19866. Mutual Savings Bank (Bennettsville, SC)

Bank Information

Episode Type: Suspension → Closure
Bank Type: savings bank
Start Date: November 14, 1920
Location: Bennettsville, South Carolina (34.617, -79.685)

Metadata

Model: gpt-5-mini
Short Digest: aefcda66

Response Measures

None

Description

State Bank Examiner Craig ordered the bank closed after finding worthless warehouse certificates and concealed personal liabilities of the president; examiner applied for appointment of a receiver and the institution was to be liquidated. No run or depositor panic is mentioned in the articles.

Events (2)

1. November 14, 1920 Suspension

Cause: Government Action
Cause Details: State bank examiner ordered bank closed after finding bogus/ worthless Bennettsville warehouse certificates pledged as security and concealed personal liabilities of the president.
Newspaper Excerpt: Immediately after Mr. McLaurin had disappeared it was feared that the financial status of the bank was not sound ... Mr. Craig returned yesterday and his report shows ... we decided to close the bank.
Source: newspapers

2. November 15, 1920 Receivership

Newspaper Excerpt: I have applied through the attorney general for a receiver for the Mutual Savings bank of Bennettsville ... A Circuit Judge will be asked to name the receiver to wind up its affairs and liquidate the institution. (articles Nov. 14-17, 1920).
Source: newspapers

Newspaper Articles (7)

1. November 16, 1920 The Herald and News Newberry, SC

Article from The Herald and News, November 16, 1920

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Article Text

M'LAURIN BANK FOUND NOT SOUND EXAMINER ORDERS INSTITU. TION LIQUIDATED. President's Personal Liabilities and Worthlees Securities Causes Action. The State. Close examination of the affairs of the Mutual Savings bank of Bennettsville disclosed that the institution was not sound and a petition to the circuit court to appoint a receiver will be made during this week. State Bank Examiner Craig announced upon his return from Bennettsvitte yeaterday. This bank is the institution headed by Thomas B. MeLaurin, who disappeared early last week and was not found until sevcral days later. It will be remembered that a note was found on the river bank at Blewett Falls, N. C., which indicated that the bank president had committed suicide. Following this note several days were spent in search of the missing man until he was located in Atlanta. He was carried to a sanitarium in North Carolina by members of the family, where he is now, it is understood. Immediately after Mr. McLaurin had disappeared it was feared that the financial status of the bank was not sound and James H. Craig, state bank examiner, went to Bennettsville to examine the books of the.institution. Mr. Craig returned yesterday and his report shows that the bank president had made loans and transactions that were unknown to the directors and that did not appear as liabilities. Mr. Craig yesterday conferred with Attorney General Wolfe as to the appointment of a receiver and these two officials will go before the nearest circuit judge during the week to ask for a receiver. In the meantime the bank will remain elosed. "My examination disclosed / that the bank was carrying as security to loans certificates of the Bennettsville warehouse which were bogus or worthless," Mr. Craig said. "We further found that the president had made large personal obligations to the bank and with other banks and parties for his own benefit which he indorsed as president of the bank, but which he concealed from the liabilities of the bank. "Aside from the worthless securities, pledged. in the form of worthless certificates, and the personal liabilities of the president, the bank was found solid. These, however, were of such proportions that with the approval of the board of directors we decided to close the bank. If the president and his family were to make good these worthless securities and hidden liabilities, the depositors could be paid in full," the state examiner said.

