14651. Tonopah Banking Corporation (Tonopah, NV)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
November 1, 1932*
Location
Tonopah, Nevada (38.067, -117.230)

Metadata

Model
gpt-5-mini
Short Digest
847ad489

Response Measures

None

Description

The Tonopah Banking Corporation was part of the Wingfield chain of state banks that failed to open after Nevada's statewide bank holiday (Nov 1932) and was placed in receivership (receiver appointed Feb 1934). No run on this specific bank is described in the articles; the sequence is a suspension (failure to open) followed by receivership and eventual liquidation/dividend payments, consistent with suspension leading to permanent closure under a receiver.

Events (4)
1. November 1, 1932* Suspension
Cause
Government Action
Cause Details
Failed to open after Nevada's first statewide bank holiday (Nov 1932); part of Wingfield chain of closed state banks that did not resume operations after the holiday.
Newspaper Excerpt
The banks failed to open their doors after Nevada's first statewide bank holiday in November, 1932.
Source
newspapers
2. February 28, 1934 Receivership
Newspaper Excerpt
District Clark Guild ... was appointed receiver for seven closed state banks in Nevada. The institutions ... the Tonopah Banking Corporation. Salary Is $500 Monthly. District Clark Guild ... fixed his salary $500 per month and named the law firm ... to act as his attorney. The banks failed to open their doors after Nevada's first statewide bank holiday in November, 1932.
Source
newspapers
3. March 29, 1934 Other
Newspaper Excerpt
Bank Receiver Leo F Schmitt returned yesterday from Tonopah, where he completed two deals involving the closed Tonopah Banking Corporation ... Schmitt reserved the banking premises and will maintain the right to rent them to another banking company, if and when another bank is started in Tonopah. The affairs of the Tonopah bank are being handled through Schmitt's northern Nevada offices.
Source
newspapers
4. December 13, 1934 Other
Newspaper Excerpt
Judge H. W. Edwards ... held that public deposits of Esmeralda county funds in the Tonopah bank had no preference. His decision ... cleared the way for 15 per cent depositors' dividend. Leo F. Schmitt, receiver for the bank, said yesterday he would request Judge Clark Guild to authorize the immediate payment of dividend to the Tonopah depositors.
Source
newspapers

Newspaper Articles (10)
1. November 17, 1933 Reno Gazette-Journal Reno, NV
Article from Reno Gazette-Journal, November 17, 1933

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Bank Receiver Action CARSON, Nov. what may the final in the Wingfield bank chapter reorganization suits, which started last July attorneys opened ments this morning on an order show cause receiver receivers should be appointed for the nine not state banks. answer to the filed by the defendants, complaint which would necessitated tional formally withdrawn by the plaintiff attorneys, Griswold and Gunzendorfer, in order to facilitate the proceedings. DENY ALLEGATIONS The answer denied certain allegations in the and the defendant attorneys were prepared to introduce evidence to support their contentions, one which to the effect that the depositors in the respective banks. The ask for the appointment of receivers for the banks. Judge Guild then ruled that the evidence all in and told the torneys to proceed with their arguments the demurrers the complaint, the merits the crosscomplaint also the supplemental plans filed by the plaintiffs which asked that the banks be left the hands the bank superintendturned over to mortgage company. Attorney General Mashburn advised court that he had filed the on behalf the state the state is surety on the bond of the state bank to the extent of about $150,000 and interested seeing that the jurisdiction the court to appoint receivers thoroughly presented wants to protect its rights McNamara, Elko his objection to Judge Guild newed proceeding in the action until cision rendered on McNamara's change of venue motion made few days on behalf of the Wingago field banks in Elko county. The objection overruled. petition signed by large number of depositors of the Tonopah Banking Corporation, objecting to the appointment of receiver, was placed in the record by Judge Guild to whom mailed. OPENS ARGUMENT Morley Griswold opened the argument opposition the appointment of receiver, that the banks are placed in the hands of receiver that no one now with the case will ever be able to live down and asserting further that will take long to wind up that none of the present participants will be alive. He declared that it was fear of ceivership that induced depositors holding over half of the money

2. February 10, 1934 The Salt Lake Tribune Salt Lake City, UT
Article from The Salt Lake Tribune, February 10, 1934

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Article Text

Bank Receiver Action Upheld CARSON CITY, Nev., Feb. 9 (JP)The right of District Judge Clark J. Guild to appoint receivers for seven Neveda state banks, all of which were members of the defunct George Wing. field banking group, was upheld in a unanimous decision of the Nevada supreme court today. Institutions affected by the ruling are the Bank of Nevada Savings and Trust company, the United Nevada bank and the Riverside bank, all of Reno; the Bank of Sparks, the Carson Valley bank at Carson City, the Virginia City bank and the Tonopah Banking corporation.

