18054. Hugo State Bank (Hugo, OK)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
May 7, 1925
Location
Hugo, Oklahoma (34.011, -95.510)

Metadata

Model
gpt-5-mini
Short Digest
cfbe5441

Response Measures

None

Description

The Hugo State Bank was ordered closed by the Oklahoma state bank commissioner on May 7, 1925 as a precaution against a run after the Hugo National failed to open. It was not described as insolvent and later reopened (noted July 12, 1925). The immediate trigger was distress/failure of local banks (Hugo National) and related clearing/refusal issues.

Events (2)

1. May 7, 1925 Suspension
Cause
Local Banks
Cause Details
Closed by state commissioner as a precaution after the Hugo National Bank failed to open and amid related clearing/discounting problems (Federal Reserve refusal to handle paper).
Newspaper Excerpt
The Hugo State bank was closed today by O. B. Mothersead, state bank commissioner, as a precaution against a run.
Source
newspapers
2. July 12, 1925 Reopening
Newspaper Excerpt
BANK REOPENS ... The Hugo State bank ... very few withdrawals today and deposits were received ...
Source
newspapers

Newspaper Articles (11)

Article from Bartlesville Examiner-Enterprise, May 7, 1925

Click image to open full size in new tab

Article Text

State Bank Commissioner Orders Hugo State Bank and Liberty Bank at Soper Closed Today HUGO, Okla., May Hugo National Bank failed to open for business here today. The Hugo State Bank and the Liberty State Bank Sopher, town west of were closed by order of Mothersead in connection with the closing of the national institution. Officials of the national bank attributed their difficulties to the refusal the federal reserve bank Dallas to handle paper of the First National bank, which merged with the Hugo National bank years The City National transacted business today It was said that had sufficient cash to pay all depositors necessary. Depositors the two closed banks include number of leading concerns of the city. The closing was unexpected. OKLAHOMA CITY. May Hugo State Bank was closed today Mothersead, state bank commissioner. precaution against run. The bank has no connection with the Hugo National Bank, which failed open this morning "While had grounds to close the State bank. It has not failed." Mothersead said. "The bank had insufficient reserve cash withstand and ordered closed precaution Mothersead said the Liberty State Bank of Sopher which he also ordered closed today, has the same directorate the Hugo National


Article from The M'Alester News-Capital, May 7, 1925

Click image to open full size in new tab

Article Text

THREE BANKS ARE CLOSED: NATIONAL OF HUG0 IS CAUSE HUGO, Hugo National bank failed to open for business day. The Hugo state bank and the Liberty State Bank of Sopher, town west of here, were closed by order of Mothersead pection with the closing of tional Officials of the national bank tributed their difficulties the fusal the federal reserve bank Dallas to handle paper First National bank. which merged with the Hugo National bank two years ago. The City National bank Hugo transacted business today usual. that ficient cash to pay off all depositors necessary Depositors in the two closed banks include number the leading business concerns of the city, The closing was unexpected. Run Was Expected Hugo State bank was closed today by Mothersead, state bank comagainst run, he said. The with the Hugo National Bank, which failed to open this morning. had grounds to close the state bank, it has not failed, Mothersead said "The bank had insufficient reserve eash to with stand run, and ordered it closed as precaution. Mothersead said the Liberty State bank of Sopher, which he also dered closed today. has the same directorate as the Hugo national


Article from Muskogee Times-Democrat, May 7, 1925

Click image to open full size in new tab

Article Text

Two Hugo Banks Ordered Closed; One Act As Precaution Against Run CLOSING ACTION IS SOPER INCLUDED Hugo National Fails to Open for Business and Mothersead Orders Others Closed Associated Press Hugo bank failed for busiThe Hugo State ness bank and the Liberty State bank of Soper, town here. closed by connection with the closing of the national Officials the national bank tributed difficulties to the the federal bank fusal Dallas paper the First the National Hugo bank The City National bank of Hugo usual It said that had sufficient cash all necessary pay the two closed banks Depositors include number of the leading busiconcerns the city. The closing unexpected CLOSED AS PRECAUTION AGAINST "RUN" May 7.-The Hugo State bank closed today by he said. against connection with the bank has no National which to Hugo this morning the had had insufficient run. and ordered precaution. the Liberty State which he also ordered bank has same directorate today, as the Hugo


