55. City National Bank (Bessemer, AL)

Bank Information

Episode Type
Run β†’ Suspension β†’ Closure
Bank Type
national
Bank ID
11905
Charter Number
11905
Start Date
December 23, 1930
Location
Bessemer, Alabama (33.402, -86.954)

Metadata

Model
gpt-5-mini
Short Digest
0d1624c2066ceced

Response Measures

Capital injected, Full suspension, Books examined

Receivership Details

Depositor recovery rate
48.0%
Date receivership started
1931-01-12
Date receivership terminated
1938-06-25
Share of assets assessed as good
23.4%
Share of assets assessed as doubtful
62.3%
Share of assets assessed as worthless
14.3%

Description

Multiple contemporary AP reports state the City National Bank of Bessemer failed to open on Dec 23, 1930 after threatened runs following the closing of another local institution. There were attempts/plans to reorganize and reopen in Jan–Feb 1931, but the bank remained defunct (receivership actions and dividends to depositors reported later and suits by receiver in 1932). Classification: an initial run/threat of run precipitated a suspension/closure and eventual failure (receiver). OCR errors in some articles corrected (e.g., BessemTrust -> Bessemer Trust).

Events (8)

1. January 3, 1921 Chartered
Source
historical_nic
2. December 23, 1930 Run
Cause
Local Banks
Cause Details
Threatened run following the closing of another institution in Bessemer (reports say closure was 'threatened run following the closing of another institution in Bessemer').
Measures
Bank did not open to protect depositors; officials issued statements they were acting for depositors' best interests.
Newspaper Excerpt
BESSEMER, Ala., Dec. 23 The City National Bank ... failed to open today. Officials said they were acting for the best interests of depositors.
Source
newspapers
3. December 23, 1930 Suspension
Cause
Local Banks
Cause Details
Closure/suspension was triggered by threatened run in Bessemer linked to the closing of another local institution; officials closed to protect depositors.
Newspaper Excerpt
The City National Bank and the Bessemer Trust and Savings Bank failed to open today. Officials said they were 'acting for the best interests of depositors.'
Source
newspapers
4. December 30, 1930 Receivership
Newspaper Excerpt
The bank closed Dec. 30, 1930. (From later article noting bank closure date); Jacob A. Salmon, receiver for the City National bank at Bessemer, filed suits ... The bank closed Dec. 30, 1930.
Source
newspapers
5. January 12, 1931 Receivership
Source
historical_nic
6. January 20, 1931 Other
Newspaper Excerpt
BESSEMER BANK PLANS TO REOPEN ... the bank reopening the City National Bank which closed its doors ... Steps reorganization ... to sell stock ... committee ... with depositors composed ... get with depositors ... $125,000, reserve to offset any resources ... reorganization favored bank ... agreed their posits, $125,000, reserve to offset any resources may result from the reorganization. to sell stock in the and Johnston, committee ... composed Bruce Leggett John Neal . (OCR errors preserved in snippet).
Source
newspapers
7. February 18, 1931 Other
Newspaper Excerpt
BESSEMER BANK TO BE REOPENED ... Re-opening of the City National practically assured ... The state department recommended the re-opening and specified $150,000 pledge. The money raised entirely by Bessemer businessmen ... The bank was closed in December threatened 'run' following the closing of another institution in Bessemer.
Source
newspapers
8. September 1, 1931 Other
Newspaper Excerpt
OUT OF DEFUNCT BESSEMER BANK ... depositors To Get Cut Of 25 Per Cent; $135,000 Total Involved ... checks. 25 per cent dividend ... copies dispatched ... defunct City National Bank of Bessemer ...
Source
newspapers

Newspaper Articles (14)

