661. Nogales Building and Loan Association (Nogales, AZ)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
May 23, 1934
Location
Nogales, Arizona (31.340, -110.934)

Metadata

Model
gpt-5-mini
Short Digest
b41a9e78

Response Measures

None

Description

The Nogales Building and Loan Association was placed in receivership/insolvent in May 1934 (receiver Y.C. White). Articles attribute insolvency to Arizona mortgage moratorium legislation, slow Home Owners' Loan Corporation action, illiquid real-estate assets and general local economic conditions. No evidence of a depositor run is reported in the provided items; the institution was adjudged insolvent and placed in receivership, i.e., permanent closure. Subsequent 1935 notices concern the receiver's actions (tax assessment, court matters).

Events (3)
1. May 23, 1934 Receivership
Newspaper Excerpt
The Nogales Building and Loan Association ... went into receivership late yesterday and Y.C. White, state superintendent of banks, was named receiver for the institution. Receivership followed after receipt of a letter from the banking superintendent called upon the association to pay into its treasury $24,289.56 ... directors yesterday confessed insolvency before Judge Fred W. Fickett ... and turned the institution over to Y. C. White, state banking head.
Source
newspapers
2. January 12, 1935 Other
Newspaper Excerpt
A written objection had been filed with the Clerk, by Mr. J. V. Robins, attorney for the Receiver of the Nogales Building and Loan Association. Mr. Y. C. White, State Bank Examiner, and on this 12th day of January, 1935...
Source
newspapers
3. August 24, 1935 Other
Newspaper Excerpt
Y. C. White, superintendent of banks of the state of Arizona, is the receiver of the Nogales Building and Loans Association, an insolvent building and loan association, which was adjudged insolvent on May 23, 1934. The land and real estate owned by said building and loan association was assessed for taxation for the years of 1933 and 1934.
Source
newspapers

Newspaper Articles (3)
1. May 26, 1934 The Border Vidette Nogales, AZ
Article from The Border Vidette, May 26, 1934

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Article Text

OLD LOAN FIRM OF CITY GOES IN LIQUIDATION (Thursday's Herald) The Nogales Building and Loan Association, established in 1894, went into receivership late yesterday and Y.C. White, state superintendent of banks, was named receiver for the institu tion. Receivership followed after re ceipt of a letter from the bank ing superiotendent called upon the association to pay into its treasury $24,289 56 to provide for losses sustained on real estate owned and mortgage loans. Directors of the organization said they could not meet the de mand and attributed the receiver ship to the Arizona mortgage moratorium act passed by the Eleventh State legislature; to the slowness of the Home Own. ers Loan corporation in Arizona for delays including loans on which applicants had ceased pay ing their monthly installments; to the impossibility of convert ing real estate owned, valued at more than a hundred thousand dollars, into cash without great sacrifice, and to the general eco nomic condition of the commun ity. The resources of the company include $128,000 in loans: $106, 000 in real estate owned, $14.000 in real estate contracts and $14,000 in delinquencies. Liabilities include $237,000 in stock: $30,000 in sundry accounts and $6,000 in a reserve. These figures are approximate. 40 Years Service The organization started its career 40 years ago in 1894. For many years, in fact until the last year. the association flourished paying as high as 12% in divid ends to its stockholders for many years. Hundreds of local houses were constructed by the aid of the as sociation and its demise will be felt with regret by many local citizens. Unable to cope with the pre sent economic depression and to loosen up its frozen assets in the form of real estate owned, or to collect monthly morgage pay ments, the association's directors yesterday confessed insolvency before Judge Fred W. Fickett, who came here from Tucson to act for Judge Charles L. Hardy, who is vacationing in Mexico, and turned the institution over to Y. C. White, state banking head. According to the directors of the association the slowness of the Home Owners Loan Corpora tion in Arizona in closing Santa Cruz county application went far in closing the doors of the asso ciation. It is stated by directors that 43 homes owners whose homes were mortgaged to the

