Germania Savings Bank (Jersey City, NJ)

Episode Information

Episode UID
1674041591045
Episode Type
Suspension โ†’ Run โ†’ Closure
Bank Type
savings
Bank ID
167404159 hash
Start Date
January 29, 1887
Location
Jersey City, New Jersey (40.728, -74.078)

Metadata

Model
gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
c9f5dec70d977c0d

Response Measures

None

Description

The bank suspended due to embezzlement; the suspension then triggered a gathering of anxious depositors (run/agitation) before the bank was wound up.

Events (3)

1. January 29, 1887 Other
Newspaper Excerpt
The trustees are ordered to settle the bank's affairs by disposing of all its available securities. No receiver will be appointed for the present at least.
Source
newspapers
2. January 29, 1887 Run
Cause
Bank Specific Adverse Info
Cause Details
News of the treasurer's defalcation and the bank's closure caused depositors to throng the streets.
Measures
Police guarded the doors to prevent the crowd from entering.
Newspaper Excerpt
The news of the wreck of the Germania Bank spread rapidly, and the street was thronged with anxious depositors.
Source
newspapers
3. January 29, 1887 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Secretary and Treasurer Claus M. E. Schroeder defaulted/embezzled $30,000 and fled to Canada.
Newspaper Excerpt
The Germania Savings Bank, 140 Newark avenue, closed its doors this morning. C. M. E. Schroeder, secretary and treasurer, is missing... There is a deficit of $30,000
Source
newspapers

Newspaper Articles (17)

Article from Alexandria Gazette, January 29, 1887

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Article Text

Closing of a Bank. JERSEY CITY, N.J., Jan. 29.-The Germania Savings Bank, 140 Newark avenue, closed its doors this morning. C. M. E. Scroeder, secretary and treasurer, is miss. ing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. VicePresident Louis A. Lienau says that the securities are intact and that the deficit will not exceed the figures named.


Article from Savannah Morning News, January 30, 1887

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Article Text

A TREASURER STEALS $30,000 One of Jersey City's Banks Closes Its Doors, but Will Pay in Full. JERSEY CITY, N. J., Jan. 29.-TheGere mania Savings Bank, at No. 140 Newark avenue, closed its doors this morning. C. L. E. Screeder, Secretary and Treasurer, is missing, and it is believed has gone to Canada, There is a deficit of $30,000 in the cash account. Application has been made for a receiver. The bank was in corporated March 29, 1871, and did an extensive savings and general banking business. Vice President Louis A. Lienau says that the securities are intact, and that the deficit will not exceed the figures named. Secretary and Treasurer Schroder was reported by his household to have left town Thursday night, but the police think he was at home this morning. The trustees of the bank are on his bond for $50,000. The trustees met last night and found the books all written up and the securities intact, but there was not a cent of the cash balance of $30,000. The trustees claim that the assets are suffcient to pay all claims. They expect to pay 75 per cent. to depositors within thirty days, and the remainder after suffcient delay to enable them to dispose of the real estate held by the bank. Secre* tary Schroder speculate! in stocks with the bank's funds.


