Citizens National Bank

Bank Information

Episode Type: Suspension → Closure
Bank Type: national
Bank ID: 7666
Charter Number: 7666
Start Date: September 12, 1906
Location: Atoka, Oklahoma (34.386, -96.128)

Metadata

Model: gpt-5-mini
Short Digest: d8f91bd7

Response Measures

None

Description

Article (1906-09-12) describes the Citizens National Bank of Atoka having 'gone to the wall'; a state bank was organized to take over its affairs and pay creditors. The Comptroller investigated and liquidation was blocked by disputed stock ownership; the bank is effectively closed and the government may appoint a receiver or require court resolution. No contemporaneous depositor run is described, so this is a suspension/closure due to bank-specific irregularities (fraudulent capital).

Events (4)

1. March 28, 1905 Chartered

Source: historical_nic

2. September 12, 1906 Suspension

Cause: Bank Specific Adverse Info
Cause Details: Bank failed ('went to the wall') amid discovery that 210 shares of capital stock were fraudulently issued and misrepresentation of paid-up capital; state bank took over and paid creditors.
Newspaper Excerpt: It all comes about in this way: Allen organized the bank... 210 were fraudulently issued. When the bank went to the wall a state bank was organized to take over its affairs and the state bank paid off or satisfied all creditors of the failed national bank.
Source: newspapers

3. December 31, 1906 Voluntary Liquidation

Source: historical_nic

4. * Receivership

Newspaper Excerpt: There was a suggestion that the government appoint a receiver for the institution. The comptroller investigated and reached the conclusion that he would do nothing of the sort... officials of the government now say that the only course open to the stockholders is to throw the whole case into the courts and when the present tangle is straightened out through judicial determination, the government will step in under the national banking law and do its part.
Source: newspapers

Newspaper Articles (1)

1. September 12, 1906 The Chickasha Daily Express Chickasha, OK

Article from The Chickasha Daily Express, September 12, 1906

Click image to open full size in new tab

Article Text

BANK THAT CANNOT QUIT. Territory Institution That Government Will Not Permit to Close. WASHINGTON: At Atoka, there is a national bank that wants to go into liquidation and quit business but the government refuses to assent to it. Every creditor has been satisfied and every claim of a depositor against the bank has been paid and still the government stands in the wav of it pass. ing out of existence. Theoretically it is in existence today, the Citizen's National bank of Afoka. T. T. The president of the bank is W. W. Allen. It all comes about in this way: Allen organized the bank. It had 400 shares of capital stock, of which officials of the treasury department say 210 were fraudulently issued. When the bank went to the wall a state bank was organized to take over its affairs and the state bank paid off or satisfied all creditors of the failed national bank. About this time a quarrel develoned among the stockholders and the government discovered that it had been imposed on in the representations as to the capital stock of the bank being paid up. Allen had furnished a list of the stockholders who he said held the capital stock of the bank. Some of these men claimed that they did not own d the stock. and would have nothing to g do with the affairs of the bank. There h was a suggestion that the government anpoint a receiver for the Institution. e The comptroller investigated and S reached the conclusion that he would do nothing of the sort. Then the government notified them that in accordance with law it would be neces. of sary for two-thirds of the directors to regnest the liquidation. This brought s out the fact that the stockholders were t3 in a row among themselves, and when es it came to voting for liquidation It was on impossible to muster the two-thirds at vote in favor of any proposition. partie entarly as the owners of some of the stock were in dispute. Officials of the ly ed government now sav that the only as course open to the stockholders is to nd throw the whole case into the courts loand when the present tangle is straightened out through judicial de al termination, the government will step in under the national banking law an med do its part.