleans Bulletin of the 3d instant

9. June 16, 1842 Lynchburg Virginian Lynchburg, VA
Article from Lynchburg Virginian, June 16, 1842

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NEW ORLEANS BANK SUSPENSIONS. There has been a panic created in New Orleans, in consequence of some disagreement in matters of policy among the Banks of that city, and a heavy run was made upon them. followed by the suspension of specie payments on the part of several of the Banks. On the 31st May, the Citizens' Bank and the Louisi ana State Bank announced their intention to suspend specie payments until the 5th of December next. On the 1st instant the Commercial Bank, the Canal Bank and the Consolidated Association Bank also sus pended. The suspension of the City Bank was announced on the 2d instant. The New Orleans Bulletin of the 2d instant, speaking of the suspension of the City Bank, says-"This fact, we feel warranted in saying, settles the question of specie payments in New Orleans for the present. No Bank in the city, that issues notes will redeem them in specie before autumn at least." The Picayune of the 3d instant says "The present specie paying banks are the Mechanics' and Traders," the Carrollton, the Union, and the Bank of Louisiana. All these banks, except the Union, have but a nominal existence. They are neither issuing their own notes, nor discounting those of others; so that their position is a matter of little consequence to the public.Their liabilities are but small, and they are known to have means to meet them: there is, therefore, no anxiety-no excitement regarding them. It was not so yesterday with the Union Bank. There was a brisk run on her in the morning, but she promptly aswered all demands with silver.--Thiscreated confidence in her behalf, and long before the time for closing her doors the "run" declined to a very easy "walk," her counter in the meantime being filled with specie." It is said that two persons had died from injuries received in the crowd at one of the Banks. The New Orleans Courier of the 1st says "More than six hundred thousand dollars, !in specie, it is said. will have been exported from New Orleans during the fortnight ending Jane 4." The following are extracts from letters. New Orleans, May 31. "There was a run made on the Citizens' Bank yesterday. About 12 o'clock the crowd increased and commenced drawing specie from the State Bank and the Consolidated Bank. This morning the Cashiers of the Citizens' and State Banks have announced that they have suspended until the 5th December next. the time given by the Legislature. It is said that the Citizens' Bank has $500,000 in sterling exchange, which she has not been able to sell. No person appears to know what caused the run on the Banks. The Consolidated Bank has not suspended." "June 1. "The Consolidated Bank has suspended specie payments. The holders of her notes having lost confidence, owing to the suspension of the Citizens' and State Bank, made a run on her yesterday. The crowd was great, and the day being very warm. several persons fainted. and were carried cut of the Bank apparently lifeless.The run continued from 9 until 2 o'clock, and amounted almost to an impossibility to reach the paying teller's counter. Men were seen coming cutas wet from pers.

10. June 16, 1842 Martinsburg Gazette Martinsburg, WV
Article from Martinsburg Gazette, June 16, 1842

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From the National Intelligencer. THE NEW ORLEANS BANKS AGAIN SUSPENDED. We received last evening, three or four mails together from New Orleans. On the 30th of May a run upon the Banks for specie appears to have begun, and lasted for several days, which has obliged the New Orleans Banks generally again to suspend specie payments. The following extracts of letters taken from the Charleston Courier, give a more condensed and intelligible account of the matter than the newspapers: NEW ORLEANS, May 31. There was a run made on the Citizens' Bank yesterday. About 12 o'clock the crowd increased, and commenced drawing specie from the State Bank and the Consolidated Bank. This morning, the Cashiers of the Citizens' and State Banks have announced that they have suspended until the 5th of December next, the time given by the Legislature. It is said, that the Citizens' Bank has $500, 000 in sterling exchange, which she has not been able to sell. No person appears to know what caused the run on the banks. The Consolidated Bank has not suspended." JUNE 1. The Consolidated Bank has suspend. ed specie payments. The holders of her notes having lost confidence, owing to the suspension of the Citizens' and State Banks, made a run on her yesterday.The crowd was great, and the day being very warm, several persons fainted, and were carried out of the bank apparently lifeless. The run continued from nine until three o'clock, and it amounted almost to an impossibility to reach the paying teller's counter. Men were seen coming out as wet from perspiration as if they had been taking a bath with their clothes on. The Consolidated Bank is a solvent one, but the directors do not understand how to manage it well." "JUNE 2. The Canal and Commercial Banks did not resume yesterday. The run on the City Bank was very great yesterday. At 12 o'clock she had paid out $70,000, and up to 3 o'clock, the amount drawn (as reported) was $160,000. They will all doubtless suspend before the week is out." From the New Orleans Bulletin, June 3. We repeat, that suspension of specie payments by the Banks of New Orleans, is real-and any pretension to the contrary is illusory. " No Bank that issues notes can pay them in specie. From the Baltimore American, June 14. LOUISIANA BANKS. The excitement in New Orleans has subsided, and the run on the Banks was over on the 4th inst. The Union Bank continued to pay specie for all demands upon it.

