6719. Valley State Bank (Hutchinson, KS)

Bank Information

Episode Type: Suspension → Reopening
Bank Type: state
Start Date: February 11, 1896
Location: Hutchinson, Kansas (38.061, -97.930)

Metadata

Model: gpt-5-mini
Short Digest: 6358b7a8

Response Measures

None

Description

Bank was closed by the Kansas State Bank Commissioner in mid-February 1896 (ordered suspension and examiner/receiver took charge). Articles mention prior steady withdrawals but no described depositor run (no crowds). Later articles (end of March/early April 1896) report reorganization plans and that business could be resumed by mid-week, indicating reopening after suspension.

Events (4)

1. February 11, 1896 Suspension

Cause: Government Action
Cause Details: Ordered closed by State Bank Commissioner Breidenthal after being notified bank was in serious trouble; commissioner took charge and posted notice; deposits had fallen to about $11,000.
Newspaper Excerpt: The Valley State Bank of Hutchinson, one of the largest financial institutions in central Kansas, closed its doors today at the order of the state bank commissioner.
Source: newspapers

2. February 13, 1896 Receivership

Newspaper Excerpt: Mr. Bridenthal arrived on the Rock Island train and took possession. On Tuesday morning he posted a notice saying that a receiver would be appointed at once / 24 receiver would be appointed at once (reported Feb 13).
Source: newspapers

3. March 31, 1896 Other

Newspaper Excerpt: the officers of the Valley state bank of Hutchinson, which was recently closed, that the affairs of the bank were being so arranged that business could be resumed by the middle of this week. (Topeka/Abilene report Mar 31-Apr 2).
Source: newspapers

4. April 2, 1896 Other

Newspaper Excerpt: Prominent capitalists will reorganize the recently suspended Valley State bank at Hutchinson, Kan.
Source: newspapers

Newspaper Articles (14)

1. February 11, 1896 The Topeka State Journal Topeka, KS

Article from The Topeka State Journal, February 11, 1896

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HEAVY FAILURE. Valley State Bank at Hutchinson Closes Its Doors Today. BUTCHINSON, Feb. 11. The Valley State Bank of Hutchinson, one of the largest financial institutions in central Kansas, closed its doors today at the order of the state bank commissioner. Commissioner Breidenthal was notified that the bank was in serious troubie, and he immediately wired the officers of the bank to close their doors and post a notice informing the public that he was in charge of the bank. Commissioner Breidenthal informed the bank officials that he would leave for Hutchinson to take charge of the bank in person. W. E. Hutchinson is president of the bank and C. E. Wilby is cashier. The capitalstock of the bank is $100,000, and the statement of the condition of the bank made in December showed that it it at that time had liabilities amounting to $134,000, and assets which, if worth what was claimed for them, would aggregate $234,000. For some months there has been a steady withdrawal of deposits from the Vailey State bank. The deposits have fallen to $11,000. The bulk of the liabilities belong to eastern correspondents, who are, it is said, fully secured. There will be no loss to the depositors.

2. February 12, 1896 Morris Tribune Morris, MN

Article from Morris Tribune, February 12, 1896

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FINANCE AND TRADE. The first steel mill in the South will soon be operated at Fort Payne, Ala. Dallas business men have subscribed $10,000 to pay the Texas state fair debt. The Scotch oil combine has gone to pieces and the Standard Oil combine is again in control. A London dispatch says that it is rumored that an attempt will be made to corner cotton during 1895. The effect of opening the bond bids on the New York financial markets was to give everything a better tone. The Southwest Missouri lead and zinc report shows an increase in sale of the former; a decrease in the latter. The grain market review shows that fluctuation during the last week was aue more to manipulation than to natural causes. The Citizens' bank of Connersville, Ind., of which James N. Huston, extreasurer of the United States, is president, has suspended payment. Bank Commissioner Breidenthal has ordered the Valley State bank at Hutchinson, Kan., to close its doors and wired that he would be there to take possession.

