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NOTICE The Bank of Southern Utah suspended business Dec. 24th by order of its Board of Directprs and It is now In the hands of the State Banking Department. There is now a movement on foot to re-open the bank within & short time. The community now, more than ever before, feels the need of banking facilities, and If they will cooperate with the stockholders of the bank we feel that the bank will be re-opened. Board of Directors of Bank of Southern Utah. By S. J. Foster, Secretary
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Foster Solicits Aid In Bank Opening Activities of committeemen in charge of the task of re-opening the Bank of Southern Utah shifted from Cedar City to Salt Lake City this week, and definite information upon what help might be gained from sources in that city Is expected by the last of the week. Foster has spent the week in Salt Lake representing the Board of Directors in soliciting aid from the branch of which has been set into action in the Utah metropolis recently. What may be expected from this source has not as yet been determined. John P. Fuller and John S. Christensen also In Salt Lake contactare ing with stockholders who reside there and also discussing important matters with the State Bank Commissioner and with prominent bankers of that city. They are expected home today.
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OPENING COMMITTEE HERCULEAN TASK (Continued from page into trust fund and to be distributby trust officers to the persons who paid the voluntary assessment. of the slowest paper In the bank was to be charged prior to the of paper for the trust fund. To balance this paper charged the capital of the bank was to be reduced, from to $50,000 and the surplus from $85,000 to was decided to ask all persons having deposit of or more to sign an agreement to withdraw only 20 per cent of their deposit at the time the bank opened and the balance to be withdrawn in three equal nual payments thereafter. was realized that tremendous amount of work was necessary raise the required to money reopen the bank and secure signed depositargreements and plan therefore, worked out for division this work between the bank board and the Chamber of Commerce, John Fuller, president of the Chamber Commerce called to meeting fect organization for handling this work where following central mittees were appointed: chairman, Pace and M. Corry of the bank board and man and W. Oranger from the Chamber of Commerce. H. Lunt appointed chairman of the stockholders committee to raise the The following made this up committee: Oscar Larson, George Middleton, Robinson. Jones, M. Woodbury and Arthur Jones. An additional committee was appointed by the stockholders committee to licit outside capital to cover ments which the present stockholders could not meet. Dr. Bergstrom chairman and Ruben Shay appointed chairman committee sign depositors. The above committee began solicitfunds and John Christensen selected to act treasurer of the committee. By February 29th., in cash was subscribed and large share of the depositors were signed cause of the severe depression many subscribers unable to their subscriptions and many additional subscribers had to be made. Because of difficulty in raising the money was thought necessary to change the depositors agreement to provide that the depositor should draw out not more than 20 cent of their per deposits any one At meeting year. held on March 5th of the bank board and the Chamber of Commerce mittee, committee selected to rewrite the depositors agreement or provide rider to have attached work of signing up depositors under the new agreement was pushed rapidly as possibly by the committee selected to handle this work under chairmanship of decided that all depositors having more than $50.00 in the bank should signed By March 21st. became apparent that would be Impos to in cash to the bank reop and the State Bank Comr sioner requested to send to Cedar City to over the to paper mine worth and to modify the iginal plan as Mr. necessary. to Cedar and met with the board directors and the Chamber cussed the situation. consisting of Corry and Wm. Palmer the Reid Gardner Chamber chosen over the paper with Robbins and to select the paper that could be kept in the bank. After paper thoroughly and one half of to be charged and half placed in the trust fund, unanimous opinion of Mr. Robbins and the committee that the remaining paper good and the bank would in excellent condition when ened. Mr. made the statement that there would be few banks the State with as good paper the Bank of Southern Utah after the elimination of the $200,000 of frozen paper. After going into the matter thoroughly decided that the trust fund would provide ample for loan of $10,000 and the bank could on cash and note secured the trust fund. Under this plan per cent of the deposits had to signed up which meant that some posits signed up 100 many depositors could not reached. At time became apparent that bank could and on holders of the who had the bank Board Directors handle the affairs temporary Board Jones, Petty, Christensen and mittee consisting Gardner, Lunt and M. to handle the affairs By the middle of for the reopening the met and on consisting of and John porary board and John Gardner the Chamber of Salt Lake City and State Bank approval for This approval was given Hadlock had thoroughly the conditions of the bank. mittee then met with manager of the Federal pledged support agreed to carry the loan the Federal could be liquidated by the committee later met Smith, President of the Bank to whom the local also Indebted who ageed and carry the loan until liquidated through the Bankers' Livestock and the While in Salt committee ants fo the position of later gave their applicants to the board. the committee from the bank board decided bank on May fourth and Parley Anderson cashier Arthur Gardner The work of reopening mommoth task and complished after heart fort. Beacause of the long the general difficult economic tions was found almost alse the necessary which in better times easy. the loyalty and community the town that homes were money borrowed on which probably constituted part of the raised. money achievement that has seldom equaled community time. Particular who gave of their time freely period of months and without pensation of kind. to any the bank would Members open. the Chamber Commerce of ticularly active and the support of this organization throughout the long battle. this doubtful support bank could have reopened. due the Pacific National surance Company. Cedar Home Building Society and Power Co. for making money able to stockholders opening. These companies the total tions, All members of the committees were throughout the long struggle. the old board as elected board worked difficult to out did outstanding work. active. Many of these day after day in working Interest of the bank although great sacrifice them their experience value the inerhaustible. It the effort of the community, of Commerce and the that made possible City to again enjoy the substantial bank and all feel proud of their forts. $20,000 of addition to regular placed in the trust fund holders and others. Many covered their only loaned purchased new stock or others for this purpose. had the welfare few days the Bank will be going that people have sacrificed might again live. The have their bank for the benefit of The bank destroying excellent condition and excellent condition their support Without neither this bank nor any cotiue to operate The Bank has period. is possible the people do not anindication that the has been in the County people Iron with really want bank. the bank of support into again develop agency for the will become Utah and institution for its the depository for Southern Utah. of Iron County the wish keep they under such have opened