Putnam Savings Bank (Putnam, CT)

Episode Information

Episode UID
51021171496
Episode Type
Run โ†’ Suspension โ†’ Closure
Bank Type
savings
Bank ID
5102117 routing
Routing Number
51-0211
Start Date
August 12, 1924
Location
Putnam, Connecticut (41.915, -71.909)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
36cd4216e1eefb20

Response Measures

None

Description

Articles describe a depositor run, suspension of payments and eventual receivership connected to mismanagement/shortages tied to G. Harold Gilpatric.

Events (4)

1. August 12, 1924 Run
Cause
Bank Specific Adverse Info
Cause Details
Public loss of confidence after discovery of large shortages and opaque conduct by management (Gilpatric) and silence of directors.
Measures
Other bank arranged to cash checks; citizens' meeting called; bank arranged to pay depositors dollar for dollar as stated by an official.
Newspaper Excerpt
the run of the savings department The line from depositors was ... one long line were average the day yesterday.
Source
newspapers
2. August 29, 1924 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank suspended payments amid concealed facts of failure and suspected large shortages in its accounts tied to management actions.
Newspaper Excerpt
More than a fortnight ... since the Putnam Bank ... suspended payment.
Source
newspapers
3. January 22, 1926 Receivership
Newspaper Excerpt
George M. Coffin, receiver of the Putnam bank ... presented the bank's claims against the state and is investigating the accounts; Receiver George M. Coffin of the wrecked Putnam bank ... giving notice that he was investigating this question.
Source
newspapers
4. March 9, 1926 Other
Newspaper Excerpt
Putnam Bank Receiver Traces Entire $383,000 Shortage ... Every penny ... has been accounted for. WAS AIDED BY GILPATRIC
Source
newspapers

Newspaper Articles (10)

Article from New Britain Herald, August 12, 1924

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ALL FINDS GOVERNOR STATE FUNDS INTACT (Continued from First Page) the bank national examiner pending The statement Insertigation. he said Haker not aut was the official further was unsigned horized and Mr. to add anything to stails Adair Insured et the all From bank. official to the even who permit deelined it was had that stated of have the of his discovered name. if by the Institution examinar hieh been examiners the affairs under of the since by last 60 were Thursday that national bank that the affairs decided that new and limity examineral involved should of the books and sethorough the audit the institution. in that stated curities The official of further 60 far the er federal any examiners which would their examination had falled indicate to discove that the A the official made known if it that became confidence bank thing receivership was Insolvent was and quite he likely expressed necessary of the the affairs instituto be able would its of to tion liquidate that depositors the bank dollar for dollar " the pay their deposits. Bank To Aid that Putnam savings to cash for checks was Other later announced bank had made any arrangements (or Putamounts reasonable necessary nam and ready business Interests at but the present time over take the city's erts. to receive were deposits commercial not equipped banking to interearBank of banking Putnam instituti ions acin this ries The all the all the business a do which hanking business counts of section the interests and of of Putnam The of for this the called meeting citizens is such expected complete be for necessary to the any preventing bank's the constituency townsamong Public sentiment who had evinced people, previously the has utmost ndergone confidence a the past change twenty-four during as by hours. evidenced continued the on run of the savings department The line bank yesterday throughout of from funds the depositors was not but one long institution an in of line were average the day yesterday. throughout Public Losing Confidence of the offiany direct absence the found for this in the bank of the statement was the bank cial That statement was of responsible conditions for found this in responsible in of the resilocal change attitude and dents 1 in depositors a of stockholders was the bank plain interwith That no of views many affrom came directors statement was ter last session night's It of the cause added was that disappoliente regarded of the some nature official disclosure at of the the and extent shortage by an bank, official already admitted be today. would the forthcomingries famGilpatric c ily been whose the since of Mr. source, The members policy of of silence discovery has of the Gilpatric, up continued the friends attempt maintained to suicide refuse only information source of of the inlearnfamily. Mr. Gilpatric of the day formation this morning being these close it bas in been note shoot- left was he reven ed for that his wife on the the fact and that had therefore ing financially his life. was little There of the patient decided Condition to end Unchange if any at the in was any temperature change the hospital hospital the condition however, today. and His if for there the better, of jower." noted it was said. the No except visitors authorit members see the to have been family permitted be so as far could patient, ascertain is of the some and family member with to him said been have almost to the he was since taken constantly Conlast Thursday hospital afternoon. he whatever information sequently the note may written have revealed he in or wife since to his is of in the shot conversession himself. to out who give have refused family Estate. in the of Absence estate was any facts. The an of which Iministrator to be is said inquiry of the has which nature the Mary Gardnipatric Mr. subject of not been that fact made public. Beyond in he induswas interested had and and trial business on enterprises friends many induced in to their them nothing invest of is J the these known possibility in diffia being involved the led which W the finandiemptod cuities f suicide. Bank pelayed. Opening 9 At for the the openo'clock the First Bank. National of the president and doorway notified building Charles ing of H. stood Brown. who the approached that the or 10 until bank o'clock He than gave usual. hour the no for change. D. Guy Baker. Cashier the that change a at hours the Assistant had stated been directors authorized early today