Article from St. Joseph Gazette, May 8, 1925

Click image to open full size in new tab

Article Text

THREE OKLAHOMA BANKS CLOSED One Fails to Open and 2 Others Closed by State National bank here failed to open for business today. The Hugo State bank and the Liberty State bank of Soper, town west of here. were closed by order of O. B. Mothersead, tion with the closing of the national Officials of the national bank attributed their difficulties to the refusal of the Federal Reserve bank at Dallas to handle paper of the First National bank. which merged with the Hugo National bank two years ago, Oklahoma City, Okla., May 7.The Hugo State bank was closed today by O. B. Mothersead, state bank commissioner, precaution against a run. he said. The bank


Article from Blackwell Journal-Tribune, May 8, 1925

Click image to open full size in new tab

Article Text

Two Hugo Banks Close Their Doors Okla., May Hugo National bank failed to open for business here The Hugo State Bank and the Liberty State Bank of Soper, town west of here closed by order of B. Mothersead in connection with the closing of the national institution. The Hugo State Bank was closed by O. B. Mothersead, state bank commissioner, as precaution against run, he said. The bank with the Hugo National Bank which failed to open had grounds close the has not failed, Mothersead said "The bank had fficient ordered it closed precaution, Mothersead said the Liberty State Bank of Soper, which he also ordered closed today, has same directorate as the Hugo National Officials the national bank attributed their difficulties the refusal the federal reserve bank at Dallas to handle paper the First National Bank, which merged the Hugo National Bank two The City National Bank of Hugo business today as It was said that had sufficient cash to pay off all depositors if Depositors in the two closed banks include number of the leading business concerns of the city, The closing was unexpected.


Article from Tulsa World, May 8, 1925

Click image to open full size in new tab

Article Text

STATE STOPS PROBABLE RUN Bank Commissioner Acts to Forestall Loss to State Institutions PRECAUTION IS TAKEN Hugo National Officials Say Difficulty Due to Action of Bank at Dallas the Associated By HUGO. May Hugo National bank failed to open for business here Thursday The Hugo State bank and the Liberty State bank of Soper, a town west of here were closed by order of O. B. Mothersead in connection with the closing of the national institution. Officials of the national bank attributed their difficulties to the refusal-of the Federal Reserve bank Dallas to handle paper of the First National bank, which merged with the Hugo National bank two years ago The City National bank of Hugo transacted business B.H usual It was said that had sufficient cash to pay off all depositors if necessary Depositors in the two closed banks include a number the lending business concerns of the city. The closing was unexpected. CLOSED TWO BANKS AS MATTER OF PRECAUTION OKLAHOMA CITY, May 7.-The Hugo State bank was closed Thursday by B. Mothersead, state bank as precaution against run, he said. The bank has no connection with the Hugo National bank, which failed to open Thursday morning "While had grounds to close the state bank, It has not failed. Mothersend said. "The bank had Insufficient reserve cash to withstand a run. and ordered It closed as precaution. Mothersead said the Liberty State bank of Soper, which he also ordered closed has the same directorate as the Hugo National


Article from Miami News-Record, May 8, 1925

Click image to open full size in new tab

Article Text

BANKS CLOSED Action Taken to Avert Run After One Bank Also Affected. HUGO, Okla., May, Hugo National bank failed to open for business here today. The Hugo State bank and the Liberty State bank of Soper, town west of here, were closed by order of O. B. Mothersead in connection with the closing of the national institution. Officials of the National bank attributed their difficulties to the fusal of the federal reserve bank at Dallas to handle paper of the First National bank, which merged with the Hugo National bank two years ago. The City National bank of Hugo transacted business today as usual. It was said that it had sufficient cash to pay off all depositors if necessary. Depositors in the two closed banks include a number of the leading business concerns of the city. The closing was unexpected. OKLAHOMA CITY, May 7.-The Hugo State bank was closed today by O. B. Mothersead, state bank commissioner, as a precaution against a run, he said. The bank has no connection with the Hugo National bank, which failed to open this morning. "While had grounds to close the state bank, it has not failed," Mothersead said. "The bank had insufficient reserve cash to withstand a run and ordered it closed as a precaution. Mothersead said the Liberty State Bank of Soper, which he also ordered closed today, has the same directorate as the Hugo National.


