18031. First State Bank (Hartshorne, OK)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
January 13, 1927
Location
Hartshorne, Oklahoma (34.845, -95.557)

Metadata

Model
gpt-5-mini
Short Digest
2d57d6e8

Response Measures

None

Description

The First State Bank of Hartshorne closed/suspended operations in mid-January 1927 (report cites closing January 13). Articles describe the bank as having closed its doors and being a failed state bank; there is no clear description of a depositor run on this particular bank (nearby banks experienced runs after its suspension). Plans were later reported to organize a national bank to take over and liquidate the old bank's assets, but the original institution had suspended and failed. OCR errors in the source were corrected (e.g., dates and phrasing).

Events (3)
1. January 13, 1927 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Examination and commissioner report indicate the bank was insolvent/failed; described as having closed its doors and a failed institution (assets and examination filed).
Newspaper Excerpt
the closing of the instituJanuary 13. The detailed port... filed this week ...shows that the condition of the as indicated by the books the on January 13
Source
newspapers
2. February 3, 1927 Other
Newspaper Excerpt
plan ... to organize national bank ... The new bank would take over and liquidate the old bank on the best possible basis. ... reports from Hartshorne are that the plan most favored by the old bank
Source
newspapers
3. February 4, 1927 Other
Newspaper Excerpt
The recent suspension of the First State Bank of Hartshorne ... were contributing factors, it is said. ... Banking conditions here caused a furore of excitement and when the First National Bank ... opened ... a run started.
Source
newspapers

Newspaper Articles (5)
1. February 3, 1927 McAlester Democrat McAlester, OK
Article from McAlester Democrat, February 3, 1927

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Article Text

FT. SMITH MAN MAY ESTABLISH NATIONAL BANK IN HARTSHORNE OFFER ACCEPTED It was announced from Harts horne, Thursday morning, that the proposition of Mr. Nakdimon, for the establishment of bank at Hartshorne had been accepted at meeting of stockholders and depositors the old First State Bank, night, and that he would come over immediately to take the matter up in detail. The plan, briefis for the organization national bank, with $25,000 capital stock, Mr. Nakdimon, to take the larger share of the stock. The new bank would take over and liquidate the old bank on the best possible basis. Reports from Hartshorne are that the plan most favored by the old bank That Hartshorne may come to financial surface again with first class bank, the First State Bank that recently closed its doors there, indicated in ports that Nakdimon, of Smith, one of the most powerful nancial figures is Western Arkansas, interested in the situation there for and has promised to come conference with and depsitors of the failed bank, this As authoritatively rumored, the Nakdimon plan would be to organize national bank, with some of the old depositors of the First State Bank other Hartshorne business men inter ested as holders of the new bank, but with the Ft. Smith man ing the major block of the stock. It that the plan further would be for the to take the assets of the failed bank, working effec tive liquidation plan on basis, but not flatly agreeing to sume specific indebtedness of the old institution. It believed by many that this would be the mast salutary plan for salvaging the former bank, ing to acknowledged ability Nakidmon as banker and general business man and his established backing His tailed knowledge of handling securi ties this of the country urged, far toward go successful liquidation of the state bank assets Commissioner Reports In the meantime, the bank commissioners, W Shofner and H. Kelly, have filed their report the bank examination made by them. the closing of the instituJanuary 13. The detailed port, 85 closely pages, filed this week in the office of the court clerk report shows that the condi tion of the as indicated by the books the on January 13, revealed total assets of $896, (Contnued to Back Page)

2. February 4, 1927 Hattiesburg American Hattiesburg, MS
Article from Hattiesburg American, February 4, 1927

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Article Text

(By Associated Press) McALESTER, Okla., Feb. 4.-Both the McAlester Trust Company and the Bank of North McAlester suspended business today. The recent suspension of the First State Bank of Hartshorne and the Bank of Krebs, were contributing factors, it is said. Total deposits of the two Mc . ter banks were about 72,000,000. Banking conditions here caused a furore of excitement and when the First National Bank, the only remaining bank in the city, opened at 9 o'clock a run started. Depositors and spectators gathered in big throngs an hour before the door opened. Amply cash is on hand to stem the crisis it is said.

