7645. Hibernia Bank and Trust (New Orleans, LA)

Bank Information

Episode Type
Run Only
Bank Type
state
Start Date
February 3, 1933
Location
New Orleans, Louisiana (29.955, -90.075)

Metadata

Model
gpt-5-mini
Short Digest
2c448bc1

Response Measures

Accommodated withdrawals, Borrowed from banks or large institutions, Public signal of financial health, Capital injected

Description

In early February 1933 a depositor run on Hibernia was triggered by public criticism of its president (Rep. Fish's remarks). The bank obtained large emergency loans (RFC ~$20M) and private funds (~$4M) and invited depositors to draw as desired; it did not suspend operations in these accounts according to the articles. Cause classified as bank-specific adverse information (public attack/association with a failed company) though some articles call the panic false rumors.

Events (1)
1. February 3, 1933 Run
Cause
Bank Specific Adverse Info
Cause Details
Public criticism of bank president Rudolph Hecht by Representative Hamilton Fish (linking Hecht to the defunct Union Indemnity) sparked withdrawals.
Measures
Reconstruction Finance Corporation loaned about $20,000,000 and the bank raised about $4,000,000; vaults stocked with cash and depositors invited to withdraw but assured funds were safe.
Newspaper Excerpt
Hecht ... said started after Rep. Hamilton Fish ... attacked him before the house ... millions of dollars had been withdrawn.
Source
newspapers

Newspaper Articles (10)
1. February 5, 1933 Albuquerque Journal Albuquerque, NM
Article from Albuquerque Journal, February 5, 1933

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Article Text

BLAMED FOR RUN BANK IN SOUTH Head of Depository Criticized by Representative Fish in Connection With a Loan NEW ORLEANS La., Feb. 4 Hecht, president of the Hibernia Bank and Trust and of the ad visory committee of the Reconstruction Finance corporation Saturday wired Representative Hamilton Fish in New York that attack on him before the house had caused on his bank and millions of dollars had been withdrawn. The banks Orleans and in of the state ed response Friday Allen declaring Saturday holiday of anniversary of the diplomatic relations Germany Representative Fish on Thurs. day Hecht loan obtained by the Union of New last Fish that he had taken the application felt his criticism had Fish plied that he would be glad to by and that he had said reflected the Hibernia bank.

2. February 5, 1933 The Times Shreveport, LA
Article from The Times, February 5, 1933

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Article Text

HECHT DENIES CHARGE MADE BY REP. FISH Tells N. Y. Representative His Statement Harmful, Unfair to Bank New Orleans, Feb. (/P).-Representative Hamilton Fish. Republican of York, was charged with starting run on the Hibernia Bank and Trust in New Orleans by Rudolph Hecht. by his attack on Hecht before the house banking Thursday in connection with Finance Corporation loans to the defunct Union Indemnity company of New Orleans. In an exchange of telegrams, Mr. Fish expressed confidence in the Hibernia Bank and Trust company and said nothing he said reflected on the bank and that he was willing review the information and did not wish to do Mr. Hecht an All of the banks in New Orleans and in many other parts of Louisi(Continued On Page Two.)

3. February 6, 1933 Lincoln Journal Star Lincoln, NE
Article from Lincoln Journal Star, February 6, 1933

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Article Text

HOPE TO CHECK BANK Conditions at New Orleans More Reassuring. NEW ORLEANS. Officials of the Hibernia Bank and Trust that directors the Reconstruction Finance had 20 million dollar loan the bank provided the bank raised millions and of $10,000 more agreed to "freeze" 50 cent of their deposits until the poration's loan was repaid. Bank officials believed they could meet the requirements and stop the bank. The said they had raised

4. February 6, 1933 Brooklyn Eagle Brooklyn, NY
Article from Brooklyn Eagle, February 6, 1933

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Article Text

Rush $24,000,000 To Stop Bank Run New Orleans, Feb. the Hibernia Bank and Trust stacked with 000,000 from the nance and other sources today to break the bank's Rudolf Hecht, said started after RepresenHamilton him before the House Banking In New York Fish said last he was confithe bank "sound and liquid,'

5. February 6, 1933 Evening Vanguard Venice, CA
Article from Evening Vanguard, February 6, 1933

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Article Text

RFC Funds Rushed to Save Bank when "Run" Started by Depositors NEW ORLEANS, Feb. (AP) Vaults of the Hibernia Bank and Trust were stacked with millions from the Reconstruction Finance and other sources today break run which the bank's president, Rudolf S. Hecht, said started after Rep. Hamilton Fish, (Rep., N him before the house committee. In New York, Fish last night confident the bank "sound and liquid.

