First National Bank (Detroit Lakes, MN)

View Charter #3426 on SPMC View balance sheet

Episode Information

Episode UID
342601523
Episode Type
Suspension → Closure
Bank Type
national
Bank ID
34260 national
Charter Number
3426
Start Date
November 8, 1926
Location
Detroit Lakes, Minnesota (46.817, -95.845)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
1c6f37975ec586b4

Response Measures

None

Receivership Details

Depositor recovery rate
40.5%
Date receivership started
1926-11-23
Date receivership terminated
1931-10-24
OCC cause of failure
Governance
Share of assets assessed as good
25.7%
Share of assets assessed as doubtful
56.2%
Share of assets assessed as worthless
18.1%

Description

Date of closing inferred from newspaper weekday references; additional local reporting could confirm exact cause and permanence.

Events (3)
1. December 29, 1885 Chartered
Source
historical_nic
2. November 8, 1926 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Closed by order of the board due to depleted reserves/financial difficulties following local banking disturbances and failures in the county.
Newspaper Excerpt
The First National, the largest bank in Becker County, was closed Monday.
Source
newspapers
3. November 23, 1926 Receivership
Source
historical_nic

Newspaper Articles (11)
1. November 12, 1926 The Austin Daily Herald Austin, MN
Article from The Austin Daily Herald, November 12, 1926

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Article Text

DETROIT LAKES CRASH MORE BANKS Dual Closings Today Boosts Week's Failures To Three ONE CLOSED MONDAY Shooting Of Two Bankers With Financial Crises [By Associated two Callaway with deposits 000 because of depleted reserves. Closing of the Security State Bank of Detroit Lakes its totaling $780,000. Continuation records of the First National the largest bank in the which closed Monday. Wounded Better Word from physicians that Norby and Frank Murphy, county bankers, found wounded in the Callaway bank, were improving The two bank closings, one here the other follow closely he discovery of the wounded bankers behind the locked doors the Callaway State Bank. Sletvold County Attorney clines to comment on the developments today before he has made investigation closing and shooting of the SecurBank, brother of Norby Lake Park. of the two found shot in the State Bank of laway, Becker County, Tuesday. A run on the Security Bank the last was responsible for the according to state bank examiner, now in charge.

2. November 12, 1926 Morning Pioneer Mandan, ND
Article from Morning Pioneer, November 12, 1926

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BANK SHOOTING AFFRAY ENDS IN BANK'S CLOSING INSTITUTIONS WITH WHICH NORBY AND MURPHY ALIGNED SURPEND Investigation of State Continues RUN ON BANKS FOLLOWS FIND. ING OF WOUNDED BANKERS Detroit Lakes, Minn., Nov. 12 (AP) mysterious shooting of Norby and Frank Murphy, Becker county bankers, in the Callaway State bank Callaway early in the week. followed today by the closing two more Becker county banks by the state department. The institutions are the Security State Bank Detroit Lakes, with posits of $780,000 and the Citizens' State Bank of Callaway, with deposits of $150,000 The First National Bank here was closed Monday. H S. Erickson, president of the Callaway bank, is also cashier the Security Closing of the Callaway bank fol. lowed the shooting affray there Tues. day which Frank Murphy, cashier and W. Norby, stockholder were found wounded in the former's of fices. The cause the shooting and who is responsible for it, has not been determined. County Attorney O. Sletvold declined to comment on the developments today before he had more intensive investigation of the clos and shootings. Today the Security State Bank of this place failed to open its doors. J. Norby president of the bank, brother of Norby, the man who suffering with wounds in hospital Shortly after the Security State Bank closed today word was celved here that the Citizens' State Bank Callaway had closed its Whether the bank closings any connection with the unexplained shooting the two Becker county bankers is, point which has not been cleared. County Attorney Sletvold was vestigating the possibility of there being connection. but he declined make any comment on the situathan "was other Thursday night deputies from the State Bank Examiner's office officals the Security bank and the county with officers of attorney consulted Callaway bank the It was decided to close the bank today. and place all assets in the hands of state banking commis. sion. Mr. Sletvold announced that there no criminal action hinted in the close of the bank Officials said the bank was closed to preserve what was left of the after depositors safely to off pay the state department has had time to go over the books and collect on outstanding paper of the bank been permitted the bank Had of the run althe face open in stay bank and county cials ready assert the result might disastrous to more Closing the Security bank. said, has temporarily halted National plans of the First reorganization in Detroit bank remaining The State Bank, was the Detroit face run. this morning preparing business men on hand. but money off all than pay to more positors. Sletvold said attorney County question Murphy unable to would be wounds until about their and Norby delay is This Saturday sioned after by the condition of the seriously men. the more Norby event he should and in the special grand the called investigate be