Article from New-York Tribune, January 30, 1887

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Article Text

A JERSEY CITY BANK SHUT. ITS CASHIER AND ABOUT $30.000 GONE. APPLYING TO THE CHANCELLOR FOR ADVICE-CONFESSION BY THE DEFAULTER. A sensation was created in Jersey City yesterday by thedisciosure of the fact that Claus M. E. Schroeder, secretary and treasurer of the Germania Savings, was a defaulter and had run away. The amount of the defalcation, so far as could be ascertained from a hasty examination, is $30,000. That is probably the actual amount, as the directors, when they examined the vault, found, instead of cash, Schroeder's personal note for $30,000, datea January 31, 1887, and made payable six months after date. Schroeder was at the bank Thursday, and when he was leaving in the afternoon said that he was obliged to go to Newark the next day to transact some business. Onthat account his failure to appear on Friday morning did not attract any special attention. but when he did not arrive in the afternoon Louis Lienan, the vice-president, sent a messenger to his house. The information obtained by the messenger caused Mr. Lienan to call an immediate meeting of the directors, and they remained in secret session at the bank until 1 a. m. yesterday. The discovery was then made that Schroeder was a defaulter. At 10 a. m. yesterday, when some people called at the bank to transact business, they found the front doors closed and guarded by a policeman. On one of the doors was posted a notice which read This bank is closed pending an application to the Chancellor for instruction. LOUIS LIENAN, Vice-President. The news that the bank had closed spread rapidly among the depositors and caused great excitement. Crowds of them besieged the door but were unable to gain admittance. They lingered around discussing the matter until the heavy rain compelled them to seek shelter. Reporters who called at Schroeder's house. No. 25 Linden-ave., were told that Mr. Schroeder was not at home and Mrs. Schroeder was too 111 to be seen. The house is a large one, finely furnished, and is owned by Mrs. Schroeder. It was learned that on Thursday night Schroeder sent for James R. Williamson, an insurance agent at No. 17 Montgomery-st. who has been his most intimate friend. Schroeder and his wife were in the parlor when Williamson arrived. In the presence of his wife and the visitor Schroeder made a full confession. He said that he owed the bank $30,000, and being unable to pay it he was compelled to flee with scarcely a dollar in his pocket. On the completion of his confession the miserable man kissed his wife and two children, wrung his friend willjamson's hand and left the house. It is presumed that he has sought refuge in Canada. Schroeder was generally regarded as a man of very steady habits. He had no vices, 80 far as is known, and although he lived well it was thought that hisincome warranted it. In addition to his position in the bank, which paid him $2,000 a year, he was engaged in the real estate and insurance business. He was agent for the Hanover Insurance Company of few-York, the Lieman estate and the Hamburg-America Steamship Company. He was also treasurer of the State Council, American Legion of Honor, and of the Ancient Order of United Workmen. There should be a balance of $1,200 to the credit of the American Legion of Honor. The condition of the Ancient Workmen's fund is unknown General Agent Matthews of the Hanover Insurance Company says that the company will not lose anything. What course will be pursued by the directors of the bank has not been determined. Senator William D. Edwards, their counsel, and Vice-President Lienan went to Newark yesterday and had a consultation with Chancellor Runyon. When they returned they said the Chancellor had given verbal orders that the directors continue in possession of the concern until the formal Issue of an order giving them authority to wind up its affairs. No receiver will be appointed and It is possible that Schroeder's bondsmen will make good the deficiency. Schroeder's bond is $50,000 and his bondsmen are Michael Lienan, F. O. Matthiessen. the sugar refiner, Mr. Kunhardt, of the firm of Kunhardt & Co., 61 Broad-st., w-York, and William Schuman. a wholesale grocer in New-York. It is said that Schroeder engaged in speculations recently and that he was largely interested in a newly patented milling machine which has falled thus far to realize the expectations of its inventor. The following statement of the bank's condition has been prepared $257,530 63 Liabilities


Article from The Daily Times, January 30, 1887

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Article Text

Treasurer and $30,000 Missing. JERSEY CITY, N. J., January 29.-The Germania Savings Bank, 140 Newark avenue, closed its doors this morning. C. M. E. Scroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice-President Louis A. Lienau says that the securities are intact and that the deficit will not exceed the figures named.


Article from Wheeling Sunday Register, January 30, 1887

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Article Text

OFF FOR CANADA. Another "General Favorite" Treasurer Skips Out With the Funds. JERSEY CITY, N. J., January 29. - The Germania Savings Bank, No. 140 Newark avenue, closed its doors this morning. C. M. E. Schroeder, Secretary and Treasurer, IS missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice President Louis A. Lienan says that the securities are intact, and that the deficit will not exceed the figures named. The news of the wreck of the Germania Bank spread rapidly, and the street was througed with anxious depositors. Upon the door was the following notice : "This bank is closed pending an application to the Chancellor for instructions," and signed "Louis A. Lienau, Second Vice President. A servant said Schroeder had left his house after a brief interview with his wife, Thursday night. The trustees met last night and found the books all written up and found the securities intact, but there was not a cent of the cash balance of $30, 000. The trustees claim that the asssets are sufficient to pay all the claims-25 per cent now and the remainder after a delay of 30 days to enable the bank to dispose of the real estate held by it. The bank's books are locked up and it is impossible to obtain detais. Schroeder fled after seeing that he could not conceal his crime. He is a well known German and a general favorite. He has a wife and two children. Heis known to have lost money in speculation.


Article from The Salt Lake Herald, January 30, 1887

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Article Text

Bank Failure. JERSEY CITY, January 29.-The Germania Savings Bank closed its doors this morning. C. M. E. Schroeder, sec retary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated on March 29th. 1861, and did an extensive savings and general banking business. Vice-President Louis A Lienan says that the securities are intact, and that the deficit will not exceed the figures named.


Article from Fort Worth Daily Gazette, January 30, 1887

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Article Text

BUSINESS AFFAIRS. A Jersey City Savings Bank Fails Because of a $30,000 Shortage. JERSEY CITY, N. J., Jan. 29.-The Germania Savings' Bank at 140 Newark avenue, closed its doors this morning. C.M. Schroeder, Secretary and Treasurer, is missing and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. Vice-President Louis A. Lienan says that the securities are intact.