Article from Corsicana Daily Sun, December 23, 1930

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PRESIDENT BANKING COMPANY FOUND SHOT TO DEATH IN HOME ADDITIONAL BANKS OVER NATION FAILED TO OPEN TUESDAY BALTIMORE, Dec. 23.-(P)-T. Edward Hambleton, 44, president of the banking firm of Hambleton and company, was found shot death in his home at Luthersuburb, today. Judge William Butler, corgave verdict suicide. was caused by a bullet wound the head. The banker, president in New York, Baltimore and European SOciety, had just returned from big game hunting expedition in during which his wife the former Adelaide McAlpin, daughter of the New York hotel magnate, established in Reno to seek They had been married for 20 years. Mr. Hambleton was said by his friends to have become depressed over his martial difficulties and the death of his brother, John Hambleton, who was killed in an airplane crash year ago. Miami Bank Closes MIAMI, Fla., Dec. The City Bank of Miami Beach, which heavy run following the closing of the City National Bank in Miami, did not open today. Clements, vice-president and cashier said the bank closed the order of state bank examiners to protect its assets. The bank had capital stock of $100,000, surplus $50,000 and deposits of $600,000 at the last call. Two Connecticut Banks Closed HARTFORD, Dec. Hartford banks, the Riverside Trust company, and Palloti Andretta and company, were suspended today by Bank Commissioner Lester Shippee, following runs on both institutions which have been in progress since last July. Pallotti, Andretta and company, control of the Riverside own Trust company. The state for 1930 gave the capital of the Riverside Trust company $400,000, surplus $600,000, undivided profits $244,229, savings deposits $643,805 and commercial deposits Philadelphia Bank Robbed. PHILADELPHIA, Dec. -Several robbers today held the North branch the Plaza Trust company and escaped with about $7000. Alabama Bank Fails. BESSEMER, Dec. City National Bank and the Bessemer Trust and Savings bank failed to open today. Officials said they were acting for the best interests of depositors. Virginia Bank Suspends. RICHMOND, Dec. state division of insurance banking today announced that the Peoples Bank of Gretna, had suspended business. The bank capitalized $50,000 and had deposits of $474,000. O. Ramsey was president. Fall To Enter Vault. AUSTIN, Dec. proved poor excavators last night attempted to dig their when way into the Blanco National Bank at Blanco, according to telephoned information received here. They dug to steel wall envault and then gave closing it up for bad job. Georgia Bank Closed. WASHINGTON, Ga., Dec. (AP)-A notice on the door of the National Bank of Wilkes county here today said the institution had been closed pending a meeting of the board of directors. The bank was capitalized at $50,000 and assets were reported at $400,000. Florida fruit box containing 45 oranges, grapefruit, 20 tangerines, 100 kumquarts, jar fruit preserves. Express prepaid anywhere Growers Packing Company, P. O. Box 282, Tampa, Fla.


Article from The Fresno Bee, December 23, 1930

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State Takes Over Chelsea Bank In New York State Superintendent of Banks Broderick announced to. day he had taken the Chelsea Bank and Trust Company The institution according to the latest figures, had gross of $16,323,000 on December 20th, The bank was closely identified with the motion picture industry in New York and two directors are active figures in the film world. ANOTHER MIAMI CLOSES MIAMI BEACH Dec. 23. The City Bank of Miami Beach was closed to-day to protect depositors, officials announced, after run on the bank yesterday. The city bank had capital stock of $100,000 and of approximately $600,000. The City National Bank of Miami was closed yesterday. CLOSE IN HARTFORD HARTFORD Dec. 23 Hartford banks, the Riverside Trust Company and Pallotti Andretta and Company, were suspended to-day by Bank Commissioner Lester E. Shippee, following runs both institutions. Pallotti Andretta and control the Riverside Trust ComThe state manual for 1930 gave the capital of the Riverside Trust Company as $400,000, surplus $600,000, undivided profits $24,229, savings deposits $643,805 and commercial deposits $3,185,455.10. B7SSEMER (Ala.). Dec. 23 The City National Bank the Bessemer Trust and Savings Bank failed to open to-day. RICHMOND (Va.), Dec 23 The state division of insurance and banking to-day the People's Bank of Gretna, Va., had


Article from The Macon News, December 23, 1930

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Two Alabama Banks Are Closed Tuesday BESSEMER Ala Dec 23 The City National and Bessemer Trust and Savings to open for business Tuesday and officials issued ing they were for the best of The Savings to its last report, had of and of with deposits of The City National at with surplus shown the last report and deposits of RICHMOND Va., Dec 23. The state banking today that People's Bank of had suspended was


Article from Sun-Journal, December 23, 1930

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TWO BESSEMER, ALA. BANKS ARE CLOSED BESSEMER, Dec. The National Bank the Trust Savings Bank failed open today. Officials they were "acting for the best interests of depositors."


