8610. Swedish American National Bank (Minneapolis, MN)

Bank Information

Episode Type
Run Only
Bank Type
national
Bank ID
4951
Charter Number
4951
Start Date
December 29, 1896
Location
Minneapolis, Minnesota (44.980, -93.264)

Metadata

Model
gpt-5-mini
Short Digest
0a0aa0f3be72ed66

Response Measures

Accommodated withdrawals, Borrowed from banks or large institutions, Books examined

Description

Contemporary reports describe other Minneapolis banks suspending on Dec 29, 1896 and the clearing house announcing it would advance whatever sum was needed by the Swedish-American National Bank to meet depositor calls. There is no article saying the Swedish-American suspended or closed; the committee's statement and high reserve indicate it faced depositor withdrawals/pressure but remained open. Classified as run_only (pressure/withdrawals but no suspension).

Events (3)

1. April 18, 1894 Chartered
Source
historical_nic
2. December 29, 1896 Run
Cause
Local Banks
Cause Details
Runs and suspensions at other Minneapolis banks (Columbia National, Washington Bank, Scandia) alarmed depositors citywide and prompted withdrawals or potential calls on the Swedish-American National Bank.
Measures
Clearing house committee pledged to advance whatever funds were needed; bank had a large cash reserve (~55% of obligations).
Newspaper Excerpt
their investigations warrant them in advancing whatever sum of money may be needed by the Swedish-American National bank to meet promptly any calls upon them by the depositors. This bank has an unusually large available cash reserve amounting to about 55 per cent of its obligations
Source
newspapers
3. December 31, 1908 Voluntary Liquidation
Source
historical_nic

Newspaper Articles (4)

