20889. Caldwell and Company (Nashville, TN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
private
Start Date
November 13, 1930
Location
Nashville, Tennessee (36.166, -86.784)

Metadata

Model
gpt-5-mini
Short Digest
73a20b7d

Response Measures

None

Description

Caldwell and Company (Nashville) was placed in receivership in mid-November 1930 and did not reopen; subsequent inventory filing (Dec 1930) and indictments (Mar 1931) confirm closure. Newspapers describe receivers appointed and refer to 'receivership' rather than a depositor run at this bank (although its receivership triggered runs/suspensions at other banks).

Events (3)
1. November 13, 1930 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Receivership proceedings and apparent insolvency of Caldwell and Company led to closing; described as receivers appointed to conserve assets for creditors.
Newspaper Excerpt
Rutledge Smith, general agent ... entered today upon his duties as receiver Caldwell bankers. ... Douglas, Nashville who was receiver last Thursday ... Mr. Smith was named ... Federal yesterday Judge John Gore ...
Source
newspapers
2. December 15, 1930 Receivership
Newspaper Excerpt
Receivers for Caldwell and Company Nashville bankers, filed inventory in Federal court here Monday, listing liabilities of $39,589,656 and assets of the same value, as listed on the books of the company.
Source
newspapers
3. March 20, 1931 Other
Newspaper Excerpt
Caldwell indicted by jurors in Tennessee on two charges ... president of Caldwell and company, investment banking house now in receivership, was indicted today ... charged with receiving deposits in an insolvent bank.
Source
newspapers

Newspaper Articles (11)
1. November 17, 1930 Statesville Record and Landmark Statesville, NC
Article from Statesville Record and Landmark, November 17, 1930

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30 SUSPEND Close Doors For Five Days to DeWhich Way They Are Attributed to Public Excitement. Little Rock, Nov. of Banks Company, Arkansas, financial institution, nounced today that 30 banks in the state with which the company filiated have depositors for period five Eight other affiliated banks the they were company open. Company officials said they had not heard early today from eleven others the affiliation what were taking. The decision the board of directors of the AmeriExchange Trust Company, of Rock, largest bank in the suspend payments and close for five days resulting the closing the others, the company announced. Arkansas banking laws provide that bank might payments to depositors for five days and open the end of that period be placed the hands of the state banking department. three exceptions the banks closed are small insticomparatively tutions. Harrison, of the Banks and Company, said he half the banks will The temporary closing the American Exchange Trust Company was attributed by public from the placing Caldwell and Company, investment bankers of Nashville, Tenn., in receivership ember

2. November 17, 1930 The World-News Roanoke, VA
Article from The World-News, November 17, 1930

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SEPARATE SUITS CANNOT BE FILED AGAINST CALDWELL Judge Sustains Petition For General Creditors' Bill Against Firm. Nashville, Tenn., Nov. Judge Gore today tained petition for creditors' bill against Caldwell and Company, investment banking house now ordered creditors present their claims before next July The writ enjoins all creditors or from any rate suits Caldwell Company. All parties "any pending against Caldwell Company proceeding further except by consent the court The petition for the general credbill by attorneys for Fred Dean. of Birmingham in the receivership MRS. IDA K. STERRETT DIES Staunton, Nov. 17 Ida Sterrett, widow of Samuel Wilson Sterrett. of Highland county, died midnight pneumonia. Funeral services be held here tomorrow. She survived by four children Tate Sterrett, all Staunton, and Sterrett, Buena Vista. Sterrett immediate high priest Grand Royal Arch Masonic chapter of Virginia.

