14392. First National Bank (Albuquerque, NM)

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
2614
Charter Number
2614
Start Date
January 1, 1921*
Location
Albuquerque, New Mexico (35.084, -106.651)

Metadata

Model
gpt-5-mini
Short Digest
ee6d3f69

Response Measures

None

Description

Articles from Jan–Mar 1921 describe examiners uncovering massive irregularities, empty vaults, looting and reference to a receiver (John R. Hulet) for the First National of Albuquerque. No explicit mention of a depositor run is found; the bank is in receivership/closed due to fraud/mismanagement, so classified as suspension_closure.

Events (2)

1. January 1, 1921* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Examiners uncovered collusion, conspiracy, questionable/crooked loans, empty vaults and alleged looting and misapplication of funds tied to L. M. Raynolds and associates, forcing suspension/closure of the bank.
Newspaper Excerpt
the whole flock of skeletons that were brought to light from out the dark recesses of the empty vaults ... balance sheets of the receiver
Source
newspapers
2. January 7, 1921 Receivership
Newspaper Excerpt
returned John R. Hulet, Albuquerque he was receiver ... the balance sheets of the receiver and the criminal docket of the superior court of Navajo county
Source
newspapers

Newspaper Articles (2)

Article from The Holbrook News, January 7, 1921

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Article Text

RAYNOLDS FLEES THE TOWN NOW AT THE HOME BASE Collusion and Conspiracy and Every Device Known to the "System" Employed to Keep Raynolds Afloat Until a Blanket Arrived. Second Force of Experts Now Uncovering Evidence, and its Some Mess. has been panned out by the second With the passing of Sheriff Harp set of experts now at work. as his custodian last Friday night, Among the many sidelights that L. M. Reynolds, who was a prisoner have been thrown on the Reynolds in his custody on a criminal charge, system of banking is the fact that dug up the bonds necessary to guarozed out the last few days that a antee his appearance at court-and certain bookkeeper in town was used hit the high places for the home as a stool pigeon against whom was plate in Albuquerque-where the ice was not so thin and the warrants not steered loan prospects-and applicants for loans at the bank were reso thick. ferred to him as the local Solomonso many questionable and crooked in fact he has made loans and dug up deals were found by the examiner coin that would rival the capers of and his deputies in the first examin Death Valley Scotty and yet Dunn's ation-and the many startling dis or Bradstreet's or the corner grocery closures and discrepancies-and the do not have him picked for a "sure whole flock of skeletons that were shot" risk. brought to light from out the dark Mystery and deficits and bum I o recesses of the empty vaults have U's and criminal complaints are still led to a second examination which is the top liners in theHolbrook branch now in progress-and it is generally believed that when all the various of the Raynolds system of bankingand L. M. is safely back to the home trails are blazed by this examination base where a family reunion is probthere will be a good sized job for ably being held to celebrate the "rethe prosecutor and grand jury. turn of the prodigal." It is generally believed by those The Raynolds system expose has who have made an effort to keep tab probably caused more interest in on the case-and by the documents banking circles in the southwest now on file at the court house, that there will be enough incriminating than any financial bustup for many years. evidence hung upagainst the home The News has been besieged for inoffice of the Reynolds system, the formation by banks and financiers First National of Albuquerque, to ask from every quarter of Arizona, New for a requisition on the governor of Mexico, Texas, Colorado and OklaNew Mexico for certain men in that homa-and you can take the tip right state that connived with this bank to here-they'll get an ear full before the last echoes of the Holbrook esloot the Holbrook depositors. pose has been effaced from the balThe case has not taken any new ance sheets of the receiver and the angles this week and will not until criminal docket of the superior court of Navajo county. the whole reeking mess of conspiracy


Article from The Holbrook News, March 4, 1921

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Article Text

Tounds netion and how loan of a from $5,000 the grew Fancher $53,000 loaned 17, to 1918, soit for printing on July amount licitor than three times the bank. to more the capital stock of entertained the of First National also on a The Fanchers, and a footnote letter the signed by J. M. Raynolds to Louie dated Feb. 4, 1919, says: "Fancher called today. I him told we would not handle bonds him longer if he gave us good and a 50 per cent bonus." The inevstigators who raked their over the system's remains, conclude report with: call your attention to the "We of correspondence submitted payfile with this report on bills the able" for the reason that contincorrespondence shows a L. M. effort on the part of from Raynolds uous to borrow money ways, various sources in various unsucmuch of which effort was clearcessful. It also shows very still that many of the notes used unpaid ly Dec. 11, 1920 were Natcollateral at the First have ional as at Albuquerque. We that to the conclusion come are several undeveloped the there of funds coming into and sources possession of L. M. Raynolds undevelopthere are several reflected that causes for payments of the . ed the withdrawal side Raynolds." personal in account of L. M. i Judging from the mass of evidence court is ready for the superior is not a that federal court it and the of the system condescend- Arizona-as question do business in withdrawthey ing to have threatened to entire system question of the and rebut a forced into liquidation circles tirement being from the banking of the southwest. useful are among the most prop Banks of civilization when agencies and honorably conducted. erly them the surplus money waters of Into is collected as reservoir, to flow out and into a community into all com- rechannels a of commerce of a the the business needs It is lieve in every direction. 16% whom to munity the interest of the people that they as possible. to shall such be institutions made as safe serve and efficient efattained In order that this state and of preficiency may fullest be scope consonant served the must be granted men to the with of trained of such skill the management safety and energy efficiency funds. in exercise of this failBy the must be preserved from by disbanks ure, and the looting of same honest bankers. regreat public confidence federal laws The in our state and instiguidance of financial for must not be of tutions posed the destroyed. must Holthis end the citizens Arizona i To and Northern who have brook to it that the culprits and years for <months county fleece connived see individuals, the driven® from and to state held to answer the criminal the ground are but not peculations. only for conniving have a hard their$ The going clique to in Albu with querque are their. account time to square federal courts-and state National will court time convincing a of a awful deserving the the First and is the have charter con- that an the system regulating the National banks of but convincing under ilent duct laws wrecking testimony when the the of they played in record. Holbrook he part State is put on returned John from R. Hulet, Albuquerque he the was receiver, in Wednes- consultday night, where home office and from with the he gave the impresthe First National but come before May. eventually ation sion his conversation that through- would it probably be avoidwould This not constant stalling and