Northrup Banking Company (Kansas City, KS)

Episode Information

Episode UID
5189937791123
Episode Type
Run โ†’ Suspension โ†’ Closure
Bank Type
state
Bank ID
518993779 hash
Start Date
July 15, 1893
Location
Kansas City, Kansas (39.100, -94.579)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
008c8b60b8d14c81

Response Measures

None

Description

Bank voluntarily placed itself in charge of the state bank commissioner and later remained in receivership.

Events (3)

1. July 15, 1893 Receivership
Newspaper Excerpt
voluntarily placed itself in charge of State Commissioner Broidenthal. Receiver Hovey later administered the defunct Northrup bank's affairs in receivership.
Source
newspapers
2. July 15, 1893 Run
Cause
Local Banks
Cause Details
Failure/suspension of the National Bank of Kansas City (same president) precipitated a run on the Northrup Bank.
Measures
Closed doors and did not meet further withdrawals; voluntarily placed itself in charge of state bank commissioner.
Newspaper Excerpt
this fact caused a run on the latter bank.
Source
newspapers
3. July 15, 1893 Suspension
Cause
Local Banks
Cause Details
Voluntary suspension following runs triggered by the failure of the Kansas City National bank and related local bank distress.
Newspaper Excerpt
closed its doors this morning. The Northrup Banking Company ... has voluntarily placed itself in charge of State Commissioner Broidenthal.
Source
newspapers

Newspaper Articles (17)

Article from San Antonio Daily Light, July 15, 1893

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THE PEOPLE SWINDLED By More Busted Banks in Kansas City. KANSAS CITY, Mo., July 15.The North Rup bank of Kansas City, Kansas, of which J.S. Chick, of the National bank of Kansas City, Mo., which failed yesterday, was also president, closed its doors this morning. The examiner, Galbreath, took charge of the suspended Kansas City National bank this morning. There was a quiet run on the National Bank of Commerce, as soon as that concern opened for business this morning. In a statement made public yesterdy, the condition of the bank was shown to be in good condition, and the officials assert that they will be able to stand a .long run, which, however, they think will not be necessary. But little excitement prevails, and it is thought the bank will pull through all right, as it ranks with the strongest in the city.


Article from The Jersey City News, July 15, 1893

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ANOTHER KANSAS CITY BANK GONE. KANSAS CITY, July 15, 1893. - The Northrup Bank of Kansas City, Kan., of which J. S. Chick, of the National Bank of Kansas City, which failed yesterday, was also President. closed its doors this morning. Bank Examiner Galbreath took charge of the suspended Kausas City National this morning. There was a quiet run on the National Bank of Commerce as soon as that concern opened for business this morning. In a statement made yesterday, the condition of the back was shown to be good, and the officials assert that they will be able to staud a long run, which, however, they think will not be necessary. The statement shows cash on hand of $1,141,655, with deposits of $2,977,327, showing more than the twenty-five per cent. reserve required by law. The capital IS $2,000,000. But little excitement prevails, and it is thought the bank will pull through all right. as it ranks with the strougest in the city,


Article from Asheville Daily Citizen, July 15, 1893

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Their Doors Closed. STARKSVILLE, Miss., July 15.-The First National bank closed its doors yesterday. Its depositors will be paid in full. CARMILLS, III., July 15.- The old banking house of Hayes & Webb made a general assignment ,yesterday. Assets, $216,267; Liabilities $180,000. KANSAS CITY, Mo., July 15.-The Northrup bank of Kansas City, Kan., of which J. S. Chick of the national bank of Kansas City which failed yesterday is also president, closed its doors this morning. RICHMOND, Va., July 15.-Speet & Spect, jewelers, have assigned. Liabilities $10,000; assets $17,000.


