11000. Security Bank & Trust Company (Greenwood, MS)

Bank Information

Episode Type
Run → Suspension → Reopening
Bank Type
trust company
Start Date
December 20, 1930
Location
Greenwood, Mississippi (33.512, -90.199)

Metadata

Model
gpt-5-mini
Short Digest
2c3232ce

Response Measures

Full suspension, Books examined

Other: Depositors were asked to sign a multi-year 'freeze' agreement to enable reopening.

Description

A run on Dec 20, 1930 (precipitated by failure/closing of the Wilson Banking Co. and runs on other Greenwood banks) led the Security Bank & Trust to close temporarily as a protective measure. The bank reopened under a depositor freeze/reorganization plan by Dec 29, 1930. OCR errors in articles corrected (e.g., dates and some garbled phrases).

Events (3)

1. December 20, 1930 Run
Cause
Local Banks
Cause Details
Runs in Greenwood triggered by the failure/closing of the Wilson Banking Company; depositors withdrew from other local banks including Security Bank & Trust.
Measures
Closed doors and posted notices citing protection of depositors; called mass meeting of depositors; committees organized to obtain depositor agreements to freeze deposits.
Newspaper Excerpt
depositors started runs on the banks after the Wilson Banking Company ... failed to open Saturday
Source
newspapers
2. December 20, 1930 Suspension
Cause
Local Banks
Cause Details
Bank suspended operations temporarily as a protective measure following runs across Greenwood after the Wilson Banking Co. failed to open and was placed in charge of the state banking department.
Newspaper Excerpt
Security Bank & Trust Co. ... had closed temporarily as a protective measure.
Source
newspapers
3. December 29, 1930 Reopening
Newspaper Excerpt
Security Bank and Trust company reopened for business here this morning. The bank had been closed since December 20 following withdrawals ... reopened under plan of deposits ... depositors signing agreement to 'freeze' deposits over three years.
Source
newspapers

Newspaper Articles (14)

Article from The Greenwood Commonwealth, December 20, 1930

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OTHER Panic Precipitated Wilson Banking Closes Four Other With but one of its six financiinstitutions afternoon, the worst stringency history. Following the decision directors Wilson Company place the that the hands state banking department, on part brought runs on the other of the city. Within an hour after the of the banks this had grown to such portions as force the the doors of all the banks the city with the exception of Bank of Commerce. The during the morning from the were steady when the vency of banks was threatenthe panic which augmentdirectors made their close for the protection positors alike. The Bank the First National Bank the ings Bank and the Security Bank & Trust in locked their and posted notices for the vention and for the tection of the the stitutions Total assets of the five closed banks the ment close 30, with total deposits national bank Department, their way afternoon over the situa- Stockholders alike debacle of the general feeling banks solvent condition, and that with the sidence panicky should able weather the without any of the losing their money understood this already making whereby interests depositors may business allowed to proceed its usual course. The Bank Commerce doing business usual the day, and noon deposits during the morning had exceeded hundred cent. There had been the usual Saturday withdrawals at this bank. For convenience customers the Bank of Commerce remained open all this beyond the usual Saturday ing hour. Tomorrow afternoon meeting of the depositors closed banks was called sider ways and means the banks might proceed business with fear All the closed regarded among the financial institutions Mississippi. all were solvent. for the panic followed liquidation Banking could carried their business without embarrassment. CREW IS Chile Two United members of the crew States Tanker Ceferin were killed storm raged over the Chilean during night. The Ceferino reached port seriously damaged, Turkey (AP) From Diarbekier the remote eastern provinces comes the amazement of automobile An old curious throng looking touring asked had any children; The chauffer tried plain when along came accompanying left behind them tation for and NEW YORK (AP) stage door the Opera House posted lowing, signed by of stars: undersigned, colleagues merriest Christmas and the happiest New agree not waste energy money sending holiday cards this NEW YORK Some the natty horses of New York's mounted policemen sick from generosity. folks have been buying from unemployed and the animals that Police Dulrooney has put such gifts.


Article from Evening Star, December 21, 1930

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THREE BANKS CLOSED Three Others in Mississippi Shut Doors for Safety. JACKSON, Miss., December 20 (P).Three banks in Mississippi were closed today and placed in charge of the State banking department, and three others announced temporary suspension. Those taken over by the banking department are the Wilson Banking Co. at Greenwood, the Commercial Bank at Drew and the Bank of Pheba at Pheba. Simultaneously came announcements that the Greenwood Bank & Trust Co., the First National Bank and the Security Bank & Trust Co., all at Greenwood, had closed temporarily as a pro= tective measure.


