18882. Commonwealth Bank (Richmond, VA)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
August 29, 1913
Location
Richmond, Virginia (37.554, -77.460)

Metadata

Model
gpt-5-mini
Short Digest
f07a77cf60307740

Response Measures

None

Description

Commonwealth Bank (Richmond, VA) was closed by State Bank Examiner Charles C. Barksdale on Aug. 29, 1913 and receivers were appointed by Chancery Court (Aug. 30). No newspaper account describes a depositor run; closure was by examiner/court action and the bank remained closed with receivers winding up affairs and later paying partial dividends. OCR errors in some articles corrected (e.g., 'Righmond' -> Richmond).

Events (5)
1. August 29, 1913 Suspension
Cause
Government Action
Cause Details
Closed by State Bank Examiner Charles C. Barksdale; State Corporation Commission filed for receivership and court ordered receivers to wind up affairs.
Newspaper Excerpt
the Commonwealth Bank ... posted a notice on its doors conveying the information that it had been compelled to close because of its temporary inability to meet the demand of creditor banks for the repayment of money borrowed
Source
newspapers
2. August 30, 1913 Receivership
Newspaper Excerpt
James W. Gordon and John B. Lightfoot, Jr., who were named by Judge William A. Moncure, of the Chancery Court, as receivers for the defunct concern, have been bonded ... and are under orders to begin an immediate inventory.
Source
newspapers
3. September 2, 1913 Other
Newspaper Excerpt
the Commonwealth Bank ... will be open daily to receive money due either the central bank or the branches. The banks will be kept open for this purpose each business day for an indefinite period.
Source
newspapers
4. July 11, 1914 Other
Newspaper Excerpt
Commonwealth Receivers Will Mail Checks for 25 Cents on Dollar. On or about July 20, every person who has money on deposit in the defunct Commonwealth Bank will receive a check for 25 per cent of the amount of his deposit as a first installment...
Source
newspapers
5. July 27, 1914 Other
Newspaper Excerpt
the receivers of the Commonwealth bank have begun to send out checks to the creditors of the bank, to the amount of one-fourth of their claims.
Source
newspapers

Newspaper Articles (22)
1. August 30, 1913 Alexandria Gazette Alexandria, VA
Article from Alexandria Gazette, August 30, 1913

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RIGHMOND DANA CLOSES ITS DOORS e e e Commonwealth Bank Comn pelled to Apply For t Receivers . : b TO PAY DEPOSITORS. State Bank Examiners is Confident Creditors Will Not Lose By Closy ing of Institution. Richmond, Va., Aug. 30.-By order of Charles C. Barksdale, examiner of the Bureau of the poration Banking Commission, the State Common- Corwealth Bank and its branches at 25th and Broad streets and 3914 Williamsburg Avenue, Fulton, were closed yesafternoon. terday Application Moncure, of will be made before Judge the Court, early today by Mr. for the reChancery Barksdale appointment of ceivers. The doors will not be opened notice last night that were posted this morning, they having been closed by direction of the Banking Bureau. "So far as I am able to ascertain, Mr. last will receive money said positors Barksdale, their night, "de- in and I might add further, that, general confull, in my opinion, banking ditions in Richmond are satisfactory and that I see no cause for and sound, citizens of uneasiness among the Richmond. The immediate cause of the Commonwealth's embarrassment, accorda statement issued W. L. ing by President to Waters, last is night the to meet of creditor bank's the demand temporary inability banks for to repayment of money borrowed of its customers. gives assurance the statement take care that The the bank's investments are sound and that every depositor will be paid 100 cents on the dollar. Mr. Barksdale stated in explanation of the banking bureau's action that of the Common finances ,wealth's an examination disclosed that it did not have enough quick assets to raise the necessary cash to meet the usual demands necessary for the protection of its depositors. A large proportion of its loans and invest_ ments are on real estate collateral of which, because of the stringency the money market and the inactivity of real estate are not immediate ly collectable. Complications due to these causes, said Mr. Barksdale, made it necessary to ask for the ap. pointment of a receiver. In the transactions of its business, Commonwealth Bank was inde_ pendent the of the local clearing-house. "The Commonwealth Bank is in no connected with Clearing-House offiway Association of Richmond," said cers of that institution last ngiht. The Commonwealth Bank was founded about seven years ago, and maintained its principal banking It house at 12 North Ninth street. apparently enjoyed a solid growth, establishing branches at 25th and Broad Ave. and 3914 Williamsburg streets home bank and two branches The have about 6,500 depositors. Accord- bank's to the statement of the ing finances at the close of business Aug9 individual and saving deposits certotaled ust $615,396.14. and demand tificates of deposit $31,239..70. Most of the depositors belong to bank the industrial classes, the the having city's been founded, according to s.atement of its officers, to cater par- and ticularly to the small depositor savborrower. The individual small accounts are uniformly modest, savand ings in many cases represent the ings The of news years. of the bank's embarrass- sur last night caused general ment Its stock par, value $100, was prise. yesterday on the Richmond quoted stock market at 112. The bank is to have valuable real estate known holdings, both improved and unimproved. and the hope was expressed generally that it will be able to adjust all demands without loss to deposi. tors. The officers were of the opinion that unless liquidating expenses proved to be unusually heavy. there would be even no loss to the holders of the banks $300,000 of capital stock.

