City National Bank (Bessemer, AL)

View Charter #11905 on SPMC View balance sheet

Episode Information

Episode UID
1190501572
Episode Type
Suspension → Closure
Bank Type
national
Bank ID
119050 national
Charter Number
11905
Start Date
December 23, 1930
Location
Bessemer, Alabama (33.402, -86.954)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
2ac613fff60d5c9e

Response Measures

None

Receivership Details

Depositor recovery rate
48.0%
Date receivership started
1931-01-12
Date receivership terminated
1938-06-25
Share of assets assessed as good
23.4%
Share of assets assessed as doubtful
62.3%
Share of assets assessed as worthless
14.3%

Description

Closure began Dec 23,1930; later placed in receivership and dividends/claims processed.

Events (6)
1. January 3, 1921 Chartered
Source
historical_nic
2. December 23, 1930 Suspension
Cause
Local Banks
Cause Details
Closure of City National was said to be the result of the Bessemer Trust & Savings Bank suspending payments and related depositor withdrawals reducing reserves.
Newspaper Excerpt
The City National Bank and the Bessemer Trust and Savings Bank failed to open for business today and officials issued statements saying they were acting for the best interests of depositors.
Source
newspapers
3. December 30, 1930 Receivership
Newspaper Excerpt
The bank closed Dec. 30, 1930. Jacob A. Salmon, receiver for the City National bank at Bessemer, filed suits ... (receiver referenced).
Source
newspapers
4. January 12, 1931 Receivership
Source
historical_nic
5. January 20, 1931 Other
Newspaper Excerpt
BESSEMER BANK PLANS TO REOPEN - With the declaration that the bank reopening the City National Bank which closed its doors ... steps reorganization ... favored bank and agreed their posits, $125,000, reserve to offset any resources may result from the reorganization.
Source
newspapers
6. February 18, 1931 Reopening
Newspaper Excerpt
BESSEMER BANK TO BE REOPENED - Re-opening of the City National practically assured ... The state department recommended the re-opening and specified $150,000 pledge.
Source
newspapers

Newspaper Articles (15)
1. December 23, 1930 Tallahassee Democrat Tallahassee, FL
Article from Tallahassee Democrat, December 23, 1930

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MIAMI BEACH BANKING INSTITUTION IS CLOSED Atlantic Hop On January15 Repairs Completed German Seaplane At Lisbon. Berlin, Dec. 23. giant DO-X will be ready to seaplane begin its long-awaited flight across the Atlantic on January announced by Dr. Claude was Dornier, designer of the machine, here today. The huge air liner, according to present plans, will leave Lisbon on that date for the Canary Islands, thence proceeding to Cape Verde, Rio de Janeiro, Havana and New York. It was announced that Clarence Schildhauer, American co-pilot of the DO-X, would return to Lisbon January 10 to be ready for the take-off. The DO-X has been delayed at Lisbon by fire which destroyed one wing. Subsidiary Penney Bank In Miami. Following heavy run on deposits after the closing of the City National Bank of Miami yesterday, the City Bank of Miami Beach, subsidiary of the defunct institution, was also forced to main closed this morning, Ernest Amos, state comptroller, has been informed. The two other subsidiaries of the National bank have not been however, as they do entirely trust business, the comptroller was told. Upon confirmation of the information, Mr. Amos tendered the position as liquidator for the City Bank of Miami Beach to E. Duncan, county liquidator for Dade and Broward counties. The City Bank of Miami Beach was capitalized at $100,000 and was established following the failure of the Miami Beach subsidiary of the defunct Bank of Bay Biscayne in Miami this summer. Investigation Started Miami. Dec. City Bank of Miami Beach was ordered closed today as investigation in an was begun by State's Attorney M. Vernon Hawthorne into the alleged violation of state banking laws the closing vesterday of the Citv National Bank here. The state bank examiner ordered the Miami branch bank be closed. and officials of this stitution said depositors eventualwould be repaid in full. Bessemer Banks Closed Bessemer. Ala., 23. The City National Bank the and Bessemer Trust and Savings Bank (Continued on page five)

