Merchants National Bank (Rutland, VT)

View Charter #3311 on SPMC View balance sheet

Episode Information

Episode UID
331101203
Episode Type
Suspension → Closure
Bank Type
national
Bank ID
33110 national
Charter Number
3311
Start Date
March 26, 1900
Location
Rutland, Vermont (43.611, -72.973)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
0d07b129b5bd1dcc

Response Measures

None

Receivership Details

Depositor recovery rate
96.5%
Date receivership started
1900-03-26
Date receivership terminated
1906-03-31
OCC cause of failure
Fraud
Share of assets assessed as good
35.1%
Share of assets assessed as doubtful
17.2%
Share of assets assessed as worthless
47.7%

Events (4)
1. February 25, 1885 Chartered
Source
historical_nic
2. March 26, 1900 Receivership
Source
historical_nic
3. March 26, 1900 Receivership
Newspaper Excerpt
Bank Examiner D. D. Muir has been appointed temporary receiver.
Source
newspapers
4. March 26, 1900 Suspension
Cause
Government Action
Cause Details
Closed and placed in hands of a temporary receiver after discovery of large misappropriation by cashier Charles W. Mussey (shortage initially reported $145,000, later reported >$200,000).
Newspaper Excerpt
The Merchant's national bank, of Rutland, Vermont, had closed this morning. Rutland, Vt., March 26-The Merchant's national bank closed its doors today.
Source
newspapers

Newspaper Articles (23)
1. March 26, 1900 Las Vegas Daily Optic Las Vegas, NM
Article from Las Vegas Daily Optic, March 26, 1900

Click image to open full size in new tab

Article Text

Four Bank Failures. Keene, N. H., March 26-The bank commissioners of New Hampshire have filed petitions with the clerk of the Cheshire county supreme court, asking that assignees be appointed for the Keene Guaranty Savings bank, and the Keene Five Cents Savings bank. Neither bank has received deposits of late, owing to the general belief that they sustained losses through western investments. Five Cents owes $1,449,058. Guaranty Savings bank $718,873. Washington, March 26-The comptroller of the treasury received word that the Merchant's national bank, of Rutland, Vermont, had closed this morning. Rutland, Vt., March 26-The Merchant's national bank closed its doors today. Cashier Charles W. Mussey is under arrest charged with misappropriation of funds. The amount of shortage is not known. The following is a synopsis of the report of the condition of the bank made by comptroller of currency under call of February 13th: Liabilities, capital $100,000; surplus and profits $3,383, due depositors and bankers $351,549; circulation $21,870. Resources: loans discounts $361,363; other assets including cash $115,438. Bank Examiner D. D. Muir has been appointed temporary receiver. Rutland, Vt., March 26-It is announced that the shortage of Cashier Mussey amounts to $145,000. The cashier was arrested at Albany, N.Y.

2. March 26, 1900 The Providence News Providence, RI
Article from The Providence News, March 26, 1900

Click image to open full size in new tab

Article Text

BANK CLOSES DOORS AND CASHIER IS ARRESTED. Bank Examiner D. D. Muir was apRutland, Vf,, March 26.-The Merpointed temporary receiver: Following chants National Bank closed doors tois the synopsis of the report of the cone day, and the cashier, Charles W. Mus+ dition of the bank made to the comp. troller of the currency under the call sey, is under arrest, charged with the February 13, 1900: Liabilities-Capital misappropriation of funds of the bank. $100,000: surplus and profits $3,088; due The exact amount of shortage will not depositors. banks and bankers $351,5495 circulation $21,870. Resources-Leans be made known until after a thorough and discounts $361,363; other assets inexamination of the bank's books, which cluding cash $115,486. is now in progress, has been completed.

3. March 26, 1900 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, March 26, 1900

Click image to open full size in new tab

Article Text

A NATIONAL BANK FAILS. Cashier Under Arrest for Misappropriation of Funds. Vermont Institution in the Hands of a Receiver-Amount of Shortage $145,000. Rutland, Vt., March 26.-The Merchant's National Bank of Rutland closed Its doors today and the cashier, Charles W. Muzzey, is under arrest, charged with misappropriation of funds, Following is a synopsis of the report of the condition of the bank made to the comptroller of the currency under the call of February 13: Liabilities, capital, $100,000; surplus and profits, $1,383; 'due to depositors, banks and bankers, $351,549; circulation, $21,870. Resources: Loans: Loans and dis. counts, $361,363; other assets, including cash, $115,438. Bank Examiner D. D. Muir has been appointed temporary receiver.