Article from Deseret Evening News, July 15, 1893

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RUN ON A KANSAS BANK. The National Bank of Commerce Stands the Attack. KANSAS CITY, July 15.-Northrup bank of Kansas City Kansas, of which J. S. Chick, president of the National bank of Kansas City which failed yesterday, also is president, closed itsdoors this morning. A IUD was begun on the National Bank of Commerce this morning. The flicials say they will be able to stand a long run, which, however, they do not expect. Their statement made yesterday shows, cash $1,141,655, deposits $2,977,327, capital two millions. It is believed It will pull through all right. It is one of the strongest banks in the city. The members of the directory, at a meeting yesterday individually pledged their private fortunes for the security of depositors. Collectively they are worth two millions. The Northus Banking company closed its doors 18 a result con. sequent on the closing of the doors of the National bank, Kansan City. It is claimed that the bank's condition is exceptionally good but the officers did not care to jeopardize the assets by meeting a run. The bank has a capi. tal of $100,000 and liabilities of $315,000. It is believed the depositors will ultimately be paid in full. The failure of the National bank, Kansas city, precipitated a run on every national bank in the city. All met every demand promptly and by noon the excitement was practically over. The Savings bank was not alfected.


Article from Evening Star, July 15, 1893

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SEIZED BY THE SHERIFF. Milo T. Bogard, a St. Louis Real Estate Man, in Financial Difficulty. ST. LOUIS, Mo., July 15. -Sheriff Stead has just taken possession of the office and books of Milo T. Bogard, one of the largest real estate men in the city. Mr. Bogart is also heavily interested in many building and loan associations. No statement of the liabilities and assets can be obtained at present. The Kansas City Banks. KANSAS CITY, Mo., July 15.-The Northrup Bank of Kansas City, Kan., of which J. S. Chick of the National Bank of Kansas City, which failed yesterday, was also president. closed its doors this morning. Bank examiner G. W. Galbreath took charge of the suspended Kansas City National Bank this morning. There was R run on the National Bank of Commerce, but its condition was shown to be good. and it is thought it will pull through all right.


Article from The Seattle Post-Intelligencer, July 16, 1893

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Kansas City, Kan., Bank Suspenda. KAXSAS CITY, July 15.-The Northrup bank, of Kaneas City, Kan, of which J. a. Chick is president, suspended this morning. The bank has $100,000 capital and $315,000 liabilities Do positors will be paid in full


Article from Fort Worth Gazette, July 16, 1893

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They Sinn Togethe KANSAS CITY, Mo., July 15.-The Northrup bank of Kansas City, Kansas, of which J. S. Chick of the National bank of Kansas City, Mo which failed yesterday. was also president, closed its doors this morning. Bank Examiner Galbreath took charge of the suspended Kansas City National bank this morning. There was quite a run on the National Bank of Cominerce as soon as that concern opened for business this morning. In a statement made yesterday the condition of the bank was shown to be good. and officers assert that they will be able to stand a long run which. however, they think will not be necessary. But little excitement prevails and it is thought the bank will pull through all right as it ranks with the strongest in the city, The directors of the Bank of Commeree held a meeting to consider the financial situation to-day. After very carefully examining into the condition of the bank, the member of the directory signed an agreement individually pledging their entire estate for the security of depositors. There was not a member of the board who hesitated to sign the paper that made him liable for the entire amount of deposits held by the bank. so great was their confidence in its ability and stability. The directorate represent a combined wealth of $2,000,000.


Article from Richmond Dispatch, July 16, 1893

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Kansas Bank Closes. KANSAS CITY, Mo., July 15.-The North. rup Bank. Kansas City, Kan., of which J. S. Chick, of the National Bank of Kansas City, which failed yesterday. was also president. closed its doors this morning. Bank-Examiner C. W. Galbreath took charge of the suspended Kausas City Na. tional this morning.


