14548. Eureka County Bank (Eureka, NV)

Bank Information

Episode Type: Suspension → Closure
Bank Type: state
Start Date: March 29, 1910
Location: Eureka, Nevada (39.512, -115.962)

Metadata

Model: gpt-5-mini
Short Digest: 3f1c921c

Response Measures

None

Description

The coverage describes the Eureka County Bank being suspended/closed in late March 1910 and placed in the hands of a receiver (receiver Spencer Reynolds). There is extensive reporting of investigations, indictments, and receiver actions and dividends. The sources do not describe a depositor run prior to suspension; the Banking Board ordered the bank closed to protect depositors after the Rhyolite bank failure. Therefore classified as a suspension leading to permanent closure/receivership. Dates are taken from newspaper dates and context (closure reported March 29, 1910; receiver in place by mid-April 1910).

Events (2)

1. March 29, 1910 Suspension

Cause: Government Action
Cause Details: State Banking Board ordered/affected closing of the bank to protect depositors after deterioration of bank's assets and in anticipation of runs following failure of the Rhyolite (another Smith brothers) bank; bank was described as 'suspended' and 'closed' by the board/examiner.
Newspaper Excerpt: The closing of the Eureka County Bank filled the people of that community with consternation.
Source: newspapers

2. April 13, 1910 Receivership

Newspaper Excerpt: the Eureka County Bank which has been suspended and placed in the hands of a receiver. ... Spencer Reynolds, Receiver of the Eureka County Bank, returned Tuesday ... and is handling affairs; receiver has paid dividends to depositors later reports show 50 percent dividend paid and subsequent small dividends from receivership assets.
Source: newspapers

Newspaper Articles (24)

1. March 29, 1910 Daily Independent Elko, NV

Article from Daily Independent, March 29, 1910

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Tuesday, March 29, 1910. The Eureka Bank Failure The Sentinel says that the closing of the Eureka County Bank filled the people of that community with consternation. This feeling, it says, was owing to the fact that nearly every man, woman and child in Eureka was financially interested either directly or indirectly. We doubt if another community of the size of this can be found in the state that has been as seriously affected as has this by the suspension of business by the Eureka County Bank. Not only people : of large means, but those who possessed meager sums of money had nearly every dollar they owned in this bank. These include business men, capitalists, widows, and even small children. The tying up of nearly all the available money in this community has paralyzed business here, and the people stand around and wonder what the final outcome will be. They do not discuss the washouts on the E. & P. Railway, neither do they appear to care when the Wells Fargo Company will bring here the three or four tons of express matter consigned to Eureka that has been lying at Palisade for the past month, their minds being centered on the financial disaster. To add to the distress of the people they were unable to obtain any information regarding the affairs of the suspended bank further than the statement made by Cashier C. H. Gorman that there were sufficient funds in the bank when it closed to pay the depositors over thirty cents on the dollar. Telegrams sent to Oscar J. Smith, president of the bank, who is now at Reno, remained unanswered up to Friday night. According to the statement in the complaint filed by the attorneygeneral the deposits amount to $319,892.36; the liabilities are $486,841.16 and the assets are $285,968.73. Acording : to this statement the bank will be able to pay 50 odd cents on the dollar of its deposits. On Saturday, Judge Breen summoned a grand jury to meet on April 7th to investigate the affairs of the bank. A Sentinel reporter asked Judge Breen if he had anything to say in regard the oalling of the grand jury. The Judge replied: "Not for the present. That information had reached him semiofficially which he considered amply sufficient to demand investigation at the hands of a grand jury. That

2. April 1, 1910 Weekly Independent Elko, NV

Article from Weekly Independent, April 1, 1910

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Banks not Affected That none of the other banks of the state will be affected by the closing of the Eureka County Bank is the positive assurance given by Sam Belford, one of the members of the State Board of Bank Commissioners. He says that the affairs of all the other banks are in an admirable condition. The Banking Board was not in session yesterday but will probably be in session in a day or so. W. B. Fowler, assistant to the attorney-general, left yesterday for Eureka where he will make application before Judge Breen to have a receiver appointed for the Eureka bank. Mr. Van Vleet, the State Bank Examiner, has already taken charge and is making a thorough investigation. His report will not be available for several days.

3. April 4, 1910 Daily Independent Elko, NV

Article from Daily Independent, April 4, 1910

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OSCAR J. SMITH INTERVIEWED Saturday's Reno Gazette contains the following interview with Oscar J. Smith, regarding the failure of the Eureka County Bank. The Gazettesays that Mr. Smith has aged perceptibly since the crash came and has assumed a more serious aspect than his wont, but is philosophic through it all: "My brother, my wife and I were in apparently prosperous circumstances before the crash came, but we played out our hands to the last card, or, as a billiard de votee would say, to the end of the string. We did not really know that the crash would come until the night before the suspension of the Rhyolite institution. It would have been better for our depositors and for ourselves if we had wound up our banking business months ago, but we had investments that were liable to prove of great value at any moment. That is all there is to the story and we have all three placed what fortune we posses back of the institutions. Mrs. Smith will posses absolutely nothing more than the equity in her house and I will have my law library, the tool of my trade; Bert will emerge equally stripped of his possesions. I am confident that the Rhyolitè bank will pay every cent of its indebtedness and am assured that the Eureka institution will do equally as well. My brother and I will only surrender all our present assets, but we will labor for the balance of our days to the end that no man can say we ever took advantage (Continued on page 5.)

