14418. American Bank & Trust Company (Clovis, NM)

Bank Information

Episode Type: Suspension → Closure
Bank Type: trust company
Start Date: June 18, 1913
Location: Clovis, New Mexico (34.405, -103.205)

Metadata

Model: gpt-5-mini
Short Digest: 6e432a2e

Response Measures

None

Description

The American Bank & Trust Co. in Clovis was closed by the traveling bank examiner on June 18, 1913 (government action) after an audit found most loans unsound and insufficient cash. There is mention that some depositors withdrew earlier but the coverage notes not a perceptible run on the bank. A receiver (C. E. Dennis) was appointed and the bank's assets were later sold and dividends paid — the bank did not reopen as an operating bank.

Events (4)

1. June 18, 1913 Suspension

Cause: Government Action
Cause Details: Closed by traveling bank examiner after investigation revealed only $10,000 good paper of $40,000 and inadequate cash to meet deposits; examiner placed bank in his hands.
Newspaper Excerpt: Clovis, N. M., June 18.-The American Bank and Trust Co., a state institution, failed to open its doors for the day's business at 9 o'clock yesterday morning. On the door was posted a notice to the effect that the bank was in the hands of Howell Earnest, traveling auditor and bank examiner.
Source: newspapers

2. July 10, 1913 Receivership

Newspaper Excerpt: The Receiver for the American Bank has not yet been named but Judge Richardson is expected here today (Thursday) in which event it is thought that he will appoint the Receiver... Dennis Appointed Receiver.
Source: newspapers

3. December 18, 1914 Other

Newspaper Excerpt: AMERICAN BANK PROPERTY SOLD AT RECEIVER'S SALE...the sale were satisfactory and brought over $4,000.00, which he will distribute to the creditors...The bank building was bought by Jere Haggard...The price paid was $2,950.
Source: newspapers

4. January 4, 1915 Other

Newspaper Excerpt: DEFUNCT BANK PAYS 11 PERCENT DIVIDEND...This brings the total paid to 36 per cent and a further dividend of one per cent is expected soon. Receiver Charles E. Dennis states that this will complete the payments the bank can make.
Source: newspapers

Newspaper Articles (17)

1. June 18, 1913 Santa Fe New Mexican Santa Fe., Santa Fe, NM

Article from Santa Fe New Mexican, June 18, 1913

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CLOUIS BANK IS CLOSED BY BANK EXAMINER Clovis, N. M., June 18.-The American Bank and Trust Co., a state institution, failed to open its doors for the day's business at 9 o'clock yesterday morning. On the door was posted a notice to the effect that the bank was in the hands of Howell Earnest, traveling auditor and bank examiner. Traveling Auditor Earnest had been here since Sunday, investigating the bank's affairs, and it was thought until last night that the institution's affairs could be straightened out and the bank be permitted to continue business. However, a thorough investigation of the books of the institution revealed the fact. according to statements today of local bankers, that there was but $10,000 worth of good paper out of $40,000, and $6,000 cash on hand to meet deposits aggregating something over $30,000. It is reported that numerous local business firms and depositors heard the bank was in difficulties as early as last week and these withdrew their deposits, although there was not a perceptible run on the bank. L. C. West, a prominent banker of t Oklahoma, and brother of the attorT ney general of that state, is president of the institution, and in a statement issued today he promises that in time e e all of the depositors will be paid.

2. June 19, 1913 The Clovis News Clovis, NM

Article from The Clovis News, June 19, 1913

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the prominent financial standing of all these men, it is therefore, no wonder that the people were taken by surprise when informed of the financial condition of the institution and the subsequent closing of its doors. At a conference of the officers of the First National Bank and the Clovis National Bank and those of the defunct institution held Monday night, an effort was'made to have the banks above named take over the affairs of the American Bank and prevent its closing. To this end, the two banks above named offered to give $5000.00 cash apiece and furthermore, the president of the closed institution, Mr. L. C. West, offered to give $15,000.00 which offer was supplemented by one of $2,000.00 by W.A. Foyil, but it appears that all of this was rejected by the Bank Examiner as unsatisfactory. The latest statement to be given by those who are familiar with the banks condition is that although the stockholders may never realize a cent on their investment. that the depositors will be paid practically all in time. In the mean-time they will await the action taken by the Receiver.

