17320. National Exchange Bank (Chester, SC)

View Charter #8471 on SPMC

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
8471
Charter Number
8471
Start Date
March 4, 1933
Location
Chester, South Carolina (34.705, -81.214)

Metadata

Model
gpt-5-mini
Short Digest
1cb9b420e0c0446e

Response Measures

None

Receivership Details

Depositor recovery rate
63.1%
Date receivership started
1933-03-09
Date receivership terminated
1938-06-24
Share of assets assessed as good
32.7%
Share of assets assessed as doubtful
52.2%
Share of assets assessed as worthless
15.1%

Description

The National Exchange Bank of Chester suspended business on March 4, 1933 during the nationwide bank holiday and was subsequently taken over by the Comptroller/national bank examiner and placed in receivership. There is no clear contemporary description of a depositor run causing the closing; the bank was closed under government action and later remains in receivership (reports from July describe settlement of affairs). Indictments for embezzlement followed. OCR in articles corrected (e.g., 'Nation Exchange' -> 'National Exchange', dates inferred from article datelines).

Events (8)
1. December 17, 1906 Chartered
Source
historical_nic
2. March 4, 1933 Suspension
Cause
Government Action
Cause Details
Bank closed at start of statewide/national bank holiday and notified it would remain closed until further orders from the comptroller of the currency; closure led to regulatory takeover.
Newspaper Excerpt
Chester... National Exchange bank ... closed its doors today ... Closed until orders from comptroller of the currency.
Source
newspapers
3. March 9, 1933 Other
Newspaper Excerpt
taken yesterday by the comptroller of the currency / was closed last Saturday and taken over Thursday by the comptroller of the currency.
Source
newspapers
4. March 9, 1933 Receivership
Source
historical_nic
5. March 10, 1933 Other
Newspaper Excerpt
Examiner Takes Charge Chester Bank ... the National Exchange bank of Chester were placed today in the hands of the national bank examiner.
Source
newspapers
6. March 10, 1933 Receivership
Newspaper Excerpt
N. M. McDill ... is president of the National Exchange Bank of Chester, which was closed last Saturday and taken over Thursday by the comptroller of the currency. ... resignation ... as receiver ... was accepted ... McDill is president of the National Exchange Bank of Chester.
Source
newspapers
7. April 4, 1933 Other
Newspaper Excerpt
Three named ... indicted ... embezzling and misappropriating funds from the defunct National Exchange Bank of Chester ... audit of the bank's affairs indicated shortage of $68,000.
Source
newspapers
8. July 11, 1933 Other
Newspaper Excerpt
Progress Made In Affairs of National Exchange ... report by J. L. Campbell, receiver ... shows satisfactory progress in settling the affairs of this bank, which suspended business, March 4.
Source
newspapers

Newspaper Articles (8)
1. March 4, 1933 The Item Sumter, SC
Article from The Item, March 4, 1933

Click image to open full size in new tab

Article Text

Congress Adjourns March house 72nd adjourned sine die Speaker John Garner, mmediately left for the senate hamber take the oath of office The house and the memberselect to followed him side the capitol. clined to observe Gov. W. Murbanking holiday. Chester March National Exchange bank ter closed its doors today The following posted "Closed until orders from comptroller of The capitalized Jackson, Miss., March Blanket restriction cent deposits with exceptions was ordered today banks Love, state superintend-

