8189. Hampshire County National Bank (Northampton, MA)

View Charter #418 on SPMC

Bank Information

Episode Type
Suspension → Reopening
Bank Type
national
Bank ID
418
Charter Number
418
Start Date
April 30, 1898
Location
Northampton, Massachusetts (42.325, -72.641)

Metadata

Model
gpt-5-mini
Short Digest
024cb506

Response Measures

None

Receivership Details

Depositor recovery rate
100.0%
Date receivership started
1898-05-23
Date receivership terminated
1899-03-20
OCC cause of failure
Fraud
Share of assets assessed as good
66.3%
Share of assets assessed as doubtful
20.1%
Share of assets assessed as worthless
13.6%

Description

The bank suspended payment April 30, 1898 after discovery of large defalcations by president/treasurer Lewis Warner. It was placed in receivership and later reorganized and authorized to resume business March 20, 1899. There is no mention of a depositor run in the articles; cause is bank-specific embezzlement/defalcation.

Events (10)
1. May 7, 1864 Chartered
Source
historical_nic
2. April 30, 1898 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Discovery of large defalcations by President Lewis Warner (missing); directors authorized statement that the bank would be closed pending investigation.
Newspaper Excerpt
The comptroller of the currency today received a telegram from Bank Examiner Ewer stating that he had taken charge of the Hampshire county national bank of Northampton, Mass.
Source
newspapers
3. May 4, 1898 Receivership
Newspaper Excerpt
Senator Richard W. Irwin and Benjamin E. Cook, both of Northampton were today appointed temporary receivers of the Hampshire County Savings Bank of Northampton. The bank, together with the Hampshire County National Bank, is now closed owing to the defalcation of Lewis Warner...
Source
newspapers
4. May 23, 1898 Other
Newspaper Excerpt
This bank suspended payment April 30, 1898, and on May 23, following, was placed in the hands of a receiver.
Source
newspapers
5. May 23, 1898 Receivership
Source
historical_nic
6. July 18, 1898 Other
Newspaper Excerpt
The temporary receivers ... have given out a statement to the effect that the defalcation of Treasurer Lewis Warner amounts to $400,000. With the $240,000 which Bank Examiner Ewer estimates were taken from the Hampshire County National bank...
Source
newspapers
7. January 20, 1899 Other
Newspaper Excerpt
Plans for Reorganizing the Hampshire County National Bank...the comptroller requires that $20,000 in new capital be paid in cash by the shareholders...
Source
newspapers
8. March 20, 1899 Reopening
Newspaper Excerpt
The Hampshire County National bank of Northampton, Mass., has to-day been authorized by the comptroller of the currency to resume business as an active national bank association. This bank suspended payment April 30, 1898...it will reopen its doors with an unimpaired capital stock of $100,000.
Source
newspapers
9. March 20, 1899 Restored To Solvency
Source
historical_nic
10. March 22, 1920 Voluntary Liquidation
Source
historical_nic

Newspaper Articles (13)
1. April 30, 1898 Santa Fe New Mexican Santa Fe., Santa Fe, NM
Article from Santa Fe New Mexican, April 30, 1898

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Article Text

BANK PRESIDENT MISSING. National Bank in Massachusetts in Hands of Receiver-Large Sum of Money Stolen. Washington April 0.-The comptroller of the currency today received a telegram from Bank Exmainer Ewer stating that he had taken charge of the Hampshire county national bank of Northampton, Mass. The president, who the examiner says is a defaulter to the amount of $75,000 or $100,000, is reported missing. The president of the National bank is also the president of the Hampshire savings bank. The government examiner arranged through the state examiner for the investigating of the two banks at the saine time, making it impossible for those in charge to transfer funds from one to the other to cover up shortage.

2. May 2, 1898 The Copper Country Evening News Calumet, MI
Article from The Copper Country Evening News, May 2, 1898

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Article Text

BIG BANK LOOT. Quarter of a Million Dollars Said to Have Been Stolen. Springfield, Mass., May 2.-Savings Bank Examiner Locke and National Bank Examiner Ewer closely examined the books of the Hampshire County National bank and Hampshire County Savings bank, both of Northampton. The result shows that there is a shortage of about $18,847 in the savings bank, and one of probably much larger proportions in the national bank, estimated outside at $250,000. Bank Examiner Ewer announced that he could not make a statement of any kind in relation to the condition of the bank. Lewis Warner, president of the national bank, and treasurer of the savings bank, is missing. Shortly after midnight the directors of the Hampshire County National bank authorized a statement that the bank would be closed pending an investigation into its affairs. A statement was also sent out that the Hampshire Savings bank would require thirty days' notice for the withdrawal of all deposits. A director of the national bank made the statement that in the last few weeks President Warner has secured between $40,000 and $50,000 in cash, which, it is thought, he has taken away with him. Cashier Macomber is credited with the statement that the bank is out $100,000, and $200,000, and even $250,000 estimates of the defalcation are now being made.