3. July 10, 1913 The Clovis News Clovis, NM

Article from The Clovis News, July 10, 1913

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American Bank Notes. The Receiver for the American Bank has not yet been named but Judge Richardson is expected here today (Thursday) in which event it is thought that he will appoint the Receiver. The information obtainable is not official and will not be until such appointment is made. The NEWS has again learned since last issue, that there was a small amount of cash and sight exchange on hand at the time the bank closed, but that all the special fund containing deposits taken on the last day the bank did business, was refunded to the depositors, who were railroad employes. It is argued by some that unless the depositors are paid in full, then criminal proceedings may follow and this appears to be the shape affairs have taken at present. Dennis Appointed Receiver. The Latest news is to the effect that late Thursday afternoon Judge Granville A. Richardson announced the appointment of C. E. Dennis of the

4. August 14, 1913 The Clovis News Clovis, NM

Article from The Clovis News, August 14, 1913

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Notice of Suit. In the District Court of Curry county, New Mexico. To J. W. Stilwell, Mary A. Stilwell, Alice Stilwell and L. Ashby: You will hereby take notice that a suit has been filed and is now pending in the District Court of Curry county, New Mexico, in which Chas. E. Dennis as Receiver for American Bank & Trust Co., is plaintiff, and you the persons to whom this notice is addressed are the defendants, and that said suit is numbered 661 on the civil docket of said court. You will further take notice that the objects of said suit are as follows: To recover judgment against said defendants J. W. Stilwell and Mary A. Stilwell, in the sum of $485.00, interest costs of suit and attorneys fee on account of balance upon a promissory note in the sum of $532.00 executed by the two last named defendants on the 4th day of October, 1913, payable to the order of said bank, and to secure a decree of foreclosure against all of said defendants upon a mortgage executed to secure said note upon the following described real estate, situate in Curry county, New Mexico, to-wit: The south half of block one, (1); lots 7, 10, 14, 15, 16, 17, Block 3; Lot 14, Block 4; Lots 3, 4, 5, 6, 7, 8, 9, 10, 11, 13, 15, 16, 17, Block 5; Lots 4, 5, 6, 7, 8, 9, 10, 11, Block 8; Lot 2, Block 9; All of Block 11; Lots 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, Block 12; Lots 2, 3. 4, 5, 6, 7. 8, 9, 10, 11, 12, Block 13; Lots 1, 2. 3, 4, 5, 6, 7, 8, 9, 10, 11, Block 15; All of Block 16; All of Block 17; Lots 4, 5, 6, 7, 8, 9, 10, 11, 12, Block 18; Lots 2 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, Block 19; All of Block 20, all in the Gamble Addition to the town of Clovis, also 36 acres along the south line of SE 1-4 of NW 1-4 Section 19, Tp. 2, N. R. 36, E; and for general relief. You will further take notice that unless you appear, answer or plead in said suit on or before the 25th day of September, 1913, judgment by default will be rendered against you and plaintiff will apply to the court for the relief prayed for in his complaint filed in said suit. You will further take notice that Harry L. Patton, whose business and postoffice address is Clovis, N. M., is attorney for plaintiff. Witness my hand and the seal of said court, this the 13th day of August 1913. A. L. AWALT, County Clerk.

5. September 4, 1913 The Clovis News Clovis, NM

Article from The Clovis News, September 4, 1913

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6. October 21, 1913 Albuquerque Morning Journal Albuquerque, NM

Article from Albuquerque Morning Journal, October 21, 1913

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CLOVIS DEPOSITORS TO RECEIVE DIVIDEND FROM FAILED BANK (SPECIAL DISPATCH TO MORNING JOURNAL) Santa Fe, N. M., Oct. 20.-Acting under instructions of the district court, Receiver C. E. Daniels, for the defunct American Bank & Trust Co. of Clovis, will make a payment of 15 per cent to the depositors and the office is busy making out a check to each and every individual in compliance with that order. It is now thought another payment will be made before a great while. A complete statement by the receiver of the business transactions up to date has been made out and filed with Judge Richardson, of the Fifth judicial district.

