Eureka County Bank (Eureka, NV)

Episode Information

Episode UID
2503858491323
Episode Type
Suspension β†’ Closure
Bank Type
state
Bank ID
250385849 hash
Start Date
March 25, 1910
Location
Eureka, Nevada (36.221, -114.144)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
a1f1d3974f8f7e4a

Response Measures

None

Description

Grand jury investigated pre-closure withdrawals but found insufficient evidence to indict.

Events (2)

1. March 25, 1910 Receivership
Newspaper Excerpt
W. B. Fowler ... will make application ... to have a receiver appointed for the Eureka bank. Mr. Van Fleet, the State Bank Examiner, has already taken charge and is making a thorough investigation.
Source
newspapers
2. March 25, 1910 Suspension
Cause
Government Action
Cause Details
Closed by the State Banking Board / state examiner intervention after investigation of bank's deplorable condition
Newspaper Excerpt
closing of the Eureka County Bank
Source
newspapers

Newspaper Articles (24)

Article from Carson City Daily Appeal, March 25, 1910

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BANKS NOT AFFECTED That none of the other banks of the state will be affected by the closing of the Eureka County Bank is the positive assurance given by Sam Belford, one of the members of the State Board of Bank Commissioners. He says that the affairs of all the other banks are in an admirable condition The Banking Board was not in session yesterday but will probably be in session in a day or so. W. B. Fowler assistant to the attorney-general, left yesterday for Eureka where he will make application before Judge Breen to have a receiver ap pointed for the Eureka bank. Mr. Van Fleet, the State Bank Examiner, has already taken charge and is making a thorough investigation. His report will not be available for several days.


Article from Daily Independent, March 28, 1910

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Banks not Affected That none of the other banks of the state will be affected by the closing of the Eurcka County Bank is the positive assurance given by Sam Belford, one of the members of the State Board of Bank',Commissioners. He says that the affairs of all the other banks are in an admirable condition. The Banking Board was not in session hyesterday but will probably be in session in a day or so. W. B. Fowler, assistant to the attorney-general, left yesterday for Eureka where he will]make application before "Judge Breen to have a receiver/appointed [for the Eureka bank. Mr. Van Vleet, the State Bank Examiner, has already taken charge and is making a thorough investigation. HisTreport will not be available for several days.


Article from The Churchill County Standard, March 31, 1910

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No Other Banks Affected By Eureka Failure. That none of the other banks of the state will be affected by the closing of the Eureka County Bank is the positive assurance given by Sam Belford, one of the members of the State Board of Bank Commissioners. He says that the affairs of all the other banks are in an admirable condition. The Banking Board was not in session yesterday but will probably be in session in a day or so. W. B. Fowler, assistant to the attorney-general, left yesterday for Eureka, where he will make application before Judge Breen to have a receiver appointed for the Eureka bank. Mr. Van Fleet, the State Bank Examiner. has already taken charge and is making a thorough invesgation. His report will not be available for several days.-Carson Appeal.


Article from Weekly Independent, April 1, 1910

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Banks not Affected That none of the other banks of the state will be affected by the closing of the Eureka County Bank is the positive assurance given by Sam Belford, one of the members of the State Board of Bank Commissioners. He says that the affairs of all the other banks are in an admirable condition. The Banking Board was not in session yesterday but will probably be in session in a day or so. W. B. Fowler, assistant to the attorney-general, left yesterday for Eureka where he will make application before Judge Breen to have a receiver appointed for the Eureka bank. Mr. Van Vleet, the State Bank Examiner, has already taken charge and is making a thorough investigation. His report will not be available for several days.


Article from Daily Independent, April 4, 1910

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OSCAR J. SMITH INTERVIEWED Saturday's Reno Gazette contains the following interview with Oscar J. Smith, regarding the failure of the Eureka County Bank. The Gazettesays that Mr. Smith has aged perceptibly since the crash came and has assumed a more serious aspect than his wont, but is philosophic through it all: "My brother, my wife and I were in apparently prosperous circumstances before the crash came, but we played out our hands to the last card, or, as a billiard de votee would say, to the end of the string. We did not really know that the crash would come until the night before the suspension of the Rhyolite institution. It would have been better for our depositors and for ourselves if we had wound up our banking business months ago, but we had investments that were liable to prove of great value at any moment. That is all there is to the story and we have all three placed what fortune we posses back of the institutions. Mrs. Smith will posses absolutely nothing more than the equity in her house and I will have my law library, the tool of my trade; Bert will emerge equally stripped of his possesions. I am confident that the Rhyolitè bank will pay every cent of its indebtedness and am assured that the Eureka institution will do equally as well. My brother and I will only surrender all our present assets, but we will labor for the balance of our days to the end that no man can say we ever took advantage (Continued on page 5.)


