Union Trust Company (Chicago, IL)

Episode Information

Episode UID
2000971122
Episode Type
Run Only
Bank Type
trust
Bank ID
200097 routing
Routing Number
2-0009
Start Date
June 5, 1893
Location
Chicago, Illinois (41.850, -87.650)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
c3a2bf6a45264cf0

Response Measures

None

Description

A December notice about extending a receivership to Chicago lines is ambiguous and not conclusive of a closure.

Events (2)
1. June 5, 1893 Run
Cause
Rumor Or Misinformation
Cause Details
Runs were precipitated by failure of Hermann Schaffner & Co. and wild/unfounded rumors circulated by board of trade brokers.
Measures
Assigned extra tellers, posted notices of extended hours, some banks applied 30/60-day withdrawal rules; Union Trust used extra paying tellers and kept open to meet demands.
Newspaper Excerpt
Equally spirited checking was noted upon ... Union Trust company, but in no case was alarm felt by well-informed people.
Source
newspapers
2. December 25, 1893 Receivership
Newspaper Excerpt
Tomorrow W. H. Rossington, attorney of the Union Trust company, will file a bill ... asking ... that the receivership be extended so as to include the Chicago lines.
Source
newspapers

Newspaper Articles (11)
1. June 6, 1893 The Anaconda Standard Anaconda, MT
Article from The Anaconda Standard, June 6, 1893

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GOT THEIR MONEY BACK Chicago Depositors Become Alarmed About Their Savings. ALL WERE PAID IN FULL Scenes of Excitement In All of the Banks in the Windy Citysmall Failures-Ohio and Kansas City. CHICAGO. June 5.-The failure of Herrmann Schaffner & Co.'s bank. which occurred last wook. bore fruit to-day in well defined runs which were precipitated on almost. if not every one. of the savings banks of Chicago. The first to feel the effect of the excitement was the Bank of Commerce, where a great many Jewish citizens of the poorer class keep their accounts. The Schaffuer failure had alarmed them and they hore down upon the Bank of Commerce at the opening hour. The tellers were doubled up and paid the checks as fast as they were presented throughout the day. the officials of the bank expressing no alarm whatever and saying that they were able to meet any domands. The Illinois Trust & Savings bank. which has a larger line of this class of deposits than any other bank in the city, amounting at times to over $12,000,000. put on an extra force of tellers and paid every one as rapidly as possible. At 3 o'clock this afternoon they posted a notice on the front door that the bank would remain open until 10 o'clock to-night and so long as the present excitement continues. The Hibernian bank. which, as its name implies, was the depository for a large number of Irish-Americans of small means. was crowded all day, but found no difficulty in meeting all demands. The Dime Savings bank took advantage of a rule requiring, if necessary. 60 days notice of withdrawal. and paid only a percentage of Its deposits to-day. The Globe Savings bank applied a 30-day rule. The Milwankee Avenue Savings bank sustained a moderate run throughout the day and they, too. kept open house until 9 o'clock to-night. Equally spirited checking was noted upon the Prairie State National and the Prairie State Savings banks, as well as upon the Union Trust company, but in no case was alarm felt by well informed people. In fact. at many of these institutions, large depositors came in during the afternoon and made heavy deposits. To-day the situation was greatly aggravated by a number of board of trade brokere who. for reasons of their own. devoted themselves to the circulation of sensational rumors in which they involved at one time or another. nearly every bank in the city and a large number of leading stock yards apliators. Notwithstanding these malicious efforts, no fear is felt as to the safety of any of the leading banking institutions of the city. The failure of Meadowcroft Brothers, a minor instituwith total deposits of perhaps $200,000. aroused little or no interest.