3. November 18, 1930 The Salisbury Post Salisbury, NC
Article from The Salisbury Post, November 18, 1930

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GIVEN THAT FINANCIAL Suspensions Adopted As Move. Little Rock, Ark., Nov. 18. Optimism expressed in statements of Arkansas financial leadthey plans today reopen banks which have temporarily closed. The of the American Exchange Trust company here, largest and one oldest banks state which suspended for five days, was engaged with plans to resume Closing of the American Exchange followed suspension activities by the other banks, the aggregate deposits which more than Banks, president of the American and ing the othbanks scattered the state, the boards were trying obtain pledges loyalty from their and supporting to assure freedom danger from Expressions confidence in the general stability of the state's nancial structure added Governor Parnell and Robinson those of bankers. Little Rock Clearing House association statement assured public local banks are in sound condition. Hysteria following receivership proceedings against Caldwell and company, Nashville Tenn., bankers, recently, interested the American Exchange, was attributed directors of latter the cause steady which reached about KENTUCKY SITUATION Louisville, Nov. these tional Bank of Kentucky Louiswhich under the control the staff of comptroller of the at Its resources approximate Directors the National Bank of Kentucky the suspension terday deemed necessary cause rumors" concerning condition. Simultaneously with its institutions, the Louisville Trust company the Security bank, suspended operations. Two small negro banks in Louisville, the American Mutual Savings bank and the First Standard bank, which cleared through the Trust later closed. Bank of St. Helens, Louisville suburb, also suspended as cautionary measure. Two banks outside Louisville also when was learned the tional Bank of Kentucky pended. They were McElwain Bank and Trust company and the tional bank Horse Cave, The National Bank of Kentucky correspondent for both. served as

4. November 18, 1930 Hattiesburg American Hattiesburg, MS
Article from Hattiesburg American, November 18, 1930

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Takes Up His Duties Associated Press) Tenn., Nov. Smith, general agent for Rutledge the Central Railway entered today upon his duties as receiver Caldwell bankers. and Douglas, Nashville who was receiver last Thursday will enjoy equal authornight, Mr. Smith was named afternoon Federal yesterday Judge John Gore upon application Attorney General Smith, who pointed out that well interested Company the closed Bank of Tennessee which the state had on deposit the time was taken by the banks. further appears," the attorsaid, "that the petitioner may be in other respects directly in the proper adof the assets of Caldand Company, for but sibly other reasons that may velop Douglas and Smith, in statetoday said: will the of the ceivers Caldwell and work rapidly possible to conserve the assets of the corporation for the benefit its creditors. Major Smith, who qualified for the last has assumed of office this and he and Mr. Douglas in to the policies be pursued and will work utmost harmony. Having been associated together during entire period the World they understand one another's During the war Mr. Smith was chairman of the council of national defense for Tennessee and Mr. Douglas was United States district attorney Nashville, and in these capacities they were closely clated.

5. November 18, 1930 New Britain Herald New Britain, CT
Article from New Britain Herald, November 18, 1930

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PLAN TO REOPEN ARKANSAS BANKS Governor Issues Expression of Confidence in Financial Stability Little Rock. Ark. Nov. 18 (AP) Optimism was expressed in statements of Arkansas financial leaders as they laid plans today to reopen some 43 banks which have suspended temporarily or closed. The executive committee of the American Exchange Trust company here, largest and one of the oldest banks in the state, which suspended for five days, was engaged with plans to resume operations. Closing of the American Exchange was followed by suspension of activities by the 42 other banks, the aggregate deposits of which were more than $27,000,000. Seek to Avert Run A. B. Banks, president of the American Exchange, and controlling stockholder in 34 of the 42 other banks scattered over the state, said the boards of directors were trying to obtain pledges of loyalty from their communities and supporting capital to assure freedom of danger from a run. Expressions of confidence in the general ability of the state's financial structure were added by Governor Parnell and Senator Joe T. Robinson to those of bankers. The Little Rock Clearing House association by a statement assured the public that local banks were in sound condition. Hysteria following receivership proceedings against Caldwell and Company, Nashville, Tenn., bankers, until recently interested in the American Exchange, was attributed by directors of the latter as the cause of steady withdrawals which reached about $4,000,000.

6. November 18, 1930 Jefferson City Post-Tribune Jefferson City, MO
Article from Jefferson City Post-Tribune, November 18, 1930

