7693. Metropolitan Bank (New Orleans, LA)

Bank Information

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

Metadata

Model
gpt-5-mini
Short Digest
922fb0c4

Response Measures

None

Description

March 20, 1879 coordinated Clearing House temporary suspension of payments (limit $200 per depositor per day) due to scarcity of currency and to avert a panic; order set to expire March 29 and funds were being shipped from New York, so the suspension was temporary and expected to end (reopening). No discrete depositor run described in the articles.

Events (1)
1. March 20, 1879 Suspension
Cause
Local Shock
Cause Details
Scarcity of currency and threatened panic; Clearing House imposed a $200 per-depositor payout limit and certified checks temporarily; banks ordered currency from New York to arrive by March 29.
Newspaper Excerpt
The clearinghouse banks decide not to pay out on checks more than two hundred dollars to one depositer in one day... The order of suspension will expire on the 29th inst., and before that time funds from New York will have reached the banks.
Source
newspapers

Newspaper Articles (10)
1. March 21, 1879 The Sun New York, NY
Article from The Sun, March 21, 1879

Click image to open full size in new tab

Article Text

PRICE TWO CENTS. CRESCENT CITY FINANCES. WHY THERE WAS A GENERAL SUSPENSION OF NEW ORLEANS BANKS. A Serious Pante Averted by Resorting to the Method Adopted by the New York Banks In 1873- The Effect there and In this City. NEW ORLEANS, March 20.-The Clearing House Association voted, this morning. that in order to to protect the business public from the calamity of any further suspensions of banks arising from what seems an entirely unneces. sary panic in the withdrawal of deposits from banks known to be solvent and sound, the Clearing House banks should not pay out on checks more than $200 to any one depositor on any one day. and that all other payments should be made by certification of checks, which should on by the the arrangement to tempoClearing be received House. deposit banks members be inst. of rary, and to expire on Saturday. the 29th The banks having accepted this proposal, a despatch was sent to New York by the President of one of the banks here. informing the New York banks that the banks here have suspended until currency arrives from New York. All Clearing House banks by resolution have refused to pay out on checks more than $200 to any one depositor in any one day until the 29th. Exchange in New York is entirely nominal. Correct quetations cannot be given. The followinglis a list of the banks that have temporarily suspended: Germania National, its New York correspondents being the Fourth National and Importers' and Traders' Banks: Hibernia of New Orleans, New York correspondent Importers' and Traders' Bank: Louisiana National Bank. New York correspondent Third National Bank: New Orleans Mutual, New York correspondents City and Mechanics' Banks: New Orleans National. New York correspondents American Exchange and Hanover banks: State National of New Orleans, New York correspondents Bank of New York and Park Bank: Union National of New Orleans, New York correspondent Park Bank: Bank of Lafayette of New Orleans, New York correspondent American Exchange Bank Citizens of New Orleans. New York correspondent MetroBank: Louisiana National, New politan York correspondent Fourth National Bank: New Mechanics' and Traders' of New Orleans, York correspondents M. Morgan's Sons: Metropolitan of New Orleans, New York correspondents Limburger & Taliman of New York: New New Orleans Canal and Banking Company. York correspondents M. Morgan & Sons of New York: People's of New Orleans, New York correspondent Merchants' Bank: Southern Bank New Orleans, New York correspondent of Chemical Bank: Workingmen's Bank of New Orleans. New York correspondent Park Bank. To stop a growing panic following the late Orsuspension of the Southern Bank of New and the Mechanics' and Traders' Bank two leans, savings banks. all the other banks, thirteen number, composing the Clearing House Association. in agreed to make certification of checks bedrawn against them on the basis of business tween themselves, and with depositors. howCollections for distant customers, will be remitted for, as heretofore. in ever. checks on New York. In effect this has action currency involves only local interests here. and checked the panic. the pretext for which will cur- be entirely removed in a day or two when rency arrives, which is already ordered about from New York. The banks held this morning $2,200,000 in legal tender notes, and $3,000,000 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_recelved more currency from depositorsthat they paid out. MEMPHIS Tenn.. March 20.-The New bank- Orleans bank troubles have had no effect on ing or other business in this city. All of the banks included in the New Orleans this Clearing House have correspondents in of city: but, so far as could be learned. none them is affected by the temporary suspension. Manager Camp of the New York Clearing House said that the action taken by the New Orleans the banks was exactly similar to that taken by banks here during the panic of 1873. It was done to prevent depositors from getting their out and putting it in their pockets. money where it would do no one any good. and market. only increase the stringency of the money could betransneted as usual the use settlement of Business of certified checks. which that but is made little through the Clearing House, so banks. changes hands or leaves the money Nearly every correspondent of the New Orleans received despatches from there yesterday assuring banks them of their solvency and that all was well. Demands for money were also received. dol- As could be learned, n round million of far as was shipped to New Orleans yesterday. lars The shippers said that the money belonged here to the banks withdrawing it. it having lain trouble deposit. The exaggerated reports of on caused no perceptible effect on the stock OI

