gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
461e4b77980c7a3c
Response Measures
None
Events (5)
1.September 20, 1873Run
Cause
Bank Specific Adverse Info
Cause Details
Large defalcation by the cashier/secretary (reported $250,000–$500,000) triggered heavy withdrawals
Measures
Offered securities to banks and paid out about $1,000,000 to depositors; Manhattan Bank honored drafts
Newspaper Excerpt
During the run on the Union Trust Company at New York, Friday, an excited individual offered a boy fifty dollars for his place in the line
Source
newspapers
2.September 20, 1873Suspension
Cause
Bank Specific Adverse Info
Cause Details
Suspension following discovery of a large defalcation and resultant lack of funds (cashier/secretary's misconduct)
Newspaper Excerpt
Union Trust Co. suspended at half past 10 to-day. It announces that it will resume on Monday morning.
Source
newspapers
3.October 16, 1873Other
Newspaper Excerpt
E. B. Wesley, receiver of the Union Trust company, said to-day that the company would either resume business before the first of November or pay dividends, if this could be done legally. (receiver mentioned in news of Oct.16.)
Source
newspapers
4.December 1, 1873Reopening
Newspaper Excerpt
THE UNION TRUST COMPANY has commenced paying its depositors in full.
Source
newspapers
5.December 14, 1873Other
Newspaper Excerpt
Since the 1st inst. the company has resumed business and is meeting its obligations. The proceedings in bankruptcy ... are to be discontinued.
More Failures The Union Trust Company. NEW YORK, Sept. 19. The following firms suspended, in addition to those already reported. Whittemore & Anderson, and Smith, Seaver & Co. The Manhattan Bank was filled this afternoon with the Union Trust Company's deThe positors waiting to cash their checks. cashier of the bank said the Trust Company to-day offered them one million dollars worth of good securities, but the bank did not wish to make a loan of so large an amount, but believed the Trust Company would be successful in negotiating a loan on Wall street, One million dollars was paid to-day to the Union Trust Company depositors.
AN UNNERVED SECRETARY. NEW YORK, September 20.-Another story in connection with the suspension of the Union trust company is that the excitement of yesterday so unnerved the secretary that instead of calling in three million dollars he made a mistake and only called for three hundred thousand, thus leaving the company without funds and causing its suspension. The friends of the secretary are positive he has no participation in any defalcation that may have occurred in the institution.
that he has not been seen since yesterday afternoon. The National Trust Company say they could have kept up payment to-day, and that they cameon the street this morning with their securities, but could find no buyers except at a discount of thirty to forty per cent. They refused to sell at such a sacrifice, and suspended for the better protection of themselves and their customers. Two million four hundred and eighty-three thousand dollars in bonds have been accepted, from 109 to 111.25. All offers. of bonds under 111.25 are accepted by the Government. Following were the sellers of Government bonds to-day: Vauschaick & Co., $763,000; Francis T. Walker & Co., $18,000; E. sweet & Co., $11,500; Weston & Debillier, $5,000; Geo F. Baker, $147,100; Vermyle $500,000; W. T. Hatch & Son, $450,000; Reid & Content, $13,400; Chase & Higginson, $100,000; Wood & Davis, $400,000. Total, $2,407,000. The Usion Trust Company. NEW YORK, September 20. Last night it was stated at the clubs that Vanderbilt had paid to the Union Trust Company two million dollars, the amount due that Company by the Lake Shore Railroad, which it is said will enable the Company to resume busic CSR to-morrow.