2. June 6, 1893 Wheeling Register Wheeling, WV
Article from Wheeling Register, June 6, 1893

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CHICAGO, June 5.-The failure of Herman Shaffner & Co., which occurred last Friday. bore fruit to-day in well defined runs which were precipitated on almost If not every one of the savings banks of Chicago. The first to feel the effect of the exeitement was the Bank of Commerce, where a great many Jewish oltizens of the poorer class keep their accounts. These took alarm as the result of the Shaffner faflure and bore down upon the Ban- of Commerce in full force at the opening, hour. The tellers were doubled up and paid checks as fast as presented throughout the day. The excitement spread and soon involved the other savings institutions. The Illinois Trust Co. which has a larger line of this class of deposits than any other bank in the city, amounting at times to over $12,000,000, put on an extra force of tellers and paid every one as rapidly as possible, and at 3 o'clock posted notice on the front door that the bank would remain open until 9 o'clock to-night and as long as the present exeitement should continue. At twelve o'clock to-night the Illinois Trust & Savings Bank was still paying off and the crowd of depositors anxious to draw their money was still as large as ever. The bank officials said that they cared nothing whatever for the run, but were rather pleased than otherwise to pay out the money as it meant & big saving to the institution in interest, the quarterly instalment being due on July 1, and which all depositors who drew their money today have lost. The bank officers estimate that the run so far hasgiven them a net profit of $35,000. It was announced at midnight that the bank would not close as long as a single depositor cared to draw out a dollar. The Hibernian bank, which as the name implies, was the depository for a large number of Irish Americans of small means, was crowded all day. but found no difficulty in meeting the demand, and at 3 o'elock the excitement had perceptibly decreased. The Dime Savings paid & percentage only on each deposit. The Globe Savings applied the thirtyday rule. The Milwaukee Avenue Savings sustained & moderate run throughout the day. and they too kept open house until o'clock to-night. Equally spirited checking was noticeable upon the Prairie State Savings and Union Trust Company, as well as upon the Avenue Savings Bank, but in no case was any alarm felt by well-informed people. Thesituation was greatly aggravated by a number of board of trade brokers, who, for purposes of their own devoted themselves to the circulation of rumors which involved at one time or another nearly every bank in the city, and & large number of leading stock yard operators. Notwithstanding these malicious stories, there is every reason to believe that none of the leading banking institutions, whethor savings, State or national, of Chicago are in any danger of suspending. The failure of Meadowcroft Bros., & minor institution. occurred but aroused little or no interest in the minds of the general public. Their total deposits did not exceed $200,000.

3. June 6, 1893 Evening Journal Wilmington, DE
Article from Evening Journal, June 6, 1893

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EARLY NEWS SUMMARY. President Cleveland Will Call an Extra Session SOMETIME DURING SEPTEMBER General Run Made By the Small Depositors of Savings Banks, But the Institutions Stood the Severe Test-Delaware Bay Oyster Dredgers to Be Tried at Bridgeton, N. J. President Cleveland, in an interview, declared that he would convene Congress in extra session between September first and fifteenth. He said the financial condition of the country required such action, and intimated that he thought the Sherman Silver law responsible for the outflow of gold. He advised coolness among bankers and study and reflection I among the people. Small Depositors Rush Their Banks. A general run was made by the small depositors upon the Chicago savings banks. The Bank of Commerce, Hibern ian Banking Association, Dime Savings Bank, Union Trust Company, Illinois Saving Fund Company, Prairie Savings Bank and several others were subjected to heavy demands but all went through the day successfully and claim to be able to meet their obligations. New Things at the Fair. The congress of temperance workers was begun at Chicago in connection with the World's Fair congresses. Among the interesting exhibits opened in the mines and Mining Building was the diamond display from South Africa, the earth being washed and diamonds ex tracted while you wait. That Suit of Russell Sage's Clerk The suit of William R Laidlaw, the stock clerk, to recover $50,000 from Russell Sage for the injuries received in the dynamite disaster in the latter's office in which it is alleged Sage used Laidlaw as a shield, was begun in New York. Delaware Dredgers In the Toils. Eight Delaware bay oyster dredgers will be tried at Bridgeton, in cases that will settle the right of the State Riparian Commissioners to dispose of certain oyster beds to private individuals. Mr. Harrity at the White House. National Chairman Harrity was in Washington, and, in company with Cap tain Skinner, of Fulton county, who wants to be pension agent at Pittsburg called at the White House. Mr. Harrity said he was working in the interests of Mr. Doyle for revenue collector. America's Interest Protected. Secretary Herbert received a cable gram from Captain Higginson of the United States steamer Atlanta at Grey. town, Nicaragua, saying he had withdrawn histroops, as the local authorities guaranteed protection to American in terests. Philadelphia's Fourth of July. Council's Committee on Fourth of July celebration will need at least $5,000 more than the $20,000 appropriated to carry out its program.