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WORK OUT PLAN FOR REOPENING ARKANSAS BANKS Forty-three Now Temporarily Closed In State. MOST OF THEM ARE SOUND Crash In Kentucky Involves Eight Banks and $75,000,000. LITTLE ROCK, Ark., Nov. 18its condition. Simultaneously with (AP)-Plans for reopening some 43 its closing, two affiliated institubanks which have suspended temtions, the Louisville Trust Comporarily or closed were being workpany and the Security Bank, sused out today by financial experts of pended operations. Their directors the state. said they were solvent and that Closing of the American Exthey were closed as a precautionary change Trust Company here, larg- measure. The three institutions are est and one of the oldest banks in affiliated through the Banco-Kenthe state which suspended for five tucky, a holding company days, was followed by suspension of NASHVILLE, Tenn., Nov. 18 activities by the 42 other banks, the (AP)-Lee Douglas and Rutledge aggregate deposits of which were Smith, co-receivers for Caldwell more than $27,000,000. and Company, said in a statement A. B. Banks, president of the today that they were in "complete American Exchange, and controllaccord" as to the policies to be puring stockholder in 34 of the 42 othsued and would "work as rapidly as er banks scattered over the state, possible to conserve the assets of said the board of directors were the corporation for the benefit of trying to obtain pledges of loyalty all its creditors." from their communities and supporting capital to assure freedom of danger from a run. The Little Rock Clearing House Association in a statement assured the public that local banks are in sound condition. Hysteria following receivership proceedings against Caldwell and Company, Nashville, Tenn., bankcrs, until recently interested in the American Exchange, was attributed by directors of the latter as the cause of steady withdrawals which reached about $4,000,000. LOUISVILLE, Ky., Nov. 18-(AP) -Eight Kentucky financial instltutions with resources totalling more than $75,000,000 were closed today. The largest of these was the National Bank of Kentucky at Louisville, which was under the control of a receiver, Paul C. Keyes on the staff of the comptrollers of the currency at Washington. Its resources approximate $60,000,000. Directors of the National Bank of Kentucky said the suspension yesterday was deemed necessary because of "wild rumors" concerning

7. November 22, 1930 The Montgomery Advertiser Montgomery, AL
Article from The Montgomery Advertiser, November 22, 1930

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City Lose May Heavy Sum In Caldwell Crash $250,000 Remainder Of Montgomery Bonds Is Tied Up By Court Officials Hopeful Gunter Declares Loss Is Prevented By Compact With Bank As Trustee The taxpayers of Montgomery may result the collapse of Caldwell NashMayor believes that the city protected by collateral protect the point where there First and Fourth National Bank Nashville responsible to the City Montgomery, the trustee of the City of Montgomery, for any bonds Caldand Company may their possession sold for the City Mayor Gunter Friday night in the Caldwell and Company failure the that Montgomery might lose money from that failure. 'Montgomery,' continued Mayor Gunter, not listed having any deposits Caldwell Company's bank Nashville which failed. securities which the First and Fourth Bank trustee are not of equal with Montgomery city bonds, the First Fourth We will not cent. We the and Company that their own was acceptable chose Fourth Nashville Bank as our trustee under legal have no intimate the kind collateral our trustee accepted but know that must of equal value Montgomery bonds that the which was merged, will be liable are fully protected. When the City Montgomery sold the city limits, it sold to Caldwell which Caldwell and pay the money was needed. The authorized bond for the purpose of giving fire proTection the newly the city and for building sewers and extending the waterworks mains to these sections. To protect itself. the City, after accepting Caldwell and Company's for the bonds, required Caldwell and Company to the bond the which and and offered the city signed by institutions controlled by Caldwell and Company but the city refused that bond and Fourth and First National Bank its trustee, fiduciary agent with the understanding that Caldwell and Company must put up with that institution collateral of equal value with the bonds of the of Montgomery before these could be withdrawn for sale. Caldwell and this this collateral up federal the City the nor the City of know the real value of the collateral that was put up Caldwell and Company with its agent, the First Fourth National trustee, Bank Nashville. That bank has already with other Nashville banks been merged result the Caldwell and Company crash and the collateral had trusthe City of has tee order of the federal distied up by the City Montgomery and terest five and All fire bonds been sold and the city has spent the money and there can there. The the city, loss occurs, will exany bonds and possibly some sewer tension extension bonds. The First and Fourth National Bank of Nashville was merged recently with avert bank panic in Nashville result of fact that was owned and controlled by the Gunter confident that the collateral the City Montgomery eventually found amply protect city. the matter await the long litigainvolving the failure of Caldwell and Company.

