Salem Trust Company (Salem, MA)

Episode Information

Episode UID
5225584991584
Episode Type
Suspension → Closure
Bank Type
trust
Bank ID
522558499 hash
Start Date
December 15, 1931
Location
Salem, Massachusetts (42.520, -70.897)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
f5e796930b7eedcc

Response Measures

None

Events (1)
1. December 15, 1931 Suspension
Cause
Correspondent
Cause Details
Affiliated with and controlled by the Federal National Bank of Boston, which was closed after runs; commissioner took possession to conserve assets and protect depositors.
Newspaper Excerpt
State Bank Commissioner ... have this day taken possession of the following companies: ... Salem Trist Co., Salem
Source
newspapers

Newspaper Articles (17)
1. December 15, 1931 Casper Star-Tribune Casper, WY

Article Text

BANKS CLOSED Four National Institutions Included BOSTON, Dec. (AP) Massachusetts banking institutions, with aggregate deposits, the latest of 000, were closed today The list cluded four national banks and five state banks. The central figure the the Federal National bank of Boston, which has five city and with which other institutions here were affiliat- The Federal National bank, whose directors voted to the comptroller of currency to take charge after runs at the bank and its branches had deposits on Sept. 29 yesterday, of The other banks and their latest available statements deposit were: The Middlesex National Bank, Lowell, the State National bank, the Gloue ter National bank. the Bancroft Trust company, Worcester, 474; the Lawrence Trust company, $9,555,926: Inman Trust Cambridge, 412: the Brockton Trust company, the Salem Trust company, Salem $2,115,530.

2. December 15, 1931 The Boston Daily Globe Boston, MA

Article Text

SALEM TRUST COMPANY DID NOT OPEN ITS DOORS SALEM, Dec 15-The Trust MARSH affiliated with the Federal PAINE FURNITURE The the Posted on the door bank, this

3. December 15, 1931 Fitchburg Sentinel Fitchburg, MA

Article Text

State Bank Commissioner Gives Statement BOSTON, Dec. Arthur Guy. state bank comstatement today: result of the closing of the Federal National hank of Boston. national banking stitution. have this day taken possession of the following companies: "Bancroft Trust Co., Worces- "Brockton Trust Co., Brock- ton. "Inman Trust Co., Cambridge. "Lawrence Trust Co., Lawrence. "Salem Trist Co., Salem "These trust companies are affiliated with and controlled by the Federal National bank. The parent bank having been closed. no other course remained but to take possession of these five trust companies to conserve the assets and for the protection of depositors. "No other state banks are Boston Clearing House association has stated in the press that in their best judgment the banking situation essentially sound and safe. In the judgment of the banking department the same is to be said of the banks of the eommonwealth generally and there should be no undue apprehension on the of depositors."

4. December 15, 1931 The Berkshire Eagle Pittsfield, MA

Article Text

FOUR NATIONAL AND FIVE STATE BANKS CLOSED Federal National Bank of Boston and Affiliated Institutions Involved Had Aggregate Deposits of in Last Statement BOSTON, banking institutions aggregate deposits, according to the latest statements of 000 were closed today. The list included four National Banks and State The central figin the closings was the Federal National Bank which has five city branches and with which all the other institutions were affiliated The Federal National whose directors voted to ask Comptroller Currency take on the bank had posits September $28,- Bank Deposits. The other and their latest Middlesex National Lowell, $4,000,000; the State National Lynn, the National Bank, Glouces$1,600,000; Bancroft Trust Company, the Trust Company, Lawrence Trust Lawrence, the Inman Trust Company, Cambridge, the Brockton Trust Company, Brockton, the Salem Trust ComSalem, Governor statement from home Westfield, said that the proper measures, for the speedy reopening could accomplished said he had structed Bank Arthur proceed with that view. Ely Hastens to left home Continued 19th Page

5. December 15, 1931 Fort Collins Coloradoan Fort Collins, CO

Article Text

9 Banks Close Massachusetts Boston. (AP) Nine Massachusetts banking aggregate deposits, to the latest of closed today. The list included four national and five state banks. The central figure in the closings 12t-195G was the Federal bank Boston, which has five city es and with which all the other 3t-199G stitutions were affiliated. before The Federal National bank, whose directors voted to ask the comptroller of currency to take charge after runs at the bank and had posits, on 29, of 3t-199G The other banks and their available statements of deposit were: The Middlesex National bank. 3t-200G Lowell, $4,000,000; the State National bank, Lynn, $2,013,565; the GlouNational bank, $$1,600,000; See the Trust Worcester, $5,876,474 the Trust company, Lawrence, $9,555,926; the 5t-200G Cambridge, $3,808,412; the lyn Trust Brockton, $1,508,753; the Salem Trust company, Salem, $2,115,530.