4. March 27, 1900 The Daily Morning Journal and Courier New Haven, CT
Article from The Daily Morning Journal and Courier, March 27, 1900

Click image to open full size in new tab

Article Text

The Comptroller Notified. Washington, March 26.-The comptroller of the treasury has been notified that the Merchants' National bank of Rutland, Vt., closed its doors this morning. Following is the synopsis of the report of the bank's condition February 13, 1900: Liabilities-Capital, $100,000; surplus and profits, $3,383; due to depositors, banks and bankers, $351,549; circulation, $21,870. Resources-Loang and discounts, $361,363; other assets, including cash; $115,436. Bank Examiner D. D. Muir has been appointed temporary receiver.

5. March 29, 1900 The Portland Daily Press Portland, ME
Article from The Portland Daily Press, March 29, 1900

Click image to open full size in new tab

Article Text

MUSSEY'S IRREGULARITIES Some Light Thrown on Methods of Defaulting Vermont Cashier. Rutland, Vt., March 28.-The affaire of the Mershants' National bank, which has been closed since Monday on Account of & defalcation of $145,000 by the cashier, Museey, were in charge of D. D. Muir, temporary receiver today. Considerable evidence bearing on the irrgularities of the cashier, were disclosed today. It a ppears that the bank recently directed him to buy a certain number of U. S. 4 per cant bonds and he was given a directors' private check for something over $13,000. The check, however, 16 appears, from the bank's records, was taken to the Baxter National bank of this city and used to liquidate some drafts which has been protested and which amounted to more than $12,000. It appears also from today's examination that on all loans made by Mr. Mussey to Mr. MoClure he charged 6 per cent and in this way he realized about $8,700 on his transactions with the music dealer, to whom he claims to have given the sum which he is accused of taking from the bank.

6. March 29, 1900 Delaware Gazette and State Journal Wilmington, DE
Article from Delaware Gazette and State Journal, March 29, 1900

Click image to open full size in new tab

Article Text

RECEIVERS FOR BANKS ASKED FOR. They Are Located in Keene, N. H., and Are Thought to Have Sustained Losses. Keene, N. H., March 26.-The bank commissioners for New Hampshire have filed a petition with the clerk of Cheshire county Supreme Court asking that an assignee be appointed for the Keene Guaranty Savings Bank of this city, and a petition of the same nature for the Keene Five-cents Savings Bank. The finances of both these institutions have been considered uncertain for some time and neither bank has received deposits of late, owing to a general belief that they had sustained losses through western investments. The Keene Five-cents Savings Bank has paid depositors one dividend of 10 per cent. It owes $1,449,058. The Keene Guaranty Savings Bank has paid depositors a dividend of 5 per cent. This institution owes $718,873. The petitions of the commissioners will come up for a hearing at the April term of court. AN THER CLOSES ITS DOORS. Washington, March 6.-The Controller of the Treasury has received word that the Merchants National Bank of Rutland, Vt., closed its doors this morning. Following is the synopsis of the report of the condition of the bank made to the Comptroller of the Currency under the call of February 13th, 1900: Liabilities-Capital, $100,000; surplus and profits, $3,383: due to depositors, banks and bankers, $351,549; cir. culation, $21,870. Resources-Loans and discounts, $361,363; other assets, including cash, 8115,436. Bank Examiner D. D. Muir has been appointed temporary receiver.

7. April 4, 1900 The Star Reynoldsville, PA
Article from The Star, April 4, 1900

Click image to open full size in new tab

Article Text

Cashier's Shortage $145,000. The Merchants National bank, of Rutland, Vt., closed its doors Monday, and Cashier Hussey was arrested at Albany, N. Y. He left a shortage of $145,000 in his accounts. The bank has a capital of $100,000 and there is due to depositors and other bankers $351,549. Its loans and discounts were $361,363 and other assets $115,438. National Bank Examiner D. D. Muir has been appointed temporary receiver. Hussey confessed that he had stolen $145,000 from the bank during the past six years and had covered his transactions by forged notes.