4. April 4, 1910 Daily Independent Elko, NV

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SALMAGUNDI erintendent Anderson and Mr. Bonham left for Lamoille this morning. The Elko Drug Company has the sweetest candies in the market. See the new ad. Miss Schuler left for Reno Friday night to spend her Easter vacation with her people. Mrs. M. W. Hough of Ely is visiting Miss M. E. Hough. She is on her return from California and Oregon, where she spent the winter. "Who's Brown" drew a large audience to the opera house Saturday night. The different actors did their best to please and the large audience retired at the close of the performance well satisfied with the evening's entertainment. Mr. Fred Crofut, one of the grand jurors summoned by Judge Breen to investigate the affairs of the Eureka County Bank, is in town after a load of provisions. He says conditions in Eureka are very bad, and that there is likely to be a famine on account of the scarcity of provisions. Eureka was sorely stricken by the flood and bank failure. Judge Langan has denied the motion of T. B. Rickey for a change of venue from Ormsby county in the case of Frank L. Wildes as receiver vs. T. B. Rickey and the directors of the defunct State Bank and set the case for trial on April 9th. Judge Breen evidently means busine in dealing with the affairs the Eureka County Bank. His reply to the statement of Deputy Attorney General Fowler has the right ring. Sworn officers of the law should do their duty to the people fearlessly and impartially. When they fail to do that, innocent people are sure to suffer. We hope Judge Breen will hew to the line in all matters connected with the failure of the Eureka County Bank. We give our readers today a full and complete statement of the affairs of the Eureka County Bank and matters connected therewith, as the same appeared in the Eureka Sentinel of Saturday. The failure of this bank is of intense interest to the people of Nevada and especially to this county, where Oscar J. and Bert L. Smith were once interested. The getting up of this amount of matter has made a great deal of extra work in this office, but through the kindness and interest of Mr. O. W. Andrews and the assistance of our new typesetting machine we are able to give our subscribers the latest authentic news of the failure of the EurekaCounty Bank and we feel sure that they will appreciate our enterprise in giving them the news, while it is news.

5. April 8, 1910 Weekly Independent Elko, NV

Article from Weekly Independent, April 8, 1910

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OSCAR J. SMITH INTERVIEW Saturday's Reno Gazette tains the followi ig interview Oscar J. Smith, regarding failure of the Eureka County Bank The Gazettesays that Mr. Smith has aged perceptibly since the crash came and has assumed a mor serious aspect than his wont, but philosophic through it all: "My brother, my wife and I we in apparently prosperous circum stances before the crash came, but we played out our hands to the las card, or, as a billiard de votee would say, to the end of the string. We did not really know that the crash would come until the night before the suspension of the Rhyolite institution. It would have been better for our depositors are for ourselves if we had wound our banking business months av but we had investments that W liable to prove of great valurat an moment. That is all there is to the stor and we have all three planed w} fortune we posses back of The in tutions. Mrs. Smith will posses absolutely nothing more than the equity in her house and 1 will have my law library, the tiol of no trade; Bert will emerge equality stripped of his possesion. I am confident that the bank will pay every cett debtedness and am assu Eureka institution wil as well. My brother md only surrender all or P sets, but we will labr to ance of our days to te end that man can say we everook advants (Continued on age 5.)

6. April 12, 1910 Daily Independent Elko, NV

Article from Daily Independent, April 12, 1910

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# THE EUREKA BANK BEING # DRAGGED INTO POLITICS We may now expect to see all the republican papers of the state, fol-lowing the lead of the Reno Gazette, lay the blame for the failure of the Eureka County bank upon Governor Dickerson and the state banking board, the object being, of course, to discredit the democratic administration, the governor and the members of the board.. An effort will be made to so magnify the incident as to make of it a campaign issue, and the people should be advised in advance. The present board of bank co amissioners are in no wise or in no degree responsible for the Eureka County bank failure. The new banking law went into effect, now about a year ago, and the first meeting of the banking board was April 14. The new law under which the board was working made various radical changes in methods and requirements, and it became apparent at once that it would take time for the banks of the state to adjust themselves to the new law. Some of the banks-even those which were doing the larg t business and supposedly the strongest were in bad condition, owing to too liberal management, and the laxity of the old law and the in-efficiency of the bank examiner's department. The board, construing the banking law as an act not only to protect depositors, but in so do-ing also to help the banks them-selves, found it advisable to proceed cautiously but deal firmly with the delinquents. Reports were at once called for and carefully examined and analyzed. On the board were two bankers beside the bank ex-aminer. The condition of the banks of Nevada as disclosed by these reports was such, that if the board had acted under the strict letter of the new banking law, it would have had to close about 50 per cent of the state banks then do-ing business. This, in addition to the depressed condition of affairs in Nevada due to the general panic, would have been a calamity nothing short of a crime, and it would have brought down upon the heads of the baking board just and overwhelm-in public condemnation. Im-porative instructions were at once sent to the delinquent banks and the bank examiner proceeded immedia-tek to check them up. It is not necessary or advisable to go into detail and name these banks, for with the time and assistance given them by the banking board they gradually adjusted their affairs to conform to the new law and placed themselves on a sound footing and

7. April 13, 1910 Carson City Daily Appeal Carson City, NV

Article from Carson City Daily Appeal, April 13, 1910

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A. B. WITCHER APPOINTED Bank Examiner Today. Geo. W. Cowing is Also an Appointee This afternoon Governor Dickerson appointed A. B. Witcher of Ely Bank Examiner to fill the vacancy caused by the death of the late M. M. Van Fleet. Mr. Witcher has held a position as member of the Banking Commission since its formation. The new appointee departed last evening for Eureka where he will investigate the conditions there in connection with the Eureka County Bank which has been suspended and placed in the hands of a receiver. The Governor also appointed Geo. W. Cowing of this city, a member of the Banking Board to fill the vacancy caused by the resignation of Governor Adams some time ago. Both appointments are of the best and will undoubtedly meet with general ap proval. Mr. Witcher is a prominent banker of the state, being president of the Fly National Bank at Ely. and a man well versed in banking con ditions of this state.

