As a historian, Francis knew better than anyone what would happen next.
Michigan had set an extraordinarily dangerous precedent.
When the government could no longer protect your deposits, the last thing it could do was shut the doors, denying you even one final look at your money.
… On February 24, Maryland’s banks closed.
On February 27, Kentucky and Arkansas fell one after another.
On March 1, Arizona, Oklahoma, Kansas…
The darkened regions on the map marking bank closures spread wider and wider, like ink relentlessly bleeding across absorbent paper.
Newspaper coverage evolved from isolated local crises to regional disasters before finally pointing toward a nationwide financial collapse.
People began converting every asset they owned into cash, no matter the cost, hiding it in their homes or burying it in their backyards.
Credit froze, and commercial activity ground to the brink of a standstill.
The Hoover administration was completely paralyzed, able to do nothing but watch the nation slide toward the abyss.
On March 1, when Francis unfolded the newspaper once again, a shocking headline stretched across the front page.
[Banking Systems in 25 States Shut Down—Financial Armageddon Descends?] Francis knew that history’s pendulum had reached its lowest point.
And the man who could push it back the other way would step onto the stage in just three days.
…
Washington.
Inside the conference room of a temporarily requisitioned federal building, the atmosphere was even heavier than the leaden gray sky outside.
Treasury Secretary William Woodin, Secretary of State Cordell Hull, Interior Secretary Harold Ickes, and the rest of the newly assembled Cabinet sat around the long table like sailors aboard a ship that was already sinking.
At the head of the table sat Franklin Roosevelt in his wheelchair.
The usual warmth and composure had vanished from his face.
His expression was grim.
Everyone present knew that the United States had long been mired in the Great Depression, its economy battered and riddled with wounds.
What no one had anticipated was that the crisis would erupt at the very moment they were about to enter the White House and take the reins of government, catching every one of them completely off guard.
“Gentlemen, just as we’re about to take the wheel of this country, someone replaced the brake fluid with gunpowder…
and then tossed in a lit match.” “Mr.
Hoover is probably packing his bags at the White House right about now.
He gets to leave wearing an ‘I did my best’ expression, while handing us a car that’s already on fire.” “So, can someone please tell me how this damned nationwide financial heart attack managed to spread across the entire country in barely two weeks?!” Treasury Secretary William Woodin visibly flinched.
He knew the question was directed at him and hurriedly replied, “Mr.
President, according to the latest information we’ve received, it all began with the Union Guardian Trust Company in Detroit.” “The company’s assets had deteriorated severely, and it was far too heavily tied to local industry—particularly the automobile sector.
The state government and the Reconstruction Finance Corporation both attempted to organize a rescue, but the most crucial player…
Henry Ford…
refused to provide any form of capital injection or financial guarantee.” “Henry Ford declared, ‘Let the banks fail.
Let liquidation begin.’ His refusal caused the final rescue negotiations to collapse, setting off this entire disaster.” “Henry Ford…” Bang!
Roosevelt’s fist slammed heavily onto the solid mahogany table.
He knew that old man all too well.
An industrial emperor who believed in extreme individualism and Social Darwinism, a stubborn old man who regarded his factories as his absolute kingdom and the government as his greatest enemy.
During the election, he had neither supported Hoover nor openly backed Roosevelt, maintaining an arrogant stance of neutrality that acknowledged no one but himself.
Suppressing his anger, Roosevelt turned his gaze back to William.
“William, do you remember what you promised me back then?” William’s face instantly went pale as he hurried to explain.
“I’m sorry, Mr.
President.
No one could have imagined the crisis would erupt so quickly—not even the financiers on Wall Street…” “No one…” Roosevelt was about to say something else when it felt as though something had struck him squarely in the mind, bringing his thoughts to an abrupt halt.
A forgotten memory gradually resurfaced.
He remembered that a few months earlier, during the victory banquet at the Hyde Park estate, a young man had warned him in person about an impending banking crisis.
He also remembered that the young man had predicted a severe nationwide bank run over the coming months—one that could even bring the entire banking industry to the brink of collapse.
At the time, he had taken the warning seriously.
It had even left him feeling uneasy.
After the banquet, he had specifically sought William out to ask what he thought about it.
But William had told him there was no need to worry.
After all, Wall Street financiers had noses even keener than sharks smelling blood.
If there were any major hidden danger, they would detect it immediately.
Reassured by William’s confidence, Roosevelt had gradually pushed the young man’s warning to the back of his mind and thrown himself into assembling his Cabinet, balancing competing political interests, and preparing for the inauguration.
But now, as he carefully recalled every word that young man had said…
The full-scale banking crisis, its spread across the entire country, even the timing of its outbreak…
Every single prediction had been frighteningly accurate.
“Oh, right…” A flash of realization lit up Roosevelt’s eyes as he suddenly remembered something crucial.
He immediately turned to the aide standing by the door.
“Go bring me the document Francis gave me.” “Yes, Mr.
President!” The Cabinet members exchanged puzzled looks, completely baffled by Roosevelt’s sudden change in demeanor.
Not long afterward, the aide came hurrying back, slightly out of breath, clutching a document tightly in his hand as he quickly walked over to Roosevelt.
Roosevelt immediately reached out, eagerly opened the document, and began reading it line by line.
At first, his expression remained grim.
But as he read on, it gradually began to change.
Surprise.
Then shock.
And by the time he reached the end, he was completely stunned.
The document trembled slightly in his hands, his eyes filled with utter disbelief.
“What’s wrong, Mr.
President?” Unable to contain himself any longer, William finally spoke.
Roosevelt slowly came back to his senses, took a deep breath, and handed him the document.
“See for yourself.” William quickly accepted it and eagerly began reading.
Unlike Roosevelt, however, he showed little surprise after finishing it.
He merely nodded.
“Mr.
President, this is a well-written assessment of the crisis.” —