318. Bank of North Arkansas (Everton, AR)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
September 1, 1931
Location
Everton, Arkansas (36.155, -92.907)

Metadata

Model
gpt-5-mini
Short Digest
710c0ff1f7510911

Response Measures

None

Description

Multiple newspapers (Sept 1–2, 1931) report the Bank of North Arkansas (Everton, AR) was one of nine banks in a Hudspeth group that experienced runs and closed. Runs were attributed to Hudspeth's connection with the B. Banks group and alleged insolvency; examiners took charge and warrants were issued. Articles describe immediate closures and county banking facilities being cut off; no reopening is reported in these items, so the bank appears to have been closed/placed under examiners/receivership following the run. OCR errors in text corrected (e.g., Huds(p)eth → Hudspeth; some garbled bank names normalized).

Events (3)

1. September 1, 1931 Run
Cause
Bank Specific Adverse Info
Cause Details
Runs attributed to Hudspeth's connection with the B. Banks group and allegations he ran banks while insolvent; withdrawers demanded funds after letter and revelations about Hudspeth.
Measures
Payments continued until all the currency in the banks was exhausted; state bank examiner took charge pending arrival of Little Rock officials.
Newspaper Excerpt
All closed last November following runs which bank officials said were brought about by Hudspeth's connection with the B. Banks group.
Source
newspapers
2. September 1, 1931 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Banks closed following runs and revelations/letters from Hudspeth; state examiner (H. A. Daugherty) took charge and warrants were issued against Hudspeth for accepting deposits knowing banks insolvent.
Newspaper Excerpt
whose group of nine banks in Northwest Arkansas closed Tuesday after receipt of a letter from Hudspeth saying 'When this is in print, I'll be in Canada.'
Source
newspapers
3. * Other
Newspaper Excerpt
Hudspeth's letter said he had turned over $100,000 worth of property and his home here to be sold for benefit of depositors; prosecuting attorney instituted nationwide search for Hudspeth and sought grand jury probe of his activities and connections with the bank group (reports of destroyed papers).
Source
newspapers

Newspaper Articles (4)

Article from Clarion-Ledger, September 2, 1931

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Article Text

Redouble Efforts To Find HARRISON, Ark., Sept. nationwide search Hudspeth, prominent Arkansas financier, was instituted today ter nine of his banks closed lowing receipt letter from him the blame for closings and saying that "when this is print, I'll in Canada. of arrest charging with acceptance posits his banks to insolvent was issued Prosecuting Attorney Jack Holt, also sought special grand jury probe activities of Hudspeth. Closing of the banks left two Arkansas counties without banking facilities. Deposits nine institutions were slightly more $2,000,000. The banks closed were Citizens Bank and Trust and company, the Peoples Saving bank, both of Harrison: First bank. Marshall: Yellville; American Exchange, Leslie; Bank of Alpena, Alpena Pass; Bank of Lead Hill, Lead Hill; Bank of North Arkansas, Everton, and the Bank of Flippin, at Flippin. All closed last November following runs which bank officials said brought about by Hudspeth's connection with the B banks group. Hudspeth was director the largest bank-the Little of which was followed the suspension closing 146 other banking institutions Arkansas. nine stitutions involved today re-opened during the last few months. Hudspeth's letter assumed blame for condition his banks "although tried hard to make them Hudspeth's letter said he had turned over worth of and his home here to sold for benefit of depositors, and that affairs properly managed banks pay every dollar owed."


Article from Pensacola News Journal, September 2, 1931

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Article Text

ARKANSAS MAN BELIEVED TO BE IN CANADA Leaves Letter Admitting He Is Responsible For Shut-Down (Continued from Page One) Lead Lead Hill; Bank of North Arkansas, Everton, and the of Flippin, at Flippin. All closed last November followwhich bank officials said brought about by with the B. Banks Hudspeth was director in state's largest AmerLittle closing of which was or nine institutions toinstitutions in Arkansas. day re-opened during the last few Hudspeth's letter assumed blame condition his. "although tried hard to make Turns Over Property Hudspsh's letter said he had over $100,000 worth of propand his home here to be sold benefit of depositors. and that affairs were properly managed banks pay every dollar owed." "Words cannot express my feelthe letter continued. "Not only my own life stamped out, folks and quite few of my friends will be affected for years come. will be in Canada bethis is print but Harrison will never be off my mind as well the other places in which was interested.' Because most of the banks in this immediate section were involved, Holt said there much "expresof resentment against Hudspeth.