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

Click image to open full size in new tab

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

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

Click image to open full size in new tab

Article Text

LOUISIANA. A General Suspension of Banks. New Orleans, March 20.-A growing scarcity of currency caused the temporary suspension here of the following banks: Germania National Bank, Hibernia National, State National, Union National, Bank of Lafayette, Citizen's Bank of Louisiana, Citizens' Savings bank, Louisiana Savings bank, Metropolitan bank, New Orleans Canal and Banking company, People's bank and Workingmen's bank. Orders for currency have been sent to New York and large amounts were shipped to-day. The order of suspension will expire on the 29th inst., and before that time funds from New York will have reached the banks. The action taken was to avert a threatened panic. The banks held this morning about $2,200,000 in legal tenders and $3,000,000 sight exchange on New York, exclusive of their portfolios, with which to meet about ten millions due depositors. Most of the banks to-day received more currency from depositors than they paid out. Collections for distant customers will be remitted for as heretoforein currency checks on New York. The effect of this action involves only local interests here and has checked the chances for a panic, any pretext for which will be entirely removed in a day or two when the currency arrives.

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

Click image to open full size in new tab

Article Text

FINANCIAL FLURRY. Temporary Suspension of the National and State Banks of New Orlean-Scarcity of Currency and Threatened Panic the Cause -Large Currency Shipments from New York. NEW YORK, March 20.-The following is a list of New Orleans banks whose temporary suspension was announced to-day: Germania National bank, Hibernia National bank, Louisiana National bank, Mutual National bank, New Orleans National bank, State National bank, Union National bank, Bank of Lafayette, Citizens' Bank of Louisiana, Citizens' Savings bank, Louisiana Savings bank, Metropolitan bank, New Orleans Canal and Banking company, Peoples' bank, and Workingmen's bank. Many orders for currency were received here today from New Orleans, and large amounts were shipped. The order of suspension expires the 29th inst., and before that time funds from this city will have reached the banks. The action taken was to avert a threatened panic.

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

Click image to open full size in new tab

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.

6. March 22, 1879 Daily Press and Dakotaian Yankton, SD
Article from Daily Press and Dakotaian, March 22, 1879

Click image to open full size in new tab

Article Text

The following New Orleans banks suspended on Wednesday: German National bank, Hibernia National, Louisiana National bank, Mutual National, New Orleans National, State National, Union National, Bank of Lafayette, Citizens bank, Louisiana Savings bank, Metropolitan bank, New Orleans and Banking Company's bank, Workingmen's bank.

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

Click image to open full size in new tab

Article Text

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.

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

Click image to open full size in new tab

Article Text

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."

9. March 27, 1879 The Leavenworth Weekly Times Leavenworth, KS
Article from The Leavenworth Weekly Times, March 27, 1879

Click image to open full size in new tab

Article Text

The New Orleans Panic. NEW YORK, March 20.-The following is a list of New Orleans banks whose temporary suspension was announced to-day: Germania National Bank, Hibernia National Bank, Louisiana National Bank, Mutual National Bank. New Orleans National Bank, State National Bank, Union National Bank, Bank of Lafayette, Citizens Savings Bank, Louisiana Savings Bank, Metropolitan Bank, New Orleans Canal and Banking Company, People's and Workingmen's Bank. Money orders for cur rency were received here to day from New Orleans, and large amounts shipped. The order of suspension expires the 20th inst. and before that time funds from this city will have reched the banks. The action taken W88 to avert the threatened panic. NEW ORLEANS, March 20-Collections from 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 day or two, when the currency arrives, which is already ordered from New York. The banks held this morning about two million legal-tender, and three million sight exchange, on New York, inclusive of their port folio, with which to m et about ten millions due depositors. Most of the banks to-day received more currency from depositors than they paid out

10. March 30, 1879 The Weekly Elko Independent Elko, NV
Article from The Weekly Elko Independent, March 30, 1879

Click image to open full size in new tab

Article Text

A NEW ORLEANS dispatch announces the temporary suspension of the following banks: The Germania National Bank, the Hibernia National Bank. the Louisiana National Bank, the New Orleans National Bank, the State National Bank, the Bank of Lafayette, the Citizens' of Louisiana, the Citiz ns' Savings Bank of Louisiana, the Savings Bank, the Metropolitan Bank, the New Orleans Bank. the New Orleans Canal and Banking Company, the Peoples Bank, and Workingmen's Bank. Collections for distant customers will be remitted for. as heretofore, in currency checks on New York. The effect of this action only involves local interests and has checked a panic the pretext for which will be entirely removed in 11 day or two when the currency arrives which is already on its way from New York.