4. June 6, 1893 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, June 6, 1893

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TELEGRAPHIC. CHICAGO BANKS. Result of the Failure of Hermann Schaffner & Co. Last Week. SMALL DEPOSITORS ALARMED. Sensational Rumors by Board of Trade Brokers.-Plenty of Money in the City. CHICAGO, June 5.-The failure of Hermann Schaffner & Co.'s bank, which occurred last week, bore fruit today in well-defined runs which were precipitated on almost if not every one of the savings bankain Chicago. The first to feel the effect was the Bank of Commerce, where a great many Jewish citizens of the poorer class keep their accounts, and they bore down upon the bank at the opening hour. The tellers were doubled up and paid checks as fast as presented throughout the day. The Illinois Trust & Savings Bank, which has a larger line of this class of depositsthan any other bank in the city, amounting at times to over $12,. 000,000, put on an extra force of tellers and paid every one as rapidly as possible. The Hibernian Bank, which as the name implies, was a depositor for a large number of Irish-Americans of email means, was crowded all day, but found no difficulty in meeting all demands. The Dime Savings Bank took advantage of the rule requiring, if necessary, sixty days notice of withdrawal, and paid only a percentage of deposits today. The Globe Savings Bank applied the thirty day rule. The Milwaukee Avenue Savings Bank sustained a moderate run throughout the day and they, too, kept open house tonight. Equally spirited checking was noted upon the Prairie State National and Prairie State Savings, as well as upon Union Trust company and the Avenue Savings Bank, but in no case WAS any alarm felt by well-informed people. The situation was greatly aggravaled by a number of board of trade brokers, who for reasons of their ow n devoted themselves to the circulation of sensational rumors, in which they involved at one time or another nearly every bank in tue city and a large number of leading stock yard operators. For the first time in some months the Chicago sub-treasury has been drawn on to assist the depleted gold reserve in the East. Today one million In gold was shipped by express. There are still seven millions in gold here, and the amount is continually belog increased by Chicago banks depositing gold for currency.

5. June 7, 1893 Waterbury Evening Democrat Waterbury, CT
Article from Waterbury Evening Democrat, June 7, 1893

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1 CHICAGO'S FINANCIAL FLURRY Confidence of Poorer Classes of Depositors Not Yet Restored. CHICAGO, June 7. -Notwithstanding the evident stability of Chicago's saving institutions, as demonstrated by their prompt response to Monday's run and the refusal of a large majority to take advantage of the sixty and ninety days' notice, it was apparent yesterday that the confidence of the poorer classes of depositors is not entirely restored. Lines of people began to form in front of the Illinois Trust and Savings Bank, the Bank of Commerce, the Union Trust company, the Globe Savings Bank, and other institutions of the same class, as early as 7 o'clock. Notices were posted on the doors of all the banks that they would be open for business at 10. Every institution is stated to be well supplied with funds, and no fears are entertained in financial circles that any of them will go to the wall. It was 3 o'clock yesterday morning when the Illinois Trust and Savings company paid off the last of the depositors in waiting. This is the first time in the history of the United States that a bank has kept open all night to assist in maintaining CO n fidence. It has savings deposits amounting to $10,500,000, and it claims its ability to pay off every cent without requiring the legal notice and then to have several millions in its safes. Its stockholders com prise some fifty or more of the wealthies men in Chicago, any one of them good for a quarter to a half of the bank's liability. WASHINGTON, June 7.-Comptroller Eckeis said to a reporter, in reply to 8 question, that "SO far as present advices go from Chicago, no national bank ha been affected by the financial flurry. The Clearing House Association stand ready and willing to assist one another, and give aid in every manner needed. This fact will do much to give confidence to the people, and prevent anything like a run upon any national bank. The savings bank failures have not produced any consternation among the depositors of the national banks, and will not." The abstract of the condition of national banks in Chicago on the date of the last call showed a reserve of 29.43 per cent, or 4.45 per cent. above the reserve required by law. The total resources are stated at $160,864,804. The surplus fund was $11,516,700, and undivided profits $2,596,000.