Article from Richmond Dispatch, January 30, 1887

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Article Text

A Bank Closes Its Doors. [By telegraph to the Dispatch.) JERSEY CITY, January 29.-The Germania Savings Bank, 140 Newark aveC. nue, closed its doors this morning. M. E. Screeder, its secretary and treasurer, is missing, and, it is believed, has gone to Canada. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. The vice-president, Louis A. Lienan, says that the securities are intact, and that the deficit will not exceed the figures named.


Article from Wheeling Register, January 31, 1887

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Article Text

OFF FOR CANADA. Another "General Favorite" Treasurer Skips Out With the Funds. JERSEY CITY, N.J., January 29.-The Germania Saving: Bank, No. 140 Newark avenue, closed its doors this morning. C. M. E. Schroeder, Secretary and Treasurer, IS missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 1871, and did an extensive savings and general banking business. Vice President Louis A. Lienau says that the securities are intact, and that the deficit will not exceed the figures named. The news of the wreck of the Germania Bank spread rapidly, and the street was thronged with anxious depositors. Upon the door was the following notice : "This bank is closed pending an application to the Chancellor for instructions," and signed "Lonis A. Lienau, Second Vice President. A servant said Schroeder had left his house after a brief interview with his wife, Thursday night. The trustees met last night and found the books all written up and found the securities intact, but there was not a cent of the cash balance of $30,000. The trustees claim that the asssets are sufficient to pay all the claims-25 per cent now and the remainder after a delay of 30 days to enable the bank to dispose of the real estate held by it. The bank's books are locked up and it is impossible to obtain detals. Schroeder fled after seeing that he could not conceal his crime. He is a well known German and a general favorite. He has a wife and two children. Heis known to have lost money in speculation.


Article from Morris Tribune, February 2, 1887

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JERSEY CITY, Jan. 31.-The Germania Savings bank, 140 Newark avenue, closed its doors Saturday morning. C. M. E. Schroeder, secretary and treasurer, is missing, and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. An application will be made for a receiver. The bank was incorporated March 29, 187), and did an extensive savings and general banking business.


Article from The Emporia Weekly News, February 3, 1887

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Savings Bank Clos d. JERSEY CITY, Jan 29.-The Germania Savings Bank, at 140 Newark avenue, closed its do rs this morning. Secretary and Treasurer Schoeder is missing, and it is believed he has gone to Canapa. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. Vice Presid nt Louis a Liendu says that the 8 curities are intact.


Article from The Londonderry Sifter, February 3, 1887

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NEWS NOTES. DOMESTIC. The Governor of Ohio has appointel exPresident R. B. Hayes to be trustee of the Ohio State University for the term of seven years, beginning May 14, and the ppointment was confirmed by the Senate. About 200 cases of giant powder exploded while in transit in a magazine car over the Missouri Pacific road a half-mile west of Fort Scott, Kan. Fifteen of the 23 freight cars were completely demolished, and the magazine car was blown to atoms. The engine was badly broken up. A spec'al from Spokine Falls, Wash., says: Terrible suffering exists on the Colville reservation, 80 miles north, smallpox having broken out in the tribe with great fatality. Deep snow has prevented hunting, and government supplies have been inadequate. Hugh Sutherland, president of the Hudson Bay road, !unning from Winnipeg, Man., to Hudson's Bay, announces that the company will spend $4,000,000 the coming year in construction. Ex-Treasurer Hollingsworth of Knox county, Ind., who decamped last May with $80,000 of the public funds, recently created a sensation by walking into the court room at Vincennes, and giving himself up to Judge Mallott. The 'longshoremen's strike in New York and vicinity continues; the estimated nums ber of workmen now out reaches 50,000. Only a few European and coastwisesteamers are able to leave their docks. The jury in the case of Beiral, who was in dicted in New York for attempting to murder Surveyor Beattie last November, have rendered a verdict of guilty. C. J. Winship, constable and collector of the town of Weston, Vt.. has defaulted in the sum of $600, which his bond men must pay. Five of the men engaged in the recent robbery of the railroad train at Gordon, Tex., have been arrested. and the prospect is that the other three will be captured. The great railway suit of Sarah A. Angle against the Chicago, Portage & Superior Railway company at Madison, Wis., for violation of contract has been concluded. The jury rendered a verdict for the plain:iff of $351,965.50. Reports from the west show that heavy snowstorms prevailed in western Dako a and eastern Montana. Trains on the Northern' Pacific railroad and other roads are badly delayed. Black diphtheria is raging near Madison, Wis. The schools at Wanuakee have been closed and the town quarantined. The Little Rock, Mississi: pi River & Texas railroad has been sold under the foreclosure of mortgage, Jay Gould being the purchaser. The price paid was $1,800,000. The road runs from Little Rock to Arkansas City, a distance of 112 miles, connecting w th the iron Mountain road at Little Rock, Ark. Gould was the only bidder. Americans in the vicinity of Lewis' Cove, in Perry, Me., are indignar t at the fact that there are several fishermen from St. Andrew's in the cove, as when the fish seek the other shore the war vessels of the Dominion se ZB any American vessel tound inside the limit. A recent fire at Vanceboro, Me., destroyed the fin large steam mill used by the Vanceboro Wooden Ware Company in the manu facture of kiln dried hardwood lumber. Loss about $40,000; part!y insured. About 100 men are thrown out of employment. Diphtheria prevails to such an extent in Shelter Island, L. I., that the public schools have been closed to prevent its spread. The disease S said to have been brought from Boston. The treasurer of the Germania bank at Jersey C ty has robbed that institution of $30,000, and left for parts unknown. The depositors will be pai 1 in full. The largest and fastest passenger engine ever built was recently run out of the Rhode Island locomo ive works at Providence. During the week ending Jan. 28, 1887, 1278 gallons of soup were distribute and 6102 meals provided by the city of Boston. The reports of corresponding week of this year, show the number of gallons to be 1012, and