4.September 22, 1873The Rock Island Daily ArgusRock Island, IL
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Article Text
Wadsworth, Brown & Co. have failed. The latest suspensions are the National Bank of the Commonwealth, Saxe and Rogers, Ketchum & Belknap, and E.C. Broadhead. The defalcation in the Union Trust Company is said to be $500,000, and the Secretary, Charles Carleton, is the reported defaulter. The Manhattan Bank honors the Union Trust Company's drafts as fast as presented. Laussig, Gemp & Co., of this city, closed doors this afternoon after the announce ment of the failure of their New York house, Laussig, Fisher and Co. ALBANY, Sept. 20.-T. C. Squire & Co. bankers, announce their temporary suspension until further advices from New York. PHILADELPHIA, Sept. 20.-The Union Banking company did not open to-day, A placard on the door states that owing to the heavy demand, a suspension of a few days had been resolved upon. BURLINGTON, Ia., Sept. 20.-The Orchard City Savings Bank suspended at 12:20 p. m. BURLINGTON, Ia., Sept. 20.-At one A. M. a fire was discovered in the cellar of a Swede named Solomon, on Jefferson street, between Sixth and Seventh, and spread with great rapidity. One of the largest lumber yards of Gilbert, Hedge & Co., containing six million feet and worth $120,000, was completely destroyed: Twentyfour buildings, mostly wooden structures. and situated between Fifth and Eighth streets, were burned. The total loss will reach $200,000. Telegrams to our sister cities were dispatched for their fire depart ments and Monmouth, Galesburg, Quincy and Ottumwa responded promptly. The fire was got under control at five A. M., after devouring two and a quarter blocks. SAN FRANCISCO, Sept. 20.-A fire broke of out in the Yellow Jacket Mine. in Nevada of in the 1,300 foot level, and six lives were to lost. The fire is under control. Particu18lars will be sent soon. uted DES MOIMES, Ia., Sept. 20. - -Last April of William Riley and Ursula Spangler were diarrested on a charge of murdering their its irted into the ing bastard it babe, breaking Cedar river neck from and the throw rail ty, road bridge at Cedar Falls. Riley ha been held for the murder, and found guilty of murder in the first degree, which, under ew the new code, means imprisonment for life et, with no pardon by the Governor. ion for SPRINGFIELD, Ill., Sept. 19.-W. U The Parsons, of Tazewell county, late Unite atStates Deputy Collector, is reported a de few faulter to the amount of $4,000, and cuwarrant was issued for his arrest an cial placed in the hands of Deputy Marsha on Prettyman, who left to-day to execute it
Should there be any surprise that the Union Trust Company," of New York city, has suspended or failed. and that its cashier is a defaulter? We trow not, when we are informed that the whole business was left in his hands, without supervision or examination, for the sole reason that he was "regarded as A very exemplary young man." The little all of widows and orphans is placed in charge of a trust company. because men of wealth honor and respectability are in the direction. but these men leave it all to a "very exemplary young man." This they call business in New York city,
6.September 23, 1873Daily Kennebec JournalAugusta, ME
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NEWS BY MAIL. Dr. Bissel, of the Polaris, ridicules the story that Dr. Hall was poisoned ; he died from appoplexy. The suspension of the Union Trust Company, the National Trust Company and the National Bank of the Commonwealth, runs on the Fourth National and Manhattan banks, the closing of the stock exchange and the failure of eleven firms were the events of the financial panic in New York, Saturday. An immense defalication was discovered in the Union Trust Company, and that with the re-
The Bank of North America has surpended. The Freedman's Savings Bank paid out $65,000. The officers declared themselves well fortified. Only the usual Saturday afternoon's crowd about the bank. PHILADELPHIA, Sept. 20. It is rumored that the Union Banking House has suspended. NEW YORK, Sept. 20. Carlton, the defaulting Secretary of the Union Trust Company, had made loans to his friends and relatives on securi ties which were regarded as doubtful, one loan of $20,000 to his father, Rev. Dr. Carlton, of Metiodist Book Concern notoriety. The security for one loan 19 good, the others are of no value. Carlton has had almost entire management of this great financial institution. Alluding to the suspension of operations by the members of the Stock Exchange, the Evening Express says: "Too much praise can't be awarded to the men who conceived and carried out this master stroke of policy Bedlam was running loose and the craze was rapidly communicating itself to the outside Nothing remains but to shut the door and try to bring back the bulls and bears alike to their senses There is a defalcation in the Union Trust Co. to the amount of half a million dollars. The Bank of North America is not suspended. The day closed with betterfeeling among the banks, and with the belief that affairs will mend early next week. The closing of the Stock Exchange is generally applauded, and the opinion is expressed that the Governing Committee should, after making some arrangements for settlement among the brokers of the contracts falling due to dav and Monday, keep the Exchange closed fora few days. Bank statement not out. There is much difference in the amounts of the defalcation of Carlton, Secretary of the Union Trust Company, the figures given ranging all the way from $250,000 to $500,000. The institution sold ten million bonds to the Government to-day, which places it in funds for next week; and it has also over 200,000 call loans, which have been called, and this money will also be avaliable next week. The fact that the checks of some banks have been thrown out of the Clearing House does not necessitate their failure in the present deranged condition of affairs.
