Article Text
Real Estate Transfers DEEDS Luikart Receiver Western State Bank Wm. Winter, lots 4-5 Western. Edward Zumpfe to Mary Mary Smrha Edward Zumpfe Clara Zumpfe, joint tenants, Gustav Schmohr to Ed.
13728. Western State Bank (Western, NE)
Bank Information
- Episode Type
- Suspension → Closure
- Bank Type
- state
- Start Date
- January 1, 1930*
- Location
- Western, Nebraska (40.394, -97.198)
Metadata
- Model
- gpt-5-mini
- Short Digest
e4e48204
Response Measures
None
Description
Articles describe the Western State Bank as insolvent with a court-appointed receiver (Luikart) and distributions to depositors in 1930; a receivership appeal was filed Nov 21, 1934. No run is described. The bank appears to have failed and remained in receivership (permanently closed).
Events (3)
1.
January 1, 1930*
Other
- Newspaper Excerpt
- paid the money in good faith according its terms to various depositors in banks, $278,775.60 in all. The share of the Western State Bank was $1,321.90. ... paid the money to the wrong people ... he had to it back.
- Source
- newspapers
2.
January 1, 1930*
Suspension
- Cause
- Government Action
- Cause Details
- Bank found insolvent and entered receivership/asset distribution under state supervision (payments to depositors under Settlement Fund Act).
- Newspaper Excerpt
- State Western State Bank, Insolvent ... paid to depositors of the Western State Bank in 1930 ...
- Source
- newspapers
3.
November 21, 1934
Receivership
- Newspaper Excerpt
- appeal having been filed by the Receiver from the District Court of Saline County, November 21, 1934. ... he was also appointed by the Court Receiver of the Western State Bank.
- Source
- newspapers
Newspaper Articles (2)
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Article Text
The Supreme Dual Capacity The Supreme Court of Nebraska will be called upon to pass finally upon the disposition of the assets of the Nebraska State Bank Guaranty Fund means of the case of State Western State Bank, Insolvent, appeal having been filed by the Receiver from the District Court of Saline County, November 21, 1934. The case concerns the disposition of which was paid to depositors of the Western State Bank in 1930 der the provisions of the Depositors Final Settlement Fund Act by ClarBliss, then the Secretary of the Department of Trade and Commerce. Mr. Bliss, believing the Final Settlement Fund Act constitutional, paid the money in good faith according its terms to various depositors in banks, $278,775.60 in all. The share of the Western State Bank was $1,321.90. But in 1932, the Supreme Court held the Settlement Fund Act unconstitutional and invalid and made quite different distribution of the money. Instead of distributing the assets from the defunct Guaranty Fund pro rata to depositors of all failed banks, the Supreme Court awarded them those banks whose judgments against the Guaranty Fund came first in time of filing, their claims to be paid full, others to get nothing. This left the Secretary of the partment of Trade and Commerce in the position of having unwitunhappy tingly handed over money to the wrong and in order to carry out the people direction of the Supreme Court he had to it back. To sue the people get who had actually received the money, the thousands whose pro rata shares from $20.00 two cents was an ranged absurdity. But they were depositors failed bank and each of these some banks had receiver, and also some liquidated on account property moratoria and other economic tors. So the Secretary of the Department of Trade and Commerce brought suit against one bank receiver, namely. the Receiver of the Western State Bank, to recover the amount improperdistributed to its depositors. The Bank Receiver insisted that this went to the depositors payment directly, through the bank at that the receivership of the bank was at all in the dealings of implicated the Department of Commerce with the creditors Western State Bank, and certainly should mere innobystander, held liable for of Trade and Commerce Secretary done. The District ignorantly sustained the position of the Court Secretary of Trade and Commerce: Radke. attorney for the Receiver the appeals the Supreme Court. On the Court's decision rests the fate not only of the now against the assets the charged State but also of the Western whole the Receiver wins, this sum will remain in the hands the depositors to whom the distribution made; the partment Trade wins, this money will be taken from the bank's assets and turned depositors of the Farmers State Bank of Rosalie to pay their claims full. An interesting feature of the case that Luikart, present head of the State Department of Banking, apsuing himself in the matparently since he has succeeded Clarence Bliss as Secretary of Trade and Commerce, and he was also appointed by the Court Receiver of the Western State Bank. But the him two persons these separate capacities SecreCommerce, represented by Attorney General Paul and Luikart, Receiver of Western State Bank Judge Radke, Counsel for the Receivership Division of the State Banking Department. The Supreme Court will have really contested question presented to them for sion.