Contemporary accounts (Dec 18–19, 1925) report the Metropolitan State Bank in Denver failed to open its doors and was turned over to state examiners at the officers' request after steady withdrawals during the week. Reports indicate the bank declared solvent and officers expected to reopen once securities were realized, so this is a suspension with expectation of reopening.
Events (1)
1.December 18, 1925Suspension
Cause
Local Banks
Cause Details
Steady withdrawals during the week and runs on other Denver banks (rumors and frozen livestock paper at nearby banks) precipitated the decision to turn the bank over to state examiners to protect depositors.
Newspaper Excerpt
the Metropolitan State Bank today failed to open its doors ... James E. Adams, president of the Metropolitan bank, said today that the bank had been turned over to state examiners at his request.
Source
newspapers
Newspaper Articles (10)
1.December 18, 1925Alameda Times StarAlameda, CA
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FACE CRITICAL
Five Institutions Closed and Depositors Besiege Other Financial Concerns
United Press DENVER Dec. banks closed their doors in Denver days. Metropolitan State Bank today failed open its doors. Yesterday the Drovers' National, Broadway National and the North Denver State Bank all were placed the hands of federal and state examiners. James E. Adams. president of the Bank, said day that the bank had been turnto state examiners at his request. Metropolitan several weeks ago, to Adams, had posits of and since that they have been reduced to about view of the bad banking situation here and to protect interests our depositors, he said, deemed advisable turn the bank over to state offiheavy run developed this morning when the Central SavBank and Trust Company opened doors. was estimated that 500 persons waiting in the street in front of the bank Police were in charge of the crowd and only few were let into the bank at time. Rumors were afloat all over town and serious situation was developing with withdrawals creasing many banks. The Capitoi Hill State Bank put in the hands of state examiners shortly after opening this morning when crowd found waiting withdraw their accounts. This banks with closed doors. The Capitol Hill State Bank small suburWhen the 500 persons milling about front the Central Savings Bank and Trust Company this morning. Bishop Frank Rice of the Liberal Church made his way the teller's window and deposited $100 church. Proceeding to the street. Bishop Rice made speech telling the crowd to be calm and that there need of fear. Fifty people with the bishop.
People's Bank here failto open its doors today The closing of the Bank of Iowa, few days ago, believed to have heavy withdrawals from local bank. Deposits totalled
2.December 18, 1925The Indianapolis TimesIndianapolis, IN
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FROZEN CREDITS CLOSE 5 BANKS Denver Nervous After Series of Failures. Bu United Press DENVER. Colo., Dec. 18.--With five local banks closed and in the hands of bank examiners, all Denver nervously awaited the next move in financial circles today. The Capitol Hill State Bank was put in the hands of receivers this morning after the Metropolitan State Bank failed to open its doors. Yesterday the Drovers National, the Broadwey National and the North Denver State Bank were placed in the hands of Federal and State examiners. Frozen credits and the depression in the livestock industry were jointly blamed for the failure of the institutions whose deposits total several million dollars.
TWO MORE BANKS CLOSE Epidemic of Financial Disaster In Denver - Four Institutions Now Have Closed Doors. Denver. Colo., Dec. 18 (AP) -Two additional Denver banks-the Capitol Hill State bank and the Metropolitan State bank-failed to open today. Two National banks and one state bank were closed yesterday. Grant McFerson, state bank commissioner announced that examiners had taken charge of the Metropolitan and Capitol Hill banks. Both are small institutions. Steady withdrawals from the Metropolitan during the week and a run on the Capitol Hill yesterday were instrumental in the closing, officials said. The banks closed yesterday were the Broadway National, the Drovers National and the North Denver bank, the latter a state institution. These banks had deposits of about $3,500,000. The Broadway National was the largest with deposits of about $2,500,000. Impairment of capital and frozen paper in livestock loans were ascribed as the reason for the closing of the two National banks. Gordon Hollis was president of the two National banks and his wife, Mrs. M. E. Hollis, was president of the North River bank.