2. August 31, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, August 31, 1913

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CLOSING OF BANK CAUSES NO ALARM Commonwealth Depositors Relieved Over Appointment of Receivers by the Court. NO CLAMOR FOR MONEY Few Persons Around Closed Doors-Receivers Will Begin at Once to Wind Up Affairs. With the appointment of receivers to wind up its affairs, and the assurance that the depositors would not lose, the alarm occasioned by the closing of the Commonwealth Bank and its two branches by order of the State Corporation Commission, quickly abated yesterday, and no appreciable effect was felt by the other local banking institutions. James W. Gordon and John B. Lightfoot, Jr., who were named by Judge William A. Moncure, of the Chancery Court, as receivers for the defunct concern, have been bonded In the sum of $750,000. and are under orders to begin an immediate inventory. They will put forth every effort to liquidate the assets as quickly as possible in order to relieve the financial embarrassment some of the bank's patrons night suffer by its suspension. As the next step after closing the doors of the Commonwealth Bank Friday afternoon, the banking division of the State Corporation Commission, through J. R. Tucker, Jr., early yesterday morning filed a bill in equity in the Chancery Court of Richmond, asking for the appointment of receivers on the grounds that the State banking laws had not been fully observed; that irregularities were being practiced and that the capital of the bank had been, or was, in danger of being impaired. Denies Alleged Irregularities, On behalf of the board of directors, an answer to the complaint was entered by President W. L. Walters, who denied the allegations of irregularities, but united in the prayer for the supervision of the court in winding up the affairs of the institution. Judge Moncure was requested by the complainant to enjoin all officers, dlrectors, agents or employes of the bank, and all persons, whomsoever, from interfering in any manner with the possession or management of the property or assets in the hands of the receivers. This injunction was granted, and the receivers were empowered to take over all property, real, personal or mixed, and all officials and employes of the bank were ordered to turn over all books or property whatsoever to them. Under the court's instructions the (Continued On Second Page.)

3. August 31, 1913 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, August 31, 1913

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RECEIVERS NAMED FOR COMMONWEALTH J. W. GORDON AND J. B. LIGHTFOOT TO WIND UP AFFAIRS OF CLOSED BANK. LITTLE EXCITEMENT OPTIMISTIC STATEMENTS OF BANK EXAMINER HAS REASSURING EFFECT ON THE DEPOSITORS. John B. Lightfoot and James W. Gordon were yesterday named as receivers for the Commonwealth bank by Judge Moncure in Chancery court. on the application of J. Randolph Tucker, appearing for the State corporation commission, and bond was fixed at $750,000. The receivers will qualify early Monday morning. and the receivers will take immediate charge of its affairs. State Bank Examiner Charles C. Barksdale took charge of the banks, and its two branches late Friday afternoon for the protection of the depositors, and patrons were greeted yesterday morning with notices on the doors to that effect. Mostly Small Depositors. The failure of the bank created little excitement despite the fact that two-thirds of Tts patrons are small depositors. The optimistic statement of the examiner and the president of the institution-that the depositors will be paid dollar for dollar has had a reassuring effect. It will require several months to wind up the affairs of the bank. The receivers are instructed to collect all the assets and place them in trust with the Chancery court, which will distribute them to the depositors when the work is complete. Most of the bank's assets are tied up in real estate which is not quickly collectible, and the winding-up process will necessarily be slow. which will work a hardship to the small depositor. but eventually it is believed none of them will lose anything. The name of F. F. McConnell was erroneously given yesterday morning in the directorate of the bank. Mr. McConnell is not connected with the bank either as stockholder or director, and has no interest in the bank.

4. August 31, 1913 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, August 31, 1913

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NO CAUSE FOR EXCITEMENT. There is no reason for fear on the part of depositors and stockholders in the Commonwealth Bank that their savings and investments will be wiped out by the closing of the doors of the bank by State Examiner Barksdale. There is even reason to believe that every cent of outstanding obligations will be met and that depositors will receive dollar for dollar. Until & more complete examination is made the examiner cannot state definitely the financial condition of the bank, but the investigation which influenced him to close the bank temporarily was not of such nature as to cause him to believe that a crash would result if prompt action were taken. The closing of the bank was in the nature of a precaution against such & crash and the application for receivership 18 chiefly for the purpose of enabling the bank to realize on its securities. President Walters of the bank 18 optimistic and State Bank Examiner Barksdale expresses the belief that all obligations will be met The Virgintan hopes that these beliefs will be realized and that no one will be the loser through the closing of the bank. In the meantime depositors should not be unduly frightened. The Virginian believes it can speak more positively regarding the situation in the city at large. The other banks are not affected in any way, none of them having any connection with the Commonwealth and all of them being in a sound condition. The fact that the State examiner has investigated the affairs of but one bank and has found that one not to be on the verge of ruin, is evidence of this. His action shows him to have been vigilant and yet cautious and conservative. These things are evidence that were there any reason whatever for fearing a failure of any other bank that bank would have been investigated before this. Financially, The Virgintan 1s assured by men in a position to know, Richmond is as strong today as at any time. The difficulties of the Commonwealth furnish an exception to the rule.

