1.
April 2, 1910
The Goldfield News
Goldfield, NV
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Rascally Banking HERE need be no fear of further trouble among the state banks of Nevada. The last mess left over by the old banking board T has been cleaned up by the forced liquidation of the Manhattan bank and the closing of the Eureka bank, both Oscar Smith institutions. The Manhattan bank paid dollar for dollar, but only after the banking board went after the minority stockholders at Renò and induced them to put up $20,000 in cash to pay off depositors. The commission did its best to force Oscar J. Smith to restore funds he and his companies had borrowed from the Eureka county bank, and thus save that institution, but he had not the strength among the financial men of the state. He took the Eureka bank's securities to Reno and submitted them to the Reno clearing house but the bankers there turned him down, and the only way to save complete loss to depositors, was to close the bank before a run was started, and the banks assets dissipated. By closing the bank and by the prompt action of the commission in attaching property of the debtors, it is likely that depositors will receive more than 50 per cent, and possibly 65 per cent of their funds. All other banks of the state, under the supervision of the state banking board, are in sound condition, having been greatly strength-
2.
April 6, 1910
Carson City Daily Appeal
Carson City, NV
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interview published in one of the Reno papers Oscar Smith declares that his failure has come about by a series of circumstances, such as the depression of realty, stocks, failure to collect monies owed and invest- ments that have not given returns. He further states that the wrecking of the bank takes his entire fortune and that of his wife. If this is the case, Mr. Smith, like the unfortunate directors and officials of other institutions that have gone to the wall in Nevada, is ruined, together with his depositors.
The Appeal is of the opinion that in the case of every bank failure in this state that it was a matter of unfortunate circumstances and not the efforts wilfully carried on that has caused the loss of monies. In the case of the failure of the banks in this city the directors in every instance were among the heaviest sufferers. No man deliberately wrecks the ship that carries his cargo.
It is expected that the Banking Commissioners will meet in a few days when they will be able to give some report concerning the Eureka bank failure. If they can show by continuing the institution, as was done that the depositors have been saved money and that a better settlement is possible, they are to be praised rather than censured for the action. As Mr. Van Fleet left his books in good order and the affair had been talked over in consultation with other members of the Commission it should be easy to place the facts before the public.
The experience in the other failures by the receivers and the courts will come to direct use and if there is anything left at the Eureka wreck worth the salvage, then the commission will be able to handle it with the tools that have been created for such emergency. The story of loot and robbery should be investigated before declared to be a fact
3.
April 10, 1910
Tonopah Daily Bonanza
Tonopah, NV
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GOOD APPOINTMENT. Judge Peter C. Breen of Eureka has appointed Spencer Reynolds, a member of the last assembly, as receiver of the defunct Eureka bank. The restraining order asked for by Attorney General the mh mhth by the attorney general in the supreme court has been withdrawn.
4.
April 12, 1910
The Silver State
Winnemucca, NV
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EUREKA VICTIM OF DISHONEST BANKERS Eureka, Nevada, is at present a crying example of the necessity of a postal savings bank or a bank of some kind that will save one's money only until required for use. Here is an isolated but up to a few weeks ago a prosperous mining camp, with five a ments a stores, of bank thriving and all community. of the require- Their first troubles came when their railroad to Palisade was washed out last month. This shut off travel and traffic from the main line of the Southern Pacific, leaving the people more than eighty miles inland with impassable roads. Then came the failure of the Eureka bank, locking up the only money in town. All of these misfortunes forced the mines to close down, throwing the men out of work and depriving them of the means of earning a living. The storekeepers took advantage of the general misfortune to raise prices on their goods, and also to refuse credit. Then the telegraph line broke, shutting off appeals for outside help. All this has happened almost in our midst, in an adjoining county, and is another one of those sad cases of ava. rice and dishonesty among the banking fraternity that has already bankrupted the country so many times and wreck. ed so many thousands of homes, and is accountable for so many suicides. There are scoundrels in all lines of business. The banking business offers peculiar advantages to the suave, smooth thief that no other does because he gets to handle the actual cash of a confiding public and with ten chances to escape the consequences of his wrong-doing to one of ever being seriously punished even if caught. The Bankers' association of the United States should place their secret service force on the hot trail of those bankers now under suspicion and help run down those who have already disgraced the business or banking and business generally must continue to suffer. However, the greatest sufferers are those industrious men and women who work hard and try to save and who pay their debts and build homes. What encouragement have this class to save and trust their earnings to banks that so frequently "fail!" The town of Eureka is now a sad answer.
5.