7. October 24, 1913 The Kenna Record Kenna, NM

Article from The Kenna Record, October 24, 1913

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NEW MEXICO IN BRIEF Western Newspaper Union News Service. Dates for Coming Events. Nov. 23-26.-Meeting New Mexico Educational Association at Albuquerque. Howard Mielenz of Dexter has been appointed a notary public by Governor McDonald. The Federation of Women's clubs held a pleasant and profitable meeting at Santa Fé. It will require fifty stock cars to ship the 15,000 sheep acquired by E. C. Chambers, a buyer at Gallup. Albert Kauzlowski, a miner, employed at the Heaton mine, near Gallup, was killed by a powder blast. Governor McDonald has disposed of a large number of cattle, owing, it is said, to short feed on his Carrizozo ranch. Judge Pope of Santa Fé, sentenced Nez, a Navajo Indian, to four months in jail for opening a mail sack and taking out a letter. The Rev. George Splinters, rector and dean of the parish of Bernalillo, and well known in Santa Fé, died after an illness of eleven days. The Savings bank of Taiban was closed by the state banking department, and L. B. Waters placed in charge pending further developments. Judge Pope, at Santa Fé, sentenced several prisoners who had been convicted in U. S. District Court, among them being some for selling liquor to Indians. Attorney General F. W. Clancy went to El Paso to be present during the taking of testimony in the boundary suit between the state of Texas and the state of New Mexico. Clovis was so eager for silos, that the Chamber of Commerce offered a premium of $25 for each one constructed in that section; twenty have resulted from the crusade to date. James Lynch of Roswell, on trial at Clovis a second time for the murder of City Marshal Roy Woofter at Roswell two years ago, entered a plea of guilty to murder in the second degree. Ira Brown, colored, who in November, 1909, was sentenced from Luna county to the state reform school for from five to six years, has been pardoned conditionally by Governor McDonald. Paroles were signed by Governor McDonald in the cases of W. P. Kookeen and Frank Rice, both of Chaves county, who had served their minimum sentence. Both men have work offered them. The Hope Community Irrigation Company filed a dissolution notice with the State Corporation Commission. This company organized about two years ago it is said, but never commenced business. "Sweet Potato" Charley of near Hagerman claims he can raise on portions of his farm 59,820 pounds of sweet potatoes per acre, which, at two cents per pound, should increase his bank account $1,196.40. The body of Ben Reddinger, who disappeared from camp in the Manzano mountains foothills near Albuquerque, was found by a searching party. It is believed that his death was. caused by heart failure. Two convicts at the state penitentiary made their escape by sawing their way out through the roof of the ice house. Del Rexford, one of the prisoners, was overtaken and taken back to prison within a few hours. Governor McDonald signed a requisition to the governor of Oklahoma, asking for the return to New Mexico of L. C. West, president of the American Bank and Trust Company of Clovis, which was closed several months ago. A sale of 16,076 acres of state lands in Luna county will be held Dec. 8. Chadwick and Deyo, contractors for the grading on the new branch line of railroad running from near Whitewater to the Burro Mountains, have practically finished the job and tracklaying has been in progress for several days. Ninety-five cars of cantaloupes were shipped from Roswell and South Springs this season off of 450 acres; 600 were planted. Portales has shipped this season forty-four cars; Artesia and Lakewood, 3; Fort Sumner, thirty-six cars. Agua Nergra grant, in Guadalupe county, recently changed hands at a price said to be in the neighborhood