Article from The Stuart News, December 23, 1930

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Miami Beach City Bank Shut Today MIAMI, Dec. 23. City Bank of Miami Beach, which underwent a heavy run yesterday following the closing of the City National of Miami, did not open its doors today. C. L. Clements, vice-president and cashier, said the institution would pay depositors 100 cents on the dollar. He said the bank was closed on order of state bank examiners to protect the assets. The City Bank of Miami Beach had a capital of $100,000, $50,000 surplus and deposits of $600,000. The September 30 statement of the lank listed its total resources at more than $1,000,000 and deposits of nearly $900,000 at that time. Meanwhile, Hugh H. Gordon, jr., president of the suspended City National Bank of Miami, was questioned privately today by State's Attorney Vernon Hawthorne, concerning three statements made at various times by C. Penney, New York capitalist, regarding his support of the bank. Gordon said before going into Hawthorne's office he would not comply with a request to produce the originals of telegrams sent by Penney April and June, assuring President Gorden and the depositors that he "stood squarely behind the bank." BESSKMER, Ala., Dec. 23. The City National Bank and BessemTrust Savings Company with total deposits of nearly $1,250,000 failed today.


Article from The Cincinnati Enquirer, December 24, 1930

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CHELSEA BANK Closes In New York. Small Institution Patronized By Theatrical Profession-Two Suspend In Hartford. New York, December 23-(AP)The Chelsea Bank and Trust Company, a small institution patronized mostly by theatrical people, was taken over by State Superintendent of Banks, Joseph Broderick, today following heavy withdrawals. Broderick said he closed the bank to preserve its assets for depositors. The institution operated seven offices. It owned the Chelsea Exchange Safe Deposit Company and the Chelsea Exchange Corporation, securities firm. The developed last night and this morning. Broderick said it was caused by rumors. Officials began an investigation of reports that malicious campaign was under way to injure banks by circulating false rumors. The Bank was a national and state depository, but not member the Federal Reserve or the New York Clearing House. It at $2,500,000. had deapproximately $18,000,000 and total resources of $23,000,000. Hartford Conn., December 23 Hartford banks, the Riv. erside Trust Company and Pallotti, Andretta & Co., suspended today by the Bank Commissioner following runs on both institutions which have been in progress since last July. Pallotti, Andretta & Co. control the Riverside Trust Company. The state manual for 1930 gave the capital of the Riverside Trust Company at $400,000, surplus $600,000, undivided profits $244,229, savings deposits $643,805 and commercial deposits $3,185,455.10. Miami, Fla., December 23-(AP)The City Bank of Miami Beach/ which underwent a heavy run yesterday following closing of the City National Bank in Miami, did not open this morning. The bank had capital stock of $100,000. surplus of $50,000 and deposits of $600,000 at the last call. Bessemer, Ala., December 23-(AP) The City National Bank and the Bessemer Trust & Savings Bank failed to open today. Official said they were "acting for the best interests of depositors.


Article from The Atlanta Constitution, December 24, 1930

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TWO BESSEMER, ALABAMA, INSTITUTIONS FAIL TO OPEN BESSEMER. Ala., Dec. The City bank the semer failed and officials saying they "acting for the best of National was capitalized $100,000 surplus $33,630 shown published report and deposits $800,160.


Article from The Boston Daily Globe, December 24, 1930

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are obliged to close our doors to protect The bank was established in 1888. Its deposits are estimated excess $2,000,000, mostly by small merchants in the TWO BANKS CLOSED IN BESSEMER, ALA BESSEMER, Ala, Dec The City National Bank the Bessemer Trust and Savings Bank failed to open today. Officials said they 'acting for the best interests of depositors. Virginia Bank Suspends RICHMOND, Dec 23 (A. P.)The Banking that the Peoples Bank of Gretna, Va, has suspended business. The bank capitalized at $50,000 and had deposits of $474,000.