Article from The Wheeling Daily Intelligencer, July 17, 1893

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TERSELY TOLD. The daughters of the late Andrew J. Borden have transferred to Mrs. Geo. Whitehead, of Fall River, Maes., and Mrs. Fish, of Hartford, Cann., some $4,000 worth of property which belonged to the late Mrs. Borden. The beneficiaries under the transfer were half sisters of the murdered woman. The trial determined the fact that Mrs. Borden died first, but it is understood that the transfer was voluntarily made. The supreme court of Massachusetts has handed down a decision in the case of A. M. Howland, a civil engineer, who sued the town of Maynard for libel, for publishing in its annual report statements reflecting unfavorably upon Home work which the town had employed Howland to do. The court practically holds that libel suits against towns and cities cannot be maintained. The Peary expedition steamship, the Falcon, sailed Saturday night for the Labrador settlements, to get dogs, and thenco to Greenland. The ship was fully supplied with coal and other necessities. and it was expected would reach its destination in four weeks, roturning to St. John's late n September. The Northrup Banking Company, of Kansas City, has voluntarily placed itself in charge of State Commissioner Broidenthal. Assets, $475,000; liabilities, $315,000. Sheriff Warner of Crittenden county, Arkansas, was wounded and robbed of $12,000 by an unknown assailant Saturday night. The Kaufman Brewing company of Cincinnati has assigned. Assets, $600,000; liabilities, $150,000. Georges Grandin has left New York to walk to the World's Fair. He carries no money. The secret expulsion of Jews from Russia continues. -


Article from The Russellville Democrat, July 20, 1893

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WILL PULL THROUGH. This Bank is All Right, According to Its Statement. KANSAS CITY, July 15.-The Northrup Bank, Kansas City, Kan., of which J. S. Chick, of the National Bank of Kansas City, which failed yesterday, is also president, closed,its doors this morning. Bank Examiner Galbreath took charge of the suspended Kangas City National Bank of Commerce as soon as that concern was opened for business this morning. In its statement made yesterday the condition of the bank was shown to be good, and the officials assert they will be able to stand. The statement showscash on hand, $1,141,655, with deposits of $2,977,237, showing more than 25 per cent. reserve than required by law ; capital, $2,000,000. But little excitement prevails. It is thought the bank will pull through all right, as it ranks with the strongest in the city.


Article from Western Kansas World, July 22, 1893

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Followed the Natioual. KANSAS CITY, Mo., July 18.-The Northrup Banking company of Kansas City, Kansas, closed its doors and voluntarily placed itself in charge of the state bank commissioner, Breidenthal. J. S. Chick, president of the National bank of Kansas City, now suspended, is also president of the Northrup Banking company, and this fact caused a run on the latter bank. While the condition of the bank seems to be exceptionally good, the officers did not care to jeopardize the assets by meeting a run. The bank has a paid up capital of $100,000, with a surplus of $50,000. The assets are $475,000, and liabilities $315,000. The bank examiner has announced that the Kansas National bank would pay all drafts on the bank of Preston, Kan., and the bank of Amsterdam, Mo., presented.


Article from Fort Worth Gazette, January 23, 1894

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ble, as is also his wife, Eliza, hence the excursions from their home in the Indian Territory to Kausas City are becoming less frequent. Mr. Splitlog and the late H. M. Northrup were close friends for years, and when the Kansas City banker died last March Mathias told his friends that Wyandotte no longer bad charms for him. The suspension of the Northrup bank last August was also a blow to the old Indian, not particularly on account of the $21,000,000 he had on deposit there, but because of his many years' association with it and its founders. Mathias, while on a visit to Kansas City recently. insisted on Receiver A. B. Hovey receiving a deposit of about $10,000. The old Indian had a large roll of money and numerous bank checks and drafts, and while he had learned of the suspension of the bank, he still wanted to do business with it. He was disappointed when he was informed that the deposit could not be received. Yesterday Mathias was handed a check for $1050 as a part of his share of dividend declared some time ago, but he did not want to accept it. and refused to until persuaded by his lawyer to do so.