11. June 21, 1842 Indiana State Sentinel Indianapolis, IN
Article from Indiana State Sentinel, June 21, 1842

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Annals of Bank Swindling. NEW ORLEANS BANKS.-The New Orleans Bulletin of the second inst. says the run on the banks in that city the day previous was so great as to force five of them to suspend specie payments, viz : the Citizens', the Consolidated Association, the Commercial, the Louisiana State Bank, the Canal and the City. The Union, the Mechanics' and Traders' and the Carrollton still continued to pay specie, and it was supposed had the ability to maintain their ground. The Bulletin, however, is of the opinion that none of them will pay out specie again until next August at least. The immediate cause of the run which forced these institutions to a suspension, is attributed to the jealousy and want of confidence existing among themselves. The New Orleans Advertiser says the Citizens' Bank will never resume, and that it is doubtful whether she will ever be able to meet her liabilities. The Canal Bank is supposed to be wholly insolvent, having invested over a million of dollars in the construction of the new canal, and made heavy dis. counts to individuals from whom little or nothing can ever be collected. The Commercial Bank is represented as in a condition to save the stockholders from any great loss. The North Western Bank of Virginia has had the au dacity to authorize the publication of a notice, that she will redeem her own notes, either in drafts or specie, at 8 per cent discount! This is equivalent to a notice of bankruptcy with a declaration of 92 cents on the dollar. and yet such a concern is allowed to go on and do business. BEAUTIES OF BANKING.-In a late number of Sylvester's Counterfeit Detector. we find a list of the names of upwards of 1200 banks in the United States. Upon a careful examination, we find that of 1200, upwards of 300 are broken or "no sale." which means the same thing sixtv-four are fraudulent institutions ; forty-four are are either closed or closing; fifty-five are at a discount of from 25 to 90 per cent ; sixty-two are from 2 to 20 per cent. discount, and but fifty-two are at par, or worth 100 cents on the dollar, in the city of New York: the same paper also contains a list of over 800 different counterfeits on the various banking institutions in the Union. It may not be amisss to inform our readers, although we had almost forgotten it, that the Branch of the State Bank located at this place, has been removed. We hope the fears some time since expressed, by some of its friends through the Register, lest the people of the country should assemble and demolish it, have received a quietus. Its departure did not, so far as we know, occasion one sigh, or extract one tear. It may be that some of its officers here, whom it took in hungry and naked and kindly fed and clothed will feel some regret in parting with so kind a patron. To such we would say, however, cheer up-the world is large -mankind generous, and loafing a new profession.-.Mt d Carmel Republican. The President of the State Bank of Illinois, has TO r cently been off upon a shaving expedition. He happened to come in contact with one of our citizens at Pittsburgh engaged in the same business; feeling rather ill at ease as we suppose, in being caught in the very act of shaving his own paper, by a gentleman from Illinois, he said he was only shiving a little State Bank paper for a Sister Good !-Wabash Republican.

12. June 24, 1842 Carroll Free Press Carrollton, OH
Article from Carroll Free Press, June 24, 1842

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NEW ORLEANS SUSPENSION There have been some contradictory rumors, in relation to the Banks at New Orleans, but we presume the following from the Bulletin, of the 2d inst., is con. clusive. What may happen there in the autumn nobody can tell. "The City Bank, therefore has suspended specie payments. " This fact, we feel warranted in sav ing, settles the question of specie pay. ments in New Orleans for the present. "No Bank in the city, that issues notes, will redeem them in specie, before autumn, at least "One word, however, to our distant friends or readers. We assure you that New Orlerns is a place. You will get gold, if you want it, for all you bring