8. October 30, 1913 The Clovis News Clovis, NM

Article from The Clovis News, October 30, 1913

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Notice of Suit. IN THE DISTRICT COURT OF CURRY COUNTY, NEW MEXICO. Chas. E. Dennis, Receiver for American Bank & Trust Co., Plaintiff, vs. J. H. Ritter, Defendant. No. 674. To the Defendant, J. H. Ritter: You will hereby take notice that a suit has been filed and is now pending in the District Court of Curry county, New Mexico, in which Chas. E. Dennis, as Receiver for American Bank & Trust Co. is plaintiff, and you, the said J. H. Ritter are defendant, and that said suit is numbered 674 on the civil docket of said court, and that Harry L. Patton, whose business and postoffice address is Clovis, New Mexico, is attorney for plaintiff. You will further take notice that the object of said suit is to recover judgment against you in the sum of $3675.99 on account of overdraft owed by you to said bank and on account of a certain promissory note executed by you, payable to said bank, together with costs, interest and attorney's fees, and that the following described real estate belonging to you, situate in Curry County, New Mexico, has been levied upon and attached in said suit, to wit: Lot 8, block 3, in the original town of Clovis. You will further take notice that unless you appear, or answer in said suit on or before the 5th day of December, 1913, judgment will be rendered

9. November 27, 1913 The Clovis News Clovis, NM

Article from The Clovis News, November 27, 1913

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Notice of Suit. To H. W. Williams: You will hereby take notice that suit has been filed and is now pending in the District Court of Cnrry County, New Mexico, in which Chas. E. Dennis, as Receiver for American Bank & Trust Company, is plaintiff. and you, the said H. W. Williams, are defendant; and that said suit is numbered 704 on the Civil Docket of said Court. You will further take notice that the general objects of said suit are as follows: To recover judgement against you in the sum of $498.60 and costs, interest and attorney's fee, on account of a certain promissory note, executed by you on December 31, 1912, payable to American Bank & Trust Company; and to foreclose a chattel mortgage executed by you to secure said note upon the law library, furniture and fixtures belonging to you and therein described. You will further *take notice that unless you appear, answer or plead in said suit on or before the 8th day of January, 1914, judgment by default will be rendered against you and plaintiff will apply to the court for the relief prayed for in his complaint filed in. said suit. You will further take notice that Harry L. Patton, whose business and Postoffice address is Clovis, New Mexieo, is attorney for plaintiff in said suit. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of said court this the 26th day of November, 1913. A. L. AWALT, County Clerk. N-27 D-18. (Seal)

10. December 18, 1914 The Clovis News Clovis, NM

Article from The Clovis News, December 18, 1914

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AMERICAN BANK PROPERTY SOLD AT RECEIVER'S SALE Depositors of Institution Will Get Their Pro Fata Share of Proceeds of Sale Soon. According to court order the New Train Schedule final step in closing the affairs of the defunct American Bank & A new time table will be issued Trust Company was taken on the first of the year and it is Saturday when Receiver C.E. now certain that it wiil include a Dennis. conducted a sale disposschedule of the new Galveston ing of the remaining property to Pacific daylight train. It is and securities. The sale of the stated on good authority that securities disclosed the fact that this new train will include two offic ers of the bank had loaned Frisco sleepers from the east themselves from $500.00 o and through sleepers from Gal$1800.00 on their personal notes veston to Los Angeles or San and had also overdrawn their Francisco. The train will be account. Mr. Dennis informs made up here and this equipthe NEWS that the results of ment maintained to its final the sale were satisfactory and destination. This will give brought over $4,000.00, which towns west of Clovis in New he will distribute to the creditors Mexico daylight train service, as soon as possible and he is ena n accomodation which they deavoring to effect this settlehave long desired. It will also ment before Christmas. give them a double daily train The following statement was service. given out by the Receiver o the press regarding the sale: Masons Elect Officers The bank building was bought Clovis Lodge A. F. and A. M. by Jere Haggard, cashier of the No. 40 held its annual election Citizens' Bank of Albuquerque. of officers for the ensuing year, The price paid was $2,950. The Tuesday night. As the date of Albuquerque bank was one of installation, Dec. 27 (St John's the heaviest losers in the Ameriday), falls on Sunday this year, can Bank & Trust Company failthe installation of officers will ure, but Mr. Haggard's good be held on Monday. Dec. 28. judgment in buying the building The following officers were undoubtedly will help his bank elected: to recover at least a portion of P. A. La Shier, Worshipful the loss. Master. W. H. Land, a Fort Sumner R. L. Pryor, Senior Warden. banker, bought the notes and W. I. Luikart, Junior Warden. judgment, Notes aggregated W. S. Carmack, Treasurer. $20,001.46, and Mr. Land paid A. J. Whiting, Secretary. $425 for the lot. Several thousBert Curless, Tyler. and dollars worth of judgments The other efficers of the lodge brought only $120. Six or seven are appointive and will be an thousand dollars worth of notes nounced later. had been charged off the books, for which there was no offer. Best Postoffice Several scattering lots in Clovis were sold, also a small equity Postoffice inspector. Mark in a farm north of town. Williams made an examination A surprising feature of the of the Clovis postoffice in his defunct bank is the fact that rounds recently and complimentofficers, stockholders and emed postmaster, A. B. Wagner on the first class condition of the ployees of the bank owed the bank $16,347.78 when its doors office. He said that the Clovis were closed, which left an inpostoffice was in the best condebtedness of less than $4,000 dition of any he had examined by outside parties. in his district, which comprises Mayor, Cash Camey, surprised New Mexico, Arizona, a part of the natives by demonstrating Colorado and a part of Texas. that he is a first class auctioneer. He also spoke highly of the