Article from Kansas City Daily Journal, December 16, 1896

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AFFAIRS OF NORTHRUP BANK SOON TO BE WOUND UP. COMMITTEE RECOMMENDATION. MEETING OF DEPOSITORS WILL BE HELD JANUARY 4 NEXT. Tables Turned Very Neatly on John Beeves, Who Was Sent to Jail in Default of Costs-Fight on the Gazette-Other City News. The investigation committee appointed some time ago by Judge Alden. of the district court, to examine the report of Receiver Hovey, of the defunet Northrup bank, filed its report yesterday. The committee was composed of F. H. Betton, C. K. Wells and V. J. Lane. In addition to examining the report of the receiver, the committee was instructed to appraise the assets of the bank, suggest some plan of settlement which would prove satisfactory to the depositors and debtors and bring about a speedy and final adjustment of its affairs. The committee reported unfavorably to a public sale, which was talked of some time ago, and recommended a plan whereby the depositors and debtors of the bank will be allowed to exchange their claims and accounts for notes, bonds, mortgages, judgments, certificates, real estate and all other property belonging to the bank. With a view to this plan of settlement. the committee, after careful inquiry. fixed a value on all the assets ranging from a nominal amount to a premium on some of the claims best secured. The committee further recommended that Receiver Hovey publish a statement outlining the plan of settlement and calling an open meeting of depositors and creditors to ascertain their views. The following is a brief statement of the present condition of the defunct bank: Amount of assets on hand at the time of suspensionCash on hand $ 57,977 51 Bills receivable 341,951 5 Other assets, real estate, bonds, etc 105,955 13 Total amount of assets $499,884.19 Liabilities 351,711 65 $148,172 53 Surplus assets over liabilities Total collected from assets $238,455.31 27,215 Less expense and taxes paid Balance left from collections $211,239 52 Amount of shrinkage in real estate values and in compromised settlements was estimated at $49,340.86. The balance of the assets on hand December 1, with interest, was placed at $294,248.59: less shrinkage. $129,662.89; balance due depositors, $143,518.17: surplus over liabilities to depositors, $21,1067.53. 1 Since the failure of the bank, nearly three and a half years ago, five dividends have been declared. four of which have been paid. They were as follows: Amount of dividend No. 1 $40,706.62 Amount of dividend No. 2 31,719 33 Amount of dividend No. 3 60,602 Amount of dividend No. 4 15,679 37 Amount of dividend declared but 2,592 36 not paid Amount of offsets and preferred claims allowed 54,776 91 Receiver Hovey states that he will pub-lish a notice to the depositors and creditors to the effect that he will apply to Judge 'Alden for an order permitting settlement on January 4. 1897. at 10 a. m., when all "parties concerned will be heard from. From present indications the affairs of the defunct bank will reach a final settlement in the near future.