5. September 2, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, September 2, 1913

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RECEIVERS GIVE BOND Lightfoot and Gordon Execute $750,000 Surety for Their Trust. John B. Lightfoot, Jr., and James W. Gordon, receivers for the Commonwealth Bank, executed bond for $750.000 in the Chancery Court yesterday as security for their trust. The sureties are the United States Fidelity and Guarantee Company and the Fidelity and Deposit Company, of Maryland. The receivers announced yesterday that beginning this morning the Commonwealth Bank, as well as the branches at Twenty-fifth and Broad Streets and 3914 Williamsburg Avenue, Fulton, will be open daily to receive money due either the central bank or the branches. The banks will be kept open for this purpose each business day for an indefinite period.

6. September 2, 1913 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, September 2, 1913

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KNOWS NOTHING OF REORGANIZATION PRESIDENT WALTERS COULD NOT CONFIRM COMMONWEALTH REPORT. Though report was heard yesterday afternoon that there is a movement under way for the reorganization of the Commonwealth bank, which closed its doors Friday night, President W. L. Walters, of the institution, last night said he knew nothing of such movement. The report was that the bank will be reorganized. new capital being invested, and that the business of the bank will be continued. The receivers named by Judge Moncure in the Chancery court Saturday, J. B. Lightfoot, Jr., and James W. Gordon, yesterday executed the required bond, $750,000. The sureties are the United States Fidelity and Guarantee company and the Fidelity and Deposit company of Maryland.

7. September 3, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, September 3, 1913

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OPENS TO COLLECT NOTES By direction of John B. Lightfoot. Jr., and James W. Gordon, receivers appointed by Judge Moncure, of the Chancery Court, the doors of the Commonwealth Bank, 12 North Ninth Street, and its two branches were opened yesterday morning so that people having notes with the bank might take them up or curtail them by partial payments, and so that other business of this nature might be transacted. It was not permitted, though. that checks should be cashed or that any moneys whatever should be paid out. It will be several days probably before the receivers, who are under $750,000 bond for the faithful performance of their duties, will be able to determine the exact condition of the bank's ffairs.

8. September 3, 1913 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, September 3, 1913

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DRUG STORE FIRST TO FEEL FAILURE CLOSING OF COMMONWEALTH BANK REFLECTED IN DRUG BUSINESS OF J. T. LEWIS ASSIGNMENT IS MADE NOTES DISCOUNTED IN COMMONWEALTH BANK AGGREGATE $5,250-POWERS-TAYLOR DRUG CO. LARGEST CREDITOR The first business house of Richmond to show that it has felt the effects of the closing of the doors of the Commonwealth bank last Friday night is the drug business of J. T. Lewis at 4 East Broad street. The company made an assignment In favor of Robert L. Powers and H. S. Morris yesterday. the deed of trust being filed in the office of the clerk of the Chancery court. Among the creditors whose accounts are secured pro rata by the assignment are named the receivers of the Commonwealth bank, holding notes aggregating $5,250. discounted by that bank. The deed assigns all the stock and fixtures and business and accounts of the drug store to Messrs. Powers and Morris, who will make an inventory, collect accounts due and straighten out the business. Creditors Secured. First secured by the assignment are the fees for the deed and Its recording. commission of five per cent to three trustees, rent due Mrs. Henry G. Cannon, the landlord, and one month's wages, $85, to P. S. Lewis, clerk at the store. Second, secured pro rata, are the accounts of Powers-Taylor Drug company, holding notes amounting to $2.255, and open account of $1,020.43; Richard Gwathmey & Co., notes of $321.08 and open account, $151.60; Vaughan-Robertson Drug company, notes $700, open account, $650: Cliff Weil Cigar company, open account, $94.16; Strauss Cigar company, open account, $50.

9. September 5, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, September 5, 1913

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RECEIVERS' NOTICE In reply to many inquiries, and in view of the great mass of work Involved in settling up the affairs of the Commonwealth Bank, Inc., we respectfully ask that all persons in interest will promptly comply with and take notice of the following requests and information, and thus assist us in realizing the best results for all concerned, viz,: 1. Bring all pass books to No. 12 North Ninth Street at once, and leave them to be written up, and we will return them after the American Audit Company has completed its examination and statement of the affairs of the bank. 2. We cannot pay anything to the depositors at this time, but dividends will be declared under orders of the court as soon as the amount in our hands justifies a distribution. It is impossible for us to say when this will be, but we shall use every effort to realize on the asse 23 soon as the nature of the case vill permit. We cannot express any opinion as to what will ultimately be paid to the deposItors. 3. Arrangements are being perfected to deliver all collection notes and other property, upon which the bank has no claim, as soon as the audit company finishes its work. 4. The court has authorized the setoff of deposits against discounted notes due by depositors, where the demands are mutual, but this cannot be done until the audit is completed. 5. All persons indebted to the bank or its branches are requested to make prompt payment to us at the main office of the bank, No. 12 North Ninth Street. 6. All depositors are urgently requested to file with the receivers their present correct address, and to notify them of any subsequent change. JAMES W. GORDON, JOHN B. LIGHTFOOT, JR., Receivers. September 5.