2. November 17, 1920 Keowee Courier Walhalla, Pickens, SC

Article from Keowee Courier, November 17, 1920

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Article Text

BANK CLOSED; TO LIQUIDATE. T. B. McLaurin Said to be in Sanitarium at Asheville, N. C. Columbia, Nov. 14. - The Mutual Savings Bank of Bennettsville, of which Thos. B. McLaurin is president, will liquidate and go out of business, according to a statement issued Saturday by James H. Craig, State Bank Examiner. Immediately after Mr. McLaurin's disappearance a few days ago the bank was closed and an examination of the records ordered. Mr. Craig emphasizes that the bank is solvent, and that if the family of Mr. McLaurin will make good "alleged securities and hidden liabilities" the depositors could be paid in full. Mr. McLaurin is said to be in a sanitarium in Asheville, N. C., where he was taken after being located in Atlanta Mr. Craig conferred with AtWolfe Saturday rela tive to the appointment of a receiver for the bank, which is capitalized at $25,000. Mr. McLaurin was also the president of a cotton warehouse. A Circuit Judge will be asked to name the receiver. M1 Craig's statement concerning the bank follows: "I have applied through the Attorney General for a receiver for the Mutual Saving Bank of Bennettsville. Examination of the affairs of the bank discloses that the bank was carrying as securities to loans cotton certificates of the Bennettsville Warehouse that were either bogus or worthless. In addition, the president had made large personal obligations for his own account with banks and parties, which he endorsed as president of the bank, but concealed from the bank's liabilities. Aside from worthless securities pledged in the form of warehouse certificates and concealed personal liabilities of the president, the bank was found solvent. These, however, were of such proportions that the examiner, with the approval of the director, decided to close and liquidate the institution. If the president and his family should make good the alleged securities and hidden liabilities, the depositors could be paid in full."

3. November 17, 1920 The Watchman and Southron Sumter, SC

Article from The Watchman and Southron, November 17, 1920

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Article Text

State Bank Examiner Closes Bennettsville Bank and Applies for Receiver to Wind Up Its Affairs EXAMINER FINDS WORTHLESS SECURITIES President McLaurin Had Made Large Personal Obligations With Banks and Other Parties Which He Endorsed as President of the Bank Columbia, Nov. 13.-The Mutual Savings bank of Bennettsville, of which Thomas B. McLaurin was president, will liquidate and go out of business, according tr an announcement made Saturday by State bank Examiner Craig. Mr. Craig states that the bank, however, is solvent and that the family of Mr. McLaurin will make good alleged securities and hidden liabilities and the depositors will be paid in full. Mr. Craig today issued the following statement: "I have applied, through the attorney general, for a receiver for the Mutual Savings bank of Bennettsville. A thorough examiation of the affairs of the bank discloses the fact that the bank was carrying as securities for loans cotton certificates of the Bennettsville warehouse that were either bogus or worthless. In addition the president had made large personal obligations for his own account with banks and parties, which he endorsed as president of the bank, but cencealed from the bank's liabilities. Aside from worthless securities pledged in the form of warehouse certificates and concealed personal liabilities of the president, the bank was found solvent. These, however, were of such proportions that the examiner, with the approval of the directors, decided to close and liquidate the institution. If the president and his family should make good the alleged securities and hidden liabilities the depositors could be paid in. full.

4. November 17, 1920 The Abbeville Press and Banner Abbeville, SC

Article from The Abbeville Press and Banner, November 17, 1920

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Article Text

BANK CLOSED; TO BE LIQUIDATED Columbia, S. C., Nov. 14.-The Mutual Savings Bank of Bennettsville, of which Thomas B. McLaurin is president, will liquidate and go out of business, according to a statement issued Saturday by James H. Craig, State Bank examiner. Immediately after Mr. McLaurin disappeared a few days ago, the bank was closed and an examination of the records ordered. Mr. Craig emphasized that the bank is solvent and that if the family of Mr. McLaurin will make good "alleged securities and hidden liabilities" the depositors could be paid in full. Mr. McLaurin is said to be in a sanitarium in Asheville, where he was taken after being located in Atlanta. Mr. Craig conferred with Attorney General Wolfe Saturday relative to the appointment of a receiver for the bank, which is capitalized at $25,000. Mr. McLaurin was also president of a cotton warehouse. A circuit judge will be asked next week to name the receiver. Mr. Craig's statement follows: "I have applied through the attorney general for a receiver for the Mutual Savings Bank of Bennettsville. Examination of the affairs of of the bank discloses that the bank was carrying as securities to loans cotton certificates of the Bennettsville Warehouse that were either bogus or worthless. In addition the president had made large personal obligations for his own account with banks and parties which he endorsed as president of the bank but concealed from the bank's liabilities Aside from worthless securities pledged in the form of warehouse certificates and concealed personal liabilities of the president, the bank was found solvent. These, however, were of such proportions that the examiner with the approval of the director decided to close and liquidate the institution. If the president and his family should make good the alleged securities and hidden liabilities the depositors could be paid in full."

