First National Bank - Sandersville, GA

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: national
Bank ID: 7934
Charter Number: 7934
Start Date: *
Location: Sandersville, Georgia (32.982, -82.810)

Metadata

Model: gpt-5-mini
Short Digest: 13b7e48b

Response Measures

Full suspension, Books examined

Other: Criminal indictment/trial of bank president Holt for alleged false entries and misapplication of funds; government accountant examined ledgers

Description

Article (Macon News, 1931-05-12) describes a 'silent run' on the First National Bank of Sandersville triggered by the failure of the Fourth National Bank; that run grew and caused the bank to suspend/close. No precise failure/suspension date is given in the excerpt, and a receivership is implied by later indictments but not explicitly dated in the text.

Events (2)

1. * Run

Cause: Local Banks
Cause Details: Run triggered by the failure of the Fourth National Bank; a 'silent run' on First National tied up funds and grew until the bank closed.
Newspaper Excerpt: The failure of Fourth National bank [was] the cause of closing the First National bank Sandersville. The Sandersville bank had large cash deposit while these funds tied up silent run This run grew in volume and nally the of the as to cause the closing the bank
Source: newspapers

2. * Suspension

Cause: Local Banks
Cause Details: Bank suspended/closed as a consequence of the run sparked by another local bank's failure (Fourth National).
Newspaper Excerpt: At the time the bank suspended, Mr Holt owned 418 shares... The failure of Fourth National bank the cause of closing the First National bank Sandersville.
Source: newspapers

Newspaper Articles (1)

1. May 12, 1931 The Macon News Macon, GA

Article from The Macon News, May 12, 1931

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Article Text

Holt Pictured As Continued from Page One banks of the capitalization of the institution. Mr Bootle explained in detail the counts the four indictments charging Holt with series of including false misapplication funds, and other violations of the federal banking One indictment is against Holt dividually, another is drawn against Holt and his son, Floy Holt. while the third names Holt and Orlando May, vice president of the bank, and the fourth names Holt and Arnold, cashier of the Sandersville bank. Trials Consolidated Under ruling of Judge Bascom Deaver the trials of Holt and his with Holt facing charges in the four indict ments. May and Arnold will be called to trial separately later, announced by Mr. Bootle When at Tuesday morning the work selecting jury was begun In 30 minutes the men had been chosen. They W Hinson Chester. D. No H. Balley, Lowe, Macon: B. Lockhart, Macon: W. Chappell, Macon; Jaques, Macon; Wallace Jones, ToomsMiddlebrooks, BarnesSmith Robert Joe Culpepper, Hawkinsville, and The district attorney required an hour to outline the government's charges to the jury. Reading from the voluminous indictments, he told the jury of Holt's alleged "dummy" notes the bank, and various described as illegal. Notes accepted by the from various persons and went the credit of Holt, it was declared. One Instance cited in this was note for $10,000, accepted from the Auto Trading company, Augusta, declared to have been insolvent. 'Its totaled approximately $1,200. Mr. Bootle declared. the note for We can prove that of this represented in the note went to Holt's credit.' Takes Up False Entries In lating to false entries, Mr. Bootle read from copy the report of the bank's condition made the comptroller general. this column. he said, pointing to space on the sheet, "they asked to the indebtedness the Here beside the of Holt is We that the time of this report he was indebted the bank in the amount of Wallace Miller defense attorney making the opening statement to the jurors, asked them to 'picture the events as they happened as they appear now, two or three years He told of the banking career of Holt and the changing of the bank from bank to national bank 1905. Holt was president of the institution throughout its career, the attorney "At the time the bank suspended, Mr Holt owned 418 shares of the 500 shares capital stock" the failure of Fourth National bank the cause of closing the First National bank Sandersville. The Sandersville bank had large cash deposit while these funds tied up silent run This run grew in volume and nally the of the as to cause the closing the bank Holt Had Small Start Holt had accumulated wealth small beginning how he had amassed fortune estimated $500. 000 and which was practically swept away in the crash that Mr Holt acted and not strictly accord with the federal banking act, but he acted in to to make crime," the attorney declared 'Embezzlement and misapplication mean stealing must be proved that Mr Holt acted with corrupt intent in handling these notes transactions to make them Acts Holt as trustee for the estate discussed by the government and defense attorneys The actual was started until When the government witness called approximately 30 answered. Mr. Miller announced that no witnesses had been for the defense. The principal during was Emil Smith accountant in the of investigation, department of justice, who spent weeks examining the records the Sandersville bank Bank Records Read The accountant from the ledger the records number counts of Holt, ranging high $1,500 He the day bank the son owed the $6,062.32 Various items were traced through the records for $990 the Mrs. note on the day for was for purchased by H was The did not show that Mr. Holt had an count the time the accepted was sorbed for witness not been was and represented the younger bank remain the witness Floy Holt's Check to stand assistbank The witness stated that he had frequent which been signwhich were not the bank Thomas that the general unpaid account of the maker down any questioned the attorney replied his checks cashier banks stated that he turned the checks unpaid the