10. September 5, 1913 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, September 5, 1913

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RECEIVERS' NOTICE. In reply to many inquiries, and in view of the great mass of work involved in settling up the affairs of The Commonwealth Bank, Incorporated, we respectfully ask that all persons in interest will promptly comply with and take notice of the following requests and information. and thus assist us in realizing the best results for all concerned-viz: 1. Bring all pass-hooks to No. 12 North Ninth street at once and leave them to be written up, and we will return them after The American Audit Company has completed its examination and statement of the affairs of the bank. 2. We cannot pay anything to the depositors at this time, but dividends will be declared under orders of the court as soon as the amount in our hands justifies a distribution. It is impossible for us to say when this will be, but we shall use every effort to realize on the assets as soon as the nature of the case will permit. We cannot express any opinion as to what will ultimately be paid to the depositors. 3. Arrangements are being perfected to deliver all collection notes and other property. upon which the bank has no claim, as soon as the audit company finishes its work. 4. The court has authorized the setoff of deposits against discounted notes due by depositors, where the demands are mutual, but this cannot be done until the dudit is completed. 5. All persons indebted to the bank or its branches are requested to make prompt payment to us at the main office of the bank at No. 12 North Ninth street. 6. All depositors are urgently requested to file with the receivers their present correct address and to notify them of subsequent changes. JAMES W. GORDON, JNO. B. LIGHTFOOT, JR., Receivers. September 5th.

11. October 26, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, October 26, 1913

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BANK DEPOSITS ARE BIGGER THAN EVER Thirteen Banks Report Increase of $2,100,800.56 Since Last Statement. HAVE ENORMOUS RESERVES Sworn Statements Disprove Reports of Withdrawals and Hoarding of Currency. Deposits in Richmond banks since the last government call for a statement on August 3 have increased more than $2,000,000. Five banks have not yet published their statements in accordance with the call Issued on Friday, but the thirteen banking houses, including all of the national banks In the city, which have up to this time published their statements, show that on August 9 their total of individual deposits subject to check was $28,007,067.71. On October 21, these same thirteen banks reported a total of $30,107,868.27 in Individual deposits subject to checks, an increase of $2.100,800.56. Bumper crops with high prices, especially in the tobacco section, and the high standing of the larger Richmond banks with out-oftown depositors are given as the chief reasons for the increase. No Evidence of Withdrawals. An analysis of the sworn figures in the statements already published will afford a complete answer to those who feared that suspension of payment on the part of the Commonwealth Bank on August 29 would result in withdrawals from other banks and the hoarding of money. The figures show that on the contrary individual depositors have placed in the banks since that date more than $2,000,000. One of the notable features of the statements, which in the main are regarded as very satisfactory, is the enormous amount the Richmond banks have on deposit with approved reserve agents. One bank has, besides the cash in its vaults, $1,690,000 subject to its immediate call on deposit with approved reserve agents. Slight curtailments of the total amounts of loans and discounts are indicated in a number of the statements, as compared with those of August 9. nearly all of the banks taking the precaution of accumulating quick assets which could be converted into cash at any time in the event of sudden demand. Large Sums Available. As a result, most of the banks now have on hand or subject to their Immediate call very large sums over and above their legal reserve, and which are available for commercial loans. The period of comparative inactivity has greatly strengthened the position of the clearing-house banks in the matter of immediately available assets. and those who have critically studied the sworn statements made as of October 21 are of the belief that the time has about come when the banks will

12. December 18, 1913 The Times Dispatch Richmond, VA
Article from The Times Dispatch, December 18, 1913

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Real Estate for Rent NEW MODERN EIGHT-ROOM HOUSE to rent, parties leaving city: will sacrifice on rent if taken nt once: hotwater heat: gas and electric light, hardwood floors. 2322 Stuart Avenue, SECOND AND THIRD FLOORS, 711 and 718 West Broad Street, 7,200 square feet space. Ideal for manufacturing. Cheap rent. POLLARD & BAGBY. Legal Potices THIS COMPANY HAVING QUALIFIED as executor of the estate of Philip M. Siaughter, deceased, all persons having claims against said estate are requested to present them. and those indebted to the estate will please make payment. VIRGINIA TRUST COMPANY. Executor of Philip M. Slaughter, Deceased. Commonwealth Bank. RECEIVERS' NOTICE. THE RECEIVERS OF COMMONwealth Bank request that all persons whose pass books have been left at the bank will now call promptly and get same. They also request that all persons who have not yet left their books to be balanced will at once bring them to the bank to be verified. This will be done while they wait and the books handed back. JAMES W. GORDON. JOHN B. LIGHTFOOT, JR., Receivers Commonwealth Bank, Inc.

