11104. New England State Bank (New England, ND)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
March 19, 1925
Location
New England, North Dakota (46.539, -102.868)

Metadata

Model
gpt-5-mini
Short Digest
80825eb4f70209e3

Response Measures

None

Description

Multiple articles report a three-day run precipitated by publication of the bank's statement of condition after J. J. Hastings took control; deposits fell and the bank was forced to close (reported as March 21, 1925). The state later placed a receiver (June 2, 1925). No reopening is reported; receiver was assigned. OCR typos corrected (e.g., 'closed' for 'closed', 'presipitated' -> 'precipitated').

Events (3)
1. March 19, 1925 Run
Cause
Bank Specific Adverse Info
Cause Details
Publication of the bank's statement of condition (first since control passed to J. J. Hastings) precipitated depositor withdrawals over a three-day period.
Newspaper Excerpt
closed Tuesday following a three day run precipitated by publication of the first statement of the bank's condition
Source
newspapers
2. March 21, 1925 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Rapid deposit withdrawals and deteriorating condition after change in control forced the bank to close (suspend payments).
Newspaper Excerpt
Deposits began to decline after Hastings became connected with it, and on March 21 the bank was forced to closed.
Source
newspapers
3. June 2, 1925 Receivership
Newspaper Excerpt
L. R. Baird, general receiver of closed banks, has taken over the New England State Bank, Gilbert Semingson, state examiner, announced Friday.
Source
newspapers

Newspaper Articles (6)
1. April 2, 1925 The Bismarck Tribune Bismarck, Mandan, ND
Article from The Bismarck Tribune, April 2, 1925

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Article Text

McANENEY NAMED CHIEF DEPUTY STATE EXAMINER F. B. McAneney of Devils Lake has been named chief deputy state examiner in the office of Gilbert Semingson, state examiner. The position was formerly held by Lars Wambheim, now in California. Other appointments are as follows: Deputy bank examiners, E. S. See, Minot; James M. Shirek, Bismarck; J. L. Mcrae, Devils Lake; F. J. Seeba, Harvey; O. A. Engemoen, Valley City: J. K. Nesvek, Grand Forks; O. H. Erickson, Bismarck; county examiners, James A. Brown, Rolla; John R. Snyder, Bismarck; T. J. Hagen, Grand Forks; Thomas G. Ahren. Mandan. A deputy examiner has been assigned to go to New England, N. D., and take charge of the affairs of the New England State bank, which was : closed Monday following a run.

2. April 3, 1925 The Bismarck Tribune Bismarck, Mandan, ND
Article from The Bismarck Tribune, April 3, 1925

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Article Text

PEOPLE SEEK REASONS FOR BANK CRASH Depositors of Institution in Hastings Demand State Probe WANT FULL PUBLICITY Publication of Statement of Condition Caused Sudden Run and Closing New England, N. D., April 3.-Indignant depositors and stockholders of the New England State bank, closed Tuesday following a three day run presipitated by publication of the first statement of the bank's condition since it passed under the control on Feb. 15 last, of J. J. Hastings, formerly in Nonpartisan league banking circles. demanded late yesterday that the state banking department take every possible step to determine if any illegal practices were resorted to in the condition of the institution and to punish guilty parties if any there be. About 50 depositors attended the conference, held during the afternoon as the culmination of a rising tide of indignation at the closing of the institution which was in excellent condition only a few weeks ago, and which went into the hands of a receiver because of the remarkably rapid change in its status during the period it was under the control of Hastings. Hastings, who was in New England for a few hours Tuesday, has been absent from the city since the bank closed, while F. C. Proehl, a cashier placed in the bank by Hastings, departed today for Minneapolis, Salesmen of stock in the bank and in a holding company known as the Bankers Investment company of Minneapolis have been out of the territory for some time after they failed of receiving the sort of reception they had anticipated. Demand that full publicly be given concerning the condition of the bank when it closed is contained in resolutions adopted by the depositors' conference. Mayor M. H. Elliott as the spokesman of the enraged depositors insisted that the community had been made to suffer the damage incident to the closing of the bank through elements that are entirely foreign to the local condition; that the business conditions here are good, and the bank in a strong, healthy condition just a short time ago. A committee consisting of E. L. Simmons, Angus McDonald, S. A. Fuller, Rev Joseph Pottgens and K. B. Elliott. was appointed to confer with the receiver and the state banking department, and to present the request for a full detailed statement to show just what was done with the bank's cash during the last few weeks it was in operation.

3. April 4, 1925 Morning Pioneer Mandan, ND
Article from Morning Pioneer, April 4, 1925

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Article Text

DEPOSITORS OF NEW ENG. BANK START INQUIRY PUBLICATION OF STATEMENT OF CONDITION CAUSED RUN AND CLOSING New England, N. D., April dignant depositors and stockholders of the New England State Bank closed Tuesday following a three day run precipitated by publication of the first statement of the bank's condition since it passed under the control, on Feb. 15 last, of Hastings, Tormerly notorious in Nonpartisan league banking circles, demanded to day that the state banking department take every possible step to determine if any illegal practices were resorted to in the condition of the in stitution and to punish guilty parties if any there be. 50 Depositors Attend About 50 depositors attended the conference, held during the afternoon as the culmination of a rising tide of indignation at the closing of the in stitution which was in excellent con dition only few weeks ago, and which went into the hands of re ceiver because of the remarkably rapid change in its status during the period it was under the control of Hastings. Hastings, in New England for a few hours Tuesday, has been absent from the city since the bank closed, while F. Proehl, a cashier placed in the bank by Hastings, departed today for Minneapolis. Sales men of stock in the bank and in holding company known as the Bankers Investment company of Minneapolis have been out of the territory for some time after they failed of receiving the sort of reception they had anticipated. Demand Full Publicity Demand that full publicity be given concerning the condition of the bank

