gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
b9f0115a684335aa
Response Measures
None
Receivership Details
Depositor recovery rate
38.0%
Date receivership started
1893-07-29
Date receivership terminated
1900-01-06
OCC cause of failure
Losses
Share of assets assessed as good
26.7%
Share of assets assessed as doubtful
31.0%
Share of assets assessed as worthless
42.4%
Events (4)
1.October 7, 1890Chartered
Source
historical_nic
2.July 24, 1893Suspension
Cause
Bank Specific Adverse Info
Cause Details
Low on ready cash and unable to realize loans to stockmen; heavy drain of deposits forced closure.
Newspaper Excerpt
This bank is closed and depositors must await a receiver. We have assets amply sufficient to pay all liabilities.
Source
newspapers
3.July 29, 1893Receivership
Source
historical_nic
4.July 29, 1893Receivership
Newspaper Excerpt
Comptroller Eckels has appointed Louis G. Philips as receiver of the Merchants' National bank of Great Falls, Mont.
Source
newspapers
Newspaper Articles (22)
1.July 25, 1893The Anaconda StandardAnaconda, MT
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THERE IS NO DANGER The Merchants' Bank of Great Falls Closes Its Doors. OTHER BANKS ARE SOLID Depositors in the Merchants' will Be Paid in Full-Causes Leading Up to the Suspansion. Special Dispatch to the Standard. GREAT FALLS, July 24.-The Merchants' National bank of this city closed its doors to-day at 1 o'clock, and the following notice was posted: "This bank is closed and depositors must await a receiver. We have assets amply sufficient to pay all liabilities. THE BOARD OF DIRECTORS." Examiner E. L. Wilson has been ordered to take possession at once. The last regular statement shows that the bank was low in ready cash, but it was expected to realize from its loans to stockmen. whom it was carrying heavily. The money did not come fast enough and the bank could not stand the heavy drain that has been made upon it during the last few weeks. The doors were opened this morning as usual. There was no run or any exeitement. but some money was drawn out. Other bank men say that there is no reason why there should be further failures, and the general opinion is that there will not be. Several other banks had heavy deposits to-day.
2.July 25, 1893New-York TribuneNew York, NY
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MORE WESTERN BANKS FAIL. EX-UNITED STATES TREASURER HUSTONS INSTITUTION AMONG THEM. THE LOUISVILLE CITY NATIONAL SUSPENDS PAYMENT-MANY POOR PEOPLE IN CHICAGO LIKELY TO LOSE THEIR SAVINGS. Connorsville, Ind., July 24.-The Citizens' Bank, owned by ex-United States Treasurer Huston, failed to open its doors this morning, owing to the financial stringency. The liabilities will not exceed $150,000. The depositors will, it is said. be paid in full. In an interview Mr. Huston said, regarding the suspension of the bank: "It is my misfortune. None of the depositors or creditors will lose a cent. My personal property will more than cover all liabilities, to say nothing about the real estate. It will not affect any of the industries in which I am interested in the least. The real cause of the suspension 1s the rumors that have been spread abroad that I was Interested in foreign speculations and thad lost heavily. There is nothing in the story, but it had the effect to scare quite a number of my depositors. which left me in a crippled condition. The bank is my own individual property, and every dollar that I am worth will stand good for my liabilities. No one will lose anything. All that I ask is a little time, and everything will be adjusted satisfactorily. I have been building up a business for twenty years here. and always took pride in my honesty. Now I have the opportunity to show the people that I am honest. I want no one to lose anything, not even those who have been Instrumental in bringing my misfortume about." Louisville. July 24.-The Louisville City National Bank suspended payment at 1:20 o'clock this afternoon. It has a capital of $400,000. The announcement that it had closed for business was not anexpected. The bank found that It was impossible to realize on the assets. owing to the financial stringency. Deposits received to-day will be returned to the bank's patrons. Tacoma. Wash., July 24.-The Tacoma National Bank. one of the strongest in the Northwest, suspended this morning. It has been assisting other banks in the city for the last six months. Great Falls, Mont., July 24.-The Merchants' National Bank closed its doors to-day at noon. A notice, signed by the directors, stating that all the depositors will be paid in full, was posted. Milwaukee, July 24.-It was expected that the runs of Saturday on several of the banks would be renewed to-day, but none were started, and. unless something unforeseen again disturbs the business world, matters at the banks will be in their normal condition in a few days. It has been definitely decided that the Milwaukee National Bank will soon reopen its doors. Chicago, July 24 (Special).-Bradford & Church, bankers, of Dearborn-st., have closed their financial institution. The deposits are said to aggregate be tween $20,000 and $30,000. A year ago E. D. and J. D. Bradford made some money in a land deal at Tolleston, Ind., and soon afterward opened a private bank. The first thing they did after having their sign painted was to distributed several thousand small iron banks among the poor people of Chicago. The banks could be opened only by the Bradfords. When one of these receptacles was filled with small coins the holder would take it to B:adford's, have It emptied and get credit in a deposit book for the amount. Last March E. D. Bradford retired, and George Church was admitted as junior partner. Nearly a month ago Bradford and Church went away and have not been seen since then. Frank V. Homer. the cashier, was left in charge. and about a week ago he disappeared. Since that time nothing has been seen of anyone connected with the bank.
