21106. First National Bank (Denton, TX)

View Charter #2812 on SPMC

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
2812
Charter Number
2812
Start Date
August 15, 1928
Location
Denton, Texas (33.215, -97.142)

Metadata

Model
gpt-5-mini
Short Digest
7837f92f

Response Measures

None

Receivership Details

Depositor recovery rate
76.7%
Date receivership started
1928-08-15
Date receivership terminated
1933-05-16
OCC cause of failure
Fraud
Share of assets assessed as good
39.5%
Share of assets assessed as doubtful
33.4%
Share of assets assessed as worthless
27.1%

Description

The First National Bank of Denton suspended in mid-August 1928 after charges of embezzlement against its president and cashier. A receiver was appointed and the bank remained under receivership (did not resume normal operations); later legal proceedings followed and the receiver disposed of assets (building sold in 1930). Articles do not describe a depositor run preceding suspension; cause is bank-specific embezzlement.

Events (6)
1. November 9, 1882 Chartered
Source
historical_nic
2. August 15, 1928 Receivership
Source
historical_nic
3. August 15, 1928 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Suspension followed discovery/allegations of embezzlement by the bank president H. F. Schweer and cashier L. H. Schweer; articles state the bank suspended operations when embezzlement charges were filed.
Newspaper Excerpt
charges of embezzlement of funds of the First National Bank of Denton, which suspended operations
Source
newspapers
4. August 16, 1928 Receivership
Newspaper Excerpt
Embry, bank examiner ... has been notified ... that William ... had been appointed receiver for the bank and instructed to take charge of the institution.
Source
newspapers
5. January 11, 1929 Other
Newspaper Excerpt
DENTON BANKER GIVE FOUR YEARS FOR EMBEZZLEMENT ... H. F. Schweer, charged with misapplication of funds and making false entries while president of the First National bank of Denton, which suspended operations in August, 1928. (sentenced/suspended sentence reported Jan. 11, 1929).
Source
newspapers
6. April 4, 1930 Other
Newspaper Excerpt
The building formerly occupied by the First National Bank has been sold ... by receiver.
Source
newspapers

Newspaper Articles (12)
1. August 16, 1928 Corsicana Daily Sun Corsicana, TX
Article from Corsicana Daily Sun, August 16, 1928

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Article Text

PRESIDENT AND CASHIER DENTON INSTITUTION HELD FATHER AND SON, PROMINENT DENTON MEN, CHARGED WITH EMBEZZLEMENT FORT WORTH, Aug. 16. (AP)-Charges of embezzlement of funds of the First National Bank of Denton, which suspended operations have been filed here before United States Commissioner Flynn against H. Schweer, president, his son, H. Schweer, cashier, Flynn revealed Thursday. The younger Schweer was arrestlast night at Denton, and his father, H. Schweer, was plaved under surveillance. elder man placed jail his physical He is over years of Action taken against the here instead of the eastern federal district, in which they reside, cause of greater convenience in obtaining warrants Bond the Schweers will be Flynn said. Charges fall within the Ince the district, of which Specific information against the bank president charges him with of $3,717.85 on April 1927. His son alleged to have embezzled on the same date of this year. No details in connection with the alleged embezzlement forth. The charges signed by Jacob Embry, United States bank investigator, has been active in investigation bank cases for past eight The two officers of the Denton bank, which was established1882, are prominent residents of Denton The closed institution is in charge of a national bank examin- Receiver Named Embry, bank examiner in charge the First National Bank of Denton which suspended operations yesterday, said today he been notified Col McIntosh, currency at Washington, that William been appointed receiver the bank had been instructed proceed here once to take charge of the institution.

2. August 17, 1928 The Houston Post Houston, TX
Article from The Houston Post, August 17, 1928

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BANKERS HELD AS DOORS SHUT Denton Man and Son Charged With Embezzlement of Firm's Money. FORT WORTH Aug. Charges of embezzlement of funds of the First National bank of Denton, which suspended operations Wedneswere filed here late Wednesday night before United States Commissioner Flynn again H. F. Schweer, president, and his son, L. H. Schweer, cashier, Flynn revealed Thursday The younger was arrested at Denton. and his father. H. placed under surveillance. The elder placed in jail because his physicondition. He is over 70 years of Action was taken against the two Denton bankers here at Palestine. Eastern federal district, in which they because of greater convenience obtaining warrants. Bond for the Schweers will be set Aug. will fall within the of the Eastern Plans for the coming Texas Fruit Paldistrict. of which Sherman is head- ace to be held here September 7-Octoquarters. ber 1, inclusive, are fast taking shape, Specific information against the many citizens interesting bank president charges him emthemselves in making this year's of on April county fair success. alleged to Much interest was shown by the bezzled $1194.83 the date on same women, and of the various this year. details in connection department of the Fruit with alleged are appointed during held set chamber of commerce The charges are signed by Jacob Grigsby, president of the fair associaEmbry. United States bank tion, opened the and who has been active the invespointed Mrs. H. Hamilton as tigation bank cases for the past eral of exhibits. Hammonths. ilton the on officers of the Denton condition that last year's chairmen rewhich established 1882. sume their offices for this year's fair. are residents of Denton The chairmen of the various depart are as follows Quilts, Mrs. The closed institution is in charge Brunow spreads, Mrs. of bank Hamilton embroidery. Ben

