17330. American Bank & Trust Company (Columbia, SC)

Bank Information

Episode Type
Suspension โ†’ Closure
Bank Type
trust
Start Date
June 26, 1926
Location
Columbia, South Carolina (34.001, -81.035)

Metadata

Model
gpt-5-mini
Short Digest
5cdf293011d8f37a

Response Measures

None

Description

Articles report the American Bank & Trust Co. of Columbia failed to open June 26, 1926, was taken into the custody of the state bank examiner, and a receiver (James E. Peurifoy) was appointed in July 1926. Coverage describes alleged irregular practices, insolvency/insufficient capitalization, and subsequent litigation over collateral and dividends. There is no clear description of a depositor run preceding suspension in the provided texts; the bank was closed and placed in receivership and remained defunct.

Events (4)

1. June 26, 1926 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Failed to open June 26, 1926; state examiner found alleged irregular practices, low capitalization and inability to meet deposits; city had to seek security for public funds.
Newspaper Excerpt
the American Bank and Trust Company here, which June 26 failed open for business and went under care of the State bank examiner
Source
newspapers
2. July 1, 1926* Other
Newspaper Excerpt
Criminal Proceedings to Be Instituted in the American Bank ... closures alleged irregular practices the operation of American Bank and Trust Company ... the petition ... will be delivered the foreman of the grand jury ... for further investigation .
Source
newspapers
3. July 14, 1926 Other
Newspaper Excerpt
stockholders of the American Bank and Trust company Columbia, which closed its doors last Saturday, has called ... meeting July 14.
Source
newspapers
4. July 19, 1926 Receivership
Newspaper Excerpt
Former Judge James E. Peurifoy ... was today appointed by Judge W. H. Townsend as receiver for the American Bank and Trust Company, of Columbia, following agreement of attorneys ... . The court ordered a copy of his order for receiver sent to the foreman of the grand jury ... .
Source
newspapers

Newspaper Articles (16)

Article from Tampa Bay Times, July 3, 1926

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DEMOCRAT CLUB 3 SMALL BANKS HEARS NOMINEE FORCED Booth Urges Organization to Build Higher Than Political Machine (Continued from Page One) good work, but believe that further. The should engage active campaign to educate the people into the cessity into tics. Speakers should be sent out precinct meetings, educational literature should be prepared and sent out to the voters and in every way possible the message that politics the business every man and man community. should be brought to our citizens. "In doing said the not mean the club should neglect its other activities. important should properly organized. perfect chine. great corps workers operating to success. History shows that political organization be made persuccessful. too," continued Mr. would like to see the Democrats Pinellas county adopt better method. possible, selecting candidates in eliminate the that are often aroused under the present system. In this respect the work more do, and would like state county party adopt system. In reference his Mr. Booth stated to the workcompensation law, he believed the workmen, the backbone the protected and that he increase the facilities of the state in every way possible. reported that the auClearwater had not pleted the the Petersburg. For the business of precinct leaders over to the meeting Friday night. the of Captain former chairman of the county Democratic executive mittee, President Angle and James Purvis agreed attend the executive committee Clearwater today, arrange for the appointment the new precincts. Arthur Guthrie, ated with Mr. Booth, appointed chairman committee prepare the latest data the state election information will be printby the club distributed the voters. ers Run As Depositors Grow Panicy (Continued from Page One) of funds and ceased operations shortly before the same time the Bank of Hollywood, both short distance north this city Broward county, withstood brief run the Bank of Hollyprecipitated after receipt news the bank closings, but met through the ceipt of funds from Miami banks. The subsided shortly after when officers funds sufficient every deposit. Clark president of the City Bank and Trust company, the largest banks the and the Miami Clearing House upon the suspense the three declared that and loans paper solely for "The banks of Miami today on its capital, thing any the can of. And, able there of could pay of the liabili. ties faster than the could carry away. fault with the embarrassment three banks was not with Miami nor conditions this section nor Florida. The fault was The banks were constituted. control outside interests, the loans outside interests. capitalization was too low for safety and certainly in proportion the extended. Consequently there but end. temporary afford time to attempt to liquidate. Miami banks have gone through period of readjustment since first the year that test few banks have BANK STOCKHOLDERS CALLED meeting stockholders the American Bank and Trust company Columbia, which closed its doors last Saturday, has called hotel here July 14, today receiving nothe meeting. John other stockholdand depositors, have instituted injunction the treasurers Richland county and the Columbia from securities put up by the bank deposits. State Bank Examiner Bradley that examination now in prog. ress consume six more days.