2. February 26, 1935 Nogales International Nogales, AZ
Article from Nogales International, February 26, 1935

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Article Text

Wt. $ 20.00 20.00 Wt. No. 2-Augustine Ashford, Road work 20.00 Wt. No. 3-Fred Teyechea, Road work 15.00 Wt. No. 4-Geo. Bercich, Road work 19.25 Wt. No. 5-H. J. Karns, Road work 43.87 Wt. No. 6-East Side Garage, Road supplies 140.76 Wt. No. 7-Standard Oil Co., Road supplies 2.74 Wt. No. 8-Evans Mercantile Co., Road supplies 5.00 Wt. No. 9---Benett Moson, Road work 33.22 Wt. No. 1-H. J. Brown, Sheriff, Office expense 27.21 Wt. No. 2-Wm. G. Simonton, Clk. Bd. Supv's., Office expense 30.00 Wt. No. 3-Treasurer Santa Cruz Co., Court orders 150.00 Wt. No. 4-Cheshire Bros. Motor Co., Auto Service 300.00 Wt. No. 5-G. R. Michaels, Com. Immigration 1.00 Wt. No. 6-Nogales Plumbing & Electric Co., Jall expense Wt. No. 7-Walker Transfer & Storage Co., Drayage Election 10.75 Supplies Wt. No. 8-Nogales Herald, Supplies 17.25 7.53 Wt. No. 9--Western Union Tel. Co., Telegrams Wt. No. 10-C. T. Jones, Feeding Prisoners 54.00 3.47 Wt. No. 11-J. D. Halstead Lumber Co., C. H. supplies Wt. No. 12-Vic Wager Ins. Agency, Premiums on Official Bond 215.00 140.00 Wt. No. 13-Carroon Mortuary Co., Burial Indigent Dead Wt. No. 14-Owl Drug Store, Medicines 66.90 22.14 Wt. No. 15-International Drug Store, Medicines 5.00 Wt. No. 16-Pathological Laboratory, Medicines 5.00 Wt. No. 16-Pathological Laboratory, Medicines 4.10 Wt. No. 17-Dr. W. F. Chenoweth, Traveling Co. Phy. 5.00 Wt. No. 18-Dr. T. B. Fitts, Hospital & Traveling Co. Phy. Wt. No. 19-Dr. A. L. Gustetter, Hospital 6.00 106.60 Wt. No. 20-St. Hoseph's Hospital, Care Indigent Sick 30.00 Wt. No. 50-Secy. Knights of Pythian, Lodge Refund License Upon motion duly made, seconded and carried, the Treasurer was ordered to transfer the sum of $2,330.60 from the general fund to the expense fund. There being no further business to come before the Board at this time they recessed to meet on January 12th, 1935, in regard to an alley abandonment and to attend to other business. Attest: WM. a. SIMONTON, W. H. HATHAWAY, Clerk. Chairman. Office of the Board of Supervisors, Nogales, Arizona. Jan. 7th, 1935. The Board met pursuant to recessed meeting of Jan. 8th, 1935. Present W. H. Hathaway, Chairman, R. T. Frazier, Jr., and John A. Jones, members; Wm. G. Simenton, Clerk The Clerk now informed the Board that this is the day for the hearing in the matter of the abandonment of a certain alley in Block 14, of the North Morley Avenue Addition to the City of Nogales. The Clerk also informed the Board that a written objection had been filed with the Clerk, by Mr. J. V. Robins, attorney for the Receiver of the Nogales Building and Loan Association. Mr. Y. C. White, State Bank Examiner, and on this 12th day of January, 1935, (Turn To Page 5)

3. August 24, 1935 Nogales International Nogales, AZ
Article from Nogales International, August 24, 1935

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Article Text

The board of supervisors will be forced into court as a result of a letter delivered to the board by the defunct Nogales Building and Loan Association. The letter requests the board to remove its property from the tax roll. It is claimed the law provides that taxes on building and loan associations should be collected from stockholders as a personal property tax. The letter follows: "Members of the Board Of Supervisors, "Gentlemen: The undersigned, Y. C. White, superintendent of banks of the state of Arizona, is the receiver of the Nogales Building and Loans Association, an insolvent building and loan association, which was adjudged insolvent on May 23, 1934. The land and real estate owned by said building and loan association was assessed for taxaton for the years of 1933 and 1934. Chapter 110 of the Session Laws of Arizona provides that in case of banks and building and loan associations the shares of stock shall be assessed and taxed as other property. For such reason, the attempted assessment of the properties belonging to the association is without any ef-