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CLOSED DOORS WED. BANK FIRST
Of All Things Happens Least Expected At Whitesburg about Yesterday morning of stando'clock, crowd men a the First Nain front of ing its cashier, J. tional Bank saw the front door M. Day come to and the following inside post notice: is ordered by the board that this bank of directors and that the assets be closed and affairs of the bank be turned over to the Comptroller of the Currency in order the assets for to conserve the benefit of the depositors. (Signed) P. LEWIS, Pres. JAMES M. Day, Cashier Holbrook Charles Hogg Herman Hale Lewis E. Harvie James Frazier French Hawk Bastin, Directors." the direcFor an hour or SO tors of the bank had been in matters and session considering arrived this conclusion. had at After the public realized the meaning of the notice, wave of surprise, chagrin and exwent about. Nobody, citement had thought that apparently, considered the strong the bank, and soundest in Eastern Kentucky, could or would have take such steps to protect to its depositors. To say the least, the closing of the bank, coming as it does the financial conditions when were already at the very bottom, makes most desperate situation among our people. Along about twelve o'clock in the day, bank inspector and exA. B. Faris, of Richaminer, mond, called from duty at Jenkins, arrived at the bank and posted the following notice:
"This bank under the Comptroller of the Currency, is in charge of A. B. Farris, National Examiner, closed by resolution of its board of directors. This June 15, 1932."
A. FARIS."
Just what the bank's assets or its financial condition is, of course, we are not able to know, but it is our opinion that all its assets could be realized on would be much, more than solvent, and be able to its pay depositors dollar for dollar. No doubt its present trouble on which paper it cannot rely on or realize on at the time. There has present been run on the bank," is sometimes said, but in the last month people with many in the bank have been money it out to meet their obtaking ligations, and money being SO scarce, very little of the money taken out was redeposited.
Knowing personally the rectors of the bank, it seems highly apparent that unquestionably the bank will re-open for business in short again time. At least this is the hope hold out to our readers. Whitesburg and the great coun ty of Letcher cannot an institution.
Soon after the bank closed, we had occasion to have short talk with Judge James Lewis. president of the bank, and says while he did not intimate or down opinion of the who express any bank's future, he assured us down had grounds for be that no one gling that the bank's close easier lieving was due to anything except the stringency of the country's when ances and the great decline in would the value of property on which up had been made. Only lateloans or since the First National ly, you took over the old assets of the of old Letcher State Bank, has Mr. Lewis been a director or president of the bank, and since this time very few loans have been made. It is the old loans made when property was high they that have become oppressive to get the bank. In speaking further, said that it looks Mr. Lewis like bank with $50,000 capital, $38,000 undivided profits and $45,000 banking house and fixtures should be in reasoncondition to come back ably fair business in a reasonable into time. held for the Leander Ingram, of William Rainwater, killing bond and was releasexecuted from jail.
John D. DixOur fine friend, on of Jeremiah, was in the city extended business and kindly interest to the Eagle.
Elliott and Johnson, young State University students, are at the Kenucky entertaining Theatre They are Pike tonight. County boys.
Did the Hazard Herald conthat the Kentucky deleclude to the Democratic nagation tional convention could not read when it said that E. L. Frazier would be its reading clerk? Mr. will as assistant Frazier serve clerk of the reading vention.