3.July 25, 1893St. Paul Daily GlobeSaint Paul, MN
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Great Falls Bank Closes. Special to the Globe. GREAT FALLS, Mont., July 24.-The Merchants' National bank of this city closed its doors today at 1 o'clock, and the following notice was posted: "This bank is closed and depositors must await a receiver. We have assets amply sufficient to pay all liabilities. "THE BOARD OF DIRECTORS." The last regular statement showed the bank was low on cash. It was carrying sheepmen heavily, and could not realize fast enough to meet the heavy drain of the last few weeks. Five other banks here are not apprehensive, and some of them. had heavy deposits todav. The capital stock was $100,000; sasets and liabilities are not given.
4.July 27, 1893The Sauk Centre HeraldSauk Centre, MN
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Other Failures. POTTSVILLE, Pa., July 26.-E. J. Gayner, the railroad contractor, has made an assignment for the benefit of creditors without preferences. Judgments amounting to nearly $50,000 have thus far been entered. Assets nominal. GREAT FALLS, Mon., July 26.-The Merchants' National bank posted a notice at noon that it had closed its doors and depositors must wait the appointment of a receiver. CHICAGO, July 26. - Bradford & Church, Dearborn street bankers, have closed their financial institution. The deposits will reach $25,000 or $30,000, due to poor people and children. TOLEDO, O., July 26.-The Farmers National bank of Findlay, O., closed its doors at noon. No statement has been given out as yet.
5.July 29, 1893The Helena IndependentHelena, MT
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TWO TO ONE, The Proportion of Assets to Liabilities of the Bank. Special to The Independent. GREAT FALLS, July 28.-The First National bank fareed to o; on its doors this morning. Notice was posted on the main entrance that. owing to the continual drain of deposits, inability to realize on loans, and the general stringency in the money market, the bank was compelled to suspend temporarily. President Scott says the assets exceed liabilities two to one, and that every depositor will be paid 100 cents on the dollar. The suspension created very little excitementand will not, it is thought affect any of the other banks. L. G. Phelps has been appointed receiver for the Merchants National bank. The Great Falls Iron works made a voluntary assignment this afternoon to Frank Brown. A statement of the concern's assets and liabilities cannot'be secured.
6.July 30, 1893The Anaconda StandardAnaconda, MT
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PEOPLE AND PLACES. LONDON, July 29.-Gold to the amount of £200,000 sterling, was shipped to the United States to-day. WASHINGTON, July 29.-Comptroller Eckels has appointed Louis G. Philips as receiver of the Merchants' National bank of Great Falls. Mont. HAMILTON, O., July 29.-The McNeal & Urban Safe and Lock company, one of the oldest safe firms in the country, assigned assets $160,000; liabilities unknown. The firm claims to be solvent. DENVER. July 29.-It is reported the Standard Oil company is again in control in Colorado, having absorbed its rival, the Rocky Mountain Oil company at a cost of a million dollars. KEOKUK. Iowa. July 29. - Governor Boies is in the city and declares he will not be a candidate for re election or for United States senator. He will retire from politics on the conclusion of his present term. VINCENNES, Ind., July 29. - President Enoch Bryant of Vincennes university has been elected president of the state agricultural college and school of science at Pullman. III. FOSTORIA, O., July 29.- A meeting of the creditors of Foster & company and Charles Foster, decided to employ an expert to examine the books of the bank to see whether there was any irregularities in the recent transfer of real estate.