5. November 17, 1920 The Watchman and Southron Sumter, SC

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Article Text

Columbia, Nov. 15.-Attorney General Wolfe will this week appear before a circuit judge and ask for the appointment of a receiver for the Mutual Savings Bank, of Bennettsville, the institution 01 which Thos. B. MeLaurin was president. Directors of the bank have suggested that G. C. Adams, active vice president, be named receiver. The attorney general's move will be on the advice of State Bank Examiner Craig, whose examination of the bank last week disclosed "concealed liabilities," consisting of "worthless securities, pledged, in the form of warehouse certificates and concealed personal liabilities of Mr. McLaurin," the warehouse certificates described as "worthless and bogus." Mr. McLaurIII was an officer of the Bennettsville warehouse, by which the certificates were issued.

6. November 18, 1920 The Bamberg Herald Bamberg, SC

Article from The Bamberg Herald, November 18, 1920

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Article Text

McLAURIN'S BANK FOUND NOT SOUND EXAMINER ORDERS INSTITUTION LIQUIDATED. To Ask Receiver. President's Personal Liabilities and Worthless Securities Causes Action to be Taken. Columbia, Nov. -Close examination of the affairs of the Mutual Savings bank, of Bennettsville disclosed that the institution was not sound and a petition to the circuit court to appoint a receiver will be made during this week, State Bank Examiner Craig announced upon his return from Bennettsvile yesterday. This bank is the institution headed by Thomas B. McLaurin, who disappeared early last week and was not found until several days later. la will be remembered that a note was found on the river bank at Blewett Falls, N. C., which indicated that the bank president had committed suicide. Following this note several days were spent in search of the missing man until he was located in Atlanta and was carried to a sanitarium in North Carolina by members of the family, where he is now, it is said. Immediately after Mr. McLaurin's disappearance it was feared that the financial status of the bank was not sound and James H. Craig, state bank examiner, went to Bennettsville to examine the books of the institution. Mr. Craig returned yesterday and his report shows that the bank president had made loans and transactions that were unknown to the directors and that did not appear as liabilities. Mr. Craig yesterday conferred with Attorney General Wolfe as to the appointment of a receiver and these two officials will go before the nearest circuit judge during the week to ask for a receiver. In the meantime the bank will remain closed. "My examination disclosed that the bank was carrying as security to loans certificates of the Bennettsville warehouse which were bogus or worthless," Mr. Craig said. "We further found that the president had made large personal obligations to the bank and with other banks and parties for his own benefit which he indorsed as president of the bank. but which he concealed from the liabilities of the bank." Aside from the worthless securities, pledged in the form of worthless certificates, and the personal liabilities of the president, the bank was found solid. These, however, were of such proportions that with the approval of the board of directors we decided to close the bank. If the president and his family were to make good these worthless securities and hidden liabilities, the depositors could be paid in full," the state examiner said.

7. November 18, 1920 Fort Mill Times Fort Mill, SC

Article from Fort Mill Times, November 18, 1920

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Article Text

Bennettsville Bank Insolvent. Examination of the affairs of the Mutual Savings bank of Bennettsville by James H. Craig. State bank examiner, discloses the facts that the bank is insolvent, according to the report of Mr. Craig. This bank is the institution headed by Thomas B. McLaurin; who disappeared from Benneitsville two weeks ago and was not located until several days later. A note was found on the river bank at Blowett Falls, N. C., near Bennettsville, indicating that McLaurin had taken his own life. "My examination disclosed that the bank was carrying 18 security to loans certificates of the Bennettsville warehouse which were bogus. or worthless," said Mr. Craig "We further found that the president bad made large personal obligations 'o the bank and with other banks and parties for his own benefit which he indorsed as president of the bank, but which he concealed from the liabilities of the bank." The circuit court was to be asked This week to name a receiver for the bank.