Bank of Morgan - Morgan, GA

Bank Information

Episode Type: Suspension → Closure
Bank Type: state
Start Date: March 4, 1924
Location: Morgan, Georgia (31.539, -84.601)

Metadata

Model: gpt-5-mini
Short Digest: 0859e07b

Response Measures

None

Description

Article (Mar 4, 1924) reports the Bank of Morgan was taken over by T. R. Bennett, state bank superintendent, as an insolvent institution and stockholders are contesting assessments. No mention of a depositor run or reopening; action is a government takeover/receivership. I infer state charter because it was handled by the state bank superintendent.

Events (2)

1. March 4, 1924 Receivership

Newspaper Excerpt: Last week the Bank of Morgan was taken over by T. R. Bennett, state bank superintendent, as an insolvent institution. Bennett proceeded to assess the stockholders for the benefit of creditors. ...the stockholders attacked in the superior court...the act creating the banking department...empowers the superintendent of bank to assess stockholders for the indebtedness of banks, and on their failure to pay the assessment in thirty days to issue executions and levy on the property of the stockholders. The act also provides that the estimate and assessment of the superintendent of banks shall be final and that the stockholders cannot attack either, but must pay; if they do not executions will be issued. Another point raised in the suit is relative to the assessments that have been made against the bank. In 1921 the stockholders were assessed 60 per cent of the value of their stock and paid that in, and after running the bank a short time were assessed $100 per share on their stock of the par value of $100, making a total assessment of $160 on each share of $100. (excerpted).
Source: newspapers

2. March 4, 1924 Suspension

Cause: Government Action
Cause Details: Taken over by the state bank superintendent as insolvent; superintendent assessed stockholders for benefit of creditors.
Newspaper Excerpt: Last week the Bank of Morgan was taken over by T. R. Bennett, state bank superintendent, as an insolvent institution.
Source: newspapers

Newspaper Articles (1)

1. March 4, 1924 The Dawson News Dawson, GA

Article from The Dawson News, March 4, 1924

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Article Text

# STOCKHOLDERS OF # MORGAN BANK WIN COURT DECISION IN THEIR FAVOR IN SUIT AGAINST STATE SUPERINTENDENT. MORGAN, Ga. - Stockholders of the Bank of Morgan have won their suit against the state bank superintendent. Last week the Bank of Morgan was taken over by T. R. Bennett, state bank superintendent, as an insolvent institution. Bennett proceeded to assess the stockholders for the benefit of creditors. The result was that the stockholders attacked in the superior court of Fulton county the legality of the provision in the act creating the banking department of the state, which empowers the superintendent of bank to assess stockholders for the indebtedness of banks, and on their failure to pay the assessment in thirty days to issue executions and levy on the property of the stockholders. The act also provides that the estimate and assessment of the superintendent of banks shall be final and that the stockholders cannot attack either, but must pay; if they do not executions will be issued. The act was attacked on the grounds that it was unconstitutional and void, being in conflict with the due process clause of the state and federal constitutions, and also was retroactive. Judge A. L. Miller, of Edison, brought both the suits and Judge George L. Bell, of the Atlanta circuit, granted a temporary injunction which will be made final at the hearings, as he has already rendered a decision in favor of the stockholders in a similar case. Another point raised in the suit is relative to the assessments that have been made against the bank. In 1921 the stockholders were assessed 60 per cent of the value of their stock and paid that in, and after running the bank a short time were assessed $100 per share on their stock of the par value of $100, making a total assessment of $160 on each share of $100.