gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
a3308a404d5152dc
Response Measures
None
Description
Suspension followed collapse of affiliated private bankers (Knapp Bros.); state banking department took control and liquidated the trust.
Events (2)
1.April 9, 1909Receivership
Newspaper Excerpt
Chief Examiner M W. Hutchins took charge of the company.
Source
newspapers
2.April 9, 1909Suspension
Cause
Local Banks
Cause Details
Suspension resulted from prospective suspension/failure of affiliated private bankers Knapp Brothers in Deposit and Callicoon, in which the trust was heavily interested.
Newspaper Excerpt
The Binghamton Trust Company...suspended today. In a statement President Charles J. Knapp...said the suspension followed a meeting of the board of directors...to place the institution in the hands of the State banking department. Chief Examiner M W. Hutchins took charge of the company.
Source
newspapers
Newspaper Articles (21)
1.April 9, 1909The Newark Star and Newark AdvertiserNewark, NJ
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BINGHAMTON TRUST co. AND KNAPP BROS. SUSPEND. BINGHAMTON, N. Y., April 9.-The Binghamton Trust Company, capitalized at $300,000, and Knapp Brothers, private bañkers, having offices in Deposit and Callicoon, N. Y., suspended today. In a statement President Charles J. Knapp, of the trust company, said that the suspension followed a meeting of the board of directors last night, at which it was decided to place t he institution in the hands of the State banking department. Chief Examiner M W. Hutchins took charge of the company.
2.April 9, 1909The Topeka State JournalTopeka, KS
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TRUST CO. SUSPENDS. Binghampton Concern Capitalized at $300,000 Quits Business, Binghamton, N. Y., April 9.-The Binghamton Trust company, capitalized at $300,000, and Knapp Brothers, private bankers, having offices in Deposit and Callicoon, N. Y., suspended today. In a statement President Charles J. Knapp, of the Binghamton Trust company, said the suspension of the Binghamton company followed a meeting of the board of directors at which time it was decided to place the institution in the hands of the state banking department. Chief Examiner M. W. Hutchins took charge of the trust company. Mr. Knapp said this action was due to the prospective suspension of business by the firm of Knapp Brothers in Deposit and Callicoon in which Mr. Knapp is heavily interested.
3.April 10, 1909The Ocala Evening StarOcala, FL
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BINGHAMTON BANKS BREAK Binghampton, N. Y., April 10.-The Binghamton Trust Company, a concern capitalized at $300,000, and Knapp Bros., private bankers, suspended here yesterday morning.
4.April 10, 1909Omaha Daily BeeOmaha, NE
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TRUST COMPANY SUSPENDS Binghamton oncern Places Itself in Hands of the State Department. BINGHAMTON, N. Y., April 9.-The Binghamton Trust company, capitalized at $300,000, and Knapp Bros., private bankers having offices in Deposit and Callicoon, N. Y., suspended today. In a statement President Charles J. Knapp of the Binghamton Trust company said the suspension of the Binghamton company followed a meeting of the board of directors, at which time it was decided to place the institution in the hands
5.April 10, 1909Los Angeles HeraldLos Angeles, CA
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BANK SUSPENDS; TRUST COMPANY CLOSES DOORS Member of Knapp Bros., President of Institution at Binghamton, Explains Action BINGHAMTON, N. Y., April 9.-The Binghamton Trust company, capitalized at $300,000, and Knapp Bros., private bankers, having offices in Deposit and Callicoon, N. Y., suspended today. Chief Examiner M. W. Hutchins took charge of the trust company. President C. J. Knapp of the Binghamton Trust company said this action was due to the prospective suspension of business by the firm of Knapp Bros. in Deposit and Callicoon, in which Mr. Knapp is heavily interested.
6.April 10, 1909The Salt Lake HeraldSalt Lake City, UT
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TWO SMALL FAILURES. Binghamton, N. Y., April 9.-The Binghamton Trust company, capitalized at $300,000. and Knapp Brothers. private bankers, having offices in Deposit and Callicoon, N. Y., suspended today. Chief Examiner M, W. Hutchins took charge of the trust company. President C. J. Knapp of the Binghamton Trust company said this action was due to the prospective suspension of business by the firm of Knapp Brothers in Deposit and Callicoon, in which Mr. Knapp is heavily interested.