8. April 15, 1910 Weekly Independent Elko, NV

Article from Weekly Independent, April 15, 1910

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THE EUREKA BANK BEING DRAGGED INTO POLITICS We may now expect to see all the republican papers of the state, following the lead of the Reno Gazette, lay the blame for the failure of the Eureka County bank*upon Governor Dickerson and the state "banking board, the object being, of [course, to discredit the democratic administration, the governor and the members of the board. An effort will be made to so magnify the incident as to make of it a campaign issue, and the people should be advised in advance. The present board of bank commissioners are in no_wise or_in no degree responsible for the Eureka County bank failure. The new banking law_went into effect, now about a year ago, and the first meeting of the banking board was April 14. The new law under which the board was working made various radical changes in methods and requirements, and it became apparent at once that it would take time for the banks of the state to adjust themselves to the new law. Some of the banks-even those which were doing the largest business and supposedly the strongest were in bad condition, owing to too liberal management, [and the laxity of the old law and the inefficiency of the bank examiner's department. The board, construing the banking law_as an act not only to protect depositors, but in so doing also to help the banks themselves, found it advisable to proceed cautiously but deal firmly with the delinquents. Reports were at once called [for and carefully examined and analyzed. On the board were two bankers beside the bank examiner. The condition of the banks of Nevada as disclosed by these reports was such, that if the board had acted under the strict letter of the new banking law, it would have had to close about 50 per cent of the state banks then doing business. This, in addition to the depressed condition of affairs in Nevada due. to the general panic, would have been a calamity nothing short of a crime, and it would have brought down upon the heads of the banking board just and overwhelming public condemnation. Imperative instructions were at once sent to the delinquent banks and the bank examiner proceeded immediately to check them up. It is not necessary or advisable to go into detail and name these banks, for with the time and assistance given them by the banking board they gradually adjusted their affairs to conform to the new law and placed themselves on a sound footing and are now doing a prosperous business. There were four banks, however that were in a particularly bad way. One of these was a comparatively large bank-the Eureka County bank, a bank at Manhattan and two in the Bullfrog district. The latter two were closed the bank-

9. April 27, 1910 Daily Independent Elko, NV

Article from Daily Independent, April 27, 1910

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# Eggs For Hatching Imported Full-Blood Buff Leghorn, splendid layers. Per setting, $1.00. Imported Full-Blood, Rose Comb, Black Minorcas, splendid layers. Per setting. $1.50. Full-Blood. Rose-Comb, Regal White Wyandottes, imported from Ontario. This breed won in the government test over all others. ten hens averaging 263 eggs each in 272 days. Price per setting. $2.50. Mall Orders Filled. NEVADA POULTY CO.. Elko, Nevada. the trust deed proposition were not excepted the Live Stock Company would be thrown into bankruptcy, which would take the estate into the Uuited States Courts and out of our local Courts; that in his opinion there was no doubt of a petition in bankruptcy being granted. The attorney also stated that Wallace M. Hamilton said in his office in Elko a few days ago that he would give upon examination $140,000 for the Eureka Live Stock Company property. There is considerable discussion pro and con regarding the transfer of the Eureka Live Stock Company to three trustees, of which the Receiver of the Eureka County bank is one. As stated by attorney C. B. Henderson in Court the Eureka Live Stock Company would likely be thrown into bankruptcy if this proposition was not acepted. From all the information the Sentinel can gather on the subject the action taken appears to be the most favorable one possible for the benefit of depositors in the Eureka County Bank as regardless of the cost of litigation in case of bankruptcy proceedings, etc., no action could be taken in the attachment in less than four months, whereas under the conditions of the trust the three trustees can absolutely sell the entire property in whole or in part for the best interests of the creditors with no delay whatever, and any proceeds over and above the indebtedness of the Eureka Live Stock Company, approximating $130,000, will revert to the depositors of this bank to apply on the personal notes of the Smiths and Griffin. The live stock business requires immediate attention for lambing, shearing, etc., to save large losses, but as the trustees are to act without compensation and with no interest except to liquidate the indebtedness, it is not presumable that they are anxious to operate this business for an indefinite time, but will naturally dispose of the property as soon as possible to the best advantage.

10. June 4, 1910 The Goldfield News Goldfield, NV

Article from The Goldfield News, June 4, 1910

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reports emanating from the inside, it is likely that the Eureka county grand jury will be assembled to consider further charges against Oscar and B. L. Smith in connection with the Eureka bank failure. The other day when Oscar Smith was arrested, and was asked by a reporter what the charges were, he replied "for accepting deposits in an insolvent bank that was not insolvent." Smith pretends to claim that the bank was not insolvent; that it had plenty of assets in the way of notes and securities, which, when converted into cash, would satisfy deposits. The bank examiner says that while upon the face of the bank statement the bank had plenty of assets, those assets were in fact to a large extent worthless as they were notes of the Smiths or stocks of their various companies none of which, except the cattle company, had any market value. While the Smiths may cherish the hope of being cleared of the technical charge of receiving money when their bank was insolvent, the new charges that will shortly be filed, according to report, will not be so technical or open to dispute. The facts upon which these charges will be founded have developed since the banking board closed the institution, and, since the grand jury met. The most serious of the charges will be that of making false reports to the banking board on the condition of the bank, reports which were designed to deceive the board and conceal the true condition of the bank. These reports were made over affidavit, and for which the banking laws of the state impose heavy penalties. For the six months prior to its final suspension, the banking board had been considering the Eureka county bank and had many reports from it and caused several examinations made. The Smiths were hailed before the board on several occasions. The sworn reports showed that the bank had on hand in cash, something like $37,000, which amount was above the legal requirements and which fact the board always took into consideration as in its favor. When the bank examiner at different times examined the bank and counted the cash he found the amount to be correct as claimed. But it transpires that there was no such amount to the credit of the general deposit account, and that about $30,000 was a "special" deposit, owned by Eureka county and simply put in bank for safe keeping with the understanding that it was to be kept separate from the bank's cash and not carried on the books. This was a secret agreement between the county treasurer on the one hand and Smith and his cashier on the other. But it develops that the bank carried this amount on its books to the credit of the general deposit fund and reported it to the bank as "cash on hand" for the purposes of the depositors. It developed that these funds were manipulated to suit the convenience and necessity of circumstances. When the bank examiner was nowhere in the neighborhood, the county money rested apart in its separate sack; but when the bank examiner was on hand it was found unsacked and mixed with the general

