14448. First National Bank (Las Cruces, NM)

View Charter #7720 on SPMC

Bank Information

Episode Type
Run → Suspension → Reopening
Bank Type
national
Bank ID
7720
Charter Number
7720
Start Date
September 4, 1931
Location
Las Cruces, New Mexico (32.312, -106.778)

Metadata

Model
gpt-5-mini
Short Digest
eef7a5bf

Response Measures

Full suspension, Books examined

Other: State treasurer commentary about warrants; deposits secured by Federal Land Bank bonds mentioned.

Description

Multiple contemporaneous articles (dated Sep 5, 1931) report a run on the First National Bank of Las Cruces that began after the failure/closing of the First National Bank of El Paso. The Las Cruces bank voluntarily closed to protect depositors, a national examiner assumed charge, and officials expected to reopen in a few days once the 'scare' subsided. Cause attributed to contagion from the El Paso bank (local_banks).

Events (4)
1. May 3, 1905 Chartered
Source
historical_nic
2. September 4, 1931 Run
Cause
Local Banks
Cause Details
Run triggered by news that the First National Bank of El Paso had failed to open; panic contagion from nearby bank failure
Measures
Bank closed voluntarily to protect depositors; national bank examiner assumed charge
Newspaper Excerpt
A run was started on the Las Cruces National shortly after information reached Las Cruces that the First National Bank of El Paso had failed to open
Source
newspapers
3. September 4, 1931 Suspension
Cause
Local Banks
Cause Details
Bank voluntarily suspended operations after run precipitated by El Paso bank closing
Newspaper Excerpt
L. Sibley, National Bank examiner from Dallas, ... assumed charge of the First National Bank of Las Cruces which closed its doors yesterday
Source
newspapers
4. September 5, 1931 Reopening
Newspaper Excerpt
It is fundamentally sound and will re-open as soon as the first scare passes, R. H. Collier said; president said he expected the bank to be reopened in few daysThe bank absolutely solvent ... when the hysteria subsides, reopen the bank. W. P. McSain, president, said.MAY REOPEN IN FEW DAYSLas Cruces, Sept. L. Sibley...assumed charge of the First National Bank of Las Cruces which closed its doors yesterday. ...the closing was voluntary...he expected the bank to be reopened in few [days]. (multiple articles, Sep 5, 1931).
Source
newspapers

Newspaper Articles (9)
1. September 5, 1931 The State Journal Frankfort, KY
Article from The State Journal, September 5, 1931

Click image to open full size in new tab

Article Text

EL PASO BANK CLOSES DOORS Institution Reported Sound; May Reopen EL PASO, Tex., Sept 4 (By The closing of the First National Bank of El Paso today was followed by a heavy run on the First National Bank of Las Cruces, N. M., which also A national bank examiner took charge of the El Paso institution. President Frank M. Murchison blamed rumors and heavy withdrawals of deposits for the action. The June 30 statement of the bank showed deposits of $9,262,429 and resources and liabilities of $11,306,593. The bank was capitalized at $1,000,000.

2. September 5, 1931 The Roswell Daily Record Roswell, NM
Article from The Roswell Daily Record, September 5, 1931

Click image to open full size in new tab

Article Text

AS SEEM SAYS BANK EXAMINER PASO TODAY El Paso, Tex,, Sept. Pottorff, now in charge of a bank at Helena, Ark, has been appointed -receiver for the First National Bank of Paso. R. H. Collier, of Dallas, National bank examiner, who assumed temporary management of the bank's affairs after it closed yesterday, said Pottorff would arrive within week. "Things are not as bad as they seem," Collier said, "What the bank officials will be able to do depends largely on how willing the people of El Paso are to co-operate. "We can't tell at this time what percent depositors may expect. We are working out a definite plan, which we expect to announce soon." He attributed closing to unwise loans, heavy withdrawals and loss of confidence partly growing out of a former relationship of the bank with the First Mortgage Company, now under process of liquidation. He said the closing of the First National Bank of Las Cruces, N. M., was a surprise to him, that it was "fundamentally sound" and would re-open "as soon as the first scare passes." Three More Close El Paso, Sept. Federal Reserve Bank of El Paso was advised today that the First National Bank of Clint, Texas, the Cochise County State Bank at Tombstone, Ariz., and a branch of the latter at Benson, Ariz., had closed their doors. Clint is about 20 miles southeast of E1 Paso, where the First National Bank failed yesterday. The Clint bank was capitalized at $25,000 and was a correspondent of the First National Bank of El Paso. Roy H. Davidson, a director, said it was closed to protect depositors in anticipation of a run. "The bank is in A-1 shape," he said. "Our president, W. B. Hawes, told me every depositor would get his money and if there was any loss