4.December 18, 1925The Bismarck TribuneBismarck, Mandan, ND
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McFerson announced that his department's examiners had taken charge of the Metropolitan and Capitol Hill banks. Both are small institutions. Steady withdrawals from the Metropolitan during the week, and a run on the Capitol Hill yesterday. were factors in the>closing, officials said. The banks closed yesterday were the Broadway National, the Drover's National, and the North Denver bank, the latter a state institution. These three banks had deposits of approximately $3,500,000. The Broadway National was the largest, with deposits totaling about $2,500,000. - Impairment of capital and frozen paper in livestock loans were ascribed as the reasons for the closing of the two national banks.
5.December 18, 1925Petaluma Argus-CourierPetaluma, CA
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FOUR DENVER BANKS CLOSE THEIR DOORS
Frozen Paper On Cattle Given As Cause; Bank Examiners Have Been Investigating For Several Days. Recent Depositors
Protected.
(By United Press) DENVER, Colo., Dec. 18.With Christmas shopping at its height three Denver banks were today in the hands of bank examiners.
The Drovers' National bank and the Broadway National bank were closed at noon yesterday when it was found they could not meet their liabilities. The North Denver State bank was closed last night at the request of the officers of the institution after a heavy run during the afternoon. Although no statement has been issued by Gordon Hollis, president of both the closed banks, he replied affirmatively to questions that frozen paper on cattle loans was the cause of the two banks closing. It was announced today that all business done during the forenoon yesterday was kept separate and that deposits made will be returned in full. It was learned that L. K. Roberts, chief national bank examiner of this district, had been here for a week making an inspection of all Denver banks. J. V. Cockins, elected president of the Central Savings Bank & Trust Co. with the resignation of Hollis yesterday morning, issued a statement that this bank was not affected by the resignation of its president and that it had 40 per cent of its assets available to pay depositors. DENVER, Colo., Dec. 18.The fourth bank to close here within two days closed this morning when the Metropolitan State bank failed to open its doors. Yesterday the Drovers' National, the Broadway National and the North Denver state bank closed.
6.December 18, 1925Visalia Daily TimesVisalia, CA
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CLOSING OF FIVE BANKS HARD BLOW TO DENVER
All Sorts of Rumors Said to Be Afloat in Colorado City
CHRISTMAS BUSINESS IS STANDSTILL
Police Called to Preserve Order When Run Is Started on Bank
(United Press Leased Wire) Colo., Dec. local bankers and financiers were conference today to devise some means bring an end to the sitnation here that has caused the closing of five banks within two days, hundreds depositors exchanged rumors and discussed their Christmas outlook with their money tied in the closed up The series of bank closings startyesterday when the Drovers National bank. the National bank and the North Denver State closed their doors. Today the Metropolitan State and the Capitol Hill State banks failed to open. The Central Savings bank and Trust company took advantage of law making it give sixty days' notice before their savings accounts. The total amount of deposits tied in the five banks which have closed approximates The greatest excitement prevailed here today that has been seen for Business the Christmas shopping season felt sharply the financial condition. Many persons could not get their refused to spend. front of the Central Savings Trust company, where 500 perthere was much excitement and police were called to order believed that all the small banks in the city will before the day closes take advantage of the sixty day law. According the officials of all but the two national banks that closed yesterday, there is no cause alarm as the banks were placed the hands of examiners to protect depositors. many rumors were afloat throughout the morning that was impossible to check half of them. Employes offices and laborers (Continued Page Three)
7.December 18, 1925The Hanford SentinelHanford, CA
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FIVE BANKS UNDER
CLOSING OF TWO BANKS TO RUN ON OTHERS WHICH RE. SULTS IN STATE AND
AL EXAMINERS TAKING CON-
TROL.
