Gloucester National Bank (Gloucester, MA)

View Charter #1162 on SPMC View balance sheet

Episode Information

Episode UID
116201584
Episode Type
Run β†’ Suspension β†’ Reopening
Bank Type
national
Bank ID
11620 national
Charter Number
1162
Start Date
December 15, 1931
Location
Gloucester, Massachusetts (42.616, -70.662)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
5b8ae492d16d85a9

Response Measures

Public signal of financial health, Capital injected, Full suspension, Books examined

Description

Directors voluntarily suspended Dec 15, 1931 after rumor-driven withdrawals; bank reorganized and reopened in March 1932.

Events (5)
1. May 18, 1865 Chartered
Source
historical_nic
2. December 15, 1931 Run
Cause
Rumor Or Misinformation
Cause Details
Rumors/misimpression linking Gloucester National with Federal National Bank of Boston spurred heavy withdrawals.
Measures
Directors limited payments and then decided to suspend temporarily; called for examination.
Newspaper Excerpt
demands for sums totaling over $100,000 ... came like bolt from the blue
Source
newspapers
3. December 15, 1931 Suspension
Cause Details
Directors voluntarily suspended payments after sudden heavy demands driven by rumors about affiliation with the Federal National Bank of Boston.
Newspaper Excerpt
The directors of this bank believe it to be entirely solvent...decided to suspend for the time being
Source
newspapers
4. March 15, 1932 Reopening
Newspaper Excerpt
The Gloucester National Bank, which suspended business on Dec 15, 1931, has been reorganized and will reopen for business probably about March 15, it was announced today
Source
newspapers
5. May 17, 1932 Voluntary Liquidation
Source
historical_nic

Newspaper Articles (14)
1. December 15, 1931 Hickory Daily Record Hickory, NC

Article Text

CLOSE All Affiliated With Federal National, Of Boston BOSTON, Dec. banking tions, with aggregate cording the latest were The list included four banks and five State central figure the closing the Federal National bank which has five city with which the institutions were affiliated. The Federal National whose directors voted to comptroller currency to charge after runs the and its branches deposits, September The other banks and available statements of The Middlesex National Lowell, $4,000,000; the State tional bank, Lynn, the Gloucester National $1,600,000; the croft Trust company, $5,876,474; the company, the Inman Trust bridge, $3,808,412; the Trust company, Brockton, 753; the Salem Trust $2,115,530. Governor Joseph B. Ely, his home field, said that with proper plan for the ures, the institutions opening Three savings banks Boston south Boston experiencing small runs today.

2. December 15, 1931 Springfield Evening Union Springfield, MA

Article Text

Nine Banking Institutions in' Massachusetts Fail Open Doors for Business Federal National Bank of Boston and Eight .Affiliated Firms Are Closed Runs Start on Three Independent Greater Boston Institutions Gov. Ely Foresees Rapid ReorganizΔ…tion. BOSTON Nine banking with according the latest statements, of were closed today. The list included four national banks and state banks. Deposits $28,235,238. National Bank, whose the Comptroller Currency take charge after and its branches yes. had deposits Sept. 29 of The banks their latest other and available statements of deposit were The Middlesex National Bank. Lowell, $4,000,000: the State National Bank, Lynn, the Gloucester tional Bank. Gloucester. the Bancroft Trust Company. WorLawrence Trust Company the Inman Trust Company Cambridge, the Brockton Trust Company. Brockton. the Salem Trust $2,115,530. Gov. Joseph B. Ely in statement [Continued on Nineteenth Page.)

3. December 15, 1931 Casper Star-Tribune Casper, WY

Article Text

BANKS CLOSED Four National Institutions Included BOSTON, Dec. (AP) Massachusetts banking institutions, with aggregate deposits, the latest of 000, were closed today The list cluded four national banks and five state banks. The central figure the the Federal National bank of Boston, which has five city and with which other institutions here were affiliat- The Federal National bank, whose directors voted to the comptroller of currency to take charge after runs at the bank and its branches had deposits on Sept. 29 yesterday, of The other banks and their latest available statements deposit were: The Middlesex National Bank, Lowell, the State National bank, the Gloue ter National bank. the Bancroft Trust company, Worcester, 474; the Lawrence Trust company, $9,555,926: Inman Trust Cambridge, 412: the Brockton Trust company, the Salem Trust company, Salem $2,115,530.