3. May 4, 1898 The True Northerner Paw Paw, MI
Article from The True Northerner, May 4, 1898

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Article Text

BIG BANK LOOT. Quarter of a Million Dollars Said to Have Been Stolen. Springfield, Mass., May 2.-Savings Bank Examiner Locke and National Bank Examiner Ewer closely examined the books of the Hampshire County National bank and Hampshire County Savings bank, both of Northampton. The result shows that there is a shortage of about $18,847 in the savings bank, and one of probably much larger proportions in the national bank, estimated outside at $250,000. Bank Examiner Ewer announced that he could not make a statement of any kind in relation to the condition of the bank. Lewis Warner, president of the national bank, and treasurer of the savings bank, is missing. Shortly after midnight the directors of the Hampshire County Nationalbank authorized a statement that the bank would be closed pending an investigation into its affairs. A statement was also sent out that the Hampshire Savings bank would require thirty days' notice for the withdrawal of all deposits. A director of the national bank made the statement that in the last few weeks President Warner has secured between $40,000 and $50,000 in cash, which, it is thought, he has taken away with him. Cashier Macomber is credited with the statement that the bank is out $100,000, and $200,000, and even $250,000 estimates of the defalcation are now being made.

4. May 5, 1898 New-York Tribune New York, NY
Article from New-York Tribune, May 5, 1898

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Article Text

RECEIVERS FOR A SAVINGS BANK. Boston. May 4.-Senator Richard W. Irwin and Benjamin E. Cook, both of Northampton were today appointed temporary receivers of the Hampshire County Savings Bank of Northampton The bank, together with the Hampshire County National Bank, is now closed owing to the defalcation of Lewis Warner, treasurer of the savings institution, for whose arrest a warrant has been issued.

5. May 9, 1898 Vilas County News Eagle River, WI
Article from Vilas County News, May 9, 1898

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Article Text

DOMESTIC. Chicago May wheat, $1.221/2. A panic occurred in San Francisco theater. The steamer Servia was burned on Lake Superior. John Y. McKane was released from Sing Sing prison. is missing. It is alleged he has disappeared with the money. The Standard National Bank of New York went out of existence. Philadelphia offers $10,000 to her ball players if they win the pennant. Charles P. Doxey, one of the bestknown politicians of Indiana, died in Andersor. Michigan came out victorious in the third annual debate with the University of Chicago. Judge Thomas A. Dyson of the sixth judicial district of Wisconsin died at La Crosse as a result of a fall. Senator Gorman resigned as chairman of the democratic caucus and was succeeded by Senator Turpie. Six men were killed by an explosion at the Atlantic Dynamite company's works near Dover, N. J. J. Fred Meyers, editor of the Denison (Iowa) Review and an old-time newspaper man, died at Denison. A decision by the North Dakota supreme court will have a tendency to check the wholesale divorce business. A combination of the Arbuckle coffee concern and the Havemeyer sugar interests is reported as very probable. Daniel Bitner, one of the wealthiest and best-known men in Kansas, died at Emporia. He was 80 years of age. The Knights Templar triennial conclave scheduled to be held at Pittsburg this year may be postponed because of the war. Samuel Nichols, managing editor of the Buffalo Times and until recently pension agent of Buffalo, died. He was 55 years old. Gov. Black signed the bill erecting the new county of Nassau out of that part of Queens county not included in greater New York. Eight persons were killed and over $100,000 worth of property was wrecked in a cyclone which swept over Iowa and southwestern Dakota. 3 Andrew Nelson and wife were murl dered by robbers at Black Earth, Wis. Wm. Beston and Wm. Fuller confessed and went to prison for life. Robbery was the motive. A United States senator said that the bribery charges against Senator Hanna made by the Ohio legislature would not be taken seriously by the senate. The announcement of the engagement of George W. Vanderbilt to Miss Edith Stuyvesant Dresser evoked much favorable comment in New York society. The Illinois supreme court declared that the senatorial redistricting act, passed at the recent special session of the legislature in January, was unconstitutional. The president nominated Gen. Michael Kerwin to be pension agent at New York, and Charles H. Treat to be collector of internal revenue for the second district of New York. Nearly 75,000 men have applied for enlistment in New York, and it is believed that city could supply the whole 125,000 men called for by the president for service in the war with Spain. Investigation is being made of the accounts of the Hampshire County National bank and the Hampshire County Savings bank, both of Northampton, Mass. There is reported a shortage of about $19,000 and the president Comptroller Coler reported to Mayor Van Wyck that the constitutional debt limit of greater New York is $246,312,000; that the actual debt is $50,193,246 in excess of the limit, $24,224,846 of which was owing by the old city of New York and $25,968,399 by the territory taken in by consolidation. As a result of a meeting of contractors holding New York city contracts 40,000 workmen were discharged. This is a result of the comptroller's decision that contract liability must be considered in estimating the city debt. As the city will not pay a

