17905. First National Bank (Elizabethton, TN)

View Charter #9558 on SPMC

Bank Information

Episode Type
Run β†’ Suspension β†’ Closure
Bank Type
national
Bank ID
9558
Charter Number
9558
Start Date
October 17, 1931
Location
Elizabethton, Tennessee (36.349, -82.211)

Metadata

Model
gpt-5-mini
Short Digest
0eb8af0c97717578

Response Measures

Capital injected, Full suspension, Books examined

Other: Plans to establish temporary banking facilities / a temporary institution to handle local deposits; community/leading businessmen offered financial assistance to recapitalize and aid reopening.

Receivership Details

Depositor recovery rate
17.0%
Date receivership started
1931-10-19
Share of assets assessed as good
21.5%
Share of assets assessed as doubtful
67.1%
Share of assets assessed as worthless
11.4%

Description

Articles describe heavy withdrawals and 'unreasonable demands' on the First National leading directors to suspend operations in October 1931 after consultation with the national bank examiner/Comptroller. Efforts to reopen were discussed in late 1931 and early 1932 but a receiver was in place (receiver appeals reported in 1933) and the bank remained closed; receivers later paid dividends (1934). Thus a run precipitated suspension and the bank did not reopen (receivership/closure). OCR errors in articles corrected (e.g., dates inferred from article text: bank closure Oct 17, 1931).

Events (6)
1. October 8, 1909 Chartered
Source
historical_nic
2. October 17, 1931 Receivership
Newspaper Excerpt
the institution is in charge of the national bank examiner ... bank's receiver (appeal filed by George Ogdin, receiver) when the Elizabethton bank had closed Oct. 17, 1931 and the placing of its affairs into the hands [of a receiver].
Source
newspapers
3. October 17, 1931 Run
Cause
Local Banks
Cause Details
Heavy withdrawals driven by general depression and contagion from other local bank failures/distress (mentions Holston National Bank collapse and large withdrawals)
Measures
Directors appealed to depositors for cooperation and planned conferences with other bankers; officers attempted rallying funds and publicity to reassure depositors
Newspaper Excerpt
the suspension of this bank is due general conditions along with ... unreasonable demands of depositors ... withdrawals two and three months in advance of maturity
Source
newspapers
4. October 17, 1931 Suspension
Cause
Government Action
Cause Details
Board suspended operations after consulting the national bank examiner/Comptroller and notifying the Comptroller of the Currency; suspension made while examiner took charge
Newspaper Excerpt
Since the First National bank suspended operation on Saturday morning by order of the board of directors, which order issued after the Chief Examiner had been consulted
Source
newspapers
5. October 19, 1931 Receivership
Source
historical_nic
6. November 26, 1934 Other
Newspaper Excerpt
Receivers announced ... checks for 10 per cent dividend had been received ... The bank closed three years ago; last year dividend paid depositors, the new dividend making total ...
Source
newspapers

Newspaper Articles (8)
1. October 19, 1931 Elizabethton Star Elizabethton, TN
Article from Elizabethton Star, October 19, 1931

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Article Text

Co-operation Is Necessary (Continued from page one) whereby the institution would be able to re-open within few days. The statement released by Alexander today to the depositors of the First National bank as follows: "Since the First National bank suspended operation on Saturday morning by order of the board of directors, which order issued after the Chief Examiner had been consulted. we feel that the depositors of the bank along with those who owe the bank should have some information concerning the status affairs and we wish to make the following statement: "The First National bank of Elizabethton organized about twenty-one years ago and number of its officers have been active officers practically since the time During the existence of this it has come to the rescue of four other banking institutions and by so doing has protected the depositors and Carter county and Elizabethton from collapse and disaster which usually follows the permanent closing of financial institutions. For the past two years unprecedented depression has existed not only here but in every state in the Union and throughout every nation in the world, which depression has constantly grown more acute. "About year ago, after the collapse of the stock market in New York and the Caldwell and company disaster people became frantic all over the country on account of the crash of so many financial institutions and locally depositors, of our institutions withdrew in the aggregate large sums of money from which withdrawals the First Na. tional Bank, through desperate efforts on the part of its officers, was able rally. However very unusual demands were made on the Holston National Bank by the its depositors to such an extent that this institution having also taken it without funds and conference after conference was immediately held by the officers of both institutions here and with other bank officials in adjoining cities. The officers of this institution having also taken up with Mr. Preston, one of the most prominent bankers in the entire South at one time head of the American Bankers Associated, and after due consideration it was with the advice of all and the promise of reasonabe by number of institutions that we took over the Holston National Bank to prevent collapse and had we not done so, the collapse of the one would probably have brought about the collapse of the other. "We wish to say *rere and now that we do not mention the Holston situation in any spirit of reflection for want the public to know that their officers have worked faithfully and diligently in an effort to protect the whole situation, in paper we know. and there has not been the slightest friction tween the two organizations and these men to be commended for their