Article from The Gaffney Ledger, July 6, 1926

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Stockholders Meet Soon. Columbia, July meeting of the stockholders the American Bank and Trust Company of this city which recently failed to open its doors for will be held probably within ten days. says Bradley, state bank Exof the banks affairs will probably take week said. after which formal report will be drafted and presented to each Notes given the city of Columbia security for deposits of public money in the closed bank have ready been turned over other stitutions here for collection Mayor Owens.


Article from The Index-Journal, July 19, 1926

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ENROLLMENT PEURIFOY NAMED LESS THAN 1924 BANK RECEIVER Only 817 Have Placed Names on the City Books Unless the men and women of the city show more interest in the approaching primaries than is evident to date the vote in the city will be less than half of the total two years ago. In fact, the total for the five precinets is less than one of the larger poxes polled in past election years, the figures being 817 up to 10 o'clock this morning compared with total vote cast of little more than 2,000 two years ago, The record to date follows. No. 1-277. No. 3-179. No. 4-138. No. g-108. Committee of Four Directors Will Work With Him Columbia, 8. C., July 19.-(AP)Former Judge James E. Peurifoy, of Walterboro, S. C., was today appointed by Judge W. H. Townsend as receiver for the American Bank and Trust Company, of Columbia, following agreement of attorneys for the city of Columbia, a large depositor, seeking the receivership and counsel for the present heard of directors of the bank, who wanted the directors to liquidate the affairs of the Institution. A committee of four directors was appointed to cooperate with the receiver. Judge Peurifoy, prominent banker. has accepted the appointment as receiver, It was an'A motion by D. W. Robinson as counsel for the city that the court order J. Pope Matthews, chairman of the bank's board. and I. M. Mauldin. its president, be ordered to give bond for their appearance at the next term of court to answer charges of violation of the state banking laws, was overruled by the court, Judge Townsend ruling that the proper method to apprehend the bank officers would be for a warrant to be issued before a magistrate and the defendants bound over. if the facts warranted. or else to let the grand jury investigate and if the facts warrant Issue bfll. The court ordered a copy of his order for receiver sent to the foreman of the grand jury and also one to Solicitor Spigner, that action may be taken If such is found to be desired.


Article from The Columbia Record, July 20, 1926

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Judge Peurifoy Gives Bond, As Bank's Receiver Former Judge James Peurifoy Walterboro qualified receiver the Ameri Bank Trust which Judge Townsend. Columbia, Judge Peurifoy filed bond Clerk of Court Hinnant The bond given the AmeriSurety Company of formerly judge the fourteenth circuit. and of liquidation of the affairs will be of four directors the bank. Columbia: E. Miller, Clarence Owens Columbia, and C. WIIson, of Columbia.


Article from The Watchman and Southron, July 21, 1926

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BANK REFERRED TO SOLICITOR Criminal Proceedings to Be Instituted in the American Bank Former Judge Puerifoy to Be Receiver Columbia, July closures alleged irregular practices the operation of American Bank and Trust Company here, which June 26 failed open for business and went under care of the State bank examiner, will be delivered to the circuit solicitor for the judicial circuit, Judge W. Townsend nounced today. transcript of the testimony taken petition before Townsend yesterday will be delivered the and foreman of the grand jury action and further investigation by them may proper. Judge Townsend that James Peurifoy, banker former judge of the Twelfth Judicial will be named receiver the the judge having approved ment last night by both sides the ing for receivership the closed of the revelations in the said Judge will order of the delivered the the grand jury order that they may make such further investigations and as may be proper for the punishment any violation of the criminal intended to prodepositors." telling the selection Judge who agreed accept, Judge said that he would the assistance of committee the board of directors the bank as at present constituted, who would, however, only advisory The receiver's will be fixed by the court. The bank, in the hands of the state bank failed open Saturday, June and was begun. found that certain depositors, among them the city of lumbia and been hold collateral security with the bank. group other deposItors sought obtain injunetion against Columbia's disposing of securities for The injunction in order that the Capital City of the might interpose petition for The city's petition was heard Saturday in session before Judge Townsend lasted from until after loans the bank to in which interested were being and bank examiners. The to have been continued morning, at which directors of the bank expected to offer testimony against the petition for ceivership. Late last night, counsel all parties conference which was agreed consent plans continuing hearing abandoned. Judge Townsend agreed to the suggested by the consulted with Judge agreed to accept the position of receiver.


