Union Bank (Georgetown, DC)

Episode Information

Episode UID
4796390990449
Episode Type
Suspension โ†’ Closure
Bank Type
state
Bank ID
479639099 hash
Start Date
May 12, 1837
Location
Georgetown, District of Columbia (38.905, -77.062)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
7c06ca2b3c658c64

Response Measures

None

Events (2)

1. May 12, 1837 Suspension
Cause
Macro News
Cause Details
Broader financial panic (Panic of 1837 / systemic alarm) prompted suspension of specie payments; described as part of city-wide alarm.
Newspaper Excerpt
this morning the Patriotic Bank of Washington and the Union Bank of Georgetown have suspended specie payments; the former till ... and the latter permanently.
Source
newspapers
2. July 30, 1841 Other
Newspaper Excerpt
The next amendment was in relation to the Union Bank of Georgetown. It proposed that the Bank should have until July 1847 to close its concerns. The Bank at present does no business. The amendment was carried, and the amendments adopted in Committee were concurred in. (Wheeling Times, 1841-07-30 / Richmond piece dated July 30, 1841).
Source
newspapers

Newspaper Articles (3)

Article from The Herald, May 15, 1837

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Article Text

bank suspensions. [Correspondence of the Herald.] WASHINGTON, May 12th, 1837. The whole city is in a state of alarm and confusion. The "Experiment" is beginning to operate at home and the people here have become terrified by the appearance of things. This morning the Patriotic Bank of Washington and the Union Bank of Georgetown have suspended specie payments; the former till it learns what the banks of Baltimore intend to do, and the latter permanently. This IS the second instance of suspension of the Patriotic Bank, and its credit will of course be prostrated. A heavy run has been made on the Bank of the Metropolis today, and one on the Bank of Washington, but to no great amount. The Secretary of the Treasury, in order to sustain the former, being a depository of the Government, has given it a draft OR the Mint at Philadelphia for $200,000, and in one case has become responsible himself, to the amount of $20,000, to an individual of this eity, who made on this bank a demand for specie to that amount. The alarm is nevertheless so great, that the banking house and street in front of it, are crowded with applicants for specie. Both the Bank of the Metrop lis and the Bank of Washington think they can sustain themselves, and have issued printed notices declaring their "ability to fulfil the engagements and liabilities of the banks, having assets to nearly double the amount of their liabilities," and have therefore determined to continue specie payments. The President, Directors and Cashier of the Bank of Washington have, moreover, pledged individually and collectively "their private fortunes for all just claims against the institution." This declaration has restored confidence as to that bank, but the distrust and suspicion in regard to the other still continue, and the rush is unabated. I presume it will be able to sustain itself, aided as it is by the Government, unless a general suspension throughout the country becomes necessary. We are in an awful condition. The notes of the Virginia Banks of the best standing will scarcely be taken at all, and when they are received, even those of the Deposite Banks, they are at from 5 to 10 per cent. discount. Groups of citizens are seen at almost every shop-door, listening to accounts of failures, and awaitthe fate of our city banks.