Article from Daily Sentinel, May 28, 1925

Click image to open full size in new tab

Article Text

Business Hit Closing By Bank in Town of Only Hugo, Okla., May town of 6,000 inhabitants today bank. sign on the door of without City National Bank informed the the yesterday that "for the protecpublic tion the depositors," the bank open. Business was standstill today only money pockand registers. Many persons attended baseball game yesterday, others played went fishing. their Lional Bank and the Hugo State closed May Both banks were unold loans. City Bank with capital and and came safely through the financial Saturday depositors began from the City Na tional Bank, although there Officials of the bank asked for help available dollar leading every business men placed on deposit. neighboring cities additional funds brought little


Article from El Paso Times, May 28, 1925

Click image to open full size in new tab

Article Text

LAST HUGO, OKLA., BANK IS CLOSED Citizens Have Only Money in Pockets and Cash Registers for Business. izens of Hugo were attempting tonight to find way out of the financial difficulties that resulted today in the closing of the third and last bank in the city. The City National bank surrendered after hard fight and sign on closed doors today informed the public it was not open for business. Industry of all kinds in the city virtually stopped when business men were left with only the money in their cash registers and their pockets, on which to operate. Only two banks operating in Choctaw county, small state at Fort Towson and Boswell The Hugo National bank and the Hugo State bank, unable to liquidate old cotton loans, despite bumper crop last year, closed May The Soper State bank at the nearby town of Soper, with the same directors as the Hugo National, was closed the same day, by order of O. B. Mothersead, state bank commissioner. Possibility of merging the assets of the three Hugo banks into one large institution being discussed by local business men. Under this plan, was proposed that depositors of each bank should accept proportionate losses. Heavy withdrawals during the last three days were attributed as the cause of the City National bank's closing to day, by W. S. B. Leonard, president, in & statement issued this afternoon. While there was no direct run on the bank. it was said that depositors were going to nearby cities and isuing checks on their Clearance such checks yesterday alone amounted to total of approximately $9,000. The bank could have continued operation borrowed money, Leonard declared, but the board of directors not wish to assume the appearance of dissipating their assets.


Article from Shawnee News-Star, May 28, 1925

Click image to open full size in new tab

Article Text

BUSINESS FACED WITH CRISIS UNDER NEW DISASTER Only Two Small Banks Remain Open For Business In Choctaw Three Other Banks Closed In The County Early In This Month. LARGEST CITY ANYWHERE IN NATION WITHOUT BANK Heavy Withdrawals Due To Panic Over Other Bank Failures Assigned As Cause Of Crash; Many Checks Received For Clearance. Press) tonight the financial difficulties that resulted today of the third and bank the city The City National Bank surrenafter fight and its closed doors today formed the public not open Industry all kinds in the stopped business the their registers and pockets which Only two banks are operating Choctaw small institutions Fort and Boswell The Hugo National bank and the Hugo State bank. unable liquidate cotton loans spite bumper crop last year closed The Soper State bank nearby of Soper, the same Hugo National closed the same day order of Mothersead, state banking commission- May Salvage Banks Possibility merging the three Hugo banks large institution being by local business Under plan, was proposed that depositors of each bank should accept proportionate losses, Heavy during the the National bank closing today by Leonard, president, statement issued afternoon While there direct the bank that depositors went cities and issued their The bank could but the board did not appearance dissipattheir Deposits in the shown issued April The showed that the capital and surplus and cash hand on Dodds the the comptroller the here in federal court today that Hugo far as he largest the about


Article from Morning Examiner, July 12, 1925

Click image to open full size in new tab

Article Text

Three County Women Go To Judging School school women of county BANK REOPENS The National received bank Liberty State the Hugo Hugo State bank The of and a surplus capital larger be The very few vithdrawals today and deposits were received it to Cleaning it of Phone and HEADS BAPTIST NION INDIANAPOLIS. July Singleton, private secretary packer, Saturday in convention here. Singleton, opposed the succe: SHOWERS FALL IN STATE Scattered showers throughout the west and central sections of the tate last Saturday, promised temporary relief from the intense heat the past week and broke a drouth of considerable duration. The rainfall here was accomp anied by lightning which interrupt ed electric light to Norman few minutes when lightning struck a line No further dam reported At Enid the mercury fell 28 de grees in less than an hour, declin ing to 72 degrees The rainfall there continued for more than two hours. Light showers were also report water and Fairview