3. February 28, 1934 The Sacramento Bee Sacramento, CA
Article from The Sacramento Bee, February 28, 1934

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Article Text

GUILD SELECTS HOLLAND LAND BANK RECEIVER CONCERN SHOWS Lovelock Cashier Will Have PROFIT IN YEAR Charge Of Closed Wing- field Institutions CARSON CITY (Nev.), Feb. 28 ier of the First National Bank at Lovelock, Nev., to-day was appointed receiver for seven closed state banks in Nevada. The institutions. all of which are members the controlled by George Wingfield, Reno capitalist, are the Bank Nevada Savings and Trust Company, the United Nevada Bank, and the Riverside Bank. all of Reno: the Bank of Sparks, the Carson Valley Bank, the City Bank and the Tonopah Banking Corporation. Salary Is $500 Monthly. District Clark Guild, after Schmidt, fixed his salary $500 per month and named the law firm Samuel Platt and John Sinal of Reno to act as his attorney The banks failed to open their doors after Nevada's first statewide bank holiday in November. 1932. The two Wingfield national banks, the Reno National and the First National of Winnemucca, are being liquidated by national bank The Wingfield state banks, the Wells State Bank. the Henderson Banking Corporation of Elko, and the Churchill County Bank have been taken by depositor corporations. Annual Report Of Clarksburg Enterprise Is Issued By Company Agriculture in the rich Holland district netted substantial returns to the growers last year. The annual report of the Holland Land Company which operates vast acreage the section around Yolo was sued to-day by Ottem, the president, the concern's net profits from all sources were $46,685.09 deducting reserve of $7,287 for federal income taxes. Net Profits Of $26,807.87 The the brought net profit of $26,807.87 consisting largely crop lease rentals and the interest on land sales contracts. The land sales profits amounted to $2,735.23 Ottem says the company realized book profit $24,631.27 on the of contract for the sale of 2,894 in the Yolo bypart of the Sacramento River flood control project The former have until Jan1936, to repurchase the at price equivalent to the balance due under their contract was Plans For 1934 Made. During 1933, Holland Land sold crops valued at $29.220.60 as the annual share-lease rental on the by-pass land. Leases already are made for the farming of this acreage during 1934. The area has plowed, with 1,000 acres planted to barley. The tenants plan put the remainder in sugar beets and In the refinancing of contracts and second mortgages through the federal farm loan agencies, the company has since January 1st, $48,199.85 in cash and junior mortgage for $2,000 on 122 acres. Ottem says expects to recelve an additional $156,000 in cash and $64,000 of junior mortgages on 1,352 acres in further refinancing Paid $73.25 A Share. The report shows the total liquidating and earned dividends paid to date on the outstanding stock amounts $2,197,500. or $73.25 share This amount includes $60,000 distributed since the last annual meeting of the stockholders year ago. The report also deals to some extent with the stand aken by the in the Holland Land District against the curtailment of sugar beet production, this being leading one in the district. With California second only to in the production of domestic beet sugar the company appeals to Californians to urge their and congressmen to support all legislation favorable to the sugar beet growers The company ended 1933 with total assets of -Capital Man Is Manager. Gus Olson, known in Sacramento as the former chairman of the agricultural committee of the Sacramento Chamber of Commerce, the general manager of the Holland Land Company. Besides Ottem and Olson the other officers include William Timson, vice president: George M. Burton, John E. Jardine, B. Lilienthal, Mendenhall, Lee B. Milbank, W. A. Richardson and Rollo Wheeler. other members of the board of directors: Huhn, secretary, and W. H. Bielefeld, assistant secretary. The general offices are in Clarksburg.