3. September 5, 1931 The Roswell Daily Record Roswell, NM
Article from The Roswell Daily Record, September 5, 1931

Click image to open full size in new tab

Article Text

(Continued on Page Five) MAY REOPEN IN FEW DAYS Las Cruces, Sept. L. Sibley, National Bank examiner from Dallas, Texas, arrived in Las Cruces this morning and assumed charge of the First National Bank of Las Cruces which closed its doors yesterday morning. A run was started on the Las Cruces National shortly after information reached Las Cruces that the First National Bank of El Paso had failed to open, and had been placed in the hands of national bank officials. W. P. B. McSain, president of the Las Cruces National said the closing was voluntary in the interest of protection to depositors and that he expected the bank to be reopened withfew days. Mr. Sibley had no statemet to make at the bank today. He was just beginning his checkup of conditions. The Mesilla Valley State Bank of Las Cruces was open and doing business today. P. F. Campbell, vice president, speaking for Percy Barker, president of the Mesilla State said: "Everything is 0 K. here and running perfectly. Yesterday instead of closing at 3 p. m., we kept open until 5 m. and had posted a notice that we would remain open all night to accomodate depositors if they wished to withdraw their money from our institution. There was no run on the Mesilla Valley State Bank." State Deposit: Santa Fe, Sept. deposits in the First National Bank of Las Cruces total $38,674.19, and are secured by $45,000 Federal Land Bank bonds and highway debentures, State Treasurer Warren R. Graham said today. Mr. Graham was asked to stop payment on state warrants deposited at Las Cruces and El Paso just before the banks closed, but declined to do so on advice of the attorney general who said such action would unlawful,

4. September 5, 1931 El Paso Times El Paso, TX
Article from El Paso Times, September 5, 1931

Click image to open full size in new tab

Article Text

Las Cruces Bank To Reopen When "Hysteria Ends" the hysteria subsides, reopen the bank." Me. president the First National Bank of Las Cruces, told The Times night during meeting rectors the Las Cruces. "The bank absolutely solvent when reopen could pay off 100 cents the dollar if necesMr. McSain said run bank by the closing of the First National bank Paso and we decided to close the bank, thus protecting our depositors, until the hysteria had subsided. definitely when reopen. The bank is in good shape financially Run Lasts All Day The First National Bank of closing the bank, Murchison, bank the National Paso, 10 minutes extended all day opening hour run yesterday the best method and at o'clock the afternoon the directors ordered the dors closed $3,100,000 Cash protect deposits in the institution The June bank statement listed There in the bank the Las Cruces bank having and had The Mesilla Valley approximately United remained open all day and Paso in the makes grand total $3,100,000. hand you depositors." Blame "In the whisperings, and the people. Mr. Murchison said, decided was best to prohave been more continuous, due rumors "After the situation, we feel fair to friends prefer depositor another That being the case, asked the take charge Name Receiver Collier Dallas, chief national of the 11th district, charge of the bank, said he had advised by telegraph Pottorff, federal receiver bank at Helena Ark., had been appointed the First National Mr. Collier expects the to arrive here within week he arrange Helena. "Mr. Pottorff's selection, I feel,' Mr Collier "is excellent He quite good deal of exTexas and Arizona He understands "Officers and of the First National are hopeful of being some plan whereby the bank be reopened Jake also bank here Collier Officers the National said that the appointment of receiver requirement this interfere with plans bethe reopening of bank. the actual opening the plans has ever such widespread extent has as closing the which half and upbuilding Catching sight The fluttering paper the front of the the San Anthose have residents Paso for either paused the single line, penned in In hands Bank and Pioneer recalled that the First National, the first bank, starting shack, has been, an (Continued on page 3. column

5. September 5, 1931 St. Joseph News-Press St. Joseph, MO
Article from St. Joseph News-Press, September 5, 1931

Click image to open full size in new tab

Article Text

BANKS ARE CLOSED. Run at Las Follows Closing at EL PASO, Txas, Sept. The closing the First National Bank of Paso today was lowed by heavy the First National Bank of Cruces, N, which examiner took charge President Frank blamed rumors and heavy deposits for The June statement of the bank showed of and liabilities bank ized $1,000,000. McSain, the Las run started about after Paso received. condition and would reopen few days. REHEARING FOR GAS FIRM. JEFFERSON CITY, Sept. state public Gas Company rehearing on its order requiring the company file of and for the gas in Mil. ton of the the rehearing for Sept. 16.