Article from Chicago Tribune, December 21, 1930

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3 MISSISSIPPI BANKS CLOSE; 4 MORE SUSPEND State Takes Charge to Protect Patrons. Dec. Mississippi were today in of over by the the Commerand of at came that the Greenwood Bank and the National bank and the Security Bank and Trust all at Greenwood, closed protective The bank closing the bank of McLain at McLain A of the state banking department sent there to make an audit after Willie the bank's president that B. Reed, the cashier, admitted his asked to be said the was closed because of recent death of G. Wilson Sr., chairman of the board. Macedonia Bank Closed. ing of bank of Macedonia in Hamilton nounced by the state auditor this Withdrawals Cause Closing. Cairo, collect fast enough to caused the closing the Farmers and Merchants State bank at Cypressen, Johnston county, D. C. Casper, president, stated. Georgia Bank Suspensions. Mobley, state of announced today his department had been asked to take over the affairs the Union Banking company of branches at Braxand the Toombs at Lyons, and the Citizens bank of Ray City. Allied Banks Suspend. Dec. Two Goldsboro banks, both under the failed to open Notices said the institutions been closed in the interests of deNational bank of Goldsboro and sources of italized at The Goldsboro and Trust company, an had of $226, 413 and of at G. Norwood of both banks and sons cashiers. Another Carolina Bank Closes. Rural Hall, N. Dec. The Rural Hall Bank and Trust com pany did not open for business E. L. Kiser is president.


Article from The Atlanta Constitution, December 21, 1930

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MISSISSIPPI SEES EIGHT BANKS CLOSE JACKSON, Miss.. Dec. 20 Eight banks closed their doors Mississippi today and the city Greenwood was thrown into a financial Three of the banks were small stitutions scattered parts of the but five of them were located in where depositstarted runs on the banks after the Wilson Banking Company. with resources of $1,777,000 failed to open today for business. Within short time three other banks and later another shut its doors, leaving only the Bank Commerce doing in the city Notices were on the saythe banks had closed for the "protection of all depositors alike. mass meeting has been called of depositors of the closed Greenwood banks to discuss plans for reopening. state banks, issued statement saying "it time when the public, and particularly the depositor must not come but must act with coolness and deliberation and must co-operate with those who are trying stabilize Directors of the Wilson Banking Company in that they decided to close the bank and place it in the hands of the state banking for liquidation because the unusual situation caused by death of A. arranged the bank His estate will not available use in procuring credit for months under the state directors said. After every means our command of secredit and having left nothing on keep the bank it that a liquidation The liquidat ing agent will pay depositors rapidly necessary the Mr. ilson intend to contribute liberally in assisting the liquiagent E' paying the deposit- The other closed banks, the Greenwood Bank and the Security Bank and Trust the First National Bank of Greenwood, and the Greenwood Savings bank were expected by their officials to reopen soon. Frozen assets and poor were attributed by the state bank examiner for the closing of the Commercial Bank of Drew. in with of $250,000 and the Bank of Pueba, in Clay county, with leposits of less than He also announced that the state had taken over the Bank of capitalized and that would closed the banks had been audited after Reed. cashier.