Article from The Wichita Daily Eagle, December 30, 1896

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and there is no question but that in time when all the assets can be liquidated, there will be money enough for all creditors, and some left for the Van Nortwicks.' Lyman A. Walton, secretary of the Equitable Trust company, who was entrusted with the assignment papers of the Van Nortwick bank, has returned from Batavia. When seen he disclaimed all knowledge of the bank's affairs. "I spent only thirty minutes in Batavia," said Mr. Walton, "and did not have time to look over the situation carefully. The cause of the failure was the liquidation of the Atlas bank. The Van Nortwick interests are SO large that it will take some time before the exact figures can be given." MINNEAPOLIS BANKS. Minneapolis, Minn., Dec. 29.-The Columbia National bank, a small institution of comparatively recent establishment, and $200,000 capital, closed its doors this morning, and is now in the hands of the bank examiner. According to its last statement, made December 17, it had: Loans and discountsfi, $348,145; United States bonds to secure circulation $50,000; real estate and mortgages, $48,728; due from other banks $42,897; cash reserve, $34,872; other cash items, $11,852; national bank notes outstanding, $45,000: due other banks, $136,579; deposits subject to checks, $101,507; certificates of deposit, $63,594: certified and cashier's checks, $3,313; bills payable $15,000. Washington, Dec. 29.-Comptroller Eckles has received a dispatch announcing the failure of the Columbian National bank of Minneapolis. Deputy Comptroller Coffin, who is next in rank to Mr. Eckles, happened to be passing through Minneapolis and has taken temporary charge of the bank. Examiner Cook was ordered from Chicage to take permanent charge. The last statement of the bank received by Mr. Eckles was that of October 6. the figures of December 17 not having been received here. At that time the assets were $641,000, but these probably have shrunk since then. The comptroller ascribes the failure to a lot of slow assets on which ready money could not be realized and he says this has been the cause of most of the recent failures. The suspension was due to the fact that its clientele, being the same as that of the suspended Columbia National and Scandia banks, became alarmed and began to draw out deposits this morning at such a rate that the management decided that the best Interests of all would be served by closing the bank. Its condition is most excellent, the assets being $600.000 and the hablities $500,000 There is little real estate among the former and they can be quickly converted into money. Minneapolis, Minn., Dec. 29.-The Washington bank, a state institution, closed its doors this noon. It had a capital stock of $100,000. and by its last statement at the close of business December 17. had $507.104 loans and discounts: $14,228 overdrafts secured; $20.165 in stocks and bonds: $14,475 in real estate, and $88,272 cash on hand. Its deposits were $363,132; certified deposits $112,587; bank deposits $84,937. A. C. Hagan, city treasurer, was one of the founders of the bank and was one of its directors. O. E. Brecke is the cashier. Minneapolis, Minn., Dec. 29.-The following announcement was made by the clearing house committee this afternoon: "The clearing house committee deem it their duty to announce that their investigations warrant them in advancing whatever sum of money may be needed by the Swedish-American National bank to meet promptly any calls upon them by the creditors. This bank has an unusually large available cash reserve amounting to about 55 per cent of its obligations, and its bills receivable are of such a class that we have no hesitation in saying that we will make them the necessary advances to meet all demands and that we do not look for further trouble among the banks of this city." AT ROANOKE, VIRGINIA. Roanoke, Va., Dec. 29.-The Commercial National bank of this city closed its doors this morning by order of the directors. The trouble was a heavy run on the bank yesterday by the depositors. On December 9. J. C. Davenport, cashier, resigned and his successor was elected. The matter was kept quiet until Sunday night when Davenport left the city for his home in Charleston, West Virginia, and it is stated that as soon as this became known a general run was made on the bank and it was compelled to go to the wall. The officials say that depositors will be paid in full. Washington, Dec. 29.-Comptroller of the Currency Eckles had telegraph notice today that the Commercial National bank at Roanoke, Va., had closed its doors and suspended payment. Bank Examiner Sands was sent to take charge of the institution. Mr. Eckles does not regard the failure as a serious one. The last report to him, made November 21, showed the assets of the bank to be $263,704. including its bonds for circulation: stocks $100,000: surplus $25,000; undivided profits $6,000: owing depositors $75,000. Other liabilities amount to $35. 000. The failure is attributed by Mr. Eckles in part to speculation and boom security The bank's liabilities are about $65,000. while the valuable assets are estimated to be worth more than double that amount H. S. Trout. president of the First National bank. and T. T. Fishburl. president of the Mercantile Exchange express themselves as being of the opinion that the depositors will not lose a dollar, This opinion is concurred in by business men generally. The paid in capital stock of the bank is $100,000, and nearly three-fourths of the stock is held by men of large means, which will further insure the depositors against loss. WILL FAIL GRADUALLY. Denver, Colo., Dec. 29.-Dr. D. H. Dougan, president of the Carbonate National bank of Leadville, has accepted the office of cashier in the Bank of Commerce in this city. At the January meeting of the Carbonate bank a vote will be taken to reduce the capital stock and the bank will gradually go into liquidation. It is thought that the change will require a year. but before the close of 1897 in all probability, the Carbonate National will have passed out of existence. Dr. Dougan says that the reason for taking this step is that Leadville is no longer a profit able field for SO large an institution as the Carbonate bank. ECKLES RESTS EASY. Washington, Dec. 29.-Comptroller Eckles said this afternoon that he felt no apprehension over the back failures which have occurred of late. Two more failures. the Commercial