6. September 5, 1931 The Santa Fe New Mexican Santa Fe, NM
Article from The Santa Fe New Mexican, September 5, 1931

Click image to open full size in new tab

Article Text

EXAMINERS IN CHARGE LAS CRUCES BANK President Says He Expects Institution Will Be Reopened in Few Days Las Sept. Sibley, bank from Dallas, Texas. arrived in Cruces this morning and charge of the First National bank of Las Cruces which closed its doors run was started on the Las Cruces National bank shortly after reached Las Cruces that the First National bank of had failed to open. and had been placed in the hands of the president of the Cruces national, yesterday said the closing was voluntary and that he expected the bank to opened in few Mr. had no statement make at the bank morning. was just beginning his checkup of The Mesilla Valley State bank of Las Cruces open doing busithis morning. vice speaking for Percy Barker. of the Mesilla State, said "Everything is K. here and running perfectly. Yesterday instead of closing at we kept the Mesilla State open until m. and had posted notice that we would remain open all night to accomodate depositors If they wished to withdraw their money from our institution. There was no run on the Menilla Valley State bank." NAME RECEIVER El Paso, Tex., Sept. Pottorff. now in charge of bank at Helena, Ark., has been appointed receiver for the First National bank El H. Collier, of national bank examiner, who assumed tem porary of the bank's affairs after closed yesterday said Pottorif would arrive within week. are not as bad as seem, Collier "What the officials will be able to do depends largely on how willing the people of El Paso are to can't tell at this time what per cent may expect. We are working out a definite plan. which we expect soon. He attributed closing to unwise loans. heavy withdrawals and loss of growing out of partly former relationship of the Bank (Continued on Page Four)

7. September 5, 1931 El Paso Herald-Post El Paso, TX
Article from El Paso Herald-Post, September 5, 1931

Click image to open full size in new tab

Article Text

Las Cruces Bank to Reopen When First Scare Passes R. H. Collier, national bank examiner, said the closing of the First National Las N. M., at m., Friday, was a surprise to him. 'It is fundamentally sound and will re-open as soon as the first scare passes," he said. 'Business in Paso and the valley is good, especially the livestock industry The First National bank of Las Cruces. bank of the First National in El Paso, withstood a run all day Friday until 2 m. "When the hysteria subsides, we will re-open bank,' W. P. McSain, president, said. "The bank is sound and we can pay 100 cents on the dollar when we re-open. The run on our bank was started by the closing of the First National bank in El Paso and we decided to close to protect our depositors until the hysteria subsides. bank has deposits of $799.858.91 and of $898,973.47 according to its last financial statement. The Mesilla Valley bank at Las Cruces open m. Friday. There was no run.

8. September 5, 1931 El Paso Herald-Post El Paso, TX
Article from El Paso Herald-Post, September 5, 1931

Click image to open full size in new tab

Article Text

Examiner Takes Charge Of Las Cruces Bank W. L. Sibley, national bank examiner from Dallas, arrived in Las Cruces, N M., Saturday and took charge of the First National bank of Las Cruces which closed its doors Friday

9. September 22, 1931 El Paso Times El Paso, TX
Article from El Paso Times, September 22, 1931

Click image to open full size in new tab

Article Text

SPIRITS OF OLD TROUPERS MAKE MERRY of the old Bird Cage theater in Tombstone last week The noise drew Tombattention Workmen were soon busy. replacing the wall Why did Maybe it cracked Maybe the gave Perhaps it was due to the rainy But us, we concur with the Tombstone Epitaph in thinking it was due to the dancing the spirits of dead and gone actors and known. they gather in the old Bird Cage and make merry each night after midnight which was about the time the old theater was Yes, the hades of the old troupers incient revues witnessed from and lower boxes by connoisseurs wine, women gold. dancers admirers but thin wisps of passing possibly from star to star for an the and stage of the auditorium the Bird Cage theater While much of their retreat has been open to it probable they have but the mortal would not like venture in and the old has and LAS CRUCES GROWS MERRY reopen the First National Bank there beginning sunshine the arranged calculated the and hief back of are referred = the une written Virginia and all may guess present are the track march with Bills McSain? the responded to fine everybody left the meet- if depositors prove balky, than half the deup for plan was endorsed by the national bank examiner in charge Sibley