Article from The Commercial Appeal, September 2, 1931

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Article Text

TWO ARE INDICTED ON ATTACK COUNTS Farmer and Negro Who Battled Officers Face Assault to Murder Trials. E. F. Ketchens. farmer, who shot Deputy Aubrey Clapp gun battle on Castalia Avenue, and Willie Hill, negro, who bit and clawed Deputy Louis Kahn in battle on Southern Avenue, were indicted on charges of assault to murder by the busy grand The inquisitors returned jury 33 true bills and ignored two cases Ketchens shot Clapp while the lat. ter and Deputy W. Hildebrand were trying warrant on him for assaulting his law. Mrs. J. H. Ketchens, 1050 South Rembert The officers say he started shooting without warning. Ketchens claims that the officers told him who they and that they opened fire without explaining their business. Ketchens once was sentenced to life imprisonment for killing W. H. Causey, traveling on the old Kate Adams, but the case was reversed. Posse Caught Hobo. Hill, hobo, was shot by special agents after he had attacked Deputy Kahn when the latter went out to arrest him for trespassing. The negro's teeth nearly bit through the deputy's little finger in fight for the officer's pistol. Hill got the gun and escaped. but was shot down later by posse of agents. John File and James Avent, youths, indicted for robbery, with Carl Flannagan as prosecutor. Flannagan said they robbed him of $42.25. Murphy was indicted for assault to murder for an alleged knife attack upon Henrietta Garrett, St. Charles. Four indictments charging forgery also were returned. T. Marks was charged with forging $3.95 check on R. T. Clarkson Company, Inc., Oliver Banks with forging $5 on the Nail Drug C. A. Gruder forging $2.25 check on Lewis Sons Company, and Anderson with forging $24 check on the Banks Grocery Company. Indicted on Fraud Charge. W. H. Monsarrat was indicted for fraudulent breach of trust, the dictment charging that he took belonging to the Bob Bruce Tire Company, where he was employed. Henderson Briggs also was indicted on like charge with Rosie Jackson, 400 Pontotoc, prosecutor. She charges he made away with an $80 Willie Lemmons was Indicted for and larceny indict ments read against Newton Scruggs Charlie McKinney, Burrell Colgan Woodrow Noblin, Curley Burros Louise Carter. Albert Conley and George Covington were indicted for drunken driving, and Marcellus Chambliss for beating board bill. Pistol were against Willie Hill, Burrell Colgan, Willie Johnson, John Duncan and Bob Howdy. EXPECT MANY EXHIBITS. Fifteen Communities Will Have Booths at County Fair. BLYTHEVILLE, Ark., Sept. Fifteen community exhibits and large number of individual entrants are expected in the sixth annual Mississippi Oct. County Fair, Sept. 28 to With more than $1,400 in cash prizes, besides large number and ribbons for championship men, and children from all parts of this large county plan to enter their best chick ens, pigs, hand work, preserves, cakes, vegetables and other products which will demonstrate an active year on the part of those interested in and home making. The Chamber of Commerce sors the annual fair. Last year, despite the drouth, the fair was great success with enough money cleared to wipe out all indebtedness accrued in the past three years. Co-operating with the Chamber of are the county agricultural and home agents. Plans already show that the swine and poultry shows will be even twice as large as those of last year and 15 communities have made reservations for booths this year in comparison with nine last year. of Harrison, who also sought a special grand session to investigate activities of Hudspeth. Attorney Jack Holt, of Harrison, who also sought special grand jury session to investigate activities of Hudspeth. Deposits of $2,000,000. Closing of the banks left two North Arkansas counties without banking facilities. Deposits of the nine institutions were slightly more than $2,000,000. The banks closed were Citizens Bank Trust Company and the Peoples Savings Bank, both of Harrison: First State Bank, Marshall; Citizens Bank, Yellville: American Exchange, Leslie: Bank of Alpena, Alpena Bank Leadhill, Bank of North Arkansas, Everton, and the Bank of Flippin, at Flippin. All closed last following runs which bank officials said were brought connection with the B. Banks group. Director in Lit Roc Bank. Hudspeth director in the American Exchange at Little Rock the closing of which was followed by the suspension closing of 146 other bank ing institutions in Arkansas The nine institutions today reopened during the last few months. Hudspeth's blame for condition his banks, though tried hard to make them go. Hudspeth's letter said that he had turned $100,000 of property and his home here to be sold for benefit of and that were properly managed, banks will pay every dollar "Words cannot express my feelings, the letter only is my own life stamped out but my folks and quite few of my friends will be affected for years to come. will be in Canada this is in print but Harrison will never be off my mind as well as the other places in which was interHolt said he did not believe Hud speth had gone Canada He wired police of many cities, however, to aid in the search. Because most of the banks in this immediate section were involved, Holt said there much "expression" of resentment against Hud. speth Besides his banking connections, Hudspeth was interested in many business enterprises of this section. H. A. Daugherty, examiner from the state bank department, took charge of the institutions pending arrival of other officials from Little Rock.