4. June 2, 1925 The Bismarck Tribune Bismarck, Mandan, ND
Article from The Bismarck Tribune, June 2, 1925

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Article Text

STATE TAKES SLOPE BANK Baird in Charge of Institution at New England L. R. Baird, general receiver of closed banks, has taken over the New England State Bank, Gilbert Semingson, state examiner, announced Friday. The state banking department withheld action for six weeks while efforts were being made to reopen the bank, or place it in such condition that it could be sold to another bank. Negotiations toward this end may yet be completed, according to banking department officials, who will place facts in the case before the attorney general for such action as he may see fit. The New England State bank was taken over last winter by J. J. "Jack" Hastings, once a vicepresident of the defunct Seandinavian American bank of Fargo and active in other "league" banks which A. C. Townley and other Nonpartisans sought to organize in various parts of the state. An eight cylinder sedan, in which Hastings and one of his associates drove into New England shortly before a meeting on Feb. 18, when the deal for control of the bank was completed, was attached by a New England garage for a repair and garage bill amounting to $206.62. At the time of the transfer of control of the bank, Hastings," who was associated with twin city men, induced the directors to accept his plain note and that of the Bankers Holding company, said to have been organized by him, in payment for stock in the institution. Hastings made an impressive reentrance into North Dakota banking circles, which was short-lived. He informed acquaintances that he and his' associates were ready to spend $1,000,000 in the state acquiring banks. The New England bank was the first and only one purchased. Deposits began to decline after Hastings became connected with it, and on March 21 the bank was forced to closed. Hastings was a figure in the socalled "endless chain" system of organizing farmers banks in the state several years ago, during the heyday of the Townley regime, when, it is alleged, the scheme to buy control of one bank, hypothecate the stock

5. October 23, 1925 The Producers News Plentywood, MT
Article from The Producers News, October 23, 1925

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Article Text

HASTINGS HAS BONANZA MINE DECLARES CAN PAY BANK DEPOSITORS SOON HE SAYS ON ARRIVAL IN STATE. * * Fargo, N. D., Oct. 20.-"If I live until spring, I'll pay off every depositor of the New England State bank," said J. J. Hastings upon his arrival at New England, N. D., today, to answer charges of embezzlement and grand larceny growing out of the closing of that institution last March, the Fargo Forum says today. "I'm making lots of money 1 now, he said, "and can make the * grade in that time." Hastings arrived in company S with L. V. Duncan, deputy sheriff, and left about noon for Mott, d where he is to be arraigned beit fore Justice Dewey later today. State's Attorney J. K. Murray S. * said this morning that his trial d would likely not be had until the f February term of district court. Hastings declares, according to the Forum, h has struck a rich ore vein in Pischastin Creek section of the mountains, about 3 hours run from Seattle. His parte ner is Fred Karns and, accordSing to him, they have made a rich strike in Manganese ore. to They also have a smelter going, y and smelt about five tons a day, n * at a profit of $42 a ton, according is to Hastings. * *

6. October 21, 1926 The Forum Fargo, ND
Article from The Forum, October 21, 1926

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Article Text

and women who know but one way to by laboring with their get grindstone and saving of their The average in bank is not gifted in depositor the of high Pugh pronounced three Judge years sentence on the and two on the of worthless stock after the first term Hastings was custody of the Morton county surprised at the severity of the adjourned, "but we have just Attorney Faber indicated. By peculiar the senof Hastings to five years in the at Bismarck place just few hours after the bank of Farin his fifth attempt at him for the when he knew the to be the penitentiary Monday had sought habeas corpus in the urging that he was deprived his liberty due that the loss of his had made impossible to perfect appeal for court the trial in which he Career Meteoric Hastings North Coming into picture as financial agent for Nonpartisan he flashed the stage few years as the ter adjunct to the when Townley was at power. North Dakota to New York. blazed spectacular In Thomas Box he the for time, all was from Hastings that the penple of North Dakota got their first the for establishing the Hastings story of the the bank the 1919 session of the state legislature, the complete control of the Hasting's story of the bank plan was but North know that Hast Ings knew whereof spoke, and that the he was one that had batched by the then league Power Once many the power of was felt. He had arisen from that of bookkeeper for the when It was struggling along its infancy with office at Minot. and when was known and its even by those in the first ran afoul of the law the closing. was in dicted, freed from trial operation of the statute of for Hastings out of the coming back about 18 months as the head to of banks. The deal for the New England State bank was made, dollars the bank's were removed in the was run followed and the Pleaded Guilty several others. all the accused other than Hastings freed. ings pleaded guilty to the charge of the charge of violating the state "blue law Hastings the third prominent financial the Nonpartisan league to land in the state prison and with state the growing out opera. tions while in charge of bank at Lisbon, his retirement from the league berth.