Commercial & Savings Bank (San Jose, CA)

Episode Information

Episode UID
4933087391155
Episode Type
Run → Suspension → Reopening
Bank Type
savings
Bank ID
493308739 hash
Start Date
March 6, 1896
Location
San Jose, California (37.297, -121.819)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
20ce3f8b8eec9a7d

Response Measures

None

Events (3)
1. March 6, 1896 Run
Cause
Rumor Or Misinformation
Cause Details
Rumor that president's mortgage indicated bank was hard up prompted large withdrawals by big depositors.
Random Run
Yes
Random Run Snippet
Rumor mortgage on president's property implied bank was hard up; unfounded
Newspaper Excerpt
The cause of the failure was a run on the bank Friday and Saturday last... Their anxiety was occasioned by a mortgage placed upon some of President Murphy's property. This started a rumor that the bank was hard up, for which there was no foundation.
Source
newspapers
2. March 9, 1896 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank suspended/closed due to inability to collect several large loans and liquidity strain from heavy withdrawals.
Newspaper Excerpt
The Commercial and Savings Bank did not open this morning. A notice posted on the door states that the directors considered it wise to go into liquidation.
Source
newspapers
3. April 11, 1896 Reopening
Newspaper Excerpt
The Commercial and Savings Bank of this city will reopen its doors to-morrow morning, to resume regular business, which was suspended four weeks ago. The call for an increase in the capital stock has been responded to satisfactorily, and the directors declare that the business is resumed under auspices that give certain assurances of future success and stability.
Source
newspapers

Newspaper Articles (15)
1. March 10, 1896 New-York Tribune New York, NY
Article from New-York Tribune, March 10, 1896

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WESTERN BANKS CLOSE THEIR DOORS. San José, Cal., March 9.-The Commercial and Savings Bank did not open this morning. A notice posted on the door states that the directors considered it wise to go into liquidation. The assets are far in excess of the liabilities, and all the depositors will be paid in full. An officer of the bank says that the assets are $1,100,000. and the liabilities $675,000. The surplus fund is $255,000. Bernard D. Murphy is president. The cause of the failure was a run on the bank Friday and Saturday last by some of the largest depositors. Many sums were drawn ranging from $10,000 to $16,000. Their anxiety was occasioned by a. mortgage placed upon some of President Murphy's property. This started a rumor that the bank was hard up, for which there was no foundation, Murphy .rerely placing the mortgage to rearrange some private debts. Stanberry, Mo., March .-The Farmers' Bank at King City failed Saturday. Cashier D. F. Robertson issued a statement to the publio, which says the assets are $74,000; bills payable, $17,000; deposits, $32,000; loans, $48,000; cash on hand, $5,000. The fallure was due to inability to realize on loans. It is expected the bank will be reorganized in the near future.

2. March 10, 1896 The Anaconda Standard Anaconda, MT
Article from The Anaconda Standard, March 10, 1896

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AN OLD BANK. The Commercial and Savings SuspendsThe Depositors Not Uneasy. San Jose, Cal., March 9.-The Commercial and Savings bank, up to this time one of the oldest and most prosperous banking institutions in the state, closed its doors this morning. The assets are said to amount to $1,100,000 and the liabilites to about $700,000. Large loans which the bank was unable to collect caused the suspension. The directors state they are amply secured for all loans and that the bank will reopen in 30 days with a new man at the head. R. D. Murphy, the president and manager of the bank, last week deeded away a large amount of valuable real estate, but this transaction is said to have had nothing to do with the affairs of the bank. There was no panic when the suspension of the Commercial was announced and depositors do not seem to be at all nervous.