7.April 15, 1909The Manitowoc PilotManitowoc, WI
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Trust Company Suspends. BINGHAMTON, N. Y., April 9.-The Binghamton Trust company, capitalized at $300,000, and Knapp Bros., private bankers, having offices in Deposit and Callicoon, N. Y., suspended today.
8.April 16, 1909The Black Hills Union and Western Stock ReviewRapid City, SD
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Failure at Binghamton. Binghamton, N. D., April 9.-The Binghamton Trust Company, capitalized for $300,000, and Knapp Bros., private bankers, with offices and deposits in Calicoon, N. Y., suspended business this morning. Charles J. Knapp, a member of the banking firm, was president of the trust company.
9.June 6, 1909New-York TribuneNew York, NY
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C. P. KNAPP ARRESTED. Charged with Accepting Deposit After Bank Was Insolvent. Binghamton. N. Y., June 5.-Charles P. Knapp, president of the Outing Publishing Company, which is now in the hands of receivers, owner of Knapp's Millionaire Band and in charge of the defunct bank of Knapp Brothers in Deposit. N. Y.. was arrested in Deposit this morning on the complaint of Edith Crowley, of Deposit. on a charge of accepting a deposit of $50 after he knew the institution was insolvent. He waived examination and was held to answer to the grand jury by Enós Jester. justice of the peace. He was released under $2,000 bail. The arrest of Mr. Knapp is the first criminal proceeding resulting from the failure on April 9 of the Binghamton Trust Company and Knapp Brothers. private bankers, having institutions in Deposit and Callicoon, and the Outing Publishing Company. The failure of the private banks of Knapp Brothers is said to have been due to overloans to the Outing Publishing Company, and the failure of the Binghamton Trust Company is supposed to have resulted from the elesing of the Knapp private banks, in which it was financially interested to a more or less extent.
10.August 31, 1909The Topeka State JournalTopeka, KS
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GOOD FOR CREDITORS. First Demonstration of New York's New Banking Law. New York, Aug. 31.-The first demonstration of the saving to creditors of embarrassed banking institutions under the law passed by the state legislature this year, which substitutes the state banking department for receivers appointed by courts, is given in the case of the Binghamton Trust company, which became involved about five months ago. In announcing today the readiness to pay 50 per cent of approved claims against the trust company, Clark Williams, state superintendent of banking, says: "At the time the banking department took control the Binghamton Trust company owed to its depositors and correspondents $3,190,585. The balance remaining unclaimed August 25, was $28,603. During the same time the department has collected from the assets of the company $1,560,318. This work has been done at a total expense including receivers, of $10,626."
11.September 1, 1909The Montgomery AdvertiserMontgomery, AL
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CREDITORS' MONEY SAVED BY NEW YORK'S SYSTEM New York, Aug. 31.-The first demonstration of the saving to creditors of embarrassed banking institutions under the law passed by the State Legislature this year, which substitutes the State Banking Department for receivers, appoined by courts, is given in the case of the Binghamton Trust Company, which became involved about five months ago. In announcing today readiness to pay 50 per cent of approved claims against the trust company, Clark Williams, State Superintendent of Banking, says: "At the time the Banking Department took control the Binghamton Trust Company owed to its depositors and correspondents $3,190,585. The balance remaining unclaimed August 25 was $28,603. During the same time the Department has collected from the assets of the company $1,560,318. This work has been done at a total expense, including receivers, of $10,626." Superintendent Williams quotes from a report to the Legislature in 1902 the statement that the cost (receivers, attorneys and referees' fees and expenses) of liquidating insolvent banking and insurance companies for a period oc ten years, covering seventy cases, had been from 20 per cent to 30 per cent of the receipts, some of them running as high as 80 per cent or 90 per cent.
12.September 1, 1909Los Angeles HeraldLos Angeles, CA
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NEW YORK PLAN SEEMS TO BEAT RECEIVER GAME Reports from Handling of Binghamton Trust Company Show Figures That Are Unusual NEW YORK, Aug. 31.-The first demonstration of the saving to creditors of embarrassed banks under the law passed by the legislature this year, which substitutes the state banking department for receivers appointed by courts, is given in the case of the Binghamton Trust company, which became involved about five months ago. In announcing today readiness to pay 50 per cent of approved claims against the trust company Clark Williams, state superintendent of banking, says: "At the time the banking department took control the Binghamton Trust company owed its depositors and correspondents $3,190,358. The balance remaining unclaimed August 25 was $28,603. "During the same time the department has collected from the assets of the company $1,560,318. This work has been done at a total expense, including receivers, of $10,626."