11. December 21, 1914 Albuquerque Morning Journal Albuquerque, NM

Article from Albuquerque Morning Journal, December 21, 1914

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PLAN TO BANISH POLITICAL BANK FOR ALL TIME Disclosures From Recent Failures Have Caused All Hands to Sit Up and Take Notice of Conditions, (SPECIAL CORRESPONDENCE TO MORNING JOURNAL] Santa Fe, Dec, 20.-Remarkable are the disclosures made in the final winding up of the business of the defunct American Bank and Trust company at-Clovis, The receiver, Charles E. Dennis, sold what remained of the bank's effects. Jerre Haggard, cashier of the Citizens bank at Albuquerque, bought in the bank building for $2,950. However, the startling feature was that W. H. Land, a Fort Sumner banker, who for $425 bought $20,001.46 of notes and judgments. Besides, some $7,000 in notes had been taken from the books and charged off as uncollectible. The surprising fact is that the officers, stockholders and employes of the bank owed the bank $16,347.78 while outsiders owed less than $4,000. This failure. as well as that of the First State bank at Las Cruces, have already resulted in a banking act being drafted for introduction in the législature to put a quietus once for all on political banking in New Mexico.

12. December 25, 1914 The Clovis News Clovis, NM

Article from The Clovis News, December 25, 1914

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Depositors Being Paid. The final payment of the creditors of the failed American Bank and Trust Company is being arranged this week by the receiver, C.E. Dennis. District Judge, G. A. Richardson, of Roswell, passed through the city last Friday and signed the order for final settlement from the proceeds of the sale of bank property and securities held on December 12th. The pro rata payment will be small.

13. December 25, 1914 Deming Graphic Deming, NM

Article from Deming Graphic, December 25, 1914

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Santa Fe-Remarkable are the disclosures made in the final winding up of the business of the defunct American Bank and Trust company at Clovis. The receiver, Charles E. Dennis, sold what remained of the bank's effects. Jerre Haggard, cashier of the Citizens bank at Albuquerque, bought in the bank building for $2,950. However, the startling feature was that W. H. Land, a Fort Sum ner banker, who for $425 bought $20,001.46 of notes and judgments. Besides, some $7, 000 in notes had been taken from the books and charged off as uncollectable. The surprising fact is that the officers, stockholders and employes of the bank owed the bank $16, 847.78 while outsiders owed less than $4, 000. This failure, as well as that of the First State bank at Las Cruces, have already re sulted in a banking act being drafted for introduction in the legislature to put a quie tus once for all on political banking in Few Mexico.