Article from The Herald, December 30, 1896

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And Withdraw Deposits From Minneapolis Banks THOUGH ENTIRELY SOLVENT The Managers Promptly Decide to Shat Up Their Shops Comptroller Eckles Opines That the Failures Due to Local Causes Have No Special Significance Associated Press Special Wire MINNEAPOLIS, Dec. 29.-The Washington bank, a state institution, closed its doors this noon. It had a capital of $100,000. and by its last statement at the close of business Dec. 17th, had $507,104 loans and discounts; $14,228 overdrafts secured: $20,165 in stocks and bonds; $14,475 in real estate, and $88,272 cash on hand. Deposits, $363,132; certified deposits, $112,587; bank deposits, $84,937. A. C. Haughtan, city treasurer, was one of the founders of the bank and one of the directors. O. E. Breecke is cashier. The suspension of the Washington bank was due to the fact that its clientele, being the same as that of the suspended Columbian National bank and the Scandia bank, became alarmed and began to draw out deposits this morning at a rate that the management decided that the best interests of all would be served by closing the bank. Its conditon is most excellent, the assets being $60.000 and the liabilities $500,000. There is little real estate among the former and it can be quickly converted into money. A LITTLE ONE MINNEAPOLIS, Dec. 29.-The Columbia National bank, a small institution of comparative recent establishment, and with $200,000 capital, closed this morning, and is in the hands of the bank examiner. According to the last statement, Dec. 17th. it had loans and discounts of $348,145; bonds to secure circulation, $50,000; real estate and mortgages, $48,728; due from other banks, $4997; cash reserve, $34,872; other cash items, $11,852. The liabilities are: National bank notes outstanding. $45,000; due other banks, $136,579; deposits subject to checks. $101.507: certificates of deposit, $63,594 er -fied checks, $3313; bills payable, $15,000. The folowing announcement was made by the clearing house committee this afternoon: The clearing house committee deem it their duty to announce that their investigations warrant them in advancing whatever sum of money may be needed by the Swedish American bank to meet promptly any calls upon them by the depositors This bank has an unusually large available cash reserve, amounting to about 55 per cent of its obligations, and its bills receivable are of such a class that we have no hesitation in saying we will make them the necessary advances to meet al demands and that we do not look for further trouble among the banks of this city. IN VIRGINIA WASHINGTON Dec. 29.-Comptroll= er of the Currency Eckles received egraph notice today that the Commercial National bank of Roanoake, Va., has suspended payment. Bank Examiner Sands was sent to take charge. Eckles does not regard the failure as serious. The last report, Nov. 1st. showed the assets of the bank to be $263,704, including bonds for circulation, stocks. $100,000; surplus, $25,000; undivided profits $6000; owing depositors, $75,000; other liabilities, $35,000. The liabilities are about $65,000. while the available assets are estimated to be worth double that amount. NOT SIGNIFICANT WASHINGTON. Dc. 29. .-Comptroller Eckels said this afternoon that he feels no apprehension over the bank failures which have occurred. Two refailures, of Roanoke, Va.. and the Columbia national of Minneapolis, were added to the list today. They are comparatively small institutions. however, and under ordinary circumstances their failure, it is said, would attract only passing attention. Mr. Eckels, when asked today by a representative of the Associated Press as to the general banking situation, said: "Of course, bank faiiures are more or less disquieting, but thosewhich have occurred recently have little or no general significance attached to them, They were due largely to local causes, wholly unconnected with the general condition of the banks throughout the country at large. The case of the Atlas bank was not a failure at all. but was a mere voluntary liquidation, every depositor being paid in full The two failures today are of minor importance, in each case the bank's capital being only $200,000. As against these few failures, based on local causes, the general condition of the banks is excellent. Thereports received under the last call, that of December 17. are uniformly favorable and show an average reserve held of considerably above the 25 per cent required by law. One of the last reports, that of the Brooklvn bank, shows the average reserve held to be 34.02 per cent, and most of the reports run five or ten per cent above the legal requirements. In each case, too, the assets in detail make an entirely satisfactory showing, as compared with the liabilities. On the whole it is evident that the national banks today are as stable as they ever were and the sporadio failure of a bank here and there, through defects peculiar to banks of small importance, is wholly without general significance. am advised from Minneapolis that the failure there has occasioned no disturbance beyond the institution concerned. CAUSES ASSIGNED CHICAGO, Dec. 29. Attorney W A. Green, who drew up the assignment papers for the Batavia bank. disclosed the principal causes which led up to assignment, in an interview today Aside from the Atlas bank liquidatio the most imoprtant factor in the Van Nort wick crash. he said. was the recen failure to dispose of $300,000 worth of bonds in the Boston market secured by the great combined lock mills situated on Fox river in Wisconsin and valued $700.000 in a clea: market Negotiations for a close of this deal had nearly been completed when the National Bank of Illinois failed. This put stop to the sale of the bonds and the Van Nortwicks were thrown upon their cash resources.