2. October 19, 1931 Elizabethton Star Elizabethton, TN
Article from Elizabethton Star, October 19, 1931

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whole situation against these unreasonable demands. want to further advise that this institution suspended suddenly before our funds were exhausted. for the benefit of all concerned. "As directors we notified the Comptroller of the Currency and the Chief Examiner according to Law that we had suspended and now the institution is in charge of the national bank examiner, and as soon as he has completed his examination, we will be in better position to make more definite statement to our depositors and the public. However, we want to say that we as officers and directors of this institution intend to make every possible effort to reopen the institution provided depositors will assure of their full cooperation and as well as from the people who owe the bank that they will make every effort which humanly possible to reduce as rapidly posisble their obligations to the bank. In the we ask our depositors and the public to withhold and prevent undue agitation and idle talk We can understand, of course that some unreasonable people will try to reflect on some of the officers and directors of both institutions and we merely mention this one instance to convince the even the active people here have money tied up, for instance, the Mountain Spring Water company does not owe the First bank anything but has deposit in this bank approximately eight thousand dollars of its funds tied up and locked up just like the funds of the public Alexander who president of this institution. also president of the Mountain Spring Water company and the largest individual stockholder in said corporation. "We want the public to know that the suspension of this bank is due general conditions along with Meal unreasonable demands of depositors. even going so far as to mand their money two and three months in advance of maturity and the inability of those who owe the bank to pay up revidly enough to meet these demands. "If all our depositors and all the people who cwe 118 and the pub lic who have quietly and slowly withdrawn their money will all cocorate with us. we will do everything that humanly possible to re-open this institution.'

3. October 21, 1931 Elizabethton Star Elizabethton, TN
Article from Elizabethton Star, October 21, 1931

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STARTED BANK FACILITIES Temporary Institution Planned to Handle Local Deposits Plans today are in progress that hoped to bring about the opening of the First National Bank. which suspended operations Saturday by orders of the board of directors In the meantime, move has been launched to give the public temporary banking In the event plans the opening of the institution materialize. it will be at least 10 days before operation can be resumed was with this idea in view that plans for temporary banking relief are formulated. Business men and bank officials are cooperating in concentrated effort to bring about the reopenmg of Carter county's only financial institution "The paramount need at this time complete understanding of the citizenship of Carter counand the together of all for the mutual benefit of our entire citizenship.' said Campbell prominent local attorney Officials the Bemberg and Glanzstoff plants had not announced this afternoon how employes would be paid week but expected that they will receive compensation in the form drafts. be honored at any bank Nothing official. however. has been given out. Elizabethton merchants are making every effort to cash pay checks and to take care of the situation until temporary facilities can