Article from The Item, July 21, 1926

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COLUMBIA STILL OBJECTS BRADLEY Attorney Representing City Files Exceptions Ruling of Judge Townsend Columbia, July tion Judge Townsend's American and Trust company receivership order which W. Bradley. state bank examiner, to be disqualified perform his official duties connection with closed bank city Columbia, upon whose petition the receivershpi allowed, notice of exception through Two grounds exception "That highly improper that an officer be in the sition having personal Interthe bank. which is duty to of debtor must and disqualify acting for and in behalf of the depositors and credBradley, Royden Watassistant state bank examintestified at Saturday's hearing in the had credits the bank when closed in the sum The loans by the board directors the bank "amply secured' Watkins testified. stated meeting the board he attended, that bank the state had offered to the examiner's line credit Bradley, Judge held his not disqualified by the evidence adduced serve state examiner connection with the American Bank closing and was provided recelvership order that examiner should continue his examination of the bank. reporting his findings James E. the receiver named.


Article from The Columbia Record, December 16, 1926

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CITY TO APPEAL AMERICAN BANK SECURITIES CASE Monteith and Belser, Representing City. to Contest Dennis' Decision COUNTY NOT DECIDED Judge Ordered $340,000 of Preferences Surrendered-Other Developments Appeal from the ruling of Circuit Judge E. C. Dennis of Darlington decreeing that the collateral held by the city of Columbia, the county of Richland and the estate of James L. Mimnaugh, of Newberry, shall surrendered to Judge James E. Peurifoy, receiver for the defunct American Bank and Trust company of Columbia, will be taken by the city, at least, and probably by the county and the Mimnaugh estate. The total securities involved amount to approximately $340,000 the city about $185,the county about $135,000 and John executor of estate, $20,000. before the closing of the bank. Another late development in the affairs of the American Bank and Trust which been frequently since closing of the institution an order signed Wednesday Justice R. Watts of Laurens, staying until action by the of the bank in collect liability depositors. Judge Peurifoy, receiver for the bank, has given notice of his intention peal the court from the order of Dennis the depositors to their tion of seeking collect liability independently such the The Judge Watts any by depositors of the action, pending decision on Receiver contention. to appeal from the ruling Judge Dennis, decreeing the collateral held by the city shall be surrendered to the receiver of the bank, declared Thursday by Monteith, city attorney, and Irvine Belser, special attorney employed the W. McLain John Earle representing the county and Mr. Mimnaugh, stated no decision had been reached in to whether the county and Mr. will appeal to the or not. Appeal The appeal by Judge Peurifoy, receiver the closed has been placed on the court docket and will possibly be advanced for hearing January term court. The tion made by Judge Peurifoy Judge Dennis that the action positors seeking collect stockholders' liability the present bank by Judge nis in an order down. In his the petition Judge Dennis that he Heve that the the closed and Trust was given prosecution this by depositors.'