Article from Daily Independent, April 4, 1910

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SALMAGUNDI erintendent Anderson and Mr. Bonham left for Lamoille this morning. The Elko Drug Company has the sweetest candies in the market. See the new ad. Miss Schuler left for Reno Friday night to spend her Easter vacation with her people. Mrs. M. W. Hough of Ely is visiting Miss M. E. Hough. She is on her return from California and Oregon, where she spent the winter. "Who's Brown" drew a large audience to the opera house Saturday night. The different actors did their best to please and the large audience retired at the close of the performance well satisfied with the evening's entertainment. Mr. Fred Crofut, one of the grand jurors summoned by Judge Breen to investigate the affairs of the Eureka County Bank, is in town after a load of provisions. He says conditions in Eureka are very bad, and that there is likely to be a famine on account of the scarcity of provisions. Eureka was sorely stricken by the flood and bank failure. Judge Langan has denied the motion of T. B. Rickey for a change of venue from Ormsby county in the case of Frank L. Wildes as receiver vs. T. B. Rickey and the directors of the defunct State Bank and set the case for trial on April 9th. Judge Breen evidently means busine in dealing with the affairs the Eureka County Bank. His reply to the statement of Deputy Attorney General Fowler has the right ring. Sworn officers of the law should do their duty to the people fearlessly and impartially. When they fail to do that, innocent people are sure to suffer. We hope Judge Breen will hew to the line in all matters connected with the failure of the Eureka County Bank. We give our readers today a full and complete statement of the affairs of the Eureka County Bank and matters connected therewith, as the same appeared in the Eureka Sentinel of Saturday. The failure of this bank is of intense interest to the people of Nevada and especially to this county, where Oscar J. and Bert L. Smith were once interested. The getting up of this amount of matter has made a great deal of extra work in this office, but through the kindness and interest of Mr. O. W. Andrews and the assistance of our new typesetting machine we are able to give our subscribers the latest authentic news of the failure of the EurekaCounty Bank and we feel sure that they will appreciate our enterprise in giving them the news, while it is news.


Article from Weekly Independent, April 8, 1910

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OSCAR J. SMITH INTERVIEW Saturday's Reno Gazette tains the followi ig interview Oscar J. Smith, regarding failure of the Eureka County Bank The Gazettesays that Mr. Smith has aged perceptibly since the crash came and has assumed a mor serious aspect than his wont, but philosophic through it all: "My brother, my wife and I we in apparently prosperous circum stances before the crash came, but we played out our hands to the las card, or, as a billiard de votee would say, to the end of the string. We did not really know that the crash would come until the night before the suspension of the Rhyolite institution. It would have been better for our depositors are for ourselves if we had wound our banking business months av but we had investments that W liable to prove of great valurat an moment. That is all there is to the stor and we have all three planed w} fortune we posses back of The in tutions. Mrs. Smith will posses absolutely nothing more than the equity in her house and 1 will have my law library, the tiol of no trade; Bert will emerge equality stripped of his possesion. I am confident that the bank will pay every cett debtedness and am assu Eureka institution wil as well. My brother md only surrender all or P sets, but we will labr to ance of our days to te end that man can say we everook advants (Continued on age 5.)