4. October 21, 1931 Elizabethton Star Elizabethton, TN
Article from Elizabethton Star, October 21, 1931

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Business Men Reveal Spirit Of Optimism was brought to startling conA spirit of optimism today clusion with announcement late yesprevails among Elizabethton's terday of the commisison proposal, eading citizens in regard to Railroad men and attorneys had The First National bank, scoffed the plan when shippers suggested at hearings It was unwhich suspended operation workable, they said The commisSaturday morning by order of sion. however, today asserted it the board of directors. A Outlines Commodities large number of business men At the same time the commission expressed their opinions in outlined the on which regard to the financial instiwould permit surcharges and the tution and conditions in gen- amount of thos They were limited to maximum eral. per cent Some commodities, While was impossible to carry cluding coal, ores of all kinds and all of the statements of various forest products were limited to business and profesional men, carload some others to $6 number will be carried daily until and still others to one and all have appeared. cents 100 pounds. Major farm This spirit of optimism and coproducts wheat, carn, operation shows that leading cotton. livestock. and most fresh citizens of Elizabethton are willing not to be levied against to put their shoulders the wheel further The commisison disclaimand aid in overcoming the situation any responsibility for keeping which now prevails. the income of the railroads up representative of The Star the requirements of the New York visited 30 of the city's leading busi- and other state laws for investment ness professional men yester purposes. day and today and found each wil- Not Justified ling and anxious to aid bank of- "We do not find that we are ficials. Instead of pall of gloom. Justified on this record to attempt," spirit of real optimism present said, 'by rate increase, to proPart of the statements are as tect the margin one and onefollows: half times fixed charges set by the O'BRIEN, chairman county honestly believe the bank will re-open and am willing to assist financially otherwise if within reason, in order that the bank may be re-opened. not only for the benefit of Elizabethton. but the county whole. W. W. THOMAS. Sterchi Brothers, Inc. feel that our bank will re-open in short time and we hope business will be normal We will give assistance can to the bank for the good of Elizabethton and Carter county D. R. Sample Shoe will do everything in my power to aid in reopening the bank. and believe its reopening is possible all the people in this county will give their whole hearted co- Penny com- Citizens stronger bank, and bank is no stronger izens. time to lay aside personal grievances and do everything possible to the institution have talked with hundreds citizens and all are ready and ing to cooperate. With whole hearted cooperation of our citizens everything will work out satisfactorily to all. H. MERCER. Montgomery Ward and think ing people will not question the ability Elizabethton to come through with stronger banking facilities than in the past as known fact this city is stronger (Continued Page

5. January 7, 1932 Elizabethton Star Elizabethton, TN
Article from Elizabethton Star, January 7, 1932

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ALEXANDER SAYS MEETINGS Specific Plans Will Be Worked Out For Future Steps Alexander, president of the First National which suspended operation in October, 1931, just arrived from Washington, where he, along with Sam Millard, Grindstaff, H. Holly, and Frank Seiler, officers and rectors of the institution, had conference with the banking department at Washington, looking forward to the reopening the bank When called on this morning by reporter of The Elizabethton Star, Mr that the held in Washington very satisfactory, and the officers the bank that plans would immediately be put in motion for the consideration of the repening of the institution was suggested during the conference, that antil specific plans were worked out, which plans are under immediate consideration. that no good purpose could be served by meetings of any kind. any agitation whatever As scon these plans are definitely agreed upon, will be given to the public or the depositors. EMPOYES HELD ployes were held in jail here yesterday for questioning in with the mysterious disappearance Lester Arnold, merchant whose truck, bearing bullet was found on the banks of the Obton river, near Kenton Tenn. last Sunday Arnold disappeared while on his way to Union City apples. He had consider amount of money with him. Relatives feared he slain and his body thrown into the river Divers have been unable to locate his Lody

