5916. Northrup Banking Company (Kansas City, KS)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
June 1, 1893*
Location
Kansas City, Kansas (39.100, -94.579)

Metadata

Model
gpt-5-mini
Short Digest
af4db2d630a96241

Response Measures

None

Description

The articles describe the Northrup Banking Company as a defunct/failed bank placed in receivership (Receiver Hovey). No contemporary run is described; the bank failed/suspended (~1893) and remained in receivership and liquidation. A creditors' meeting to settle affairs was scheduled for 1897; by 1900 the receivership was listed among those that had settled. Bank type not specified in articles. Dates are approximate where day is not provided.

Events (5)
1. June 1, 1893* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank had failed/was insolvent leading to suspension and placement in receivership; stockholders liable and estate litigation followed.
Newspaper Excerpt
the defunct Northrup bank; Since the failure of the bank, nearly three and a half years ago (Dec 1896)
Source
newspapers
2. December 16, 1896 Receivership
Newspaper Excerpt
AFFAIRS OF NORTHRUP BANK SOON TO BE WOUND UP. ... report of Receiver Hovey, of the defunct Northrup bank, filed its report yesterday. ... Receiver Hovey states that he will publish a notice ... to apply to Judge Alden for an order permitting settlement on January 4, 1897, at 10 a. m. (Kansas City Daily Journal, 1896-12-16).
Source
newspapers
3. January 4, 1897 Other
Newspaper Excerpt
meeting of depositors and creditors to ascertain their views and permit settlement on January 4, 1897, at 10 a. m. (from Dec 16, 1896 article).
Source
newspapers
4. February 19, 1900 Other
Newspaper Excerpt
The Northrup Banking Co., of Kansas City, the Pawnee County bank of Larned ... listed among banks that have settled with the creditors and gone out of liquidation (Topeka State Journal, 1900-02-19).
Source
newspapers
5. December 6, 1902 Other
Newspaper Excerpt
Andrew R. Hovey, former receiver of the Northrup Banking Company in Kansas City, Kan., fell on the street in a fit to-day and died on the way to a hospital (Indianapolis Journal, 1902-12-07).
Source
newspapers

Newspaper Articles (4)
1. December 16, 1896 Kansas City Daily Journal Kansas City, MO
Article from Kansas City Daily Journal, December 16, 1896

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Article Text

AFFAIRS OF NORTHRUP BANK SOON TO BE WOUND UP. COMMITTEE RECOMMENDATION. MEETING OF DEPOSITORS WILL BE HELD JANUARY 4 NEXT. Tables Turned Very Neatly on John Beeves, Who Was Sent to Jail in Default of Costs-Fight on the Gazette-Other City News. The investigation committee appointed some time ago by Judge Alden. of the district court, to examine the report of Receiver Hovey, of the defunet Northrup bank, filed its report yesterday. The committee was composed of F. H. Betton, C. K. Wells and V. J. Lane. In addition to examining the report of the receiver, the committee was instructed to appraise the assets of the bank, suggest some plan of settlement which would prove satisfactory to the depositors and debtors and bring about a speedy and final adjustment of its affairs. The committee reported unfavorably to a public sale, which was talked of some time ago, and recommended a plan whereby the depositors and debtors of the bank will be allowed to exchange their claims and accounts for notes, bonds, mortgages, judgments, certificates, real estate and all other property belonging to the bank. With a view to this plan of settlement. the committee, after careful inquiry. fixed a value on all the assets ranging from a nominal amount to a premium on some of the claims best secured. The committee further recommended that Receiver Hovey publish a statement outlining the plan of settlement and calling an open meeting of depositors and creditors to ascertain their views. The following is a brief statement of the present condition of the defunct bank: Amount of assets on hand at the time of suspensionCash on hand $ 57,977 51 Bills receivable 341,951 5 Other assets, real estate, bonds, etc 105,955 13 Total amount of assets $499,884.19 Liabilities 351,711 65 $148,172 53 Surplus assets over liabilities Total collected from assets $238,455.31 27,215 Less expense and taxes paid Balance left from collections $211,239 52 Amount of shrinkage in real estate values and in compromised settlements was estimated at $49,340.86. The balance of the assets on hand December 1, with interest, was placed at $294,248.59: less shrinkage. $129,662.89; balance due depositors, $143,518.17: surplus over liabilities to depositors, $21,1067.53. 1 Since the failure of the bank, nearly three and a half years ago, five dividends have been declared. four of which have been paid. They were as follows: Amount of dividend No. 1 $40,706.62 Amount of dividend No. 2 31,719 33 Amount of dividend No. 3 60,602 Amount of dividend No. 4 15,679 37 Amount of dividend declared but 2,592 36 not paid Amount of offsets and preferred claims allowed 54,776 91 Receiver Hovey states that he will pub-lish a notice to the depositors and creditors to the effect that he will apply to Judge 'Alden for an order permitting settlement on January 4. 1897. at 10 a. m., when all "parties concerned will be heard from. From present indications the affairs of the defunct bank will reach a final settlement in the near future.