8.September 25, 1873The Toledo ChronicleToledo, IA
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Article Text
Panic in Wall Street. The financial world was shocked last Thursday by the announcement that the heavy firm of Jay Cook & Co,, of New York, had suspended payment This firm, as is well known was one of the heaviest banking houses in the world, having advanced immense sums of money w the gov erument during the war when the national credit was gone, and being now one of the leading members o! the syndicate, besides having advance ed millions of dollars to Railroad companies. Th bank suffere a run on Thursday morning. an was com pelled quate early 1a the day to clust The phuosophy of this future, which led to many other suspensions, must be sought in the fact that, instead of attending to a. legitim t banking bu-mess, speculative enterprises were entered into. Immense loads of railroad bonds, in which capitalists are now slow to invest, were taken and the result we see in a financial crisis, whose extent will never 1, known, because of the heavy loss on tailed upon holders of railroad stock responded of at a she " after 1. panic occurred. Among the new vailures we notice the following: Fish & Hatch, N " Y ik; the Fax National Bank of Washington, the New Your Unen Trust Company; he National Bank of in Common wealth, N.W York the National Trust Company. New York; the Bank of America, Non York; the Union Banking Company. 01 Philadelphia. These froms," of them at least. were intimatey associated with Couke & Co 111 their business trans actions, and the financial distress will be more of less wile-spread in proportion to the permanency of the failures. If the alone soff l' ed from the panic, the financial dis turbance would excite little sympto thy, but as it entailed losses upon many who had their all invested in radroal securities, which they sold at he ay loss, the panic is J. plorable. The effect produced upon the floor 01 the Stock Exchange may be intere red from the fact that last Saturday the extreme factuations on some clocks were as follows: Harlem 30 per cam; Panama, 18; Rook Island 91; Western Union. 9; Hammbal & St. Joseph, 9, with other stocks flue tuating from 2 to 8 points. The government came to the relief of the money market by purchasing U. Bonds. By this meaus, togeth. er with the action of Bank Presi dems, through the Clearing House loan certificates, many millions of greerbacks were released, with III touching any portion of the $44,000. 000 reserve now In the National Treasury.
9.September 25, 1873Puget Sound DispatchSeattle, WA
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Ielegraphic EXCLUSIVELY FOR THE DAILY DISPATCH NEW YORK, Sept. 20.-Union Trust Co. suspended at half past 10 to-day. It announces that it will resume on Monday morning. Stocks are going up and down lively and several sales are made under rules which would imply that failures had taken place, though only one is made known yet, that of A. G. White. Western Union touched 60 The suspension of the Union Trust Co. will very likely make unavailable the
Morse & Co., bankers and brokers in this city, have suspended, in consequence of the failure of Jay Cooke & Co., and other prominent houses in New York.
ALBANY, N. Y., September 20.—T. C. Squire & Co., bankers, announce their suspension until further advices from New York.
PHILADELPHIA, September 20.—The Union Banking Company has failed. This bank has a State charter.
BURLINGTON, Iowa, September 20.—The Orchard City Savings Bank closed its doors to-day.
BUFFALO, September 22.—H. W. Bart & Co., private bankers and brokers, closed this afternoon.
ST. CATHARINES, Ontario, September 22.—Owing to the financial crisis in New York the Canada Southern Railroad Company have been obliged to cancel all their contracts for the present, and have ordered the discharge of all their workmen not employed. No regular train is running over the road. The cause of this is reported to be owing to complications in Daniel Drew's affairs, he being a large stockholder in the company.
Additional Failures Announced.
