12677. Farmers State Bank (Adams, NE)

Bank Information

Episode Type: Suspension → Closure
Bank Type: state
Start Date: January 13, 1926
Location: Adams, Nebraska (40.459, -96.510)

Metadata

Model: gpt-5-mini
Short Digest: c358226c

Response Measures

None

Description

Articles from 1926–1927 describe the Farmers State Bank of Adams as failed and under receivership; litigation over claims against the state guaranty fund is discussed. There is no description of a depositor run. Thus this is a suspension/closure with receiver assigned.

Events (2)

1. January 13, 1926 Receivership

Newspaper Excerpt: Farmers State bank of Adams, now under receivership; failed Farmers State bank of Adams referenced in later stories concerning claims on guaranty fund
Source: newspapers

2. January 13, 1926 Suspension

Cause: Government Action
Cause Details: Bank failed and was placed under receivership (state guaranty fund litigation follows)
Newspaper Excerpt: Farmers State bank of Adams, now under receivership
Source: newspapers

Newspaper Articles (8)

1. January 13, 1926 Lincoln Journal Star Lincoln, NE

Article from Lincoln Journal Star, January 13, 1926

Click image to open full size in new tab

Article Text

DISPUTE OVER A DEPOSIT Adams Bank Receiver Claims Money Represents Assessment on Stock of Bank. The state guaranty fund commission has appealed to the supreme from judgment that said court recover from the fund $250 for herself, $250 for M. E. Darnell and for the Auto Sales company on deposits made in the Farmers State bank of Adams, now under receivership The three parties named were stockholders the bank, and they said the deposits were made with express understanding that they were to be paid to the bank as assessments on their stock to the amount 50 per cent of its par value If Arthur Larson, the cashier, and Albert Krauger, the president, and the other stockholders would do the same. They say that these two officials exhibited checks and made the statements that these were in payment of their but that they did not pay It. Not having done so they asked that these be treated as deposits. The lower court held that they were right in their position, and from the fund. The takes the position that the stockholders and directors voted the and that these were upon the stock in therewith and that they are not entitled to reas general claimants or from the fund

2. January 13, 1926 Lincoln Journal Star Lincoln, NE

Click image to open full size in new tab

Article Text

OVER A DEPOSIT DISPUTE Adams Bank Receiver Claims Money Represents Assessment on Stock of Bank. The state guaranty fund commisto the supreme sion has appealed court from judgment that said recover fund $250 for self, $250 for M. E. Darnell and for the Auto Sales company on deposits made in the Farmers State bank of Adams, now under receivership The three parties named were stockholders in the bank, and they said the deposits were made with express understanding that they were to be paid to the bank as assessments on their stock to the amount of 50 per cent of its par value If Arthur Larson, the cashier, and Albert Krauger, the president, and the other stockhold They the same. say would do that ers these two officials exhibited checks and made the statements that these in payment of their assessment, but that they did not pay It. Not having done so they asked that these be treated as de posits. The lower court held that they were right in their and ordered from the fund. The takes the position that the and directors voted the assessment, and that these were payments upon the stock in therewith and not entitled to that they are covery either as general claimants from the fund. or

3. January 14, 1926 Lincoln Journal Star Lincoln, NE

Article from Lincoln Journal Star, January 14, 1926

Click image to open full size in new tab

Article Text

DISPUTE OVER A DEPOSIT Adams Bank Receiver Claims Money Represents Assessment on Stock of Bank. The state guaranty fund commission has appealed to the supreme court from a judgment that said Jennette McCarty was entitled to recover from the fund $250 for ner self, $250 for M. Darnell and $1,250 for the Auto Sales company on deposits made in the Farmers State bank of Adams, now under receivership. The three parties named were stockholders the bank, and they said the deposits were made with the express understanding that they were to be paid to the bank as on their stock to the /amount of 50 per cent of its par value Arthur Larson, the cashier, and Albert Krauger, the president, and the other stockhold ers would do the same. They say that these two officials exhibited checks and made the statements that these were in yment of their assessment. but that they did not pay it. Not having done so they asked that these be treated as deposits. The lower court held that they were right in their position. and ordered reimbursed from the fund. The takes the position that the stockholders and directors voted the assessment, and that were payments upon the stock in accordance therewith and that. they are not entitled to reeither as general claimants or from the fund.