Article from The Atlanta Journal, December 21, 1930

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8 Mississippi Banks Close Their Doors; 5 Are in Greenwood JACKSON, Dec. Eight banks closed their doors in Mississippi Saturday. Three of the banks were small institutions in scattered parts of the state five of them were located in Greenwood, where depositors started runs on the banks after the Wilson Banking Company, with resources of $1,777,000, failed to open Saturday. Within short time three other banks closed and later another shut its doors, leaving only the Bank of Commerce doing in the city. Notices were posted on the doors saying the banks had closed for the "protection of all depositors alike." Directors of the Wilson Banking Company in statement that decided to close the bank and they place the hands of State Banking Department for liquidation because situation caused by the of A. Wilson, had always arranged credit for the other closed banks, the Greenwood Bank and Trust Security Bank Trust Company, the National Bank Greenwood First and the Greenwood Savings Bank were expected by their officials to reopen soon. Frozen assets and poor collections by the bank aminer for the closing of the Commercial Bank of Drew. in with deposits the Clay with Bank of Pheba, deposits less than He also announced that the State Department had taken over the Bank McLain, closed at that would be the books had audited Reed, cashier, had admitted STATE FOUR BANKS TO TAKE OVER B. state of banks, announced Saturday his department had been to Union Banking affairs of Company Douglas, operating branches at Braxton Nicholls: Bank, Lyons, the Citizens Bank Ray City, Berrien County The Union Banking Company the last call on September 24 listed resources capital of undivided and deposits of no Moses Griffin and R. Yeomans, cashier The bank was established 1899. The Toombs County Bank reported resources capital $30,000, of deposits bills payable W. McNatt was president and W. China. The institution 1906 The Bank of Ray City at the last call showed resources of capital of deposits and no bills payable. H. Swindle was president and John Luke. cashier. The bank was established in 1911. Two Goldsboro Banks Close GOLDSBORO, Goldsboro banks, under the falled to open tions been in the interests of depositors. National Bank of Goldsboro listed deposits and sources in its last statement on September 24. The bank capitalized at and had of on The affiliated institution, had deposits resources and surplus of $19,on the same date. It is capitalized Norwood Is president of both banks. Thomas Norwood John Norwood, his sons, are cashiers the National Goldsboro and the Goldsboro Savings and Trust Arkansas Closing Merchants and Planters Bank here Saturday for five-day James Clark was president the local bank and the Clark Bank Gurdon, which suspended Friday for days. One Closed in Alabama 20. F. Green, supeintendbanks annouced Saturday the Camphill, at its doors. The bank had $50.000 capital stock and $10,000 surplus. Rural Hall Bank Closes RURAL The Rural Hall Bank and Trust Company did not open for business Saturday Kiser president. said the capitalized at had deposits approximately $57,000 and surplus of


Article from Clarion-Ledger, December 23, 1930

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DITCHED COUPE HERESY, SPURS HUNT OF CHARGE STATE BANDITS Car Found Near Sumrall Reported Same Seen at Seminary CASHIER LOCKED IN VAULT BY MASKED MAN Quartette Believed Involved in Daylight Hold-up of Seminary Bank Dec. 22-Discovery tonight looking to the reopening an coupe, ditched which two of Greenwood's banks the highway closed their doors Saturday. about ten miles from Sumrall early An by Supt this afternoon spurred search Love, of the state banking departthe four bandits who held the the ment, that reorganization of Bank Seminary this morning Greenwood Bank and Trust comescaped with $4,400. with Thomas, Georpany Only two men were seen by Bulpresident and Kennedy, cashier the bank weber could not and victim the oldup, but dis- The verified here. directors covery that four strange men the bank, however, were in conferspent the night local boarding with Thomas in Grenada places officers believe that afternoon. four men took part in the rob- Committees have been signing up depositors of the Security Bank Kennedy went down to open the Trust and company to an agreebank about o'clock this mornment outlined meeting ing, according to his story depositors Sunday under wrich the about to the vault when open depositors will ten per young wearing gray their opening of the face covered with overcoat, bank, 20 cent one per stepped from the per and 40 per door of rear office and covered in three with pistol. In statement issued to the bandit forced Kennedy to The this afternoon Pollard, vault The cashier handopen the president; vicehim package money. He president and Stockett, said have demanded more cashier, declared that best efforts rewarded with second and being used effect reopenof The bandit assembly currency ing and that the continued co-opKennedy into the vault forced eration of the would aid door He overlooked locked greatly that undertaking. $15,000 in cash and approximately opening with short time of both negotiable securities, according these banks seemed probable bank officials. today.


