10393. Farmers Trust Company (King City, MO)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
trust company
Start Date
May 1, 1927*
Location
King City, Missouri (40.051, -94.524)

Metadata

Model
gpt-5-mini
Short Digest
0dd8a5e7

Response Measures

Full suspension

Other: Directors closed the bank and wired the state finance commissioner; later placed in liquidation and distributions made to depositors.

Description

Articles (June 1–3, 1927) report a slow run on the Farmers Trust Co. preceded by disappearance of president Jacob Levy and a director (Ernest Hammack). Directors closed the bank (end of May/May 31, 1927) to avoid a heavier withdrawal. Later (Dec 1927) liquidation/distribution proceedings are reported, indicating permanent closure. OCR errors in some articles (e.g., dates truncated) corrected; inferred closure date late May 1927 from contemporaneous coverage (newspapers dated June 1 say 'closed yesterday').

Events (3)

1. May 1, 1927* Run
Cause
Bank Specific Adverse Info
Cause Details
A slow run developed after disappearance of a large stockholder/director (Ernest Hammack) and worries about his indebtedness; depositors' withdrawals escalated over weeks.
Measures
Directors later closed the bank to prevent heavier withdrawals; state finance commissioner was notified.
Newspaper Excerpt
Officials said today there has been a slow run on the bank for several weeks
Source
newspapers
2. May 31, 1927 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank closed by board of directors immediately after president Jacob Levy disappeared, to avoid panic withdrawals tied to the prior run and rumors about Hammack's indebtedness.
Newspaper Excerpt
The trust company was closed after Levy left because officials feared, in the face of the previous run, heavy withdrawals would result
Source
newspapers
3. December 8, 1927 Receivership
Newspaper Excerpt
Farmers Trust Company, Closed When Its President Disappeared Last May, Has Enough for Distribution... attorney in the liquidation of the Farmers Trust Company... filed petition ... for an order to pay to the depositors the institution. The shows that Mr. Potter has collected with expense count of liquidating to date ... 40 per cent or more will be ordered paid to the depositors by the court in December and also gives It as his opinion all will be paid. The Trust Company closed its doors May ... was run on the trust company before he left.
Source
newspapers

Newspaper Articles (16)

Article from Jefferson City Post-Tribune, June 1, 1927

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NO TRACE OF KING CITY BANK HEAD WHO DISAPPEARED Jacob Levy of Farmers Trust Co., Closed Yesterday, Said He Was Going On Vacation. ST. JOSEPH. Mo., June 1.-(AP) -No trace has been found of Jacob Levy. president of the Farmers Trust company at King City, Mo., who left his home Saturday, causing indirectly the closing of the institution yesterday. Officials said today there has been a slow run on the bank for several weeks and that Levy worried much over it. He left a note to another offier of the bank saying he was going on a vacation and did not know when he would return. He took nothing from the bank except a revolver, but he did dispose of other holdings he had in King City. The trust company was closed after Levy left because officials feared. in the face of the previous run, heavy withdrawals would result if it were known the bank president had gone. Levy is sixty years old and a widower. His bank colleagues believe he left town rather than face what he considered the disgrace of being president of a bank that fail-