Article from Weekly Independent, April 15, 1910

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THE EUREKA BANK BEING DRAGGED INTO POLITICS We may now expect to see all the republican papers of the state, following the lead of the Reno Gazette, lay the blame for the failure of the Eureka County bank*upon Governor Dickerson and the state "banking board, the object being, of [course, to discredit the democratic administration, the governor and the members of the board. An effort will be made to so magnify the incident as to make of it a campaign issue, and the people should be advised in advance. The present board of bank commissioners are in no_wise or_in no degree responsible for the Eureka County bank failure. The new banking law_went into effect, now about a year ago, and the first meeting of the banking board was April 14. The new law under which the board was working made various radical changes in methods and requirements, and it became apparent at once that it would take time for the banks of the state to adjust themselves to the new law. Some of the banks-even those which were doing the largest business and supposedly the strongest were in bad condition, owing to too liberal management, [and the laxity of the old law and the inefficiency of the bank examiner's department. The board, construing the banking law_as an act not only to protect depositors, but in so doing also to help the banks themselves, found it advisable to proceed cautiously but deal firmly with the delinquents. Reports were at once called [for and carefully examined and analyzed. On the board were two bankers beside the bank examiner. The condition of the banks of Nevada as disclosed by these reports was such, that if the board had acted under the strict letter of the new banking law, it would have had to close about 50 per cent of the state banks then doing business. This, in addition to the depressed condition of affairs in Nevada due. to the general panic, would have been a calamity nothing short of a crime, and it would have brought down upon the heads of the banking board just and overwhelming public condemnation. Imperative instructions were at once sent to the delinquent banks and the bank examiner proceeded immediately to check them up. It is not necessary or advisable to go into detail and name these banks, for with the time and assistance given them by the banking board they gradually adjusted their affairs to conform to the new law and placed themselves on a sound footing and are now doing a prosperous business. There were four banks, however that were in a particularly bad way. One of these was a comparatively large bank-the Eureka County bank, a bank at Manhattan and two in the Bullfrog district. The latter two were closed the bank-


Article from Tonopah Daily Bonanza, April 17, 1910

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COUNTY FUNDS SAVED. It is understood that Judge Breen has ordered Received Reynolds of the Eureka county bank to release the funds of that county deposited in the defunct bank amounting to $29,164.64, and that the receiver has paid the same over to the county treasurer. This action is certainly commendable and should meet with general approval.


Article from The Eureka Sentinel, April 23, 1910

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Rocco Homestake Attached Ely Record: Gus Simon, who has been in charge of the Rocco-Homestake property at Hamilton for several years past, has run an attachment upon the property for $1,633 wages alleged to be due him, and a keeper has been placed in charge by the sheriff. The mine is owned by the Smiths of Eureka who also controlled the Eureka County Bank, closed a few weeks since by the State Banking Board. The Rocco-Homestake has been a famous producer, but for the past two years it has been idle. If it passes from the control of the present owners no doubt it will again be operated on an extensive scale.


Article from Daily Independent, May 18, 1910

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Spencer Reynolds, receiver of the Eureka County Bank, this week commenced attachment proceedings against the one, fourth interest of Minnie D. Smith in the Silver Connor mine on Prospect Mountain to secure payment on her unsecured notes held by the bank.


Article from The Eureka Sentinel, July 30, 1910

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Bank Receiver's Monthly Report Spencer Reynolds, Receiver of the Eureka County Bank, has filed his first monthly report with the Clerk of the Third Judicial District Court, as per order of Judge Peter Breen, showing the condition of the defunct bank up to and including July 15, 1910. A summary of this report shows the following:


Article from Daily Independent, October 19, 1910

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INJUNCTION AGAIMST LIVESTOCK TRUSTEES Spencer Reynolds Receiver of the Eureka County Bank and one of the Trustees of the Eureka Live Stock Company received a dispatch last Saturday notifying him that injunction proceedings had been commenced in the United States Court enjoining him and the other two trustees from disposing of


Article from The Eureka Sentinel, November 19, 1910

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Decision In Florio Case A decision and opinion was filed in the County Clerk's office here this week in the case of A. O. Florio against the Receiver of the Eureka County Bank, a suit to recover $9,051.40 placed for collection with the bank, which closed its doors shortly after. The decision is by Judge Thomas Mitchell of White Pine County, who presided here at the hearing of the case. In short, Judge Mitchell finds that the motion of defendant's counsel for a non-suit, on the grounds that no authority or leave was obtained from the Court by plaintiff to bring this action against the Receiver, was well taken, and for that reason the suit could not be maintained.


Article from Carson City Daily Appeal, December 1, 1910

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PAY DIVIDEND Receiver Spencer Reynolds will commence the payment of the second 25-cent dividend to depositors of the Eureka County Bank at the bank next Monday morning at 10 o'clock. -Eureka Sentinel.


