Commerce Guardian Trust & Savings Bank (Toledo, OH)

Episode Information

Episode UID
56000571579
Episode Type
Run → Suspension → Reopening
Bank Type
trust
Bank ID
5600057 routing
Routing Number
56-0005
Start Date
July 3, 1931
Location
Toledo, Ohio (41.664, -83.555)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
f974b4f66b61d0a8

Response Measures

None

Description

Closed by state banking department Aug 17, 1931; reorganized and successor scheduled to open Dec 15, 1931.

Events (3)
1. July 3, 1931 Run
Cause
Local Banks
Cause Details
Heavy withdrawals following the earlier closing of the Security Home Trust Co. prompted banks to require 60 days' notice.
Measures
Required 60 days' written notice for withdrawals of savings deposits.
Newspaper Excerpt
the Commerce-Guardian Trust and Savings Bank ... announced that no one could get any money from them unless 60 days' written notice were given.
Source
newspapers
2. August 17, 1931 Suspension
Cause
Government Action
Cause Details
Closed by order of the Ohio State Banking Department at request of directors to conserve assets after steady withdrawals; state examiners began liquidation.
Newspaper Excerpt
Four major Toledo banks ... were closed today by orders of the State Banking Department. The institutions were ... the Commerce Guardian Trust & Savings Bank
Source
newspapers
3. December 15, 1931 Reopening
Newspaper Excerpt
Its successor also will open December 15 ... The Commerce-Guardian will be reorganized under a new name, independently of the others. Its successor also will open December 15, and will put 30 per cent of each old deposit in new accounts.
Source
newspapers

Newspaper Articles (11)
1. July 3, 1931 The Producers News Plentywood, MT
Article from The Producers News, July 3, 1931

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Article Text

3RD LARGEST BANK IN TOLEDO CLOSES All Banks Now Ask for Sixty Days' Notice Before Money May Be Withdrawn. Toledo, Ohio.-The third largest bank in this city has closed its doors and three other banks have announced that 60 days' written notice would be required for withdrawals of savings deposits. The Security Home Trust Co., with resources alleged to exceed 36 million dollars, failed to open the doors of its main office and 11 branches, tying up abut $20,000,000 in deposits. Heavy withdrawals from other banks followed, and as a result, the Commerce-Guardian Trust and Savings Bank, the Ohio Savings and Trust Co. announced that no one could get any money from them unless 60 days' written notice were given. The Security Home Trust Co. issued a statement saying that it had closed its doors to conserve the assets and protect stockholders, creditors and depositors. WithS drawals amounting to $7,000,000 in the last few months was said to have been the chief cause for the closing order. The city of Toledo had about $1,500,000 in general revenue and tax funds on deposit in the bank when it closed; the Board of Education had over a million dollars and Lucas county $200,000 on de posit. All these are secured by bonds. Other depositors, mostly workers and small business men d are protected by nothing.

2. August 17, 1931 The Washington Daily News Washington, DC

Article Text

4 Banks in Toledo, 6 in NebraskaSuspend Ohio Banking Department Takes Action Against Institutions With $100,000,000 Resource By United Press TOLEDO, O.-Four major Toledo banks and their 34 branches, with combined resources of more than $100,000,000 and 150,000 acounts, were closed today by orders of the State Banking Department. The institutions were the Ohio Savings Bank & Trust Co., the Commerce Guardian Trust & Savings Bank, the Commercial Savings Bank & Trust Co., and the American Bank. Other banks remained ópen and announced they were prepared to withstand heavy withdrawals. The four closures were precipated (Turn to Page 4)