Article from Daily Richmond Whig, August 2, 1841

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Article Text

Correspondence of the Baltimore American WASHINGTON, July 30. # UNITED STATED SENATE. Mr TAPPAN called for action upon a joint resolution offered by him in reference to the distribution of certain Patent papersprinted by order of Congress. The resolution was ordered to an engrossment without opposition. # EXECUTIVE SESSIONS. Mr ALLEN presented a resolution, which lies over for one day, for repealing the 44th rule of the Senate, by which the Senate, sits with closed doors upon nominations and treaties, except so far as relates to treaties. # DISTRICT BANKS. The debate on this subject was resumed where it closed yesterday. Mr WRIGHT spoke in opposition to the amendment under consideration when the Senate adjoured yesterday, allowing the Bank to receive and pay out the notes of suspended Banks until the 4th of March next. Mr Wright discussed the subject of Banks generally and in the spirit of strong opposition. The question was then called upon Mr Berrien's amendment, which was concurred in, ayes 21, nays 19. A question of order was next discussed as to the state of the question, which involved a discussion as to the merits of the question. Mr ALLEN said he wished "the Senate, the country, and the world to understand that he should never vote for Banks at ail, at all, at all!" Mr KING found fault with his friend from Ohio because he took the ground he did. Because he could not limit the Banks as he wished he would not limit them at all. The Senator from Georgia had proposed an amendment which limited the time of the Banks to deal in suspended paper to the 1st of March. That was better than an illimitable time which the Senator from Ohio obiected to. This branch of the subject disposed of, a new amendment was proposed, which was to allow the District Banks to issue notes of the denomination of one and two dollars, redeemable in specie. Mr MERRICK stated the object of the amendment which was to drive out the irredeemable small notes in circulation here, and to make the small notes of the Banks redeemable in specie to take their place. Mr YOUNG proposed that the Banks be allowed to issue notes of the denomination of one and two dollars until March next-lost. The yeas and nays were then ordered upon the amendment allowing the issue of one and two dollar notes. The amendment was lost, 22 to 21, and the Banks will not be allowed to make the issue. Other amendments were then considered one of them limited the amount of loan to $10,000 and another required the reduction of one fourth (25 per cent) every 90 days. A next amendment prohibited the Banks from putting any kind of paper money in circulation that it would not receive for its dues, and was adopted, 26 to 16. The next amendment was in relation to the Union Bank of Georgetown. It proposed that the Bank should have until July 1847 to close its concerns. The Bank at present does no business. The amendment was carried, and the amendments adopted in Committee were concurred in. Upon the order for engrossment, Mr TAPPAN asked for the yeas and nays, which were ordered. The vote stood ayes 30, noes 14. So the bill was ordered to be engrossed. A Bill making further provision for the lunatics in the District of Columbia was next brought before the Senate. Mr MERRICK stated the objects of the Bill. The District of Columbia, he said, supported its sane paupers, but had no means of supporting the insane. From the fact that the seat of the General Government was here, poor men were brought here and thrown upon the District to the amount of at least one third or one half of the whole number of pupers. They were brought here in the hopes of exacting justice from the seat of Government in the payment of sums due them for services rendered. It was but right that the Government should share in the expenses created by the appearance of such paupers among us. Mr TAPPAN and Mr ALLEN opposed the amendment-without amendment the vote was taken, and the bill ordered to be engrossed, 24 to 17. Mr SMITH, of Ind, Chairman of the Committee on Public Lands, said he would call up the Land Bill on Monday. # HOME SQUADRON. The Home Squadron Bill was then taken up- Mr MANGUM had charge of it, and briefly stated the objects of the bill. Mr BENTON offered an amendment, instructing the Secretary of the Navy to give preference to American water rotted hemp in the publis ships. Mr LINN made a statement for the purpose of showing that Missouri hemp was superior to Kentucky hemp. Mr CLAY, of Kentucky made a very interesting statement in regard to the growing of hemp, and his own experience in reference to the article. He had no doubt that the hemp of Missouri or Kentucky, or of any other section of the country, if properly rotted, would be equal to the best imported article. Mr BENTON, at the request of his friends, withdrew the amendment. The Bill was then ordered to an engrossment, and before the adjournment, read a third time and passed. The bill has passed the House and wants but the signature of the President. Mr LINN moved that the Senate adjourn to Monday next. Objections being made and Mr Linn being called upon for his reasons, said that the Session had been continued so long that he was completely jaded out. Other gentlemen's heads might be clear always, but he had not the strength to go through the fatigue. The Senate then adjourned to Monday.


Article from Wheeling Times and Advertiser, August 3, 1841

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Article Text

SENATE. FRIDAY. JULY 30, 1641. DISTRICT BANKS The debate on this subject was resturned where it closed yesterday. Mr Wright spoke in opposition to the amendment under consideration when the Senate adjourned yesterday, allowing the Bank to receive and pay out the notes of suspended banks until the 4th of March next. The question was then called upon Mr Berrien's amendment which was concurred in, ayes 21. nays, 18. Mr Allen said he wished "the Senate. the country, and the world to understand that he should never vote for the Bank at all, at all, at all." Mr Young proposed that the banks be allowed to issue note of the denomination of one and two dollars un i M rch next. Lost. The yeas and nays were then ordered upon the amendment allowing the issue of one and two dollar notes. The amendment was lost, 22 to 21. and the banks will not be allowed to make the issue. A next amendment prohibited the banks from putting any kind of paper money in circulation th it it would not receive for its dues-adupted 26 to 16 The next amendment was in relation to the Union Bank of Georgetown. It proposed that the Bank should have until July, 1847 to close its concerns. The bank at present does no business. The amendment was carried. Upon the order for engrossment, Mr Tappan ask. ed for the years and nays which were ordered. The vote stood ayes 30, noes 14. So the bill was ordered to be engrossed. Mr Tappan and Mr Allen opposed the amendment-without amendment the vote was taken, and the bill ordered to be engrossed, 24 to 17. The Home Squadron bill was then taken up.Mr Mangum had charge of it, and briefly stated the object of the bill. This bill was finally passed without amendment, and now waits but the signature of the President to become a law, Senate adjourned to Mouday