4. March 29, 1934 Nevada State Journal Reno, NV
Article from Nevada State Journal, March 29, 1934

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Article Text

Bank Receiver Visits Tonopah, Makes Leases Bank Receiver Leo F Schmitt returned yesterday from Tonopah, where he completed two deals involving the closea Tonopah Banking Corporation, which was placed in his hands by the Oimsby district count The five-story Tenopah bank building was iented to B A Rives subject to approval of the court Schmitt reserved the banking premises and will maintain the right to rent them to another banking company, if and when another bank is started in Tonopah The building comprises one store, the bank quarters and office space Rives will maintain safety deposit box service in the Tonopah bank, which transaction relieves the receiver of any connection with the box service The affairs of the Tonopah bank are being handled through Schmitt's northern Nevada offices Schmitt conferred with a committee of Tonopah businessmen regarding the possibilities of a new bank Schmitt told the group that he would reserve the banking premises so that if an outside banking corporation should desire to open branch there. the banking quarters would be available It was indicated that unless an outside corporation opens a bank in Tonopah soon, Tonopah residents will organize a bank of their own Schmitt inspected cattle and sheep assets of the closed bank and leased the building which formerly housed the Ford auto agency at Tonopah to D Crumley Crumley will use the windows of the former auto agency building to display mining equipment

5. April 27, 1934 The Sacramento Bee Sacramento, CA
Article from The Sacramento Bee, April 27, 1934

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Bank Of Sparks Dividend Is Given Court Approval CARSON CITY (Nev.), April 27. Judge Clark J. Guild yesterday granted permission to Leo F. Schmidt, bank receiver, to pay 10 per cent dividend depositors of the Bank of Sparks, one of the state banks in the closed Wingfield chain. The dividend will and will be paid about May 3rd. It the second 10-cent dividend. Schmidt informed udge Guild he expected to be in position in LEO. about ten days to pay another depositor dividend to Riverside Bank depositors, but the amount was not stated. The last dividend to Riverside depositors was 25 cents. Dividends to depositors of the Carson Valley Bank and the Tonopah Banking Corporation may be authorized next month. Schmidt announced there are sufficient funds on hand to pay 5-cent dividend to depositors of the Bank of Nevada Savings and Trust Company, providing certain trust funds are held to be not preferred claims. The receiver expects to in-

6. July 14, 1934 Reno Gazette-Journal Reno, NV
Article from Reno Gazette-Journal, July 14, 1934

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PREFERENCE SUIT TONOPAH HEARD It will probably be month more before preference suits filed on behalf of Esmeralda officials county against the receiver of the Tonopah Banking Corporation are decided by theh lower court, it was indicated today. Hearing of the suits filed by Amy Roberson, treasurer. sheriff, and Adams Brown, district attorney, asking preference for public funds on deposit in the Tonopah bank, held this week before Judge Edwards of Ely. The be submitted on briefs thee request of attorneys for plaintiffs, giving the attorneys forty in which prepare the papers John represented Leo bank receiver, the ficials represented Adams Brown, H. Cooke and Gray Mashburn, attorney general. About 000 involved. Willys for door sedan, 25 miles per gallon. adv

7. July 15, 1934 Nevada State Journal Reno, NV
Article from Nevada State Journal, July 15, 1934

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Tonopah Bank Case to Be Offered in Briefs The case concerning preference suits of the Esmeralda county officials against the receiver of the Tonopah Banking orporation will be presented on briefs and will probably not be decided for six weeks. Attorneys for the plaintiffs, Adams F. Brown, H. R. Cooke and Gray Mashburn, attorney general, made the request when the case was held before Judge Edwards of Ely, and the court granted the request, giving them 40 days in which to prepare the briefs. Leo F. Schmitt, bank receiver, is represented by John S. Sinai.

8. October 18, 1934 Nevada State Journal Reno, NV
Article from Nevada State Journal, October 18, 1934

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Closed Banks May Pay Cash Before Holidays Depositors in five of the closed banks being administered by Receiver Leo Schm'tt may get dividends before Christmas, Schmitt said last might The Bank of Sparks and the bank. Schmitt: prize dividend payers, will be due for another payment before the holidays. The receiver would not commit himself regarding the amounts Schmitt has $82,000 of Tonopah Banking corporation money which he could release as 15 per cent dividend to Tonopah depositors if the Esmera'da county preference suit were cleared up favorably for the bank receiver H R Cooke of Reno and the Esmeralda county attorney seeking to have the county's funds held claims Judge H W Edwards Ely tried the case once, but the case since has been reopened The Caison Valley bank has about to disburse if the Nevada industrial commission's suit for preference IS denied Judge Clark J Guild has the case under advisement now Application for an R F C 'oan to pay United Nevada bank depositors was sent to San Fiancisco Saturday by Schmitt and Judge Guild The bank's assets have been appraised by the R The fcderal agency expected to announce whether will giant the weeks the loan in about two loan gianted it would take about one week more to get the money into the depositors' hands