11. June 11, 1910 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, June 11, 1910

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# LOCAL BREVITIES. Attorney C. B. Henderson arrived from Elko last Sunday and was in attendance upon the District Court Monday. The attention of the depositors of the Eureka County Bank is called to a dividend notice published under "New To-Day." The stage and light teams hauling from the railroad took out 18 passengers from Eureka Monday morning for Palisade. John H. McNaughton and Will Loof-bourrow returned last Saturday from their prospecting trip in the northern end of the county. J. G. Dodds and wife of San Francisco passed through Eureka Thursday noon on their way to Salt Lake in a Packard motor car. Caesar Lani left Wednesday for Hamilton, where he goes to do the annual assessment work on a number of his claims near Monte Cristo. F. ImObersteg, who is doing assessment work on the Paroni and Wren mines at Mt. Hope, 28 miles north of Eureka, came up Wednesday for a visit with his family. John Hancock, Sr., of Eureka, and John H. Vittle of Ruby Hill left on Thursday's stage for Reno, where they go to attend the Grand Lodge of Masons that meets there June 14. C. H. Gorman left early Friday morning on his motorcycle for Elko, intending to take the train there for Reno. Before returning he will visit with his folks at Virginia City, and expects to be absent about ten days. W. D. B. Forbes, interested in the Phenix mine on Ruby Hill and the Madrid mine on Prospect Mountain, arrived here from San Francisco Friday. He was accompanied by George Barton, and they started out Saturday morning to inspect the properties. John Henderson, president of the Henderson Banking Company of Elko, was an arrival here by auto Thursday afternoon. After transacting some business matters with the Receiver of the Eureka County Bank and paying a visit to Ruby Hill, he returned home Friday morning. Harry Morris returned Sunday from a month's prospecting trip near Damele's ranch and Buckhorn. He says he met a number of prospectors in the mountains in that locality. He left Friday to take a bunch of steers from Morris Regli's place belonging to Steve Damele to the latter's ranch. J. S. Bransford, Mayor of Salt Lake, accompanied by his wife and son, William, and also L. A. Evans and wife and W. A. Keddie, arrived in Eureka from Salt Lake in two automobiles Sunday evening on their way to the Coast for a visit. The Mayor and his party remained here over night and continued their journey the next morning. Charles S. Greenwood of Auburn, California, arrived in Eureka Monday afternoon in his new $5000 60-horse power Oldsmobile. He was accompanied by his brother, John, and Alex McCharles, eldest son of County Treasurer R. McCharles, who is a guard at the Nevada State penitentiary, is on a two weeks' vacation. He expects to return to Carson by Monday's stage. The SENTINEL received an invitation to attend the Commencement Exercises of the University of Southern California at Los Angeles, beginning June 12 and ending June 17. Among the names of the students upon whom the degree of Bachelor of Laws will be conferred is that of Leo A. McNamee, son of Mr. and Mrs. F. R. McNamee, former well known residents of Eureka, now residing at Los Angeles. A. W. Clayton, formerly of Alpha, arrived here Tuesday from San Jose, Cal., where he and his family have been visiting relatives for several months. Mr. Clayton is interested in 11 new mining locations near the Damele ranch at Barr, and his present visit is to look after the location work now being done on the claims. He states that the formation and general conditions are similar to those at Buckhorn and that they have some very good prospects. T. A. Burdick of Eureka is also interested in these claims. Mr. Clayton will return to California in about two weeks.

12. June 17, 1910 Weekly Independent Elko, NV

Article from Weekly Independent, June 17, 1910

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# EUREKA COUNTY BANK MATTERS The Eureka Sentinel has the following court proceedings in the criminal cases and other matters growing out of the failure of the Eurek County Bank: The first cases called were those of the State vs. Oscar J. Smith, Bert L. Smith and W. E. Griffin, who were arrested in Reno on May 25 under the indictments known as the Eureka County Bank indictments. Attorney Charles B. Henderson of Elko, who has been retained by the county to conduct the prosecutions, asked the court for an order citing each of the defendants to appear here in court for arraignment, and the order was made that they sppear on Saturday, June 18, at 10 o'clock a. m. The court then called the prosecutions attention to the fact that there were four other indictments found against each of defendants, and required action upon them. Counsel for the state said the other indictments might be permitted to stand as they are until the appearance of the defendants under the orders just made. The court took a different view and said that the grand jury found the indictments some six weeks ago, and that with the exception of the formal arrest of the defendants last week Wednesday, nothing had been done in the way of prosecution. That it was high time further action was taken, and that the court would order bench warrants in each case to be made use of by counsel when necessary. The court then made the necessary orders for bench warrants to be issued in each of the four cases and fixed the bail at $5000 in each case, which brings up the aggregate bond of each defendant to the sum of $25,000. Counsel then asked that bench warrants issue at once in all the cases. The court called the attention of the district attorney to the fact that on April 16, when the grand jury filed its partial report, including the indictments found, the district attorney requested the court to not dimiss the jury, but to excuse them temporarily, as Mr. Wicher, a member of the state banking board, had informed him he would return from the southern part of the state in a short time, and would have other things to submit to the jury. That the court complied with the request, but that up to the present time no notice had been given the court for calling the grand jury together again; that section 4162 of the compiled laws of 1900 reads: "The grand jury on the completion of the business before them shall be discharged by the court, but whether the business be completed or not, they shall be discharged by the final adjournments of the Court." That Court having finally adjourned for the term on last Saturday, and this being the commencement of the new term, the old jury were discharged by operation of law. The District Attorney confirmed the statement of the court as to Mr. Witcher, etc. The court the stated it would call a new grand jury in 10 or 12 days' time, as it had information of a serious character to present to the body. Counsel for the state suggested that the new grand jury be not called until the defendants in the case before the court had appeared and taken action on the indictments pending. The suggestion was adopted. The court addressed the attorney for the receiver of the Eureka County Bank and expressed a desire for a report of the affairs of that institution. Attorney Henderson of Elko said the report was being prepared and would be ready after the 10th of the month, the date when the time for presentation of claims would expire. The motion to compel the receiver to file a new bond, which was partially argued some time ago, come on for further argument. The district attorney read a telegram from the attorney general