Article from White Pine News Weekly Mining Review, January 15, 1911

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Spencer Reynolds of Eureka, was in Ely several days this week on business connected with the receivership of the Eureka County Bank.


Article from The Eureka Sentinel, April 8, 1911

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Carson, Nev., March 31, 1911. As State Bank Examiner, I hereby make demand on you as Receiver of Eureka County Bank to turn over all assets pursuant to an Act regulating Banking and other matters relating thereto. Please be gov. erned by my letter of instructions transmitted this day. EUGENE HOWELL.


Article from The Eureka Sentinel, April 15, 1911

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Eureka County Bank Wins Decision Receiver Spencer Reynolds of the Eureka County Bank has been notified that Judge Moran of the Second Judicial District Court has rendered a decision in favor of plaintiff in the case of Spencer Reynolds vs. the Washoe County and the First National Bank of Elko. The sait was for $3,624.04, a Eureka County Bank deposit in the Washoe County Bank, against which the First National held a draft for $2500, issued by the Eureka County Bank, but which was not presented for collection until after the latter bank had suspended payment. Unless the defendant takes an appeal within ten days from the date of the decision, the money will be paid to Receiver Rey. nolds for the benefit of the depositors of the Eureka County Bank.


Article from Daily Independent, April 19, 1911

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EUREKA COUNTY BANK WINS DECISION Receiver Spencer Rynolds of the Eureka County Bank has been notified that Judge Moran of the Second Judicial District Court has rendered a decision in favor of plaintiff in the case of Spencer Reynolds VS. the Washoe County and the First National Bank of Elko. The uit was for $3 624.04, a Eureka County Bank deposit in the Washoe County Bank, against which the First National held a draft for $2500, issued by the Eureka County Bank, but which was not presented for collection until after the latter bank had suspeneded payment. Unless the defendant takes an appeal within ten days from the date of the decision, the money will be paid to Receiver Reynolds for the benefit of the depositors of the Eureka County Bank.-Eureka Sentinal.


Article from Tonopah Daily Bonanza, April 21, 1911

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EUREKA COUNTY BANK WINS A DECISION Receiver Spencer Reynolds of the Eureka County bank has been notified that Judge Moran of the second judicial district court has rendered a decision in favor of the plaintiff in the case of Spencer Reynolds versus the Washoe County and the First National bank of Elko. The suit was for $3624.04, a Eureka County bank deposit, against which the First National held a draft for $2500, issued by the Eureka County bank, but which was not presented for collection until after the latter bank had suspended payment. Unless the defendant takes an appeal within ten days from the date of the decision, the money will be paid to Receiver Reynolds for the benefit of the depositors of the Eureka County bank. --Eureka Sentinel.