3. November 13, 1926 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, November 13, 1926

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Article Text

RUN CAUSES BANK CLOSING. Detroit Lakes, Minn, November 12 (A. P.).-The Security State Bank here, with deposit of $780,000. was closed today, marking the second bank failure here within week. The First National, the largest bank in Becker County. was closed Monday. Norby, President of the Security Bank, brother of W. Norby. of Lake Park. one of two bankers found shot Tuesday. A run on the Security Bank during the three days was responsible for the closing CRUSHED IN ELEVATOR. Harry Killinger, 22 years old, 4673 McNeil avenue, Norwood, was crushed to death yesterday morning in an elevator cab at the Kinney-Rome Bed Company's factory. West Water street. Killinger was employed shipping clerk at the factory The accident not discovered until smoke from friction, caused by belt on the elevator. filled the factory The Fire Department life saving squad was called. but Killinger was pronounced dead.

4. November 13, 1926 The Cincinnati Enquirer Cincinnati, OH
Article from The Cincinnati Enquirer, November 13, 1926

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Article Text

RUN CAUSES BANK CLOSING Detroit Lakes, Minn, November 12 (A. P.).-The Security State Bank here, with deposit of $780,000 was closed today. marking the second bank failure here within week The First National, the largest bank in County. was closed Monday L Norby. President of the Security Bank is brother of W Norby, of Lake Park one of two found shot Tuesday run the Security Bank during the three was re. sponsible for the closing

5. November 13, 1926 Star Tribune Minneapolis, MN
Article from Star Tribune, November 13, 1926

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Article Text

Bank in Which Officials Were Shot Is Closed Callaway Institution Shuts Doors, Along With Detroit Lakes House. Two Bankers Wounded Tuesday Reported Improving. Becker county today saw the closing of two banks, making three in week, as officials continued their Investiga tion of the shooting of two bankers. Developments today included: Closing of the Citizens State bank at Callaway with deposits of $150,000, because of depleted reserves. Closing of the Security State bank of Detroit Lakes with deposits totaling $780,000. Continuation of check of the records of the First National bank of Detroit Lakes, the largest bank in the county, which closed Monday. W. J. Norby and Frank Murphy, Becker county bankers. found wound. ed Tuesday in the Callaway bank, were improving. physicians reported. Closings Follow Shooting. Today two bank closings, one here and the other at Callaway, follow closely the discovery of the wounded bankers behind the locked doors of the Callaway bank. County Attorney A. O. Sletvold declined to comment the developments today before he made a more complete investigation of the closings and the shootings. Financial uneasiness started here with the closing of the First National bank with deposits of approximately $800,000. A few months before, the Merchants National bank with deposits of $500,000 closed its doors. Tuesday Frank Murphy, vice prest dent of the bank at Callaway, Minn., 17 miles north of here, and W. J. Norby. former cashier of the Becker County State bank at Lake Park, were found unconscious in the Callaway bank, with bullet wounds in their Banks Closed Today. Today the Security State bank of this place falled to open its doors. L. Norby, president of the bank. is brother of W. Norby. one of the men who is recovering from wounds in hospital here. Shortly after the Security State bank closed today. word was received here that the Citizens State bank at Callaway had closed Its doors. The president of the Citizens State bank is H. 8. Erickson. The bank has a capital of $15,000 and surplus of $3,000. Mr. Erickson also is cashier of the Security State bank at this place. Shooting Is Unexplained. The shooting of Murphy and Norby has not been explained. Neither man. in telling his version of the affair, has been able to say how he was shot. Norby declared that he did not know who shot him. Sletvold reported. he said under questioning Thursday. was sitting at table figuring," the county attorney said Norby told him. "Suddenly heard what seemed to be an explosion. not know what happened after that until regained consciousness. was lying on the floor saw Murphy nearby. felt kind of sick to my stomach and then went downstairs to wash. I lost conscious ness." Norby said that there had been no quarrel between him and Murphy. Murphy told the county attorney that he could not remember what happened. He, too, denied that there had been quarrel. Security Bank Had Run. The Security State Bank of Detroit Lakes closed following three-day run on the institution which was due, busimen say, indirectly to the shooting at Callaway. Thursday night examiners from the state banking department, officials of the Security bank and the county at. torney consulted with officers of the bank. It was decided to close the bank to. day and place all assets in the hands of the state banking commission. Mr. Sletvold announced that there is no criminal action hinted in the close of the bank. Seek to Preserve Assets. Officials said the bank was closed to preserve what was left of the assets to pay off depositors safely after the state department has had time to go over the books and collect on outstand ing paper of the bank Closing of the Security bank. it is said, has temporarily halted plans for reorganization of the First National. County Attorney Sletvold said he would be unable to question Murphy and Nordby more about their wounds until after Saturday This delay is OC. easioned by the condition of the men. Mr. Norby is the more seriously wounded and in the event he should die. Mr. Sletvold said special grand jury will be called to Investigate the shoot-