Article from Carthage Evening Press, June 1, 1927

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BANK HAS BEEN CLOSED Run on Institution Was Feared As Result of Disappearance of Vice President (By the Associated Press) St. Joseph, June trace has been found of Jacob Levy, vice president of the Farmers Trust Co., at King City, Mo., who left his home Saturday, causing indirectly the closing of the institution yesterday. Officials said today there has been a slow run on the bank for several weeks and that Levy worried much over it. He left a note to another officer of the bank saying he was going on vacation and did not know when he would return. He took nothing from the bank except a revolver but he did dispose of other holdings in King City. The Trust company closed after Levy left because officials feared in the face of the previous run that heavy withdrawals would result if it were known that the bank president had gone. Levy is 60 years old and a widower, His bank colleagues believe he left town rather than face what he considered the disgrace of being president of a bank that failed. free." "The gates of America are wide open to industry," he said "and it is up to each individual person to decide definitely what course he will follow and the importance of it is that he keep in that path. "Religion, morality and knowledge are the essential ideals of a true American. Will you, as citizens of America, with mentality and ability to progress, uphold these ideals or will you tear them down for the socalled socialism being practiced by many today? "Loyalty to the constitution of the United States and the enforcement of its laws, should be observed by every true American citizen." Mr. Hyde complimented the class members for having had the opportunity to complete their work in such a college as Ozark Wesleyan, which he stated sets forth a vision and an ideal for religion, morality and knowledge. The Rev. J. C. Gilbreath of Sedalia, member of the board of trustees of Ozark Wesleyan, read group of resolutions passed and adopted during the session of the board yesterday, written in appreciation of the work accomplished during the last year and praising those who were instrumental in bringing about Ozark Wesleyan success. Dean Reser Presents Classes The graduates in the two departments of the college receiving diplomas were presented by Dean L. Reser. The 17 academic graduates, wearing gray caps and gowns took their places on the platform first. The 54 college students followed, in black caps and gowns. This group included students receiving diplomas in the departments science, education and fine arts. Teachers' certificates were also awarded at this time. The diplomas were presented by President King, who spoke to the students, urging that they not drop their education and college life now that they had completed the junior college work, but that they return to Ozark Wesleyan next year for the other two years' work. The Rev. Gilbreath of Sedalia, (Continued on page 6, column 8)


Article from The Chillicothe Constitution-Tribune, June 1, 1927

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Find No Trace of Levy, King City Bank (By THE ASSOCIATED St. Joseph, June trace has been found of Jacob Levy, dent of the Farmers Trust Company King City, Mo., who left his home Saturday, causing indirectly the closing of the institution yesterday. Officials said today there has been slow run the bank for several weeks and that worried much over it. He left to another official of the bank on vacation aid


Article from Jefferson City Tribune-Post, June 1, 1927

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TRACE OF KING CITY BANK HEAD WHO DISAPPEARED Jacob Levy of Farmers Trust Co., Closed Yesterday, Said He Was Going On Vacation. ST. JOSEPH, Mo., June 1.-(AP) No trace has been found of Jacob Levy, president of the Farmers Trust company at King City, Mo., who left his home Saturday, causing Indirectly the closing of the institution yesterday. Officials said today there has been a slow run on the bank for several weeks and that Levy worried much over it. He left a note to another offier of the bank saying he was going on a vacation and did not know when he would return. He took nothing from the bank except a revolver, but he did dispose of other holdings he had in King City. The trust company was closed nfter Levy left because officials feared. in the face of the previous run, heavy withdrawals would result if it were known the bank president had gone. Levy is sixty years old and n widower. His bank colleagues believe he reft town rather than face what he considered the disgrace of being president of a bank that failed.


Article from Jefferson City Tribune-Post, June 1, 1927

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TRACE OF KING CITY BANK HEAD WHO DISAPPEARED Jacob Levy of Farmers Trust Co., Closed Yesterday, Said He Was Going On Vacation. ST. JOSEPH, Mo., June 1.-(AP) No trace has been found of Jacob Levy, president of the Farmers Trust company at King City, Mo., who left his home Saturday, causing Indirectly the closing of the institution yesterday. Officials said today there has been a slow run on the bank for several weeks and that Levy worried much over it. He left a note to another offier of the bank saying he was going on a vacation and did not know when he would return. He took nothing from the bank except a revolver, but he did dispose of other holdings he had in King City. The trust company was closed nfter Levy left because officials feared. in the face of the previous run, heavy withdrawals would result if it were known the bank president had gone. Levy is sixty years old and n widower. His bank colleagues believe he reft town rather than face what he considered the disgrace of being president of a bank that failed.