13. August 26, 1842 The Yazoo Whig and Political Register Yazoo City, MS
Article from The Yazoo Whig and Political Register, August 26, 1842

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Bank Note Table, Corrected Weekly, NEW-ORLEANS MONEY MARKET. Adapted for Yasoo City Market. Gas Light and Banking Company, par. Bank of Louisiana, par. SUSPENDED BANKS. 25 dis. City Bank of New Orleans, 8 Mechanics and Traders', " Union Bank, 12 " 18 State Bank, " 30 Canal Bank, " 20 Commercial Bank, " Consolidated Bank 35 u 25 Carrollton Bank, " 45 Citizens' Bank, REPUDIATED BANKS, Exchange Bank, 25 c per dol. 30 c dob Improvement do. 25 c Bank of Orleans, 15 c do. Atchafalaya, Blue Backs, 60 to 55 pr d. MUNICIPALITY NOTES. Municipality No. 1, 8 pr ct. dis. " 8 No. 2, sb No. 3 50 40 Alabama, n 8 Tennessee, South Carolina, par. Kentucky, par.

14. March 4, 1843 New-York Daily Tribune New York, NY
Article from New-York Daily Tribune, March 4, 1843

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MONEY MARKET. Sales at the Stock Exchange, March 90 16,200 Ohio 65 1860 $1,000 City 5s, 1870 48 shrs Fulton Bk 101 2,000 State 6s, 1862 101 88 do Butch & Drov do 1,000 20 do Mecb Bk Asso's. 74 26 1,000 State 5ts, 1861 150 do Harlem R 89 5,000 State 5. 1859 18 85 65 do K'y Bk 3,000 Kentucky 6s 181 5 do Canton Co 5,000 Kentucky 5.1 bond 70 25 do 091 8,000 Ohio 6s, 1860 434 25 do Paterson R nw 691 5,000 do snw 691 3,000 do SECOND BOARD. 96 841 1,000 Kentucky 6s $1,000 State 51s, 1861 691 2,000 Ohio 6s, 1860 Commercial and Money Matters. FRIDAY, March 3. The operations at the Board were not large to-day, and the tendency was still downward. State 5s declined per cent; Ohio 6s 1; N Y Kentucky Bank improved 3 per cent; Canton Co. t; Paterson 1. Sterling is 54 a 6; Francs 5 45 a 5 421, with very little doing. Mobile is 22 a 23 per cent discount. The amountoffering is small. The N. O. Bee of the 21st says that the stoppage of the Commercial Bank, which was announced early on the 20th, was immediately followed by a severe run upon the other Banks, more especially on the City and Mechanics and Traders' Banks, continuing up to the cloie of bank kook Commercial Bank notes, however, which in the morning were sold as lo 65 a 40 per cent discount, recovered toward the close or the day, and may now be queted at 22 a 25 per cent discount. The following are the rates of discount on uncurrent and broken bank money, from "Thompson's Bank Note Re porter:" Broken Bank Money. Uncurrent Money 25 Commercial, Buffalo Eastern, bankable in Boston 4 Commercial, Oswego Albany, Troy, Schen. &C # Clinton County Jersey N Watervliet Philadelphia # United States Baltimore 25 Housatonic Railroad Safety fund and red back 40 Phoenix, Charlestown It a Virginia 70 4 3 Ohio Newbury port Bank 10 : Indiana Bank of Lyons 87 6 Bank of Bennington Michigan 2 North Carolina New Hope & Del. Br. Co. 20 62 Illinois Banks 11 South Carolina The following is the amount of Treasury Notes outstand. ing on the 1st inst. : Amount outstanding of the issues prior to the Sist of Augus, 1842, viz: As recorded in this office $8,666,736 24 Deduct canceled notes in hands 23,939 35-8,642,796.29 of the accounting fficers Notes i sued under the act of 31st Aug. 1842 3,025,554 89 Deduct amount redeemed and re. corded in this office $6,164 33 And in the hands of the accounting officers 5,800 00--11,964 33-3,013 590 96 Total $11,656,377.45 Counterfeit $10 and $50 notes on the Alabama StateBask at Tuscaloosa are in circulation in Mobile. The receipts for the last eight weeks on the Western Railroad amount to $48,461, being equal to $6,053 per wees. The following sales of stocks were made at Philadelphia at auction: 43 shares Bank of Penn Township, $16 25 95 de do, 16 37}; 19 do Kensington Bank, 36 50; 92 do Northern Liberty and Penn Township Railroad Co., 30; 34 do Spring Garden Insurance Co, 7 25, 92 do Germantown and Norristown Railroad Co, 871 cts per share; 24 do Southers Insurance and Trust Co, $15 paid, sold for $7. At Cincinnati the demand for Exchange has increased the rate is 11, with a prospect that it will rise Silvering demand at 1 per cent premium. Gold, American, is also in Hemand at 2 per cent premium, buying rate. Bankable paper, for the lax few days, has been nearly all $1 and notes of Indiana and Oaio. The Banks pay cut scaredly any thing larger than a two.

