11060. State Bank (McHenry, MS)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
November 17, 1911
Location
McHenry, Mississippi (30.708, -89.138)

Metadata

Model
gpt-5-mini
Short Digest
59c7e3ab

Response Measures

None

Description

The bank first experienced a temporary suspension in Nov 1911 caused by an unexpected calling of rediscounts and was said to reopen. Later, on March 22, 1912, the bank closed permanently and a receiver was appointed amid allegations of long-standing insolvency and embezzlement. No discrete run (panic-driven mass withdrawals caused by rumor) is explicitly described in the sources; the March 1912 closing led to receivership.

Events (4)
1. November 17, 1911 Suspension
Cause
Correspondent
Cause Details
Unexpected calling in of rediscounts left the bank temporarily short of funds; described as a temporary embarrassment.
Newspaper Excerpt
The State Bank of McHenry ... closed its doors Friday afternoon, causing something of a flurry ... The cause of the temporary suspension of business is understood to have been the calling in of some re-discounts which was unexpected, and leaving the bank for the moment short of sufficient funds for current business.
Source
newspapers
2. November 22, 1911 Reopening
Newspaper Excerpt
The bank will reopen for business Wednesday morning and everything is expected to run smoothly without any further embarrassment being experienced.
Source
newspapers
3. March 22, 1912 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Allegations of long-standing insolvency and large liabilities; later indictment of former cashier for embezzlement ($13,000 shortage).
Newspaper Excerpt
State Bank of McHenry ... closed its doors last Friday. ... alleged in the bill of complaint that the bank had been insolvent two years; that it had only $3,500 available to meet depositors' claims of $70,000.
Source
newspapers
4. March 25, 1912 Receivership
Newspaper Excerpt
J. I. Taylor was today appointed receiver of the state bank of McHenry, Miss., which closed its doors last Friday.
Source
newspapers

Newspaper Articles (5)
1. November 20, 1911 The Hattiesburg News Hattiesburg, MS
Article from The Hattiesburg News, November 20, 1911

Click image to open full size in new tab

Article Text

M'HENRY BANK WILL REOPEN WEDNESDAY An Unexpected Call of Rediscounts Results in a Temporary Embarassment. McHenry, Miss., Nov. 20.-The State Bank of McHenry, McHenry, Miss., closed its doors Friday afternoon, causing something of a flurry in financial circles hereabouts, but it is learned that the embarrassment is only temporary and in nowise effects the solvency of the institution, which has been looked upon as one of the best small banks in this part of the state. The bank will reopen for business Wednesday morning and everything is expected to run smoothly without any further embarrassment being experienced. The cause of the temporary suspension of business is understood to have been the calling in of some re-discounts which was unexpected, and n leaving the bank for the moment short of sufficient funds for current busiV ness. There will be no change in the e officers of the institution for the present. and SO far as learned no blame atas taches to anyone conected with the nt bank for its temporary closing. Jas. F. Bennett is cashier of the bank and will continue to act in that capacity, ewhile Charles R. Saucier, president of nar the bank, will be in active charge. Mr. Saucier is one of the most subd, stantial citizens of the southern part he of the state, a man possessed of con ny siderable means and good business nk ck judgment, and his connection in an ac tive way with the bank is expected to restore and maintain confidence in its affairs and management. nd

2. March 26, 1912 The Birmingham Age-Herald Birmingham, AL
Article from The Birmingham Age-Herald, March 26, 1912

Click image to open full size in new tab

Article Text

211,N-20T ST. TAYLOR RECEIVER FOR STATE BANK Gulfport, March 25.-J. I. Taylor was today appointed receiver of the state bank of McHenri, Miss., which closed its doors last Friday. Richard Griffin, Vicksburg, Miss,, who asked for a receiver, alleged in the bill of complaint that the bank had been insolvent two years; that it had only $3500 available to meet depositors' claims of $70,000. The bill stated that the liabilities were $128,750, with $63,500 assets.

3. March 27, 1912 The Hattiesburg News Hattiesburg, MS
Article from The Hattiesburg News, March 27, 1912

Click image to open full size in new tab

Article Text

STATE BANK SORELY Failure of McHenry Bank the Need of Legisl Subject. (By C. U. Por McHenry, Miss., Mar lorn crowd, with shipwr gathered in gloomy grou hour yesterday morning discuss the fate of the positors in the ill-fated State Bank of McHenry doors were closed and 5 33 sealed sometime during of Friday, the 22nd, in period of suspense terr G the arrival of the Daily I port which under the Henry Bank Again Clos the cheering message, Bank of McHenry has cl and J. L. Taylor of this ty to appointed by Chancello Id as receiver. J. L. Tayl today in the sum of tw dollars and left for M si10 bank's liabilities are pl $128,000 with assets of It is claimed the bank he solvent two years and th he have been falsified. TI ey ho 000." claimed to be owing de nd Insistent persistence leinsistence had failed to as the slightest intimatio Id, of the bank's affairs and nthad made the hearts as sick: so, the first intim ell cated above, fell with ful he fect upon the disturbed weary waiters therefor. ust The hardship imposed ho trons of this bank by t expected disclosure of i tenness, is peculiarly di hat of is the result of betray Repeated assurance ha ew to by its officials to depos bank was safe and so he risk of loss was incuri ant tors using it as a depos ubThe depositors regar tors as personal friend by in them perfect trust in est integrity, unquestioned for untarnished honor. Eve e a midnight melancholy of ies rugged honesty of the 1 tay tors is not for an insta imbut, to some of us the iesbeen patent, that the of board had immeasurab hat esty of purpose than kn to banking business. Wi all edge that the members im of directors could under dition of the bank's affa iew looking at the cover o rter they could by scanning ome We relied upon the im one honesty upon the mana bank's business for our e a

4. March 29, 1912 Atlanta Semi-Weekly Journal Atlanta, GA
Article from Atlanta Semi-Weekly Journal, March 29, 1912

Click image to open full size in new tab

Article Text

Taylor Made Receiver GULFPORT, Miss., March 26.-J. I. Taylor was Monday appointed receiver of the State Bank of McHenry, McHenry, Miss., which closed its doors last Friday. Richard Griffith, Vicksburg Miss., who asked for a receiver, alleged in the bill of complaint that the bank had been insolvent two years; that it had only $3,500 available to meet depositors' claims of $70,000.

5. October 3, 1912 The Hattiesburg News Hattiesburg, MS
Article from The Hattiesburg News, October 3, 1912

Click image to open full size in new tab

Article Text

FORMER CASHIER OF M'HENRY BANK ARRESTED J. F. BENNETT INDICTED FOR EMBEZZLEMENT-ALLEGED SHORTAGE OF $13,000. Gulfport, Miss., Oct. 3.-J. F. Bennett, former cashier of the State Bank of McHenry, was arrested yesterday at McHenry by a deputy sheriff on a charge of embezzlement. He gave bond for his appearance in the sum of $2,000 and was releasel. The arrest was made on an indictment returned by the recent grand jury. The State Bank of McHenry closed its doors on March 22 last, and was placed in the hands of a receiver on petition of B. W. Griffith of Vicksburg, one of the stockholders. The bank when it closed was alleged to owe about $70,000 to its depositors, and to have been insolvent for two years. It is alleged that Bennett is short about $13,000.