R. Gardner Chase & Company (Boston, MA)

Episode Information

Episode Type
Suspension → Closure
Start Date
September 17, 1890
Location
Boston, Massachusetts (42.358, -71.060)
Bank Type
private

Metadata

Episode ID
Bank ID
City ID
250617565
Model
gpt-5-mini
Short Digest

Events (1)
1. September 17, 1890 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Caught short of the market; collateral values shrank amid tight money, leading to assignment/failure.
Newspaper Excerpt
R. Gardner Chase & Co., bankers and brokers at 148 Devonshire street ... have failed. The firm has assigned to James T. Phelps
Source
newspapers

Newspaper Articles (15)
1. September 18, 1890 The Wichita Daily Eagle Wichita, KS
Article from The Wichita Daily Eagle, September 18, 1890

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A Big Boston Banking House Fails for Two Millions. BOSTON, Mass., Sept. 17.-R. Gardner. Chase & Company, bankers and brokers at 148 Devonshire street, in the Equitable building, have failed. The firm has assigned to James T. Phelps, the general manager of the National Life Insurance company, 159 Devonshirestreet. He says the liabilities are likely to amount to $2,000,000 and may go over that. What there IS in the way of assets can only be determined by examination. He declined to make any further statement at the present time. Mr. George R. Chase, son of the senior member of the house and the chief clerk, said this afternoon: "The trouble is due wholly to the tight money. The calls upon us have been greater than we could withstand; our collateral have shrunk in value beyond all expectation, and much as we endeavored to avert a suspension we have been forced to it. No outside transactions or speculations have led to this trouble. It is tight money and nothing else." The impression is strong that the trouble will not be far reaching, and that its effect on the market will be only temporary.

2. September 18, 1890 The Portland Daily Press Portland, ME
Article from The Portland Daily Press, September 18, 1890

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Another Boston Firm Fails. BOSTON, Mass., September 17.-R. Gardner Chase & Co., a prominent Boston firm of bankers and brokers, announced their suspension in the Stock Board this afternoon, with liabilities of $280,000. It is understood

3. September 18, 1890 The Wheeling Daily Intelligencer Wheeling, WV
Article from The Wheeling Daily Intelligencer, September 18, 1890

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Big Boston Failure. BOSTON, Sept. 17.-R. Gardner Chase & Co., bankers and brokers at 148 Devonsbire street, in the Equitable building, have failed. The firm has assigned to James T. Phelps, the general manager of the National Life Insurance Company, 150 Devonshire street. Assignee Phelps will at once make a thorough investigation. He says that the liabilities are likely to amount to $2,000,000 and may go over that. What the assets are can be determined only by examination.

4. September 18, 1890 The Anaconda Standard Anaconda, MT
Article from The Anaconda Standard, September 18, 1890

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Failed for $2,000,000. BOSTON, Sept. 17.-R. Gardner Chase & Co., bankers and brokers, to-day assigned to James T. Phelps, general manager of the National Life Insurance company. The firm has lately been doing a large business in western railroad stocks and on the street. The general cause given for the failure is that they were caught short of the market. The news was a surprise to almost everybody, although rumors of trouble have been floating about a day or two. Both members of the house have a most excellent standing on the street, and both have have hosts of friends. Assignee Phelps says the liabilities will likely amount to $2,000,000 and may go over that. What there is of assets can only be determined by an examination. He declines to make any further statement at present. George, son of the senior member of the house, and chief clerk said this afternoon: "The trouble is due wholly to tight money. The calls upon us have been greater than we could stand. Our collaterals shrunk tn value beyond all expectation, and much as we endeavored to avert suspension, we have been forced to it. No outside transactions or speculations led to the trouble. It is tight money and nothing else. We have done no business of a speculative character as a house, and such as we have done for our customers has been done on a conservative basis. I do not feel warranted now in giving the circumstances that were the immediate cause of the failure." The impression is strong that the trouble will not be far reaching and that its effect on the market will be only temporary.