13.October 23, 1909The San Mateo ItemSan Mateo, FL
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Passing of Costly Receiverships. In the liquidation of the Binghamton Trust Company, Clark Williams, superintendent of banks, has again demonstrated that the big fees formerly paid to receivers for failed banks were unjustified. This band has paid an initial dividend of 50 per cent. to the depositers. This disbursement comes barely five months after the doors were closed. The amount paid out was over $1,500,000. Under the old system of court receiverships, such rapid settlement of claims would have been unheard of So would such a thing as an expense to the depositors, including the receiver's salary of $10,626.11, which was less than 1 per cent. upon the total amount disbursed. The success of Clark Williams's plan is attracting the attention of the legislatures of other states. The people of New York owe a great debt of gratitude to their conscientious superintendent of banking for this reform.-New York Financial World.
14.November 3, 1909Manchester DemocratManchester, IA
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# Passing of Costly Receiverships
In the liquidation of the Binghamton Trust Company, Clark Williams, superintendent of banks, has again demonstrated that the big fees formerly paid to receivers for failed banks were unjustified.
This band has paid an initial dividend of 50 per cent. to the depositors. This disbursement comes barely five months after the doors were closed. The amount paid out was over $1,500,000.
Under the old system of court receiverships, such rapid settlement of claims would have been unheard of. So would such a thing as an expense to the depositors, including the receiver's salary of $10,626.11, which was less than 1 per cent upon the total amount disbursed.
The success of Clark Williams's plan is attracting the attention of the legislatures of other states. The people of New York owe a great debt of gratitude to their conscientious superintendent of banking for this reform.—New York Financial World.
15.January 14, 1910New-York TribuneNew York, NY
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A PARALLEL. The State Superintendent of Banking refers in his annual report to the liquidation by his department of two institutions, the Lafayette Trust Company, of Brooklyn, and the Binghamton Trust Company, of Binghamton. In the former case the cost of liquidation was about 1 per cent of the assets, and in the latter about two-thirds of 1 per cent. Under the old system of receivers appointed by the courts the cost of liquidation often amounted to 20 or 30 per cent of the assets. The old receivers of banks and trust companies were twin brothers of the condemnation commissioners still appointed by the courts. They were largely recruited from the same class of political hangers-on. They often owed their places to "pull." Like the condemnation commissioners, they looked upon their appointments as their opportunity, and they made the most of them. Dispatch and economy were not the object; indeed dispatch and economy would have seemed like flying in the face of a beneAcent providence. Courts used more or less often to cut the allowances to receivers and scold them for the results they achieved, but the system survived with its evils un-
16.April 6, 1910New-York TribuneNew York, NY
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at 6 per cent interest, without commission. This credit, it is understood, has been repaid.
Whether or not the bank will be reopened it is still too early to predict. Some of the larger interests, it is understood, are desirous of putting more money into it, but other important interests are said to consider that policy inadvisable. The wishes of the body of the stockholders have yet to be ascertained, and if they are willing to submit to a considerable assessment the institution may be reopened. Another possibility is that some other bank may make an offer for the Union and take it over.
The Union Bank will benefit by having its affairs placed in the hands of the State Superintendent of Banks instead of a receiver. The first case of the sort was that of the Home Bank of Brooklyn, a small institution, which was reopened for business on June 4, 1908, after having been in charge of the Banking Department for forty-two days, at a total cost of only $1,200. Under the new system, it was said at the time, the cost of liquidating the Williamsburg Trust Company would have been not more than $4,200, compared with the $40,000 allowed the receivers and their counsel, which fee did not include the cost of administering the trust.
The report of Superintendent Cheney last month noted that the creditors of the Lafayette Trust Company up to date had received 30 per cent and those of the Binghamton Trust Company 50 per cent, the costs of liquidation having been, respectively, 1 per cent and two-thirds of 1 per cent.