3. February 4, 1927 Brownsville Herald Brownsville, TX
Article from Brownsville Herald, February 4, 1927

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Article Text

5 OKLAHOMA BANKS CLOSE Failure of McAlester Institution Given As Cause OKLAHOMA CITY, Okla., Feb. 4. (P)-Closing of a fifth bank in Southeastern Oklahoma as a result of the failure this morning of the McAlester Trust Company was announced today at the office of the State Banking Commissioner. The Bank of Pittsburgh was the fifth institution to close. Like the other small banks involved its funds were on deposit with the McAlester trust company. It had deposits of $67,000 at the close of last year. McALESTER, Okla., Feb. 4.-AA)Both the McAlester Trust Company and the Bank of North McAlester suspended business today. The recent suspension of the First State Bank of Hortshone and the Beak of Krebs were contributing factors, it is said. Total deposits of the two McAlester banks were about $3,000,000 Banking conditions here caused a furere of exeitement and when the first National Bank, the entire remaining bank in the city, opened at 9 o'clock, a run started. Depositors and spectators gathered in big throngs an hour before the doors opened. Ample cash is on hand to stem the erisis, it is said.

4. February 10, 1927 The Hartshorne Sun Hartshorne, OK
Article from The Hartshorne Sun, February 10, 1927

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Article Text

MRS. MARY JONES DIES AT OKMULGEE Mary E. Jones, 62, wife Elder Jones, this died city, the hospital in Okmulgee, February 4th. Mr. Jones had been meeting Okmulgee for some and while there contracted very severe attack influenza. Mrs Jones rushed to his bedaide at once and after days she, also, contracted the flu. She was taken the hospital in Okmulgee everything that medical aid could was done for her. But, alas, that horrible distoo much for she was numbered with the thousands of other flu victims have down in their battle for life. Four times within the last months this family circle has been broken by death. Each families called. Surely this family to the sympathy of their many friends and associates Hartshorne where they. have resided for about years. The brought to Halleyville No. 44, the same train which the other three of the family. all of whom died at other points were brought here for burial local passenger train. Funeral services hald at the Church of Christ last Saturday being Elder Oscar Hayes followed Cametery She survived husband Elder Jones, Elmer Jones Oolagah, Elzy Jones Beggs, and her daughter, Mrs. Bertha Holmes Hartshorne, besides host of friends mourn her death, THE BANK Since the First State Bank here open the morning January the 14th, six other banks the county have followed, namely: Indianola, the Bank Krebs, The McAlester Trust Company, the North Bank, the Pittsburg, and the Bank The the Trust Company carried down bank at Wapanucka Coalgate. the Trust Company at ter failed to open doors last day, the run which had been on this for two days, was First National Bank, but bank got sufficient funds to meet the rush and by noon Saturday the run was over. there now ported normal. rumored the McAlester Trust Company open again, soon after books completed, which is expected finished within day two The miners here pay two since the closing here business conditions have improved. AT THE CRITERION Monday and Tuesday, "You Never Know Women," with Florence Vidor Lowell Sherman and Clive Brook from the story "The Great Illusion,' by Ernest Vaja. Thursday Flood," with Harlan Viola Dana. Here thrills, action, everything. Plot laid up in the great north country lumber Also "Wild very funny comedy Friday, an star cast supporting another chapter "Fire Fighters," also Saturday Fred Blue Strenk Western Universal thriller, One Man Game," and two reel comedy GOVERNOR NEW HIGHW Tuesday Governor Johnston sent new list names to the senate for confirmation of the state highway They are follows: Henry W. Leininger, democrat, Lawton, for chairman. Charles Carter, congressman, democrat, Jesse democrat, county comJohn G. Parker, republican, banker, G. Jones, republican, banker, former list sent to the senate was not all being turned that The the entire list

5. September 29, 1927 McAlester Democrat McAlester, OK
Article from McAlester Democrat, September 29, 1927

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Article Text

File Second Call For Grandjury In Failed Bank Cases For the second time since the failure of a number of state banks. last January and February, a grandjury has been asked by citizens of the county The first grandjury went into many county matters and was in session for several weeks during which time some phases of the bank suspensions were under consideration, it is said. but nothing was brought forward to justify any action, and none resulted The second petition for grandjury wes filed last Friday. and signed largely by citizens of Krebs and Hartshorne In addition to asking for investigation of criminal offenses in the county generally, it asks specifically for investigation of the conditions surrounding the failure of the Bank of Krebs and the First State