13. November 5, 1910 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, November 5, 1910

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form of government equalizes the burden of taxation. With us for example, the farmer is assessed from 45 to 73 per cent, while the railroads pay not more than 13 per cent. At the last State meeting of county assessors I was accused of using the 'big stick,' but it was necessary, and I used it for the cause of the common people. At this meeting I succeeded in having the railroad assessment increased to $28,000 a mile, thereby adding $5,000,000 to the assessment roll. I also forced WellsFargo to raise from $2600 to $30,000, and the Pullman Company to pay three times as much taxes as ever before. "In 1909 I made a fight for a valuation of $30,000 a mile on the Central Pacific. The sworn statement of the auditor of the Southern Pacific Company, operating the Central Pacific, showed that the valuation was $146,000 per mile. That for each mile of road owned in Nevada they earned $15,000 a mile net while paying taxes on $17,500 a mile. Four Assessors in the State Board stood with me to raise the valuation on the Central Pacific, but the Assessor of Eureka County was not one of those four. I believe that your best interests; the best interests of Eureka County, and the best interests of the State of Nevada demand that the Democratic nominee for Assessor of Eureka County be defeated. "In conclusion I say, with all respect to my opponents, Mr. Gegax and Mr. Oddie, who are men of genuine worth and capabilities, the latter being a personal friend, vote for the man with the best policies. Mr. Oddie has given you promises, while I have given you per. formances. I thank you." Eureka County Bank Matters At the conclusion of his speech regarding State affairs, Governor Dickerson said that before ending his remarks he had something of a personal nature to say to the people of Eureka regarding his connection, as Chairman of the State Banking Board, and the other members of the Commission with the recent failure of the Eareka County Bank. He said in substance that when the Banking Board took charge of the State banks last year they found many of them in a most deplorable condition, and that the Commission had used its best efforts to force the officers of these banks to draw in their doubtful loans and do more conservative banking. Among the banks that had been found to be in bad condition was the Eureka County Bank, whose entire capital and very nearly all its deposits had been loaned to the Smith Bros. and their connections on securities, most of which were of doubtful value The Banking Board had called the Smith Bros. before them and had told them that if these loans were not taken up or materially reduced the bank would be closed. The Smith Bros. then had a statement of their affairs made and presented to the Board, and made promises regarding a partial ad justment of their loans, but their promises were never carried out, and it was later found out that Oscar J. Smith had misrepresented the true condition of their affairs and other matters con n nected with the bank. The Board had r not considered the Eureka County Bank in an insolvent condition, but shaky, n and believed that the Eureka Live Stock Company and other securities it S held would restore the bank to good standing. When the National Bank of Rhyolite. another Smith Bros.' bank, d failed, the Banking Board, anticipating a run on the Eureka County Bank, ore dered it closed, to protect all its depositors. Governor Dickerson said that he did not blame the people of this community for some of the criticism passed upon the Banking Board by them; that e under the circumstances he believed it was just, but he wished to assure all n that himself and other members of the Board had acted and done their best for the people of the State in general in t the and dif. to build assist up trying n a results or ment ferent this positors some Eureka The it position could one of Governor banking would would County with the not should follow; present a institutions get be criticised knowledge Bank, back expected have that Receiver claiming most been while the in of that banking, appoint- Nevada. of filled the of their good that the de by he was satisfied would money, they have fared better had & man with knowledge of banking been appointed

14. January 21, 1911 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, January 21, 1911

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THE EUREKA SENTINEL SATURDAY, JANUARY 21, 1911. # LOCAL BREVITIES. Will Swick left Tuesday for Elko, where he expects to find employment. Ben Regli of Ely, formerly of Eureka, has been elected Messenger of the Assembly at Carson. There will be a meeting of St. John's Chapter No. 5, R. A. M., Saturday evening at 7 o'clock. Adams Johnson of Eureka has been elected Journal Clerk of the Senate at the present session of the Nevada Legislature. Mrs. J. H. Hoegh, accompanied by her son, Tracy, left Monday for a visit with her sister, Mrs. G. F. Childs, at Fallon, Nevada. E. D. Walti came in from his ranch, near Cortez, about 45 miles northwest of Eureka, Saturday, to attend to some business matters. Mrs. J. B. McNaughton of Eureka has been engaged to teach the school at Romano in Diamond Valley and left for that place Monday. Assessor H. C. McTerney returned Tuesday from a week's attendance at the annual meeting of the State Board of Assessors at Carson. Mrs. M. Winzell and daughter, Miss Katherine, of Alpha, left Monday for San Francisco, and expect to spend the balance of the Winter in California. Frank Romano of Diamond Valley, accompanied by his wife, were arrivals in Eureka on Wednesday to attend the funeral of his nephew, John Merialdo. A report of the condition of the Henderson Banking Company of Elko at the close of business on January 7, 1911, is published in to-day's SENTINEL During the week this section has been visited by a variety of weather-rain, wind, sunshine and snow squalls prevailing. About one foot of snow has fallen. Miss Isabeli Merialdo, who is attending school at the State University at Reno, arrived in Eureka Friday morning, being called here on account of the death of her brother, John B. Merialdo. The new residence erected by the Farmers Mining Company at the Silver Connor mine for Supt. G. L. Kaeding was finished this week, and Mr. and Mrs. Kaeding moved out to their new home Friday. Miss Villa Huebner of Eureka received a telegram Monday notifying her that she had been elected assistant Enrolling Clerk in the Assembly at Carson, and departed by Wednesday's stage to take up her new duties. Spencer Reynolds, Receiver of the Eureka County Bank, returned Tuesday from a trip to Ely, where he was called to attend to some matters connected with the Rocco-Homestake mining property, an asset of the bank. Mrs. B. Regli, a former Eureka resident now residing at Ely, Nevada, is visiting friends in the western part of the State. Last week she was the guest of Mr. and Mrs. W. J. Tonkin of Virginia City, also former residents of Eureka. A telegram was received in Eureka on Monday notifying Mrs. Tony Romano of Diamond Valley of the serious illness of her father, G. T. Tonkin, at his home at Virginia City. The telegram was forwarded from here by messenger, and Mr. and Mrs. Romano immediately left for Virginia City.