7.August 5, 1893The Helena IndependentHelena, MT
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JOTTINGS ABOUT TO WN. A. Porter et conjux has sold to H.B. Reed lot 9. block 48, Northern Pacific addition. for $900. L. C. Stebbins will RO to Cineinnati as the local representative there of the Great Northern railroad. A great forest fire was visible to the north of Helena last night. It appeared to be beyond the Missouri river and was spreading out. The Frances E. Willard W. C. T. U. will give a lawn party on next Thursday evening. Aug. 10, at the residence of Mrs. Stewart, Northern Pacific depot. Inspectors Wayland and Clement are expected back to-day from Seattle with Milt Wall, the colored man who confessed to robbing the registered-mail sacks at Livingston. An official circular from President Oakes, of the Northern Pacific, confirms the report that Chief Engineer Kendrick has been appointed general manager in place of W. S. Mellen. Ed Lafferty, the well known Helena horseman, drove the Oakwood farm's W. Wood in a winner in three straight heats 11 few davs ago at Oakland, Cal., in 2:201/5. 2:12 / and 2:121/6 The state treasurer has began suit against H. P. Rolfe, Will Hanks, Wm. Ulm, S. U. Dickey, C. H. Austin, E. R. Clingan, and John Sinolair, directors of the suspended Merchants bank at Great Falls, to recover $18,000 the state had on deposit in that bank when it closed. The entire force of olerks in the county recorder's oflice is now HB work at nights in changing the figures in the assessment books to conform to the 25 per cent raduo. tion ordered by the county board of equalization. The work has to be finished by a week from next Monday. Peter Maher, the heavyweight pugilist, will be at the opera house Monday night, with "Denvel" Ed. Smith. for an exhibition. Tae most interesting part of the programme will be a go between Maher and Ike Haves, the colored heavyweight Hayes gets $100 if he stands before Maher for four rounds, and the "talent" are betting that he wink the money. The 6 ntiment in favor of receiving city employes' warrants in payment of city taxes and licenses found great favor yester day, and the council will without doubt take steps looking to that end on Tuesday. Employes who could stand the waiting generally held on to their warrants yesterday and refused to stand the exorbitant ahave exacted by the money brokers. With city warrants in the same position as cash for paying taxes and licenses the merchants who receive them for goods will get the benefit of the interest up to the day they are turned into the treasurer.
8.September 7, 1893The Helena IndependentHelena, MT
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ALLOWED A COMPROMISE Receiver Phelps, of the Merchants Bank, of Great Falls, Secures an Order. Judge Knowles Permits Him to Settle a Debt Due the Bank. Suit Invoiving the Right to Take Water in One State to Use in Another. E. J. Phelps. receiver of the Merchants National bank of Great Fails, which suapended July 24, made application to the United States conrt yeste day for permission to compromiso the claim of the ineti. sution against Weston Fullerton. The application nots forth that Fallerton was A partner of Will Hanks in the insurance business at Great Falls. Ae n firm and individually they were indebted to the bank on notes, endorsements and overdrafts to (he amount of $14,777.08. Hanks personatly was indabted to the bank $25 227.33 on moten and ovordrafte. The notes amounted to $16,000 and the overdraft was $9,227.33. There was on deposit in the bank at the time it closed $1,823.02 insurance company money put there by Fallerton and his partner. As Fullerton had been info:med that this would be held as an offer t to the Indebtedness of himself and his partner. he promptly made over to the Insurance companies of which they were agents. all his property, valued nt about $7,000. The application states further that neither Fullerton nor Hanks will be able to pay what they owe the bank, and that the insurance companies are not willing to let the firm act as their agents, though they are willing to let Fullerton ACB in that capacity. The insurance companies, under those circum stances, are willing to relense Fullerton's property to the bank. Receiver Phelps asks the court to allow him to compromise the indebtedness of $14,777.08 of the firm. by accepting n transfer of Fallerton's property from the insurance companies. Judge Knowles signed an order allowing the compromise. This releases Fullerton from his obligations to the bank. but doen not release Hanks, who was president of the asrended concern. A suit was filed in the United States court yesterday which may involve the right of a citizen of one state to use water from another state to irrigate his land. Thomas N. Howell lives in Wyoming, right near the Montana line. He has regularly appropriated and used the waters of Sage creek. in Yellowstone county. this state. for irrigating his lancon Wyoming. Joseph H. Graham and fourteen others about n year ago took up land in Yellewstone county. just over the Wyoming line, and began using the waters of Sage creek for irrigating. Howell now asks the United States court here to grant an injunction preventing the Montana people using the waters of Sage oreek and to award him $1,000 for the damage already done. The Montana people claim that there is plenty of water for all, but that Howell wants them out of the way, to use their land for his sbeep.