NEW YORK, September 20.—The following failures have been announced:
The Union Trust Company; Bank of Commonwealth; Ketchum & Belknap; E. C. Brodhead; Saxe & Rogers; Edward Haight & Co.; Brown, Wadsworth & Co.; C. G. White.
CHICAGO, September 21.—The Franklin Savings Bank, a small concern, was unable to meet the demands at the clearing house to-day, and closed its doors. As the concern has no connection, so far as known, with any of the suspended New York banks or bankers, it is supposed that it will soon resume business.
ST. LOUIS, September 20.—Toussing, Gemp & Co., of this city, closed its doors this afternoon, after the announcement of the failure of their New York house, Toussing, Fischer & Co. They are confident of being able to resume in a few days, and state that no will lose a dollar by them. The house pretty extensively in railroad securities on their own account.
THE FINANCIAL PANIC of last week was equal to that of the memmorable "Black Friday," if not even greater. The excitement was intense, and af ter the crash commenced in earnest there was no let up until Saturday noon, when the Stock Exchange closed until otherwise ordered, and forbid all purchases of stock outside. Each new failure had added to the general excitement, until it was feared the Savings Banks would also go down in the general crash. A meet ing of the Associated banks was held, however, and arrangements entered into by which certificates for $10,000,000 were issued, for which the faith of the Association was pledged. These were receivable at the Clearing House, and by the use of them all solvent banks were enabled to realize upon their securities without loss, in case of need. Sate urday the President and Secretary of the Treasury were on the ground, anxious to avert the calamity, yet unable to do more than arrange for the purchase of all bonds offered. Ten millions were purchased on Saturday, and the currency thus set afloat with the capital sent from a distance to buy stocks while low, leased matters and made money more easily attainable. Monday the scene opened with more calmness but with forebodings. The Assistant Treasurer continued to buy bonds, which still further eased matters; confidence began to be felt, and a feeling that the worst was over was experienced when the announcement was made that the government had sent forward twenty millions more with which to purchase bonds. There is a probability that a few days will see money more plenty in New York than it had been for months, and also that some of the leading houses among those obliged to suspend will be enabled to resume business again. On Tuesday morning, the feeling in New York was indicative of more confidence, yet a nervous dread prevailed,which upon the announcement of the failure of Henry Clews & Co., broke out into wild excitement, and the panic was renewed. Wednesday the panic grew and the banks virtually suspended, paying no checks only for small amounts except through the Clearing House. The crash commenced with the failure of Kenyon, Cox & Co., who had been carrying the Canada South ern Railway, then followed in a few days Jay Cooke & Co., with their branches at Philadelphia and Washington-that at London remaining sound. In their efforts to sustain the Northern Pacific, and their failure to realize from its bonds, they were forced to the wall. Fisk & Hatch, who had floated the Chesspeake and Ohio, were also obliged to give way, with scores of others of less note; and when the panic seemed to have culminated, away went the Bank of the Commonwealth and the Union Trust Company, on Saturday, amid renewed excitement.The Cashier of the Union Trust Company adding to its embarrassment by suddenly leaving with $350,000 of bonds belonging to it. This bank h failed to realize on a million of bonds
12.September 30, 1873The Spirit of DemocracyWoodsfield, OH
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The financial panic in New York has resulted disastrously to banks and brokers in many towns and cities. In New York, the banking houses of JAY COOKE & Co., HENRY CLEWS & Co., Un. ion Trust Company, HOWES & MACEY and many other influential houses have suspended. A number of banks in Philadelphia, Richmond,Petersburg, Biltimore, Washington City, and other places, have been closed.
13.October 1, 1873The Petroleum Centre Daily RecordPetroleum Center, PA
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During the run on the Union Trust Com. pany at New York Friday, an excited individual offered a boy fifty dollars for his place in the line and afterwards increased bis bid to one hundred dollars. The boy, loyal to bis employere, would not sell his place for the tempting offer. A man ahead of bim, however, responded and said be would sell bis place for two hundred. The money was paid him immediately, and the place was given up. As be walked away be said tu a friend, "Let us take a drink; I had only one hundred in that concern. and I think 1 have come out a little ahead!"