3. March 10, 1896 The Herald Los Angeles, CA
Article from The Herald, March 10, 1896

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DEPOSITORS WILL BE PAID Commercial and Savings Bank of San Jose Closed The Failure Is Due to Inability to Collect Well Secured Loans-Assets Are Large SAN JOSE, March 9.-The Commercial Savings bank of this city closed its doors this morning. A notice on the door stated that the directors deemed it advisable to liquidate. Depositors, it is said, will be paid in full. The capital stock of the bank is $1,000,000; paid up, $300,000; surplus, $255,000. B D. Murphy, one of the directors, last week gave a trust deed of valuable property to Donahue, Kelly & Co., and an absolute deed to another portion to Charles Fox. He also mortgaged a ranch near Mountain View for $30,000. The bank is one of the oldest banking institutions in the city. The directors in announcing the suspension say the assetsare largely in excess of liabilities and in the judgment of the officers the demands of all depositors and creditors will be paid in full. The announcement caused consider able excitement and a crowd gathered in front of the bank. The depositors displayed no fear and other banks of the city showed no evidence of a run. There is a general feeling that the bank will pay dollar for dollar. One of the directors of the bank said the bank would probably reopen in thirty days with a new man at its head. The cause of suspension was the fact that the bank had a number of large loans out and could not get borrowers to pay up. These loans are are a!i good. The bank loaned the Shasta Lumber company $180,000 but has good security for the amount The last statement to the bank commissioners showed liabilities and assets amounting to $1,333,000. Among the resources of the bank are loans on real estate amounting to $325,000. Loans on personal security and overdrafte. $658,000: real estate taken for debt, $72,000; money on hand, $30,215: due from banks and bankers, $94,000. Amonz the liabilities are: Paid up capital, $300,000; reserve fund. $264,000; due depositors, $739,000; due banks, $19.000; city money on deposit, $400; other liabilities. $3000. The directors of the bank and their holdings of stock are as follows: H. B. Alvord, 100 shares: J. W. Findlay. 73; L. Lion, 89: B. D. Murphy. 682; J. W. Ryland.27; Jacob Rich, 20; J. W. Rea, 204; Ed Williams, 500; L. A. Whitehurat, 250. The market value of real estate taken for debt is placed at $85,000.

4. March 10, 1896 The Morning News Savannah, GA
Article from The Morning News, March 10, 1896

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A SAN JOSE BANK CLOSED. Its Assets Said to Be Far in Excess of Its Liabilities. San Jose, Cal., March 9.-The Commercial and Savings Bank did not open this morning. A notice posted on the door states that the directors have decided that it would go into liquidation. The assets are far in excess of the liabilities and all the depositors will be paid in full. An officer of the bank says that the assets are $1,100,000 and the liabilities $675,000. The surplus fund is $250,000. Bernard D. Murphy is president. The cause of the failure was a run on the bank Friday and Saturday last, by some of the largest depositors. Many sums were drawn ranging from $10,000 to $16,000. Their anxiety was occasioned by a mortgage placed upon some of President Murphy's property. This started a rumor that the bank was hard up, for which there was no foundation. Mr. Murphy merely placed the mortgage to rearrange some private debts.

5. March 10, 1896 The Seattle Post-Intelligencer Seattle, WA
Article from The Seattle Post-Intelligencer, March 10, 1896

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A San Jose Bank Fails. San Jose, Cal., March 9.-The Commerclal and Savings bank of this city closed its doors this morning. A notice on the door stated that the directors deemed it advisaable to liquidate. It was one of the cldest banking institutions in the city. The directors in announcing the suspension say the assets are largely in excess of the l'abilities, and in the judgment of the officers the demands of all the depositors and creditors will be paid in full. The announcement caused much excitement, and a crowd gathered in front of the bank. The depositors displayed no fear, and the other banks of the city showed no evidence of a run. There is a general feeling that the bank will pay dollar for dollar. One of the directors of the bank said the bank would probably reopen in thirty days with a new man at the head. The cause of the suspension was the fact that the bank had a number of large loans out and could not get borrowers to pay up. These loans are all good. The bank lianed the Shasta Lumber Company $180,000. but has good security for the amount. The capital stock of the bank is $1,000,000: paid up, $300,000; surplus, $155,000. The last statement of the bank to the bank commissioners showed that the liabilities and assets amounted to $1,333,000. Among the resources of the bank are loans on real estate amounting to $325,000; loans on personal security and overdrafts. $658,000: real estate taken for debt, $72,000: money on hand, $30,215: due from banks and bankers, $34,000. Among the liabilities are: Paid up capital. $300,000; reserve fund, $264,000; due to depositors, $739,000; due to banks, $19,000: city money on deposit. $2,400: other liabilities, $8,000. The directors of the bank and their holdings of stock are as follows: H. B. Alvord, 100: J. W. Findlay, 73: L. Lion. 89: B. D. Murphy. 682: J. W. Ryland, 27; Jacob Rich, 20; J. W. Rea. 204; Ed Williams, 500; L. A. Whitehurst, 250. The market value of the real estate taken for dert is $85,000. B. D. Murphy, president and manager of the bank. last week gave a trust deed of valuable property to Donohue, Kelly & Co., and an absolute deed to another portion to Charles Fox. He also mortgaged a ranch near Mountain View for $30,000.

