10501. Hunter Bank (New Madrid, MO)

Bank Information

Episode Type
Run → Suspension → Unsure
Bank Type
state
Start Date
March 29, 1928
Location
New Madrid, Missouri (36.586, -89.528)

Metadata

Model
gpt-5-mini
Short Digest
8bca057e

Response Measures

Full suspension, Books examined

Other: Board of directors closed bank and state bank examiner took charge.

Description

Multiple contemporaneous articles (Mar 30–Apr 6, 1928) report a slow run over months and a rapid withdrawal (about $150,000–$175,000) after the county court publicly demanded additional bond. Directors closed the bank and the State Bank Examiner took charge; officials expressed hope to reopen but no reopening is documented in these articles, so outcome is uncertain.

Events (2)
1. March 29, 1928 Run
Cause
Rumor Or Misinformation
Cause Details
Public action by the New Madrid County Court — publicly ordering/demanding an additional bond and sending the sheriff to the bank — triggered widespread alarm and rapid withdrawals.
Measures
Board of directors continued payments while possible but then closed the bank to stop the run; notified State Finance Commissioner and examiner who took charge.
Newspaper Excerpt
Within 30 minutes the report was all over New Madrid. The commissioner said the run then began. Between $150,000 and $175,000 of the deposits were withdrawn
Source
newspapers
2. March 29, 1928 Suspension
Cause
Rumor Or Misinformation
Cause Details
Directors closed the bank because cash reserve ran low after the run triggered by the county court's public demand for additional bond; state examiner assumed charge. Officials hopeful of reopening but pending audit/investigation.
Newspaper Excerpt
The Hunter's Bank of this city was closed Thursday night when the Board of Directors found that their cash reserve was running low. ... The State Finance Commissioner was immediately notified ... C. M. Duncan, State Bank Examiner, arrived and took charge of the bank.
Source
newspapers

Newspaper Articles (8)
1. March 30, 1928 The Weekly Record New Madrid, MO
Article from The Weekly Record, March 30, 1928

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HUNTER'S BANK CLOSED. Directors Ordered Bank Closed Thursday Night When Cash Reserve Ran Low. The Hunter's Bank of this city was closed Thursday night when the Board of Directors found that their cash paserve was running low. This condition was brought about by a slow run on the bank, which according to H. C. Hunter, a director of the bank, amounted to approximately $110,000 during the past three months, and also to the fact that outstanding loans were not collectable at this time, which is commonly termed frozen assets. The State Finance Commissioner was immediately notified of the action of the directors and today C. M. Duncan, State Bank Examiner, arrived and took charge of the bank. This bank was organized in 1905 and enjoyed a rapid growth until in 1918 the total resources totaled over $1,000,000. Depressed agricultural conditions followed and loans made were slow to be paid as was the condition in most banks. The closed bank had a capital stock of $150,000, and the last statement of the financial condition published on the 31st day of December, 1927, the total resources amounted to $462,648.18. The officers of the bank are A. B. Hunter, President; H. C. Hunter, Vice President; T. A. Wood, Cashier. On Monday of this week H. E. Broughton, Sr., was elected Vice President and took charge of the management of the bank as H. C. Hunter resigned to take charge of his large farming interests. Officials of the bank are hopeful of reopening the institution, but no action will be taken along this line until the Bank Examiner has made a complet audit of the books. This will require about ten days. The closing of the bank is regretted as it ties up the deposits of many people, some of whom are in immediate need of their money It is hoped that some plan for re-opening the bank can be worked out, which in all probability will be done.