Article from Kansas City Daily Journal, January 26, 1897

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# THEY ASK FOR A RECEIVER. NORTHRUP ESTATE HEIRS WANT THE EXECUTORS OUSTED. Proceedings in the Jackson County Circuit Court Similar to Those in the Court of Common Pleas, of Kansas City, Kas. On December 24 last there was filed in the court of common pleas of Kansas City, Kas., a suit by certain heirs of the late Hiram M. Northrup against the executors of the estate, charging the latter with seeking to confiscate portions of the estate in order to escape their liabilities as stockholders in the defunct Northrup bank of that city, and asking for the appointment of a receiver to protect the interests of the heirs. A similar suit was filed yesterday in the circuit court of Jackson county, making substantially the same allegations and asking for the same relief. The suit was brought in order to protect the interests of the heirs in about $100,000 worth of property located at Independence and Charlotte and Independence and Olive streets in this city. The plaintiffs in the suit are Frank A. Northrup and Andrus B. Northrup, infant grandchildren and heirs of Hiram M. Northrup, who sue through their guardian, Lee C. Northrup; the Women's Benevolent Association, which was left $1,000 in the will of Hiram M. Northrup; Margaret Staley and Mattie Snyder who were each left $10,000, Lillie Northrup and others. The defendants are the executors, K. L. Brown and E. H. Lovelace, of Kansas City, Kas., and J. S. Chick, of this city; the Wyandotte tribe of Indians, which was left $5,000 in money: St. Margaret's hospital, which was left $1,600; Hiram M. Northrup, Jr., Kate V. Brown and others. The suit was filed by Trimble & Eraley, attorneys for the heirs and other plaintiffs. Judge Gates granted a temporary restraining order, returnable January 30, restraining the executors from instituting or carrying on any proceedings to sell any realty or paying out any money in their possession as assets of said estate; from commencing any suit or filing any application or petition for the sale of any real estate, or from collecting any rents from property in their possession as executors of said estate, or from acting in any capacity whatever as executors of the Northrup estate. The other defendants named in the petition are enjoined temporarily from prosecuting any claims against the estate or seeking to enforce any judgments against the estate. The gist of the charges against the executors, Brown and Lovelace, in the proceedings filed in Kansas City, Kas., of which those filed here yesterday are a counterpart, is that they were stockholders in the defunct Northrup bank, in Kansas City, Kas.; that to escape their liabilities as such stockholders they are seeking to sacrifice the assets of the estate. To prevent this sacrifice and confiscation of the assets of the estate, a receiver is asked for by the heirs and other plaintiffs. Among the assets of the estate was $52,000 of stock in the Northrup bank, since defunct, and it is charged that the executors were stockholders in the bank and entered into collusion with the bank receiver to confiscate the estate in order to settle up the affairs of the bank and thus escape their liabilities as stockholders. The will of Hiram M. Northrup, who was a pioneer of Kansas City, Kas., was probated March 31, 1893. By the terms of the will K. L. Brown and E. H. Lovelace, of Kansas City, Kas., and J. S. Chick, of this city, were made executors. Frank A. Northrup and Andrus B. Northrup, grandchildren of the testator, were given $20,000 each, which they were to receive when Andrus B. Northrup attained his majority. One-half of the remainder of the estate went to Milton C. Northrup; $5,000 was given to the Wyandotte tribe of Indians; $1,000 to St. Margaret's hospital; $3,500 to the executors to keep the Indian cemetery in Huron place in order; $10,000 to Lillie Northrup; $10,000 each to Margaret Staley and Mattie Snyder and valuable land in Nebraska. It is charged that the executors did not properly defend suits brought against them and that property was sold for $8,000 to satisfy judgments for $50,000. The executors are charged with receiving exorbitant sums for their services, while employes of the defunct bank and receiving large salaries as such. The appointment of a receiver is asked for who will be empowered to proceed against the executors and compel the stockholders of the bank to contribute toward the payment of its debts, instead of sacrificing the estate in settling up the affairs of the bank. The matter will come up before Judge Gates on Saturday of this week.


Article from Kansas City Daily Journal, February 7, 1897

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HIRAM NORTHRUP'S ESTATE. The Suit Brought by Heirs Against the Executors on Trial Before Judge Gates. The familiar suit of the Northrup heirs against the executors of the Northrup estate, of Kansas City, Kas., came up yesterday in Judge Gates' division of the circuit court. The late Hiram Northrup was, in March. 1893, president of the Northrup Banking Company, which failed. Upon the death of Mr. Northrup, one year later, he left an estate valued at many thousands of dollars, with E. H. Lovelace, K. L. Browne and J. S. Chick as executors. They were stockholders in the Northrup bank. The laws of Kansas make a stockholder liable for twice the amount of his stock in a bank. The heirs claim that the executors have improperly diverted money belonging to the estate by allowing pretended creditors of the bank to receive judgments against the estate. The suit is for a bill in equity and asks that other receivers be appointed.