9.October 13, 1893The Weekly TribuneGreat Falls, MT
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"INSIDE" INFORMATION. If the Leader "knew" all along that the bonds would be returned in time why didn't it comeout and say so? Why did it keep up its chatter about "spite work," "mud-throwing," and so on, because the tax-payers appointed a committee to look into the matter if it had the inside information of which it boasted last evening? We do not believe it knew whether the bonds ever would be returned until a few days ago, when Mr. Cooper said at the school-board meeting that the receiver of the Merchants bank was corresponding about them and that they would probably be here in ten or fifteen days. The TRIBUNE published what he said three days ago. It has taken the organ all this time to find it out and now it yells "I told you so." If it had for several weeks the "positive information" of which it boasts. why didn't it publish the same? For the simple reason that it did not have one scintilla of proof that the Chicago bank would surrender them. Now that everybody knows that the bonds will probably be recovered the organ makes great haste to get into the band wagon. While springing some of its "inside" information will it kindly tell the taxpayers where every penny of that $1,250 went to? That is the point at issue. Can't you give us a little "inside" information on that score? We think you can if you sée fit.
10.October 13, 1893The Weekly TribuneGreat Falls, MT
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# THE SCHOOL TRUSTEES MEET
A School Ordered at Watson-Action on the Black Eagle Falls School Was Deferred.
A Helena Man Wants an Option on the Bonds-Cooper and Kellison in a Wrangle.
An adjourned school board meeting was held last night. Present, Trustees Wright, Kellison, Atkinson, Cooper, and Gockstetter. The first named acted as chairman in the absence of President Hanks. A school was ordered at Watson for six months and W. G. Frisbie was appointed teacher at $50 per month.
Kellison brought up the matter of the Black Eagle Falls addition school, which was asked for at a previous meeting, and stated that there were twenty-two children living in that vicinity. The matter was laid one side until a committee, consisting of Cooper, Atkinson, and Kellison, had time to visit the Boston & Great Falls school and ascertain whether the children can be accommodated there, where they are supposed to attend.
A. B. Cook of Helena appeared before the board and asked for an option for fifteen days on the $80,000 high school bonds, which are lying in the vault of a Chicago bank. No action was taken in the matter, but it brought out a lengthy discussion of the bond affair in which all the trustees participated. Wright read a letter from the assistant cashier of the American Exchange National bank of Chicago. That gentleman stated he had received severel inquiries from Great Falls in reference to the bonds, but in the future only communications which came through the receiver of the Merchants National bank would be considered.
Attorney Cooper said the receiver of the Merchants bank had been advised by the Chicago bank that the status of the bonds was being looked into. Mr. Cooper gave it as his opinion that the bonds would be here in ten or fifteen days.
Kellison made a motion that the county attorney be requested to be present at the next meeting of the board, as he is by law its only legal adviser. This called forth a sharp debate between Cooper and Kellison, during which each paid his compliments to the other. The motion prevailed. Some routine matters were considered, and then the meeting was enlivened by another one of Kellison's motions. It was to the effect that the Townsite company should be compelled to give a bond for a deed to the site of the proposed new high school. The chair refused to entertain the motion and the meeting was adjourned.
11.October 17, 1893The Evening WorldNew York, NY
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Bank President Arrested. HELENA Mon. Oct. 17.- Will Hanks, President of the suspended Merchants' National Bank. of Great Falls, was arrested yesterday on the charge of embezziement. The charge was preferred by 1. G. Phillips receiver of the bank. He was released on $5,000 ball The charge is based on the conversion of $50.000 worth of stock in the Cascade National Bank. pledged to his bank to secure a loan. Hanks took the pledged stock and got a loan on it for his own use.