4. December 1, 1926 The Lincoln Star Lincoln, NE

Article from The Lincoln Star, December 1, 1926

Click image to open full size in new tab

Article Text

INSURANCE FIRM Supreme Court Again Affirms Decision In Bankers' Automobile Suit. Union Auto Company Wins $5,000 Suit Against Failed Bank. Affirmance of decree by the district court of Lancaster county which allowed the Bankers' Automobile Insurance Co. of Lincoln, now only $5,079 its claim of more than against the failed American State bank of this city, as the amount be paid out of the guaranty fund. by state court decision the for the second insurance claim grew one of the relled made by Charles its who turned over number notes bank in 1921 and took certicate deposit exchange therefor president and officer the bank. secretary the company Maixner. who of the State bank Ceresco and in charge its business, had made the company to underwrite its $250,000 of on 10 per commisnotes and certificates changed back and forth differthe two banks this Maixner pleaded guilty to bezzling funds of the Ceresco bank which failed the meantime to the served ing finally paroled and the first trial of the guaranty fund was rejected Supreme court the judgment, and on retrial, after evidence had been presented. the district court partial but of the claim. the three which In the American State when but were found the property of the Union Auto Co. Wins. In suit from Gage the high district court's throwing out three certificates deposit total held by the mobile Co. of Lincoln the failed Farmers' State bank Adams, which company presented as claims against the guarfund. These certificates originally Life and assigned by it to the Union. Payment was contested by bank receiver guaranty fund on the ground that Cashier Larson the bank had made an unlawful agreement with president the Bankers' National whereby the make the for acting company's agent business and also making personal the vice district court disallowed the claims for that reason. In upsetting this judgment, the court not sufficient prove unlaw ful officers the bank the company. in the face of Larson's plicit denial on the stand that he had such contract. letter written by the vice president the company to Larson, which was offered an exhibit the "agreement" held by the tribunal collected Larson and deposited in bank, and not to any other Dixon Bank Claimants Lose. In line of its recent affirming the judgment court in Dixon which shut claims against the fund by perholding deposit the Farmers' State bank of Dix on, the Supreme court now disalmore claims of the kind These are the Paul and same McCarthy claims. Can't Halt Foreclosure. real estate gage the mortgage start foreclosure for of taxes the contry to public policy, says high bench in Dawson county also declares that after an action of that kind started the declinquent stop by dering in the of terest taxes have due and showing that the The lower judgment was in of James B. Houser, the sign against Bryce Not Liable for Death. The Railway Light corporation not sponsible for death Rhinold Hron, hold while on bridge to the held in the county action directing verdict for the defendant $25,000 damage Opinion. Omaha Lincoln Ry Creek Land Livestock and given modified Without Opinions the Court. further National Bank Dodge

5. December 2, 1926 Beatrice Daily Sun Beatrice, NE

Article from Beatrice Daily Sun, December 2, 1926

Click image to open full size in new tab

Article Text

SUPREME BENCH REVERSES COURT IN ADAMS BANK ACTION Litigation Involved Claim On State Guaranty Fund LARSON SERVED AS AGENT Nebr., Dec. suit from Gage county the supreme court today reversed the action the district court throwing out three certificates deposit for total of $5,000 held by the Union Automobile insurance company of Lincoln in the failed Farmers State bank at Adams, which the company presented claim against the guaranty fund. These certificates had been Issued originally to the Bankers National Life company and assigned by it to the Union. Larson Denial Payment by the bank receiver and the guaranty fund on the ground that Cashler Larson of had made an unlawful with the vice president of the Bankers National whereby the later agreed to make deposits in return for Larson's acting as the company's agent in uring business and also making personal loan of to the vice president. In upsetting the judgment the supreme court declared there was not sufficient evidence to prove collusion between officers of the bank and the insurance company in the face of Larson's explicit denial on the stand that he had made such contract.