3. February 12, 1896 The Wichita Daily Eagle Wichita, KS

Article from The Wichita Daily Eagle, February 12, 1896

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SUSPENSION OF A BANK Valley State Bank of Hutchinson Goes Up the Flume. The Valley State bank of Hutchinson failed yesterday. The News of that city speaking of the matter says: "The Valley State bank suspended business this morning and requested Bank Commissioner Briedenthal to take charge and close up the affairs of the bank. For several months there has been a steady withdrawal of deposits and the condition of the bank was well known locally 80 there was no excitement and the public feeling was only one of regret that the brave and straightforward fight which had been made by the officers of the bank had not proven sucessful. For several days they have declined deposits and explained the situation, working all the time for reorganization. Yesterday It was believed that this would be successful and the confidence In the bank officials and its business was manifested by over twenty leading business men who volunteered to subscribe stock in a reorganization. But last night the promised capital was refused except upon unfair conditions and the directors decided to put an end to the strain and took the action already referred to. There will be little loss or even temporary inconvenience to home people,as the customers' deposits had been reduced to $1,000, mostly in small amounts. The board of education had $8,000 which is fully secured and will cause no inconvenience. The county's deposit is drawn down to $15,000, and will be protected. Liabilities to eastern correspondents are fully secured and the bank has plenty of collateral to protect its depositors. The officers of the Valley State have labored hard to protect their customera. They have offered to sacrifice their own interesta,and have made one of the best fights ever put up to such a struggle. That they have not won is no fault of theirs, and they have fully deserved the confidence placed in them. Mr. Thompson, president of the bank in expressing the appreciation of the directors of the kind words and proffered assistance they have had, especially spoke of the First National and the St. John banks, both of whom were prompt in offering aid and were willing and ready to assist in securing the reorganization. Mr. Briedenthal will arrive on the Rock Island this evening. and the exact method of closing up, the business will then be decided upon, and the condition made public, though the latter has already been stated to those Involved and the officers of the bank have been at their posts all day today explaining the facts in the case to customers and friends. The only sentiment is one of regret that the proposed Five organization could not have been etfected and confidence that all deposItors and creditors will be fully natisfied. John Tucker of Derby was in the city yesterday. He says there is no coal under the ground level of the Arbans river and gives some scientific reasons for if

4. February 12, 1896 Omaha Daily Bee Omaha, NE

Article from Omaha Daily Bee, February 12, 1896

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TELEGRAPHIC BRIEFS. A receiver has been appointed for the Dickel Riding academy of New York. A Chinese inspector of the Treasury department has been located at Denver. The steam ligter Alfred Lister, sank Tuesday off Rockaway, N. Y. The crew was rescued. The Valley State bank of Hutchinson, Kan., has suspended. Deposits only amounted to $11,000. Company D of the Minnesota militia has gone to New Orleans to participate in the Mardi Gras exercises. Evidence is accumulating to show that H. Cranston Potter, whose body was found in the bay at San Francisco, was murdered. Miss Annie Maud Brewer of Salem, Mass., has been sentenced to seven year's imprisonment for killing her lover in a quarrel. Daniel Sullivan, a Fort Worth banker, has sued the Strahon-Hulton-Evans company of St. Louis for $250,000 damages, for writing matters tending to injury his credit.

5. February 13, 1896 Hutchinson Gazette Hutchinson, KS

Article from Hutchinson Gazette, February 13, 1896

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Mom. PROSPERITY! V i State Bank Suc.umbs | T. the Great Red Dragon W ich KNOWS ONLY GOLD. T... Institution now in the Hands of Com. Bride. that who will Wind up its Affairs. 100 V .lley State bank one of the ordes. banking houses in the city, on las l'uesday gave up the fight and closed its doors 1 notice was posted which informed the public that it was closed pending an exam Ination of the State Bank Commissioner. Mr. Bridenthal arrived on the Rock Island train and took possession. Oa Tuesday morning be posted a notice saying that 24 receiver would be appointed at once

6. February 15, 1896 The Dickinson Press Dickinson, ND

Article from The Dickinson Press, February 15, 1896

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NUBBINS OF NEWS. Items of General Interest Placed in n Few Lines. The Valley State bank at Hutchinson, Kan.. suspended business to-day. The suiran has invited the powers to recognize Prince Ferdinand of Bulgaria. Dispatches received in Madrid from Cuba say that 107 insurgents were killed in the recent lighting there. The depositors of the defunct City Bank of New Philadelphia, Ohio, which yesterday made an assignment will lose heavily. The aerolite which exploded over Madrid yesterday was seen over a large area, including Toledo, Saragossa and Vallodolid. At Leesburg, Ohio, the safe of the Leesburg bank was opened by explosives last night and all the money. amounting to $6,000, was taken. Dispatches received at Madrid from Havana say that the new captain general, Gen. Weyler, made an excellent impression with his speech of last evening. A large number of officers of the Salvation Army from five Western states have arrived in St. Louis to attend the midland congress which is now in progress. The Bartlett Hardware company and Warner Manufacturing company at Freeport, III., closed this morning under a confession of judgment aggregating $92,000. At Salem, Mass., Miss Annie Maude Brewer was sentenced to-day to serve seven years in the house of correction for killing Gideon W. Lattimer, Jr., of Lynn on Dec. 13, 1894. Crescendo, the great three-year-old of Nagle-Burke's Pueblo stable, will never face the starter again. He was so seriously injured that ever since he has not been able to stand up. Burglars last night opened the safe of Samuel A. Crocker & Co., dealers in surgical implements and dental supplies, Cinciunati, and carried a way between $2,500 and $3,000 worth of gold leaf. If Francis Schlatter, the divine healer who created such excitement in Colorado and New Mexico, is not now confined in the county jail at San Bernardino. Cal.. on a charge of vagrancy, there is a man in jail who certainly resembles him most remarkably.