6. December 16, 1931 The Cincinnati Enquirer Cincinnati, OH

Article Text

NINE BANKS CLOSED. Institutions Affected By Heavy Run At Boston. Boston. December 15 group of nine Massachusetts banks, having aggregate deposits of approximately $58,700,000. and of which the Federal National Bank of Boston was the central figure, was closed today The Federal National Bank, with which the other eight were affillated. had deposits of $28,235,233. according to its most recent statement condition Three other national banks were in the group that closed today They include the Middlesex National Bank of Lowell with deposits of approximately $4,000,000 the State National Bank of Lynn, with about $2,013,565 in deposits and the Gloucester National Bank Gloucester. which has deposits of approximately $1,600,000. Five state banks trust companies. had their affairs taken over by the Bank Commissioner, who announced their deposits to be approximately as follows the Bancroft Trust Company, Worcester $6,000,000; the Lawrence Trust Company. Lawrence, $8,860,000; the Brockton Trust Company. Brockton, $1,500,000; the Inman Trust Company, Cambridge, $3,500,000 and the Salem Trust Company, Salem. $2,200,000. The Bank Commissioner estimated that 75,000 depositors were affected by the closing of the state banks Joseph B. Ely. of Massachusetts expressed the belief that If prompt action were taken by the Federal authorities. making use of the National Credit Corporation, with the aid of the state authorities, speedy plan reorganization could be accomplished for the reopening of all the institutions. He said he knew of no reason why any other banks in the state should be affected Bank Commissioner Arthur Guy, pointing out that the trust companies were "affiliated with and controlled by the Federal National Bank, no other remained but to take possession of the trust companies to conserve the assets and for the protection of depositors.' The closing of the Federal National Bank was the consequence of run that developed on the hank and its five branches in Boston yesterday, after which the Directors voted to have the Comptroller of Currency take charge of the bank's affairs.

7. December 16, 1931 The Los Angeles Times Los Angeles, CA

Article Text

Group of Banks in Boston Fail Doors to Open BOSTON, Dec. Boston banking with aggreaccording to the last gate deposits statements of were closed list included four natoday. The banks, and five State banks. tional The central figure the closing was the Federal National Bank of Bosfive city branches ton which with the other institutions were affliated. The Federal National Bank. whose directors voted ask the Comptroller of Currency take charge after runs the bank and its branches yesterday. had deposits, September 29. of The other banks and their latest available statements deposit were: The Middlesex National Bank, $4,000,000; State National Bank, Lynn, $2,013,565; the Bank, Gloucesthe Bancroft Trust ter. the Lawrence Lawrence, Inman Trust Company Cambridge, Trust the Salem Trust Company, Salem, $2,115,530.

8. December 16, 1931 Daily News New York, NY

Article Text

9 BAY STATE BANKS CLOSE; HAD $58,700,000 Boston, Dec. 15 (AP).-Nine Massachusetts banking institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Three savings banks in East Boston and South Boston were experiencing small runs today.

9. December 16, 1931 Daily News New York, NY

Article Text

9 BAY STATE BANKS FAIL WITH $58,700,000 DEPOSITS Boston, Dec. 15 (A).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. Move for Reopenings. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Gov. Joseph B. Ely, in a statement from his home in Westfield, said that with proper measures a program for the speedy re-opening of the institutions could be worked out and that he had instructed Bank Commissioner Arthur Guy to proceed with that end in view. Run on Savings Banks, Three savings banks in East Boston and South Boston were experiencing small runs today. President Daniel C. Mulloney of the Federal National Bank expressed the opinion that, with careful handling of resources, depositors in his bank would receive 100 cents on the dollar. The city of Boston had $900,000 on deposit in the Federal National Bank while the State had $773,889. besides $287,000 in other banks closed today. The bank commissioner's office estimated there were 75,000 depositors in the five State banks affected.

