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WARRANT FOLLOWS FALSE BANK RUMOR AS LOUISVILLE, KY. (Continued From First Page.) voted unanimously to continue, whether salaries are paid or not, pending the clearing up of the present difficulties An armored truck with $1,000,000 in cash arrived here late yesterday from the Charlotte branch of the Federal Reserve Bank of Richmond, for the Wachovia Bank & Trust Co. Officials reported deposits in this bank yesterday practically equaled withdrawals. Officials of the National Bank of Commerce, another of the city's large financial institutions, said the bank gained in deposits yesterday. Banks besides the Central Trust Co. to close yesterday were the BiltmoreOteen Bank, at Biltmore, Asheville suburb; the First Bank & Trust Co., the Citizens' National Bank and the American Bank & Trust Co., all of Hendersonville; the Bank of Lowell, at Lowell, the Clay County Bank of Hayesvile, and the Bank of Leicester, Buncombe County. Total deposits tied up by the closings is more than $24,000,000. A statement issued by the directors of the Central Bank & Trust Co. said they had decided at a meting early yesterday not to open the bank and to turn the institution over to the State Banking Department for liquidation. Blames Land Boom. While the directors' statement gave no reason for the bank's failure, John Mitchell, chief State bank examiner in a statement at Raleigh attributed it to "collapse of a highly inflated plane of real estate values." He said: "Immediately preceding the collapse of the Florida real estate boom, a large number of high-powered real estate operators transferred their activities from Florida, concentrating largely in Asheville and Hendersonville. The result of their activities was to produce a highly inflated plane of real estate values. The resulting collapse in real estate, as well as other values, made it impossible for the failed banks to liquidate their receivables in sufficient volume to meet demands of depositors. "This situation is purely a local one and does not in any way reflect conditions in the State generally and should cause no uneasiness concerning the selvency of other banks within the State." SIX INDIANA BANKS FAIL.