8. May 9, 1900 St. Johnsbury Caledonian Saint Johnsbury, VT
Article from St. Johnsbury Caledonian, May 9, 1900

Click image to open full size in new tab

Article Text

The defalcation of the Merchants National bank of Rutland isevidently deeper than at first supposed. It is understood in Rutland that the amount missing will exceed $200,000, and statements in New York papers, which may have been made up from the receiver's figures sent to the office of the comptroller of the currency in Washington, put the amount at $204,000.

9. May 23, 1900 St. Johnsbury Caledonian Saint Johnsbury, VT
Article from St. Johnsbury Caledonian, May 23, 1900

Click image to open full size in new tab

Article Text

Stockholders Assessed. Notices of an assessment of 100 per cent. upon the stockholders of the looted Merchants' National bank of Rutland have been sent out by Receiver D. D. Muir upon instructions from the controller of the currency. If it is all paid it will add $100,000 to the assets of the bank, this being the capital stock.

10. August 3, 1900 The Daily Morning Journal and Courier New Haven, CT
Article from The Daily Morning Journal and Courier, August 3, 1900

Click image to open full size in new tab

Article Text

A Dividend of Fifty Cents. Rutland, Vt., Aug. 2.-Receiver D. D. Muir of the Merchants' National bank, this city, which was wrecked by Cashier Charles W. Mussay last March, today received an order from the comp= troller of the currency to declare a 50 per cent. dividend to depositors. It now is expected that depositors eventually will receive the full amount that is dua them.

11. August 4, 1900 The Delawarean Dover, DE
Article from The Delawarean, August 4, 1900

Click image to open full size in new tab

Article Text

Paying Swindled Bank Depositors. Rutland, Vt., Aug. 3.-Receiver D. D. Muir, of the Merchants National bank of this city, which was wrecked by Cashier Charles W. Mussey last March; yesterday received an order from the comptroller of the currency to declare a 50 per cent dividend to depositors. It is now expected that depositors will eventually receive full amounts due them.

12. September 17, 1900 Barre Evening Telegram Barre, VT
Article from Barre Evening Telegram, September 17, 1900

Click image to open full size in new tab

Article Text

UNITED STATES COURT. Burlington, Sept. 17. - The time for noting cases for trial by jury at the Oct. term of the United States courts has expired, and according to the records of Geo. E. Johnson, clerk of the court, there are but two cases to be tried, those of Nepoleon LaBell vs the George E. Lyons Granite Company, and D. D. Muir, receiver of the Merchants National Bank of Rutland vs M. M. McClure. The term will be held at Rutland and will begin Tuesday, Oct. 2.

13. December 21, 1900 Barre Evening Telegram Barre, VT
Article from Barre Evening Telegram, December 21, 1900

Click image to open full size in new tab

Article Text

Merchants Bank Dividends. Rutland, Dec. 21.-Receiver Muir of the Merchants National Bank, that was wrecked by Cashier Mussey a year ago, will declare a 25 cent. dividend to the depositors in a few days. This will make 75 per cent. paid in all. Many assets are yet in the hands of the bank, and it is now thought that the depositors will receive 95 to 100 per cent.