6. October 25, 1933 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, October 25, 1933

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COUNTY and COURTS FEDERAL Bookie Accuses Wife, Four Deaths Recalled Who Denies All In Suit Of Widow. Avenue East Fourth Wilder 1401 Dalton When Jacob Ammann 26 years old, 34 East Liberty Street appeared before Judge Charles W. Hoffman Domestic Relations Court several weeks for his suit for divorce from Marie Crump Ammann, 23 years old, 1812 Race Street, Mrs. Ammann fainted just after entering the courtroom and the case had be continued was heard yesterday, Ammann charging that his wife associated with men neglected child. He also said that on Novem ber 1932, she asked him for money to go to the Latonia track When he she became angry and told him get out she would pack his things and throw them out. He left. Ammann said. When asked his occupation, Ammann he is "bookmaker He further charged that on May 21. 1931 she left ostensibly to visit She did not return and he enlisted the aid of police and he charged his wife was found in rooming house with another Mrs. Ammann denied all of his charges and she had worked for year. her husband col lecting her pay They got along all right long he had money with which to gamble, she said, but he would angry when she asked for money The wife's stepfather, William Crump. 1812 Race Street, called as witness, that both were to blame and neither have divorce Mrs Ammann begged to be keep child no what the might and Judge Hoffman took the under consideration He Just Came And Went. Except for the first four months 1929 Rayborn did support her. 1604 in her suit for divorce filed She also says that during the their they separated seven times. These separations resulted in reconciliations which failed to last except in 1930 says That time they together for nearly weeks. Each reconciliation ended in Rayborn sending her back to parents because he could not provide for she 1931 Rayborn took a trip to the West and months, she says. Again last year he similar trip, away for five she did he in form her he was leaving or any of going. she says. So she seeking divorce that her maiden name, Wolff be restored to her. Two More Wives Sue. That he denounced her publicly swore at and at "beat made by Angeline Doyle, 520 Hale Apart suing for divorce Frank 4574 Eastern Avewhom she Sep tember 12, 1931 asks that her maiden name, БоусС, be restored to her For the past two years Isaac 915 Dana has provided support for her Lully Belle 855 Lex ington charges in her suit for divorce She restoration of her maiden name, Henle were married November 5, 1902 and no children Sentenced For Robbery Harold Holobaugh of robbery charge few days ago, from 10 25 in the Penitentiary by Stanley Matthews Criminal De cember 18 last Holobaugh Leonard attendant Standard Oil station, Twelfth and Sycamore Streets, washroom at the station, after robbing him of $79 Will Contest Is Settled. By agreement in Judge John H. Druffel's Court yesterday sustaining the will of Mein inger, died 3. 1931 nephews nieces to set aside the will but settle ment was reached cut of court. Death of four and two women a railroad ac cident at Hamilton, Ohio, early in the morning of 7. 1931 was recalled in United States District Court when the suit of Mrs. Lillian Mae utrix of the her late husband Campbell 46 years old, Dayton one the victims the accident, against the Ohio Railroad Company began before District Judge Robert Nevin for $30,000 as for band's death which was the of the of the the Fifth Street ing in of speed. It appears that Campbell was in man named "Master" Haynes and two sisters named Jones, three residents of Hamilton, at the time of the Edward M Ballard Cincinnati and George for the and Her bert der the Schindel & the the railroad expected the trial the will continue over today Closed Bank's Receiver Appeals First Nati Bank of an appeal in United States Appeals yesterday from the District Taylor Knoxville dismissing suit against H. Goodwin Moun tain alleged to be due on check of Goodwin's which payment stopped by Goodwin when learned the Elizabethton bank had its 1931 Judge the suit the of the defendant a motion the bank's receiver rehear Spoiled Fish To Be Destroyed. fish by Federal virtually completely District Judge Robert Nevin the motion District Attorney Francis the United States Marshal to the seized product. fish shipped to Cincinnati from Chicago and were said to be decomposea upon were blue fins from Lake Superior Doctors Are Creditors. Charles W. Danner, 58 West Charlton Street filed his voluntary petition in bankruptcy in United Court for lief from his debts he at $497 He values his assets all which says are His creditors are phy from $50 $150 for Scheduling liabilities totaling $529.50 and assets of $210. all of which he John B railroad brakeman, 320 tered his voluntary petition in bankruptcy His largest creditor is Dr. Astler Vine Elmwood Portsmouth Bankers Plead. Daniel W Conroy President and Clarence Nodler Vice President the First National Bank Ports mouth Ohio. appeared in United States District Court yesterday and entered pleas guilty to the first joint ing them with having false report to the of the Currency not guilty to the counts of this indictment Conroy also entered plea of not guilty separate indictment against him. individually charging misapplication or of the funds the bank of which he was the head Both men were ordered to re turn October at which trict Judge Robert R. Nevin will sentence them and make disposition the other charges contained in the Indictments the en by the Grand Jury here last They out of alleged the closing of the bank by the Comp. troller of the Currency several months ago and the placing of its affairs into the hands Con. Closes Bankruptcy Cases Twenty one bankruptcy records filed in United States Court yes. feree in as follows Stoller and Joseph were H. Roads Highland sets 3222 Madison Liabilities cent salesman West farmer Thompson $201 shoe $563 Nothing Ronald doing sets farmer Assets Nothing deal.