14.October 2, 1873The Republican JournalBelfast, ME
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During the run on the Union Trust Company at New York, Friday, an excited individual offered a boy fifty dollars for his place in the line and afterwards increased his bid to one hundred dollars. The boy, loyal to his employers, would net sell his place for the tempting offer. A man ahead of him, however, responded and said he would sell his place for two hundred. The money was paid him immediately, and the place was given up. As he walked away he said to a friend, "Let us take a drink: I had only one hundred in that concern, and I think I have come out a little ahead !" The President has appointed Henry A. Willis
15.October 5, 1873The Daily PhoenixColumbia, SC
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The following story is related in connection with the run on the Union Trust Company in New York, last week. A long line of people were waiting to draw their money out of the institution. An excited individual offered a boy representing a commercial house $50 for his place in the line and afterward increased the tbid to $100. The boy, loyal to his employere, would not sell his place for the tempting offer. A man ahead of him, however, responded, and said he would sell his place for $200. The money was paid him immediately, and the place was given up. As he walked away, he said to a friend, "I had only $100 in that concern, and I think I have come out a little ahead."
From New York. New York. Oct. 16. ARRIVED The steamship Herman from Bremen. GRINNELL & CO. The assets of G. B. Grinnell & Co. are $19,000,000, and the liabilities $20,000,000. CONDITION OF WALL STREET. But few signs of excitement visible 111 Wall or Broud streets to-day. No failures announced. GRAIN WANTED. It is said exporters aretaking every bushel of grain they can obtain. One house alone receives 100.000 bushels daily which is sent abroad. COBURS VS. ALLEN. Joe Coburn says he will fight Tom Allen in West Virginia or Canada in four months for from twenty-five hundred to five thousand dollars. UNION TRUST COMPANY. E. B. Wesley, receiver of the Union Trust company, said to-day that the company would either resume business before the first of November or pay dividends, if this could be done legally. WEATHER. The weather is clear and pleasant ; wind southwest. ARRIVED. The steamships Olympia, from Glasgow, Frisia, from Hamburg. THE UNION TRUST COMPANY. The examination of the affairs of the Union Trust company is still going on. The officers profess their ability on resumption to meet the demands of depositors. As to the whereabouts of Carleton, the defaulting cashier, the negotiations said to. be in progress with him. the utmost reticence is preserved.
17.October 30, 1873Helena Weekly HeraldHelena, MT
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DURING the run on the Union Trust Company, of New York, an excited individual offered a boy fifty dollars for his place in the line, and afterwards increased his bid to one hundred dollars. The boy would not sell bis place for the tempting offer. A man ahead of him, however, responded, and said he would sell his place fon two hundred. The money was paid him immediately, and the place was given up. As he walked away he said to a friend: 'Let us take a drink; I had only one hundred in that concern, and I think I have coupe out a little ahead."
Matters. Money NEW YORK, November 14.-A meeting of Grinnel creditors was held before Register Allen to-day, when the register decided that unsecured creditors alone were entitled to vote for an assignee. Against this the secured creditors made a protest. The question will be decided by court. By a vote of the unsecured creditors, the election of an assignee was postponed until December 5th. E. B. Wesley, receiver of the Union Trust company, has notified the Pacific mail steamship company not to transfer about one thousand shares of stock, claiming that they are the property of the Union Trust company. Parties holding any of these certificates, on satisfying Wesley that they have given full value for them, may obtain his assent to a transfer of them. The stock
19.November 16, 1873The New York HeraldNew York, NY
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BROOKLYN COURTS. SUPREME COURT-SPECIAL TERM. The Union Trust Company Receiver. Before Judge Gilbert. A motion was made yesterday for the removal of E. B. Wesley as receiver of the Union Trust Company of New York, who was appointed in the action brought by A. W. Kelly, the receivi- ag teller of the company. The application for one removal was based on the following allegations:First-Aileging that t were was collusiveness in the appointment. second-The undtness of the person, because he was a trustee aux Third-That he had not collected one of the debts of the company. Fourth-That the receiver was controlled by the former managers of the company. The application was opposed by ex-Judge Emmott, who said they were ready to meet all the charges. The case was not concluded yesterday.