Article from The Topeka State Journal, February 19, 1900

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# BANK RECEIVERSHIP. Effort Being Made to Make Them Short and Less Expensive. The state bank commissioner has delivered to the attorney general a list of banks that have been placed in the hands of receivers since the creation of the banking law in 1893. The list includes 62 banks and so far as the bank commissioner has been informed, 50 of them are still in the hands of receivers and it is the purpose of Attorney General Godard to investigate the present condition of the receiverships and to require the receivers to show cause why they have not closed up their trusts and distributed the assets among the creditors. Attorney General Godard is opposed to the expense of long receiverships. He believes that with industry and good business methods receiverships in this day of prosperity and debt paying ought to be wound up speedily. It has been the custom of attorney generals heretofore to neglect this important duty to the depositors of liquidating banks and in consequence the receivers and their paid attorneys have by long delay not only consumed the assets largely, but have kept the funds on deposit in favorite banks and drawn the interest as their personal perquisite. Among the banks that have settled with the creditors and gone out of liquidation are: The Banks of Greensburg, the Bank of Hutchinson; the Northrup Banking Co., of Kansas City, the Pawnee County bank of Larned, B. F. Harpster's bank at Severance, C. H. Sawyer's bank of Scottsville, and the Leon Exchange bank. Of the Bank of Ness City, G. A. Borthwick, receiver, the bank commissioner in his letter to the attorney general, makes this interesting comment: "This receivership is in a peculiar condition. Mr. Borthwick was the cashier and principal owner of the bank. At the time the bank was closed the assets would not have paid 25 cents on the dollar, but Mr. Borthwick is engaged in the milling business and has been doing a profitable business and has applied every dollar of his earnings to the settlement of these claims. The court has permitted him to proceed in his own manner and as a result he is gradually paying off the entire indebtedness of the bank, and, in my judgment, will in time settle every dollar of the indebtedness."


Article from The Indianapolis Journal, December 7, 1902

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# OTHER DEATHS. Mrs. Alice Freeman Palmer, Once President of Wellesley College. CHICAGO, Dec. 6.-Mrs. Alice Freeman Palmer, once president of Wellesley College, and formerly dean of women at the University of Chicago, died suddenly in Paris to-day, according to a cablegram received here by A. A. Sprague, whose niece was traveling with Mrs. Palmer. George Herbert Palmer, professor of philosophy at Harvard University, was touring Europe with his wife at the time of her death. KANSAS CITY, Dec. 6.-Thomas Jones, a well-known local lawyer, was found dead in bed here. The coroner decided that he died from natural causes. Mr. Jones was born in St. Lawrence county, New York, in 1859. At the time of his death he was vice president of the World's Christian Endeavor Association and formerly was president of the Missouri association. ST. JOSEPH, Mo., Dec. 6.-Willis M. Sherwood, aged eighty-six, a pioneer of Missouri and prominent in business circles, died here to-day after an illness of more than a year. He was prominently identified with the early history of the Territory known as the Platte Purchase. WASHINGTON, Dec. 6.-Advices received here announce that Mrs. Henry G. Davis, wife of the ex-senator from West Virginia and mother-in-law of Senator Elkins, died at Graceland, her summer home at Elkins, W. Va., to-day. SUSQUEHANNA, Pa., Dec. 6.-Mrs. Fanny D. B. Chase, wife of Simon B. Chase, is dead at her home at Hallstead. She was a national lecturer of the W. C. T. U. and author of a number of books on religion and temperance. KANSAS CITY, Dec. 6.-Andrew R. Hovey, fifty-five years of age, former receiver of the Northrup Banking Company in Kansas City, Kan., fell on the street in a fit to-day and died on the way to a hospital. NEW BEDFORD, Mass., Dec. 6.-Former State Attorney General Knowlton sustained a stroke of apoplexy at his home at Marion to-day. His condition is critical.