3. August 17, 1931 The Indianapolis Times Indianapolis, IN
Article from The Indianapolis Times, August 17, 1931

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Article Text

FOUR BANKS IN TOLEDO CLOSED 34 Branches Are Affected; $100,000,000 Resources. By United Press TOLEDO, O., Aug. 17.-Four major Toledo banks and their fourteen branches, with combined resources of more than $100,000,000 and 150,000 acounts, were closed today by orders of the state banking department and directors. The institutions were the Ohio Savings Bank and Trust Company, the Commerce Guardian Trust and Savings bank, the Commercial Savings Bank and Trust Company and the American bank. Other banks remained open and announced they were prepared to withstand heavy withdrawals. The four closures were precipitated by the closing several weeks ago of the Security Home Trust Company, it was said. As notices were posted on the windows of the institutions, every available policeman in the city was ordered on duty, but there was only one instance of disorder. An irate citizen tossed a bottle through the window. of a branch bank. Under a force of sixty men of the state banking department, augmented by six examiners of the federal reserve bank system from Cleveland, the task of liquidating the four suspended banks was immediately begun. As work of liquidation was started, crowds of anxious depositors thronged about the institutions, but there was no disorder. Traffic presented the greatest problem. Other local banks drew a steady stream of depositors, who withdrew their funds and dispersed. Withdrawals were being met promptly.

4. August 17, 1931 Quad-City Times Davenport, IA

Article Text

Four Banks Are Closed Toledo $110,000,000; Police Prepare for Emergency. Toledo, Aug. Toledo banks with combined resources of more than failed to open for business this morning, while 11 savings associations ceased payments of deposits during the present financial situation. In accordance with the request of directors the four institutions, the state banking department prepared to take over their affairs conserve assets in the face of previous steady withdrawals by positors. City police and detectives troled the banking districts in preparation for any public emergency Meanwhile, there was pending meeting between Mayor W. son and Adjutant General Frank Henderson, Columbus, commanding the Ohio National guard. Late Saturday, directors an nounced closing of the Commerce Guardian Trust and Savings bank, the Ohio Savings Bank and Trust company and the Commercial Sav ings Bank Trust company. Expect to Yesterday, in the wake of these came word from directors of the fourth institution, the American bank, state bank, that it would be forced to close its doors also because its reserves were tied up in two of the banks sus pending operations. It was indicated that conferences relative to reorganization may be started within ten days. Six Close in Nebraska. Lincoln, Neb., Aug. Six Nebraska state banks today failed open their doors for business and both Gov. Charles Bryan and E. H. Luikart, secretary of the state department of trade and commerce, said the closings the result of recent bank sus. pensions in Omaha. Killed by Lightning. H. Broman, 35, of Corydon, was killed afternoon by lightning as he got out of his car to examine damage done in minor accident on highway south Roggan. His wife and small child were uninjured.

5. August 17, 1931 St. Albans Daily Messenger St. Albans, VT

Article Text

FOUR BANKS IN TOLEDO CLOSED Eleven Savings Asscciations Cease Payments of Deposits During Financial Crisis TOLEDO, O. Aug. 17-(P)-Four Toledo banks with combined resources of more than $100,000,000 failed to open for business this morning and eleven saving associations ceased payments of deposits during the present financial situation. In accordance with the request of directors of the four institutions, the state banking department prepared to take over their affairs to conserve assets in the face of previous steady withdrawals of depositors City police and detectives, acting under orders of Police Chief Louis Haas, patrolled the banking districts in preparation for any public emergency. Late Saturday, directors announced closing of the Commerce Guardian Trust and Savings Bank, the Ohio Savings Bank and Trust Company and the Commercial Savings Bank and Trust company. Yesterday in the wake of these announcements came word from directors of the fourth institution, the American Bank, a state bank, that it would be forced to close its doors also because its reserves were tied up in two of the banks suspending operations.