14. January 1, 1915 Western Liberal Lordsburg, NM

Article from Western Liberal, January 1, 1915

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Santa Fe-Remarkable are the disclosures made in the final winding up of the busi ness of the defunct American Bank and Trust company at Clovis. The receiver, Charles E. Dennis, sold what remained of the bank's effects. Jerre Haggard, cashier of the Cit. izens bank at Albuquerque, bought in the bank building for $2,950. However, the startling feature was that W. H. Land, a Fort Sumner banker, who for $425 bought $20,001.46 of notes and judgments. Besides, some $7,000 in notes had been taken from the books and charged off as uncollectable. The surprising fact is that the officers, stockholders and employes of the bank owed the bank $16,347.78 while outsiders owed less than $4,000. This failure, as well as that of the First State bank at Las Cruces, have already resubted in a banking act being drafted for introduction in the legislature to put a quietus once for all on political banking in New Mexico.

15. January 4, 1915 The Evening Herald Albuquerque, NM

Article from The Evening Herald, January 4, 1915

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DEFUNCT BANK PAYS 11 PERCENT DIVIDEND Clovis, N, M., Jan. 4.-Those who were left Cholding the sack" at the demise of the American Bank and Trust company received another divIdend check shortly before Christmas, the amount being 11 per cent on their claims. This brings the total paid to 36 per cent and a further dividend of one per cent is expected soon. Receiver Charles E. Dennis states that this will complete the payments the bank can make.

16. March 12, 1915 The Evening Herald Albuquerque, NM

Article from The Evening Herald, March 12, 1915

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what was done at said meeting is vague and indefinite but your committee finds that although the governor of New Mexico and the traveling auditor at the time they so met with the officials of said bank knew that T. R. H. Smith the president of said bank was undesirable in every way in connection with banking matters and had no financial resources, had deliberately deceived the traveling auditor's office and that the bank at that time was insolvent, the capital stock being impaired at least to the extent of 150 per cent, yet not a thing was done from that time on by either the governor or the traveling auditor to require the affairs of said bank to be placed in a better condition. That although during all that time the governor and the traveling auditor knew that the funds of the state college were deposited in said bank no steps were taken by either the governor or the traveling auditor to protect said funds in any way. That neither the governor nor the traveling auditor notified either directly or indirectly any member of the board of regents of said schools, that said bank was in a precarious condition, so that the funds of said school could be protected. That the traveling auditor has attempted to justify his action on the theory that he had notified the board of regents of such condition it would have caused a run on said bank and the institution would have been closed. However, in connection therewith we wish to state that prior to the closing of the American Bank and Trust company, of Clovis, N. M., a telegram was sent from the traveling auditor's office to the treasurer of Curry county,

17. March 13, 1915 Albuquerque Morning Journal Albuquerque, NM

Article from Albuquerque Morning Journal, March 13, 1915

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Dereliction Charged. That although during all that time the governor and the traveling auditor knew that the funds of the state college were deposited in said bank no steps were taken by either the governor or the traveling auditor to protect said funds in any way. That neither the governor nor the traveling auditor notified either directly or indirectly any member of the board of regents of said school, that said bank was in a precarious condition, so that the funds of said school could be protected. That the traveling auditor has attempted to justify his action on the theory that had he notified the board of regents of such condition it would have caused a run on said bank and the institution would have been closed. However, in connection therewith, we wish to state that prior to the closing of the American Bank and Trust company, of Clovis, N. M., a telegram was sent from the traveling auditor's office to the treasurer of Curry county, directing him to withdraw the county funds from that bank. It may be suggested, however, that according to the testimony of the traveling auditor, said telegram was sent without his knowledge or direction, but was sent by a subordinate in his office, one W. L. Kegel. In connection with that matter it is very suggestive that although the traveling auditor knew of the falling condition of the American Bank and Trust company, of Clovis, no steps were ever taken by him to assist the treasurer of the county in protecting the county and state funds: that being done by said W. L. Kegel on his own initiative. Governor's Advice to Cox, We further find that in October, 1913, after the examination of the