2. December 23, 1930 Pittsburgh Sun-Telegraph Pittsburgh, PA
Article from Pittsburgh Sun-Telegraph, December 23, 1930

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PHILA. BANK VISITS HOOVER, FLAYS NORRIS placed before President Hoover but he has said nothing Meanwhile the Republican independent group in the Senate for serious diswas preparing Norris himself is. pute. statement last night desued and today Senanouncing tor Brookhart. Republican indeof issued statement which said: "Secretary Mellon has no right to set up a Republican committee with money to over. ride any Republican Senator who listens to the voice of the people. "Robert H. Lucas says there a cancer in the Republican party and that it must be cut out. He is right. But he does not recognize the cancerous part. The personal head of this cancerous growth is Andrew W. Mellon. "Robert H. Lucas is only little wart under the toenail of this big personal- USED G. O. FUNDS The Senate Campaigns Funds Committee. which Lucas had financed some antiNorris campaigning in Nebraska. yesterday found Lucas had used funds of the Republican National Committee in securing the loans he made from bank here to pay the anti-Norris propaganda Stunned by the furore of the sudden controversy. the Senate Republican leadership is watching silently Senate Republicans insist the issue of Norris right to party recognition is not up them and they are watching the attitude of the President and the national committee toward Lucas The Kentuckian still has his job and. therefore. apparently the support of the party On reaching the capitol. Representative also heads the Appropriations Committeesaid he had President Hoover: "It is the duty of every Republican to stand behind Mr. Lucas. Although all might not agree with the way Mr Lucas did things am sure every real Republican agrees with his idea. Wood later declared "It is time for the Republicans to speak out in meeting and rid themselves of people like Norris. He is nothing but wolf in sheep's clothing. Why. would lot rather have to deal with Democrat in the Senate, than pusedo Republican like the Nebraskan.' and stockholders having claims of more than $2,000,000 against the closed Bankers Trust Company and its 19 branch offices were assured to. day the bank is solvent and that they will receive 100 cents on the Plans already are under way for the reorganization and the early re-opening of the huge institution according to Samuel H. Barker president of the 000 concern. MIAMI Fla., Dec. The City Bank of Miami Beach which underwent heavy run yesterday following the closing of the City National Bank in Miami. did not open this morning. HARTFORD Conn. Dec. Hartford banks. the Riverside Trust and Pallotti Andretta & Co., were pended today by Bank Commissioner Lester Shippee. followon both institutions ing runs which have been in progress since last July. BESSEMER Ala. Dec City National Bank the Bessemer Trust and Savand ings Bank failed to open today. Officials said they were "acting for the best interests of depositors.

