20739. Lebanon National Bank (Lebanon, TN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
8714
Charter Number
8714
Start Date
March 1, 1925*
Location
Lebanon, Tennessee (36.205, -86.346)

Metadata

Model
gpt-5-mini
Short Digest
85c7823e

Response Measures

None

Receivership Details

Depositor recovery rate
43.8%
Date receivership started
1925-02-13
Date receivership terminated
1928-04-30
OCC cause of failure
Economic conditions
Share of assets assessed as good
8.2%
Share of assets assessed as doubtful
54.4%
Share of assets assessed as worthless
37.4%

Description

Articles (Aug 18, 1925) describe the Lebanon National Bank as defunct, a receiver bringing suit against stockholders, and criminal charges against the former cashier for embezzlement. There is no clear report of a depositor run; the bank was closed and placed in receivership/defunct status following embezzlement/embezzlement charges.

Events (5)

1. May 29, 1907 Chartered
Source
historical_nic
2. February 13, 1925 Receivership
Source
historical_nic
3. March 1, 1925* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Closure compelled by the state banking department after discovery/accusations of embezzlement by the former cashier (Hale).
Newspaper Excerpt
compelled its closing upon state banking department several months
Source
newspapers
4. August 18, 1925 Other
Newspaper Excerpt
Hale, former cashier of the Lebanon National Bank, returned to Lebanon ... eleven warrants, charging embezzle[ment] ... signed by ten prominent citizens ... Attorney General Mitchell ... did not indict on the grounds that insufficient evidence ... Ernest H. said ... be preparing file the double liability of stockholders.
Source
newspapers
5. August 18, 1925 Receivership
Newspaper Excerpt
Receiver Brings Action in Federal Court Against Twenty-Four. ... the defunct Lebanon National Bank ... bill by G. M. ... seeking to force the liability of ... shareholders of the defunct Lebanon National Bank by United Marshal R. Lillard ... filed clerk States District Court by Monday ... The bill also prayed that the decree in of the be entered each defendants named in the bill ... the defunct Lebanon National Bank (Aug. 18, 1925).
Source
newspapers

Newspaper Articles (2)

Article from The Montgomery Advertiser, August 18, 1925

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Article Text

ISSUED FOR HALE the Depositors And Stockholders File Suit Against Him For Embezzlement of Funds NASHVILLE, TENN., Aug. Hale, former cashier of the Lebanon National Bank, returned to Lebatoday from Florida, eleven warrants, charging embezzleforgery and breach trust. by stockholders in the bank prior closing upon state banking department several months Hale under bond of after return Lebanon. the cashier Florida shortly before the compelled its created considerable excitement signed by ten prominent citizens Wilson county, which is the county Hale was brought back by Bev Spickard, especially sworn for At the the grand Attorney General Mitchell, since named judge, did not indictment the grounds that insufficient evidence been general, Ernest H. said have differhe has nounced whether recommend indictment The grand and is said probTrammell, of Nashville, formerly tional Bank here, of the bank, said be preparing file the double liability of stockholders.


Article from Nashville Banner, August 18, 1925

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Article Text

STOCKHOLDERS OF LEBANON BANK SUED Receiver Brings Action in Federal Court Against Twenty-Four. Subpoenas will be served this afternoon twenty-four shareholders of the defunct Lebanon National Bank by United Marshal R. Lil lard the bill by G. M. for the seeking to force the liability of the amount of the orders of the troller the United currency States. The filed clerk States District Court by Monday Mr. On March months after the an made acting the who to enfroce liability the was for which paid the Ten in full but refused the filing bill in Federal to compel the The set out that total debts the the and this amount $62. which was turned over comptr benefit The bill prayed that the the of the and further that on final hearing be prayed and directed the ants be liable for the the par the capital stock 1925 The bill also decree in of the be entered each defendants named in the bill Beasley Miss Bettle Jones, Sarah Earl but funny Herbert McDaniel, Bond of vidson county, Mrs. Emma Jones Maury Mrs. Coe Lakeland. Mrs. Hale San Miami, Antonio, Lanier and Owen Aubrey St. Mo. Rachel Truex of Mt. Vernon,