12.October 17, 1893St. Paul Daily GlobeSaint Paul, MN
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Special to the Globe. GREAT FALLS, Mont., Oct. 16.-Will Hanks, ex-president of the suspended Merchants' National bank, was arrested this evening on the charge of embezzlement. Complaint was made by Receiver L. G. Phelps. and charges that Hanks converted to his own use fifty shares of Cascade bank stock, of the par value of $5,000, which had been assigned to the Merchants' bank as security. Hanks was arraigned before United States Commissioner Pomeroy and placed under $5,000 bonds, which were furnished. The hearing will take place next Monday.
13.October 17, 1893The Seattle Post-IntelligencerSeattle, WA
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Montana Bank President Arrested. GREAT FALLS, Mont,, Oct. 16.-[Special.] -Will Hanks, president of the suspended Merchants' national bank of this city, was arrested tonight for embezziement on complaint of D. G. Phelps, the receiver. He was released on giving $5,000 bonds.
14.October 19, 1893The Sauk Centre HeraldSauk Centre, MN
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Embezzlement Charged. GREAT FALLS, Mon., Oct. 18.-Will Hanks, ex-president of the suspended Merchants National bank, has been arrested on the charge of embezzlement. Complaint was made by Receiver L. G. Phelps, and charges that Hanks converted to his own use 50 shares of Cascade bank stock.
15.October 19, 1893The Helena IndependentHelena, MT
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WILL BE A BUSY TERM. The United States Court Will Have Lots of Business Before It Next Month. Case Against Will Hanks to Be Tried and the Northern Pacific Train Robbers. Men Who Committed Offenses on Indian Reservations Big Damage Sult Against a Mining Company. Judge Knowles will open the term of the United States court in Helena Nov. 6. and the term promises to be a very busy one. There is a large amount of civil business to be attended to, and in addition there are some very important criminal cases to be tried. The case of Will Hanks, president of the suspended Merchants National bank, of Great Falls, will be among the important ones. Hanks is charged by Receiver Phelps, of the Merchants National, with having converted to his own use securities to a large amount that were the property of the bank. Another very important case, and one that will attract A great deal of attention ill be that of Charles Jones and James Smoot, who are now in the county jail. Jones was the leader of the gang that held up the Northern Pacific train in eastern Montana in August. Smoot was with him when one of the possee in pursuit of the robbers was killed at Big Medicine. The charge against them is murde, committed on the Blackfeet reservation. Another important case is that of Milt Wall, who is charged with robbing the Livingaton postoffice. Wall was in the employ of the railroad company at Livingston and his duties were to carry the mail from the postoffice to the depot and vice ve sa. Contrary to the rules in such cases he was allowed to enter the mailing room of the postoffice, a place where others than employes are not supposed to go. He had a key to the room and often when there was an early mail to be sent out he had oppotunities of being there nione. The mail pouches. when made up for the train, are always locked. The keys to the looks, however, are hung on the rack where the mail is made up. In that way Wall had complete necess not only to the mailing room, but to the inside of the mail pouches as well. Something like fifty-six registered letters mailed at Livingston were reported lost. He left Livingaton suddenly, but was arrested in Seattle. He confessed. It is supposed his stealings amounted to about $1,500. Another case involving robberv of the mails that will come up is that of Goo. W. Mo gan. He was a postal clerk, running between Butte and Havre. He opened letterm and took anything of value he could negotiate. He was caught by means of a decoy letter, arrested and confessed. He is supposed to have stolen several hundred dollars. Another case that will attract A great deal of attention is that of the United States against Edmundson and Russell. The charge against them is grand larceny on the Crow reserve. They found a wagon and a camping outfit on the reserve and appropriated it. Edmundson was only pardoned out of the penitentiary in April last. Two of the most ungrateful criminals that will appear before the court are Brennan and Hewitt, if the charge against them is proven. They are cowboys who were in Wyoming and wanted to get to Fort Custer. There is a stage line between Custer and the point where they were in Wyoming, and the driver of the coach, on the day Brennan and Hewitt wanted to make the trip, had six passengers. The cowboys had no money. but the stageman nevertheless ng eed to carry them. which he did to Fort Custer. The next day. on the return trip, it is charged that Brennan and Hewitt held the driver up and robbed bim of the fares he had collected on the trip on which they had been deadbeaded. There are two cases against men on the charge of selling whisky to Indians. One is against a man named Puivis, the offence alleged to have been committed on Blackfeet reservation. The other is against a man named Smith, charged with selling whisks to the Crows
Embezzlement Charged. GREAT FALLS, Mon., Oct. 18.-Will Hanks, ex-president of the suspended Merchants National bank, has been arrested on the charge of embezzlement. Complaint was made by Receiver L. G. Phelps, and charges that Hanks converted to his own use 50 shares of Cascade bank stock.