3. December 23, 1930 The Huntsville Times Huntsville, AL
Article from The Huntsville Times, December 23, 1930

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BESSEMER BANK FAILS TO OPEN City National Remains Closed for Best Interests Of Depositors BESSEMER, Dec. 23 (AP)-The City National Bank and the Bessemer Trust and Savings Bank failed to open for business today and officials issued statements saying they were "acting for the best interests of Officials of the Bessemer Trust and Savings company said the closing of that institution was authorized by Dent F. Green, state banking superintendent, who was here Closing of the National bank was said in a statement to be result of the other bank suspending payments. G. Foote, state bank examiner, assumed charge of the affairs of the Massemer Trust and Savings bank toMr. Green said the institution solvent and that reorganization /may be attempted. Green said withdrawls by depositors to tide them over periods of unemployment had reduced deposits from more than $500,000 year ago to $270,000 and that the bank was unable to realize on assets to maintain its legal reserve. A statement issued by the City National said that institution had suspended payments temporarily. J. C. R. Gwin, vice president said the action was taken "to protect depositors" and to give all a chance "to fare alike." The Bessemer Trust and Savings bank, according to its last published report, had a capital of $60,000 and surplus of $2,000 with deposits of The City National was capitalized at $100,000 with surplus of $33,630 shown in the last published report and deposits of $800,160 Another at Miami MIAMI, Fla., Dec. 23 (AP)- The City Bank of Miami Beach, which underwent a heavy run yesterday fol. lowing the closing of the City National Bank in Miami did not open this morning C.L. Clements, vice president and cashier ,said the bank closed at the order of state bank examiners to protect its The bank had a capital stock of $100,000 surplus of $50,000 and deposinstof $600,000 at the last call. Two At Hartford NARTFORD Conn., Dec. 23 (AP) wo Hartford banks, the Riverside Trust Company and Palotti Andretta and Company, were suspended today by Bank Commissioner Lester B. Shippe, following runs on both institutions which have been in progress since last July. The state manual for 1930 gave the capital of the Riverside Trust com pany, incorporated in 1907 at $400,000. surplus $600,000, undivided profits 805.23 and commercial deposits $3,-

4. December 23, 1930 The Fresno Bee Fresno, CA
Article from The Fresno Bee, December 23, 1930

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State Takes Over Chelsea Bank In New York State Superintendent of Banks Broderick announced to. day he had taken the Chelsea Bank and Trust Company The institution according to the latest figures, had gross of $16,323,000 on December 20th, The bank was closely identified with the motion picture industry in New York and two directors are active figures in the film world. ANOTHER MIAMI CLOSES MIAMI BEACH Dec. 23. The City Bank of Miami Beach was closed to-day to protect depositors, officials announced, after run on the bank yesterday. The city bank had capital stock of $100,000 and of approximately $600,000. The City National Bank of Miami was closed yesterday. CLOSE IN HARTFORD HARTFORD Dec. 23 Hartford banks, the Riverside Trust Company and Pallotti Andretta and Company, were suspended to-day by Bank Commissioner Lester E. Shippee, following runs both institutions. Pallotti Andretta and control the Riverside Trust ComThe state manual for 1930 gave the capital of the Riverside Trust Company as $400,000, surplus $600,000, undivided profits $24,229, savings deposits $643,805 and commercial deposits $3,185,455.10. B7SSEMER (Ala.). Dec. 23 The City National Bank the Bessemer Trust and Savings Bank failed to open to-day. RICHMOND (Va.), Dec 23 The state division of insurance and banking to-day the People's Bank of Gretna, Va., had

5. December 23, 1930 The Stuart News Stuart, FL
Article from The Stuart News, December 23, 1930

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Miami Beach City Bank Shut Today MIAMI, Dec. 23. City Bank of Miami Beach, which underwent a heavy run yesterday following the closing of the City National of Miami, did not open its doors today. C. L. Clements, vice-president and cashier, said the institution would pay depositors 100 cents on the dollar. He said the bank was closed on order of state bank examiners to protect the assets. The City Bank of Miami Beach had a capital of $100,000, $50,000 surplus and deposits of $600,000. The September 30 statement of the lank listed its total resources at more than $1,000,000 and deposits of nearly $900,000 at that time. Meanwhile, Hugh H. Gordon, jr., president of the suspended City National Bank of Miami, was questioned privately today by State's Attorney Vernon Hawthorne, concerning three statements made at various times by C. Penney, New York capitalist, regarding his support of the bank. Gordon said before going into Hawthorne's office he would not comply with a request to produce the originals of telegrams sent by Penney April and June, assuring President Gorden and the depositors that he "stood squarely behind the bank." BESSKMER, Ala., Dec. 23. The City National Bank and BessemTrust Savings Company with total deposits of nearly $1,250,000 failed today.

