Real Estate Bank of the State

Bank Information

Episode Type: Suspension → Closure
Bank Type: state
Start Date: December 8, 1852
Location: Little Rock, Arkansas (34.746, -92.290)

Metadata

Model: gpt-5-mini
Short Digest: aaffeee6

Response Measures

None

Description

Article (Governor's message, 1852-12-08) discusses the bank as insolvent, recommends investigation and placing assets in charge of the State Treasurer (effectively a receiver). No mention of a depositor run; the action is government-directed asset control. Classified as a suspension/closure with government/receiver action.

Events (2)

1. December 8, 1852 Receivership

Newspaper Excerpt: I recommend that all the assets ... be placed in charge of the State Treasurer, and that he have such discretionary powers, as are now allowed the Receiver of the bank, for collecting the debts and managing the institution, until its affairs shall have been settled;
Source: newspapers

2. December 8, 1852 Suspension

Cause: Government Action
Cause Details: Governor recommends placing the bank's assets in charge of the State Treasurer and using receiver-like powers due to insolvency; legislative settlement/administration of assets.
Newspaper Excerpt: I recommend that all the assets, of the Bank of the State of Arkansas, be placed in charge of the State Treasurer, and that he have such discretionary powers, as are now allowed the Receiver of the bank, for collecting the debts and managing the institution, until its affairs shall have been settled;
Source: newspapers

Newspaper Articles (1)

1. December 8, 1852 Washington Telegraph Washington, AR

Article from Washington Telegraph, December 8, 1852

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Article Text

Message of Gov. Conway. [CONCLUDED FROM FIRST PAGE.] 1843, being the amount of six bonds given by Gov. Yeil, for money borrowed of the bank for the use of the State. I recommend that a law be passed authorizing some officer of the State to make a settlement of these accounts, with the trustees of the bank, and to receive the six bonds in part payment of the amount due, and for the residue, bonds issued to the State Bank, if to be obtained, and if not, to take the Real Estate Banking House and lots in Little Rock, and other productive property; if the Trustees will convey the same to the State, at a fair valuation, in payment of the residue of the debt. The bonds issued by the State to the Real Estate Bank, and upon which the banking capitol was obtained, are obligations of the State, which the bank was bound by its charter to pay or redeem; and one of the objects stated in the deed of assignment made by this bank to the Trustees, is to comply with that injunction made by law upon the bank. Many of these bonds have been received by the Trustees in payment of debts due the bank, and in that manner have been paid and redeemed. It seems to me that the State, as the obligor, has the right to have her bonds, when paid, delivered up to the State Treasurer, so that he may cancel them. I invite your attention to this matter. Since the State has not the means to pay, at present, even the interest on the bonds issued to the banks, it is fortunate that those issued to "The Real Estate Bank of the State of Arkansas," will not be due until the 26th day of October, 1861, and that the six per cent. bonds, issued to "The Bank of the State of Arkansas," will not be due until the first day of January, 1868, and that the five per cent. bonds, issued to this bank, will not be due until the first day of January, 1887. Each bank is bound, and its assets set apart, to pay the interest on the bonds issued to it, and also, the bonds, when due. The assets of each bank should be guarded with vigilence, and those having them in charge held to strict accountability, so that every dollar may besacredly applied towards extinguishing the debts. When the assets shall have become exhausted, we will then be enabled to count and know the deficit, and may then adopt such measures as will secure its payment, without oppressing the people. It seems to me that past experience should warn us from the policy of staking the faith and credit of the State, a second time, on these miserably insolvent banks. I recommend that these institutions be thoroughly investigated, and should abuses exist, that such legislative action be adopted as will correct them. I recommend that all the assets, of the Bank of the State of Arkansas, be placed in charge of the State Treasurer, and that he have such discretionary powers, as are now allowed the Receiver of the bank, for collecting the debts and managing the institution, until its affairs shall have been settled; that the State Treasurer, in consequence of the additional duties, be allowed a clerk in his office, and the use of the banking-house and the rent of one of the vaults of the bank. It will require all the prudence and good management, that we can use, to relieve the State from the embarrassed condition to which the banks have brought her. We must not only be economical in expenditures; but with sleepless care guard all the means we have. The Secretary of the Interior has certified to the Governor, that the number of members to the House of Representatives of the Congress of the United States, apportioned to the State of Arkansas, under the last or seventh enumeration of the inhabitants of the United States, is two. He omitted to furnish an abstract of the census of this State, which the representatives were a copy of his so the apportioned. certificate, upon I transmit that, you herewith may divide State into two districts, in accordance with the acts of Congress upon the subject, and provide for the election of a representative from each. With the hope that our services in behalf of the State may promote and guard its interests, and redound to the welfare of our constituents, I close this communication. Your fellow citizen, ELIAS N. CONWAY. EXECUTIVE OFFICE, DILL AL ou 1050