Article from Putnam Patriot, August 29, 1924

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Praise - CriticismSuppostions-Contributions Letters to the Editor To the Editor of The Putnam Patriot: Comptroller of the Currency and appointees, the examiners and the Dear Sir: More than a fortnight ceiver, is that of public servants, has passed since the Putnam Bank pointed by the government to pro suspended payment. The facts of the the owners of this bank. It was t failure are still completely concealed. duty to publish the facts on which The directors and officers, the Compsuspension was based immediately troller of the Currency, the bank exter the suspension. The silence aminers and the receiver all maintain of the directors and the federal an impenetrable silence. They act as cials justifies the suspicion that if they owned the bank. This bank is have each neglected their duties, owned by its stockholders. They, and know that the facts, if published, its depositors and general creditors, ghow it. alone have any interest in its assets. The only fact yet published by The directors are merely trustees for body is a newspaper statement, the owners. It was their duty, while which no one knows the anther or the bank was doing business, to proaccuracy, that the bank's less teet the owners: when the bank closamount to at least $262,000. ed. to disclose to the owners all the sum is obviously a total. What facts relating to the failure. the items which make it up? If The relation to the bank of the bank has been ruined by the abst


Article from Putnam Patriot, October 31, 1924

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BY BULKLEY SOUTHWORTH GRIFFIN (Special Correspondence to The Punam Patriot) I Washington, D. C., Oct. 29.-No heads thejicket, and this one needs stay awake nights waiting sweep in Jm" Glynn. for further details touching the PutWashirton this week nam bank failure to issue from Washing on te apparent sile ington. The clear prospect is that ator MeLan during the I what further information does come paign. br the first time out will see the light in Connecticut, years a New England mar either in the course of the Gilpatric for presient, and, it migh trial, or from statements from the ed, everyNew England se bank receiver. be working his head off f Treasury department officials here But, so fr is Washington ( are somewhat hazy in discussing the Lean is pt doing this. matter. But they give the belief that is doing ID work for the n they don't intend to issue any detailed mittee, a are many other statement, covering the final verified Is the reason to be fo Lean's vce to override the assets and liabilities, as for long weeks they had been expected to. veto of tie bonus? It is I Facts Not Public Property last sprhg many Repub One official this week said that such said that if McLean or a statement was not proper public tried to ake the stump in land after their "deserti property and compared it, in a general way, to the income tax lists now presiden, they would onl being published in the midst of objecRepublican leaders. tions. Another treasury official said Lanent Brandegee's that to give such a statement, which would include the estimated worth of One till hears here com all notes held by the bank, would prosad going of Senator Bra duee the effect of making folks who has been revealed that h gave out dubious notes careful not to would have to have one le pay more on them than a detailed in the niar future. A hig statement said was expected to be rethe government has pr covered on them. your correspondent that Statements from the receiver of the this fac, taken together W bank may be expected as the weeks ator's financial worries, a and months go on, telling, in a gradual the sucide. Mr. Brande way, how much depositors can recover has said emphatically that on the dollar. had nd sign of cancer, which killed his sister, an Candidates' Campaign Expenses side of one leg, where t Congressman Freeman, up to about hardening of the artery the middle of last week, had listed gave no ground for suicide campaign expenditures of only $50. Demberatic chiefs here This $50 was given to the New Lonhave a chance to elect the don Republican city committee. ApBrandigee. They think parently Mr. Freeman is not getting when the special election excited over anything will not be the name of Other facts brought out by the filing idge at the head of the ti of campaign statements here by the the Republican voters. candidates were that Congressman O'Sullivan paid out $250 for dinners to Praise For Mrs. convention delegates at the Hotel ElDemocratic headquarter ton, Waterbury, and that Congressington this week gave p man Tilson received outside aid in the work of Mrs. Fannie Dixo shape of a check for $500 from the National committeewoman f tional Republican congressional comas assistant to the head o mittee. cratic women's work in N Congressman Merritt has the largNew York and New J est expense bill, $1,455. It is not itemWelch has her headquart ized. Mr. Tilson has spent $500, but York. There are over thi he does not give any details. Davis Clubs now in Conn Probably the fact that Tilson is Homer S. Cummings, f toiling as head of the eastern speakcratic committee head, h ers' bureau of the national committee, from his speaking tour and cannot find time to devote to his west, and is devoting the home fences, is one reason for the of the fight to Connecticut boost he got from the congressional chusetts. Cummings, this committee. ed other prominent men The hottest fight in the state rement which declared that mains in the Fifth Congressional disof Nations is not a trivial trict, where former Congressman campaign. So does Mr. C Glynn is trying to oust O'Sullivan. a word for his early love Glynn lists no expenses up to a week pionship of the League a ago. of Woodrow Wilson hav Coolidge Help to Glynn and steadfast. Cummings In ordinary times, taking the factors did a gracious thing when as they are today, O'Sullivan should the funeral of Senator win; but this year Calvin Coolidge here.


