Articles (Mar 15, 1927) report a confessed $8,000 embezzlement by cashier John M. Ashby and that state examiners closed the bank temporarily and assumed charge to investigate. There is no mention of depositor runs or of a permanent receivership; closure appears to be a temporary government-ordered suspension pending examination, so I classify as a suspension with expected reopening (uncertain but no evidence of permanent failure).
Events (2)
1.March 15, 1927Other
Newspaper Excerpt
confesses shortage of $8,000; John M Ashby cashier... was in jail... being short $8,000
Source
newspapers
2.March 15, 1927Suspension
Cause
Government Action
Cause Details
State examiners closed the bank after discovery of an $8,000 shortage/embezzlement by cashier John M. Ashby; directors asked state bank to assume charge temporarily.
Newspaper Excerpt
closed by State Examiners til the affairs of the bank can be...
Source
newspapers
Newspaper Articles (2)
1.March 15, 1927Daily PressNewport News, VA
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Article Text
STAFFORD CASHIER CONFESSES SHORTAGE OF $8,000
March Confessing about of the People's Bank Stafford charge of embezzlement and lodged in county jall The of the bank were im in session their closed by State Examiners til the affairs of the bank can be Ashby made full confession the defalcation while bank examingoing the books morning While telling them his he pistol and the exploded. the bullet the stated that had accidentially. Ashby had cashier of the bank for four years
2.March 15, 1927Evening Herald CourierBristol, TN
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Article Text
Shortage In Va. Banker's Counts
15 (AP)-John M Ashby cashier of the People's Bank of Stafford, was in jail today on charge of being short $8,000 in his counts. Directors of the bank asked state bank to assume charge temporarily, issuing a statement saying that Asby's bond of $10. 000 was expected to cover the shortage.