15. March 7, 1843 Wheeling Times and Advertiser Wheeling, WV
Article from Wheeling Times and Advertiser, March 7, 1843

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BANK FAILURE AT NEW OR. LEANS-We learn Iro : the New Or. leans papers that the I commercial Bank of that city suspended payment on the 20th ult. The circomstance IS thus no. ticed in the Bee of the 21st: The city was yesterday was thrown into real confusion by the announcement. in the morning, that the Commer cial Bank had stopped payment. This fact was astound ng as no run had been made upon it of late, and some little con fidence was beginning again to be felt in our monetary institutions The cau. ses which lead to this result, must have grown out of the previous m magement. whereby she was SO much weakened as to be unable to stand up against the natural demands and exactions of coin merce She actually feil from exhaus tion. As was to have been expected from so untowa.d an event, the note holders, and n some instances the depositors, took thealarm and made a run upon the oth er tanks. T e Mechanics and Traders, and the City Bank had to stand thebrunt of the panic. They both paid out spe cie with great alacrity; neither made a ny attempt to evade the run upon herevery officer being engaged in counting out the dollars to those who wanted them. Towards three o'clock. the run upon the City Bank greatly abatel; but the Mechanics and Traders kept her dcors open for two hours after the usual time to accommodate such as desired to ex charge her notes for specie. Upon the State, Union and Canal Banks, the run was very trivial. In the height of the panic, the Com mercial Bank were sold as low as 40 per cent. discount; but towards the close of the day, they rallied and were readily exchanged at 25 a 26 per cent discount.

16. March 8, 1843 Edgefield Advertiser Edgefield, SC
Article from Edgefield Advertiser, March 8, 1843

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[From the N.O. Bee of 21st inst.] The Banks.-Failure of the Commercial Bank.-The city was, yesterday. thrown into real confusion by the announcement. in the morning, that the Cemmercial Bank had stopped payment. This fact was the more astounding as no run had been made upon it of late, and some little confidence was beginning again to be felt in our monetary institutions. The causes which led 10 this result, must have grown out of the previous management, whereby she was so much weakened as to be unable to stand up against the natural demands and exactions of commerce. She actually fel' from exhaustion. As was to have been expected from so untoward an event, the note holders. and in some instances the depositors, took the alarm and made a run upon the other bauks. The Mechanics and Traders, and the City Bank had to meet the brunt of the panic. They both paid out specie with great alacrity; neither made any attempt to evade the run upon her-every officer being engaged in counting out the dollars to those who wanted them. Towards 3 o'clock, the run upon the Bank City greatly abated; but doors the Mechanics and Traders kept her open for two hours after the usual time to accommodate such as desired to exchange her notes for specie. Upon the State, Union and Canai Banks the run was very trivial. In the height of the panic, Commercial Bank notes were sold as low as 40 per cent. discount; but towards the close of the day they railied and were readily exchanged at 25 a 26 per cent discount. It is not to be expected that the community will feel easy under such shocks upon confidence; but yet we believe that there are a number of banks in the city which are perfectly able to live through the worst of panics. We have not ascertained the amount of specie lost by the various banks, nor do we think it necessary to go into the partieulars of yesterday's flare up. We would, however caution bill holders .ne to part with their notes under an apprehension of their not being good. The assets of the Commercial, we venture to say, are equal to the redemption of every bill of hers in circulation. Some time may elapse before her resources are realized. The whig candidate for Mayor of New Orleans was elected on the 20th instant. Mr. Freret had 1289 and Mr. Genois, the democratic candidate, bad 974.