2. March 6, 1933 Evening Star Washington, DC
Article from Evening Star, March 6, 1933

Click image to open full size in new tab

Article Text

Met monday Cheerfully Credit Arrangements Liberal in Financial Centers. Theaters and Night Clubs Do Rush Business. Problem of Small Change Is Considerable. could be cashed. The board of eduThe spirit in which the bank holication stopped payment on $2,000 salday is being met throughout the country is shown in the following ary checks so the restricted money available might be prorated. dispatches, assembled by The Star Credit is being extended freely to and the North American Newspaper Alliance known customers and many business firms accept checks for the exact NEW YORK, March 6 (N.A.N.A.) New York has bowed to the edict of a amount of purchases. All utility companies have been accepting checks as ank holiday with a friendly acquiesusual. There is plenty of small change ence that surpassed the hopes of the in circulation. Bank employers have host optimistic been ordered to advise depositors on Despite the forebodings of managers individual problems. such as insurance f restaurants and places of entertainpremiums. instalments and taxes. nent. no one walking along Broadway Banks have been accepting new dewould realize that eery bank in the posits and segregating them into trust State is closed. There is money, and funds for unrestricted checking. As a lenty of it, and it is being spent with result new deposits have been noted. he same nonchalance as that of the The majority of Kentucky banks ormal Sunday night throng. composed have been restricting withdrawals on hostly of men and women who work other than new accounts to 5 per cent ard during the week. Gov. Laffoon has extended the original The restaurants catering to the man four-day holiday through March 11. n the street, who spends perhaps $2.50 nce a week for supper for two. with Massachusetts. lancing and a floor show thrown in. BOSTON. March 6.-Boston faced ave the usual patronage. On Saturthe bank holiday situation without any ay night they were jammed. fuss and even with a kind of smile. Crowds Throng Movies. The public's psychology was amazing No crowds or even groups gathered Every theater offering a good movie in around either the banks or the newshe Times Square district did as much paper bulletin boards. as occurred in usiness as usual and an audit showed the crash of 1929 and again in isolated henomenal Saturday receipts. There bank closings at the end of 1931. 8 no trouble in changing large bills at There were. of course, minor inconhe box offices. and while one manageveniences, such as a lack of small coins. nent with two great theaters offered Change was short. A newspaper row o take checks on New York banks in restaurant refused to change $100 bills. ayment for tickets, not one was offered In the absence of banking. trade and uring the day business accommodation fell back on Thunderous applause greeted the news personal credit. Old customers of eels showing President Roosevelt makgrocery stores paid for groceries with hg his inaugural address. checks or were allowed to charge the Night club managers. while maintainamounts. Hotels took checks for the amount of the bill-no more. The hg a gay air. would not predict what ould come after midnight, but insisted larger stores agreed upon a policy of accepting no checks whatsoever. he night's receipts were good. The The theaters and night clubs did the roblem of checks. particularly those largest business in weeks. involving additional cash. troubled them, nd it was expected they would function Ohio. a cash basis. CLEVELANDCleveland accepts the The problem of change for large bank holiday cheerfully Depositors ills is considerable. The smaller cigar thronged the downtown banks the first tores and neighborhood shops in most day of the restriction on withdrawals ases decline to change a $5 bill unless and long lines stood before the cashiers he purchase is of considerable size, cages drawing out the small part of nd anything above $10 is out of the deposits made available. Reliable estiuestion. Pennies. usually frowned mates were that $5,000,000 was drawn pon in large numbers. are welcomed that day, with no disorder and very y a 'well, it's money." little complaining or bad temper. The next day banks had little more Checks Practically Worthless. than their usual crowds. and withChecks are practically worthless. At a drawals were estimated at about otels or stores, old patrons may setenth of the day before. The excite: ure $5 or $10, if fortunate, but the ment was mostly over. ttitude of a cashier is that of one reRetail business announces that "usual eiving an I. O. U. lines' of credit will be maintained. One Women with accounts at stores or of the theaters promises that checks ered their foodstuffs in larger amounts for tickets. though drawn against achan usual. The small merchant, fearcounts not immediately negotiable. will hg to lose an account, saw his stock be accepted. unning low. and no cash coming in With hardly an exception. business ith which to pay the wholesaler. and industry of this city met the first There was surcease for those in betweek's pay roll of the emergency in er circumstances when the departcash, generally by building up funds in hent stores opened today. Large adnew bank deposits. specifically exertisements, sponsored by nearly all empted from the restrictions of the rominent New York department stores, emergency bank laws. rged all customers to come and trade Most Cleveland banks started the avishly, and charge everything. Their holiday by limiting withdrawals from ttitude is the one concrete evidence all accounts to 5 per cent of the total f the value of credit, and theirs will balance. Limitations of 1 or 2 per e the harvest if bills are paid. cent were in effect at a few banks. Meanwhile. there is no confusion. here is evident a certain brotherhood South Carolina. hat New York has not seen since the CHARLESTON. March -Operating ar. Every one is in the same boat, under moderate restrictions designed to nd willing to help another. Mingled prevent drainage of cash resources into other States where banks are closed ith a lilting. 'what's the use of worryng?" thoughts turn to when the banks and to conserve resources for conductill-or will not-open. ing business against withdrawals for hoarding, banks of Charleston funcCalifornia. tioned Saturday completely in all business relations and cashed checks for LOS ANGELES, March 6.-Having ndured with cheerful fortitude the such sums as were considered actually needed by individuals. Other South three-day bank holiday first decreed Carolina banks followed Charleston's or California by Gov. Rolph, this city lead. waits with optimism the future develThe State was among the few doing pments of the situation, with news of business on a cash basis. Depositors he extension of the holiday until were allowed to withdraw sums to cover Thursday. immediate needs. Checks from outside Plans pending for the issuance of were not accepted. crip by the Los Angeles Clearing House Two banks in Spartanburg announced association have the widespread inthey would observe a holiday until pasorsement of merchants and manusage of Federal legislation for banking acturers, indicating the belief that this relief. The National Exchange Bank ethod will be a chief factor in keeping in Chester closed "until further orders usiness and employment on an even from the controller of the currency. eel. Scrip issuance is contingent on Otherwise the banking situation in State legislative action on banking the State appeared good. Pay rolls ffairs. but there is a general feeling were met in cash. f confidence that it will be an affecive way of coping with the emerWisconsin. ency. MILWAUKEE, March 6.-Merchants There is no lack of confidence in are planning liberal extensions of credit LOS Angeles banking institutions and during the moratorium to keep business he sentiment generally is that on the moving. The churches in Milwaukee teps taken and contemplated will come would materially improved condition in not announced be passed that during collection the moratorium. plates business throughout the State. The The Wisconsin holiday, proclaimed appearance of principal business disfor 14 dave followed slow runs on

