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THREE BANKS CLOSE IN MORTON COUNTY Run on Institutions Held Responsible; Reorganization Plans Made Voluntary closing of three Morton county state banks was announced Friday as the result of runs started early in the week. The banks closed are the Farmers State Bank of Mandan with total footings of $600,000. the First State Bank of New Salem and the Farmers and Merchants State Bank of New Salem, each with footings of $300,000. Bank officials said the closings took place as a protective measure and that they expected depositors to realize 100 per cent on deposits. They said the Mandan bank will be reopened while efforts are being made to consolidate and reorganize the two New Salem banks. Bankers said the run resulted in withdrawals of $40.000 within the last few days from the Farmers State Bank of Mandan and $25,000 from the two New Salem banks. The run followed the closing of a small bank at Judson last week. The First State Bank of New Salem has bonds of $80,000 and the Farmers and Merchants bonds of $40.000 while the Farmers State Bank of Mandan has bonds. stocks and warrants of $107.000. The Mandan bank is backed by the Lanterman interests. W. A. Lanterman died a few years ago, leaving an estate of about $1,000.000. Officers of the bank declared that paper carried was very conservative in every instance. John A. Timmerman, cashier of the Mandan bank, is a heavy stockholder in the two New Salem banks.
