359. Interstate National Bank (Helena, AR)

View Charter #11234 on SPMC

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
11234
Charter Number
11234
Start Date
January 2, 1931
Location
Helena, Arkansas (34.530, -90.592)

Metadata

Model
gpt-5-mini
Short Digest
8f552bbde7c3dfa7

Response Measures

None

Receivership Details

Depositor recovery rate
88.3%
Date receivership started
1931-01-03
Date receivership terminated
1939-03-31
OCC cause of failure
Economic conditions
Share of assets assessed as good
54.4%
Share of assets assessed as doubtful
37.8%
Share of assets assessed as worthless
7.9%

Description

Interstate National Bank in Helena closed in early January 1931 and a federal receiver was appointed. Articles describe the bank's closing for their own protection, the appointment of a receiver and depositors organizing to purchase assets. No explicit contemporaneous bank run is described in the articles provided; the sequence is a suspension followed by receivership/closure.

Events (5)
1. September 6, 1918 Chartered
Source
historical_nic
2. January 2, 1931 Suspension
Cause
Government Action
Cause Details
Bank closed and payments suspended; federal comptroller took action around same time and receiver was appointed shortly thereafter.
Newspaper Excerpt
The Interstate National notified Helena depositors that it had closed for their own protection.
Source
newspapers
3. January 3, 1931 Receivership
Source
historical_nic
4. January 7, 1931 Receivership
Newspaper Excerpt
organiza tion of depositors at the Interstate Na tional Bank... to obtain necessary informa tion relative to the condition of the bank, the amount of deposits... from the newly appointed receiver.
Source
newspapers
5. January 25, 1931 Other
Newspaper Excerpt
teller the closed Interstate National Bank... charged shortage... has made bond... appearance March term federal court
Source
newspapers

Newspaper Articles (4)
1. January 2, 1931 Hope Star Hope, AR
Article from Hope Star, January 2, 1931

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Article Text

Last Helena Bank Closes on Friday Phillips County Without Bank-New National to Open, However HELENA (A) Phillips county was without bank Friday morning when Insterstate National bank, asked he federal comptroller to take charge the Bank of Marvell this was turned over to the state banking commissioner the latter bank days. The Interstate National notified Helena depositors that it had closed for their own protection. The only other bank in Helena, the Merchants & Planters, was closed November 17 along with the suspension of the American Exchange at Little Rock. A. B. Banks was president of the Merchants & Planters. The Bank of Marvell had deposits of $200,000, capital of $50,000, and surplus of $10,000. The Interstate National had deposits if $1,700,000 and capital of $250,000. Plans,for the reorganization of the Merchants and Planters, which has been closed for a month and a half. have been virutally completed. The federal comptroller has granted it new charter as a' pation bank and will be reopened as the Phillips Coun-

2. January 7, 1931 The Daily World Helena, AR
Article from The Daily World, January 7, 1931

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Article Text

TRUST COMPANY OF DEPOSITORS PLAN TO PURCHASE ASSETS 0 BANK. UNFOLDED AT MEETING PROTECT DEPOSITS E. C. Hornor Set Up Machiner to Allow Liquidation of Closé Bank's Assets to Take Longe Period of Time Than Federal Re ceiver Would Allow were launcher yesterday afternoon at calle meeting of the Chambe of Commerce for the organizatio: of depositors at the Interstate Na tional Bank into a trust compan that will, if possible purchase th assets of the institution from th newly appointed receiver. Th trust company would then operat. as a holding company to liquidat bring out as nearly the real value as possible in order that all deposi tors might realize the utmost or such assets as the bank possessed at the time it closed last Friday The meeting yesterday was callHornor president of the Chamber of Commerce, who wa: given the sanction of the group attended to confer with Pot. torff. receiver of the bank, in or der to obtain necessary informa tion relative to the condition of th bank, the amount of deposits, th number and names of depositor and other information necessary to the formation of such an or ganization as he one proposed a the meeting. Mr. Hornor, in explaining th machinery necessary to be set up In order to perfect such an organ ization, pointed out the necessity of such a plan if the assets of th closed institution are to bring to the the maximum value of the assets. Liquidation of bank by national bank receiver would sult in the closing out of the bank's affairs rapidly At present prices of real estate and other property such liquidation would result in turn in los of much of the actual value of the bank's assets, which are now the depositors' assets, Mr Hornor pointed out. If the depositors from their own holding company to close out the assets in an orderly manner over long period of time, eventually all nearly all of the assets of the closed institution will bring to the depositors close to their real value. Such liquidation. would return to the depositors full re turn where otherwise they might lose a portion of their deposits. Mr. Hornor told the group that nearly a full list of the depositor: as possible would be necessary bring about a successful working out of the plan. The preferred such schools, state and positors, as county are by bonds and will ready protected not be the trust company No definite action be taken tow chinery for statement of the until proposal bank's condition is obtainable from and of deposits receiver depositors is also out by Mr Hornor. pointed who attended the All the men themselves as meeting expressed favoring the plan.

3. January 25, 1931 The Commercial Appeal Memphis, TN
Article from The Commercial Appeal, January 25, 1931

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Article Text

BANKER MAKES BOND. HELENA. Ark., Jan. teller the closed Interstate National Bank. who yesterday charged shortage money, has made 000, his appearance March term federal court H. H. prominent physician, and Lafe Solomon, farm. business man, signed the The shortage. when discovered. here the fallhere several years ago of the First National Bank in which Gordon was official. large portion of the shortage is said the to been at the former the National the time of the failure of the ter Clifford. was given penitenthousand dollars shortage at that time.

4. January 8, 1933 The Daily World Helena, AR
Article from The Daily World, January 8, 1933

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Article Text

Nation Mourns The last time that Calvin Cool idge dooned his cap and gown DC curred during the inauguration OF Dr Stanley King as president 01 Amherst College at Amherst Mass the former president's alma mater last November that there is a vast difference be tween state bank receivership: an federal bank receiverships Whe ther this is due merely to a dif ference in laws and method remains to be seen It is certain that there is a vast difference i: results as they affect depositors who. by every rule of reason, ar entitled to as much of their mone: as can be recovered. The management of this Pin Bluff bank's affairs under a federa receivership offers a strong con trast to certain state bank receiver ships in Arkansas during the las two and a half years, and the fac that no breath of scandal has at tached to any federal receivership should be looked upon as highly significant. There is also ample ground for satisfaction in knowing that the affairs of the Interstat National Bank of this city are in the same competent hands as those of the National Bank of Arkansas.