4. December 15, 1931 The Boston Daily Globe Boston, MA

Article Text

STATE'S FUNDS IN CLOSED BANKS TOTAL $1,060,889 State of Massachusetts more than $1,000,000 tied up six the banks that closed their to figures given noon by State Treas Charles Treas said that the State had in the Trust Trust Company. banks, all with of Boston, which the State has funds, and the follows: Bancroft Trust Bank, LowState National Bank, Lynn, Federal National Bank, $773,889 Gloucester National $18,000. the closed banks totaled

5. December 15, 1931 The Daily Sentinel Grand Junction, CO

Article Text

NINE BANKS MASSACHUSETTS CLOSED TODAY Total Deposits Exceeded 58 Million; Speedy Reopening of Institutions Expected Massaaggregate according to the latest statements of 000 closed today The list included four national banks and five state The central in the closings the Federal bank of which has five city branches and with which all the other institutions The Federal National whose directors voted to ask the comptroller of currency to take charge after runs at the bank and its yesterday. had deon September of The banks and their latest statements of deposit were: The Middlesex National State the Gloucester National the Trust the Trust the Inman Trust Brockton Trust the Salem Governor Joseph B. in statement from his home WestTurn to Page 10. Col.

6. December 15, 1931 Fort Collins Coloradoan Fort Collins, CO

Article Text

9 Banks Close Massachusetts Boston. (AP) Nine Massachusetts banking aggregate deposits, to the latest of closed today. The list included four national and five state banks. The central figure in the closings 12t-195G was the Federal bank Boston, which has five city es and with which all the other 3t-199G stitutions were affiliated. before The Federal National bank, whose directors voted to ask the comptroller of currency to take charge after runs at the bank and had posits, on 29, of 3t-199G The other banks and their available statements of deposit were: The Middlesex National bank. 3t-200G Lowell, $4,000,000; the State National bank, Lynn, $2,013,565; the GlouNational bank, $$1,600,000; See the Trust Worcester, $5,876,474 the Trust company, Lawrence, $9,555,926; the 5t-200G Cambridge, $3,808,412; the lyn Trust Brockton, $1,508,753; the Salem Trust company, Salem, $2,115,530.

7. December 16, 1931 Daily News New York, NY

Article Text

9 BAY STATE BANKS FAIL WITH $58,700,000 DEPOSITS Boston, Dec. 15 (A).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. Move for Reopenings. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Gov. Joseph B. Ely, in a statement from his home in Westfield, said that with proper measures a program for the speedy re-opening of the institutions could be worked out and that he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Run on Savings Banks, Three savings banks in East Boston and South Boston were experiencing small runs today. President Daniel C. Mulloney of the Federal National Bank expressed the opinion that, with careful handling of resources, depositors in his bank would receive 100 cents on the dollar. The city of Boston had $900,000 on deposit in the Federal National Bank while the State had $773,889. besides $287,000 in other banks closed today. The bank commissioner's office estimated there were 75,000 depositors in the five State banks affected.

8. December 16, 1931 Daily News New York, NY

Article Text

9 BAY STATE BANKS CLOSE; HAD $58,700,000 Boston, Dec. 15 (A).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Three savings banks in East Boston and South Boston were experiencing small runs today.

9. December 16, 1931 The Boston Daily Globe Boston, MA

Article Text

STATE'S FUNDS IN CLOSED BANKS TOTAL $1,060,889 The State of Massachusetts has slightly more than $1,000,000 tied up in six of the banks that closed their doors given out yesterday by State Treas Charles Hurley Treas Hurley said that the State had no funds in the Brockton Trust pany, the Lawrenche Trust Company the Trust closed banks, all affiliated with the Federal National Bank of Boston, in which the State has funds, and the amount in each follows: Bancroft Trust Company Worcester. $45,000 Inman Trust Company, $72,000; National Bank, Low $76,000 State National Bank, Lynn, Federal National Bank, $773,889 Gloucester National in the closed banks totaled $1,060,889.

10. December 16, 1931 The Boston Daily Globe Boston, MA

Article Text

CLOSING AT GLOUCESTER FIRST IN 135 YEARS When opened this morning for an ed business period 135 years it found group awaiting its These had been appraised by radio last night the Federal Bank of in financial difficulties and, as the Gloucester National Bank was known to be cor. respondent of the Federal, was mised by some the affairs of both were Accordingly within half hour there were demands for of sums totaling over $100,000 one sum for $30,000 As the bank officials had not been aware of any prior difficulty and as the came like bolt from the blue, opportunity to convert into ready cash. Accordingly the directors, after consultation with the bank and by their advice, decided to suspend for the time being that effect was posted the closed. This reads as "The directors of this bank believe it to be entirely solvent. The Federal National Bank of Boston of the of this and the public have the impression that this bank has & heavy deposit with the