15. February 4, 1911 The Pioche Record Pioche, NV

Article from The Pioche Record, February 4, 1911

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ROCCO HOMESTAKE MINE DEEDED TO RECEIVER Gust Simon, of Hamilton, has deeded to Spencer Reynolds, as receiver of the Eureka County bank, all his right ,title and interest to the Rocco-Homestake group of claims on the elad belt near Hamilton. Mr. Simon bought in the property when it was put up at sheriff's sale last July under a judgement obtained by him in a suit against the original owners some time previous. The Rocco-Homestake company was controlled by the Smiths, of Eureka, who were the owners of the ill-fated Eureka bank. Much high grade lead silver ore has been shipped from the property.-Ely Record.

16. March 25, 1911 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, March 25, 1911

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# The New Banking Law Act Takes All Nevada's Insolvent Banks Out of the Jurisdiction of the Courts, Placing Them Under the Control of the State Banking Board For Liquidation By last Saturday's mail copies of the new banking bill passed during the closing days of the Legislature were received in Eureka and discussed generally by the people here. On Monday forenoon a dispatch was received in Eureka from Carson which stated that an effort was being made there to influence the Governor to veto the measure on the grounds that the proposed law would be detrimental to the interests of the depositors of the Eureka County Bank. This information caused no little excitement here, and shortly after the receipt of the telegram a petition was circulated among the depositors and 15 names secured, which represented a sum aggregating about $50,000 of deposits. This petition was forwarded to the Governor with the statement that the signers were in favor of the new law, and requesting him to sign it. It was also stated that if it was necessary, additional names of depositors could be secured. A telegram was received in Eureka early Thursday morning stating that Governor Oddie had signed the bill the day previous, Wednesday, March 22. While the measure has not been generally read by the people here, from what can be learned quite a majority are favorably impressed with the new law. As far as the SENTINEL has been able to learn the press of the State approves of the measure, especially the newspapers of Tonopah and Carson. Although the new law affects all banks in the State now in the hands of receivers, of which the Eureka County Bank is one, still that institution, it is thought, cut but little figure in the enactment of the new measure. It was, in fact, framed to reach the Nye and Ormsby County Bank and the State Bank and Trust Company, which failed for about $4,000,000, and whose affairs since going into the hands of the receivers have been handled in a very unsatisfactory manner. While the original bill contains some 30 pages of printed matter, which prescribe forms, penalties, etc., the amendment to the new banking law, in fact, contains the essence of the measure, and is as follows:

17. April 1, 1911 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, April 1, 1911

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4. That the cost of administering the affairs of the said Bank, including printing, stamps, wood, oil, miscellaneous expenses, watchman, janitor, court costs, attorney's fees, clerk's salary and the salary of this Receiver to date, has amounted to 3.82 per cent of the assets collected by this Receiver, and that such sum is a much less loss to the creditors and depositors of said Bank than has been suffered by the latter for any of the past five years during which said Bank has been doing business; that, although the costs thus far incurred are a minimum in amount, it is submitted to the Court, that there should be considered therewith, the fact that the property which has been collected must be retained and defended from the attacks and threats of attack originating as aforesaid. 5. That there are many collections to be made and many interests acquired and to be acquired, that must be defended, all necessitating expert assistance for the Receiver. 6. That this petitioner, if empowered by this Court, is enabled to arrange for such expert help and assistance made necessary as aforesaid, at a total cost to the Receivership of $300 per month for the salary of the Receiver and clerk, or the amount which the members of the State Banking Board were willing to accord to this Receiver alone for his services; that, if authorized by this Court, such arrangement will result in a saving of assets of $75 per month; that this Receiver undertakes to pay out of his own salary the amount needed to obtain such expert services, in case the amount asked be insufficient to retain the services of the present incumbent. Wherefore, this petitioner prays for an order of this Court authorizing and empowering him, as the Receiver herein, to continue the employment of the present Clerk of the Receiver, until further order of this Court, at a cost to the Receivership not to exceed the sum of $100 per month of such employment. And for such other and further relief as may be meet and just in the premises. SPENCER REYNOLDS, Receiver of Eureka County Bank. THOMAS J. McPARLIN, Attorney for the Petitioner.

18. July 1, 1911 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, July 1, 1911

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# NEW BANKING LAW # DECIDED UNCONSTITUTIONAL Supreme Court Decides Against State Examiner Taking Charge Of Defunct Banks A special Carson dispatch of June 26 to the Reno Journal says: The Banking law, as passed by the last Legislature, that was intended to relieve the present receivers from liquidating the affairs of defunct banks, and placing the matter in the hands of the State Bank Examiner, was declared unconstitutional to-day by a unanimous decision of the Supreme Court. Only one section in the Banking law, Section 79, was declared unconstitution-al, as this was the only portion brought to the attention of the Supreme Court. The case was brought to the Supreme Court on a writ of mandamus, secured by Eugene Howell, State Bank Ex-aminer, directed against Frank L. Wildes, receiver of the State Bank & Trust Company. Shortly after the passage of the bill, which was known as the Coxe Banking Act, Howell served notice on the receivers of the State Bank & Trust Company, the Nye & Ormsby County Bank and the Eureka bank, asking the different receivers to relin-quish all duties in connection with the banks and also to turn over all papers relating thereto, to him. The receivers refused and Howell promptly brought mandamus proceedings against Wildes in order to test the law. Had he won the other receivers would have acted accordingly. The Supreme Court decision states that the Legislature took upon itself power that was illegal in that it could not, under the constitution of the State, legislate cases out of court, as the receivers were appointed by the court, and that such Act consequently was unconstitutional. Continuing, the decision of the court comments on the charges of extrava-gance in relation to the management of the defunct banks, and states further that the entire matter is a subject for adjustment by the lower courts. The Banking bill was passed at the request and instance of the depositors of the three defunct banks. It placed the State Bank Examiner in charge of insolvent institutions without extra com-pensation and served to reduce the expenses of conducting such office. In the matter of the Eureka County Bank, the receiver has paid 50 per cent dividends to the depositors. The State Bank & Trust Company has paid 10 per cent, but the Nye & Ormsby County Bank has failed as yet to make a payment. Suits against Thos. B. Rickey, president of the State Bank & Trust Company, and directors of the same institution, that have been pending in the District Court, awaiting the settlement of the legality of section 79 of the Bank-ing bill, will now be pressed. This series of suits was being pressed by Receiver Frank Wildes, who was attempting to hold the officials liable to a certain extent for different sums. Since the passage of the Act Judge Langan, of the District Court, has postponed all cases pending, but will now restore the trials to the calendar. The cases had been before the court for a number of months and Receiver Wildes had pre-sented about two-thirds of his testimony before the enforced halt had been called.