6. August 17, 1931 The Evansville Journal Evansville, IN

Article Text

4 TOLEDO BANKS AIL TO OPEN TOLEDO, O., Aug. Toledo banks combined of more than $100,000,000 failed to open for business this morning, while eleven saving associations ceased payments of deposits during the present financial situation In the request of four the state department prepared to take over their affairs to conserve assets the face of previous steady withdrawals by depositors. City police and detectives. acting under orders of Police Chief Louis Haas, patroled the in preparation for any public emer Meanwhile there was pending meeting between Mayor W. son and Adjutant General Frank D Henderson, Columbus, commanding the Ohio national guard. Last night, Mayor conferred with Safety Director A. Black and Col. Golson D. Light commanding 148th infantry. Ohio national More than 100 rural bankers of Ohio who yesterday with State Superintendent of Banks Ira J. Fulton and Charles Saffin, torney for the department, had their assurance of cooperation by state authorities in meeting local Late Saturday, directors announced closing of the Commerce Guardian Trust and Savings Bank, The Ohio Savings Bank Trust company and the Commercial Savings Bank and Trust company. Yesterday, in the wake of these ancame from directors of the fourth institution, the Bank bank, that it would be forced to close also because its tied in two of the banks suspending operations.

7. August 17, 1931 Troy Daily News Troy, OH

Article Text

BRANCHES CLOSE POLICE FORCE NO REPORTED WAS PLANNED Expedite Negotiations Union of Three Institutions, Belief TOLEDO, O., Aug. 17 (United major Toledo banks and their branches failed to open for business Monday morning. Every available policeman in the duty. but there had been disorders reported at Groups people surrounded the doors of the banks where formal tices closing posted. The banks closed The Ohio Savings and Trust the Commerce Guardian Trust and Savings bank, the Commercial Savings Bank and Trust Co., and The American bank. The building and loan societies here simultaneously with the closing the banking stitutions, that they would permit withdrawals until the present situation has cleared. of the branch banks man threw milk bottle through the window after had hurriedly scanned the formal closing the violence The Norris Plan bank and the dustrial bank were unaffected by the situation. The Commerce Guardian and Commercial banks were closed their directorates special meetings which followed weeks of negotiations between the banks in an attempt to merge three institutions. When came apparent these negotiations could be completed before the 60-day notification expiration placed upon following the closing of the Security Home Trust June was to close the three banks. The American bank closed doors because clears through the was the Commercial bank. the believed Closing negotiations between the Ohio. Guardian, and Commercial for merger and these negotiations will be pressed with possible Closing of the three larger bank ordered. was explained by ficers, assets well permit reorganization plans by heavy continue that Tuesday run the 60-day period for withwhen drawing deposits expired. closing of the Security Following Home Trust Co., heavy runs were made all other banks the city and the only wav financial disaster avoided that time was in the ban on withdrawvoking Ira state superintencharge of all dent institutions. recruited four of about 100 men over the staff This corps met Fulton and was assigned the various banks The men will work connection with the regular staffs the closed banks until assets (Continued on Page

8. August 18, 1931 The Spokesman-Review Spokane, WA

Article Text

FIVE BANKS FAIL, TOLEDO IS A-BOIL Merchants Abandon Any Attempt to Succor Ruined Institutions. WILL LEND TO NEEDY Six Nebraska Banks Close Doors -Ohio Loan Groups Clamp On TOLEDO. Ohio, Aug. 17. dustrial and leaders rapidly to aid depositors after four large banks and one small had closed the last 24 hours. The last bank to close was the Point Place State, which opened December 1929, with capital, $5000 surplus and about $80,000 To minimize hardship among an depositors affected by the the five institutions, members of the and Manufacturers' association decided that would aid their unemployed workers with small loans whenever The decided it was imto to raise funds from the to aid concerns It was this would require at least $5,000,000. pension of industry here was not anticipated. Several truckloads of money were rushed from the federal bank at Cleveland to aid the banks The section was crowded all day with depositors and the merewho read the closing notices posted on the doors of the Commerce Guardian Trust and Savings bank, the Ohio Savings Bank and Trust the ings Bank and Trust company and the The four banks combined sources of $100,000,000 and deposits of around $80 Loans Groups Lower Bars. Aug. 17. Twelve and loan of Akron and Cuyahoga Falls today served their depositors with notice of temporary suspensions of withdrawals. The companies involved carry deposits of A. E. Albright secretary of the largest, today said "the step is taken for the purpose is protecting the depositors. There no question of insolvency Six Banks Fail. Neb., Aug. 17. Nebraska state banks failed to open business today. Governor Charles W. Bryan and E. H. Luikart. secretary of the state of trade and said the closings were the result of recent bank suspensions in Omaha. The six banks had total deposits of They were the First State bank of Pleasant the Dwight State bank Dwight, the Brainard State bank Brainard, the Bruno State bank the Butler County bank of Davis City and the Leigh State bank of Leigh. One-third the population of the United States. persons, are transported on street cars every year.