Embezzlement Charged. GREAT FALLS, Mon., Oct. 18.-Will Hanks, ex-president of the suspended Merchants National bank, has been arrested on the charge of embezzlement. Complaint was made by Receiver L. G. Phelps, and charges that Hanks converted to his own use 50 shares of Cascade bank S ock.
18.December 8, 1893The Weekly TribuneGreat Falls, MT
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The Grand Jury's Report. The grand jury was then discharged finally after making their report. In the report they say: "Your grand jury believes that it would be derelict in the discharge of is duty to the court if it failed to visit severe censure upon the directors of the Livingston National bank. the Merchants National bank of Great Falls. and the Stock-Growers' National bank of Miles City. Each of these institu tions has been compelled to close its doors, suspend payments to depositors and cease doing business. Receivers have been appoir ted in each case by the comptroller of the currency owing to the unsatisfactory condition of the banks' resources. The consequence is that de. positors who in good faith have done business with these institutions and have left their money for safe-keeping in full confidence that it would be honestly returned to them with legal interest have been grossly deceived and wronged, their confidence abused, their earnings frittered away in reckless speculation by those in charge. and, in some instances, have, been deliberately swindled by the bank officials out of sums large enough to be considered comfortable fortunes The grand jurors are of the opinion that the fact of being an officer or director of a national bank ought not to give any man license to swindle and defraud his fellow-men. The unfortunate condition of the banks named above and consequent hardship and loss to innocent depositors, as well as prostration of the business community, are, in the opinion of your grand jurors, largely due to the gross and inexeusable neglect of duty and apparent indifference to their oaths as directors so flagrant and resulting in effects grave and injurious alike to in dividuals and the public that it should be distinctly declared to be a crime by the UnitedStates laws. National bank di rectors owe a duty to the United States. to bank depositors, and the business public, and that duty is to faithfully and bonestly oversee and manage the busi
19.May 3, 1894The Helena IndependentHelena, MT
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PERSONAL.
Manager Molsom, of the Elkhorn Mining company, is in town.
James King, who has been in poor health for six months, left for New York yesterday for medical treatment.
Edward Porter May, of Boston, representing Jeremiah Williams & Co., the wool merchants, is at The Helena.
Hon. A. J. Seligman was in New York yesterday, where the funeral of his father took place. He will leave New York for Helena next Sunday.
Among the Great Falls people in town, called here by the Hanks trial, is L. G. Phelps, who is the receiver of the Merchants National bank.
C. T. Stewart, of the Montana Produce company, is a man of family again, his wife having arrived yesterday from Vincennes, Ind., where she has been making an extended visit.
Mrs. A. Mahrt, the mother of George, Gus and Julius Mahrt and Mrs. Jensen, arrived in Helena yesterday from Germany after a trip of fourteen days. Mrs. Mahrt, who is 62 years old, made the trip alone and this is her first visit to the United States. She had not seen her child en for a number of years and was greatly pleased over her safe arrival.
20.May 6, 1894The Helena IndependentHelena, MT
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# ONE OF THE DIRECTORS.
He Wasn't Informed of the Condition of the Accounts of Bank Patrons.
An "Irish Dividend" the Only One Declared by the Merchants.
Bookkeeper Burns Figuring up Hanks' Individual Liability - Indictments Found by the Grand Jury.