Article from The Austin Weekly Statesman, February 3, 1887

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BANK FAILURE. Another Good Man Gone Wrong and Off With $30,000. JERSEY CITY, January 29 -The Germania Savings bank, 140 Newark avenue, closed its doors this morning. C. M. Schroeder, secretary and treasurer, is missing and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. Vice-president Louis A. Lienan says that securities are intact. News of the wreck of the Germania bank spread rapidly, aud the street was thronged with anxious depositors. Upon the door was the following notice: "This bank is closed pending application to the chancellor for instructions," and signed "Louis A. Lineau, second vice-president." The trustees met last night, and found the books all written up and securities intact, but there was not a cent of cash. The balance of the $300,000, the trustees claim, that assets are sufficient to pay all claims, 75 per cent. now and the remainder after a sufficient time to enable the bank to dispose of the real estate held by it. The bank's books are locked up, and it is impossible to obtain details. Schroeder fled after seeing he could not conceal his crime. He is a well known German and general favorite. He has a wife and two children, and is known to have lost money in speculation The police have learned that Treasurer Schroeder was at home at 7 o'clock this morning, his house is being searched. Four trustees of the bank were on hie bonds for $50,000. State Senator W. K. Edwards, counsel for the bank, received instructions from Chancellor Rungan this morning. The trustees are ordered to settle the bank's affairs by disposing of all its available se. curities. No receiver will be appointed for the present at least. Edwards stated the depositors would not lose over 20 per cent. at the most, and that all will probably be paid in full evenentually. Schroeder left a six month note upon himself for $30,000, dated January 31, to President Lineau's order.


Article from The Mitchell Capital, February 4, 1887

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Gone to Canada With $31,000. JERSEY CITY, N. J., Jan. 29.-The Germania savings bank, No. 14, closed its doors this morning. Schroder, secretary and treasurer, is missing and it is believed he has gone to Canada. There is a deficit of $30,000 in the cash account. Application will be made for a receiver. The vice president says the securities are intact and that the deficit will not exceed the figure named.


Article from The Jersey City News, November 2, 1891

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GERMANIA BANK. The Chancellor May Take a Hand in Its Affairs. Councellor Abraham Van Horne applied to the Chancellor this morning for an order directing the Trustees who are winding up the defunct Germania Savngs Bank to submit to the Court a stateout of the bank's affairs. The petition was filed in behalf Valentine Lindermann and 550 other depositors. It sets forth the fa ct that the bank suspended paymenut January 7, 1887, and that the depositors had received seventy- five per cent. of their deposits. The petitioners believed that there were enough assets to Day the remaining twenty-five per cent. They are unable to obtain any tn' ment from the trustees, they say, "why are all poor people and in need of the money. The Chancellor made an


Article from The Jersey City News, March 14, 1892

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Germania Bank Depositors. A meeting of the Germania Bank depositors was held yesterday afternoon at No. 316 Third street. A resolution was adopted to the effect that unless the last dividend was paid at a very early date a Receiver would be applied for.


Article from The Jersey City News, December 5, 1895

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Not Wanted Here. Chief Murphy had not been notified of Steel's arrest at two o'clock this afternoon. He is not interested in the capture, for the reason that no such offense was committed in this city. Neither is any one wanted for troubie of any character in connection with any of the banks. About nine years ago the Fifth Ward Bank was forced to close its doors, because of stealings, but Gar. ret Boyce, a man named Beach and all others implicated were arrested, tried, convicted and sentenced to terms of imprisonment. In 1887, the eGrmania Bank was compelled to suspend on account of thefts. Cashier Claus SchroeHe der got away with about $30,000. went to Canada. No effort was made to capture him and no disposition to prosecute him was shown. The last heard of him was about one year ago. He was then keeping a saloon in Canada and doing a lively business. He never burned any of the bank's books.