6. February 6, 1933 The Knoxville News-Sentinel Knoxville, TN
Article from The Knoxville News-Sentinel, February 6, 1933

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Article Text

LONG CLAIMS CREDIT AS BIG BANK IS SAVED R. Loan of $20,000,000 Obtained for Hibernia at New Orleans, NEW Feb. Louisiana's Sen. Huey today ered himself with glory for the Hibernia Bank and Trust threatened with general run until the Reconstruction pledged loan $20,000,000 during the night to meet expected withdrawals. An orderly started today on the Hibernia bank. despite surances state and financial leaders that the bank had ample funds on hand to pay off every depositor "dollar for dollar All banks doing business as usual. Activity was generally confined the Hibernia. Officials invited the people to "come and get sir. did said Sen Long, spilling glass "buttermilk' on his trouser legs. 'Well, now that have saved the banks. can finish that elec. tion contest. Works Without Stopping The contest he spoke of is ing heard by special Senate sub-committee here. Long had worked indefatigabsince Friday night, when Rudolf Hecht, president of the Hibernia, him there was quiet on the bank, caused by charges made in Congress by Rep. Hamilton Fish of New York. Fish claimed Hecht should be from his office as chairman of the regional committee of the R. C. because he was director in defunct Union Indemnity Co. which failed recently just after receiving loan from the corporaHecht claimed Fish's statement undermined confidence in the Hibernia, that eastern financial interests had withdrawn several millions in deposits Friday, that the "incalculable damage had been done the banking structure of the whole South. Holiday Declared Long sprang into action. He summoned financial leaders and state officers. Gov. O. K. Alien declared legal holiday for Saturday, enabling the banks to close Monday There conferences with bankers. who arrived here from the South Long, the undisputed leader in the uation from conference, his flying in the breeze, always confident, ever dominating. Late night the tension was Long several assuring statements, declaring there 'enough millions of government money available at the Hibernia pay off every depositor without going outside the doors.

7. February 6, 1933 The Minneapolis Journal Minneapolis, MN
Article from The Minneapolis Journal, February 6, 1933

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Article Text

Aids Banker Rapped by Solon New Orleans, Feb. Vaults of the Hibernia Bank and Trust stacked with millions from the Finance and other sources today to break run which the Rudolf Hecht, said started Representative Fish (rep., him before the house banking In New York, Fish he was confident the "sound Twenty-four million dollars In cash were in the vaults be side funds already there and itors Invited draw their money they chose, but officials assured them it was safe. Twenty million dollars were made available by the R. C. and $4, 000,000 more was raised by the bank. called Hedwig and that she was stolen about 1931. was playing in the snow and my busy man me and put me sled,' she told police. and then ship to New where was given to the man who brought me to Los The girl was turned over to county officials by William Dathe, years old, who applied for relief He said he found the girl New York station bench and took Hedwig German fluently and to be telling the no lars from New York the of such a child, believe story.

8. February 6, 1933 The News-Star Monroe, LA
Article from The News-Star, February 6, 1933

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Article Text

NO FEAR IS FELT ABOUT CONDITION ORLEANS Millions Of Dollars Are Stacked In Vaults Of Institution CONFIDENCE IS VOICED R. Aid Is Obtained; Federal Reserve Governor On Scene NEW ORLEANS. Feb. With stacks of money their backs, New Orleans banks threw their doors hour earlier open Monday and invited depositors withdraw money they excited over false rumors banking difficulties New Orleans. An hour after the opening, most the banks reported receiving more funds in deposits than they Normal bankout. ing business reported by the banks except the Hibernia Bank and Trust and line of approximately hundred persons, mostly women, stretched before the savings count window. NEW Feb. Vaults of the Hibernia Bank and Trust were stacked with company millions of dollars Monday to break the started on the bank Friday run after its president, Rudolph Hecht, been criticized by Fish, Republican of New Hamilton York, the house banking mittee in Washington. million dollars in hard and greenbacks were stored the vaults against funds already there and depositors invited to draw out their they chose but money they assured their money just safe now has been during Continued on Eighth Page)

9. February 6, 1933 The Macon News Macon, GA
Article from The Macon News, February 6, 1933

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Article Text

Long Claims Own Work Saved Huge New Orleans Bank FEMRITE NEW (UP)glory for Hibernia Bank and Trust general the Finance of night the his paced the the Roosevelt thing for the people Yes, mighty thing for Really Favor (Senator Edwin doing the people me defend our Demohe claims he but it really turned that he did the people have saved the finish that election he spoke heard by mittee Long Friday Rudolf Hibernia, informed him quiet run on caused by charges by Hamilton York. Continued on Page Two

10. February 6, 1933 The Tulsa Tribune Tulsa, OK
Article from The Tulsa Tribune, February 6, 1933

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Article Text

Millions Pour Into Bank R. C., Other Loans to New Orleans Depository May Avert Run NEW Feb. dollars were made available Sunday night to the Hibernia Bank and Trust to break the run on the bank started Friday by out-of-town deposit. ors after the president of the bank had been criticised by a member of Twenty million dollars were loaned the bank by the Reconstruction Finance Corp. after Sunday sessions Washington and four million dollars raised by the bank. With this additional money added to funds already on hand. the Hibernia officials said they were prepared to meet any with. drawals at the opening of the bank today. Depositors were invited to draw out their money but were assured that it just as safe now has been during the 62 years of the