10. December 16, 1931 Daily News New York, NY

Article Text

9 BAY STATE BANKS CLOSE; HAD $58,700,000 Boston, Dec. 15 (A).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Three savings banks in East Boston and South Boston were experiencing small runs today.

11. December 16, 1931 Daily News New York, NY

Article Text

9 BAY STATE BANKS CLOSE; HAD $58,700,000 Boston, Dec. 15 (P).-Nine Massachusetts banking Institutions, with aggregate deposits of $58,700,000, were closed today in the midst of the Christmas shopping season. The list included four National banks and five State banks. The central figure in the closings was the Federal National Bank of Boston, which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, whose directors asked the Controller of Currency to take charge after runs at the bank and its branches yesterday, had deposits Sept. 29 of $28,235,238. The other banks and their latest available statements of deposit were: Middlesex National Bank, Lowell, $4,000,000; State National Bank, Lynn, $2,013,565; Gloucester National Bank, $1,600,000; Bancroft Trust Company, Worcester, $5,876,474; Lawrence Trust Company, Lawrence, $9,555,926; Inman Trust Company, Cambridge, $3,808,412; Brockton Trust Company, Brockton, $1,508,753; Salem Trust Company, Salem, $2,115,530. Three savings banks in East Boston and South Boston were experiencing small runs today.

12. December 16, 1931 The San Francisco Examiner San Francisco, CA

Article Text

Nine Massachusetts Dec. Massachusetts banking institutions. aggregate deposits, according the latest of were closed The list included four National and five State banks. The central figure in the was the Federal National closings Bank of Boston. which has five city branches and with which all the other institutions were affiliated. The Federal National Bank, rectors of voted to ask the Comptroller of Currency to take charge after runs on the bank and its branches yesterday, had deposits September 29 of $28,235,238 The other banks and their latest available statements of deposit Middlesex National Bank. Lowell, $4,000,000 National Bank, Lynn, Gloucester tional Bank, $1,600,000: Bancroft 474: Lawrence Trust Company. Lawrence, Inman Trust Company, Cambridge, Brockton Trust Company. Brockand Salem Trust Company, Salem, Governor Joseph Ely, in statement from his home in Westfield. said that with proper measures plan for the speedy opening of institutions could be accomplished, and further said he had instructed Bank Commissioner Guy to proceed with that end Daniel Mulloney president of the Federal National Bank. pressed the opinion that with careful handling resources depositors in his bank would receive 100 cents on the dollar

13. December 16, 1931 The Cincinnati Enquirer Cincinnati, OH

Article Text

NINE BANKS CLOSED. Institutions Affected By Heavy Run At Boston. Boston. December 15 group of nine Massachusetts banks, having aggregate deposits of approximately $58,700,000. and of which the Federal National Bank of Boston was the central figure, was closed The Federal National Bank, with which the other eight ated. had deposits of $28,235,238. ac: cording to its most recent statement Three other national banks were in the that closed today. They include the Middlesex National Bank of with deposits of approxis mately $4,000,000; the State National Bank of Lynn, with about $2,013,565 in deposits and the Gloucester Name tional Bank, Gloucester, which has deposits of approximately $1,600,000 Five state banks, trust companies had their affairs taken over by the Bank Commissioner, who announced their deposits to be approximately as follows: the Bancroft Trust Come pany, Worcester. $6,000,000; the Laws rence Trust Company, Lawrence $8,860,000; the Brockton Trust Come pany, Brockton, $1,500,000; the Inman Trust Cambridge, $3,500,000, and the Salem Trust pany, Salem, $2,200,000. The Bank estimated that 75,009 depositors were affected by the closing of the state banks. Governor Joseph B. Ely of Massa chusetts, expressed the belief that prompt action were taken by the Federal authorities. making use the National Credit Corporation, with the aid of the state authorities, a speedy plan reorganization cculd be for the reopening of all the institutions. said he knew of no reason why any other banks in the state should be affected. Bank Commissioner Arthur Guy, pointing out that the trust companies were "affiliated with and controlled by the Federal National Bank, no other course remained but to take possession of the trust companies conserve the assets and for the protection of The closing of the Federal National Bank was the run that developed on the bank and its five branches in Boston yesterday, after which the Directors voted to have the Comptroller Currency take charge of the bank's affairs.