The United States court only put in half a day on the trial of Will Hanks yesterday, the jury being excused for the afternoon. Thos. E. Brady, one of the directors of the Merchants' National Bank of Great Falls, wanted to get home on account of sickness in his family. Bookkeeper Brady was allowed to stand aside so that Mr. Brady could go on the witness stand. Mr. Brady testified that he was a director in the Merchants National Bank of Great Falls from the latter part of January, 1892, until the close of the bank. He did not know that W. H. Burgess & Co. had an account at the bank until after its suspension. Hanks had never mentioned the fact to him that Burcess & Co. had ove drawn their account at the bank; nor had witness ever been advised as to Hanks' individual indebtedness until a few days before the bank closed. Cashier Wilt, at the first meeting of the directors after witness was elected, presented a statement to the board of directors, which indicated an excellent condition of affairs, and that a dividend might be expected shortly. On being interrogated by Attorney Carter as to whether a dividend had ever been pail, he eplied that an "Irish dividend" had been declared, and that was all. Witness was asked by J. B. Leslie, assistant prosecuting attorney, if he ever saw a certifente of stock of the Cascade Bank of Great Falls, and said he had not; that he did not know the Merchants bank owned such a certificate of stock. The attorneys for the defense, on cross-examination, endeavored to prove by Mr. Brady that the directors had full knowledge of the condition of the accounts of patrons. The witness, however, testified that the board of directors had no such facts brought to their attention.
Bookkeeper M. S. Buns was recalled. He was made to identify another lot of checks and some more book entries relating to Hanks' individual account at the bank. The prosecution was not through with him when the case was adjourned until Monday. At the time of adjournment witness had run up Hanks' individual indebtedness to something over $20,000.
From present indications the case will run for more than a week yet.
21.December 9, 1894The Helena IndependentHelena, MT
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HANKS NOW TURN The Defendant's Story of His Connection With the Merchants Bank of Great Falls. HIS ASSETS WERE ABOUT $120,000. The Reasons Given for Nogotiating the Different Notes and the Transfer of His Ranch. R cross-examination of Dr. was A. concluded The the treasury expert, court yesBarrett. in the United States was government terday and then the against will through with its case with misapprowhom it charges the MerHanks, $25,000 of the funds of Falls priating National bank, of Great opening chants' Carter then made the said that Lawyer statement for the defense. He of rectihad pursued a course Falls Hanks community of Great He tude in the man might be proud of. Merthat any the organization of the the subspoke of in 1890. and of make chants bank who falled to scribers to the stock Hanks was their subscriptions of good prosperous circumstances all as an then credit in and regarded by man. good young business the enterprising of the subscribers to good When some the bank falled to make order to stock subscriptions, of Hanks, in in his their the organization understa put facilitate it was the the own note to which, be carried along until parties. Ing. was sold to other stock should be carried along until the This note Hanks sales of closed. reducing it as when bank made. Then. in 1891, withdraw. stock were Wells decided to Hanks stock. George and R. other directors of the This bank acdecided to take $10,125 up his note in the needed Chicounted for the Later the bank negocago money bank and the $28,000 note was Cartiated. At the beginning Hanks' of indebtedness 1893, Lawyer to $20.- the property bank ter claimed. individually did not exceed worth $120.000. 000. while Then he there had came over session the of country events. most unexpected of long standing, in one with common ample e Houses involved Merchants bank, assets, destructive became ruin. became The involved difficulties and of Great Falls, which beset bank. in the country. general Depositors of sity the withthe through fear or July 1893. the either their deposits. In condition human a con drew Merchants' had foresight reached could dition not have bethe that anticipated control It of was Hanks. transact Mr sactions Carter yond then reviewed with the all bank the and held that and Hanks were had perfectly the legitimat credit of the but institution, of meant, they not to harm to assist it in the course Lobenbusiness Downing and Valentine witnesses for the heimer C. P were the first examined mainly near defense the They value were of considered Hanks' ranch worth acre as to Falls. One knew of Hanks refor Great the other $25,000 on it. fusing $150am to give an testified option to good Hanks repBoth utation witnesses for integrity being now called to the stand. it had The defendant At this point was the prosecution to stand indictment announ ced that counts of the and the