11. December 16, 1931 The Boston Daily Globe Boston, MA

Article Text

Federal Bank and therefore sustain In fact, Gloucester National Bank has deposit with the Federal National Bank only $2100. On account of this rumor demands for by this the bank cannot safely honor for few at least, until has opportunity to liquidate its "The directors of this bank, therefore, voluntarily to the bank and the National bank make of this bank and make public statement of its conthis we plan to reopen the bank and do business usual There is an impression that the Gloucester subsidiary of the Federal Nothing the fact, the bank offisay Mr and States Attorney Fred H. Tarr that the Boston bank the local and that the only interest that the comes from of of in open The Gloucester, City Treas had 000 on deposit the bank Every financial in the city Mr Reed gave him assurances that be cashed on that the city would suffer In fact these institutions of the but Mr of the says there need it as the institution is bank capitalized for $100,000 and undivided profits and deposits of specialized in the Colonial foreign by which interests it in the fisheries as that has the Gloucester National as follows: president: John rence Trust caused much the minds of the depositors that the directors deemed it advisable the Banks to take charge of this bank in order to protect its depositors and conits assets. The recent statement, dated Oct showed the bank to have deposits totaling Last Tuesday Christmas members and said today that many of these checks had not Among the the City of which has there, according to City Treasurer William A. Kelleher Trust Company was established in Last May the stockholders with the Federal Bank of Boston. ing that an indictment him with the quashed The against Reed him with conspiracy to loan funds the bank on inadequate His motion to quash is based on two cause the not any specific offense contrary to the second, because the vague, indefinite, and does set ly, and formally, quired by When the indictments several defendants period in which file such pleas, and Judge blanket covering all defendants allowing of the period.

12. December 17, 1931 The Boston Daily Globe Boston, MA

Article Text

PREDICTS EARLY REOPENING OF BANK Head of Gloucester National So Informs Directors Special Dispatch to the Globe GLOUCESTER, Dec 6-Following a meeting of the board of directors this evening, Pres Thomas J. Carroll of the Gloucester National Bank expressed confidence that the bank will reopen within few Mr Carroll said that National Bank Examiner W. P. McCall had explained to the meeting that, because of the demand for examiners, he would have to conduct the examination of the Gloucester bank's affairs without assistance. Mr McCall said that probably 10 days required for him complete the His then go the Comptroller of the Currency at The reopening of the bank, Pres Carroll said is, in his opinion only matter the time that will be required for the bank examiner to complete his work. In addition to the fact that the city of Gloucester amounting about $46,000 will be honored by all checking institutions in this city came the news shortly before noon that the Cape Ann National and the Gloucester Safe Deposit Companies will henor all Christmas checks of the Gloucester National, amounting to $100,000. These had been mailed few days ago. The of two Gloucester banks to cash the checks extends only to the city's account and Christmas checks and to no other accounts. This, of course, is big help to depositors and local retail dealers. The yesterday that the city of Gloucester checks would be honored is due to the prompt action an Associate Justice the District Court, Lincoln who also chairman the Board Aldermen and one of the trustees the Cape Ann Savings Bank, solidly entrenched He immediately came into the and made arrangements the other commercial banks that all checks of the city should be paid on presentation. CLOSED BANK'S DEPOSITORS WARNED OF LOAN "SHARKS" warning to the of the Highland Trust Company and the members of the Christmas Savings Club of the Somerville Institution for Savings to beware of getting into the hands of small-loan 'sharks' was issued by Mayor John J. Murphy of Mayor Murphy said there is determined effort being made by money lenders to acquire hold on the money of depositors by offering small loans to them and requiring them to pledge their equity in the as security. Mayor Murphy said that plans are being considered for the benefit of depositors and urges them to retain their

13. March 5, 1932 The Boston Daily Globe Boston, MA

Article Text

GLOUCESTER BANK TO REOPEN National's New Capital Is Fully Subscribed GLOUCESTER, March 5β€”The Gloucester National Bank, which suspended business on Dec 15, 1931, has been reorganized and will reopen for business probably about March 15, it was announced today by officers of the bank, said to be the oldest in Massachusetts and seventh oldest in the country, having been established in 1796. The directors announced today that the capital stock of $250,000 has been fully subscribed. It was said that it is expected that the reorganization will be completed early next week, and that the bank will open shortly. The new organization of the bank follows: Thomas J. Carroll, president; Chester L. Curtis, cashier; J. Roland Cahill, Benjamin Curcuru, William J. Dean, John H. Hammond Jr, Charles T. Heberle, John A. Johnson, Jesse R. Kenyon, Frank R. Loeffler, Ralph G. Lucas, Raymond O'Connell, John F. Perkins and Frederick H. Tarr. Mr O'Connell is the treasurer and general manager of the Consolidated Lobster Company, located at Bay View.

14. March 14, 1932 The Berkshire Eagle Pittsfield, MA

Article Text

FORMER LOCAL MAN DIRECTOR OF REOPENED BANK O'Connell, the late John O'Connell Elizabeth Street, this city has been named director the Gloucester National Bank business on Dec. 15, 1931, and has been ganized for opening probably this week Mr. manager of the LobBay The bank the oldest the country been established Gloucester.