14. December 17, 1931 The Boston Daily Globe Boston, MA

Article Text

SALEM TRUSTCOMPANY OPEN TO RECEIVE PAYMENTS DUE SALEM, Dec 16-The Salem Trust Company, affiliated with the closed Federal National Bank of Boston, was opened this morning, only for payment on notes, interest and mortgages. State Examiner F. F. Bursley is still in charge. Holders of safety deposit boxes who have urgent reasons for visiting their boxes must have his before being permitted to do so. This last restriction is imposed only on the ground that the presence of safety deposit vault patrons might hamper the memhis staff working upon the panly's books, papers and accounts.

15. October 14, 1932 The Boston Daily Globe Boston, MA

Article Text

DEERY ON STAND CITES BAD BREAK Salem Trust Co Hearing Brings Out Difficulties Admits Federal National Bank Sent Over Big Sums Daily Special Dispatch to the Globe SALEM, Oct 13—After John A. Deery, president of the closed Salem Trust Company, declared today that attorney James J. Ronan was not appearing for him, and Pres Daniel C. Mulloney of the closed Federal National Bank stated in an earlier hearing that attorney Ronan "was not for him." Today's session before Lawrence A. Ford, master in the equity proceedings seeking to levy a 100 percent assessment upon stockholders of the Salem Trust Company, brought Pres John A. Deery under cross examination. Questioned by defense counsel S. Howard Donnell as to some of his conversations with Daniel C. Mulloney, president of the Federal National Bank. Deery said: "I told Mulloney that things were "going to the bad" and that "I had done the best I could. I couldn't keep things going."

16. March 30, 1933 Pittsburgh Sun-Telegraph Pittsburgh, PA

Article Text

Closed Boston Bank Faces Another Suit Chinese Kidnap BOSTON March 30 British Officers Suit for $90.000 against the Fed- eral National Bank of Boston which collapsed in $60 failure 15 months ago, was filed in Federal Court today on behalf the closed Salem Trust Company, one of eight affiliates of the Federal National Bank This brought the total amount of suits against the Federal Na. tional Bank to approximately $1,370,000. Suits in the amount of $2.000,000 more were still to be filed by Bank Commissioner Arthur Guy, SHANGHAL March British gunboats searched the Gulf of Liao- Tung today for four British officers kidnaped from their ship by Chinese pirates in one of the most daring raids conducted along the Manchurian coastline for years. The victims were officers of the British freighter Manchang All are held for hostage, were Mrs. Pawley and Charles Corkran. British subjects. months ago.

17. October 19, 1933 The Boston Daily Globe Boston, MA

Article Text

WRITS SERVED ON BIG STOCKHOLDERS Federal National Bank Receiver Seeks To Recover $1,500,000 Writs are being served today the Federal National Bank to ap$1,500,000 stock promissory notes. The step the filing of the actual suits Dec 19. Herbert of the the suits Comptroller of the Currency in Washington as the major drive his campaign force linquent debtors closed institusettle their debts. So the bank in only assessfraction the total against the stock of the bank. Most of this sum, learned this morning, was paid voluntarily by small had been stock in the placed their life savings in Federal National stock are paying off their The list men against whom are being follows: Daniel Theodore M. Logan, former president. John M. Emerson, Brookline. John Deery, Joseph O'Neil, former chairman Philip Baird, Brookline William Mahoney, Winthrop. Thus far suits been filed the State and Federal Courts to reand sums owed on notes. hundred and for than $1000, filed the State Court, while the being fought out in the Federal Courts. In 1932, the Comptroller of the Currency outstanding Federal National rate $20 The ordered paid June 16, 1932. Few of the major stock- holders paid their voluntarily before the prescribed date. DECISIONS DUE SOON ON TWO SALEM TRUST CASES SALEM, Oct decisions expected made soon in two results will bearing upon how much money paid of the closed Salem Trust Company. the defunct bank, through the State Bank Commissionattempting to recover $75,000 the Conibond, covering the bank against loss dishonest of its officers and employes. Trial of the latter opened auditor Charles F. Bickford and be resumed today, and decision The hearings have been held the Superior House, but the of the parties of case will be heard at Mr law second suit the local closed bank is $90,000 and from the Federal National Bank Boston. the case which it alleged Alfons Fischer, treas. urer Salem Trust Company, after hours without authority of the directors for that act, all the collateral rethe commercial department in Boston, where he turned Federal making the same time. The bill alleges knew both banks insolvent at the time only closed. The heard before Federal Jhdge Boswaiting for both sides file briefs on points after which prompt decision is expected.