Article from The State, December 16, 1926

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CITY AND COUNTY LOSE IN ACTION (CONTINUED FROM PAGE ONE.) the mayor and the city clerk both admitted no previous time had the city any at any time from bank for its deposit, nor since that time had the city seits deposits. According Judge Dennis' summary, D. Robinson, an attorney neting for the city in the arranging for the testified that no securities but that they took all could get and the best that could be obtained. County Case. In the removal from the bank by M. Mobley Judge attention that the testimony Edmunds, W. Aycock Tobias, of whom had with Mr. Mobley to the failure bank previous employment as plaintiff's attorney: in this mained uncontradicted and that such established that soon after the city Columbia had for its deposit, Mr. ley, heard of the condition of the bank, made demand upon Mr. for securities tect the deposit and that such the form of notes and other of debt were turned over to "Un the evening the day the bank closed, Judge Dennis of the 'and' some effort to its affairs, Mr. Mobley fell into with Mr Aycock and Mr. Edmunds, and told them that he had been very uneasy for the last two three days, scarcely able to the situation regarding his deposit and expressing the hope that some way might be found so that the bank could resume "An stated. Judge Dennis continued his summary given plaintiff's and no mony the part the county Richland and no made with regard the matter, other than that contained its verified answers which makes the referred in the opening part this decree. Mimnaugh Case. As to the defendant John L. Mim naugh, Judge Dennis found that his attorney, John Earle, had heard rumors the run of the American Bank Trust and had for Mr. Mimnaugh and present the American Bank & Trust company for his de$20,000. Mr. naugh that time was out of the city, Judge Dennis found, but following day, June 25 He took the check Columbia mony heard by Judge Dennis, for the of depositing it and was vised by the president of that that the bank did not care to handle the check but Mr. Mimnaugh present the check to the Bank Trust and obtain the funds called for. Mimnaugh accordingly went the American Bank & Trust company, cording to saw Mr. and check. Mr. Matthews told Mr Mim naugh, Dennis found that time and could not pay the check but expected make with some during the day, that quarter was all and that he would be able to care for the by Mr. Mimnaugh, and the he give him security for the check This security was accepted by Mr naugh who declared that he did so in protect his case the bank failed. Judge Dennis found. In summing up the entire case, supported number of thorities he called attention, Judge Dennis part Bank & company that had he that the officers of the the effect making take the institution its must defeated the payment the the be the Richland and John Mimnaugh the The the transaction not the had required and that unusual parties The were alarmed the the transfers the expense badge of fraud the been Such taste and that the had that the get before the they knew being injure other Besides when the meet its insolvent deposits presentation and knew that that and have sarily known further that which meet deposits facts ants, all the defend. all presented the payment of their and the heen unable for cash or to arrange "Third. the examine value or appraise badge the case of the city Mr. Robinson, acted that behalf the city, testified took same. offered being him without as glad anything he could get; and Mr. Mobley apparent- ly did not examine his securities because he said he not know whether they 'were good or not, stating further that was left therefore, clear his idea was to get what he could get without any regard to the securities, and he did this with full knowledge of the situation. "Fourth, a fourth badge of fraud this forth in which like for the first badges of fraud to, the failure to testify with regard to the matter. This particular badge fraud relates the matter the to county. Reference has already made the fact that Mr. Mobley did not offer any testimony nt Nor was any else offered on behalf of Richland county as witness The authority to on matter in part as follow: Where the under which of property by debtor made are suspicious, the failure of the party to testify or to produce available explanatory rebutting evidence is badge of fraud. The that they could have truthfully to facts showing the bona fides of the con veyance. would have done is wholly immaterial that their failure or refusal to do based on the advice of strong prima facie showing was made the plaintiff against the county of Richland and the failure of the county to meet is against With re gard to the city of Columbia and John such was not only to meet the case of the plaintiff, but in fact strengthened The Decree. Judge Dennis' decree: therefore ordered adjudged, and decreed that the plaintiffs entitled and are hereby given judgment follows: Against the of Columbia Richland and John tate of James Mimnaugh cancellation assign ments of deposit whereby the American Trust tranferred or the 23rd 24th and 25th of June, 1926 list of which have heretofore been fur nished by said defendants to James receiver the American bank and Trust company all of said securities be and at the are hereby declared be the proper goods and chattels the James E. Peurifoy. as the same to be taken In charge by him and administered other of said bank. the action which shall taxed by the clerk and enup as part this against said "For the right for the same James E. Peurifoy receiver, apply at the foot of this decree and judgment for any which may be to carry the same into full (Signed) "E. "Presiding Judge."