3. August 17, 1928 The Houston Post Houston, TX
Article from The Houston Post, August 17, 1928

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Article Text

Receiver Is Named For Closed Bank old Aug. Mrs. Joe Bietry; art, Mrs. Joe bank in the First National bank of Denton, ing; Mrs. Ben Douthit; birds which Wednes- fish, Mrs. B. Dickerson. day. said Thursday he been noti- Assisting Mrs. Hamilton general by Colonel W. chairman are comptroller currency at Washington, Seymore Stafford and Mrs. G. that William had been receiver for the bank and Miss Ethel Boulware is to assist instructed here once H. Alonza to take charge of the institution. Brooks and Mrs. McFarlane also

4. August 17, 1928 The Houston Post Houston, TX
Article from The Houston Post, August 17, 1928

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Article Text

IMMUNIZATION BANKERS HELD PLAN STRESSED AS DOORS SHUT State Health Chief Winds Up Educational Tour of Teachers Colleges. AUSTIN, in the role of an evangel of health education, Dr. J. C. state health officer, is winding up tour of the state teachers colleges of Texas, stressing the doctrine of immunization against disease. Dr. Anderson's idea is to get the 13,000 school teachers enrolled in the college summer sessions interested in health measures, and depend on them to valuable advice and adto hundreds of thousands of school children this winter. After finishing the first round of visiting the colleges San Nacogdoches, Huntsville Grand Prairie, the school, that the interest shown in health subjects almost astonishing. He this week to the colleges Lubbock the College of Industrial Arts at In East Texas he found that the has alleviated much the last few His chief against diphalso urged that children taught to get their certificates birth and vaccination for Every 12 and 45 person years age be two years for he said child between and should be immunized against diphtheria and should made before the child year Denton Man and Son Charged With Embezzlement of Firm's Money. FORT WORTH, Aug. Charges of embezzlement of funds of the First National bank of Denton, which suspended Wednesday. filed here late Wednesday night before United States Commissioner Flynn again H. F. Schweer, president, and his son, H. Schweer, cashier, Flynn revealed Thursday. The younger arrested night Denton. and his father. H. placed unThe elder man placed his physical condition. He is over 70 years of age Action was taken against the two Denton bankers here instead Eastern federal district. which they reside. of greater in obtaining Bond for the will be fall within of the Eastern of which Sherman is headquarters. Specific information against the bank charges him emof $3717.85 on April alleged to have embezzled on the date same this year. details with the alleged embezzlements in are forth The charges signed by Jacob United investigabeen active the investigation bank cases for the past months. two officers of the Denton bank, which are residents of Denton The closed institution is in charge of a national bank examiner.

5. August 17, 1928 The Houston Post Houston, TX
Article from The Houston Post, August 17, 1928

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Article Text

Receiver Is Named For Closed Bank DENTON. Aug. in charge the First National bank of which suspended operations Wednessaid Thursday had been fied comptroller at Washington, William had been pointed receiver for the bank and had instructed once to take charge of the institution.

6. September 25, 1928 Fort Worth Record-Telegram Fort Worth, TX
Article from Fort Worth Record-Telegram, September 25, 1928

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Article Text

DENTON BANK RECEIVER REPLIES TO NOTE SUIT SHERMAN, Sept. 24. That $4,000 note executed by J. Fred Rayzor to the First National Bank of Denton, the cancellation of which Rayzor recently asked in a suit filed in Federal Court here, was not made without consideration is set forth in reply filed Monday by F. W. Lansing, receiver of the institution. Lansing recited that the note was included as an asset in statements rendered by the bank. which now is operating under his direction, and that there is nothing to show that it was made as an accommodation to President H. F. Schweer. In his petition, Rayzor asserted that Schweer informed him the bank in good condition when the note executed as an accommodation.