6. June 7, 1893 The Evening Herald Shenandoah, PA
Article from The Evening Herald, June 7, 1893

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CHICAGO'S FINANCIAL FLURRY. Confidence of Poorer Classes of Depositors Not Yet Restored. CHICAGO, June 7. -Notwithstanding the evident stability of Chicago's saving institutions, as demonstrated by their prompt response to Monday's run and the refusal of a large majority to take advantage of the sixty and ninety days' notice, it was apparent yesterday that the confidence of the poorer classes of depositors is not entirely restored. Lines of people began to form in front of the Illinois Trust and Savings Bank, the Bank of Commerce, the Union Trust company, the Globe Savings Bank, and other institutions of the same class, as early as ? o'clock Notices were posted on the doors of all the banks that they would be open for business at 10. Ev ry institution is stated to be well supplied with funds, and no fears are entertained in financial circles that any of them will go to the wall. It was 3 o'clock yesterday morning when the Illinois Trust and Savings company paid off the last of the depositors in waiting. This is the first time in the history of the United States that a bank has kept open all night to assist in maintaining CO fidence. It has savings deposits amount ing to $10,500,000, and it claims its ability to pay off every cent without requiring the legal notice and then to have several millions in its safes. Its stockholders com ) prise some fifty or more of the wealthiest e men in Chicago, any one of them good for 3 a quarter to a half of the bank's liability. WASHINGTON, June .-Comptroller t Eckels said to a reporter, in reply to a question, that "so far as present advices go from Chicago, no national bank has t been affected by the financial flurry. The I Clearing House Association stand ready and willing to assist one another, and give aid in every manner needed. This fact will do much to give confidence to the I people, and prevent anything like a run t upon any nat. onal bank. The savings bank failures have not produced any consternation among the depositors of the national banks, and will not." The abstract of the condition of national ] banks in Chicago on the date of the last , call showed a reserve of 29.45 per cent, or 1 4.45 per cent. above the reserve required y by law. The total resources are stated at $160,864,804. The surplus tund was $11. e 516,700, and undivided profits $2,596,000.

7. June 7, 1893 The Advocate and Topeka Tribune Topeka, KS
Article from The Advocate and Topeka Tribune, June 7, 1893

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gency, and there was nothing left for the companies to do but to assign. PANIC IN CHICAGO. CHICAGO, June 5.-Meadowcoft Brothers, private bankers, closed their doors this morning. The property of C. A. Weisenbach, a clothing and shoe merchant, was closed by the sheriff this morning. Execution was made on judgments aggregating $26,000. Early to day the record breaking commenced. Never in the history of modern trading has the price of wheat on the month succeeding the date of the market slumped below 68 cents. To-day, before the market was ten minutes old, July wheat had touched 671/2 cents, while September wheat was down to 711/2 cents. July wheat opened at 685/8 cents, and on every minute went off 1/8 cent, until the low point 671/2 cents was reached. September steadily slumped through every quotation to 711/2 cents. July corn opened at 3934 cents and September at 41 cents, the former breaking to 391/2 cents, while the latter sold 3/4 cents higher, ranging between 403/3 41 and 415 cents. The hog products were lower. July lard opened at $10.171/2, a decline of 121/2 cents. The State Bank of Commerce is experiencing a heavy run this afternoon. The news spread like wildfire. At 12:30 o'clock an express wagon containing several bags of gold arrived. This, however, failed to satisfy the apprehensions of the depositors. Cashier Frederick Miller said: "We are not alarmed, and we will meet this run." Then he added, as a kind of second thought: "That is, as long as we are able." A run was also starsed on the Savings bank on Washington street this afternoon. The institution has deposits aggregating $600,000. There is 8 run on the Hibernian bank. The Berlin bank is paying off its depositors at the rate of three a minute. The Union Trust Company, opposite the Tribune office, at 2 o'clock was besieged by a big crowd, and extra paying tellers were assigned to duty. The Prairie Street National bank experienced 8 run this morning, and a large number of depositors withdrew their money. THE BEGINNING IN TOPEKA. W.1 R. Evans, the grocer, at the north west corner of Tenth street and Kansas avenue, made an assignment for the benefit of creditors at eleven o'clock this morning. Byron Roberts is made temporary assignee. His creditors are scheduled as follows: $ 700.00 Parkhurst, Davis & Co., account. Ridenour-Baker Grocery Co., of Kansas 150.00 City, account 100.00 Bank of Topeka, note 200.00 C. B. Whitson, Topeka, account Franklin McVeigh & Co., Chicago, Ill., account 34.00 Dozier Bakery Co., of Kansas City, ac16.25 count. 10.00 J. B. Billard, Topeka, account 60.00 Charles Eagle, Topeka, account 15.00 Syms Grocery Co., Atchison, account 15.00 Cope & Anderson. Topeka, account 40.00 Topeka Mill and Elevator Co., account 15.00 Crosby Mill Co., account 27.00 Jacob Dold Packing Co., account 50.00 John Ritchie, account Total $1,432.25 Mr. Evans closed un his store about 11

