7666. Louisiana Savings Bank (New Orleans, LA)

Bank Information

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

Metadata

Model
gpt-5-mini
Short Digest
a5085fd5

Response Measures

None

Description

The bank appears among a list of New Orleans banks that temporarily suspended on March 20, 1879 due to lack of currency. It then is reported to have suspended again on June 30, 1879 for the purpose of liquidation. Subsequent 1880 reports show the bank's president convicted for embezzling bank funds, indicating the institution did not resume normal operations and effectively closed. No explicit depositor run on this specific bank is described in the articles, so this is classified as a suspension leading to closure. OCR corrections: 'Louislana Bavings Bank' corrected to 'Louisiana Savings Bank.'

Events (3)
1. March 20, 1879 Suspension
Cause Details
Temporary suspension announced as part of clearinghouse arrangement and for want of currency; action described as to avert a threatened panic and to await shipments of currency from New York.
Newspaper Excerpt
The following is a list of the New Orleans banks whose temporary suspension was announced to-day: ... Louisiana Savings Bank ... 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.
Source
newspapers
2. June 30, 1879 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Reported suspension alleged to be 'for the purpose of liquidation.' Subsequent reporting (1880) of the bank president's conviction for embezzling funds supports a bank-specific solvency/scandal cause.
Newspaper Excerpt
The Louisiana Savings Bank has suspended. ... The Louisiana Savings Bank suspended payment to-day, it is alleged, for the purpose of liquidation.
Source
newspapers
3. February 1, 1880* Other
Newspaper Excerpt
Mr. E. C. Palmer, lately president of the suspended Louisiana Savings Bank of New Orleans, was this week tried ... upon the charge of embezzling $47,000 of the bank's money. ... jury returned an unqualified verdict of guilty.
Source
newspapers

Newspaper Articles (10)
1. 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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Article Text

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

2. 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.

3. 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.

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

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Article Text

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.

5. March 26, 1879 The Weekly Clarion Jackson, Meridian, MS
Article from The Weekly Clarion, March 26, 1879

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Merchants Convention at Forest. By a circular from Mr. J. T. O'Ferrall, Secretary of a Merchants' meeting at Newton, we learn that it is proposed to hold one at Forest on the first Monday in April, for the purpose of selecting a committee to confer with the Directors of the Vicksburg and Meridian Railroad on the subject of a reduction of the freight tariffs of the said road. All the towns on the line of the road are urged to appoint delegates to the Convention. THERE is great trouble among the New Orleans Banks, the following is a list of those whose suspension has been announced: Germania National Bank, Hibernia National Bank, Louisianą National Bank, Mutual National Bank, New Orleans National Bank, State National Bank, Union National Bank, Bank of Lafayette, Citizens' Savings Bank, Louisiana Savings Bank, Metropolstan Bank, New Orleans Canal and Banking Company, People's Bank, Workingmen's Bank.

6. 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."

7. June 30, 1879 The Cincinnati Daily Star Cincinnati, OH
Article from The Cincinnati Daily Star, June 30, 1879

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Fourth Edition THE LATEST In Brief. National Associated Press to the Star. NEW ORLEANS, June 0.-The Louisiana Savings Bank has suspended. PITTSBURG, PA., June 30.-Mrs. Doyle fell into the Allegheny this morning. She was rescued by a workman in the mill, but she will probably die. NEW YORK, June 30.-Chastine Cox was o-day indicted for murder in the first degree. He pleaded "Not guilty," and will be tried July 14th. LONDON, June 30.-In the Roman Catholic pro Cathedral at Kensington to-day High Mass was said for the dead Prince Imperial with most imposing ceremonies.

8. July 1, 1879 Chicago Daily Tribune Chicago, IL
Article from Chicago Daily Tribune, July 1, 1879

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FINANCIAL. Special Dispatch to The Tribuna. New ORLEANS, La., June 30-The Louislana Bavings Bank suspended payment'to-day, It is alleged, for the purpose of liquidation. GALVESTON, June 30.-A News special from Antonio says the Michael Brothers, wholessic liquor dealers, closed to-day. Liabilities, $70,000.

9. February 14, 1880 The Donaldsonville Chief Donaldsonville, Gonzales, LA
Article from The Donaldsonville Chief, February 14, 1880

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Mr. E. C. Palmer, lately president of the suspended Louisiana Savings Bank of New Orleans, was this week tried before the Superior Criminal Court of that city upon the charge of embezzling $47,000 of the bank's money. After an absence of an hour and ten minutes, the jury returned an unqualified verdict of guilty. Mr. Palmer's counsel will move for a new trial, the principal ground of which will be that the charge of Judge Whitaker was calculated to unduly influence the minds of the jurymen against their client. Bills of exception were reserved to the refusal of the Judge to make certain special charges submitted by counsel for the accused.

10. April 2, 1880 Essex County Herald Island Pond, Guildhall, VT
Article from Essex County Herald, April 2, 1880

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# Western and Southern States. Samuel H. Myers was hanged at Dallas, Texas, for murdering his mother-in-law in 1877. Edward C. Palmer, president of the suspended Louisiana savings bank, of New Orleans, found guilty of misappropriating $47,100 of the institution's funds, has been sentenced to three years' imprisonment at hard labor. Clarence Davis, a bigamist with thirteen wives, tried to commit suicide in a Chicago jail, to which his many marriages had brought him, but was prevented. The United States circuit court in San Francisco has decided that the law forbidding the employment of Chinese by corporations is unconstitutional. General Grant with party arrived in Galveston, Texas, from Mexico, a few days ago, and was received with military honors and a banquet. Frank Lewis, of Marshall, Texas, while insane, killed his boy with poison, and then, going to his wife's grave, took poison himself and died. An incendiary fire destroyed about a dozen houses in the business part of Chatham, Va. Six men have been murdered by a party of Indians near Santa Barbarra, New Mexico. The Indians also attacked the village of San Jose, but were repulsed. Three men were killed by the explosion of a boiler belonging to a sawmill near Columbus, Ga.