Article from Springfield Leader and Press, June 1, 1927

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CLOSED BANK HEAD MISSING Jacob Levy, President of King City Institution, Disappears. -No trace has been found of Jacob Levy, president of the Farmers' Trust company at King City, Mo., who left his home causing, indirectly. the closing of the institution yesterday. Officials said today there has been slow run on the bank for several weeks and that Levy worried much over it. He left note to another officer of the bank saying he was going on vacation and did not know he would return. He took nothing from the bank except revolver, but he did dispose of other holdings he had in King City. The trust company was closed after Levy left because officials feared. the face of the previous run. heavy withdrawals woul result If It were known that the bank president were Levy is 60 years old and widower. His bank colleagues believe he left town rather than face, what he considered the disgrace of being president of bank that failed. Wall artistic. Morgan Wicks. 425 St. Louis St. "We Paint Perfectly "-Adv. Swift's Premium Lard: four pounds, 85c. Comstock's, phone


Article from The Parsons Daily Sun, June 1, 1927

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NO TRACE OF BANKER. -No trace has been found of Jacob Levy vice president of the Farmers Trust Company. at King City. Mo., who left his home Saturday, indirectly causing the closing of the institution yesterday Officials said today there


Article from The Sedalia Democrat, June 1, 1927

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FIND NO TRACE OF MISSING BANKER Associated JOSEPH, June trace been found Jacob Levy, president Farmers Trust Company at King City, Mo., his home Saturday, indirectly the closing the in yesterday. Officials said there has been bank Levy worried much note another officer the bank going did when would He took nothing from the bank except volver, did dispose other holdings King City The trust closed Levy because officials in the face withdrawals would known the bank president had Levy years and His bank believe town than face the being president of bank that failed.


Article from The Daily News and Intelligencer, June 1, 1927

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NO TRACE OF BANK PRESIDENT By The Associated Press ST. JOSEPH, Mo., June 1.-No trace has been found of Jacob Levy, president of the Farmers Trust Company at King City, who left his home Saturday causing indirectly the closing of the institution. Officials said today there had been a slow run on the bank that caused Levy much worry.


Article from Bethany Republican-Clipper, June 1, 1927

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KING CITY BANK CLOSED YESTERDAY The Farmers' Trust company of King during recent failed its doors yesterday it was learned that forestated that the president was out King City the time, that left Saturday, leaving note for the cashier with the His King and there no indicahow Two other banks King City are ported to be in and either them, said has both to case The annual Bluegrass which for carried out planned and will big success as was said.


Article from The Daily Republican, June 1, 1927

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TRACE FOUND OF BANK OFFICIAL By Associated Press. St. Joseph, Mo., June 1.-No trace has been found of Jacob Levy, president of the Farmers Trust Company at King City, Mo., who left his home Sunday, causing indirectly the closing of the institution yesterday. Officials said today there has been a slow run on the bank for several weeks and that Levy worried much over it. He left a note to another officer of the bank saying he was going on a vacation and did not know when he would return. He took nothing from the bank except a revolver, but he did dispose of other buildings he had in King City. The trust company was closed after Levy left because officials feared, in the face of the previous run, heavy withdrawals would result if it were known the bank president had gone. Levy is 60 years old and a widower. His bank colleagues believe he left town rather than face what he considered the disgrace of being president of a bank that failed.


Article from The Albany Capital, June 2, 1927

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City Bank Closed Doors Tuesday The Farmers' Trust Company King City closed its doors Tuesday morning upon order of board directors. The action lowed on bank for the past weeks, following disappearance Ernest Hammack. automobile dealer. owed the bank considerable money. Jacob Levy. of the left King City Saturday, leaving note which said that going but failsay where. The people of community have unlimited fidence in Levy, was sound business man, and feel that there nothing wrong with the bank books. The directors and other officers of the bank Monday and that would be best close the doors in order protect the depositors and then wired the state finance commissioner come and take charge. The other banks in King very sound and the deposits Tuesday more than equalthe The Club that city met Tuesday morning and raised more than enough money the plans for Blue Grass being held and funds tied up with the closing. This bank was the depository for the county's funds which secured by personal bond signed King City citizens. that all can the losses must before they will begin to lose.


