Article Text
NOT CLOSEDJUST TAKEN OVER Things have been happening fast in Superior the past few weeks, and on Monday there was a real shock to this community when it was announced the State Bank of Superior had been cosed by the state banking board. However, there was no card "closed" tacked on the front door, neither was the door locked or the curtains drawn. The only thing different than usual was the fact that Messrs. Weir and Aldrich were not present, and Mr. Hornsby, state bank examiner, and his assistant. were in charge making an accounting of the institution's affairs. Roscoe Mehaus and Miss Eyre were still there, however. Wihen it became known what had happened many depositors and other creditors became alarmed and went in to get their money, but this could not be done because of a possible run on the bank. Ordinary business checks for ordinary commercial transactions, such as the payment of taxes, etc., were honored to a limited degree and deposits were made. Mr. Hornsby, asistant state bank examiner, and his assistant completed their work in making their accounting and turned their records over to G. R. Buckner, assistant secretary of the Guaranty Fund Commission, who arrived here last eventng, accompanied by C. F. Brown. who will operate the bank as special agent for the Commission. In an interview with Mr. Buckner we were told that all ordinary commercial business checks would be taken care of. but be asks that the patrons of the bank use discretion in issuing checks, that It is up to them to help straighten out the bank's entanglements. The bank will go right along under the management of Mr. Brown until the organization of a new bank, if such a thing is thought advisable. The object of the Guaranty Fund Commission in behalf of the state. and under the state banking law is simply to liquidate the affairs of the bank in be half of the patrons. Time depositors will get not only their money but interest on such deposits as usual, and demand depositors will get their money as soon as adjustments can be made, and in all cases. Mr. Buckner states, checks for ordinary commercial business transactions will be cashed promptly. It has come right home to us that the state of Nebraska has one of the best guaranty laws on the statutes of any state in the Union. Professor Stafford of Columbia University of New York City, authority on the subject, after making a thorough investigation of our law, recently declared that he knows of no better plan and stated that he would recommend to the U. S. government the adoption of such a plan as Nebraska has. There are nearly one thousand State Banks in Nebraska. All of these banks are compelled, by the Guaranty Law. to contribute to the guarantee fund for the payment of depositors in failed banks. This assessment on all the State Banks brings in a fund of more than $1,700,000.00 each year That is why depositors in Nebraska State banks have nothing to worry about. There may be a delay about getting the money. but It is sure to come. No depositor in a Nebraska State Bank has lost a dollar in the past fifteen years, when the law went into effect. The above provision for assessment of all State Banks makes loss impossible. -The four Daingerfield children, Messrs. H. Weir and Geo Barber, and Mesdames Ballard and Bradshaw, play the parts of servants, in the play, "Come out of the Kitchen," as their only way out of financial difficulty.