Article from The Eureka Sentinel, July 1, 1911

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Eureka, Nevada, June 24, 1911. To the Honorable Peter Breen, Judge of the District Court in and for the County of Eureka, State of Nevada. We, your Grand Jury impaneled by your Honor and assigned to duty on June 14, 1911, having investigated all cases submitted, also all public matters to which our attention was called by the District Attorney and others, and with the assistance of the Special Auditor employed by the County, having made a comprehensive examination of the books and papers of the various County officials, do now submit this, our report: The different committees were appointed as follows: Public Buildings-Chas. H. Rand, E. D. Walti, W. J. Harris. Books-I. H. Rogers, M. J. Hough, F. E. Leonard. Bridges and Roads-F. A. Fulkerson, Dan Johns, Miles McKinnon. Public Morals and Nuisances-James Mackey, F. J. Brossemer, W. S. Yates. Fire and Water-J. H. Fine, J. D. Murphy, F. J. Winzell. The reports of the respective committees are appended hereto. In the case of the State of Nevada, plaintiff, Indian Maggie, defendant, charged with murder, a true bill was found. In the case of the State of Nevada, plaintiff, Indian Tom, defendant, charged with murder, a true bill was found. In the indictments, B, C, D, E, F. G, H, I, J, and K, a true bill was found in each case respectively. The attention of the Grand Jury having been called to violations of the Gambling law, different parties were brought before this body and had read to them certain sections of the gambling law. Peace officers of the County also appeared upon request of the Grand Jury and had their attention directed to the gambling law, with instructions that they were expected to do their duty to the full extent of the law. The Grand Jury having been called upon to investigate the withdrawals of accounts by various parties just prior to the closing of the Eureka County Bank, beg to state that while we find this true, we do not find sufficient evidence to indict. For the benefit of the depositors in the said Eureka County Bank, and for the information of the general public, we wish to state that upon investigation we find that there is absolute and complete evidence to show that the deposit of the funds of this County in said bank by R. McCharles, Treasurer of this County, was placed therein as a special deposit, separate and distinct from all other deposits, and that he was fully justified in having same returned to him intact. In the opinion of this Grand Jury the conduct of the late State Banking Board (the predecessors of the present Banking Board, and to whom Mr. Van Fleet made his report of the condition of the Eureka County Bank during the last six months prior to the suspension of said bank) cannot be too severely censured. Had that Board taken steps to close the Eureka County Bank when their attention was first called to its deplorable condition, the results would have been much better for the depositors and all concerned, with the exception of the officials of the bank, as the deposits of the bank at that time were many thousands of dollars less than when the bank closed, while the assets were in much better shape. These are facts shown by the books notwithstanding the statements to the contrary issued by that Banking Board. Even during the time the Banking Board claimed to have been exercising supervision over the bank and its assets, the assets of the Eureka Live Stock the princi-


Article from Daily Independent, November 8, 1911

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The letting of the contract for the rebuilding the Eureka & Palisade Railway has certainly improved real estate values in Eureka"."Spencer Reynolds, receiver of the Eureka County Bank, was yesterday made a cash offer of $4500 for the Eureka County Bank premises and the fixtures contained therein. Tne best previous offer was $4100.-Sentivel.


Article from The Eureka Sentinel, May 1, 1920

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OLD NEWS FROM FILES OF "SENTINEL" As Told In Our Issues Corresponding To the Present Week of May and From 10 to 50 Years Ago 1872 The Odd Fellows celebrated the 53rd anniversary of Odd Fellowship in the United States. G. W. Baker, a talented lawyer, recently from the East, delivered the oration. One hundred and fifty Eurekans were in Austin attending court in the case of W. R. Street vs. Lemon Mill & Mining Co. Fish Creek, 16 miles south of Eureka, had a townsite surveyed and several prospects working. Pioche was agitating the building of a telegraph line to Eureka. 1880 Weather cold, snowing at intervals throughout week. Tom Robinson, Supt. Bay State Mine, sold the Trench mine for $30,000 cash. London quotations on Eureka stocks, Richmond $74, Dunderberg $44. F. Locan, president Eureka Con. arrives for inspection of property. Leasers of Union mine on Prospect Mountain taking out $200 ore; $18,000 already taken out. Leasers on Grant mine, besides doing dead work, have taken out in 45 days, 100 tons of ore running from $75 to $400 per ton. Leasers on San Jose claim taking e out one and a half to two tons daily of $150 ore. Work started on three compartment shaft of the Eureka Con. 1890 Silver 98% Alex Fraser was appointed foreman of the Ruby Mining Co. Thirty-four cars of ore shipped to ) Salt Lake during week. Wheeler Bros. shipped 24 tons of 3 wool. Weather cool and cloudy, with ) rain and snow. 1900 Silver 59%, Lead $4.57. F. J. Brossemer was in Hamilton looking after mining interests. La grippe epidemic claims many victims. Stockholders ask for a receiver for Whalen Copper Co. at Alpha. Ford Live Stock Co. shipped 20,270 pounds of wool. 1910 Warm, Summer weather, followed by a cold wave. P. H. Hjul moved his store from Courthouse block to present location. Cyanide mine erected hoist at their main shaft. Buckhorn Mines Co. incorporated. Twenty per cent dividend expected to be paid on defunct Eureka County Bank.


Article from The Eureka Sentinel, December 24, 1921

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Dan Morrison, Receiver of the Eureka County Bank, states that the recovery of the $10,000 undisbursed balances in the bankrupt estates of Oscar J. Smith and Minnie D. Smith, mentioned above, will bring in several thousand dollars to be distributed among the depositors of the Eureka County Bank, that failed here in March, 1910.