19. July 1, 1911 The Eureka Sentinel Eureka, Tonopah, NV

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Eureka, Nevada, June 24, 1911. To the Honorable Peter Breen, Judge of the District Court in and for the County of Eureka, State of Nevada. We, your Grand Jury impaneled by your Honor and assigned to duty on June 14, 1911, having investigated all cases submitted, also all public matters to which our attention was called by the District Attorney and others, and with the assistance of the Special Auditor employed by the County, having made a comprehensive examination of the books and papers of the various County officials, do now submit this, our report: The different committees were appointed as follows: Public Buildings-Chas. H. Rand, E. D. Walti, W. J. Harris. Books-I. H. Rogers, M. J. Hough, F. E. Leonard. Bridges and Roads-F. A. Fulkerson, Dan Johns, Miles McKinnon. Public Morals and Nuisances-James Mackey, F. J. Brossemer, W. S. Yates. Fire and Water-J. H. Fine, J. D. Murphy, F. J. Winzell. The reports of the respective committees are appended hereto. In the case of the State of Nevada, plaintiff, Indian Maggie, defendant, charged with murder, a true bill was found. In the case of the State of Nevada, plaintiff, Indian Tom, defendant, charged with murder, a true bill was found. In the indictments, B, C, D, E, F. G, H, I, J, and K, a true bill was found in each case respectively. The attention of the Grand Jury having been called to violations of the Gambling law, different parties were brought before this body and had read to them certain sections of the gambling law. Peace officers of the County also appeared upon request of the Grand Jury and had their attention directed to the gambling law, with instructions that they were expected to do their duty to the full extent of the law. The Grand Jury having been called upon to investigate the withdrawals of accounts by various parties just prior to the closing of the Eureka County Bank, beg to state that while we find this true, we do not find sufficient evidence to indict. For the benefit of the depositors in the said Eureka County Bank, and for the information of the general public, we wish to state that upon investigation we find that there is absolute and complete evidence to show that the deposit of the funds of this County in said bank by R. McCharles, Treasurer of this County, was placed therein as a special deposit, separate and distinct from all other deposits, and that he was fully justified in having same returned to him intact. In the opinion of this Grand Jury the conduct of the late State Banking Board (the predecessors of the present Banking Board, and to whom Mr. Van Fleet made his report of the condition of the Eureka County Bank during the last six months prior to the suspension of said bank) cannot be too severely censured. Had that Board taken steps to close the Eureka County Bank when their attention was first called to its deplorable condition, the results would have been much better for the depositors and all concerned, with the exception of the officials of the bank, as the deposits of the bank at that time were many thousands of dollars less than when the bank closed, while the assets were in much better shape. These are facts shown by the books notwithstanding the statements to the contrary issued by that Banking Board. Even during the time the Banking Board claimed to have been exercising supervision over the bank and its assets, the assets of the Eureka Live Stock the princi-

20. September 7, 1911 Tonopah Daily Bonanza Tonopah, NV

Article from Tonopah Daily Bonanza, September 7, 1911

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SENSATION DEVELOPED IN EUREKA COUNTY BANK CASE ON TRIAL IN CARSON Judge Peter Breen Gives Some Surprising Testimony Before the Supreme Court-Statements Made By Affidavit Man Are Denied By the Judge. named Florio. The affidavit stated CARSON CITY, Nev., Sept. 7. The habeas corpus proceedings in that Judge Breen had said to the the cases of Oscar J. Smith and affiant: others connected with the Eureka be"I'll get that bank, which was forced to suspend fore my grand jury and fix him." business, is progressing very quietly Judge Breen then took the stand in the supreme court. and stated that if he made such a remark it was not in reference to C. H. Gorman, former cashier, against whom six indictments were Mr. Smith or any one else conbrought, was first placed upon the nected with the late Eureka County stand. bank, but that it referred to others He testified that Judge Breen who had hampered him in his efwas prejudiced against him, Smith forts to get the bank straightened and all others connected with the out so that the people would not bank. The testimony was long lose any money. Mr. Smith and his associates are drawn out, but without any sensational or even any new features. represented at the trial by Judge Then the bombshell was exploded. Glynn of Reno and the state by An affidavit was introduced in testiAttorney General Baker and Dismony and read. It was signed and trict Attorney McFarland of Eureka sworn to by a citizens of Eureka county.

21. September 7, 1911 Daily Independent Elko, NV

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# THE O. J. SMITH CASE A Carson dispatch of Wednesday to the Reno Gazette says: The habeas corpus proceedings in the cases of Oscar J. Smith and others connected with the Eureka bank, which was forced to suspend, is progressing very quietly in the supreme court. C. H. Gorman, former cashier, against whom six indictments were brought, was first placed upon the stand. He testified that Judge Breen was prejudiced against him, Smith and all others connected with the bank. The the testimony was long drawnout, but without any sensational or even any new features. Then the bombshell was exploded. An affidavit was introduced in testimony and read. It was signed and sworn to by a citizen of Eureka named Florio. The affidavit stated that Judge Breen had said to affiant: "I'll get that — before my grand jury and fix him." Judge Breen then took the stand and stated that if he made such a remark it was not in reference to Mr. Smith or any one else connected with the late Eureka County bank, but that it referred to others who had hampered him in his efforts to get the bank straightened out so that the people would not lose any money. Mr. Smith and his associates are represented at the trial by Judge Glynn of Reno and the state by Attorney McParand of Eureka county.