Article from The Greenwood Commonwealth, December 24, 1930

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SECURITY BANK OPENING NEAR COMPLETION Greenwood Bank & Trust National Openings Soug Greenwood Bank Trust Company Depositors Asked to Sign Agreement With plans for re-opening appearing bright this afternoon as auditors continued checking over the affairs of the bank, deposits Greenwood Bank and Trust Company are being asked to sign proposed agreement which leave their deposits in the bank for period of three years, with ten per cent payable immediately, 20 percent in one year, 30 per cent in two years and 40 per cent in three years. W. Clements has been asked by the officials of the bank take charge the work signing up the more than 2,000 depositors, and will begin work immediately to secure the signatures. The agreement which the depositors will be asked to sign reads as follows: or we, the undersigned depositors in the Greenwood Bank Trust Company, of Greenwood, Mississippi, do hereby event Bank Trust Comreopened for business, another banking organized to domicled at Greenwood, in Leflore county, Mississippi, assume the deposit liability the Greenwood Bank Trust Company, payable 10 per cent cash, and the balance 20 per cent within one year, 30 per cent within two years and 40 per cent within three years, the understanding being that these certificates paid off as much in advance the designated dates as is consistent with sound conservative banking, the said certificates to bear no interest until after maIf the assets of the bank prove be as satisfactory as believed, the re-opening will probably be effected as soon the depositors can be signed up. With the efforts of the Greenwood Bank Trust Company begin business, directors the First National and the Greenwood Savings Bank are working diligently on-plans which have for their object the re-opening those banks which closed Satur- Plans for reopening of the Security Bank Trust are almost completed and the date of re-opening is expected to announced in short time. Cards bearing the agreement of the depositors the Greenwood Bank Trust Co. are ready and the deposors will find them at the following places for signatures, in addition the bank: Roberts Drug Store, Post Office Safe, Barrett's Drug Store, John Quinn's Drug Store, Dyre's Store, O'Reilly's Cash Store, DeBoe's Grocery, Greenwood Drug Speed in signing is urged for quicker cards are signed sooner the Greenwood Bank & Trust Company can open. TACKS LATTIMER FREED COLUMBUS, O. (AP) W. (Tacks) Lattimer, big league baseball received player, Christmas pardon from penitentiary today from Governor Cooper. Lattimer was serving life second degree murder. The was personally presented to Lattimer by the Governor. Lattimer had been cited a hero in break of 13 members of the notorious Company bad boys" Nov. 1926, prison when he seized gun and went to the aid of the guards. WEST POINT BANK PAYS DIVIDENDS WEST POINT At meetof the directors the of West Point, held Monday morning, the regular annudividend per cent was declared. Under the state law, was necessary to add per cent of this surplus, and checks were being to stockholders today for the remaining per cent. Mr. Ivy, chairman of the board, expressed satisfaction with the showing made for the year. The bank doesn't owe penny and faces the new year with confidence. FATHER AND SON DIE CROSSING CRASH RULEVILLE, Miss. Crowder, of Kilmichael, and his son, Willie, 21, were killed afternoon at 1:40 one mile north of here their truck was struck by passenger train. Mr. Crowder and his son, prospective tenants on the Patridge plantation near here, were unfamiliar with the schedule of the train and their visibility was impaired because the truck cab was closed up. They were moving their household furnishings from Kilmichael The truck was demolished. The bodies were taken to undertaking establishment Cleveland. Funeral services will probably be held tomorrow.


Article from Hattiesburg American, December 29, 1930

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Other Institutions Temporarily; Merger at Associated Press) Dec. of two state banks was reported from the state banking Monday by Love, The institutions the Leake County Bank at Carthage and Bank Oxford, Oxford, both which were the oldest stitutions in their respective counties. forced decision to close the Leake County to while Bank of Oxford board decided "temporary" suspension prevailing conditions, declared in statement. Reports from Greenwood today announced reopening of the SecuriBank and Trust company, one institutions which suspended there week ago, and announced plans of officials of the Greenwood Bank and Trust company to resume January president Pitchford the Security Bank institution was doing business this with many deposits in and none going The bank reopened under plan of deposits as suggested by Supt. Love to mass meeting after the general closing. The Greenwood Bank and Trust is expected resume operation after similar plan is effected. Supt. Love reported strong bank today was the outgrowth of Picayune the Bank the Pearl River bank. Tate, president the former, will head the new institution, which will bear name Bank of PicaThe Leake County Bank had deposits $260,000, to the banking department. Capital was and surplus SECURITY BANK REOPENS Miss., Dec. The Security Bank and Trust company reopened for business here this morning. The bank had been closed since December when withdrawals. following the closing of the Wilson Banking company, caused its suspension. ARKANSAS BANK SUSPENDS ROCK, Dec. Van Buren County Bank at Clinton, suspended today five days, the state banking department announced. The president, Garner Frazer, told the he expectthe bank be within the five day period. had capital and surplus deposits of approximate$157,000. BANK CLOSED INDIANAPOLIS, Dec. Central Trust Savings Bank Gary, formerly the Southside Trust Savings Bank, closed today, the state banking commission informed. The bank was capitalizat $100,000 and had deposits with surplus and undivided profits of $25,000. BANK'S ASSETS FROZEN Ala., Dec. Dent Green, state of banks today that the Chambers County Bank Lafayette, Ala., had closed because frozen assets and steady withdrawM. Tucker, of president the bank, reported capital stock of and surplus of $50,000, on its last report. Mr. Green said the total deposits the bank not available. The bank being taken by the state banking for liquidation, Mr. Green said.