2. January 26, 1897 Kansas City Daily Journal Kansas City, MO
Article from Kansas City Daily Journal, January 26, 1897

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Article Text

# THEY ASK FOR A RECEIVER. NORTHRUP ESTATE HEIRS WANT THE EXECUTORS OUSTED. Proceedings in the Jackson County Circuit Court Similar to Those in the Court of Common Pleas, of Kansas City, Kas. On December 24 last there was filed in the court of common pleas of Kansas City, Kas., a suit by certain heirs of the late Hiram M. Northrup against the executors of the estate, charging the latter with seeking to confiscate portions of the estate in order to escape their liabilities as stockholders in the defunct Northrup bank of that city, and asking for the appointment of a receiver to protect the interests of the heirs. A similar suit was filed yesterday in the circuit court of Jackson county, making substantially the same allegations and asking for the same relief. The suit was brought in order to protect the interests of the heirs in about $100,000 worth of property located at Independence and Charlotte and Independence and Olive streets in this city. The plaintiffs in the suit are Frank A. Northrup and Andrus B. Northrup, infant grandchildren and heirs of Hiram M. Northrup, who sue through their guardian, Lee C. Northrup; the Women's Benevolent Association, which was left $1,000 in the will of Hiram M. Northrup; Margaret Staley and Mattie Snyder who were each left $10,000, Lillie Northrup and others. The defendants are the executors, K. L. Brown and E. H. Lovelace, of Kansas City, Kas., and J. S. Chick, of this city; the Wyandotte tribe of Indians, which was left $5,000 in money: St. Margaret's hospital, which was left $1,600; Hiram M. Northrup, Jr., Kate V. Brown and others. The suit was filed by Trimble & Eraley, attorneys for the heirs and other plaintiffs. Judge Gates granted a temporary restraining order, returnable January 30, restraining the executors from instituting or carrying on any proceedings to sell any realty or paying out any money in their possession as assets of said estate; from commencing any suit or filing any application or petition for the sale of any real estate, or from collecting any rents from property in their possession as executors of said estate, or from acting in any capacity whatever as executors of the Northrup estate. The other defendants named in the petition are enjoined temporarily from prosecuting any claims against the estate or seeking to enforce any judgments against the estate. The gist of the charges against the executors, Brown and Lovelace, in the proceedings filed in Kansas City, Kas., of which those filed here yesterday are a counterpart, is that they were stockholders in the defunct Northrup bank, in Kansas City, Kas.; that to escape their liabilities as such stockholders they are seeking to sacrifice the assets of the estate. To prevent this sacrifice and confiscation of the assets of the estate, a receiver is asked for by the heirs and other plaintiffs. Among the assets of the estate was $52,000 of stock in the Northrup bank, since defunct, and it is charged that the executors were stockholders in the bank and entered into collusion with the bank receiver to confiscate the estate in order to settle up the affairs of the bank and thus escape their liabilities as stockholders. The will of Hiram M. Northrup, who was a pioneer of Kansas City, Kas., was probated March 31, 1893. By the terms of the will K. L. Brown and E. H. Lovelace, of Kansas City, Kas., and J. S. Chick, of this city, were made executors. Frank A. Northrup and Andrus B. Northrup, grandchildren of the testator, were given $20,000 each, which they were to receive when Andrus B. Northrup attained his majority. One-half of the remainder of the estate went to Milton C. Northrup; $5,000 was given to the Wyandotte tribe of Indians; $1,000 to St. Margaret's hospital; $3,500 to the executors to keep the Indian cemetery in Huron place in order; $10,000 to Lillie Northrup; $10,000 each to Margaret Staley and Mattie Snyder and valuable land in Nebraska. It is charged that the executors did not properly defend suits brought against them and that property was sold for $8,000 to satisfy judgments for $50,000. The executors are charged with receiving exorbitant sums for their services, while employes of the defunct bank and receiving large salaries as such. The appointment of a receiver is asked for who will be empowered to proceed against the executors and compel the stockholders of the bank to contribute toward the payment of its debts, instead of sacrificing the estate in settling up the affairs of the bank. The matter will come up before Judge Gates on Saturday of this week.