13. December 23, 1913 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, December 23, 1913

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WHAT DEPOSITORS WILL GET UNKNOWN RECEIVERS REPORT Impossible to State at This Time How Much of Assets of Commonwealth Bank Will be Realized. Voluminous Report Filed With Chancery Court by Gordon and Lightfoot, Receivers. Court Enters Order Conffirming the Report. The most voluminous document to be filed in the Chancery court in several terms was that presented yesterday by James W. Gordon and John B. Lightfoot, Jr., receivers for the Commonwealth Bank, incorporated, in the case of the State corporation commission against the bank, whose doors were closed August 29th last. The report of the receivers merely transmits the report of the American Audit company as to the condition of the Commonwealth bank on the day the institution was closed. The American Audit company's report covers nearly 200 closely typewritten pages bound into one volume. At this time. the receivers declare, 't cannot be stated how much of the bank's assets will be realized or how much of its liabilities It will be able to meet. What portion of their money depositors will receive cannot be stated until a later report is made. Report Approved. The court entered an order, filing and confirming the report of the receivers, aproving their action in segregating the old books and papers of the bank and storing them in a basement vault of the bank building: approving their action in disposing of the unexpired lease on 3914 Williamsburg avenue, the Fulton branch of the bank. and in disposing of the railings and standing desks at the Twenty-fifth street branch. The report showed the receivers realized $75 from the sale of the railings and desks, and $75 from a contract with Davis Brothers for taking out the vault in making the Fulton branch suitable for the new tenants. The order of the court also accepted the report of the American Audit company, and the schedules of the books, papers and furniture and fixtures returned as exhibits. with the report, as an Inventory by the receivers of the assets of the bank. Work is Complicated. "An Inspection of this report of the American Audit company." say the receivers in their report to the court, 'will disclose the complicated nature of the administration in which your receivers are engaged. They (Continued on Second Page.)

14. January 8, 1914 The Times Dispatch Richmond, VA
Article from The Times Dispatch, January 8, 1914

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BLAIR BUYS NEXT TO POST-OFFICE Takes Over Commonwealth Bank Stock in Old Dominion Building Company. MAY ERECT BIG SKYSCRAPER Sale of 800 Shares for $50,000 Confirmed by Chancery Court. By agreement between Receivers John B. Lightfoot and James W. Gordon, of the Commonwealth Bank, and the Old Dominion Building Company, 800 shares of the Virginia Building Corporation, which owned the northwest corner of Eleventh and Main Streets, have been sold to A. Bierne Blair, representing himself and a syndicate, for $50,000. The report of the receivers of the Commonwealth Bank, filed yesterday in the Chancery Court, was accepted by Judge Moneure, and the sale of the property to Mr. Blair ordered to be ratified. The Commonowned 650 stock of the and, by the Corporation, capital wealth Bank Virginia shares decree Building of of the the sale to Mr. Blair and the syndicate, will obtain more cash with which to reimburse the depositors who lost their money when the bank failed. The agreement between the Commonwealth Bank and the Old Dominion Building Company as to the disposition of their stock In the Virginia was Building Corporation resolution reached adoptthrough the following ed by the officers of the Old Dominion Company: "Be it resolved: "That the secretary and treasurer be authorized and instructed to unite with the receivers of the Commonwealth Bank, Incorporated, in selling. transferring and delivering all of the stock of the Virginia Building in which this company on the basis of capital Corporation. interested, $50,000 for is 800 shares. upon such terms as the said receivers may think best." Judge Moncure decreed that the sale should be confirmed, and directed the receivers of the Commonwealth Bank to unite with the Old Deminion Building Company in transferring the stock of the Virginia Building Corporation to Mr. Blair and his associates. The terms of the sale are to be $25,000 in cash and the balance to be paid within thirty days from date, January 6. It is understood that the property at Eleventh and Main Streets has been offered to the Federal government, and that If the offer be not accepted, a twenty-two-story building will be erected on the site now occupied by two small buildings.

15. January 8, 1914 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, January 8, 1914

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counsel for the Hardings, that might be properly executed, transferring the property to the bank that it might realize on it and reduce the amount of the shortage. These papers are still in the hands of Mr. Lamb, who declines, says the report, to surrender them to the receivers. John H. Harding is about twenty-five years of age and is a well-known young man about the city. He was recently married. When he entered the employ of the Commonwealth bank he gave bond in the sum of $5,000, with a bonding company as security. This bond is still in effect, and in addition to having the police on the lookout for him the bonding company will make efforts to effect his arrest. While the examiners and receivers knew more than two weeks ago that Harding was responsible for. the shortage that oppeared between the two accounts, and knew how the shortage that appeared between the Harding having explained his methods, no hint of anything wrong was allowed to become public. The receivers maintained silence that restitution of the bank's funds might be made. if possible. In the meantime. young Harding remained in the city, going about as usual, and there was no sign that he was concerned in any such work as resterday's report disclosed. The First Infimation. The first intimation of what really had caused the $13,000 shortage came resterday, when Police Chief Werner and Commonwealth's Attorney Folkes vere called by Judge Moncure to his iffice in the Chancery court, where he report was laid before them. and hey were asked to set the machinery of the criminal law in motion. Though little or no time was lost news traveled faster in the direction of the Harding home in Barton Heights han it did in any other. and when officers armed with the warrants sought Harding he was gone. After Harding left home he appeared at a downtown store, It is reported, and made some purchases. Shortly afterwards he left Richmond. The deteclives were at once sent to watch railway stations and to halt him in his light, but it appears he left before the general alarm was put into effect. There was no clue, to a late hour ast night. B.S. to the direction in which lay his flight. The police took steps to apprehend him at various cities, north, south and west of Richmond, and with the dragnet so extended the police anticipate that arrest will be made within a few days.