Article from The Charlotte Observer, December 22, 1926

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BANK RECEIVER SUING The Raleigh COLUMBIA, C., Dec. der provisions of surety bond and an excess to total $500,000. Judge James E. Peurifoy the defunct American Bank and Trust has been authorized by Circuit Judge W H Townsend to proceed with legal action attempt to collect the sum of from M Mauldin president of the defunct bank, and the American Surety company York defendants complaint filed by Judge Peurifoy In overruling submitted the defendant was ordered by Judge Townsend that the receiver for the bank may proceed with the action POWER UPHELD The demurrer interposed on the groun dthat the plaintiff has the sue Judge Townsend ruled that the receiver has the power and that If he had not would give such authority but such given the order of the The sought by the receiver alleged be amount of bonds which secretly took and and to his own use the said to have been the property first Caro. linas joint stock bank DAVIS ELECTED HIGH POINT Dec B Davis pastor the South Main Street Methodist church was elected president of the High Point Ministers' association this morning


Article from The State, December 22, 1926

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CITY AND COUNTY DECIDE TO APPEAL Go to Supreme Court on Ruling of Dennis Concerning Securities. Both the city of Columbia and Richland county will appeal from a recent ruling of Judge Dennis awarding the of certain securities with aggregate value of $340,000 to the ceiver of the Bank & Trust company, the jurist holding that such securities secured by the city county and as the estate of A. Mimuaugh of Newberry, after the was to infrom attorneys though no formal notice of appeal has as yet been filed with HinRichland county clerk pt The order of Judge Dennis lowed by the receiver of the American Bank Trust company for the possession the valued at $340,000, of some $185,000 was alleged to have been from the bank on the eye of its failure by officers of the city as protection for Securities valued approximately $135,000 alleged to, have been by officers for de posits and $20,000 in was charged, by John protection for Decision has not yet been reached as to Mr. Mimuaugh appeal his formation from his attorney 18st Under the ruling of Judge Dennis the alleged have been removed by the three de. the land and John L. Mimnaugh, named the Judge Peurifoy receiver, to would part of the common fund the defunct institution among depositors on pro rata


Article from The State, March 12, 1927

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TO MEET MONDAY Richland Delegation Considers Bond Plan. The Richland legislative meet Monday com the county supply now pending the and plans defunct American and the lumbia Savings Bank and Trust comreplace the funds in the closed authorizing the board of borrow $150,000, secured by bonds of the for the purcounty, which the money in banks appropriated. are to not years and are repaid the of the two banks, plemented, direct the of on property its meeting consider the matter the fund appropriated station. has proposed women's clubs Columbia least part money for the enlargement of the used Columbia


Article from The State, July 15, 1927

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DURBAN APPOINTED AS BANK RECEIVER Named by Rice to Succeed Leaman for Aiken Branch of American. Special to The State. July George A. ban, of Laird's, Inc., tors. has been appointed by Judge Hayne Rice as receiver of the Aiken branch of the American Bank and Trust company, succeeding H. Leaman, resigned, the appointment having Tuesday by Judge Rice, and Mr. Durban will assume charge the defunct bank's affairs he can qualify. which will be during the present week Mr Leaman Aiken, going his former home at to spend vacation period before go. ing into business in the fall. The Mr. Durban as of the Bank and Trust branch, which is being liquidated separately from the parent institution in Columbia, was made the of special advisory committee appoint ed by the depositors, which of man and Edward Croft, has worked Mr. Leaman and will also work with Mr Mr Durban an experienced banker. and was for many years with the First National bank and the Gaston Bank and Trust of Aiken. The branch of the American Bank was forced to June 25 last year the parent in Columbia met with financial culties and failed open for business. dividend of 25 per cent. has been paid the depositors, and the out-


Article from The State, August 4, 1927

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BANK CASE HEARD BY SUPREME COURT Involves Right of Receiver to Withhold Dividend Funds Due Institution. Before the state supreme court in special session yesterday, case was heard of the rethe right ceiver of the American Bank & Trust company of Columbia, defunct, dividend funds due the Home of also defunct, as the against deposit by American Bank Trust receiver the Home bank, prior to The case James Peurifoy for the American against the Home bank. Brown Burch and Barnwell attorneys are for Home bank's while D. of attorney for the receiver of the Columbia institucourt took the case under adThe bank closed was some of time closing of Amerithe can Former Judge as receiver for the endeavored pay due giving check the receiver for the bank refused was at receiver for the Bank Trust pany had Barnwell the the $7,000. was Receiver Peurifoy's withhold the dividends the Home in the American Bank Trust company, offset against The was tried before Judge W H. Townsend, Peurifoy withhold of dividends from the assets of the American Bank & Trust company the Home bank, until such dividends equaled the sum of the amount deposit by Receiver Peurifoy in the Barnwell bank at the time that closed. From this ruling by Judge Town send the appeal was brought to the supreme court.