6. May 27, 1898 The Herald Los Angeles, CA
Article from The Herald, May 27, 1898

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Article Text

Bank Directors' Responsibility Two particularly flagrant illustrations of improper bank management have been noted within the past few weeks, says the New York Financier, referring to the fallure of the Hampshire County National of Northampton, Mass., and the closing of the First National of Carthage, N. Y. In both cases, says the Financier, the president was the culpable offender and the primary cause of the insolvency. The extent of the villainy of these trusted officers has not yet been fully developed, but enough is known to show that they completely gutted the institutions before discovery, and that their stealings had extended over a period of years. As is usually the case in such instances, the banks were what is known as "one man" affairs-that is, they were under the complete control of one officer, who assumed all responsibility and conducted the business to suit himself. The boards of directors constituted nothing but a perfunctory organization, with nominal duties and no apparent knowledge or interest in the administration of the duties which by law are assigned to them. The federal courts have several times ruled that bank directors are liable for their acts in similar cases, and it is to be hoped that both stockholders and depositors will test to the full the responsibility underlying the latest developments. There is a higher duty, however, devolving on the swindled depositors and patrons of the bank. That consists in fastening on the banks' directors their share in the scandalous mismanagement which permitted the wholesale loot. and bringing about, as far as is possible, financial restitution. In that way alone can the lesson of the directors' responsibility be brought home, and we are not exaggerating in the least when we say that American banking stands sadly in need of such reminders at the present time. The cases under discussion may not be important. In fact, they are probably half forgotten now, but that is the very reason why they should be made the subject of agitation and continued prosecution. The office of director in a banking institution is something more than honorary recognition of individual wealth. It carries with it certain duties, perhaps not as fully defined as ought to be the rule, but nevertheless implied if not actually set forth in law. The office is held in the United States at the present time by over fifty thousand citizens, whose business careers have been more than ordinarily successful. The majority of them attempt to do their duty as they understand and find it, but it is a direct reflection on the office when such instances as the ones referred to are possible. This may be an unjust interpretation. but it is accepted by the public at large, and we will continue to hear it until the whole policy of banking, in its relations to directors and their duties, is reformed. In what manner this reform shall be accomplished is another matter. In the present case, however, the remedy seems clear.

7. July 19, 1898 Kansas City Journal Kansas City, MO
Article from Kansas City Journal, July 19, 1898

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Article Text

He Stole $640,000. SPRINGFIED, MASS.. July 18.-The temporary receivers of the Hampshire Savings bank of Northampton have given out a statement to the effect that the defalcation of Treasurer Lewis Warner amounts to $400,000. With the $240,000 which Bank Examiner Ewer estimates were taken from the Hampshire County National bank, Warner's peculations amount in the aggregate to $640,000.

8. July 19, 1898 The Topeka State Journal Topeka, KS
Article from The Topeka State Journal, July 19, 1898

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Article Text

DEFAULTED $400,000. Savings Bank Treasurer's Peculations Will Reach $640,000. Springfield, Mass., July 19.-The temporary receivers of the Hampshire Savings bank of Northamnton have given oui, statement to the effect that the defalcation of Treasurer Lewis Warner amounts to $400,000. With the $240,000 which Bank Examiner Ewer estimates were taken from the Hampshire County National bank, Warner's peculations amount in the aggregate to $640.000. To cover his peculations Warner overestimated the amount of deposits and the number of depositors, and over-valued the securities held by the bank.