6. December 2, 1926 Star-Herald Scottsbluff, NE

Article from Star-Herald, December 2, 1926

Click image to open full size in new tab

Article Text

BAYARD MAN RECEIVES SHOTGUN WOUND IN LEG WHEN WEAPON DISCHARGED DURING STRUGGLE Certificates Valid for Repayment Lincoln. Dec. suit from Gage county the supreme court today reversed action by district court throwing three certificates deposi for total of $5,000 held the Union Automobile Insurance company of the Lincoln in the failed Farmers State Bank of Adams, which the company presented as claims against the guaranty fund. These certificates had been issued originally the Bankers National Insurance company and assigned the Union. Payment contested by the bank receiver and the Guaranty fund commission. Was Picking Corn When Other Man Enters Field, and gument Ensues VICTIM IS EXPECTED TO MAKE RECOVERY Formal Filing of Charges Will Be Made After Ruzicka's Condition Certain Bayard, Dec. to StarRuzicka, age 27, in the right leg on Tuesday morning during an altercation with Albert when shot discharged during struggle. The full charge the 410 calibre shotgun entered Ruzicka's leg about four inches above the right knee, missing the bone and causing only flesh wound. Ruzicka husking corn on the Dugan farm. miles north Bayard, when Hesseltine proached with the gun in his hand. Ruzicka says that he told the latter not come too near him with the but came on and they engaged in argument. scuffle ensued in which Ruzicka tried obtain the gun which in some manner discharged. Young then went to Ross Chapman farm and forced the latter the point the to take car and drive Hesseltine to what known the corner on the road, where the latter the car and proceeded foot to the Kuhn Brothers ranch, about miles away. and there hired of the men to drive him Alliance. Not having any money, he left the the Kuhn ranch in payment for the trip and taken far as Broncho Lake, near Alliance, where again alighted and continued the rest of the way on foot. In the meantime Ruzicka had summoned assistance and brought to Bayard where he given treatment, and Chief of Police Webb and Irvin Thurston, night marshal. started pursuit of Hesseltine. They arrived Alliance short while after he did and soon located him rooming house He offered no resistance and brought back Bayard for the night and taken the county at Bridgeport Wednesday. Ruzicka, who reported having excellent chances for recovery. states that he can no reason for the attack on him young Hesseltine. The latter, however, refuses to talk except to say that he has ample justification for his the affair. No date been set for Hesseltine's hearing, the nature the charges depending on Ruzicka's recovery.

7. May 18, 1927 Beatrice Daily Sun Beatrice, NE

Article from Beatrice Daily Sun, May 18, 1927

Click image to open full size in new tab

Article Text

REFEREE PROBE BANK A. McGuire Appointed to Get Facts For Court LOAN OR DEPOSIT IS QUESTION The over the question whether Farmers' State Bank Adams held deposit the Union Automobile Insurance company California had loan from that company before Judge Moss in district court here Judge Moss appointed MeGuire and attorney, to all of the books and records in the hands the bank's receiver search any facts having bearing The Union Automobile Insurance company of California had the Farmers' State Adams. deposit. the guarantee fund would have to repay it. If loan to the bank. the lender would have depended on payment from the assets of the bank same as any other creditor. In trial the case, Judge Moss held that deposit but loan and the claim of the company. The state supreme court versed the district court and held that the $5,000 deposit. the case came up in court Tuesday, the mission's was not present. The claimant's attorney, Fred Hager of Lincoln, on hand. Moss stated that wished to get all of facts which might bearing whether the had the money had loaned to the bank. McGuire, referee, rected make an investigation and report.

8. May 19, 1927 The Weekly Wymorean Wymore, NE

Article from The Weekly Wymorean, May 19, 1927

Click image to open full size in new tab

Article Text

McGUIRE WILL INVESTIGATE The controversy over the question whether the Farmers' State Bank of Adams held deposits of the Union Au tomobile Insurance company of California or had received loan from that company was before Judge Moss in district court Tuesday. Judge Moss appointed J. A. McGuire of Wymore, ex-banker and attorney, to vestigate all of the books and records in the hands of the bank's receiver to search for any facts having bearing on the questions at issue.