Article from Chattanooga Daily Times, December 24, 1930

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NEW YORK BANK CLOSES FOLLOWING HEAVY RUNS NEW YORK, Dec. 23 (AP) The Chelsea Bank and Trust company, small institution patronized mostly by theatrical people, was taken over by State perintendent of Banks Joseph Broderick today following heavy withdrawals. Broderick said he closed the bank to preserve its assets for depositors. The institution operated seven offices It owned the Ohelsea Exchange Safe Deposit company and the Chelsea Exchange corpora ation. securities firm. The Chelsea bank was national and state depository but not a member of either the federal reserve or the New York clearing house It was capitalized at $2,500,000, had deposits of approximately $18,000,000 and total resources of $23,000,000. HARTFORD Conn., Dec 23 (AP) Two Hartford banks the Riverside Trust company and Palotti Andrea & Co., were suspended today by Bank Commissioner Lester E. Shippe following runs on both institutions The state manual for 1930 gave the capital of the Riverside Trust company. incorporated in 1907. as $400 000 surplus $600,000. undivided profits $244. 229.61, savings deposits $643.805 23 and commercial deposits $3,185,455 10. MIAMI, Fla Dec. 23 (AP) The City bank, of Miami Beach. which underwent heavy run yesterday following the closing of the City National bank in Miami, did not open this morning The bank had capital stock of $100,000. surplus of $50,000 and deposits of $600,000 at the last call. WASHINGTON Ga., Dec. 23 (AP) A notice the door of the National Bank of Wilkes county here today said the institution had been closed pending a meeting of the board of directors The bank was capitalized at $50,000 and assets were reported at $400,000 BESSEMER Ala. Dec. 23 City National bank and the Bessemer Trust and Savings bank failed to open for business today and officials issued statements saying they were acting for the best interests of depositors The Bessemer Trust according to its last published report had capital of $60,000 and surplus of $2,000. with de. posits of The City National was capitalized at $100.000. with surplus of $33,630 shown in the last published report and deposits of $800,150 JACKSON Miss. Dec. 23 The Bank of McCool. small Attala county institution. closed its doors today The bank. capitalized at $15,000 car. ried deposits of $100.000 with surplus listed by the banking department at


Article from Tulsa World, December 24, 1930

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YORK BANK FAILS OPEN ITS DOORS Eight Institutions Closed After Runs, to Save Small Depositors NEW state superintendent of banks, The today took posJoseph of the Chelsea Bank and session Trust Main at Fourth Last shopping day before Christmas! patronized actors and largely the theatrical business It others in apitalized has was of approximately deposits total resources of closing of the bank followed The on the institution which last and continued veloped this Chelsea Bank and Trust company The was founded in 1203 and offices. has When seven notice of Mr. Broderick's action was posted, 300 depositors branch in the Bronx tried to the doors. Santa recommends for cold days storm They swept aside a guard of dozen policemen momentarily. but the latter drew revolvera and drove Children's Zipper Suits crowd back. plate glass the in the bank entrance panel shattered. Several persons in the group were roughly handled. low priced RICHMOND, Va., Dec. 23 (A. for gifts state division of and banking today announced the Peoples Bank of Gretna, Fa., had suspended business. The Mothers of very young was capitalized $50,000 bank morning! tots, to 6 years old, will had deposits of Ramsey was president. appreciate one of these sturdy, warm suede suits. WASHINGTON, Ga., Dec. 23 (A. notice on the door of the They're especially good National Bank of Wilkes county for play because they fastoday said the institution had closed pending a meeting of ten so securely. board of directors. The bank capitalized at $50,000 and asThree piece set, leggings, A marvelous selection of sets were reported at $400,000. blouse and helmet. with HARTFORD, Conn., Dec. 23 (A. knit waistband and cuffs on blouse. Riverside Trust company and PalAndretta were Tan Red pended today by Bank Commissioner Lester E. Shippee, following Green Navy runs on both institutions which been in progress since last Copen Pallotti, Andretta & Co. own control of the Riverside Trust company. The state manual for 1930 the capital of the Riverside Trust company as $400,000. surplus $600,000. undivided profits $244.229. savings deposits $643,805. and commercial deposits $3,185,455.10. BESSEMER. Ala., Dec. 23 (A. City National bank and Bessemer Trust and Savings bank failed to open today. Officials they were "acting for the best interests of depositors. The City bank of Miami Beach, underwent heavy run yesterday following the closing of the City National bank in Miami, did not open this morning. Clements, vice president and cashier. said the bank closed at the order of state bank examiners to protect assets. The bank had stock of $100,000. and deposits of $600,000 at the Madeira embroidery, Italian cut work and burano inserts. choose herself! that started on the Were Now Were Now company yesterday after Well made, with plain 8 sets $15.50 announcement that the Bankers' Trust company had voluntarily edges. 26 8.95 7.17 40 15.95 12.76 sets closed its doors to conserve its as9.95 7.96 16.95 13.56 sets, began to subside today. Suntan Bisque Council of Ministers today proved proopsal prolonging the privilege of issuing currency by the of Italy until December 31. PHILADELPHIA, Dec. 23 (A. The private bank of M. Blitzsteen and company, Fourth Lombard streets, closed its doors account of heavy bank was established in 1888. Its deposits are estimated in of mostly by merchants in the neighborIt operates under exemption the private banking act of 1911 and therefore is under no or other governmental super-