9. August 21, 1931 The Producers News Plentywood, MT
Article from The Producers News, August 21, 1931

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Article Text

FINANCIAL STRUCTURE OF THE NATION IS TOTTERING Toledo, Aug. 17.- The state banking department and directors today (Monday) closed four large Toledo banks with 34 branches, 150,000 accounts and combined resources of more than $100,000,000 as the second cycle of bank failures moves westward. They are the Ohio Savings Bank and Trust Company, the Commerce Guardian Trust and Savings bank, the Commercial Savings and Trust company and the American bank. The closing several weeks ago of the Security Home Trust company caused today's action, it was said. Sixty men from the state banking department and six federal reserve examiners from Cleveland immediately began the task of liquidating the assets of the suspended institution. Eleven large savings banks suspended payments upon demand and took advantage of the 30 day notice clause for withdrawals. Other Toledo banks met heavy withdrawals, and announced they were prepared for still more. The building and loan companies notified depositors that no withdrawals would be permitted until the situation was adjusted.

10. September 18, 1931 The Cincinnati Post Cincinnati, OH

Article Text

CAREY BANK CLOSED Suspension of Toledo CommerceGuardian Affects Villege Depository By Post State CAREY O., 18.-The First National Bank failed bank, member the FedReserve and rated bank,' closed by the directors, said, due the recent closCommerce-Guardian Bank in Toledo.

11. November 23, 1931 Evening Star Washington, DC
Article from Evening Star, November 23, 1931

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Article Text

PROSPERITY PLAN WORKS IN TOLEDO Set-up Devised to Make Good All Deposits in Four Big Banks Which Closed. By the Associated Press. TOLEDO, Ohio, November 23.-Without waiting for a return of Nation-wide prosperity to give it a helping boost, this city, hard hit by a series of large bank failures, is pulling itself out of the mire "by its boot-straps." Although approximately $100,000,000 was tied up in the four big banks which closed several months ago, Toledo has kept the wheels of commerce running steadily, and 'now at last things are getting better. Factories are working faster and longer, retail trade is picking up, people on the streets are smiling again, and best of all-the closed banks are expecting to pay a hundred cents on the dollar. The initial dividends of 15 to 30 per cent are scheduled to be paid December 15. Ingenious Scheme Devised. The four large banks which closed, and their approximate deposits, were: Ohio Savings & Trust Co., $36,000,000; Commercial Savings Bank & Trust Co., $17,000,000; Security-Home Trust Co., $20,000,000, and the Commerce-Guardian Trust & Savings Bank, $18,000,000. An ingenious scheme was devised to cope with the problems of these closed institutions. Instead of selling their assets at "distress-sale" prices, special financial machinery is being set up to give the depositors all the ready cash possible, yet save them from the losses of a hasty liquidation. Under the salvaging plan, approved by the State banking department, a new bank and three holding companies are being organized to take over the Ohio, the Commercial and the Security-Home, December 15. Fourth to Be Reorganized. All available cash and prime securities are to be transferred that day to the new bank and credited pro-rata to the old despositors. The initial credit from the old banks will average 20 per cent. The rest of the assets will be deposited separately with the holding companies. The new bank is to be capitalized at not less than $2,500,000, of which half is to come voluntarily from the depositors themselves. The fourth bank, the Commerce-Guardian, will be reorganized under a new name, independently of the others. Its successor also will open December 15, and will put 30 per cent of each old deposit in new accounts.