Article from The Star Progress, September 3, 1931

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Article Text

Prosecuting Attorney Says He Believes Bank's Head Planned flight After his home was Searched. Harrison, Ark., Sept. 1.-Jack Holt, prosecuting attorney, revealed Tuesday night that photographs and other papers were found destroyed at the home of Hudspeth, prominent financier, whose group of nine banks in Northwest Arkansas closed Tuesday after ceipt letter from Hudspeth saying "When this is in print, I'll in Canada.' The prosecuting attorney said he had been unable to locate Mrs. and her son and daughter, who left Friday for Cleveland, Okla., ostensibly to visit relatives. Hudspeth left also on that date, he to borrow money at St. Louis which to pay county deposits which were to have been withdrawn Tuesday from his banks. Holt said he was informed the Hudspeths had not arrived at Cleveland. Bank examiners were working Tuesday night, checking affairs of the institutions. Holt said he found several photographs of Hudspeth destroyed and evidence of destruction of other papers, he said, led him to lieve Hudspeth had planned flight. Holt instituted nationwide search for the bank head after he issued warrant charging him with acceptance of deposits knowing his banks to be insolvent. Entering meeting of directors of the closed First State bank at Marshall late Tuesday, group of citizens demanded and received deposits totaling, bank offiicals said between $4,500 and $5,000. The First State bank was one of nine of the Hudspeth chain which closed Tuesday morning. Ray Hogg, sheriff, said there no disorder, but that the farmers quietly but firmly demanded their money. Payments continued, said, until all the currency in the bank was exhausted. Closing of the banks Tuesday left two counties without banking facilities, as well as Harrison. posits of the nine banks were slightly more than $2,000,000. The banks that closed were, Bank North Arkansas, Everton, Bank of Flippin, at Flippin, the First State Bank at Marshall; Citizens Bank and Trust Co., and the Peoples Savings bank, Harrison; The bank at Yellville: American Exchange, Leslie: Bank of Alpena, Alpena Pass; Bank of Lead Hill, Hill. All of these institutions closed last year during the banking collapse, following runs which bank said were brought by Hudspeth's connection with the B. Banks group. The nine institutions had reopened during the last few months. Hudsptth's letter assumed blame for the condition of his banks. His letter said he had turned over $100,000 worth of property and his home here to be sold for the benefit of depositors, and that if af fairs were properly managed, "the banks will pay every dollar owed. Holt said he did not believe that Hudspeth had gone to Canada, but did not reveal the source of the information upon which he based belief. Because most of the banks in this immediate section were volved, Holt said there was much "expression" of resentment against Hudspeth. H. A. Daugherty, examiner from the satate bank department, took charge of the institutions pending arrival of other officials from Little