5. September 18, 1890 The Times Richmond, VA
Article from The Times, September 18, 1890

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BOSTON BANKERS SUSPEND. 1 heir Liabilities Placed at About Two Million Dollars. BOSTON, MASS., Sept. 17.-The suspension of R. Gardner, Chase & Co., bankers and brokers, is announced on the Stock Exchange. Mr. James T. Phelps, the assignee, says: "The concern has assigned to me, I and its liabilities are about $2,000,000. shall make a statement as soon as possible." A bank president said: "I don't think any banks will be affected. I think it an honorable failure."

6. September 18, 1890 Evening Journal Wilmington, DE
Article from Evening Journal, September 18, 1890

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TIGHT MONEY CAUSED IT. R. Gardner Chase & Co., of Boston, Fall for $2,000,000. BOSTON, Sept. 18.-R. Gardner Chase & Co., bankers and brokers at 148 Devon shire street, in the Equitable building, have failed. The firm has assigned to James T. Phelps, the general manager of the National Life Insurance company, 159 Devonshire street. The firm is the Boston correspondent of S. V. White & Co., of New York. The members are R. Gardner Chase and Charles E. Legg, of Chelsea. It is stated that lately they have been doing a large business in western railroad stock, and on the street the general cause given for the failure is that they were caught short of the market. The "street" feels a deep sympathy with the unfortunate house, Assignee Phelps says that the liabilities are likely to amount to $2,000,000, and may go over that. What there is in the way of assets can only be determined by examination. He declines to make any further statement at the present time Mr. George R. Chase, son of the senior member of the house and the chief clerk, said: "The troub le is due wholly to the tight money. The calls upon us have been greater than we could withstand; our collaterals have shrunk in value beyond all expectation, and much as we endeavored to avert a suspension we have been forced to it. No outside transactions or speculations have led to this trouble. It is tight money and nothing else. We have done no business of a speculative character as a house, and such as we have done for our customers has been done on a conservative basis. I do not feel warranted now in giving the circumstances that were the immediate cause of the failure."

7. September 18, 1890 The Cheyenne Daily Leader Cheyenne, WY
Article from The Cheyenne Daily Leader, September 18, 1890

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An "Honorable" Failure. BOSTON. Sept. 17.-The suspension of R, Gardner Chase & Co., bankers and brokers. is announced. No official state. ment was made. James T. Phelps, the assignee, says the liabilities are $2.000,000. A bank president said "I don't think any banks will be affected. I think it is an honorable failure."

8. September 18, 1890 Wheeling Register Wheeling, WV
Article from Wheeling Register, September 18, 1890

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A $2,000,000 FAILURE. The Banking and Broking Firm of Gardner. Chase & Co. Go Under. BOSTON, September 17.-R. Gardner, Chase & Co., bankers and brokers at 148 Dovenshire street. in the Equitable building, have failed. The firm has assigned to James T. Phelps, the general manager of the National Life Insurance Company, 159 Dovenshire street. The firm is the Boston correspondent of S. V. White & Co., of New York. The members are R. Chase and Chas. E. Legg of Chelsea. It is stated that lately they have been doing a large business in western railroad stock, and on the street the general cause given for the failure is that they were caught short of the market. The news was a surprise to almost everybody, although quiet rumors of trouble have been floating about for a day or two. Both members of the house have a most excellent standing on the street, and both have hosts of friends. Assignee Phelps will at once make a thor> ough examination. He says that the liabilities are likely to amount to $2,000,000. and may go over that. What the assests are can be determined only by an examination. Mr. George R. Chase, son of the senior member and chief clerk, said this afternoon: "The trouble is due wholly to tight money. The calls upon us have been greater than we could withstand; our collaterals have shrunk in value beyond all expectation, and much as we endeavored to avert a suspension, we have been forced to it. No outside transactions or speculations have led to this trouble. It is tight money and nothing else. We have done no business of a speculative character as a house, and such as we have done for our customers has been done on a conservative basis. I do not feel warranted now in giving the circumstances that were the immediate cause of the failure. Mr. Chase (my father) and Mr. Legg, his partner, have both gone home for the day, but both will be here to-morrow morning and they will be able to make further explanations. The impression is strong that the trouble will not be far-reaching and its effect on the market will be only temporary.