6. March 10, 1896 San Antonio Daily Light San Antonio, TX
Article from San Antonio Daily Light, March 10, 1896

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Hays county goes dry almost two to one. The death warrant has been read to Holmes. House considers District of Columbia matters. Ohio state republican convention convenes today. El Paso county instructs hidebound for McKinley. Anglo-Berlin syndicate will advance China $80,000,000. Brazoria county republicans are united and favor McKinley. The republican state convention of Kansas opens session today. Mrs. George Fisher burned to death at her home near Belton. Sixth Louisiana district sends uninstructed delegates to St. Louis. Italian banks offer the government all needed funds for the war. Smallpox has appeared in Stephenville, brought in from Tennessee. General Booth, of the Salvation army, arrives unexpectedly in London. Dutch patrol attacked and thirteen killed in Sumatra by the natives. Plan of reorganization of the Pacific railroads is presented congress. Commons passes the bill for British naval increase by a big majority. Steamer Manhassett sunk off Marthy's Vineyard, Mass. No lives lost. Serious floods caused by rains and melting snows in the Bernese Oberland. Maniac at Brockville, Ont., runs amuck, killing three and wounding five others. Young negress arrested in Temple for attempting to kill her twoyear-old child. New York Presbytery returns thanks to Cleveland for his home mission speech. Aransas county is alive politically, with a prospect for three tickets in the field. Three are dead, one not expected to live and fifty injured as the result of that St. Louis collision. Commercial and savings bank San Jose, Cal., fails. Assets, $1,000,000; liabilities, $700,000. Osman Digma has gone to take command of the Dervishes. This means more trouble for Italy. No vote in Kentucky legislature on senator. Adjourned out of respect to Senator Weisinger. Cullom, of Illinois, is in the presidential race to stay until the end, SO he says. Rhode Island republicans meet in state convention today, the democrats tomorrow. Judge Glasscock will deliver the address at the fourth annual reunion of populists in Gonzales. Williamson county has an effective republican committee, with J. L. Woodward at its head. Winter & School, dry goods partners at Texarkana, ask for a receiver to settle their differences. Nacogdoches county will not adopt the Dudley plan and will hold two conventions. Senator Weisinger's last words were, "Stand firm and never vote for Blackburn and free silver." Twelfth annual meeting of the Texas Cattle Raisers' association is being held in Fort Worth. William Mann is under bond at Laredo for killing a man by hitting him over the head with a gun. The democratic convention to name Crain's successor will be held in Corpus Christi on the 24th inst. Troops in Nicaragua will not advance until the contingent of Honduras troops is ready for the field. Fourth congressional district is holding convention today, with Cuney and Ferguson as chief fuglemen. There is nothing in the British Venezuelan blue book not already before the United States commission. Cuban resolutions come up in