Article from New Britain Herald, December 29, 1930

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MISSISSIPPI BANK CLOSES Jackson, Miss., Dec. 29 (AP-Closing of the Bank of Oxford at Oxford and the Leake County bank at Carthage and the reopening of the Security Bank and Trust company at Greenwood were reported today by the state banking department. A run was given as the cause of the closing of the Leake County bank, while the Bank of Oxford decided to suspend temporarily because of "prevailing conditions."


Article from The Greenwood Commonwealth, December 29, 1930

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CONGRATULATIONS The congratulations of the entire community are due to the officers and directors, and depositors of the Security Bank & Trust Company, for their prompt work and co-operation which enable that bank to re-open this morning, after having been suspended for the past week following run on December 20. The ability of the Security Bank to re-open within few days of its suspension demonstrates the fine condition in which the bank was at its closing and the careful and business like manner in which it was conducted. It demonstrates also the fine type of citizens among its customers in assisting in and making possible the re-opening.


Article from The Greenwood Commonwealth, December 29, 1930

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THE DEPOSITORS AGREEMENT MUST BE SIGNED The opening of the Security Bank this morning is practical demonstration that closed banks can be re-opened when the proper spirit of co-operation is shown by. bank officials and depositors. The spirit that re-opened the Security Bank can re-open the others when other details have been completed. At the present time the Greenwood Bank & Trust Company has planned a re-opening provided the depositors sign the agreement to "freeze" their deposits over a period of three years. The agreement sought for the Greenwood Bank & Trust Company is identical with the agreement which re-opened the Security Bank. It is the only manner in which the bank can be and the only method by which the depositors can assured of receiving the full amounts of their deposits under condition. If any depositor fails to sign the agreement, he will not only force his own deposit to fifty per cent of its value, to lose and the liquidation of the bank. It is essential that the signatures be obtained and that quickly. The difference to each depositor between the bank in operation and in liquidation will mean a difference between one hundred per cent of his deposit and fifty or sixty per cent of it. It means the difference between receiving all in three years or half in five, six or seven.


Article from The Greenwood Commonwealth, December 29, 1930

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Depositors Opening To Deposit Money. Reversing the December 20, when were drawing out money, Security Bank pany re-opened for morning, with depositors ing the opening of the place money in New Depositors in the Security Bank were satisfactory it was noon. The Security Bank of the institutions which December 20 excited which came heels the the Wilson Banking the plan freezing further of the Security work reaching the with the was in splendid were last week. that would open this made Saturday, and time this morning many depositors waiting dicate their confidence bank by making posits ready With Security the reported wood Bank mately forty positors Should depositors fail stated, Bank Trust will hands of the state partment on January will liquidated. experience about cent of their deposits seven years The speed the depositors additional added to the committees in charge the The committee signatures are: H. Oliver, Jones, Antoon, John Cortner, Niles land, W. Dubard. Mitchell, Intyre, C. Prosser. borough, Charles Streater, Sutton, White, R. Wilson. JACKSON, Miss. (AP) two state banks ported from state banking department Monday Love, tutions were the Leake Bank Carthage and the of Oxford, Oxford. were the oldest financial institutions in their respective çounrun forced decision close from the Leake bank's directorate, reports, while the ford board decided upon porary" suspension due vailing conditions. clared in statement. Reports from Greenwood today announced reopening the curity Bank and Trust Company, one four institutions suspend there week officials the Bank and Trust Company to resume business progressing. According to Pitehford of the Bank the satisfactory business this morning, many deposits coming and none going The bank reopened "freezing" deposits gested by Supt. Love meeting there after the closing. The Greenwood and Trust expected operation after similar effected. Supt. Love reported bank today was the merger at Picayune Bank of and the River Bank. Tate, dent the former. will institution, which name Bank of The Leake County deposits $260,000, the banking department, was $30,000 and 000.


Article from Chattanooga Daily Times, December 30, 1930

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TWO BANKS CLOSE, TWO MERGE. ONE REOPENED JACKSON. Miss., Dec. 29 ing of the Bank Oxford. at Oxford. and Leake County bank, Carthage. and reopening the Security Bank and Trust Greenwood reported from the state banking department by Love, sugiven the cause the closing County while Bank of Oxford decided suspend temporarily because of "prevailing conditions Superintendent Love said he expected the Greenwood Bank Trust resume He Bank Trust pany at Greenwood reported satisfac-


Article from The Miami Herald, December 16, 1931

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MISS., BANK FAILS TO OPEN DOORS GREENWOOD Miss. Dec. 15. The Security Company failed open its doors this mornThe bank was closed December and reopened in January. is capitalized at $50,000 and carried posits of about $94,140. Pitchford is president and Pollard, vice Open