9. July 22, 1898 The Owosso Times Owosso, MI
Article from The Owosso Times, July 22, 1898

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Warner Is a Colossal Thief. Springfield, Mass., July 20.-The temporary receivers of the Hampshire Savings bank of Northampton have given a statement to the effect that the defalcations of Treasurer Lewis Warner amounts to $400,000. With the $240,000 which Bank Examiner Ewer estimates were taken from the Hampshire County National bank. Warner's peculations amount in the aggregate to $840,000.

10. August 8, 1898 Orleans County Monitor Barton, VT
Article from Orleans County Monitor, August 8, 1898

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SUNDAY, JULY 01. the meeting of the presidents of the anthracite At coal railroads an agreement this reached that the output for was should be 3.000.000 tons, with the if the market the limit could be sorb proviso month more that could extended for June ab3,200,000 tons. The allotments tons and to July were 2,500,000 and 3,000,000 respectively. the present tariff law, the of duty collected in amount Under effects the last of year on the personal this fiscal steamship passengers arriving times in the was about four fiscal country received in the previous amount Last year the amount collected as year. $343,518, or abaut $4 per capita, against was $92,512, of 941/2 cents per capita, for the previous year. MONDAY, AUG. 1. balance as just been struck of the the "conscience A fund" in the treasury of total States, showing that the since United received and credited to it it in 1811 is was won the first prize the amount Tarrasch opened $297,452. in international chess tournament, $1500; Pillsbury of Boston, the second prize, The final game was decided a draw, $1000. and the score stands, Tarrasch, 21/2: The Pillsbury, bureau of 1 1/2. statistics in its monthly of finance and commerce the details of the in the fiscal year all exports presents "summary" ending exports imports June to and 30, It shows that the 1898. of the world increased both in parts manufactured and products of agricul- great and that while there was a ture. off in imports, the reduction was arfalling almost exclusively in manufactured ticles and food products. TUESDAY, AUG. elder Ephraim W. Sells, the of the Brothers, well-known circus men, Sells died in Columbus, O., of bright's disease. has The comptroller of the currency declared a dividend of 50 percent in favor of the creditors of the Hampshire Mass. County National bank of Northampton, The first lord of the British admiralty arranged to organize a naval rehas among the Newfoundland fisher- by serve enrolling 500 who will be drilled special men, instructors sent from England. Forts are being erected specially for cash this the men receiving $50 each purpose. each month engaged. Newfoundland for is the only colony where the experiA movement to form a new organiza- the combining all those outside tion of the Liberals and the Conservaranks is now being promoted in Ontario chiefs tives the dominion generally. The and the smaller political sects hope to reach an of agreement which will give them in something dominion affairs. like a They swaying are to be power known as Canadian compatriots. WEDNESDAY, AUG. 3. war department has granted permission The to the members of the White send Cross association of America to hospital supplies and a trained corps its nurses to Manila on the steamer of Arizona, which is now being equipped a supply ship, and will leave San the Francisco as for the Philippines about middle of August. Full and complete recognition of meriand gallant conduct displayed by torious officers and men is to be given by the president. letter from Santiago to the AssoA Press quotes a naval officer as sayciated "Over $2,000,000 worth ammuing: thrown at the batteries harbor was Santiago nition absolutely defending batteries ineffective, so far as reducing the have concerned; and, while it may rethe Spaniards a given was wholesome the for us, it simply bore out well- and known spect fact that it is a waste of time money to bombard earthworks." THURSDAY, AUG. An assistant secretary of the treasury 6000 sending to subscribers about is bonds a day, and this number will be in- of creased later on. Recently notices allotments have been sent to a number people who subscribed and forwarded deny of the required cash, but who now all knowledge of the transaction. Letters state that prospectors between Alaska, river and Cooks inlet, gold Copper have abandoned their search for The are locating coal claims. and is said to be one mass of coal, country in which is claimed to be an excellent quality of the lignite. sureties on the $10,000 bond One of Warner to the Hampshire of Savings Lewis bank of Northampton has made had statement that the bondsmen would agreed the to make a fight before they amount settle with the receiver for the of the bond. FRIDAY, AUG. 5. Samuel L. Black, mayor of Columbus, was elected president of the League of O., American Municipalities, and Mayor Mayor Taylor of Bridgeport treasurer. of the Ashley of New Bedford is one three trustees. President McKinley and wife, from indications, will be the central stand present in the official reviewing Knights figures during the big parade of the conclave in Templar at the triennial visitPittsburg in October. About 30,000 ing Templars will take part. The American society in London is waging a campaign against American the shopkecpers who are using the dollars. as a device to catch tourists' overrun flag During this season London is comwith Americans. The society's and mittee visited the principal shops of represented that such an exhibition national colors was distasteful. the his argument before the interstate In commission in Chicago yesGeneral Passenger road warned terday, commerce the Burlington Agent continued the Eustis Can- a adian of Pacific that. if it shotgun policy towards the American