3. March 10, 1933 The Item Sumter, SC
Article from The Item, March 10, 1933

Click image to open full size in new tab

Article Text

Examiner Takes Charge Chester Bank March of the National Exchange bank of Chester were placed today in the hands the national bank examiner. door the bank capitalized Chester's oldest banking institution placed notice: bank under direction of the comptroller of currency. charge Barnett, national bank examiner Last Saturday the bank closed doors with the notice that would remain closed "until further orders from the comptroller of the currency Prior to arrival of Barnett, McKinnell. cashier, had been delegated by directors to act custodian An auditing concern been engaged several days audit there has been discussion of plans for but such plans have not reached definite and decision will be reached until after completion the audit, persons authority

4. March 10, 1933 The Macon News Macon, GA
Article from The Macon News, March 10, 1933

Click image to open full size in new tab

Article Text

Charleston Bank Receiver Resigns CHARLESTON, S. C., March 10 resignation of N: M. McDill, of Chester, as receiver of the Peoples State Bank of South Carolina was accepted by Judge Lyles Glenn, also of Chester, in an order filed in federal court here Friday. McDill is president of the National Exchange Bank of Chester, which was closed last Saturday and taken over Thursday by the comptroller of the currency The other two receivers of the 44unit chain bank are William Elliott. of Columbia, and Rober Gage, of Chester. Although number of Chinese companies have tried to produce niotion pictures, the results have been rated neither "financially nor artia tically" successful by attaches.

5. March 10, 1933 The Columbus Ledger Columbus, GA
Article from The Columbus Ledger, March 10, 1933

Click image to open full size in new tab

Article Text

Bank Receiver's Resignation Accepted The resignation of N. M. McDkl of Chester as receiver of the Peoples State Bank of South Carolina, was accepted by Judge Lyles Glenn, also of Chester in an order filled in federal court here today. McDil is president of the Nation Exchange Bank of Chester which was closed last Saturday and taken yesterday by the comptrolleld of the The other two receivers of the 44unit chain bank are William liott of Columbia, and Robert Cage

6. April 4, 1933 The Charlotte News Charlotte, NC
Article from The Charlotte News, April 4, 1933

Click image to open full size in new tab

Article Text

TRUE BILLS IN BANK CASES Chester Men Face Indictment By Federal Jury THREE NAMED S. C., April James H. lenn, Raymond Speigner and Theodore N. Tinsley, all of Chester, were charged with embezzling and misappropriating funds from the refunct National Exchange Bank of Chester in two indictments returned by federal grand jury here today. Glenn director of the bank brother of Federal Judge Lyles Glenn, of Chester. Speigner was bookkeeper in the institution which closed doors March Tinsley Chester merchant. Glenn and Spiegner are named in involving approximately Speigner and Tinsley are named in second alleging misappropriation of Tolbert, district attorsaid audit of the bank's affairs indicated shortage of $68,000. He the three named today's indictments would called trial before Judge H. Watkins probably tomorrow None the defendants was court when the indictments were returned Prosecutor from Washington G. Gardiner Jr., Washfngton. was sent here by government officials to assist Tolbert in prosecution of the Thomas of York, headed group lawyers retained by the Chester When the National Exchange bank closed. banks all over the nation were closing under the holiday and was not until March that announcement was made that the institution had been taken over by the comptroller of the currency. Shortly thereafter N. M. president bank resigned one of three receivers for the 44-unit Peoples State bank of South Carolina