7. September 25, 1928 Fort Worth Record-Telegram Fort Worth, TX
Article from Fort Worth Record-Telegram, September 25, 1928

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Article Text

DENTON BANK RECEIVER REPLIES TO NOTE SUIT SHERMAN, Sept. 24. That $4,000 note executed by J. Fred Rayzor to the First National Bank of Denton. the cancellation of which Rayzor recently asked in a suit filed in Federal Court here, was not made without consideration is set forth in reply filed Monday by F. W. Lansing, receiver of the institution. Lansing recited that the note was included as an asset in statements rendered by the bank, which now is operating under his direction, and that there is nothing to show that it was dent H F. In his petition, Rayzor asserted that Schweer informed him the bank in good condition when the note executed as an accommodation.

8. October 11, 1928 Fort Worth Star-Telegram Fort Worth, TX
Article from Fort Worth Star-Telegram, October 11, 1928

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EX-CASHIER OF DENTON TO BE TRIED OCT. 22 Oct. 10. L. H. Schweer, ex-cashier of the First National Bank at Denton, who has been held in custody at Sherman since the bank suspended operations during the month of August, will be taken to Paris on Oct. 22 to appear for trial before Judge W. L. Estes of the United States Court, Eastern District of Texas, on charges of embezzlement of funds belonging to the Denton bank. The order directing that Schweer be brought before time named issued by Judge Estes Schweer's request.

9. October 11, 1928 Fort Worth Record-Telegram Fort Worth, TX
Article from Fort Worth Record-Telegram, October 11, 1928

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TEXTILE STRIKE EX-CASHIER TO IS CALLED OFF TRIAL OCT. 22 NEW BEDFORD. Mass., Oct. 10 The last of the opposition to the compromise offer which settled the long New Bedofrd strike last Saturday disappeared tonight with the receipt a telegram from the heads of the National Textile Workers' Union instructing the local branch to abandon the strike. The telegram, signed by James P. Ried, president, and Albert Weisbord. secretary of the National Textile Workers' Union, recently organized New York, was read at meeting of the textile mills committee and it was announced that Reid and Weisbord were coming here to explain the situation to the members. The textile mills committee group which is affiliated with the National Textile Workers' Union. has been held responsible for the disorders during the strike here and hundreds of its members have been arrested. When the seven textile unions affiliated with the United Textile Workers voted to accept the compromise proposal of per cent cut. and returned to work last Monday, the textile mills committee declared the strike still on and the leaders urged their members to picket the mill gates and battle the police if necessary to keep the work ers of the mills When the mills opened last Monday morning the police routed the textile mills committee demonstrators. Special to The Record SHERMAN, Oct. 10. L. H. Schweer, ex-cashier of the First National Bank at Denton, who has been held in custody at Sherman since the bank suspended operations during August, will be taken to Paris on Oct. 22 to appear for trial before Judge W. L. Estes of the United States Court, Eastern District of Texas, on charges of embezzlement of funds belonging to the Denton bank. The order directing that Schween be brought before him time named issued by Judge Estes upon Schweer's request.

10. January 11, 1929 Brownsville Herald Brownsville, TX
Article from Brownsville Herald, January 11, 1929

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LATE BULLETINS INVESTIGATION OF ALL OKLAHOMA OFFICIALS ASKED IN HOUSE OKLAHOMA CITY, Jan. 11.-(AP)-A resolution providing for the investigation of all state officials, departments and institutions was introduced in the Oklahoma house of representatives today by John Head, démocrat, of McCurtain county, who a few minutes previously had formally been selected as head of tne investigating committee. The investigating committee will consist of 18 republicans and only 12 democrats, although the house has a democratic majority. It was named by the committee on committees, appointment of which was forced by a coalition of anti-administration demOcrats and republicans, which outnumbers the group of "regular" democrats. The probe was voted unanimously. DOCTOR WHO GOT DEATH IN FIRST TRIAL, NOW GETS PRISON TERM CHICAGO, Jan. 11.-(P)-A verdict of manslaughter carrying a penalty of one to fourteen years was returned today by the jury trying Dr. Amante Hymgetti on a charge of murdering Miss Loretta Enders through an alleged illegal operation. On his first trial Rongetti was sentenced to death, but the supeme court granted a re-trial. DENTON BANKER GIVE FOUR YEARS FOR EMBEZZLEMENT SHERMAN, Texas. Jan. 11.-(A))-A suspended sentence of four years was given to H. F. Schweer, charged with misapplication of funds and making false entries while president of the First National bank of Denton, which suspended operations in August, 1928. BOY TRIED IN WITCHCRAFT SLAYING FOUND GUILTY YORK, Pa., Jan. 11.-(AP)-A verdict of murder in the first degree with a recommendation of life imprisonment was found today against John Curry, 14-year-old accomplice in the witchcraft slaying of Nelson D. Rehmeyer. SENATOR GREENE STRICKEN WHILE IN CAPITOL WASHINGTON, Jan. 11.-(P)-Senator Greene of Vermont was stricken III today in the cloak room adjoining the senate chamber.