6. December 24, 1930 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, December 24, 1930

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CHELSEA BANK Closes In New York. Small Institution Patronized By Theatrical Profession-Two Suspend In Hartford. New York, December The Cheslsea Bank and Trust Company, small institution patronized mostly by theatrical people, taken by State Superintendent of Banks, Joseph Broderick, today following heavy withdrawals. Broderick said he closed the bank to preserve its assets for depositors. The institution operated seven of fices. It owned the Chelsea Ex. change Safe Deposit Company and the Chelsea Exchange Corporation, securities firm. The run developed last night and this morning. Broderick said it was caused by rumors. Officials began an investigation of reports that malicious campaign was under way to injure banks by false The Bank was a national and state but not member of the Federal Reserve or the New York Clearing House. It at $2,500,000 had approximately $18,000,000 and total resources of $23,000,000. Hartford. Conn., December 23 (AP) Two Hartford banks, the Riv. erside Trust Company and Pallotti, Andretta & Co., suspended today by the Bank Commissioner following runs on both institutions which have been in progress since last July Pallotti, Andretta & Co. control the Riverside Trust Company. The state manual for 1930 gave capital of the Riverside Trust Company at $400,000, surplus $600,000, undivided profits $244,229, savings deposits $643,805 commercial deposits $3,185,455.10. Miami, Fla., December The City Bank of Miami Beach, which underwent heavy run yesterday following closing of the City National Bank Miami, did not open this The bank had capital stock of surplus of $50,000 and deposits of $600,000 at the last call. Bessemer, Ala., December 23-(AP) The City National Bank and Bessemer Trust Savings Bank failed to open today. Official said they were "acting for the best interests of depositors.'

7. December 24, 1930 The Atlanta Constitution Atlanta, GA
Article from The Atlanta Constitution, December 24, 1930

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TWO BESSEMER, ALABAMA, INSTITUTIONS FAIL TO OPEN BESSEMER. Ala., Dec. The City bank the semer failed and officials saying they "acting for the best of National was capitalized $100,000 surplus $33,630 shown published report and deposits $800,160.

8. December 24, 1930 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, December 24, 1930

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are obliged to close our doors to protect The bank was established in 1888. Its deposits are estimated excess $2,000,000, mostly by small merchants in the TWO BANKS CLOSED IN BESSEMER, ALA BESSEMER, Ala, Dec The City National Bank the Bessemer Trust and Savings Bank failed to open today. Officials said they 'acting for the best interests of depositors. Virginia Bank Suspends RICHMOND, Dec 23 (A. P.)The Banking that the Peoples Bank of Gretna, Va, has suspended business. The bank capitalized at $50,000 and had deposits of $474,000.

9. December 24, 1930 Chattanooga Daily Times Chattanooga, TN
Article from Chattanooga Daily Times, December 24, 1930

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NEW YORK BANK CLOSES FOLLOWING HEAVY RUNS NEW YORK, Dec. 23 (AP) The Chelsea Bank and Trust company, small institution patronized mostly by theatrical people, was taken over by State perintendent of Banks Joseph Broderick today following heavy withdrawals. Broderick said he closed the bank to preserve its assets for depositors. The institution operated seven offices It owned the Ohelsea Exchange Safe Deposit company and the Chelsea Exchange corpora ation. securities firm. The Chelsea bank was national and state depository but not a member of either the federal reserve or the New York clearing house It was capitalized at $2,500,000, had deposits of approximately $18,000,000 and total resources of $23,000,000. HARTFORD Conn., Dec 23 (AP) Two Hartford banks the Riverside Trust company and Palotti Andrea & Co., were suspended today by Bank Commissioner Lester E. Shippe following runs on both institutions The state manual for 1930 gave the capital of the Riverside Trust company. incorporated in 1907. as $400 000 surplus $600,000. undivided profits $244. 229.61, savings deposits $643.805 23 and commercial deposits $3,185,455 10. MIAMI, Fla Dec. 23 (AP) The City bank, of Miami Beach. which underwent heavy run yesterday following the closing of the City National bank in Miami, did not open this morning The bank had capital stock of $100,000. surplus of $50,000 and deposits of $600,000 at the last call. WASHINGTON Ga., Dec. 23 (AP) A notice the door of the National Bank of Wilkes county here today said the institution had been closed pending a meeting of the board of directors The bank was capitalized at $50,000 and assets were reported at $400,000 BESSEMER Ala. Dec. 23 City National bank and the Bessemer Trust and Savings bank failed to open for business today and officials issued statements saying they were acting for the best interests of depositors The Bessemer Trust according to its last published report had capital of $60,000 and surplus of $2,000. with de. posits of The City National was capitalized at $100.000. with surplus of $33,630 shown in the last published report and deposits of $800,150 JACKSON Miss. Dec. 23 The Bank of McCool. small Attala county institution. closed its doors today The bank. capitalized at $15,000 car. ried deposits of $100.000 with surplus listed by the banking department at