charging on the false entries, and harging not to abstraction. four charging conviction on the nine said if that he would ask for conv Col. Sanders ask that the Judge was the instructed case to acquit. the and motion Knowles jury be said Col. he Sanders would took an exHe ception. then began his testimony. in Craw ford Hanks with his birth the story O., in 1860, and time gave he settled Falls went county of his life down in to 1885. the and started into the the in Great He r wards business and Tribune. esta and Insurance granized the Cas- of bank. real in the spring He of 1890 owned Later one-elghth he helped cade the stock the of that Merchants bank. was bank subscribed All the stock organize of the to the Merchants opening of tion the came bank. a to When prior the time for subscribers organiza did not re- in spond. the of stock was not number and of one large block taken. Cashier of it part particular his note to carry to carry the Wells put in put in his note was that as and Hanks underst erstanding disposed of the rest. The stock was taken from fast as the should be then traced to amount of received the notes. reduced Hanks until it got by either his note $2,500. it was when it was replaced dow the Benson note Hanks said his 160 prop- acre half On Jan 1891. sisted of his interest erty holdings near Great coal Falls land a Color at Nelthe 320 acres of townsite and Columbia to in in the Fris Falls townsi Great addition in the hart Highland park interest himself of inFalls the Fullerton insurance worth busing $5,000 worth sixth $2,500; nd F in the Liberty the Goodric mine drich Lumber 25,000 shares comthe have pany, worth in $1,250: Cornucopia some Mining realized comor which in which he 40 would cents share 18 and 20 and the third time he did sell for Baltimore, and Six Little Jodes inmarter the House worth $3,000; Maginnia Maiden the bond 25,000 on shares of the Prosp and silver share; 50,000 Helt company Mining a 10 share had of com the Mining Savage cents to worth Bear Paw, in the intere Altoget his up that 1, on 1893, March his in 1894 him that half the other half of the Hershtie de he said of the 150 acres Hershfield the MerH the note By doing NO bank of Helena relief from the Hel- All at Great get Falls bank
22.July 24, 1897The Coeur D'alene PressCoeur D'alene, ID
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Article Text
Fifteen per cent of the school children of Flathead county will have their books furnished them, according to the vote just taken on the question of free text books.
The ranges are in excellent condition and stock rolling fat in the famous Judith basin.
The Cascade county commissioners have ordered suit brought against the bondsmen of ex-Treasurer McClelland, for county funds deposited with the defunct Merchants' National bank of Great Falls. There is said to be a shortage of over $30,000 in that connection.
Since the planting of so many trees in Billings the increase in the number of singing birds of all kinds is remarkable. Now the lawns and shrubbery are full of the creatures, and the citizens are treated to one of nature's concerts every morning.
The growth of the grain in the past three weeks has been wonderful. Fields where two or three weeks ago there seemed to be hardly a blade of grain, are now covered with tall, thrifty oats. In the cleared lands below Frenchtown, in the vicinity of Hudson and down as far as Nine Mile, the grain is splendid and the ranchmen are happy, according to reports received at Missoula.
The Ashley Lake Irrigating Company is at work on what will be the largest irrigation enterprise in Flathead county so far. The ditch will be about nine miles in length and will cover some 6000 acres of land northwest of town. It is taken from Ashley creek near the site of old Flathead City, and runs around the foothills to the northwest.
As judged by this year's assessment, Teton county is more prosperous now than last year. The assessment as returned by the county assessor to the seate board of equalization shows an increase over that of last year of $144,396. The total assessment as returned is $1,749,726, of which $1,053,444 is taxed against personal property and $696,282 against real estate.
The assessment book of Yellowstone county has just been completed. It shows a gain over last year of $260,639. The total personal property returned, including money, is $1,575,753; real estate and improvements, $1,812,477; total, $3,388,230. To this total will be added the amount assessed to the several railways running through the county by the state board of assessment. This amount is not known at present, but last year it was as follows: Rocky Fork, $5500; Big Horn Southern (Burlington), $188,360; Northern Pacific, $286,902.
Bank runs are almost always and everywhere a deterioration of bank fundamentals.
But not for you.
You are the measure-zero exception: great fundamentals, solid bank, and yet the Diamond Dybvig fairy spread its rumor. Depositors woke up. Your collateral was not prepositioned. The Clearinghouse had it for you.
Do not pass Go. Do not collect $200. Go directly to jail… or worse.