April 14, 1910
Lovelock Tribune
Lovelock, NV
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CRYING NECESSITY FOR A POSTAL SAVINGS BANK Eureka, Nevada, is at present a cry. ing example of the necessity of a postal savings bank or a bank of some kind that will save one's money only until required for use. Here is an iso. lated but up to a few weeks ago a prosperous mining camp, with tive stores, a bank and all of the requirements of a thriving community. Their first troubles came when their railroad to Palisade was washed out last month. This shut off travel and traffic from the main line of the. Southern Pacific, leaving the people more than eighty miles inland with impassable roads. Then came the failure of the Eureka bank, locking up the only money in town. All of these misfortunes forced the mines to close down, throwing the men out of work and depriving them of the means of earning a living. The storekeepers took advantage of the general misfortune to raise prices on their goods, and also to refuse credit. Then the telegraph line broke, shutting off appeals for outside help. All this has happened almost in our midst, in an adjoining county, and is another one of those sad cases of ava. rice and dishonesty among the banking fraternity that has already bankrupted the country so many times and wreckmany thousands of homes, and Is acce table for so many suicides. There are scoundrels in all lines 01 business. The banking business offers peculiar advant ges to the suave, smooth thief tha no other does because he gets to handle the actual cash of a confiding public and with ten chances to escape the consequences of his wrong-doing to one of ever being seriously punished even if caught. The Bankers' association of the United States should place their secret service force on the hot trail of those bankers now under suspicion and help run down those who have already disgraced the business or banking and business generally must continue to suffer. However, the greatest sufferers are those industrious men and women who work hard and try to save and who pay their
6.
April 17, 1910
Tonopah Daily Bonanza
Tonopah, NV
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A TICKET WITH BACKING. "There is security with numbers" says an old quotation, taken from somebody, possibly Napoleon or Alexander the Great, and this appears to be the belief of Frank Golden and Oscar Smith, the president of the Rhyolite National bank and the Eureka bank, both of which suspended last month. It is understood that "Honest Tom" Rickey will soon join the Reno colony and that the three will proceed to arrange a ticket for some of the chief state and national offices at the coming campaign. According to rumors sent out from the city of divorcees, Ri:key will be a candidate for United States senator while Golden will go after Bartlett's job. Smith, whois the last to join the defunct bank presidents' club, will have to be content with a state situation and may scrap for the gubernatorial toga. The slate should be a sure winner for the money of the many depositors will be back of the candidates. Just what political party the three will affiliate with is a matter of conjecture, but it is probable that Hearst's Independent party will be adopted, now that William Randolph has again taken up the standard of democracy.
7.
May 7, 1910
The Eureka Sentinel
Eureka, Tonopah, NV
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NEVADA PRESS COMMENT Get Small End of Loaf The news that the Receiver of the Eureka bank expects to soon be able to pay a dividend of 20 per cent will no doubt cause depositors to go into ecetacies of joy. It is something like assuring a man who has been robbed of a suit of clothes that the officers are about to recover his vest.-Clark County Review.
8.
December 3, 1910
Carson City Daily Appeal
Carson City, NV
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Railroad Sold to Smelter Co. U. S. Marshal Humphries sold the Eureka & Palisade railroad to the United States Smelting Company at Eureka yesterday for the sum of $70.000. The sale came out of a number of attachments and liens filed against the road. The smelting company has purchased the property with the idea of using it as an outlet for the silver lead ores that is. owned in the Eureka district. It is believed that the road may be standard gauge instead of narrow gauge, as formerly, and February 1st is set for the date of railroad day, when a celebration of thereconstruction will be held. The Eureka & Palisade road runs between Palisade on the main line of the Southern Pacific to Eureka, the County seat of Eureka County, a distance of 80 miles to the south. The road was practically wiped out in the floods that devestated the Reese River Valley last spring and for a time it was said that the food supply of Eureka ran short on ac count of the lack of transportation of merchandise. This was not strictly so, however, but the flood caused great loss to the ranchers. At the same time the Eureka bank failed and the two misfortunes combined tried the patience of the people sorely. The reconstruction of the road now promised and the repairing of the fortunes of the bank have greatly encouraged the people.
9.
July 16, 1911
White Pine News Weekly Mining Review
East Ely, Ely, NV
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to prevent trial by Breen who, in my opinion, would railroad me, D. S. DICKERSON." Judge Breen is the jurist to whom the report of the grand jury was returned. Judge Breen and Former Governor Dickerson, although of the same political faith, are enemies, both in public and private life, and have tilted before over the affairs of the Eureka bank while Dickerson still was governor. The jurist criticized the governor and bank commission for their actions and the governor and editor criticized back, denominating the judge a paperhanger, who showed his knowledge of banking laws and regard for the proprieties in appointing as receiver of the bank a hoisting engineer. John Hancock, one of the former directors of the bank, sued out a writ of habeas corpus for his release after arrest, in which he pays his respects to Judge Breen in no uncertain tones. He claims that the jury was packed and illegally formed and alleges that the jurist did the selecting and completely dominated the body of inquisitors, and that the statute under which the indictment was brought are null and void. Present Bank Commissioner W. B. Graham left Ely on Friday morning in response to a telegram from Governor Oddie, requesting his presence at a meeting of the board. Whether the meeting is in regard to any of the developments in the affairs of the Eureka bank, could not be learned. Report of Grand Jury. The following extract from the Eureka county grand jury report which started the sensations and trouble, the end of which has probably not yet been seen, applies to the banking commission: It does not appear that the Banking Board ever lent the least assistance toward recovering losses or the prosecution of the bank officials. They have never produced the data or evidence compiled by the late Mr. Van Fleet while that gentleman was state bank examiner, and since his (Continued on page Your)
10.
September 8, 1911
Weekly 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