Article from Omaha Daily Bee, December 30, 1896

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$1,000,000. Their liabilities cannot poss exceed $400,000 or $500,000 at the most firmly believe they will pay 100 cents on dollar and have $500,000 left. But they n have time. That is the whole reason the assignment. They have not the re money to meet certain pressing claims, these are times when hard cash talks. Attorney A. W. Green, who drew up assignment papers for the Batavia b: disclosed the principal causes which led to the assignment in an interview to Aside from Atlas bank liquidation the r important factor in the Van Norty crash, he said. was the recent failure dispose of $300,000 worth of bonds in Boston arket, secured by the great c bined lock mills, situated on Fox river Wisconsin, and valued at $700,000 in a c market. Negotiations for the conclus of this deal had nearly been contple when the National Bank of Illinois fai was announced. That immediately pu stop to the sale of the bonds and the Nortwicks were thrown upon their cash sources. Mr. Green said if this bond had been successful the Batavia bank we have been tided through the present ( culty. "There is no question that the cr tors' demands will be paid in full," Mr. Green. "The immediate cause of assignment was due to the Atlas b liquidation. The Van Nortwicks were debted to the Atlas for a consider: amount and were unable to pay any c. These loans are secured by the Apple Wis., paper mills, and there is no ques but that in time when all the assets car liquidated there will be money enough all creditors and some left for the Nortwicks." Lyman A. Walton, secretary of Equitable Trust company, who was trusted with the assignment papers of Van Nortwicks, has returned from Bata When seen he disclaimed all knowledge the -bank's affairs. "I spent only th minutes in Batavia." said Mr. Wal "and did nothave time to look over situation carefully. The cause of failure was the liquidation of the A bank. The Van Nortwick interests are large that it will take some time before exact figures can be given." TWO MINNEAPOLIS FAILURES. MINNEAPOLIS, Minn., Dec. 29 Columbia Nationalabank, a small Institu of comparatively recent establishment $200,000 capital, closed its doors this m ing. and is now in the hands of the b examiner. According to its last st ment. made December 17. it had loans discounts, $348,145; United States bonds secure circulation, $50,000; real estate mortgages, $48,728; due from other bar $42,897; cash reserve, $34,872; other ( items, $11,852: national bank notes standing, $45,000; due other banks, $136. deposits, subject to check, $101,507; cer cates of deposit, $68,594: certificates cashier's checks, $3,313; bills payable, $ 000. The Washington bank, a state in tution. closed its doors this noon. has a capital of $100,000 and by last statement, at the close of busin December 17, had $507,104 loans and counts, $142,228 overdrafts secured, $20 in stocks and bonds, $14,475 in real est and $88,272 cash on hand. Its depo were $363,132, its certified deposits, $112, bank deposits, $84037. /A. C. Haugan, treasurer. was on/ of the founders of bank and is one of its directors. O. Breecke is the cashier. The following announcement was made the clearing house committee this af noon: "The clearing house committee dee it its duty to announce that its investi tions warrant it in advancing whatever S of money may be needed by the Swedi American National bank to meet promp calls upon it by the depositors. This ba has an unusually large available cash serve, amounting to about 55 per cent of obligations, and its bills receivable are such account as we have no hesitation saying that we will make the necessary vances to meet all demands and that we not look for further trouble among the ba of this city." WASHINGTON, Dec. 29.-Comptro Eckels has received a dispatch announe the failure of the Columbia National ba of Minneapolis, Minn. Deputy Comptro Coffin, who is next in rank to Mr. Eck happened to be passing through Minnea lis and was directed to take tempor charge of the bank. Examiner Cook ordered from Chicago to take perman charge. The last report of the bank ceived by Mr. Eckels was that of Octo 6, the figures of December 17 not hav reached here. At that time the assets W $641,000, but these probably have shri since then. The comptroller ascribes failure to a lot of slow assets on which rea money could not be realized, and he S that this has been the cause of most of recent bank failures. The suspension of the Washington be was due to the fact that clientele being same as that of the suspended Colum National and Scandia bank, became alarn and began to draw out deposits this mo ing at such a rate that the managers cided that the best interests of all wo