14. January 4, 1901 The Jasper Weekly Courier Jasper, IN
Article from The Jasper Weekly Courier, January 4, 1901

Click image to open full size in new tab

Article Text

BUSINESS FAILURES. Jan. 3-Wabasha. Minn., People's bank. 6-Rahway. N. J., Union county bank.... New York, Hulbert H. Warner, patent medicine mant.: $2,319,027. Piankington. S. D., State bank. 17-Chiengo, Francis P. Owings, real estate: $5,364,977. Feb. 7-New Bedford, Mass., Henry E. Holcomb. mant: $1,361,438.... Boston, Miner, Beal & Co., clothing firm, $450,000. 26-United States milling combine (flour trust); $15,000,000. Mar. 3-Port Jarvis (N. Y.) Nat. bank resumes; had suspended payment in December. 6-J. F. Seiberling. formerly manufacturer at Akron, O., files bankruptcy petition; $800,000. assets, $30. 19-John Kehoe, builder of New York, files bankruptcy petition: $1,520,085; no assets. 22-D. Appleton & Co., New York, publishCTS: $3,000,000. 26-Rutland, Vt., Merchanis' Nat. bank.... Keene, N. H., Five Cent savings bank for $1.449,058; and Guarantee savings bank for $718,873. Apr. 3-Cambridge (Neb.) State bank; $40,000. 10-Columbus, O., Reinhard & Co.'s bank; $140,000. 12-Yates Center. Kan., Citizens' state bank. 27-Anolph Landauer, dry goods dealer of Milwaukee: $391,945.31. May 11-Frank L. Fuller's private banks at Rockford and Cedar Springs, Mich. 21-Pentwater, Mich., Neilson & Co.'s bank. 26-Price, McCormick & Co., of New York, cotton brokers and shippers; $13,000,000. 28-Seymour, Johnson & Co., stock and cotton brokers of New York; $500,000. Jun. 5-W. C. Shields' bank at Mulberry Grove, III. 15-McNair & Alexander, cattlemen at Ashland. Kan.; $542,000. Aug. 13-Henry J. Neill. the "barley king," files petition in bankruptcy; $500,000.... Kingfisher (Col.) bank: $61,000. 17-Somerset (Ky.) Nat. bank. Sep. 6-Lamont (III.) state bank; $12,000. 7-Fifth Avenue Savings & Loan Ass'n., of McKeesport, Pa.; $500,000. 18-Hatch & Foote, New York brokers: $2,000,000. 19-South Danvers Nat. bank, at Peabody, Mass. Nov. 17-German Nat. bank. at Newport, Ky. Dec. 12-Bank at Brillion, Wis. 13-Order of Chosen Friends, large fraternal insurance association.

15. January 8, 1901 The Bourbon News Paris, KY
Article from The Bourbon News, January 8, 1901

Click image to open full size in new tab

Article Text

BUSINESS FAILURES. Jan. 3--Wabasha, Minn., People's bank. 6-Rahway, N. J., Union county bank.... New York. Hulbert H. Warner, patent medicine manf.: $2,319,027. 9-Plankinton, S. D., State bank. 17-Chicago, Francis P. Owings, real estate; $5,364,977. Feb. 7-New Bedford, Mass., Henry E. Holcomb, manf.; $1,351,438 Boston, Miner, Beal & Co., clothing firm, $450,000. 26-United States milling combine (flour trust); $15,000,000. Mar. 3-Port Jervis (N. Y.) Nat. bank resumes: had suspended payment in December. 5-J. F. Seiberling, formerly manufacturer at Akron, O., files bankruptcy petition; $800,000, assets, $30. 19-John Kehoe, builder of New York, files bankruptcy petition; $1,520,085; no assets. 22-D. Appleton & Co., New York, publishers; $3,000,000. 26-Rutland, Vt., Merchants' Nat. bank.... Keene, N. H., Five Cent savings bank for $1,449,058; $718,873. and Guarantee savings bank for Apr. 000. 3-Cambridge (Neb.) State bank; $40,10-Columbus, $140,000. O., Reinhard & Co.'s bank; 12-Vates Center, Kan., Citizens' state bank. 27-Anolph® Landauer, dry goods dealer of Milwaukee; $391,945.31. May 11-Frank L. Fuller's private banks at Rockford and Cedar Springs, Mich. 21-Pentwater, Mich., Neilson & Co.'s bank. 26-Price, McCormick & Co., of New York, cotton brokers and shippers; $13,000,000. 28-Seymour, Johnson & Co., stock and cotton brokers of New York; $500,000. Jun. 5-W. C. Shields' bank at Mulberry Grove, Ill. 15-McNair & Alexander, cattlemen at Ashland, Kan.; $542,000. Aug. 13-Henry J. 0 Neill, the "barley king." files petition in bankruptcy; $500,000.... Kingfisher (Col.) bank: $61,000. 17-Somerset (Ky.) Nat. bank. Sep. 6-Lamont (Ill.) state bank: $12,000. 7-Fifth Avenue Savings & Loan Ass'n., of McKeesport, Pa.; $500,000. 18-Hatch 000,000. & Foote, New York brokers; $2,19-South Mass. Danvers Nat. bank. at Peabody, Nov. 17-German Nat. bank, at Newport, Ky. Dec. 12-Bank at Brillion, Wis. 13-Order of Chosen Friends, large fraternal insurance association. 21-American nat. bank of Balvimore, Md. 25-Isaac Robinson, at Balkimore, Md., manufacturer: $800,000.