2. March 31, 1928 The Kansas City Star Kansas City, MO
Article from The Kansas City Star, March 31, 1928

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AND DOCTOR Forecast Kansas Public Demand for Additional freezing. the 2-Day velocity On. rise JEFFERSON JEFFERSON CITY, March sponsibility for the failure yesterday of Hunter's Bank, oldest bank in New and of the strongest in Southeast today checked to apparent hysterical action the New Madrid County court manding, publicly. additional bond for the county deposit, resulting in which reduced the bank's deposits be$150,000 and $175,000 in two report Cantley, finance said today. The bank still was fair condition and would be reorganized, the finance commissioner said. BANK CONDITION. While the bank suffered from the floods Missouri last summer and for weeks was under good shape until the court the deposits which the closing yesCantley today Bank entirely by the Hunter family the principally Albert Hunter, the president, who very wealthy. For year he has and incorporated his various holdings. Believing that the event of his death liquidation the estate might time, members the New Madrid court decided to the bank bond $55,000. quietly the for the the public and the deliver the bank thirty of the order the the bank had started, Cantley's informants reported. THE COURT'S ACTION CONDEMNED. action of the Cantley illustration the lar hysteria regarding banks this Hunter worth fully million dollars and could have paid the county without disturbing the When the run started. the bank had $65,000 on hand and due from other banks, bills payable, loans and deposits Failure with that standing ridiculous, particularly in view its reported does not intend let Hunter's Bank closed. possible to reopen tional in charge, today or Monday.

3. March 31, 1928 Daily American Republic Poplar Bluff, MO
Article from Daily American Republic, March 31, 1928

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Bank Commissioner Advised That Court Ordered New Bond Prepared and Sent Sheriff After It. WASN'T HANDLED IN WAY' Depositors Soon Heard of Order and Before Bank Closed Over $150,000 Had Been Withdrawn. Special to American Republic. New Madrid, Mo., March While plans for reopening the Hunter's Bank, oldest banking institution in New Madrid, which was closed yesterday by its board of directors, C. M. Duncan of Poplar Bluff, special examiner in charge, said this afternoon that nothing definite had been decided possibly would not be decided before early next week. He said he had not had time to the bank's carefully go through records yet, and was not exactly familiar with the inside condition of the institution. Resources of the bank amounted to approximately $463,000. Cantley Gets Report. S. Cantley, state finance commissioner at Jefferson City, today announced that he had received report relative to closing of the bank and declared an investigation showed the bank was closed because of which was attributed to action by the New Madrid councourt. Hunter's Bank is owned entirely by the Hunter family, the commissioner explained, principally by Albert B. Hunter, the president, who is very wealthy. For year more he has been ill and recently incorporated his various holdings. Some time ago, Cantley said, the New Madrid county new bond for some $50,000 of county funds, deposited in the bank, was dedelay should in order that no sired, be experienced in getting the county money should Hunter die. Sent Sheriff After Bond. Instead of going to the bank offiand "in businesslike cials quietly Cantley said the report to him showed, the court made the matter proceeding of public record and sent the sheriff to the bank to demand the bond. Within 30 minutes the report was Madrid. The commisall over New sioner said the run then began. Between $150,000 and $175,000 of the deposits were withdrawn, but still the bank continued to pay, having had to get only $20,000. The board of directors decided, however, it would be necessary to close the bank to stop the run and the doors were locked yesterday morning. Reserve On Hand. Even then about $30,000 in cash reserves remained, Cantley said. Duncan arrived here last night and assumed immediate charge of the bank. No additional plans for re+ opening the institution will be ready for announcement until next week, he said this afternoon.