7. March 11, 1896 Arizona Weekly Journal-Miner Prescott, AZ
Article from Arizona Weekly Journal-Miner, March 11, 1896

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Nogales, Ariz., March 9.-A tale gram received by Collector Webb from Marshal Meade. dated Tueson, March 9, states that advices have been received from Washington by Meade that Lauro, Aguirre and Flores Chapa with Santa Teresa Decabora, are headed for the Mexican line from San Jose. Graham county, with 600 followers for the purpose of enciting a rebellion against the Mexican government. The telegram requests Collector Webb to instruct all his men to be on guard for the insurgents, as it is supposed they will cross the lice between Nogales and Bisbee. WASHINGTON. March 9.-Senator Dubois, of Idaho, yesterday presented the report of the committee on public lands, which report he explained as meeting not only the objections of the president, but also of the citizens of Arizona, who have filed numerous protests against the passage of the bill, which was retood by President Cleveland. He said the report is unanimous and urged action upon it. SAN JOSE, Cal., March 9.-The Commercial and Savings Bank failed to open this morning. President Murphy having mortgaged his personal property to re-arrange private debts, caused rumors of the bank's being hard up, which occassioned runson Friday and Saturday, foreing the bank to suspend. Liabilities, $675,000; assets, $1,1000,000. No other local banks affected. Los ANGELES, March 9.-A telegram received in this city to day says that the supreme court of the state bas confirmed the judgment of the lower court in the case of Craig, the Los Angeles policeman, who killed his wife and both her parents, and Craig now stands sentenced to be hanged. ROCKVILLE, Ont,, March 9.-A maniac who alighted from the 11:55 train to-day shot eight men, two of whom, Moore and Boyd, are dead. W Chief of Police Rose is fatally 1wounded. The maniac himself was was shot through the body and is now in jail. His name is Lapointe. FRANKFORT, March 9 Senator Rosell Weissinger, a sound money democrat died this morning.

8. March 11, 1896 The San Francisco Call San Francisco, CA
Article from The San Francisco Call, March 11, 1896

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SAN JOSE NOT ALARMED The Solvency of the Commercial and Savings Bank Is Conceded. Directors Favor an Increase of Capital Stock and Resumption of Business. SAN JOSE, CAL., March 10.-There was no excitement here to-day over the suspension of the Commercial and Savings Bank. As stated in THE CALL the assets about double the liabilities and there is a feeling of confidence on the part of the depositors. It is now probable that the bank will resume business much earlier than was at first expected and that the capital stock will be increased $200,000. There was an informal meeting of the directors of the bank this afternoon at which, after an examination of the securities, it was the unanimous expression that business should be resumed with as little delay as possible and at the same time that the capital stock be increased $200,000. No formal action was taken owing to the absence of one of the directors, but a meeting of the full board will be held to-morrow and the matter will be regularly acted upon. At this meeting also the list of securities as made by Commissioner Kilburn and Secretary Dunsmore will be submitted. This list shows the bank to be as sound as indicated in the reports heretofore published.

9. March 12, 1896 The Indianapolis Journal Indianapolis, IN
Article from The Indianapolis Journal, March 12, 1896

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Business Embarrassments. SAN JOSE, Cal., March 11.-The directors of the Commercial, and Savings Bank met to-day, and after an examination of the affairs of the bank by Bank Commissioner Kilburn decided to resume business. In order to secure needed funds it was decided to levy an assessment of $20 per share. Commissioner Kilburn says the bank is perfectly solvent and there is no need going through liquidation. LIMA, O., March 11.-John N. Hutchinson was to-day appointed receiver of the Lima (O.) electric street railway on the application of Amos E. Townsend, the president, who says the company is insolvent. The property is mortgaged to the Metropolitan Trust Company, of New York.

10. March 13, 1896 Great Falls Weekly Tribune Great Falls, MT
Article from Great Falls Weekly Tribune, March 13, 1896

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A Familiar Story. SAN JOSE, Cal., March 9.--The Commercial and Savings bank of this city closed its doors this morning. A notice on the door stated that the directors deemed it advisable to liquidate. De. positors, it is said, will be paid in full. The capital stock of the bank is $1.000,000, with a paid subscription of $300,000, and a surplus of $256,000. SAN JOSE, Cal., March 9.-The assets are said to amount to $1,100,000 and the liabilities about $700,000. Large loans which the bank was unable to collect caused the suspension.