Article from Putnam Patriot, December 4, 1925

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Washington, D. C., Dec. 3.-The Chapman case, and the rushing and rather mysterious visits and conferences here of State's Attorney Aleron U. S. Attorney to an have and Assistant served overshadow of the increase Cohen, Con. of activity of the members meeticut congressional delegation here preparatory to the opening of Congress in about a couple of weeks. Al. corn and Cohen, in their conference at the justice department in an effort to get Federal authorities to make sure that Gerald Chapman will be hanged by the state of Connecticut, were chased all around by newspaper men who got little for their pains. Any. how. the name of Alcorn is well known in Washington today. Fenn Opens Office The week saw the opening up of the office of Congressman Fenn of Hartford. who will be chairman of the House census committee and who has moved into the committee offices, some speeches by Senator Bingham, and some news from the office of Floor Leader Tilson, including word that he will put in a bill calling for an extra Federal judge for Connecticut. Many are asking whether Tilson will run for the Republican senatorial nomination against Bingham next year. especially after his former campaign manager, Mr. Tower, has been elected mayor of New Haven, but Col. Tilson is playing possum, and probably will for some time to come. Bank Matter Quiet The Putnam bank matter continues quiet from this end. Word from the treasury department is that no further official reports from the Federal receiver have been received here. and that the date of declaration of the next dividend is yet on the laps of the gods. More Religion Fewer Laws Senator Bingham, in speeches at New Haven and Huntington, urged more religion and fewer laws, and greater reliance on the individual and the state. He also said that our air services stand first in engineering skill and development, taking a slap at some of the reports that have been produced by the Mitchell and Shenandoah trials. In this connection. the secretary of a Nutmeg State member of Congress says that Mitchell has gathered large popular sympathy throughout Connecticut; and from other sources it is indicated that the same situation exists through New England and beyond. Thus, Congress will be liable to demand many changes in our air services at the coming session and threatens to get so worked up that it may want to go beyond the recommendations of the president's special aircraft board. of which Mr. Bingham is a member. To Make His Mark Floor Leader Tilson annears to be


Article from New Britain Herald, January 22, 1926

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London - The king and queen of Rumania are reported to have 1 gone to one of their castles for a rest cure, necessitated by Carol's affairs. Madrid - Alvator Retana and Juan Caballero, novelists, have been fined, jailed and deprived of civil rights for 11 years for books regarded as offensive to modesty. New York - "Hiking Hiram." Colonel Hiram Bearss, U. S. M. C., retired, who led his marines at Vera Cruz and Chateau Thierry. is picking 200 fighting men to guard the greatest store of treasure in New York, that in the federal TOserve bank. Bridgeport-Rt. Rev. William M. Brown, deposed bishop, urges working classes to take what is rightfully theirs. Hartford-Everett Victor Meeks. dean of Yale fine arts school. en gaged as architectural adviser by Hartford committee. Hlartford-Succession tax case involving New York estate of R. D. Hirst, late of Stamford. to go to su. S preme court from Fairfield court. e Waterbury-Verdict of $5,000 for Joseph Simenauskas against Connecticut company; plaintiff's seven year old child killed June 5, 1923. S. Hartford-Attorney General Healy e says state, by paying low salaries. is S. losing many of its efficient execu0 tives. Derby-One man under arrest another arrest expected in connection with holdup and robbery of taxicab rdriver Wednesday night. 1. 0Greenwich- P. J. Hinds general ." manager of American Thread comin pany at Willimantic, weds Mrs. Nell rd Poindexter of Dalton, Ga. n. at Hartford-State to secure fishing streams in southern part of state to offset conditions due to pollution. ised Hartford-Two appeals to courta ry affect bus lines in Windham county in and in Waterbury-Hartford district pt VHartford-Receiver of wrecked Putnam bank would bring Harol Gilpatric back to state at once for its questioning. rd en There is hardly an American in be which to not now boing vidit