16. January 9, 1901 Willmar Tribune Willmar, MN
Article from Willmar Tribune, January 9, 1901

Click image to open full size in new tab

Article Text

BUSINESS FAILURES. Jan. 3—Wabasha, Minn., People's bank. 6—Rahway, N. J., Union county bank.... New York, Hulbert H. Warner, patent medicine manf.; $2,319,027. 9—Plankinton, S. D., State bank. 17—Chicago, Francis P. Owings, real estate; $5,364,977. Feb. 7—New Bedford, Mass., Henry E. Holcomb, manf.; $1,351,438....Boston, Miner, Beal & Co., clothing firm, $450,000. 26—United States milling combine (flour trust); $15,000,000. Mar. 3—Port Jervis (N. Y.) Nat. bank resumes; had suspended payment in December. 5—J. F. Seiberling, formerly manufacturer at Akron, O., files bankruptcy petition; $800,000, assets, $30. 19—John Kehoe, builder of New York, files bankruptcy petition; $1,520,085; no assets. 22—D. Appleton & Co., New York, publishers; $3,000,000. 26—Rutland, Vt., Merchants' Nat. bank.... Keene, N. H., Five Cent savings bank for $1,449,058; and Guarantee savings bank for $718,873. Apr. 3—Cambridge (Neb.) State bank; $40,000. 12—Yates Center, Kan., Citizens' state bank. 27—Adolph Landauer, dry goods dealer of Milwaukee; $391,945.31. May 11—Frank L. Fuller's private banks at Rockford and Cedar Springs, Mich. 21—Pentwater, Mich., Neilson & Co.'s bank. 26—Price, McCormick & Co., of New York, cotton brokers and shippers; $13,000,000. 28—Seymour, Johnson & Co., stock and cotton brokers of New York; $500,000. Jun. 5—W. C. Shields' bank at Mulberry Grove, Ill. 15—McNair & Alexander, cattlemen at Ashland, Kan.; $542,000. Aug. 13—Henry J. O'Neill, the "barley king," files petition in bankruptcy; $500,000.... Kingfisher (Col.) bank; $61,000. 17—Somerset (Ky.) Nat. bank. Sep. 6—Lamont (Ill.) state bank; $12,000. 7—Fifth Avenue Savings & Loan Ass'n., of McKeesport, Pa.; $500,000. 18—Hatch & Foote, New York brokers; $2,000,000. 19—South Danvers Nat. bank, at Peabody, Mass. Nov. 17—German Nat. bank, at Newport, Ky. Dec. 12—Bank at Brillion, Wis. 13—Order of Chosen Friends, large fraternal insurance association. 21—American nat. bank of Baltimore, Md. 25—Isaac Robinson, at Baltimore, Md., manufacturer; $800,000.

17. February 15, 1901 Vermont Phœnix Brattleboro, Bellows Falls, Ludlow, VT
Article from Vermont Phœnix, February 15, 1901

Click image to open full size in new tab

Article Text

McCLURE GETS seven YEARS. Judge Wheeler Pronounced Sentence at Rutland Wednesday-Review of the Case. Marvin A. McClure was sentenced by Judge Hoyt H. Wheeler, in the United States district court at Rutland Wednesday, to serve seven years, without labor, in the Vermont house of correction in Rutland. Before pronouncing sentence the court overruled the respondent's motion in arrest of judgment, made when the jury brought in a verdict of guilty last Friday. Mr. McClure was convicted of assisting to wreck the Merchants' National Bank of Rutland. He hung his head when he heard his sentence and appeared very much dejected. He was taken to the house of correction at once. By good behavior he may shorten his term by one-sixth. McClure's counsel will, within a few days, file a bill of exceptions with Judge Wheeler. If the judge allows the exceptions, they will go up on a writ of error to the United States circuit court of appeal. The Merchants' National Bank was forced to close its doors-a total wreck-March 26, 1900. The national bank examiner, D. D. Muir, found a shortage of $145,000. A receiver was appointed and the cashier, Charles W. Mussey, was arrested, charged with misappropriating $145,000. The shortage was found afterward to exceed $200,000. McClure, a music dealer and speculator, was arrested a few days later, charged with aiding and abetting the cashier, who, it appears, had loaned McClure nearly $145,000 on notes of doubtful value, and in violation of the national banking laws. Mussey pleaded guilty at the hearing, and is now serving a sentence of seven years.