9. September 18, 1890 The Daily State Chronicle Raleigh, NC
Article from The Daily State Chronicle, September 18, 1890

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A Banking House Breaks. [By United P1 less.] BOSTON, Sept. 17.-The suspension of R. Gardner Chase & Co., bankers and brokers, is announced on the stock exexhange. Mr. James T. Phelps, the assignee, says: "The concern has assigned to me and the liabilities are about $2,000,000. I shall make a statement as soon as possible." A bank president said: "I don't think any banks will be affected. I think it an honorable failure."

10. September 18, 1890 The Morning News Savannah, GA
Article from The Morning News, September 18, 1890

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RUINED BY TIGHT MONEY. A Firm of Boston Bankers and Brokers Go to the Wall. BOSTON, Sept. 17.-R. Gardner, Chase & Co., bankers and brokers at No. 148 Devonshire street, in the Equitable building, have failed. The firm has assigned to James L. Phelps, general manager of the Mutual Life Insurance at Company No. 159 Devonshire street. The firm is the Boston correspondent of S. V. White & Co., of New York. Its members are R. Gardner Chase and Charles B. Legg of Chelsea. It is stated that lately they have been doing a large business in western railroad stock, and on the street the general cause given for the failure is that they were caught short on the market. THE ASSIGNEE IN CHARGE. Assignee Phelps immediately took charge of their affairs. He says that the liabilities are likely to amount to $200,000, and may go over that. What there is in the way of assets can only be determined by examination. He declines to make a further statement at present. CAUSED BY TIGHT MONEY. George R. Chase,* son of the senior member of the house and chief clerk, said this afternoon: "The trouble is due wholly to the tight money, the calls upon us having been greater than we could withstand. Our collaterals have shrunk in value beyond all expectation, and much as we endeavored to avert a suspension, we have been forced to. No outside transactions or speculations have led to this trouble. It is tight money and nothing else."

11. September 18, 1890 Fort Worth Daily Gazette Fort Worth, TX
Article from Fort Worth Daily Gazette, September 18, 1890

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BUSINESS. A BOSTON FAILURE. BOSTON, Mass., Sept. 17.-The suspension of R. Gardner, Chase & Co., bankers and brokers, as announced in the stock exchange and at the office of the concern, is confirmed, but no official statement can be made, as all members of the firm have left the office for the day. James, T. Phelps, assignee for Gardner, Chase & Co., says: The concern was assigned to me, and the liabilities are about $2,000,000. - I shall make statement as soon as possible.'

12. September 18, 1890 The Helena Independent Helena, MT
Article from The Helena Independent, September 18, 1890

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Broken Boston Bank. BOSTON, Sept. 17.-The suspension of R. Gardner, Chase & Company, bankers and brokers, is announced. No official statement is made. James T. Phelps, assignee, says the liabilities are are $2,000,000. A bank president said: "I don't think any banks will be affected. I think it an honorable failure."

13. September 18, 1890 Evening Star Washington, DC
Article from Evening Star, September 18, 1890

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A FAILURE IN BOSTON. A Firm of Brokers Said to Have Liabilities of Over $2,000,000. R. Gardner Chase & Co., bankers and brokers at 148 Devonshire street, in the Equitable building, at Boston, have failed The firm has assigned to James L. Phelps, the general manager of the National Life Insurance Company, 159 Devonshire street. The firm is the Boston correspondent of S. V. White & Co. of New York. The members are R. Gardner Chase and Charles E. Legg of Chelsea. It is stated that lately they have been doing a large business in western railroad stock and on the street. The general cause given for the failure is that they were caught short of the market. The news was a surprise to almost everybody, although quiet rumors of trouble had been floating about for a day or two. Assignee Phelps immediately took charge of their affairs and will at once make a thorough investigation. He says that the Labilities are likely to amount to $2,000,000 and may go over that. What there is in the way of assets can only be determined by examination. Mr. George R. Chase, son of the senior member of the house and the chief clerk, said last night the trouble was duewholly to the tight money.