Article from The Columbia Record, April 3, 1928

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BARNWELL-COLUMBIA BANK CASE REHEARING IS REFUSED BY COURT The state supreme court today handed down an order dismissing petition for in the case BREMEN Parte, James E. receiver for the Bank Trust of Columbia, versus Bank of Barnwell, involving credits between the two banks against losses on deposits by each bank in the other, both banks being defunct. The opinion dismissing the petition for rehearing is by Asso- tices concur. Associate Justice Cothran files dissenting opinion. the American Bank Trust Company the sum owed the American Bank Trust Co. $20,000. When the American Bank Trust Company closed. fairs the Columbia Bank, Receiver Peurifoy deposited, from salvaged funds, in the Barnwell bank. Then the Barnwell bank failed and closed. Receiver Peurifoy withheld the of from payments the Barnwell bank in dividends from the salvage of the Columbia Institution. This the Barnwell bank receiver opposed. taking the position that he should receive the full amount of dividends due him from the salvage in the American Bank Trust Company, and the should be treated as straight debit due the Columbia The circuit court held that Receiver Peurifoy's course was correct. This the supreme court sustained and the petition of the and plane took the air and Barnwell for rehearing of the In his opinion Justice Cothran takes the position that when the American Bank Trust Company failed and went into the hands of receiver ceased to function corporation, and the While the Germans continued foy could be credited against waiting for favorable weather, an- the former banking corporation. other aspirant for Atlantic air honors was grooming mystery plane near INQUIRY INTO Sergeant Troyat, noted French pilot and friend of Col. Charles METHODS MAY FOLLOW Lindbergh, hopes to be the first attempt the Paris New York DOUGLAS, GA., TRAGEDY flight this by taking off early this month. plane copy Lindbergh's "Spirit of St. Louis." DOUGLAS, Ga., April Klose Keeps Close Mouth. BERLIN, April Klose, who was in charge of the who awaited the arrival of the plane Bremen Dublin, has to Berlin his reason for doing so is cloaked mystery. have nothing to say to the told the Associated Press correspondent traced him the North German Lloyd fices this morning. "This whole affair concerns even the North German Lloyd." He said that Arthur Spindler, COpilot of the Bremen, ported to have left Dublin, did come to Berlin with him. Asked whether Spindler had left Ireland, Klose said "it isn't up to me to assert or deny."


Article from The Columbia Record, August 4, 1928

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CITY GETS TAX MONEY FROM DEFUNCT BANK Money retained by James E. Peurifoy receiver for the American Bank and Trust as tax rebate have to be paid city Columbia. under an order signed by Judge W. Townsend. The back the bank the When the bank for which Judge Peurifoy receiver closed the tax commission to fund to the institution certain part Its for the year. The receiver the bank was under impression that like agreement had been made with the city and when he sent the city check Its dividend the amount of the tax rebate deducted. The matter was brought to the attention of city council and decided to investigate with gaining for The order Judge Townsend directs that this be paid to city and fuses the the bank celver for writ of mandamus directed the treasurer Columbia the tax assess. ment levied on the bank Judge Townsend holds, in his written order that the bank paid the taxes and "without question being raised to their validity by the bank prior the appointment receiver and abatement assessment


Article from The Columbia Record, December 8, 1928

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AMERICAN BANK MUST PAY MANNING BANK Receivers of the American Bank Trust defunct lumbia institution, are required by Judge Hayne Rice, order signed Wednesday filed Friday with the Richland county court, to pay all credit 221.53 to receivers of the Bank Manning In the order Judge esets forth that there no recon the books the American Bank Trust company of made by bank the payment of sum by Clarendon county the bank three by the county. this ing the the officials of the Bank issued in the case of John Rice. the city Columbia, parte, James E. Peurofoy. receiver of the American Bank and Trust plaintiff. against H. Boswell Dinkins, receivers the Bank of Manning, and Clarendon counAllen Curtis, Sabin Sanger, Thomas Motley. Edward Motley, Harry H. Bemis, Edward co-parters, doing busiunder the firm name of Curtis and Sanger.