4. April 1, 1928 Kansas City Journal Kansas City, MO
Article from Kansas City Journal, April 1, 1928

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Nye Hints Startling Revelations Possible as Senators Consider Resolution Demanding Deeper Probe. By The Associated Press. special: WASHINGTON. March and cups whole oil wheat flour; investigation into the naval health bran: leases may extended by the senraisins; oneate all oil leases the encompass eighth teaspoon When thorpublic domain and Indian lands oroughly mixed B. Fall his two and large milk. made by Albert in Bake an hour in fairly slow of the inyears terior department under President Harding. WHIPPING Chairman Nye of the Teapot Dome committee today this had interest shown their our committee is going into that subwould not be surprised Veniremen Unable to Agree resolution for such inquiry not offered in the senate within short on Verdict; Early Retrial stated, adding that while without information, Expected. possible "might the Teapot Dome scandal Judge Ralph S. Latshaw of the to circuit court yesterday Others Consider It. discharged the jury which heard the The North Dakota senator made evidence in damage suit against clear he had no intention troducing such resolution, but Miss Mary Hickman, school teacher, indicated number of other senators because was unable to reach considering verdict. He there been no suggesEach of the jurors was questioned tion the the newal Work of by Judge Latshaw and declared that contract under Harry there no likelihood of agreeing. Sinclair buys Attorneys both sides approved royalty oil the Salt Creek field the dismissal. Wyoming, adjacent to Teapot The will go back to the assignment division be placed on Senator Nye wrote Secretary the docket again. Work week he Hickman was sued for been requested inquire whether 000 James Christman, contract had been renewed pupil, for he charged he the secretary replied today that fered he was whipped by the was renewed last February 20. The original contract awardJohn Thomas. foreman of the by Secretary January the first stood after bids for the sale young Christman. Then royalty oil had been advertised for switched to for Secthe boy. after which the jury became retary Work's evenly divided. the of contract good one from the dismissal, the jury stood for the plaintiff. the When the jury was called in the and for renewal its members approved doubt that they would able binding reach verdict. Judge Latshaw, obligation, which not be dishowever. decided to give them anregarded except upon showing other opportunity they went fraud, wrongdoing or violation back to their deliberations after the the period. Program Not Made. The probably will be retried While the Dome commitweeks. verdict retee failed meet to out turned for the previous program, Chairman Nye the was and Miss Hickman public sessions will be resumed next granted new trial. not expected the inquiry will BANK RUN pressed public sions during trial TO COURT ORDER Harry Sinclair on conspiracy indictment District Columbia court. Cantley Confident New Madrid DeSenator announced the pository Is Solvent. ceipt of cablegram from John Iowa, former chairman of The Jefferson City Bureau. the national JEFFERSON CITY, March in he unCantley, state finance comderstood missioner, today he had been interrogate and that he will informed the action the New return about Madrid county court started at which he would be glad on the Hunter bank Now Madrid appear, added. resulting in closing of the However, said he did not bebank yesterday. he had information about Cantley he had party financing which authentic information that would be valuable to the committee. started on the bank after

5. April 3, 1928 The Daily Standard Sikeston, MO
Article from The Daily Standard, April 3, 1928

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HUNTER'S BANK OF NEW MADRID CLOSES The Hunter's Bank. the oldest institution in New Madrid County was closed Thursday afternoon when its Board of Directors found the cash reserve to be running low. The closing followed a slow run of several months in which about $110,000 has been withdrawn from the bank, according to H C. Hunter, a director, and a run which started more recent- ly in which some $20,000 was drawn. The run on the bank was caused by an action of the New Madrid County Court, according to word received by S. L. Cantley, State Finance Commissioner at Jefferson City. Some time ago, Cantley said, the New Madrid County Court decided a new bond for some $50,000 of county funds, deposited in the bank, was desired, in order that no delay should be experienced in getting the county, money should Hunter die. Instead of going to the bank officials quietly and "in a businesslike way", Cantley said the report to him showed the court made the matter a proceeding of public record and sent the sheriff to the bank to demand the bond. Within 30 minutes the report was all over New Madrid. The commissioner said the run then began. The State Finance Commissioner was immediately notified and C. M. Duncan, State Bank examiner, arrived in New Madrid Friday and took charge. The bank was organized in 1905 and enjoyed a rapid growth until in 1918 the total resources totaled over $1,000,000. Depressed agriculutral conditions followed and loans made were slow to be paid as was the condition in most banks. The closed bank had a capital stock of $150,000 and the last statement of the financial condition published on the 31st day of December, 1927, the total resources amounted to $462,648.18. The officers of the bank are A. B. Hunter, President; H. Hunter, Vice President; T. A. Wood, Cashier. On Monday of this week H. E. Broughton, Sr., was elected Vice President and took charge of the management of the bank as H. C. Hunter resigned to take charge of his large farming interests. Officials of the bank are hopeful of reopening the institution. but no actoin will be taken along this line until the Bank Examiner has made a complete audit of the books. This will require about ten days. The closing of the bank is regretted as it ties up the deposits of many people, some of whom are in immediate need of their money. It is hoped that some plan for reopening the bank can be worked out.