3. February 19, 1900 The Topeka State Journal Topeka, KS
Article from The Topeka State Journal, February 19, 1900

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Article Text

# BANK RECEIVERSHIP. Effort Being Made to Make Them Short and Less Expensive. The state bank commissioner has delivered to the attorney general a list of banks that have been placed in the hands of receivers since the creation of the banking law in 1893. The list includes 62 banks and so far as the bank commissioner has been informed, 50 of them are still in the hands of receivers and it is the purpose of Attorney General Godard to investigate the present condition of the receiverships and to require the receivers to show cause why they have not closed up their trusts and distributed the assets among the creditors. Attorney General Godard is opposed to the expense of long receiverships. He believes that with industry and good business methods receiverships in this day of prosperity and debt paying ought to be wound up speedily. It has been the custom of attorney generals heretofore to neglect this important duty to the depositors of liquidating banks and in consequence the receivers and their paid attorneys have by long delay not only consumed the assets largely, but have kept the funds on deposit in favorite banks and drawn the interest as their personal perquisite. Among the banks that have settled with the creditors and gone out of liquidation are: The Banks of Greensburg, the Bank of Hutchinson; the Northrup Banking Co., of Kansas City, the Pawnee County bank of Larned, B. F. Harpster's bank at Severance, C. H. Sawyer's bank of Scottsville, and the Leon Exchange bank. Of the Bank of Ness City, G. A. Borthwick, receiver, the bank commissioner in his letter to the attorney general, makes this interesting comment: "This receivership is in a peculiar condition. Mr. Borthwick was the cashier and principal owner of the bank. At the time the bank was closed the assets would not have paid 25 cents on the dollar, but Mr. Borthwick is engaged in the milling business and has been doing a profitable business and has applied every dollar of his earnings to the settlement of these claims. The court has permitted him to proceed in his own manner and as a result he is gradually paying off the entire indebtedness of the bank, and, in my judgment, will in time settle every dollar of the indebtedness."

4. December 7, 1902 The Indianapolis Journal Indianapolis, IN
Article from The Indianapolis Journal, December 7, 1902

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Article Text

# OTHER DEATHS. Mrs. Alice Freeman Palmer, Once President of Wellesley College. CHICAGO, Dec. 6.-Mrs. Alice Freeman Palmer, once president of Wellesley College, and formerly dean of women at the University of Chicago, died suddenly in Paris to-day, according to a cablegram received here by A. A. Sprague, whose niece was traveling with Mrs. Palmer. George Herbert Palmer, professor of philosophy at Harvard University, was touring Europe with his wife at the time of her death. KANSAS CITY, Dec. 6.-Thomas Jones, a well-known local lawyer, was found dead in bed here. The coroner decided that he died from natural causes. Mr. Jones was born in St. Lawrence county, New York, in 1859. At the time of his death he was vice president of the World's Christian Endeavor Association and formerly was president of the Missouri association. ST. JOSEPH, Mo., Dec. 6.-Willis M. Sherwood, aged eighty-six, a pioneer of Missouri and prominent in business circles, died here to-day after an illness of more than a year. He was prominently identified with the early history of the Territory known as the Platte Purchase. WASHINGTON, Dec. 6.-Advices received here announce that Mrs. Henry G. Davis, wife of the ex-senator from West Virginia and mother-in-law of Senator Elkins, died at Graceland, her summer home at Elkins, W. Va., to-day. SUSQUEHANNA, Pa., Dec. 6.-Mrs. Fanny D. B. Chase, wife of Simon B. Chase, is dead at her home at Hallstead. She was a national lecturer of the W. C. T. U. and author of a number of books on religion and temperance. KANSAS CITY, Dec. 6.-Andrew R. Hovey, fifty-five years of age, former receiver of the Northrup Banking Company in Kansas City, Kan., fell on the street in a fit to-day and died on the way to a hospital. NEW BEDFORD, Mass., Dec. 6.-Former State Attorney General Knowlton sustained a stroke of apoplexy at his home at Marion to-day. His condition is critical.