16. January 10, 1914 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, January 10, 1914

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Through Attorney, I. R. Lee Files Petition Praying Court That Receivers of Commonwealth Bank Repay Him. Others Who Made Deposits Few Days Before Bank Closed its Doors Contemplate Similar Action. No Criminal Charges Yet. A new turn in the Commonwealth bank case, whose doors were closed August 29th last, and one that promises other interesting developments came to light yesterday afternoon when it became known that on Tuesday, Judge William A. Moncure, of the Chancery court, gave leave to I. R. Lee, of Bermuda Hundred, to file by his attorney, Robert H. Talley. a petition praying the court that the receivers of the defunct 1 tank pay him $1,099.25, balance due him on account of a deposit of $1,350, received by John E. Harding. assistant cashier, at the Fulton branch of the bank on August 18, 1913, when, petitioner alleges, the officers and agents of the bank, knew It was insolvent and unable to meet its obligations. Other Depositors. Others who made deposits, while not knowing of the bank's insolvency -some of them as late as the day before the closing of the bank became known-are seriously inclined to file petitions like that of I. R. Lee, in an effort to recover in full deposits made after August 18th. Several of these feel that if such petitions are not filed they will receive only a pro rata of the money they had deposited on or after that date. Mr. Lee in his petition alleges the taking of the deposit constituted a fraud against him, and that by operation of the law it made the bank. then, and the receivers, now, trustees of the money deposited after the bank was known, according to the allegation, by its officers and agents, to be utterly unable to meet its obligations. While the petition is entirely a chancery matter. being a petition of a creditor. such as might be filed in any similar chancery cause, there may develop criminal proceedings against the agent of the bank who received the deposit. At the present time there is no criminal proceeding against anyone. It was authoritatively stated last night. Since the public learned yesterday of the action of Mr. Lee, in filing the petition for recovery of lvis deposit of August 18. 1913, a number of the patrons of the defunet bank have begun the consideration of filing similar petitions for the recovery of amounts of deposits made after bank officials and employes knew of the bank's insolvency. These individuals, should others take action similar to that of Mr. Lee, would involve the persons who actually received their money on deposit. Deposited $1,350. The petition of Mr. Lee sets forth that Mr. Lee on August 18, 1913, when officers and agents of the bank knew the institution was insolvent, made a deposit of $1,350, which was accepted at the Fulton branch of the bank. The petition further sets forth that Mr. Lee drew a check for $50.75 on August 28th. the day before the bank was closed. and placed in the hands of receivers. and that on August 24th a note of $200 wes charved goinst him

17. January 10, 1914 The Times Dispatch Richmond, VA
Article from The Times Dispatch, January 10, 1914

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fore it satisfactory evidence of the bank's Insolvency and inability to meet Its obligations, this honorable court appointed, pursuant to the statute for such cases made and provided, re- ceivers to take charge of and hold the assets of the said bank, and for other purposes. "Your petitioner therefore prays, "(a) That the said receivers, namely, James W. Gordon and John B. Light- foot, Jr., appointed by the court on this cause on the 30th day of August, 1913, be required to answer this peti- tion, but not on oath, oath being ex- pressly waived; "(b) That the said Commonwealth Bank, Inc., be likewise required to an- swer the same; "(c) That all necessary references may be had, accounts taken and orders entered as may be necessary and proper; "(d) That your petitioner may be declared and held to be entitled to re- celve is entirely the said sum of $1,099.25, with interest from August 18, 1313, and that the same may be directed to be paid out of any funds now in the hands of the sald receiv- ers, or to come into their hands; "(e) That the court may find and declare that such sum was held by the bank, and is now held by the said receivers, as trustee and trustees, re- spectively, for the benefit and on ac- count of the petitioner, and may enter such order and do such action as will fully protect the petitioner's interest in the subject matter, and may de- cree to him, out of the first funds com- ing into the hands of the sald re- ceivers, the payment of the entire sum, with interest from the date of the said deposit; "(f) And that such further relief may be granted as may be expedient and proper." ### Law on the Subject. Mr. Lee made his deposit on August 18, eleven days before the bank was closed, and he charges that his check was collected and mingled with other funds in the bank, while it was then insolvent and while the officers were vainly endeavoring to forestall the im- pending failure. Section 1171 of the Acts of Assembly of 1910 says: "Any officer or employe of any bank, banking institution, savings bank, sav- ings society, or savings institution who shall take and receive money from

