2967. Merchants National Bank (Grinnell, IA)

View Charter #2953 on SPMC

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
2953
Charter Number
2953
Start Date
November 1, 1924*
Location
Grinnell, Iowa (41.743, -92.722)

Metadata

Model
gpt-5-mini
Short Digest
2a6b593266841de9

Response Measures

None

Receivership Details

Depositor recovery rate
20.7%
Date receivership started
1924-11-12
Date receivership terminated
1932-06-16
OCC cause of failure
Economic conditions
Share of assets assessed as good
49.7%
Share of assets assessed as doubtful
19.5%
Share of assets assessed as worthless
30.7%

Description

Articles state the Merchants National Bank of Grinnell was closed in November 1924 and placed in receivership; later articles (1926, 1928) describe receivers and suits to recover assets for winding up. No run is described. The closure appears permanent (receiver handling affairs and suits), so classification is suspension_closure. OCR errors in Article 1 (garbled lines) were corrected when extracting names and dates.

Events (6)
1. May 18, 1883 Chartered
Source
historical_nic
2. November 1, 1924* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank closed after losses and alleged illegal/overlimit loans that dissipated assets; capital and surplus impaired by heavy losses (~$38,000).
Newspaper Excerpt
the Merchants National bank of Grinnell, which was closed November 1924
Source
newspapers
3. November 12, 1924 Receivership
Source
historical_nic
4. October 28, 1926 Other
Newspaper Excerpt
Starts Suit in Court Against Officials of Merchants National to Recover Funds — suit filed by D. Thomas, receiver, seeking judgments against former officers and directors for illegal loans and dissipation of assets
Source
newspapers
5. October 28, 1926 Receivership
Newspaper Excerpt
D. Thomas of Grinnell, receiver for the bank. Judgments totaling more than $100,000 are sought ... to wind up the affairs of the institution. (Des Moines, Oct.)
Source
newspapers
6. April 21, 1928 Receivership
Newspaper Excerpt
telegram ... appointment receiver for the Merchants National bank of Grinnell, which been hands of Thomas ... Mr McRoberts left Wednesday for Grinnell. The receivership handled from the office in this city for some time.
Source
newspapers

Newspaper Articles (2)
1. October 28, 1926 Iowa City Press-Citizen Iowa City, IA
Article from Iowa City Press-Citizen, October 28, 1926

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Article Text

Starts Suit in Court Against Officials of Merchants National to Recover Funds (By Associated Press) DES MOINES, Oct. of permitting the issuance of loans that exceeded the legal limit and contributing to the dissipation of assets of the Merchants National bank of Grinnell, which was closed November 1924, have been filed in the United States district here by D. Thomas of Grinnell, receiver for the bank. Judgments totaling more than $100,000 are sought in the case which was brought, the petition stated, in an effort to windup the affairs of the institution. Names Officers George H. Hamlin, former president; Bernard Carney, former vice president; and six directors named The dirare. ectors Fred E. Spaulding. George M. Christian, G. Goodrich. Carl C. Phelps, James Shifflett and Virgil all residents of Poweshiek coun- The petition lists number of loans aNeged to have beeen illegally made. The borrowers include Stewart, Luella Stewart, Ben Stewart, Glenn Roberts, Harvey John Puls. Mary Puls, McFate, Sherman and Adelaide Ralph Sherman. Going into details cited the petition states the loans that were acceptloans to Ralph Sher ed for the and states that the and wife improperly transferred notes were Fred Reisch, and to Goodrich, Hallie C. Burd, an employe of the bank. Hard Hit in 1924 the capital The petition says the bank January stock of and unimpaired 1922, was $100,000 and points surplus was the largest loan that that one borcould be legally The loans was $20,000. exceeded that amount. listed made that "durThe charge surplus of the year the out and the bank was wiped impaired to the capital stock was by losses to the amount of $38,000

2. April 21, 1928 The Daily Times Davenport, IA
Article from The Daily Times, April 21, 1928

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Article Text

MARENGO, April bearing skull and crossbones seal been issued to the seniors by the juniors Marengo high school, inviting them to the annual banquet, May The gymnasium will be decorated pirates' den, the same idea being carried the program toasts which arranged by LaVera McGivern the junior class. Misses Edna Drew Bernice Gilmore are class sponsors. Named Bank Receiver W. receiver for the defunct First bank Marengo, received telegram Wednesday night from Washington appointment receiver for the Merchants tional bank of Grinnell, which been hands of Thomas, and of the First National bank Deep River. The latter closed March, 1926. Mr McRoberts left Wednesday for Grinnell. The receivership handled from the office in this city for some time. Mr McRoberts and his assistants, William Jenkins and Rusch, will be able to divide their time to be Grinnell and Deep River part each week to care for the work there. Postpone Operetta The operetta, Vagabond," been given by the Boys' Glee club of high school, Friday night, has been to death owing Emil Wall, one of the principal characters. The musical comedy and girls' musicale were planned for early in March, when epidemic of an school curtailed rehearsthe als make its presentation again postponed until after the Lenten seawill doubt have be son, and no the opening of delayed until school next fall. Hold School of Instruction The Pythian Sisters Marengo held school instruction Friday afternoon. Mrs Mayme Hunter Montezuma, state inspector, present. The of ritual occupied attention of the ning, when Mrs Ray Lindsay was into the order. dinner enjoyed after the in the afternoon. dinner were Mr Leib, Mr and Mrs Frank Hite, Mr and Mrs Paul Harned. Mr and Mrs Waddell and Mr and Mrs Mead, H. Turner and Rotary Club Meets The rotary of this city loved its weekly luncheon Thursthe Doose Plans day at made for attendance the members at the dissome of trict Rotarian convention Iowa 24 and 25. The April charge the work Ed. Hogan and