18. February 21, 1901 Bellows Falls Times Bellows Falls, VT
Article from Bellows Falls Times, February 21, 1901

Click image to open full size in new tab

Article Text

McClure Goes to Prison. Judge Wheeler in the United States district court February 13 pronounced sentence upon Marvin A. McClure, formerly a prominent business man of Rutland, who was convicted of assisting to wreck the Merchants' national bank of that city. Seven years in the Rutland county house of correction is McClure's sentence. McClure received the decision without an expression of surprise. It lay within the power of the court to send him to the state prison. The Merchants' national bank was forced to close its doors, a total wreck, on March 26, 1900. The national bank examiner, D. D. Muir, found a shortage of $145,000, a receiver was appointed and the cashier, Charles W. Mussey, was arrested, charged with misappropriating $145,000. The shortage was found afterward to exceed $200,000. McClure, a music teacher, dealer and speculator, was arrested a few days later, charged with aiding and abetting the cashier, who, it appears, had loaned McClure nearly $145,000 on notes of doubtful value, and in violation of the national banking laws. Mussey pleaded guilty at the hearing and is now in the house of correction serving a seven-year sentence.

19. May 24, 1901 Vermont Phœnix Brattleboro, Bellows Falls, Ludlow, VT
Article from Vermont Phœnix, May 24, 1901

Click image to open full size in new tab

Article Text

Must Pay Muzzy's Bond. In the United State's court at Windsor yesterday Judge Wheeler directed the jury to return a verdict for $21,080 for the plaintiff in the case of Muir, receiver of the Merchants' National bank of Rutland, vs. the Fidelity company of Baltimore. The grand jury will make final report tomorrow.

20. May 25, 1901 The Sun Wilmington, DE
Article from The Sun, May 25, 1901

Click image to open full size in new tab

Article Text

Verdict For Bank Receiver, Windsor, Vt., May 24.-Judge Wheeler in the United States district court has declared that a verdict of $21,080 be entered in favor of D. D. Muir, receiver of the Merchants' National bank of Rutland. in his case against the Fidelity company of Baltimore. The litigation grew out of the wrecking of the Merchants' bank last year by Cashier Mussey, whose bond was furnished by the Baltimore concern.

21. November 1, 1902 Spirit of the Age Woodstock, VT
Article from Spirit of the Age, November 1, 1902

Click image to open full size in new tab

Article Text

D. D. Muir of Washington, D. C., receiver of the Merchants' National bank of Rutland, says that another dividend of 10 per cent to the depositors will soon be declared.

22. December 5, 1905 The Barre Daily Times Barre, VT
Article from The Barre Daily Times, December 5, 1905

Click image to open full size in new tab

Article Text

THE FIRST DIVIDEND. For Depositors of Merchants' National Bank in Rutland. Rutland, Dec. 5.-D. D. Muir, receiver of the Merchants' National bank of Rutland, which was looted in the spring of 1900 by Cashier C. W. Mussey to the iginal deposits, making 961/2 per cent over Sunday, stated that early in Janusry the depositors of the defunet bank will receive 11½ per cent of their original depositors, making 961/2 per cent that has been paid back. This will be the final dividend.

23. January 13, 1906 The Evening Times Grand Forks, ND
Article from The Evening Times, January 13, 1906

Click image to open full size in new tab

Article Text

BANK'S AFFAIRS WOUND UP. Rutland, Vt., Jan. 13.-The remaining assets of the Merchants' National Bank, which failed on March 26, 1900, were sold at auction by the receiver today in order to wind up the affairs of the institution and pay the final dividend to depositors. The bank was closed by the government through unauthorized loans of $145,000 by Cashier Charles W. Mussey to Marvin A. McClure. Mussey vas sent to prison, but was pardoned by the president on the ground of illhealth. McClure is serving a prison sentence of seven years for complicity in the wrecking of the bank.