20.November 18, 1873The SunNew York, NY
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The Union Trust in the Courts. In the suit of Augustus W. Kelley, Jr., against the Union Trust Company of New York, a petition was presented by Mr. Edward B. Wesley, the receiver of the company. for leave to sell 200 shares New York and New Haven Railroad stock, $20,000 1 first mortgage Lebanon Springs Railroad Company, $1,000; 33 first mortgages Buffalo and Erie transportation Company, $83,000; 20 construction bonds Lake Shore and Michigan Southern Railroad Company, $200,000. Judge Barrett, to whom the motion was presented, says, " In the present state of the money market sales of securities should be cautiously made, and then only on proof of the amounts which can be realized, as well of facts show. ing the propriety of the sales. There are not sufficient facts shown on the receiver's petition to authorize 80 Itensive a sale of securities as he asks for." Motion denied.
MR. William J. Carlton, of this city, was on Tuesday appointed guardian for Helen T. and Alice E. Carlton, infant defendan's in the suit of Edward B. Wesley, as receiver of the Union trust company, of New York, against Charles T. Carlton. Suit is brought to obtain possession of certain property alleged to have been purchased with money belong. ing to the trust company.
22.December 1, 1873Evening StarWashington, DC
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New York Notes. THE SNOW STORM. NEW YORK, December 1.-A snow storm set in at 7 a. m. THE UNION TRUST COMPANY has commenced paying its depositors in full. THE NEW YORK BANKS hold $36,985,000 legal tender notes, or $265,000 more than on Saturday. RUMORS OF TWEED'S SUDDEN DEATH. There Is a rumor in the new court-house, which needs confirmation, that Wm. M. Tweed dropped dead this morning while leaving his cell.
23.December 1, 1873Chicago Daily TribuneChicago, IL
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THE CONTEMPT OF JUDGE DAVIS. The Document Which Constituted the Grounds of Offense Proves to of an Ordinary Nature. Special Dispatch to The Chicago Tribune. NEW York, Nov.30.-There have been rumors, from time to time, to the effect that in the paper for wh ich the counsel for Twood were hold in cont empt and fined, yestorday, by Judge Davis, there are intimations that Judge Davis had corru ptly used his power to compol the Union Trust Company to return $9,000 which was looked up in that concern when it falled. It was stated to be alleged that officers of the Company applied to Davis to appoint a Receiver, and that he refused to name the man they desired until they paid him the amount which WAB due him. This story has been published in some Western papers, but there is no truth whatever in it. The document, RH published this morning, contains nothing of the sort, and is a very unsensational paper in that respect.
24.December 14, 1873The New York HeraldNew York, NY
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UNITED STATES DISTRICT COURT. The Proceedings in Bankruptcy Against the Union Trust Company Dismissed. Yesterday, when the petition of William R. Siney vs. The Union Trust Company, to have the latter declared bankrupt, was called before Judge Blatchford, it appeared that since the 1st inst. the company has resumed business and is meeting its obligations. The result is that the proceedings on this petition are to be discontinued. In the matter of Paul F. Munde vs. The Union Trust Company, which was a petition to have the latter declared bankrupt, Mr. Wheeler H. Peckham appeared as counsel for the Trust Company, submitted affidavits going to show that they had resumed business, and stated that, in the face of this act, the persistent efforts of counsel for the alleged creditor in following up this matter seemed to him to be somewhat in the nature of a blackmailing transaction. Aiter some further discussion the petition was dismissed. The Alleged Bankruptey of Jay Cooke & Co. The petition of John E. Fox et al. to have Jay Cooke & Co. declared bankrupts in this district was indefinitely suspended pending the determination of bankruptcy proceedings against the same firm in Philadelobia, The Detition of will-
Bank runs are almost always and everywhere a deterioration of bank fundamentals.
But not for you.
You are the measure-zero exception: great fundamentals, solid bank, and yet the Diamond Dybvig fairy spread its rumor. Depositors woke up. Your collateral was not prepositioned. The Clearinghouse had it for you.
Do not pass Go. Do not collect $200. Go directly to jail… or worse.
