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Bank of Greenfield Closed on Saturday Overdraft of $20,000 by Stock Man Discovered by State Examiner Caused der to Close. The Bank of Greenfield was closed last Saturday morning order of State Finance Commissioner Cantley, the state banking department taking charge of the institution. The closing was due to irregularities in the of management the bank, an examination of the books by state bank examiner week before having disclosed an overdraft of some by Alec Jordan of Arcola, livestock buyer, without sufficient protection by collateral to protect the institution. This shortage was considered sufficient to impair capital of the bank. The matter was referred to the board of directors. who appeared to have had no previous information of the overdraft, and several of the board went to Jefferson City last week and tried to arrange with the department to be allowed to keep the bank open, but during their absence an error in the livery of a telegram, from the state banking department to the president of the bank, caused the shaky condition of the institution to become generally known and started run on the bank, the withdrawals Friday bringthe cash reserve below the danger line, when the directors that further efforts would only lessen the chance of all the depositors being paid, and turned the bank to the state, Examiner W. Richards is now making an inventory of the assets and liabilities of the bank, with the assistance of Assistant Cashier Owens and stenographer. will be completed in few days, and if no move is made bv the directors for reorganizing the bank within ten days after its closing, liqwill be named to collect and other accounts due the ban pay outstanding counts gainst institution and surplus the over to depositor rata from time to time as funds accumulate. There is but little talk among local of and if this is not done the in liquidation is likely to be long drawn out affair, though it would that in the seem the depositors should receive all their money unless other bad loans discovered bv the inventory, is reported that steps have been taken by the interested parties to replace the amount of the Jordan overdraft. 15th, showed the condition: Loans, $18,cash on hand and from due other banks and bankers, $40,744: capital. total deposits. total resources, John Painter of Polk town president of the bank, and Edwin Harrison cashier. The shares of stock are scattered in all parts of the county, no held by any person. The Bank of Greenfield was in 1924 to take over the of the County ing which closed that year.