7. October 25, 1933 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, October 25, 1933

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Four Deaths Recalled In Suit Of Widow. Death of four persons- men and women-in a railroad accident at Hamilton, Ohio, early in the morning of February 7, 1931, was recalled in United States District Court when the suit Mrs. Lillian Mae Campbell, executrix of the estate of her late husband, Herbert Campbell, 46 years old, salesman Dayton Ohio, one the victims of the against Ohio Railroad Company before District Judge Robert R. Nevin. Mrs. Campbell seeks for $30,000 as damages for husband's death which she was the of the of the railroad the Fifth Street ing an excessive rate speed. appears Campbell automobile man named "Master" Haynes and two sisters named Jones, all three of Hamilton, at the time of George Holland, Dayton, are counsel plaintiff and Herbert Schaffer and Philip Schneider. the firm of Waite, Schindel & Bayless, Cincinnati represent the the railroad company expected the trial the case continue over today. Closed Bank's Receiver Appeals. George Ogdin. receiver of the First Bank of Elizabethton, Tenn., filed an appeal in United States Circuit Court Appeals yesterday from the judgment District Judge George Taylor, Tenn., dismissing his suit against L. H. Goodwin, Mountain City, Tenn. recover $1,278.52 alleged to be due on check of Goodwin's which payment was stopped by Goodwin when he learned the Elizabethton bank had closed its October 17. 1931. Judge the suit upon the of the defendant and afterwards motion of the bank's receiver to rehear the case. Spoiled Fish To Be Destroyed. Because 1,900 pounds seized by Federal authorities last week virtually completely spoiled, District Judge Robert Nevin, on the of District Francis Canny, the United States to the seized product. The fish shipped Cincinnati from Chicago, and were to be arrival They were blue fins from Lake Superior. Doctors Are Creditors. Charles W. Danner, salesman, 58 West Street, filed his voluntary petition in United States Court for lief from his debts he $497 He his $298, all of he says His unsecured creditors are physicians with ranging from $50 $150 for professional Scheduling liabilities totaling $529.50 assets of $210. all of which he says are exempt, John B. Knoblaugh, brakeman, 320 Jonte Avenue, Lockland, Ohio, entered voluntary petition in bankruptcy. largest creditor Dr. Astler 6108 Vine Street, Elmwood Place, $375. Portsmouth Bankers Plead. Daniel W. Conroy, President. Clarence E. Nodler, President the First National Bank, Portsmouth, Ohio, appeared in United States District Court and entered pleas guilty to the first count joint indictment charging them with having made false report the Comptroller of the Currency. They pleaded not guilty to the other three counts of this indictment. Conroy also entered plea of not guilty separate indictment against him, individually, charging misapplication of $2,064.40 of the funds of the bank of which he was the head Both were ordered to reOctober which District Judge Robert R. Nevin will sentence upon them and make disposition of the other charges contained in the indictIndictments which the men enpleas by the Federal Grand Jury here last They of alleged transactions preceding the closing of the bank by the Comptroller of the Currency several months ago and the placing of its affairs into the of Conservator. Closes Bankruptcy Cases. Twenty one bankruptcy cases were in final records in United States District Court yesterday by William Kuertz, referee in bankruptcy, Cincinnati, as follows: Maurice Stoller and Joseph Gander business Sander Liabilities For 7% per were and H. creditors. Bruck business 4903 Whetsel 3222 Beechmont Avenue reCity cent. Liabilities Ohio. 309 West $557 Defarmer Oho. Assets, $154. Oral for Thompson 8471 Nothing for creditors. retail 545 $563 Nothing telephone 2819 Schneider doing ern Millinery 1320 Joseph re985 Wilmington Liabilities. 6115 448 Avenue. Liabilities 307 East Burnet Avenue. $503. 2351 Wilder 1401 Dalton

8. November 26, 1934 Johnson City Press Johnson City, TN
Article from Johnson City Press, November 26, 1934

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Bank Depositors At Elizabethton Get 10 Per Cent The Press One hundred thousand dollars ready begin flowing into the hands depositors the defunct First National Bank here. Receivers announced day checks for per cent dividend had been celved and were on hand for The bank closed three years ago; last year dividend paid depositors, the new dividend making total per they have realized their deposits. Checks were received Saturday officials been working night and day to them ready. Offices behind the new Citizens Bank.