Article from The Austin Weekly Statesman, December 31, 1896

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creditors and some left for the Van Nortwicks. MINNEAPOLIS BANK FAILURES. Minneapolis, Minn. Dec. 29.-The National Bank, a recent tution Columbia of comparatively small establish- closed instiment and with $200,000 capital, its doors this morning and is now in the hands of the bank examiner. According to its last statement it had loans and disbursements of $384,145; United States bonds to secure circulation, $50.000; real estate and mortgages, $48,000; due from other banks, $42,847; cash reserve, $34,672; other cash items, 11,852; national bank notes outstanding, $45,000; due other banks, $136.750; deposits subject to checks, $101,507; certificates of deposit, $63.594; certified and cashed checks $3331: bills payable, $15,000. r' Cashier Bobleter said this morning a *We could have stood the pressure little longer, but to protect the majority we closed this morning. We have ร  $33,000 cash in the vault and inside of sixty days expect to have fully $100,000 r more collected. Our total liabilities are only $247,000, and much if that, it is understood, is not immediate. There is to no doubt but that we will be able make a full account with our depositors and a fair settlement with stockholders. The recent withdrawals which caused the trouble were city and state funds, of which we had large deposits, and also by country correspondents. Of the city and state money only about $11,200 re- of mains in the bank. The majority our individual depositors were business t men." The bank is in the immediate charge I of Geo. Coffin. deputy comptroller of the t currency. He states that the officers of the bank applied to the clearing house S for assistance, but this body and the y directors of the bank agreed that the best thing under the circumstances would be to close. 8 "I believe," said Mr. Coffin, "that this e action was anticipated by all parties iny terested and the suspension will not e cause any further trouble. All the nan tional banks of this city are in a very r. strong condition. t The Washington Bank, a state institution, closed its doors today. It had a e capital of $100,000 and by its last e statement, at the close of business De. cember 17, had $507,145 loans and disd counts, $14,228 over-drafts, $20,100 in stocks and bonds, $14,45 in real estate d and $88,272 cash on hand. e The suspension was due to the fact n that its clients being the same as those of the suspended Columbia National and S Scandia banks, became alarmed and e began to draw out deposits this morning y at such a rate that the management dee cided that the best interests of the bank h and all would be served by closing the bank. e The condition is most excellent, the assets being $600,000 and the liabilities 1. $500,000. There is little real estate be among the former and they can st quickly converted into money. The following announcement was k made by the clearing house committee n this afternoon: e "The clearing house committee deem it their duty to announce that their investigations warrant them in advancing whate by ever sum of money may be needed e f the Swedish-American National Bank to meet promptly any calls upon them by e depositors. This bank has an unavailable to about 65 per cent usually amounting large receivable cash reserve, of its and its bills are a class that we have no e tion that we will of obligations, such in saying make hesita- the de necessary advances to meet all n mands and that we do not look for any il further trouble among the banks of this n city." t TELEGRAHED TO ECKELS. n Washington, Dec. 29.-Comptroller S received a dispatch anI, the failure of the nouncing Eckels has Columbia Deputy National Bank of Minneapolis. e Comptroller Coffin, who is next in rank 8 to Mr. Eckels, happened to be passing n through Minneapolis and was directed to t take charge of the bank. Examiner Cook was ordered from Chicago to take K permanent charge. The comptroller ascribes the failure to i. assets on S a could not be g money lot of slow realized, which of and most ready he says this has been the cause of the recent bank failures. h VIRGINIA BANK FAILURE. e Va., Dec. Comn Roanoke, Bank 29.-The closed its f mercial of this city doors t this morning by order of the board of directors. The cause of the trouble was I a run on the bank yesterday by On December e the heavy depositors. and 9 J. C. e Davenport, cashier, resigned, his anocessor was elected. The matter was