Article from New Britain Herald, January 22, 1926

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ALL STATE RECORDS OPENED TO PROBERS (Continued from First Page) tigation. He accepted the commission on behalf of the firm. "Thereafter Mr. George M. Coffin, receiver of the Putnam bank, who had asked the opportunity to present his claim to the committee was invited in and presented the claim. Governor Trumbull asked Deputy Treasurer Judd to attend the confeernce and instructed him to open all the records of his office to Scovell, Wellington and company at all reasonable hours and to assist as much as possible in arriving at the facts. The records of earlier investigations which were immediately available were turned over to Mr. Scovell for his preliminary study. "The committee's formal instructions to Scovell, Wellington and company here have not yet been completely formulated but will be issued in writing shortly for publication as well as to the accountants. "The commission adjourned at 12 o'clock to meet subject to call of the chairman." Following the conferene, Charles G. Morris of New Haven, a member of the committee was asked if the committee had considered the advis. ability of bringing Gilpatric to Hartford for questioning. Mr. Morris said that this had been considered "somewhat," but that it was the opinion of the committee that such action should be delayed for a time, at least until the investigating committee has laid its groundwork.


Article from Putnam Patriot, January 29, 1926

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The Holcomb committee, appointed by Governor Trumbull to make a sweeping investigation of the accounts of the state treasury during Gilpatric's terms, has selected Scovell, Wellington & Company of Boston as the accountants to make the audit of books and accounts in the state treasury department. The selection was announced after a meeting last Friday at which the head of the accounting firm was present and promised to take personal charge of the investigation. Bank's Claim Presented Receiver George M. Coffin of the First National Bank appeared before the committee and formally presented the bank's claims against the state. It is the bank's claim that money and bonds belonging to estates and individuals were used in the purchase of bonds now held by the state when Gilpatric was fore a iver the bonds immediately to the state treasury department. Following the conference the following statement was issued by the committee: Committee Issues Statement "The governor's committee to investigate the activities of G. Harold Gilpatric as treasurer of the state, held its third meeting in the governor's office January 22, 1926, at 10 a. m. All members present. "The governor read a telegram and letter from G. Harold Gilpatric, which was addressed to his brother and transmitted to the attorney general, in which he offered to assist the committee in every way within his power and offered to submit himself to interview and examination. Boston Firm Retained "After discussion of procedure the committee decided to complete the selection of its firm of accountants before proceeding on other details. Mr. Scovell of Scovell, Wellington & Co., had been requested to be available and then came before the committee and after questioning his firm was engaged to make the investigation. He accepted the commission on behalf of the firm. 'Thereafter George M. Coffin, receiver of the Putnam bank, who had asked the opportunity to present his claim to the committee, was invited in and presented the claim. Governor Trumbull asked Deputy Treasurer Judd to attend the conference and instructed him to open all the records of his office to Scovell, Wellington & Co. at all reasonable hours and to assist as much as possible in arriving at the facts. The records of earlier investigations which were immediately available were turned over to Mr. Scovell for his preliminary study. To Make Instructions Public "The committee's formal instructions to Scovell, Wellington & Co. have not yet been completely formulated, but they will be issued in writing shortly for publication, as well as to the accountants. "The committee adjourned at 12 to meet subject to the call of the chairman."