8. December 4, 1930 Evening Herald Courier Bristol, TN
Article from Evening Herald Courier, December 4, 1930

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Expect Decision Today On Future Of Knoxville's Southern League Ball Club Tenn., Dec. (AP) decision the future Knox ville's Southern League Baseball Club expected today follow ing lengthy conference between John president the Southern Baseball Association and Knoxville Plans would transfer Mo. bile's franchise behind closed doors terday late afternoon that no decision had the group with Mr. Martin are Byrd Douglas, attorney Jimmy Hamilton, manager and principal owner of the Mobile Major George Berof Pressmen's Smithson Judge H. Lindsay of Knoxville. Plans for organizing the Knoxclub setback with the closing the Holston National here recently Minority stock of the Mobile Club on deposit in the Hoston Union was returned to Then Major Berry announced he was withdrawing his leadership the organization of the club cause Caldwell and Company of Nashville, now in receivership, had failed to advise him regarding Hamilton's representing Mobile's majority stock. he understood note was held by Caldwell and Company.

9. December 15, 1930 The Springfield Press Springfield, MO
Article from The Springfield Press, December 15, 1930

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BANK RECEIVERS FILE INVENTORY IN COURT NASHVILLE Tenn., Dec. ceivers for Caldwell and Company Nashville bankers, filed inventory in Federal court here Monday, listing liabilities of $39,589,656 and assets "of the same value, as listed on the hooks of the company. The receivreport, they pointed out "only reflects condition of the corporation as shown by examination of its books."

10. January 11, 1931 The Huntsville Times Huntsville, AL
Article from The Huntsville Times, January 11, 1931

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Thorough Sift of Financial Situation Provided By Act of Leislature NASHVILLE, Tenn., Jan. stock its state thorough sift the financial resulting banks had public funds deposit. General Smith three deposits Bank subsidiary Caldwell and Company, Nashville receivership: the HolsUnion National Bank Knoxand the Liberty Bank Trust company at NashWithin the first week of its sixty seventh the general assembly unanimously passed joint resolution calling "thorough complete" invetigation every partment of the state government. House approval four technical tacked the resoluby the pave the way for of the inquiry of five with power the compel the and the duction records. Two bills putting "teeth" legislative also have been directly transactions of any of officials." Governor Henry H. Horton delivperson message which he told the that its first duty was thorough, honest and searching investigation," the fairs of all state offices including "Every man guilty of betrayal of his trust, exalted his should exposed, condemned removed from and violated laws should courts the old executive told the "If," he added, "the facts show any official been accused, you should state the facts regardless any possible dislike you have for the investigation he told the legislators "you should have friend to reward, nor enemy punish." As respective houses select the personnel the considerable importance, was attached the election of presiding officers. Representative Walker Haynes Winchester, nominated for speaker the first ballot, but the senate caucus required two days and eleven Titzhugh Memphis for speakership. Edward H. Crump, political leader came the capital back candidacy. On the final ballot the the adminwhich had voting for threw their entire support to Fitzhugh. the strength the vote for Broadbent, dependent. have made Broadspeaker. Both Fitzhugh and Haynes pledged themselves impartial investigation. Among matters facing the legislature problem meeting unfavorable balance tween and The department of finance and taxation estimated today receipts for the biennium beginning next July der present revenue will Expenditures period estimated $33,228,500, leaving difference approximateAnticipated expenditures general accounts, propriations, at more than $28,000,000.

11. March 20, 1931 The Greensboro Record Greensboro, NC
Article from The Greensboro Record, March 20, 1931

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Caldwell Indicted by Jurors In Tennessee on Two Charges Charged With Receiving Deposits In An Insolvent Bank; Each Indictment Contains Two Counts. NASHVILLE. Tenn., March Caldwell, president of Caldwell and company, investment banking house now in receivership, was indicted today by the Davidson county grand jury on two charges of receiving deposits in an insolvent bank. Bank of Tennessee which Caldwell president The bank was subsidiary of Caldwell and company. One indictment charged Caldwell with receiving deposit of $6,500 from the State Highway Robert Baker October 28 1930. eight before the bank closed The true bill charged that Caldwell. October 25, last received deposit of $50,000 from John Nolan state treasurer. Each indictment contained two counts, count in each charging Caldwell with the bank was insolvent. the other count say. ing he had reason to believe the stitution was insolvent