Article from The Birmingham News, January 20, 1931

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BESSEMER BANK PLANS TO REOPEN With the declaration that the bank reopening the City National Bank which closed its doors protect president the aid officials in this task. The was attended friends officials tional semer forced doors Dec. declared regularities found with the could Resources the bank given deposits loans the bank. Steps reorganization mittee Dr. Snider Bryan, and W. secretary. favored bank and agreed their posits, $125,000, reserve to offset any resources may result from the reorganization. to sell stock in the and Johnston, committee get with depositors composed Bruce Leggett John Neal.


Article from The Birmingham Post, February 18, 1931

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BESSEMER BANK TO BE REOPENED City National Financing Almost Completed Re-opening of the City National practically bank of assured with the the field Wedin nesday cleaning up the necessary for the $150,000 plans will be Re-organization the has not been set. The ing date committee, headed working with W. W. Elhenny, of the closed bank, expected to finish refinancing Wednesday The state department recommended the re-opening and specified $150,000 pledge. The money raised tirely Besesmer business men, Mr. Hollingsworth stated The bank was closed in Decemthreatened "run" followber by ing the closing of another stitution in Bessemer.


Article from Birmingham Post-Herald, September 2, 1931

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OUT OF DEFUNCT BESSEMER BANK Depositors To Get Cut Of 25 Per Cent; $135,000 Total Involved Ala., Sept. 1-Divisecretary the and approximating $135,000 Goode, member of the State dend checks depositors of the Board of Agriculture. will ready for Copies Dispatched defunct City National Bank of BesCopies telegram dissemer between Sept. 15 Oct. Salmon. for the tural leaders North Carolina. Jacob Institution. announced Tuesday. South Carolina. Georgia, Florida, Tennessee. Oklah The checks. 25 per California and Arizona cent dividend. have been urging they appeal Texas Mr. for by support such program. signature of the comptroller of cur- group the rency. ferred Miller of this amount in consideration decides Bessemer section bank special Alabama closed doors Legislature. The governor declined


Article from The Birmingham Post, September 28, 1932

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STOCKHOLDERS SUED BY BANK RECEIVER Jacob A. Salmon, receiver for the City National bank at Bessemer, filed suits in federal court Tuesday against five stockholders of the defunct bank in an effort to collect the amount of the par value of their stock. Salmon bases his suit on the individual liability clause of the federal reserve act. Named in the suits are B. B. Waldrop, $1,000; J. Glenn, $500; A. G. Parsons, $1000; C. Pope, $2,000, and J.C. B. Gwin, $21,000. Salmon also asks eight per cent interest since May 11, 1931, when the United States comptroller of cutrency assessed stockholders the total amount of the $100,000 capital stock. The bank closed Dec. 30, 1930. Its capital stock's par value is $100 a share.