10126. Farmers & Merchants Bank (Centralia, MO)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
April 1, 1932*
Location
Centralia, Missouri (39.210, -92.138)

Metadata

Model
gpt-5-mini
Short Digest
2c6c73e0

Response Measures

None

Description

Articles (Apr 1932) describe the Farmers & Merchants Bank of Centralia as failing/defunct and refer to measures (purchase of notes) taken to strengthen the bank and protect deposits. The cashier (Settle) is on trial for embezzlement; prosecution argues the bank failed and was in liquidation. There is no explicit description of a depositor run in the texts, only preparations against a possible run and references to failure/defunct status, so I classify this as a suspension leading to closure (suspension_closure).

Events (2)
1. April 1, 1932* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Alleged embezzlement by cashier (Settle) and insolvency; directors and others purchased notes to strengthen bank and protect deposits amid impending failure.
Newspaper Excerpt
the impending failure the Bank ... to protect the Farmers Merchants Bank; failure of the Farmers and Merchants
Source
newspapers
2. April 27, 1932 Other
Newspaper Excerpt
Cashier Takes Stand in Own Behalf as Trial Goes On ... charged with embezzling from funds city Centralia ... Settle testified ... authorized offer his personal notes to protect Centralia deposits in event of run on the bank.
Source
newspapers

Newspaper Articles (4)
1. April 21, 1932 The Centralia Courier Centralia, MO
Article from The Centralia Courier, April 21, 1932

Click image to open full size in new tab

Article Text

ELBERT Mrs. Quarles Must File Claim With Banking Commissioner Pleading guilty murder in the second degree, Elbert Gray, Negro. imprisonment April 15th session Boone County Circuit Court. Gray charged the murder wife, Viola Gray, quarrel over money January. Mrs. Gray's body found Jan. Negro boys in the Berkebile farm after she missing two Dr. Neal testified the had stranglation, body had decomposed that positive effect could not obtained deputy sheriff, testified that Gray had mitted under questioning he strangled hiding trunk driving Berkebile farm throwing the body in the Judge Collier heard the argument demurrer entered defendant the Mrs Quarles against defunct Farmers' Bank Centralia force plaintiff claim the banking comJefferson bringing Circuit Court. sustained The the state against Marvin Colvin, set trial Circuit Court Monday, clared mistrial Judge Collier after he discovered that himself interested party the case. Colvin charged with the larceny Nowell Wholesale Grocery Co. in During the selection the jury the judge realized that he held some stock in company was forced disqualify himself The reset May another judge called. Grover Farrar, originally charged impersonating fined court after pleading guilty the amended information hunting without

2. April 21, 1932 Columbia Herald-Statesman Columbia, MO
Article from Columbia Herald-Statesman, April 21, 1932

Click image to open full size in new tab

Article Text

TERM ELBERT GRAY Mrs. O. L. Quarles Must File Claim With Bank- Pleading guilty to murder the second degree, Gray, Negro. sentenced imprisonment April session of Boone County Court. Gray charged the murder of wife, Viola Gray, quarrel over money January. Gray's body was found Negro on the Berkebile farm she had two Dr. testified at the quest Mrs. had died that the that evidence effect not obtained deputy sheriff, that Gray had mitted strangled his wife, hiding the trunk for one day and the throwing the Judge Collier also heard the entered the defendant of Quarles against defunct Farmers' Bank Centralia force plaintiff file the the banking comCity before bringing suit Circuit Court. The the state against Marvin Colvin, trial in the Circuit Court last Monday, clared mistrial Judge Collier after discovered that he himself was an interested party in the case. Colvin charged with the burglarceny the Nowell Wholesale Grocery Co. in Columbia. During the selection of the jury the judge realized that held stock this and was forced disqualify himself case reset May another judge called. Grover originally charged impersonating fined $50 the court after pleading guilty the amended information hunting without license.