Article from New Britain Herald, March 1, 1926

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GUI COUPONS OF OTHERS' BONDS (Continued From First Page) The former banker explained that in the state was taken to office, frequently he task treasurer's because of delayed interest payments, and he draw his check the would then for required amount. This, Gilpatric be when became actual said, would coupons adjusted due. He the assumed the difference in time might be 30 or 40 days. Pointing out that the first interest on bonds Gilpayment state paid by patric included three cents, Mr. this would been coupons Scovell said had clipped indicate from that bonds of smaller denomination than $1,000. the denomination of those purchased by Gilpatric for the state. not get far It did today, Mr. Scovell announcing that he wished more time to study the matter and Receiver George M. Coflin of the wrecked Putnam bank. giving notice that he was investigating this question. It was brought out, however, that of the $750,000 in these bonds for purchased by Gilpatric the state, $500,000 of the bonds had been shifted later to fourth. issue the from Gilpatric, the ask- fifth ed Scovell that at the done, by said Mr. why time this he was was very "bullish" on fourth and that he loan bonds probably Liberty had made the transfer to take ad. vantage of a premium which the fourth issue was paying at that time. Mr. Scovell asked Gilpatric if it was the practice of bis bank in the make entries bank's records to on the day following the date of to various his bank transactions. attempted Gilpatric balance said its every night, but that were made on the books ly entries frequent. following day to arrive at the balhowever, that as as $47,000. mentioned ance. large He said, proper entries by Mr. Scovell, were not made in this manner. The question of possible manipuin the lation by Gilpatric purchase of Fifth Liberty Loan bonds for the state of Connecticut. is one about which little has been said in the four hearings in which Gilpatric has figured. Second Trip To Hartford state whose The former treasurer. temporary Connecticut prison has father's home in return from Atlanta since been his his Putnam penito aid in the of accounts was tentiary his muddled untangling brought here last night. was second visit to It his Hartford since his conviction. Two weeks ago was into to he explain called transactions bankruptcy that result- court pil in the wrecking of the the whoreabouts of bank and Putnam funds still missing The examination banker was the former then trans- of ferred to Putnam where for three was questioned by Coffin. days, George Gilpatric M. receiver of the Since a now of the books of bank checkup wrecked bank. then, the has been made with Gilpatric aiding the receiver in the task $100,000 inaccounted For return to and Gilpatric's the four public hearings Connecticut held have brought forth several more than of ures but still $100,000 disclosembezzled funds remained unexplained when today's hearing opened. It was brought out state Gilpatric used funds however, supposed. that ly for the erty own at once advanced bonds, for his purchase use, of libtime holding in his possession for 18 months, bonds valued at many thousands of dollars. Funds of the First National Bank were used by the former banker when he found it necessary to reach a settlement with the state in the Liberty bond account. The defaulting first was unable tions cashier in his to four account examina- for $91,000 involved in the purchase of which he these bonds, needed to square his accounts with the com-


Article from New Britain Herald, March 9, 1926

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TAKEN IS ACCOUNTED FOR Putnam Bank Receiver Traces Entire $383,000 Shortage WAS AIDED BY GILPATRIC George M. Coffin Today Announces That Shortage ed Three Weeks Ago Has Been Entirely Up. March Every penny of the First Putnam by Harold Gilpatric, former George M. Coffin the funct declared today. The bank claimed an unexplained shortage Receiver charge of its affairs in When Gilpatric came to Connecticut from Atlanta, where years. the bank's shortage had reduced $150,That three ago. During these three weeks, Gilpatric. in Hartford for his amination before Referee in BankSaul was the bank going records with Receiver Coffin, which refreshed his mind by producing papers involved in various transactions, in the hope that in this way Gilpatric would able recall how the remaining $150,000 had used. This proved Receiver Coffin announced today. declaring Gilpatric's aid every penny the $150,000 has been accounted for.


Article from New Britain Herald, March 10, 1926

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RECEIVER COFFIN FILES STATEMENT Reports in Detail of Putnam Bank Investigation in Bankruptcy final report of the National of the G. Harold that learned made of entered as Receiver's Statement In the of the the the perof stay in Connectistatement is as follows: that Mr. Gilpatric has been Atlanta think the of the National bank of entitled to know was north and through By agreement between of his estate he to find out from had of and of for the state but not delivered to meeting of the he for Trustee As trust of 75 against his Referee Berman him to Putnam. where books and records could be used The this provided news reportpresent my questioning Gilpatric in Putnam. For questioned him before to bring out the information After that books and read to him. On Saturday about left New York. returning 12 the night of FebruMr. Gilpatric to Saturday and Birthday arranged to have my clerk and continue the work results me on my Accounted For the approval of the to this Mr. until March result been to of of funds and of this have been to no from matter a some this cost of of the "As of