11. March 13, 1896 Little Falls Weekly Transcript Little Falls, MN
Article from Little Falls Weekly Transcript, March 13, 1896

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Big Bank Fai ure in Callfornia. SAN JOSE, Cal., March 10.-The Commercial and Savings bank, up to this time one of the oldest and most prosperous banking institutions in the state, has closed its doors. The assets are said to amount to $1,100,000 and the liabilities to about $700,000. Large loans which the bank was unable to collect caused the suspension.

12. March 14, 1896 The Kootenai Herald Bonners Ferry, Kootenai, ID
Article from The Kootenai Herald, March 14, 1896

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AN OLD SAN JOSE BANK CLOSED Assets Exceed the Liabilities by Nearly $400,000. San Jose, March 9.-The Commercial and Savings bank, up to this time one of the oldest and most prosperous banking institutions in the state, closed its doors this morning. The assets are said to amount to $1,100,000 and the liabilities to about $700,000. Large loans which the bank was unable to collect caused the suspension. The directors state they are amply secured for all loans and that the bank will reopen in 30 days with a new man at the head. R. D. Murphy, the president and manager of the bank, last week deeded away a large amount of valuable real estate, but this transaction is said to have had nothing to do with the affairs of the bank. There was no panic when the suspension of the Commercial was announced, and depositors do not seem to be at all nervous.

13. March 14, 1896 Pullman Herald Pullman, WA
Article from Pullman Herald, March 14, 1896

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AN OLD SAN JOSE BANK CLOSED Assets Exceed the Liabilities by Nearly $400,000. San Jose, March 9.-The Commercial and Savings bank, up to this time one of the oldest and most prosperous banking institutions in the state, closed its doors this morning. The assets are said to amount to $1,100,000 and the liabilities to about $700,000. Large loans which the bank was unable to collect caused the suspension. The directors state they are amply secured for all loans and that the bank will reopen in 30 days with a new man at the head. R. D. Murphy, the president and manager of the bank, last week deeded away a large amount of valuable real estate, but this transaction is said to have had nothing to do with the affairs of the bank. There was no panic when the suspension of the Commercial was announced, and depositors do not seem to be at all nervous.

14. March 14, 1896 The Silver Blade Rathdrum, ID
Article from The Silver Blade, March 14, 1896

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AN OLD SAN JOSE BANK CLOSED Assets Exceed the Liabilities by Nearly $400,000. San Jose, March 9.-The Commercial and Savings bank, up to this time one of the oldest and most prosperous banking institutions in the state, closed its doors this morning. The assets are said to amount to $1,100,000 and the liabilities to about $700,000. Large loans which the bank was unable to collect caused the suspension. The directors state they are amply secured for all loans and that the bank will reopen in 30 days with a new man at the head. R. D. Murphy, the president and manager of the bank, last week deeded away a large amount of"valuable real estate, but this transaction is said to have had nothing to do with the affairs of the bank. There was no panic when the suspension of the Commercial was announced, and depositors do not seem to be at all nervous.

15. April 11, 1896 The San Francisco Call San Francisco, CA
Article from The San Francisco Call, April 11, 1896

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SAN JOSE BANK REOPENS The Commercial and Savings Concern Ready for Business To-Day. Resumes Under Conditions That Give Assurances of Future Success. SAN JOSE, CAL., April 0.-The Commercial and Savings Bank of this city will reopen its doors to-morrow morning, to resume regular business, which was suspended four weeks ago. The call for an increase in the capital stock has been responded to satisfactorily, and the directors declare that the business is resumed under auspices that give certain assurances of future success and stability. In an interview to-day, L. Lion, the newly elected president and manager of the bank, said : "The bank will reopen its doors tomorrow under conditions much more favorable for its success than it has ever before enjoyed. With an increase of the capital from $300,000 to $500,000, there is a certainty that, with conservative management, the bank will be one of the solid institutions of the State. The call for an increase in the capital stock, that was inade shortly after the payments were suspended, was responded to so satisfactorily that the bank now practically has a paid-up capital of $500,000. There is now money enough in our vaults for the transaction of business and for any emergency that may arise."