9. December 13, 1934 Nevada State Journal Reno, NV
Article from Nevada State Journal, December 13, 1934

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Get Bank Dividend to Immediately Tonopah THREE LOCAL Preference Suits Denied By Judge Edwards; Cash Available The fell from the Tonopah Banking Corporation yesterday. while the "gold award" about due from three local banks. Judge H. W. Edwards sent the coins tumbling down the slot yeswhen he held that public terday deposits of Esmeralda county funds in the Tonopah bank had no preference. His decision was on three suits filed by Esmeralda county ficials and cleared the way for per cent depositors' dividend. The United Nevada bank, the Riverside bank and the Bank of been mentioned freSparks have quently for depositors' dividend. 15 Per Cent Dividend. The Tonopah bank dividend will the near future, be. paid in very provided the Esmeralda county the suits to the ficials do not carry supreme court. John Sinai, one of the attorneys receiver, said it was for the bank officials doubtful that the county would take that action. Leo F. Schmitt, receiver for the bank, said yesterday he would request Judge Clark Guild to authorize the immediate payment of dividend to the Tothe 15 per cent nopah depositors. Preference Denied. suits against the Tonopah The Banking Corporation included: sheriff and assesMercer, sor of Esmeralda county, against establish preference for Schmitt, to district attorAdams F. Brown, Esmeralda county, against ney of establish for to preference of deposit treasurer Roberson, county Amy filed suit for of Esmeralda county, of preference for the establishment deposit of $33,126.54. Won't Appeal. Brown and Adams the plaintiffs in who represented said yesterday that no apthe case, from the deciwould be taken peal but that of Judge Edwards, sion the filed the county against suit by American Surety Company to colthe bonds of the lect $33,000 on would be pressed. county treasurer against the or not suit Whether Surety Bonding Company Nevada the sheriff's bond, to collect on not learned. Tax Payments. district attorney's deposit The constituted money paid him by the Goldfield railroad for and Tonopah tax payments were taxes. The installments and the counmade in refused to accept treasurer total amount was paid. until the treasurer's deposit The county the basis that made on claim was were transferred funds the county bank at the John Cooke from the with the Tonotime of the merger consent of the without pah bank, officials. county made by the same claim was The and assessor. sheriff

10. December 14, 1934 The Sacramento Bee Sacramento, CA
Article from The Sacramento Bee, December 14, 1934

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FOUR WINGFIELD BANKS DECLARE YULE DIVIDEND Nevada Depositors Will Receive Checks To-morrow, Monday RENO (Nev.), Dec. Christmas gift in the form of dividend checks totaling $591,424 will be available for depositors of four of the closed Wingfield banks to-morrow and Monday. Leo F. Schmitt, receiver for sev en of the state banks of the closed Wingfield chain, announced several weeks ago he hoped to have a Christmas dividend, that of the United Nevada Bank depending on obtaining loan from the Reconstruction Finance Corporation. The United Nevada loan was approved recently Amounts Are Given. The United Nevada Bank dividend, the first to be paid depositors of this bank will amount to 30 per or The Riverside Bank will pay dividend of 10 per cent, amounting to $61,677. The Virginia City Bank will pay dividend of per cent, or $15,629, the Bank of Sparks will pay and 10 per cent dividend, amounting to $56,060. Letter Is Awaited. Schmitt says dividend to depositors of the Tonopah Banking Corporation also is likely, this depending on the receiver receiving letter from Esmeralda County of ficials that no appeal will be taken in the preference suit recently cided in favor the bank receiver by Judge H. Edwards. If this letter is forthcoming the receiver says he can pay an immediate divi dent of $81 699 to depositors. RFC Gives Aid. The Bank of Sparks dividends will be available Monday at the office of the old bank in Sparks. The other dividend checks will be The receiver received check yesterday from the RFC for 664, representing money borrowed from that corporation, and this will be applied on the dividend, together with funds on hand. Totals Are Listed Including the dividend payments to be made Saturday and Monday the closed banks of which Schmitt is receiver will have paid the following dividends: Riverside out of deposit liability of $822,392. Bank of $230,470 out of deposit liability of $622,893. Bank of Nevada Savings and out of a deposit liability of Virginia City out of deposit liability of $195,593. United Nevada- out of a deposit liability 586. Two Fail Dividends. The other two banks in charge of Schmitt have not yet paid dividend. They are the Carson Valley Bank of Carson City, and the Tonopah Banking Corporation. Other Wingfield bank depositors have formed depositor corporations and are liquidating without receivership, while two national banks are in receivership, one of which, the First National at Winnemucca, has paid one dividend.