6. April 5, 1928 The Milan Standard Milan, MO
Article from The Milan Standard, April 5, 1928

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COURT'S THOUGHTLESSNESS CAUSES BANK TO BE UNJUST VICTIM SMITH AND HOOVER ARE 'YOUNGSTERS' OF PRESIDENTIAL RACE Demand for Additional Combined Ages of Four Bond Covering Deposit Candidates Is 270 Alarms the Town. Years. Jefferson City, March 31.-Responsibility for the failure yesterday of Hunter's Bank, oldest bank in New Madrid, and one of the strongest in Southeast Missouri, today was checked to an apparent hysterical action of the New Madrid county court in demanding, publicly, additional bond for the county deposit, resulting in a run which reduced the bank's deposits between $150,000 and $175,000 in two days, a report to S. L. Cantley, finance commissioner, said today. The bank still was in fair condition and would be reorganized, the finance commissioner said. The Bank Was In Good Condition. While the bank suffered from the floods in Southeast Missouri last summer and for weeks was under water, it was in remarkably good shape until the hysteria of the county court caused the withdrawals of deposits which brought about the closing yesterday, Cantley said today. Hunter's Bank is owned entirely by the Hunter family. the commissioner explained, principally by Albert P. Hunter. the president, who is very wealthy. For a year or more he has been ill and recently incorporated his various holdings. Believing that in the event of his death liquidation of the estate might take some time, members of the New Madrid county court decided to ask the bank for a new bond covering the county deposit of $55,000. Instead of quietly requesting the bank for the additional security. the court made a public order and instructed the sheriff to deliver it to the bank. Within 30 minutes of the issuance of the order the run on the bank had started, Cantley's informants reported. The Court's Action Condemned. "The action of the county court was suicidal." Cantley said today. "Tt serves as an illustration of the popular hysteria regarding banks at this time." A. B. Hunter is worth fully % million dollars and could have paid out the full county deposit easily without disturbing the bank. When the run started, the bank had $65,000 in cash on hand and due from other banks, no bills payable, loans of $300.472 and deposits of $306,424. Failure of a bank with that sort of standing is ridiculous, particularly in view of its reported cause. "This department does not intend to let Hunter's Bank remain closed. if it is at all possible to reopen it. and I believe it is." Cantley said he was sending additional aid to G. M. Duncan, examiner in charge, today or Monday. Gov. Al Smith and Herbert Hoover, candidates in their respective parties for President of the United States, are youngsters as compared with some of the other active candidates for the presidency. There are four candidates seeking the presidency, two Democrats and two Republicans, whose combined ages are 270 years, 6 months and 10 days. They are: Frank O. Lowden of Illinois, who is 67 years, 2 months and 2 days old. Thomas J. Walsh of Montana, Democrat, who is 68 years, 9 months and 16 days. Charles Curtis of Kansas, who is 68 years, 2 months and 3 days. James A. Reed of Missouri, who is 66 years. 4 months and 19 days. Smith is 54 years. 2 months and 29 days old. Hoover is 53 years, 7 months and 18 days. These figures are taken from the 1926-27 issue of "Who's Who in America." There are two other Republicans much mentioned for the presidency, but who are not candidates in the sense that they are running, whose combined ages are 128 years, 6 months and 18 days. They are Charles E. Hughes of New York and Vice-President Dawes of Illinois. Hughes is 65 years, 6 months and 18 days old. Dawes is 62 years. 7 months and 1 day These figures, too, were taken from "Who's Who." Lowden was born January 26, 1861. Hughes, April 11, 1862; Dawes, August 27. 1865; Reed. November 9. 1861; Walsh. June 12. 1859: Curtis, January 1, 1860; Smith, December 30, 1873. and Hoover. August 10. 1874. Frank B. Willis of Ohio, another Republican candidate, is 56 years, 3 months old. He was born December 28. 1871.

