395. Bank of Horatio (Horatio, AR)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
August 8, 1930
Location
Horatio, Arkansas (33.938, -94.357)

Metadata

Model
gpt-5-mini
Short Digest
44ceda6d

Response Measures

Full suspension

Other: State banking department took control (receivership).

Description

Newspaper reports (Aug 9–10, 1930) state the Bank of Horatio closed its doors after a second run by depositors and that the bank passed into the hands [of] the state banking department, indicating suspension and takeover. Contemporary coverage attributes failures to prolonged drought hurting local agriculture, so the run was driven by local economic shock (farm losses). No evidence of temporary suspension or reopening — state takeover implies permanent closure/receivership.

Events (3)

1. August 8, 1930 Run
Cause
Local Shock
Cause Details
Depositors making heavy withdrawals after agricultural distress from prolonged drought reduced farm revenues in the region, precipitating withdrawals.
Newspaper Excerpt
The Bank of Horatio closed its doors Friday morning. The second run was made on the bank.
Source
newspapers
2. August 8, 1930 Suspension
Cause
Local Shock
Cause Details
Bank closed following heavy withdrawals attributed to the effects of prolonged drought on local agriculture; closure appears involuntary and tied to depositor runs.
Newspaper Excerpt
The Bank of Horatio closed its doors Friday morning.
Source
newspapers
3. August 10, 1930 Receivership
Newspaper Excerpt
passed into the hands the state banking department Both banks attributed the closing to the failure of their ... (drouth) .
Source
newspapers

Newspaper Articles (2)

Article from McCurtain Gazette, August 9, 1930

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Article Text

HORATIO BANK CLOSED DOORS LAST FRIDAY Heavy Runs By Depositors Said To Have Been Cause of Bank Failure The Bank of Horatio closed its doors Friday morning. The second run was made on the bank. Oh Boy, this Hoover prosperity is coming in chunks. They are failing all over the country. Our Idabel National is solid and is receiving new depositors daily.


Article from Star Tribune, August 10, 1930

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Article Text

conference federal dry he pointed that the feed rates with the roads already by distress ed in their plan At least request cordance been already Illinois which asked mission to in some Tennessee CROP REPORT MONDAY, TO BE GLOOMY Chicago Aug report issued Monday August and be gloomy docu ment Since August damage has been inflicted vegetables fruit and feed stuffs shortage of milk and butter veloping the great districts of southern and northern and to general heat around the city, but the rainfall was slight IOWA GETS FIRST RAIN SINCE Cedar Aug fell out today the first July the drouth but too late large part of the corn half inch fell this causing overflow The downpour the county was much heavier. in some places cloud The was accompanied by high wind OHIO CROPS HALF drouth lower the production of crops Ohio 50 per cent with corn, hay and potatoes the worst director of the Ohio agricultural experiment station here. today Wheat, said will suffer the least. BANK FAILURES LAID TO DROUTH Little Ark Aug Prolonged drouth today was held responsible for the failure of two banks Bank of Horatio. in south west Arkansas capitalized at $35. 000, and the bank of Cove. capital and with deposits. passed into the hands the state banking department Both banks attributed the closing to the failure of their NEBRASKA GOVERNOR ORDERS SURVEY Lincoln ernor Arthur will not take part in President ference of governors at Washington next he today unless he that Nebrashas been damaged by drouth care advertise No raska state unessential the explained. He said he believed the crop yet net fair yield if rains are experienced. definitely the status of Nebraska, Governor rected the state department of agricuulture make an immediate sur vey of crop conditions CENTRAL CANADA COOLER, GETS RAIN Aug in the were couraged by drop temper. ature of degrees from the heat of the Light showers fell central southern and border Manitoba and SasMedicine Hat eastern Alberta. was the only point in the western part Canada where the temperature exceeded degrees FOREST FIRE SEEN FROM HOOVER CAMP Orange Aug studying the drouth today President Hoover had brought more sharply his by sweeping forest fire just seven miles from his lodge As the flames toward the Rapidan camp. of marines turned out to supplement the efforts forest rangers and volunteer fighters There danger the lodge The blaze broke in Pine Grove hollow during the night RED CROSS CHAIRMAN ASKED TO STAND Aug. Cross chairmen throughout the United States asked today "stand by be ready drouth on the call of PresiHoover letter from John Barton Payne said the disaster call might for two three might not come but added: the President for the and be prepared follow his lead. Chapter the drouth urged act at once people are