11. October 12, 1898 The Vermont Watchman Montpelier, VT
Article from The Vermont Watchman, October 12, 1898

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BRIEF. Ex-Mayor A. Oakey Hall died in New York, aged 73. Queen Victoria is reported as having invited Emperor Nicholas to Balmoral with a view to a discussion of the far eastern situation. The British Chess club of London has accepted the challenge of the Brooklyn Chess club to a cable match for the Nownes trophy, to be played early next year. Fire in Levis, Ind., destroyed the workshops and lumber yards of Joseph Gosselin, a couple of residences and damaged King Bros.' shoe factory. Loss, $60.000. Altogether about 150 arrests have been made in connection with the riots by Paris strikers, and military preparations are being made to guard against any renewal. In the superior criminal court in Springfield, Justice Bond sentenced Dominique Krathofski, who murdered his step-daughter, Victoria Pinkus, Jan. 17, 1897, to be hanged Dec. 30. Harry Elkes, who holds the hour record of the world, defeated Frank Waller, the 50-mile champion bicycle rider of the United Sates, in a 50-mile paced race in Baitimore, His time was 1:47:30 3-5. A 3-year-old child of Joseph Seiglar, a wealthy resident of Bridgeport, died at : late hour last night from being maHelously poisoned by a discharged servant. The girl managed to escape arPost William Ogilvie, Yukon administrator. has been appointed by the Canadian government to enquire into and report upon the alleged scandals among government officials at Dawson. The gold commissioner, A. A. Fawsett, has been removed. The Oregon Republicans have decided to drop H. W. Corbett and will vote for Joseph Simon for United States senator. Simon is president of the senate and a well-known lawyer and politician of Portland. In the ballot yesterday Corbett led as usual with 38 votes. Governor Budd of California issued extradition papers in the case of Cordelia Botkin, accused of the poisoning of Mrs. John P. Dunnigan and her sister, Mrs. Joshua P. Deane of Wilmington, Del. The governor took this action to throw the case into the courts for decision. The triple jubilee, to mark the 30th year of Bishop McQuade's service in the American Catholic hierarchy, his 50th year in the Roman Catholic priesthood and the 75th anniversary of the creation of St. Patrick's cathedral into a parish. was celebrated in Rochester, N. Y., yesterday. A petition from Receiver J. W. Mason of the Hampshire County National bank of Northampton, Mass., has been granted, allowing for the compromise of a claim which the bank holds against Lewis Warner for six notes for $1000 each. The petition stated that Warner was unable to pay the full amount, and the receiver asked permission to compromise for $900.

12. January 20, 1899 Vermont Phœnix Brattleboro, Bellows Falls, Ludlow, VT
Article from Vermont Phœnix, January 20, 1899

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MASSACHUSETTS NOTES. Plans for Reorganizing the Hampshire County National Bank. The affairs of the Hampshire County National bank at Northampton will soon be in a condition for reorganization upon the basis proposed by the shareholders. The interest checks due the creditors of the bank have been prepared at the treasury at Washington, and will be mailed as soon as they can be signed by Comptroller Dawes. It is expected that Receiver Mason will go to Washington for counsultation with the comptroller as soon as the interest dividends have been distributed. The comptroller is prepared to entertain favorably the proposition for reorganization if the bank shows $100,000 in good assets, including about $40,000 in cash, now in the hands of the receiver. The comptroller requires that $20,000 in new capital be paid in cash by the shareholders, which will start the bank with nearly $100,000 in cash, besides other good assets.

13. March 21, 1899 The Daily Morning Journal and Courier New Haven, CT
Article from The Daily Morning Journal and Courier, March 21, 1899

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TO RESUME BUSINESS. Authority Given the Hampshire National Bank of Northampton. Washington, March 20.-The Hampshire County National bank of Northampton, Mass., has to-day been authorized by the comptroller of the currency to resume business as an active national bank association. This bank suspended payment April 30, 1898, and on May 23, following, was placed in the hands of a receiver. Its creditors have been paid in full with interest and its stockholders and directors having complied with the conditions imposed by the comptroller precedent to resumption, it will reopen its doors with an unimpaired capital stock of $100,000.