18. January 20, 1914 The Times Dispatch Richmond, VA
Article from The Times Dispatch, January 20, 1914

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FOSTER COMPANY IN BANKRUPTCY Liabilities Are Put Down at $42,337.68, With Assets of $29,206.67-Many Local Creditors. E. K. Walker and J. R. Tucker have been appointed receivers for the Foster Motor Company, of 605 West Broad Street, which became a voluntary bankrupt on Saturday in the United States District Court. In the schedules filed with the bankruptcy petition the liabilities are set down at $42,337.68 and the assets at $29,206.67. The defunct Commonwealth Bank, holding notes amounting to $13,450, was the largest individual creditor. Receivers of the Commonwealth Bank say that about $5,000 of the notes is secured by sound collateral. Richmond creditors are named as follows: Commonwealth Bank. $13,450; Kline Motor Car Company, $2,838.75: O, M. Alfriend, $206.40: Realty Insurance Agency, $100: Allen Kepple Rubber Company, $27.02: Conrad Gross, $98.55; Harwood Brothers. $35.22: Kline Motor Car Company, $605.42: Richmond Oil Company, $444.64; Standard Oil Company, $36.64; D. A. Shafer Co., $20; Standard Automobile Equipment Company, $15.53: The Times-Dispatch Company, $195.82: Tower-Binford Electric Company, $62.43: Bell Book and Stationery Company. $1.70; Catlett Electric Company, $25.38; J. B. Naglesman, $3.50; S. T. Morgan, $8.20: American Locomotive Company, 75 cents: George W. Anderson & Son, $1; Binswanger & Co., $12.35; Broad Rock Spring Company. $10; Burton System. $8; Bowman Transfer Company, $6.20; Miller & Rhoads, $3.70; Model Laundry, $2.50; James McGraw, $6.53: J. B. Moore & Co., $30; News Leader Company, $4.47: J. E. Quarles, $9.38; L. Rose & Co., 25 cents: Robinson-Nelson Company, $16.63: Richmond Electric Garage, $10; Richmond Stationery Company, $2.20: Southern Stamp and Stationery Company. 90 cents; L. C. Smith Brother, $85; Tanner Paint and Oil Company, $4.50; Virginia Auction Company, $22.50; George C. White & Son, $2.50: Western Union Telegraph Company, $2.04; Walters &- Morton, $383.17: Jacobs & Levy, $312.50; Broadway National Bank, $1,794.26; Richmond Oil Company, $116.98.

19. July 11, 1914 The Times Dispatch Richmond, VA
Article from The Times Dispatch, July 11, 1914

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Commonwealth Receivers Will Mail Checks for 25 Cents on Dollar. BANK HAS $162,630 IN CASH Further Payments Depend on Collection of Outstanding Loans and Discounts. On or about July 20, every person who has money on deposit in the de funct Commonwealth Bank will re celve a check for 25 per cent of the amount of his deposit an a first in stallment towards the settlement of his claim by the bank's receivers. The 25 per cent dividend has not as yet been authorized but an order directing :1 will be entered by Judge Moneure, of the Chancery Court. within the next ten days. unless some contingency not now expected prevents The prospective dividend because a practical certainty yesterday with the filing of a report by Commissioner in Chancery Overton Howard who was directed under it decree entered by Judge Moncure on January 7. 1914. to prepare a statement of the Common wealth Bank's condition with proper IV attested schedules showing indi vidual depositors and complete tables of the bank's assets and liabilities The report covers many typewritten pages. and sets the information before the court. accompanied by depositions from the bank's officers and account ants explaining the significance of the major items. A revised statement of the bank's condition is submitted and shows that on June 15. 1914. the total assets were $979,412.25 and the lia bilities $651,805.39 The statement shows that the bank has now cash on depozit to the amount of $162,630.11 HAVE SEFFICIENT FOR ONE-FOURTH PAYMENT In the same statement it is shown that the deposits in excess of 32 :mount to $540,030.15 A 25 per cent dividend on this total would amount to $135,007.53 and its disbursement would still leave the bank a cash bal. once of 327,622.61 This balance would be somewhat reduced by the dividend on the deposits that are smaller than 52. which do not appear in the statement. The statement filed by Commissioner Howard will be held in the Chancery Court for a period of ten days to await the filing of possible exceptions. If no exceptions are offered-and none are expected- the receivers. it is expected. will file : condensed statement of the bank's condition setting forth substantially the name information that is contained in lite ccommissioner's report now on file With this information before him Judge Moneure, it is expected, will enter an order directing the payment of a 25 per cent dividend to all depositors as a first installment. The dividend check will be a welcome visitor to approximately 6,500 depositors large and small, who were caught in the crash when the Commonwealth Bank at the close of business on August 29. posted a notice on its doors conveying the information that it had been compelled to close because of its temporary inability to meet the demand of creditor banks for the repayment of money borrowed to take care of its customers. FIRST DEPOSITORS WELCOME RAY of ENCOURAGEMENT Most of the depositors belong to the industrial and working classes. and were hard hit by the bank's failure The practical assurance of an initial 25 per cent dividend is the first ray of encouragement that has penetrated the gloom of the 6,500 or more depositors since the affairs of the institution were taken in charge by the receivers. John B. Lightfoot. Jr. and James W. Gordon, ten months ago Although Commissioner Howard's statement of the bank's condition on June 15. 1914. shows that the assets exceed the liabilities by $327,606.90. the ratio between the two is modified by the fact that $599,179.16 of the total assets consists of loans and discounts which are not readily convertible. No one was willing to predict yesterday how much will eventually be realized from this big item. Upon the amount of cash the discounts and loans will eventually produce hinges the probability of further dividends to depositors. A gradual liquidation has enabled the receivers accumulate a cash balance of $162. 630.14. which will be largely dissipated in the distribution of the 25 per cent dividend. When the size of the cash balance will permit another dividend is a matter of pure conjecture. When the bank closed its doors last August the officers of the institution united with State Bank Examiner Barksdale in statements expressing the belief that depositors would reThe celve 100 cents on the dollar weight of the data placed before the Chancery Court by the receivers would appear to indicate that the ultimate return to the depositors will be at a ratio considerably less. COMMISSIONER HOWARD REPORTS BANK'S CONDITION Commissioner Howard's statement of the assets and liabilities of the Commonwealth Bank. as of June 15, 1914. exclusive of stock liability and certain small balances of $2 or less due depositors, follows: Assets. $599,179.16 Loans and discounts 12,681.26 Suspended debt account 1,661.91 Overdrafts 161,858.88 Stocks and bonds 3,173.70 Real estate owned 257.37 Due from banks 10,622.71 Receivers' investments 13,400.89 J. H. Harding (shortage) 11,946.22 Furniture, fixtures and vault 2.000,00 Notes guaranteed Cash on deposit (receivers) 162,630.14 Total $979,412.29 Liabilities. $540,030.15 Deposits over $2 216.00 Dividends unpaid