3. April 27, 1932 Columbia Missourian Columbia, MO
Article from Columbia Missourian, April 27, 1932

Click image to open full size in new tab

Article Text

RECEIVED MONEY IN DEAL Cashier Takes Stand in Own Behalf as Trial Goes On SAYS ACTION AUTHORIZED Directors Advised Notes to Protect Deposits in Failing Bank Settle today took the witstand his own defense his trial into third day the circuit court. Settle being retried charge of embezzling from funds city Centralia March Settle, said that he has been working restaurant since last November, testified committee three the Farmers and Bank Centralia, which Settle cashier, offer personal notes deposits city of done public funds in the event of on the The plan was followed the the fund, Settle was the school district fund. which Adams the notes accepted order protect the Farmers Merchants Bank. Setsaid. The brought out that impending failure the Bank made necessary place the Farmers Merchants Bank in stronger Settle testified in regard to every mentioned that not receive any money from any the transactions. Under Settle said that the notes which were transferred the accounts of the Hallsville district. the Centraschool city were divided two groups, notes road district the for the separate When proseattorney notes grouped that four the amount the check that intent that those four credit the account. Reagan Settle cerning his reports treasurer the board of alderman the These subsepurchase the notes bank. showed $14,585.92 cash, while the deposit record bank showed only $1431. Settle explained being amount owed item treasurer the and the actual amount currency hand. He said that he had never the aldermen of the purchase notes. Adams. assistant cashier closed testified yesterday saying that the purpose was put the the stronger to withof Greendeputy of prothe who held the stand hours yesterday. brought that the transfer notes from the the appeared in the bank's records. Joe Green, Hamilton, and all members the board Centralia, testified yesterday that know the purchase notes the account the failure of the Farmers and Merchants The objection the attorneys defense the transactions connected with funds of Centralia school later March which prove funds sustained Judge yesterday stated the objection had been overruled.

4. April 28, 1932 Sturgeon Missouri Leader Sturgeon, MO
Article from Sturgeon Missouri Leader, April 28, 1932

Click image to open full size in new tab

Article Text

ON TRIAL SETTLE, CIRCUIT COURT, DEFENDS HIMSELF Cashier His Former Says Actions Authorized by Directors RECEIVING W. Adams Backs Story of Using Notes Only to Strengthen Bank The Settle's case went to the o'clock afternoon, closing pleas had Prosecuting Attorney Franklin counsel the defense. Settle, charged the the bezzlement funds the of Centralia, stand his own defense the witness the third the Boone Court the County Settle testified that directors Farmers three Merchants Centralia, Settle had which authorized offer his personal deposits of notes protect Centralia action the city funds was taken protect event run on the bank, plan was followed The same the road fund. which Settle was treasurer and school fund. which Adams notes accepted order to protect the and Settle The out the impending had made the Merchants Bank in stronger posi- Received No Money Settle testified regard every in the that he receive money from any not the transactions Settle Under the notes which transthe of the Hallsferred and the city were divided into two notes which were held groups, road district being the for the school district the held together, separate them. Franklin atlist of interest totaled exthe the the he denied there any intent that to place notes to the credit of the four Settle concernof the his reports. the board of alderman the city. These the purchase notes question showed while the record Settle only the being the amount by him city the hand. He said that he had the Sought Sustain cashier of closed testified Tuesday saying that the the the bank condition to withstand stronger Greenlee. deputy charge liquidation proceedthe held the ings stand for Tuesday brought the that the transfer the notes from the the appeared the bank's records. Dawson, Joe Green, Hamilton, the board Fountain, aldermen of testified Tuesday that did not purchase of the for the account after the the Farmers and Merchants Attempts at Validating Evidence An the notes Settle Settle, and Settle, totaled exactly Settle the embezzling the charged funds the the the prosecution the Circuit Court in Columbia Tuesmorning Franklin Reagan, prosecuting and attorneys Settle, engaged battle during which excluded from the jury evidence transactions connected school funds of the Centralia school district. Through the evidence of finance in charge liquidation of the Farmers Bank Centralia, the state was attempting that Settle, cashier, prove used assets which from the bank, along with funds, settling $8394.37 the school fund. Reagan introduce what he said were promisSettle sory records deposits the credit school fund. these amounts exactly equaled this indebtedness. The Defense Objects Attorneys defense objected this pointing out that first note for $3000 which the the intended introducing was dated 29. 1930. while the date of the April (Continued on Page Two)