Denver. Dec. Press) Five banks have closed their doors in Denver within two days. The Metropolitan State Bank today failed to open its doors. Yes. terday the Drovers National, Broadway National and the North Denver State Bank all were placed in the hands of federal and state examinors. James E. Adams, president of the Metropolitan bank. said today that the bank had been turned over the state examiners at his request. The Metropolitan several weeks ago according to Adams, had deposits of $400,000 and since that time they have been reduced to about $100,000. "In view of the banking situation here and to protect the interests fo our depositors. he said, deemed it advisable to turn the bank over to state officials.' A heavy run developed this morning when the Central Savings Bank and Trust company opened its doors. was estimated that 500 persons were waiting in the street in front of the bank. Police were in charge of the crowd and only few were let into the bank at time. Rumors afloat all over town and serious situation ing with withdrawals increasing at many banks The Capitol Hill State Bank was put in the hands of state examiners shortly after opening this morning when crowd waiting to withdraw their accounts. This makes five banks with closed doors. The Capitol Hill State Bank is small suburban bank.
8.December 18, 1925The Whittier NewsWhittier, CA
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FIVE DENVER BANKS ARE FORCED TO CLOSE
Serious Situation Is Developing as Runs Are Started
DENVER, Colo., Dec. 18. (United Press)-Four banks have closed their doors in Denver within two days. The Metropolitan State Bank today failed to open its doors. ter the Drovers' National, Broadway National and the North Denver State bank were placed in the hands of Federal and State examiners. James R. Adams, president of the Metropolitan bank, said today that the bank had been turned over to State Examiners at his request. The Metropolitan several weeks ago, according to Adams, had deposits of $400,000 and since that time they have been reduced to about In view of the bad banking situation here and to protect the interests our depositors,' he said. "We deemed advisable to turn the bank over to State officials. A heavy run developed this morning when the Central Savings Bank and Trust Company opened its doors. It was estimated that 500 persons were waiting in the street in front of the bank. Police were in charge of the crowd and only a few were let into the bank at time. Rumors were afloat all over town and serious situation was developing with withdrawals increasing at many banks. The Capitol Hill State bank was put in the hands of state examiners shortly after opening this morning when crowd was found waiting to withdraw their accounts. This makes five banks with closed doors. The Capitol Hill State bank is a small suburban bank.
By United Press Leased Wire. DENVER, Colo., Dec. 18.-With
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9.December 19, 1925Star-HeraldScottsbluff, NE
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MORE BANKS CLOSE DOORS YESTERDAY
Sixth Bank Remains Open Because of Quick Wit of Preacher.
Denver, Dec. 18. would have been the sixth bank failure in days in Denver, was averted dramatic fashion Friday by Bishop Frank Rice of the Liberal Church, Inc., who forced his way through an excited mob of depositors clamoring the door of the Central Savings bank, made deposit $100 his account, and therehalted run on the institution. have faith. have placed my money in the hands of these men. would be foolish thing to make on this institution: would bring ruin yourselves. beg of you to have No sermon ever had more telling effect and he walked away with the crowd following him. The bank will reopen in days, having taken advantage of the depositors to notice fore withdrawing their funds. In the banks closed Thursday, two more were closed Friday the request of their officers, the Capital State bank and the Metropolitan State bank. both known neighborhood banks and operating in the residence districts. Both declare dthemiselves to be solvent and strong and expect to reopen scon enough securities can be turned into cash to withstand run develops. small run the Metropolitan bank Friday morning, hastening the decision of the officers take precautionary measures. Both institution's will be able to liquidate and depositors will be paid full, according to The total deposits in the five banks now closed amount to nearly five million dollars.
10.December 20, 1925Star TribuneMinneapolis, MN
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Two Additional Banks Close Doors in Denver
Denver, Dec. 19. (By Associated Press.) small state failing to their dors yesterday, left Den pen ver with five closed banks. The banks, with total deposits of ap proximately $4,250,000. are the Broadway National bank, the Drovers' tional bank and the North Denver bank, which closed yesterday, and the Capitol Hill State bank and the Metropolitan State bank, which did not open today.