14. September 18, 1890 Spokane Falls Review Spokane, Spokane Falls, WA
Article from Spokane Falls Review, September 18, 1890

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Boston Bankers suspend. BOSTON, Sept. 17.-The suspension of R. Gardner Chase & Co., bankers and brokers, is announced. James T. Phelps, the assignee, says that the liabilities are $2, $2,000,000. A bank president said: "I don't think any of the banks will be RFlected. I think it an honorable failure."

15. September 25, 1890 Belmont Chronicle Saint Clairsville, OH
Article from Belmont Chronicle, September 25, 1890

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HAPPENINGS OF THE WEEK. THURSDAY'S NEWS. All the Representatives now in Congress from Alabama have been renominated. The House Committee on Judiciary decided to report in favor of striking Kennedy's speech attacking Senator Quay from the Record. Maggie Edgar was burned to death in Cleveland by a gasoline explosion, caused by her stepping on a parlor match while carrying a can of the fluid. R. Gardner Chase & Co., Boston bankers and brokers, assigned yesterday. They owe over two million dollars. They give "tight money" as the cause. In spite of Governor Foster's declarations against accepting a nomination for Congress, the Republicans of the Eighth District unanimously nominated him. The passenger train on the Louisville, New Orleans and Texas Railroad was wrecked, near Vicksburgh, by a misplaced switch. supposed to have been turned for the purpose of wrecking the train. FRIDAY'S NEWS. Dr. Harper, of Yale College, has been elected President of the new University of Chicago. Dion Boucicault, the well-known playwright and actor, died at his home, in New York, Thursday afternoon. At Long Prairie," Minn., Frederick Paul killed Mrs. Louis Buelow, a neighbor, and then committed suicide. Charles Drumm, a saloon-keeper of Springfield, O., killed his wife Thursday evening, and then committed suicide. The Nashville Times is being boycotted by the Federation of Trades on account of the paper's unfriendly utterances against workingmen. The Cookson Iron Works, located near Kansas City, made an assignment yesterday for the benefit of their creditors. Liabilities and assets unknown. The strike of gold-beaters in Boston, Philadelphia, New York and Chicago, has been settled in favor of the men, they having obtained their demand. The Commissioner for Utah has applied for ten acres of space for the display of that Territory at the World's Fair. It is proposed to construct a palace 100 feet square of minerals. The capital of Portugal is now the scene of rioting. This is announced as the beginning of a movement to proclaim a republic. All classes are said to be eager to welcome the new government. Millionaire residents of Spokane Falls, Wash., take the place of striking carpenters, who quit work on the Exposition building because the Directors purchased lumber from a boycotted merchant. In the effort to secure a quorum in the House of Representatives yesterday, the Speaker ordered the doors locked, but the Democrats kicked them down and went out, and the House was obliged to adjourn. SATURDAY'S NEWS. The official count of the population of Cincinnati makes it 296,300, The President has signed the antilottery and river and harbor bills. An incendiary fire at Whltehall, Mich., caused a loss of $100,000. Thirty buildings were destroyed. Governor Campbell complains that the press treats him unfairly, and he refers particularly to the Democratic press. Mrs. Allen Wrichter, of Whitehall, Pa., has not tasted food or drink for over 172 day.s She has a cancer of the pharynx. The Democratic employes at the Statehouse, Columbus, have been assessed five per cent. of one year's salary for campaign purposes. Prof. Peter J. Fox, Principal of the Seventeenth District School, Cincinnati, had an attack of apoplexy while in his school-room and died there. An express on the Reading Railroad ran into a freight wreck near Reading, Pa., and went down an embankment. Forty people were killed and many injured. Wm. W. Harford and Miss Alice Huery, each aged twenty-six, were married at Grassy Creek, Ind., at an old settlers' meeting, in the presence of four thousand people. Henry Burris, a wealthy Quaker farmer, near Smithfield, O., was swindled out of $5,000 by a couple of sharpers who borrowed that amount, giving as security a satchel said by them to contain about $18,000.