State Bank - Sarles, ND

Bank Information

Episode Type: Suspension → Reopening
Bank Type: state
Start Date: October 16, 1923
Location: Sarles, North Dakota (48.946, -98.996)

Metadata

Model: gpt-5-mini
Short Digest: 730ca8e0

Response Measures

None

Description

The State Bank of Sarles went on special deposit (suspended) on 1923-10-16 and was reopened under the name Merchants State Bank of Sarles, announced in the 1924-10-29 article. The suspension appears related to poor local conditions the prior year (many closed banks and later reopenings tied to improved crops), so cause is classified as local_shock. The Farmers and Merchants State Bank of Sarles (closed Nov 10, 1923) was merged/taken over on reopening; depositor liabilities were recognized.

Events (3)

1. October 16, 1923 Suspension

Cause: Local Shock
Cause Details: Bank went on special deposit (suspended) amid a wave of bank closures in the state the prior year tied to poor crops/local economic distress.
Newspaper Excerpt: The State Bank of Sarles, Cavalier county, which went on special deposit on October 16, 1923,
Source: newspapers

2. November 10, 1923 Other

Newspaper Excerpt: The Farmers and Merchants State Bank of Sarles, which was closed on November 10, last, with deposits of $95,000. Depositors' full liability is recognized in the merger, Mr. Semingson said.
Source: newspapers

3. October 29, 1924 Reopening

Newspaper Excerpt: Reopening of three banks in North Dakota, as a part of the general revival of business in the state, was announced today by Gilbert Semingson... was reopened under the name of the Merchants State Bank of Sarles.
Source: newspapers

Newspaper Articles (1)

1. October 29, 1924 The Bismarck Tribune Bismarck, Mandan, ND

Article from The Bismarck Tribune, October 29, 1924

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Article Text

IMPROVEMENT OF BUSINESS IS REFLECTED Two Banks in Cavalier and One in Mercer Counties Are Involved DEPOSITS $350,000.00 Full Liability of Depositors Is Said Recognized in Reopenings Reopening of three banks in North Dakota, as a part of the general revival of business in the state, way announced today by Gilbert Seming. son, state bank examiner. The State Bank of Sarles, Cavalier county, which went on special deposit on October 16, 1923, was reopened under the name of the Merchants State Bank of Sarles. The closed bank had capital of $25,000, surplus of $5,000 and deposits of $100,000. The bank, on its reopening, took over the assets and liabilities of the Farmers and Merchants State Bank of Sarles, which was closed on No. vember 10, last. with deposits of $95,000. Depositors' full liability is recognized in the merger, Mr. Semingson said. The First State Bank of Beulah, Mercer county also reopened. The bank went on special deposit December 31, last, having capital of $20,000, surplus of $25,000 and deposits of $161,000. M. P. McGregor of Minneapolis is president and E. A. Kees is vice-president and manager. The reopening of the banks was made possible by good crops this fall. Especially fine crops in northeastern North Dakota have resulted in the reopening of many banks which were closed last year. With more than 35 closed banks already reopened, the reopening of other banks is expected by state officials. The good crop also is expected to boost collections made by receivers of closed banks, and materially increase the dividends to be paid depositors. The reopening of each bank also has the effect of reducing the liability of the Guaranty Fund Commission.