17.June 24, 1910Newark Evening Star and Newark AdvertiserNewark, NJ
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BANKER KNAPP GETS TWO YEARS IN AUBURN. BINGHAMTON, N. Y., June 24 Charles P. Knapp, one of the firm of Knapp Brothers, private bankers, of Deposit, N. Y., which failed over a year ago, at the time the Binghamton Trust Company's doors were closed, was today convicted of receiving a deposit in his bank on the day before It closed, knowing at the time that the bank was insolvent. He was sentenced to Auburn prison for not less than fifteen months nor more than two years. The failure of Knapp Brothers was due to excessive and unsecured loans to the Outing Magazine's publishers, and it was the crash of the banking firm that caused the suspension and subsequent liquidation of the Binghamton Trust Company. Charles Knapp, an uncle of the man just convicted, and a member of Knapp Brothers, as well as president of the Binghamton Trust Company, is indicted on a similar charge, and his trial also is scheduled to be held in Otsego county.
18.June 25, 1910New-York TribuneNew York, NY
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C. P. KNAPP CONVICTED Guilty of Receiving Deposit Knowing Bank Was Insolvent. Binghamton, N. Y., June 24.-Charles P. Knapp, one of the firm of Knapp Brothers, private bankers of Deposit, N. Y., which failed over a year ago, when the Binghamton Trust Company's doors were also closed, was to-day convicted of receiving a deposit in his bank on the day before it closed, knowing at the time that the bank was insolvent. The indictment was found in Broome County, but because of alleged adverse sentiment in this county the trial was held in Otsego County. before Justice Henry B. Coman. It has been in progress since June 13, the jury retiring late yesterday afternoon and reporting at the opening of court this morning. Knapp was immedilately sentenced to Auburn prison for not less than fifteen months nor more than two years. The failure of Knapp Brothers was due to excessive and unsecured loans to the "Outing" publishers, and it was the crash of the banking firm that caused the suspension and subsequent liquidation of the Binghamton Trust Company. Charles J. Knapp, an uncle of the man just convicted and a member of Knapp Brothers, as well as president of the Binghamton Trust Company. is indicted on a similar charge, and his trial is also scheduled to be held in Otsego County.
19.June 25, 1910The Barre Daily TimesBarre, VT
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BANKER SENT TO PRISON. Knapp of New York Received Deposit When He Knew Institution Insolvent. Binghamton, N. Y., June 25.-Charles P. Knapp, one of the firm of Knapp Bros., private bankers of deposit, New York, which failed over a year ago, at the time. the Binghamton Trust company's doors were also closed, was yesterday convicted of receiving a deposit in his bank on the day before it closed, knowing at the time that the bank was msolvent. Knapp was immediately sentenced to Auburn prison for not less than fifteen months nor more than two years. The failure of Knapp Bros. was due to excessive and unsecured loans to the Outing magazine publishers, and it was the crash of the banking firm that caused the suspension and subsequent liquidation of the Binghamton Trust company.
20.August 27, 1910The St. Mary BannerFranklin, LA
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Passing of Costly Receiverships.
In the liquidation of the Binghamton Trust Company, Clark Williams, superintendent of banks, has again demonstrated that the big fees formerly paid to receivers for failed banks were unjustified.
This band has paid an initial dividend of 50 per cent. to the depositors. This disbursement comes barely five months after the doors were closed. The amount paid out was over $1,500,000.
Under the old system of court receiverships, such rapid settlement of claims would have been unheard of. So would such a thing as an expense to the depositors, including the receiver's salary of $10,626.11, which was less than 1 per cent. upon the total amount disbursed.
The success of Clark Williams's plan is attracting the attention of the legislatures of other states. The people of New York owe a great debt of gratitude to their conscientious superintendent of banking for this reform.—New York Financial World
21.November 26, 1910The SunNew York, NY
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CHAS. J. KNAPP ACQUITTED. Court Directs a Verdiet of Not Gallty in Insolvent Bank Case. BINGHAMTON Nov 25 Supreme Court Justice Gladding this afternoon directed a verdict of not guilty in the case of Charies J. Knapp of this city, formerly president of the Binghamton Trust Company. who was on trial at Cooperstown. Otsego county. on an indictment found in Broome county charging him with having criminally received depositsin Knapp Bros.' private bank at Deposit. knowing it to be insolvent The insolveney of the private bank in April, 1909. caused the suspension of the trust company. The motion that the Court direct the verdiet was granted before any evidence had been offered by the defence on the ground that evidence offered by the prosecution was insufficient to convict.
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