10. December 24, 1930 Evening Vanguard Venice, CA
Article from Evening Vanguard, December 24, 1930

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Additional Banks Closed In East A run that started on the Prankli Trust Company yesterday after the the Bankers' Trust company had voluntarily closed its doors to conserve its assets, began to subside today bank officers an- MIAMI Fla. Dec. 24 (AP)-The City Bank of Miami Beach, which underwent a heavy run yesterday following the closing of the City National Bank in Miami, did not open this morning BEESEMER Ala. Dec 24 (AP) The City National Bank and the Beesemer Trust & Savings Bank failed to open today Officials said they were actir or the best in- Four of the five members of the basketball team of Carleton college, Northfield. Minn.. have played together three years.

11. December 24, 1930 Tulsa World Tulsa, OK
Article from Tulsa World, December 24, 1930

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YORK BANK FAILS OPEN ITS DOORS Eight Institutions Closed After Runs, to Save Small Depositors NEW state superintendent of banks, The today took posJoseph of the Chelsea Bank and session Trust Main at Fourth Last shopping day before Christmas! patronized actors and largely the theatrical business It others in apitalized has was of approximately deposits total resources of closing of the bank followed The on the institution which last and continued veloped this Chelsea Bank and Trust company The was founded in 1203 and offices. has When seven notice of Mr. Broderick's action was posted, 300 depositors branch in the Bronx tried to the doors. Santa recommends for cold days storm They swept aside a guard of dozen policemen momentarily. but the latter drew revolvera and drove Children's Zipper Suits crowd back. plate glass the in the bank entrance panel shattered. Several persons in the group were roughly handled. low priced RICHMOND, Va., Dec. 23 (A. for gifts state division of and banking today announced the Peoples Bank of Gretna, Fa., had suspended business. The Mothers of very young was capitalized $50,000 bank morning! tots, to 6 years old, will had deposits of Ramsey was president. appreciate one of these sturdy, warm suede suits. WASHINGTON, Ga., Dec. 23 (A. notice on the door of the They're especially good National Bank of Wilkes county for play because they fastoday said the institution had closed pending a meeting of ten so securely. board of directors. The bank capitalized at $50,000 and asThree piece set, leggings, A marvelous selection of sets were reported at $400,000. blouse and helmet. with HARTFORD, Conn., Dec. 23 (A. knit waistband and cuffs on blouse. Riverside Trust company and PalAndretta were Tan Red pended today by Bank Commissioner Lester E. Shippee, following Green Navy runs on both institutions which been in progress since last Copen Pallotti, Andretta & Co. own control of the Riverside Trust company. The state manual for 1930 the capital of the Riverside Trust company as $400,000. surplus $600,000. undivided profits $244.229. savings deposits $643,805. and commercial deposits $3,185,455.10. BESSEMER. Ala., Dec. 23 (A. City National bank and Bessemer Trust and Savings bank failed to open today. Officials they were "acting for the best interests of depositors. The City bank of Miami Beach, underwent heavy run yesterday following the closing of the City National bank in Miami, did not open this morning. Clements, vice president and cashier. said the bank closed at the order of state bank examiners to protect assets. The bank had stock of $100,000. and deposits of $600,000 at the Madeira embroidery, Italian cut work and burano inserts. choose herself! that started on the Were Now Were Now company yesterday after Well made, with plain 8 sets $15.50 announcement that the Bankers' Trust company had voluntarily edges. 26 8.95 7.17 40 15.95 12.76 sets closed its doors to conserve its as9.95 7.96 16.95 13.56 sets, began to subside today. Suntan Bisque Council of Ministers today proved proopsal prolonging the privilege of issuing currency by the of Italy until December 31. PHILADELPHIA, Dec. 23 (A. The private bank of M. Blitzsteen and company, Fourth Lombard streets, closed its doors account of heavy bank was established in 1888. Its deposits are estimated in of mostly by merchants in the neighborIt operates under exemption the private banking act of 1911 and therefore is under no or other governmental super-