Article from Poplar Bluff Republican, June 2, 1927

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TRACE FOUND OF BANK OFFICIAL St Joseph, Mo., June trace has been found of Jacob Levy, president of the Farmers Trust Company at King City, Mo., who left his home Sunday, causing indirectly the closing of the institution yesterday. Officials today there has been a slow run the bank for several weeks and that Levy worried much over it. He left a note to another officer of the bank saying he was going on a vacation and did not know when he would return. He took nothing from the bank except a revolver. but he did dispose of other buildings he had in King City. The trust company was closed after Levy left because officials feared, in the face of the previous run, heavy withdrawals would result if it were known the bank president had gone. Levy is 60 years old and a widower His bank colleagues believe he left rather than face what he sidered the disgrace of being president of a bank that failed. Undergoes Operation. Robert Barks, small son of Mr. and Mrs. Floyd Barks, of Greenville, underwent a major operation at the Brandon hospital early today. He is reported as getting along Visit In St. Louis. Mr. and Mrs. G. A. Moser of 451 North Main street left today for St. where they will spend Sunday friends and relMonday visiting


Article from The Maryville Daily Forum, June 3, 1927

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No Irregularities in King City Bank Ernest Hammock A Director of the Bank. Also Has DisappearedRumors Started Run. King City, Mo., June 3.-No irregu larities in the affairs of the Farmers Trust Co. here have been revealed ae cording to state finance officials. An investigation was made into the affairs of the institution following the disap pearance of Jacob Levy, its president. But King City today was presented with a more perplexing problem. Ern est Hammock, a director of the bank, has also disappeared and friends do not know of his whereabouts. Suppression of the facts, giving rise to rumors that Hammack, garage owner and stockholder, virtually had wreek ed the bank by excessive borrowing be fore he disappeared from here April 18 caused the run which forced the bank here to close. That is what citizens of this little rorthwest Missouri city are saying on the streets today. Reports that the Piper Auto company, of which Hammaek was proprietor, was on the verge of bankruptcy had been in circulation some time, and everyone knew he was a stockholder in the bank. Then when Hammack disappeared and the local newspapers withheld publica tion of this news in deference to his young wife, tongues began to wag. It was not long before gossip had it that Hammack had left the bank holding the sack for upwards of $40,000, and that as soon as the garage crashed the bank would fail. This gossip was given credence and worried depositors began taking their funds out of the bank. The run start ed shortly after Hammack left. and withdrawals increased from that time until the bank closed its doors. Hammack's total indebtedness to the bank, as a matter of fact. is less than $7,500. and more than half of this amount is secured. Another thing. the Piper Auto company still was open for business today as usual. A petition is being circulated here urging the appointment of Treasurer


Article from St. Joseph Gazette, June 15, 1927

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with bullet holes, was found near Chillicothe, and a hat he was found by the roadside near New These sinister clews, however, were shortly afterward discounted when two road workers told au. thorities they were with Hix when he abandoned the motor car at the place it was found. and one of them declared he and Hix walked to Chillicothe, where Hix bought railroad ticket to Moberly. The ticket agent at the station. It was said. substantiated his story by identifying a picture of Hix RS that of man who bought ticket to Moberly on the day stated No trace has ever been found of Burgin. He said to have talked of going South where he has friend in the fruit business, and authorities believe he has gone The the King City men were linked together by chain that eventually forced the Farmers Trust company of which Levy was president and Hammack a large stockholder to Shortly aWer Hammack left he was reported to have the bank $30,000, and this caused slow run on the bank On the night of May 28. Levy left a note in the bank stating that he was going on vaca. tion and did not know when he would return. Directors -plosed the bank two days later Hammack actually owed the bank only $10,000. it was said and had not the run developed from street talk, the institution could have stood the loss


Article from St. Joseph News-Press, December 8, 1927

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KING CITY BANK TO MAKE ITS FIRST DISTRIBUTION. Farmers Trust Company, Closed When Its President Disappeared Last May, Has Enough for Divid dends of 40 Per Cent. Special The attorney in the liquidation of the era Trust Company of King City, Mo., has filed petition In the circuit clerk's office here for C. E. special dep. uty finance commissioner, for an order the to pay to the depositors the Institution. The shows that Mr. Potter has collected with expense count of liquidating to date of Mr. Ernst thinks that 40 per cent or more will be ordered paid to the by the at the December and also gives It as his opinion all will be paid The Trust Company closed its doors May when its ously had been run on the trust company before he left. Mr. Potter was of the trust at the closed. Mr. Levy is now charge cigar store.