11. April 4, 1930 Denton Record-Chronicle Denton, TX
Article from Denton Record-Chronicle, April 4, 1930

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Building The building formerly occupied by the First National Bank has been sold Millican by Rogto receiver. the office of County Clerk Jack Christal show The consideration was $15,100.

12. July 22, 1932 Denton Record-Chronicle Denton, TX
Article from Denton Record-Chronicle, July 22, 1932

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805,159.58 29,612.85 83,492.88 400,113.04 350,556.02 151,250.54 71,631.40 2,736,207.23 Advalorem Taxes, 1931 Delinquent Taxes, Prior Years Penalties and Interest, Taxes Poll Taxes Occupation Taxes Street Taxes Dog Licenses $104,047.44 11,273.04 2,437.79 943.00 409.49 57.00 6.00 119,173.76 Water, Light and Sewer Departments 181,483.10 Corporation Court Revenue 795.80 Street and Bridge Fund Revenue 283.67 Interest Earned- Bank Balances 771.49 Tax Certificate Fees 49.80 Miscellaneous Receipts 3,700.59 187,084.45 306,258.21 Water, Light and Sewer Department Cash on hand 464.78 Total Receipts 306,722.99 Disbursements: School Maintenance 45,293.36 Park Maintenance 1,923.22 School House Improvement Construction Fund 540.46 General Fund 39,292.77 Street and Bridge Funds 28,763.05 Water, Light and Sewer Fund 132,783.46 Bonds and Sinking Funds 45,518.47 Total Disbursements 294,114.79 Excess of Receipts over Disbursements 12,608.20 Add: Balance, as at June 1. 1931 52,943.71 Baance: As at May 31, 1932 $ 65,561.91 Accounted for as follows: Cash on Deposit, Denton County National Bank Cash on Deposit, National City Bank. New York 75.00 Cash on Hand-Water, Light and Sewer Department 464.78 Cash on Hand-City Secretary 102.18 Total Cash 65,480.55 Cashier's Check-Exchange National Bank, Denton, Texas 71.36 Total as Shown $ 65,551.91 Fund Balances: As at May 31, 1932: School Maintenance 938.54 Park Maintenance 3,470.19 School House Improvement Construction Fund 48.31 General Fund 3,495.38 Street and Bridge Fund 9,321.06 Water, Light and Sewer Fund Occupation Fund 410.10 Street Construction and Improvement Fund 25.90 Bonds and Sinking Funds 37,434.48 Total $ 65,551.91 Balance Sheet As At May 31, 1932 ASSETS Current Assets: Cash on Hand and in Banks $ 28,046.07 Securities Accounts Redeivable 2,442.90 Fixed Assets: Land Buildings Streets and Paving Bridges Park and Improvements Water System Investment Light and Power Plant Investment Sewer Disposal Plant Equipment Miscellaneous Sinking Fund Assets: Cash in Banks 37,434.48 Other Assets: Receivers Certificates: First National Bank, Denton. Texas 4,400.43 Exchange National Bank, Denton, Texas .06 Construction in Process 8,451.61 Taxes Assessed-Delinquent $100,220.72 Less: Reserve for Taxes Uncollected 100,220.72 2,836,294.14 LIABILITIES Current Liabilities Accounts Payable Treasurer-Denton City Schools 038.54 Consumers Meter Deposits Water and Light Department-Revenue Bonds due in than One Year 25,000.00 Other Bonds Maturing in less than One Year 8,000.00 Other Liabilities: Water and Light Department Revonue Bonds Maturing after May 31. 1933 30,000.00 Other Bonds Maturing after May 31. 1933 685,000.00 Warrants Issued and Unpaid 244.38 Accounts Payable from Proceeds of Bank Receiver's Certificates Consumers' Credit Balances 715,354.25 Total Liabilities Excess of Assets over Liabilities 2,077,601.05 Total $2,836,294.1 We hereby certify that the foregoing Statement of Cash Receipts and Disbursements has been prepared from the records of the City of Denton. Texas. of the period from June 1, 1931. to May 31, 1932. inclusive, after audit by us. and is true and correct. McLaran & Company By S. N. McLARAN