12. January 20, 1931 The Birmingham News Birmingham, AL
Article from The Birmingham News, January 20, 1931

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BESSEMER BANK PLANS TO REOPEN With the declaration that the bank reopening the City National Bank which closed its doors protect president the aid officials in this task. The was attended friends officials tional semer forced doors Dec. declared regularities found with the could Resources the bank given deposits loans the bank. Steps reorganization mittee Dr. Snider Bryan, and W. secretary. favored bank and agreed their posits, $125,000, reserve to offset any resources may result from the reorganization. to sell stock in the and Johnston, committee get with depositors composed Bruce Leggett John Neal.

13. February 18, 1931 The Birmingham Post Birmingham, AL
Article from The Birmingham Post, February 18, 1931

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BESSEMER BANK TO BE REOPENED City National Financing Almost Completed Re-opening of the City National practically bank of assured with the the field Wedin nesday cleaning up the necessary for the $150,000 plans will be Re-organization the has not been set. The ing date committee, headed working with W. W. Elhenny, of the closed bank, expected to finish refinancing Wednesday The state department recommended the re-opening and specified $150,000 pledge. The money raised tirely Besesmer business men, Mr. Hollingsworth stated The bank was closed in Decemthreatened "run" followber by ing the closing of another stitution in Bessemer.

14. September 2, 1931 Birmingham Post-Herald Birmingham, AL
Article from Birmingham Post-Herald, September 2, 1931

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OUT OF DEFUNCT BESSEMER BANK Depositors To Get Cut Of 25 Per Cent; $135,000 Total Involved Ala., Sept. 1-Divisecretary the and approximating $135,000 Goode, member of the State dend checks depositors of the Board of Agriculture. will ready for Copies Dispatched defunct City National Bank of BesCopies telegram dissemer between Sept. 15 Oct. Salmon. for the tural leaders North Carolina. Jacob Institution. announced Tuesday. South Carolina. Georgia, Florida, Tennessee. Oklah The checks. 25 per California and Arizona cent dividend. have been urging they appeal Texas Mr. for by support such program. signature of the comptroller of cur- group the rency. ferred Miller of this amount in consideration decides Bessemer section bank special Alabama closed doors Legislature. The governor declined

15. September 28, 1932 The Birmingham Post Birmingham, AL
Article from The Birmingham Post, September 28, 1932

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STOCKHOLDERS SUED BY BANK RECEIVER Jacob A. Salmon, receiver for the City National bank at Bessemer, filed suits in federal court Tuesday against five stockholders of the defunct bank in an effort to collect the amount of the par value of their stock. Salmon bases his suit on the individual liability clause of the federal reserve act. Named in the suits are B. B. Waldrop, $1,000; J. Glenn, $500; A. G. Parsons, $1000; C. Pope, $2,000, and J.C. B. Gwin, $21,000. Salmon also asks eight per cent interest since May 11, 1931, when the United States comptroller of cutrency assessed stockholders the total amount of the $100,000 capital stock. The bank closed Dec. 30, 1930. Its capital stock's par value is $100 a share.