7. July 11, 1933 The Herald Rock Hill, SC
Article from The Herald, July 11, 1933

Click image to open full size in new tab

Article Text

DATA GIVEN ON CHESTER BANK Progress Made In Affairs of National Exchange (By Herald Correspondent) Chester, July 11.-The condition of the National Exchange Bank as of the quarter ended June 30, shows that satisfactory progress is being made in settling the affairs of this bank, which suspended business, March 4. according to a report by J. L. Campbell, receiver. The report follows Assets Assets at date of suspension (book value, ot actual), $740,127.69; additional assets acquired since suspension (book value, not actual), $19,835.44; stock assessment (100 per cent), $100,000; total assets to be accounted for $859,963.13; cash from assets, $203,785.10; cash from additional assets, $2,029.50; cash from stock assessment, $31,978.86; total from assessments and stock assessment, $237,793.46; offsets allowed on as sets, $5,346.79; losses charged off on assets, $2,745.41; remaining assets; uncollected assets, $528,265.31; uncollected additional assets, $17,791.02; uncollected stock assessment, $68,021 total remaining uncollected assets, $614,077.47; total assets accounted for, $859,963.13. Liabilities Secured liabilities at suspension date, $277,078.26; unsecured liabilities at suspension date, $381.651.48; additional liabilities established, $3,282.41 total liabilities this date, $662,012.15; secured and preferred liabilities paid in cash, $147,723.41; unsecured liabilities offset, $5,346.79; unpaid secured liabilities (both proved and unproved), $128,436.25; unsecured liabilities not paid or proved, $380,505.70; total liabilities accounted for $662,012.15. Cash from assets and stock assessment, $236,378.02; cash from interest, premium and rents, $1.415.44; cash collected by receiver and held as trustee for owners, $162.36: total collections to be accounted for, $237,955.82. Disbursements of every character: secured and preferred liabilities paid (including dividends), $147,723.41; col. lateral account (collections held by creditors and not yet applied). $28,184.73; advances in protection of assets (taxes, insurance, etc), $499.84: expenses of receivership, $4.212.27; cash in hands of receiver and comptroller, $57,335.57; total collections accounted for

8. July 13, 1933 The Greenville News Greenville, SC
Article from The Greenville News, July 13, 1933

Click image to open full size in new tab

Article Text

STATUS OF BANK CHESTER GIVEN Receiver For National Exchange Files Report As Of June 30 CHESTER, July 12-The condition of the National Exchange bank as of the quarter ended June 30, shows that satisfactory progress is being made in settling the affairs of this bank. which suspended business March 4, according to report by L. Campbell, receiver. The report follows: ASSETS Assets at date of suspension (book value, not actual), $740,127.69 additional assets acquired since suspension (book value, not actual), stock assessment (100 per cent), $100,000: total assets to be accounted for $859,963.13 cash collected from assets, $203,785. 10; cash collected from additional assets, $2,029.50: cash collected from stock assessment, $31,978.6; total collected from assessments and stock $31,978.86: offsets allowed on assets, $5,346.79; losses charged off. on assets, $2,745.41; on stock assessments, none: total losses charged off, remaining assets: assets, $528,265.31 additional assets $17.791.02; uncollected assessment. $68,021.14 remaining uncollected assets, $614.077 total assets for. $859,963.1 LIABILITIES Secured liabilities at date of susbilities at date of suspension, $381. 651.48 additional liabilities established $3,282.41 total liabilities this date. $662,012.15 secured and preferred liabilities paid in cash, $147.723.41 unsecured liabilities offset $5,346.79 unsecured liabilities for which receiver's certificates been issued. none unpaid secured liabilities (both proved and unproved) $128 436 unsecured liabilities not paid or proved. $380. 505.70 total liabilities accounted for, $662,012.15 COLLECTIONS AND DISBURSEMENTS Collections from all sources: Cash collected from assets and stock assessment, $236,378.02 cash collected from interest. premium and rents. $1,415.44: cash collected by receiver and held as trustee for owners. $162.36: Reconstruction F1. nance Corporation loan received. none total collections to be accounted for. $237,955.82. Disbursements of every character: Secured and preferred liabilities paid (including dividends $147,723.41 collateral account (collections held by secured creditors and not yet applied). $28.184 advances in protection of assets (taxes insurance. etc $499 expenses of receivership. $4,212.27* dividends pa id to unsecured creditors. none: cash in hands of receiver and comptroller. total collections accounted for. $237,955.82. Minier Padgette Parrish, Easley: Virginia Wood. Greenville: Elizabeth Sumter Oaklawn: Sara Austin, principal. and Nora O. Wyatt Sanoma Rama McCay. principal: Jessie Hunt and Marion Colyer.