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FORMER LOCAL MAN SAYS BANK IS NOT INSOLVENT A. E. LAMBERT IS CASHIER POWDER VALLEY BANK WHICH CLOSES. A. E. Lambert, formerly connected with the American National Bank in this city, is cashier of the Powder Valley State Bank of North Powder. which failed to open its doors yesterday morning on account of its reserve being below the legal limit. The failure of the bank to open was first ascribed to the illness of Cashier Lambert but afterwards Lambert himself made a statement in which he declared the bank is not insolvent and would be ready to open for business again as soon as a little readjustment had been made. State Superintendent of Banks Sargent left Salem yesterday for North Powder to take charge of the bank. The capital stock of the bank is $20,000. At the last statement the deposits were more than $50,000 and the loans more than $58,000. H. O. Gorman is president of the bank, F. Vandecar is vice president: A. E. Lambert, cashier, and John L. Kilkinson, assistant cashier. Large sums are said to have been withdrawn from the bank since February 7. when the bank lost a suit to collect $1800 from will Huddleton on a cancelled note. The bank's difficulties are said to date from last July when the Metzler-Hemstead Lumber company failed, owing the bank more than $8000. Withdrawals of more than ordinary size are said to have been begun a month ago to be followed by exceptional withdrawings last week.