22. October 14, 1911 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, October 14, 1911

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# LOCAL BREVITIES. Frank Winzell of Alpha is a visitor in Eareka this week. A. P. Tenvoord returned Tuesday from his trip to Elko. Mrs. M. Rich returned Thursday from her visit at Duckwater. Mr. and Mrs. Gent Marteletti of Newark Valley are visiting in Eureka. M. M. Horner was a departure for Ely Thursday by private conveyance. Robert McKay arrived here Thursday from Duckwater with a load of chickens and butter. George L. Kaeding of the Farmers Mining Company left Wednesday for Salt Lake City. Mrs. A. Fletcher returned Tuesday from a several week's visit with her sister, Mrs. Dave Morrow, at Lamoille, Elko County, James Morrison and Miss Agnes Lucey came in from Antelope valley Friday evening to attend the Italian Benevolent Society's ball. Mrs. James Rosevear of Illipah and Miss Evelyn Matson of Hamilton arrived here Thursday for a visit with Mrs. John Flavin of Ruby Hill. A full attendance of members of Iphigenia Chapter No. 8, O. E. S., is requested at the regular meeting on Thursday evening, October 19, at 7 o'clock. K. M. Simpson, formerly connected with the Buckhorn Mines Company at Buckhorn, has succeeded John Fulton as engineer in charge of George Wingfield's properties in the southern end of the State. Mrs. J. J. Lucey and her two youngest children were departures for San Francisco on Monday. The little daughter, Margaret, has not fully recovered from a recent fall, and is being taken to the city for treatment. The SENTINEL this week received a handsomely engraved invitation to attend the ground-breaking ceremonies for the Panama-Exposition, which is to take place in San Francisco to-day. President Taft is to be present and lift the first spadefull of earth. Judge Peter Breen and his daughter, Miss Mamie, left last Sunday for Austin by private conveyance. The Judge will hold a term of the Lander County District Court, and Miss Mamie goes to Reese River to teach the Winter term of the district school there. Newark Valley was visited last Monday by an unusually severe sleet and snowstorm, accompanied by very high winds. The Diamond mountains on the west side and the White Pine range on the east side of the valley were heavily covered with snow. Albert Brehe, accompanied by his cousins, the Misses Linda and Mary Berer, nieces of the late Fred Esselbruegge of Eureka, were arrivals here Friday afternoon for a short visit with friends. The young ladies are on a visit to the Brehe family at Skelton, Elko County, from their home at Appleton, Mo. Miss Rose Curto was a departure for Cherry Creek, White Pine County, on Monday via Palisade. After a visit there with her sister, Mrs. P. A. Salvi, she will visit at Ely with the family of her brother, Dominick Curto, and if the proposed Normal School is established at Ely it is her intention to remain there and take a course of study. Dan Morrison left Wednesday for Sacramento, California, to take possession of the fruit ranch he purchased last Summer at Fair Oaks, about 14 miles east of Sacramento. It is understood he will make a number of improvements on the place, and his family will probably join him later and spend part of the Winter in their new California home. Deputy Superintendent A. B. Lightfoot arrived in Eureka from Ely Tuesday and held a consultation with the school authorities that evening. He left Wednesday morning for Torkin, Cortez, Grass Valley, Austin and other points in Lander County, expecting to be out about six weeks on the trip before returning to Eureka. He expressed himself as being highly gratified with school conditions in the second supervision district. A. C. Florio, plaintiff in his suit against the Receiver of the Eureka County Bank, that came up for trial before Judge Taber in the District Court at ther hnr.

23. January 18, 1912 Tonopah Daily Bonanza Tonopah, NV

Article from Tonopah Daily Bonanza, January 18, 1912

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# ANOTHER DIVIDEND COMING # FROM THE EUREKA BANK Last Monday was the time set for opening the bids for the Eureka County bank property, as set forth in the recently posted notices. But one bid was submitted, that of Frank J. Winzell of Alpha, who offered $4854 for the property, with the understanding that the receiver of the Eureko County bank be allowed to retain possession of the premises, rent free, until March 10 next. Mr. Winzell's offer was satisfactory to Receiver Reynolds and Judge Breen, and check covering the full amount of the purchase price was accepted by the receiver. In the district court on Wednesday, when Spencer Reynolds, receiver of the Eureka County bank, informed Judge Breen that he had sufficient money on hand to pay depositors of the bank a five-cent dividend, the court ordered him to prepare a statement and petition for such a dividend. —Eureka Sentinel.

24. May 1, 1920 The Eureka Sentinel Eureka, Tonopah, NV

Article from The Eureka Sentinel, May 1, 1920

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OLD NEWS FROM FILES OF "SENTINEL" As Told In Our Issues Corresponding To the Present Week of May and From 10 to 50 Years Ago 1872 The Odd Fellows celebrated the 53rd anniversary of Odd Fellowship in the United States. G. W. Baker, a talented lawyer, recently from the East, delivered the oration. One hundred and fifty Eurekans were in Austin attending court in the case of W. R. Street vs. Lemon Mill & Mining Co. Fish Creek, 16 miles south of Eureka, had a townsite surveyed and several prospects working. Pioche was agitating the building of a telegraph line to Eureka. 1880 Weather cold, snowing at intervals throughout week. Tom Robinson, Supt. Bay State Mine, sold the Trench mine for $30,000 cash. London quotations on Eureka stocks, Richmond $74, Dunderberg $44. F. Locan, president Eureka Con. arrives for inspection of property. Leasers of Union mine on Prospect Mountain taking out $200 ore; $18,000 already taken out. Leasers on Grant mine, besides doing dead work, have taken out in 45 days, 100 tons of ore running from $75 to $400 per ton. Leasers on San Jose claim taking e out one and a half to two tons daily of $150 ore. Work started on three compartment shaft of the Eureka Con. 1890 Silver 98% Alex Fraser was appointed foreman of the Ruby Mining Co. Thirty-four cars of ore shipped to ) Salt Lake during week. Wheeler Bros. shipped 24 tons of 3 wool. Weather cool and cloudy, with ) rain and snow. 1900 Silver 59%, Lead $4.57. F. J. Brossemer was in Hamilton looking after mining interests. La grippe epidemic claims many victims. Stockholders ask for a receiver for Whalen Copper Co. at Alpha. Ford Live Stock Co. shipped 20,270 pounds of wool. 1910 Warm, Summer weather, followed by a cold wave. P. H. Hjul moved his store from Courthouse block to present location. Cyanide mine erected hoist at their main shaft. Buckhorn Mines Co. incorporated. Twenty per cent dividend expected to be paid on defunct Eureka County Bank.