8. June 9, 1893 The Goodland Republic Goodland, KS
Article from The Goodland Republic, June 9, 1893

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RUN ON MANY CHICAGO BANKS. Excited Depositors Clamor For Their Money. CHICAGO, June 6.- Wild and unfounded rumors of impending financial disaster caused a senseless run on many of the banks in Chicago Monday. Those chiefly affected were the Prairie State National bank, the State Bank of Commerce, the Hibernian Savings bank, the Union Trust Company's bank and the Illinois Trust Savings bank. Under the circumstances it is no small tribute to the sagacity, soundness and foresight of Chicago bankers to say that they all withstood the strain. Where the rumors sprang from is a mystery. Whether malice or ignorance inspired the rumors is unknown, but whichever it was the effect was instanteous and widespread. Fortunately the effect was confined to uncomfortable crowding in the banking rooms, to pushing and hauling among excited depositors seeking to withdraw their money, and to the gathering of curious crowds upon the sidewalks outside the banks.

9. June 15, 1893 Wood County Reporter Wisconsin Rapids, WI
Article from Wood County Reporter, June 15, 1893

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QUIET AT CHICAGO BANKS. A Few Timid Depo itors Still Collect at One or Two Institutions. CHICAGO, June 7.- - The inexplicable flurry among some of the smallsavings depositors has about run its course. At most of'the tbanks at the opening hour things had about resumed their normal, every-day appearance. At one or two savings institutions, where there was still enough of a gathering to be called a crowd, there was no sign of the panicky, unreasoning alarm which beset the depositors Monday. The people were quiet and good-natured and the tellers inside were calmly stacking up the greenbacks ready to meet all demands. At the Dime Savings Bank and the Illinois Trust and Savings Bank the attendance of depositors was scarcely larger than on ordinary business davs. At the Union Trust Company and the Hibernian Bank there were small crowds, although nothing to compare with the number of people there Monday. The Milwaukee Avenue State Bank and the Prairie State Savings and Trust Company's bank on the West Side are experiencing no trouble whatever this morning, the crowds of yesterday having disappeared.

10. June 16, 1893 Iowa County Democrat Mineral Point, WI
Article from Iowa County Democrat, June 16, 1893

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QUIET AT CHICAGO BANKS. A Few Timid Depo itors Still Collect at One or Two Institutions. CHICAGO, June 7. - The inexplicable flurry among some of the smallsavings depositors has about run its course. At most of'the banks at the opening hour things had about resumed their normal, every-day appearance. At one or two savings institutions, where there was still enough of a gathering to be called a crowd, there was no sign of the panicky, unreasoning alarm which beset the depositors Monday. The people were quiet and good-natured and the tellers inside were calmly stacking up the greenbacks ready to meet all demands. At the Dime Savings Bank and the Illinois Trust and Savings Bank the attendance of depositors was scarcely larger than on ordinary business davs. At the Union Trust Company and the Hibernian Bank there were small crowds, although nothing to compare with the number of people there Monday. The Milwaukee Avenue State Bank and the Prairie State Savings and Trust Company's bank on the West Side are experiencing no trouble whatever this morning, the crowds of yesterday having disappeared.

11. December 26, 1893 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, December 26, 1893

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To Extend the Receivership. Chicago, Dec. 25.-Tomorrow W. H. Rossington, attorney of the Union Trust company, will file a bill before Judge Grosscup, of the United States court, asking the appointment of Atchison receivers by Judge Caldwell be ratified and that the receivership be extended SO as to include the Chicago lines.