7. April 5, 1928 Poplar Bluff Republican Poplar Bluff, MO
Article from Poplar Bluff Republican, April 5, 1928

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COUNTY COURT BLAMED FOR RUN THAT CAUSED HUNTER'S NEW CLOSE BANK, MADRID, Bank Commissioner Advised That Court Ordered New Bond Prepared and Sent Sheriff After It. WASN'T HANDLED IN BUSINESS-LIKE WAY Depositors Soon Heard of Or der and Before Bank Closed Over $150,000 Had Been Withdrawn. New Madrid, Mo., March While plans for reopening the Hunter's Bank, oldest banking institution in New Madrid, which was closed yesterday by its board of directors, C. M. Duncan of Poplar Bluff. special examiner in charge, said this afternoon that nothing definite had been decided and possibly would not be decided before early next week. He said he had not had time to carefully go through the bank's records as yet, and was not exactly familiar with the inside condition of the institution. Resources of the bank amounted to approximately Cantley Gets Report. S. L. Cantley, state finance commissioner at Jefferson City, today announced that he had received report relative to closing of the bank and declared an investigation showed the bank was closed because of run which attributed to action by the New Madrid county court. Hunter's Bank is owned entirely by the Hunter family, the commissioner explained, principally by Albert B. Hunter, the president, who is very wealthy. For a year or more he has been ill and recently incorporated his various holdings. Some time ago, Cantley said, the New Madrid county court decided new bond for some $50,000 of county funds, deposited in the bank, was desired, in order that no delay should experienced in getting the county money should Hunter die Sent Sheriff After Bond. Instead of going to the bank officlais quietly and "in busmesslike Cantley said the report to him showed, the court made the matter proceeding of public record and sent the sheriff to the bank to demand the bond. Within 30 minutes the report was all over New Madrid. The commissioner said the run then began. Between $150,000 and $175,000 of the deposits were withdrawn, but still the bank continued to pay, hav. ing had to get only $20,000. The board of directors decided, however, it would be necessary to close the bank to stop the run and the doors were locked yesterday morning Reserve On Hand. Even then about $30,000 in cash reserves remained, Cantley said. Dunean arrived here last night and assumed immediate charge of the bank. No additional plans for reopening the institution will be ready for announcement until next week, he said this afternoon.

8. April 6, 1928 The Charleston Times Charleston, MO
Article from The Charleston Times, April 6, 1928

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HUNTER'S BANK CLOSES Believed One Of Strongest Banks Of State. Big Withdrawal Prompts Close Hunter's Bank, the oldest banking institution of New Madrid closed its doors Thursday night, following the withdrawal of $20,000 of its deposits. The board announced the action Friday morning and the finance department of the State was requested to take charge. The closing of the Hunter's Bank an aftermath of the great flood of last year which destroyed considerable property and prevented the production of crops. It was severe blow to that county and to Mississippi county. It was considered one of the strongest banks of the state. This is the second bank of New Madrid to close, though the first, and now the only bank of the town, was forced to close more than a year ago but has since reorganized and opened. The loans on real estate was $300.742,58; cash on hand and due from bankers $65,596.94; banking house and fixtures $10,000; other real tate owned $75,000. The deposits were $306,424.56; capital $150,000; undivided profits $6,197.33, total resources $462,648.18. There were no bills payable. The affairs of the bank are stated to be in good condition. A. B. Hunter was president and A. Woods, cashier. The county court is stated to have been to blame for the run on the bank which prompted the board to close. S. L. Cantley, state finance commissioner, at Jefferson City announced that he had received report relative to the closing of the bank and an investigation showed because of the run which was attributed to an action by the county court. He said some time ago the county court decided new bond for some $50,000 of county funds, deposited in the bank. was desired, in order no delay should be experienced in getting the county money should Hunter die. Instead of going to the bank officials and "in a businesslike way, the court made the matter a proceeding of public record and sent the sheriff to the bank to demand the bond." Within 30 minutes, it is stated, the report was all over New Madrid. The commissioner said the run then began. Between $150,000 and $175,000 of the deposits were withdrawn, but the bank continued to pay, hav-