20. July 27, 1914 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, July 27, 1914

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CREDITORS NOW RECEIVING CHECKS In following the directions contained in a decree recently issued by Judge Moncure. the receivers of the Commonwealth bank have begun to send out checks to the creditors of the bank, to the amount of one-fourth of their claims. The receivers, James W. Gordon and John B. Lightfoot, Jr., were authorized to withdraw from funds to their credit as receivers, on deposit in the American National bank, $79,000, and to deposit the amount in the Richmond Trust and Savings company, designated dividend account No. 1, and to transfer to this , account from the funds on deposit in the Richmond Trust and Savings company $83,984.64, the two sums aggregating $162,984.64. This constituted a fund for the payment of the first dividend ordered.

21. June 26, 1915 The Richmond Virginian Richmond, VA
Article from The Richmond Virginian, June 26, 1915

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BANK RECEIVERS GET VERDICTS FOR CLIENTS Commonwealth Bank Depositors See Something Ahead For Them in Law and Equity. In pursuing their policy of taking care of the depositors and stockholders of the defunct Commonwealth Bank, Receivers Gordon and Lightfoot yesterday in Law and Equity Court were awarded judgments in two cases of notes amounting to more than $20,000. The suit of the receivers against the Mechanics' Building and Loan Company resulted in a verdict for $10,194.20, and the receivers against the Capital Corporation resulted in a verdict for $11,700. Both these suite were brought on notes held by the

22. July 30, 1916 Richmond Times-Dispatch Richmond, VA
Article from Richmond Times-Dispatch, July 30, 1916

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TENTH AND MAIN CORNER IS SOLD TO WOODWARD Pays $70,000 for Twenty Feet to Old Dominion Building Corporation. AMOUNT LESS THAN MORTGAGES Property Was Once Acquired as Home for Now Defunct Commonwealth Bank-Will Be Renovated Under Temporary Lease. Deeds will be placed on record this week in the Chancery Court recording the sale of the valuable property at the southwest corner of Main and Tenth Streets to Stewart M. Woodward for $70,000. The lot fronts twenty feet on Main Street and runs back seventy feet on Tenth. It is one of the few remaining corners in the downtown banking district not improved with a modern office building. The old building now on this site. it is understood, will be renovated and rented for business purposes under a temporary lease pending the permanent improvement of the property with a modern structure. In recent years the property has undergone many vicissitudes, It was acquired several years ago by the Old Dominion Building Corporation, an organization in which most of the stock was held by the defunct Commonwealth Bank and individuals connected with that institution. Tt was understood that It was the ultimate intention to erect a modern banking house on the property, In which the Commonwealth Bank, then located on Ninth Street, was to be established. PRICE PAID IS LESS THAN MORTGAGES Soon afterwards there followed the business depression and other complications which brought about the failure of the Commonwealth Bank. The plans for the improvement of the Main and Tenth Street corner were never realized, and for several years the property has been on the market. The price paid by Mr. Woodward is understood to be considerably less than the amount of the three mortgages with which the property is burdened. It will be applied to the satisfaction of these liens. The sale of the property will not benefit those who hold unsatisfied claims against the defunet Commonwealth Bank, because there will be no balance from the proceeds to apply to any of the notes held by the receivers of the bank as evidence of loans made on this property. The sale was made through the real estate firm of C. L. & H. L. Denoon.