6. November 13, 1926 The Boston Daily Globe Boston, MA
Article from The Boston Daily Globe, November 13, 1926

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TRUST COMPANY IN KANSAS CITY CLOSES KANSAS CITY, Nov (A. The Federal Trust Company of Kansas City, with deposits about $2,000,was closed late today by the Board Governors who voted the institution the hands of State Commissioner. Heavy by in the last the Laughlin the board the were amply protected. DETROIT LAKES Minn, Nov 12 of the failure within The First National, the Margest bank in Becker County, Monday Norby, president of the Securbrother Norby Lake Park, the two bankers found shot the bank Callaon the during the responsible for the closing.

7. November 13, 1926 Public Opinion Chambersburg, PA
Article from Public Opinion, November 13, 1926

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BANK CLOSES DOORS KANSAS CITY, MO. CITY, Mo., Nov. 13 Federal Trust of City, deposits about closed yesterday the board governors, the institution the hands state finance Heavy runs depositors in the last caused the move, Laughlin declared. the board believed the were amply trust company general banking business. DETROIT LAKES, Minn. Nov. 13 with deposits of failed open marking the bank failure within The First National, the largest bank Becker county, closed Norby, president the Security Bank, brother Norby, the two found shot the State Bank of Callaway, Tuesday the Bank during the last for state bank now in charge.

8. November 13, 1926 The Berkshire Eagle Pittsfield, MA
Article from The Berkshire Eagle, November 13, 1926

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Article Text

Closing of Banks Follows Shooting of Two Bankers DETROIT LAKES. Minn., Nov. mysterious shooting of bankers in the Citizens' State bank Callaway was followed yesterday the closing of that bank and the curity State here because reserves. another 24 hours must elapse before they will permit authorities Norby, stockholder in the Callaway Frank Its cashier, found the Tuosday suffering from bullet wounds. Erickson, Callaway bank, cashier Security bank and booth Instituclosed after runs had caused imperilling their resources, the banks' officials The Security here had posits $780,000 the bank had $150,000 deposits. Sletvold, county said found nothing closing banks warrant any ction by him. closing of First National bank here Monday, followed by the unexplained shooting of Norby and caused among depositors Callaway bank bank, and to that their closing.

9. November 13, 1926 The Spokesman-Review Spokane, WA
Article from The Spokesman-Review, November 13, 1926

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tion. The morning topic "Christian The Men's Bible class, which meets at 9:45 at the Liberty theater, will celebrate "Class marking beginning fourth year the class, of which the leader Three years ago the started with 23 men. Now It has 705 enrolled TWO MINNESOTA BANKS LIMP Decker County Institutions Have Depleted DETROIT Nov. 12. Becker county with total deposits of $930,000 closed today by the state depart of The institutions the State of Detroit with posits of and the Citizens bank of with deposits of $150,000 The First National bank here Monday Closing of the Callaway bank Tues. day found wounded in the K. C. Institution Shuts Doors. KANSAS CITY, Nov. 12. Federal Trust company of Kansas City was closed late today by the board of and voted to place the in the hands of the finance the bank in the caused said. He said the board believed the were The deposits will Boost Columbia Basin. John president of the Spokane Chamber of represent and the Columbia Basin Irrigation league the the western of the United States Chamber of Commerce Colorado Springs Decemand He program to make place the lumbia basin in nation wide deprogram and what means to business. folding metal shell but little larger has invented to portable

10. November 13, 1926 The Fresno Morning Republican Fresno, CA
Article from The Fresno Morning Republican, November 13, 1926

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Messenger Held Up; Bandits Take $35,000 Nov. masked men tonight held Belmont company West 000 they about to enter the the bank Police the who escaped the band that held robbed member textile firm and his sister payrolls more than $3,500 few hours earlier Two Banks Close In Minnesota DETROIT LAKES, Nov. Becker county banks, total deposits were closed today by the state banking department because of depleted reserves. The institutions are the Security State bank of Detroit deposits 780,000 and the Citizens' State bank with posits The First tional bank here was closed Monday. Closing of the Callaway bank folaffray Tuesday in which Frank Murphy, cashier, and Norby. stockholder, found wounded in the former's Board Of Governors Shuts Bank's Doors KANSAS CITY. Nov. Federal Trust Kansas City closed late today the board and voted place the bank the hands of the state finance commisHeavy runs on the bank in the last weeks caused the move, said. He the board believed the deposiamply protected. posits amounted about

11. November 19, 1926 The Producers News Plentywood, MT
Article from The Producers News, November 19, 1926

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TWO MORE MINNESOTA BANKS FAIL Institution Where Two Bankers Were Found Shot Closes Doors - Three Day Run Shuts Security State. Two Becker county banks with total deposits of $930,000 were closed by the state banking department because of depleted reserve. The institutions are the Security State bank of Detroit Lakes and the Citizens State bank of Callaway, scene of the shooting of W. J. Norby and Frank Murphy, Becker county bankers recently. Failure of the two institutions marked the third bank failure in Becker county within a week. The First National bank of Detroit Lakes, largest bank in the county, closed Monday by order of the board of directors. A. J. Veigel, commissioner of banks announced at St. Paul that the deposits of the Security State bank at Detroit Lakes totaled $780,000 while those of the Callaway institution totalled $150,000. Officer in Two Banks H. S. Erickson, president of the Callaway bank, is also cashier of the Security State bank at Detroit Lakes. L. J. Norby, president of the Security bank, is a brother of W. J. Norby, former cashier of the closed Becker county bank of Lake Park, who was wounded in the Callaway shooting incident. Frank Murphy, the other wounded banker, is president of the Callaway institution. W. J. Norby is a stockholder in the Callaway institution. Closing of the Security State bank and the First National bank leaves Detroit Lakes with but one bankThe Detroit Lakes State bank. The remaining bank was preparing this morning to face a run as a result of the closing but money is on hand, business men say, to more than pay off all depositors. A three-day run on the Security State bank, said to have been precipitated by the closing of the First National bank. was responsible for the closing, O. L. Granvold, a state bank examiner, announced today. Closing of the two Detroit Lakes banks, inability to make collections, and depleted reserve, were given as causes of the Callaway failure. The immediateca use for the failure was the closing of the Detroit Lakes bank, it was said. Several years ago Callaway's two banks, the State bank and the Citizens State bank, each of which was capitalized at $10,000, consolidated and were capitalized at $25,000. The State bank was backed by the First National bank of Detroit Lakes and the Security State bank backed the Citizens State bank. When the consolidation was completed, each of the Detroit banks retained an interest in what became the Citizens State bank of Callaway.