7. February 15, 1896 Baxter Springs News Baxter Springs, KS

Article from Baxter Springs News, February 15, 1896

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# KANSAS STATE NEWS. The bank commissioner has closed the Valley state bank at Hutchinson. Miss Constance, second daughter of ex-Senator Ingalls, has gone on the lecture platform. Ephraim Hayden, a mulatto, recently killed John Duffy, white, in a quarrel at Valley Falls. Three policemen were recently bounced by the police board of Topeka for stealing beer from private cellars. Colean, the Fort Scott banker who pleaded guilty to embezzlement, was sentenced to five years in the penitentiary. Judge Munroe at Hays City has decided that any man, whether a member of the bar or not, can be elected a county attorney and can perform all the duties of the office except plead a case in court. The council of administration of the G. A. R. has fixed the date of holding the fifteenth annual encampment at Beloit, April 21, 22 and 23. The headquarters of the department will be at the Avenue hotel and will be established Monday, April 20. Gov. Morrill has appointed Maj. J. K. Hudson to be state printer until his successor is elected and qualified. This action was taken in view of the fact that according to the late decision of the supreme court in the state printership contest, some doubt was thrown upon Maj. Hudson's title to the office. At a recent meeting of the executive council at Topeka Samuel T. Howe was re-elected chairman of the state board of railroad commissioners for a three-year term. The term of Commissioner Joseph G. Lowe will expire in 1897 and that of James M. Simpson in 1898. The state council of the American Protective association, at its late session in Topeka, elected officers as follows: President, A. D. Hubbard, Topeka; vice president, S. S. King, Kansas City; secretary of state, G. W. H. Ross, Leavenworth; F. H. Barker, Kansas City, state secretary, and George Pickard, Kansas City, treasurer. The one crop about which the most inquiries are now coming to the Kansas state agricultural department, not only from Kansas, but from all the Mississippi valey, is Kaffir corn. The literature as to this valuable grain and forage plant is as yet quite limited, but Secretary Coburn says he will be glad to furnish applicants with such information as is available. Judge Alden, of Kansas City, Kan., grand chancellor of the Knights of Pythias for Kansas, said recently that the letter of the pope placing a ban on secret orders had not affected the pythian lodge in the state in the least. So far no Catholics had withdrawn from the order. There are six or more deputy chancellors in the state who belong to the Catholic church. Some time since Mrs. Fred J. Harris, of Junction City, received $3,000 insurance on her husband's life and placed it in bank. The money was then garnisheed on an old judgment. Judge Moore, of the district court, held that since it was the same money received on the insurance it was exempt from attachment under the new insurance law, which makes policies exempt. In the district court at Emporia Judge Randolph has decided that a chattel mortgage covering exempt property, not signed by the wife at the time of making, could not afterward be assented to by her; that the mortgage was void. He also decided that a chattel mortgage covering part exempt property, not signed by the wife, was void as to all of the property. Judge Dale, of the Wichita district court, is reported as having lately made the announcement that under no circumstances would he try any more liquor cases under the prohibitory law. His action was prompted by the fact that juries invariably return verdicts of acquittal, in some instances without leaving the box. Only one jury this term has been more than six minutes returning a verdict of acquittal in a whisky case. The supreme court has decided that "no court has the power to fix the time for the execution of a death sentence before the governor has named a day for carrying it into effect, when he refuses to issue a warrant for that purpose." This disposes of the much discussed Edwards county case, wherein it was sought to take Arnold and Harvey, the murderers of Mayor Marsh, of Kinsley, from the penitentiary and execute them without the warrant, which the governor refused to issue. The thirteenth annual report of the state board of railroad commissioners is a voluminous document and contains a fund of information for those who are sufficiently interested to wade through it a labyrinth of figures. The report shows a great falling off in the earnings of Kansas roads during the past year. The report says: "Of the 24 roads 18 are now in the hands of receivers and two others have in the not remote past been in like situation. Only two of the 26 roads making operating reports to this board paid a dividend for the year just closed, and these dividends were light, one 2¼ per cent. and the other 2¾ per cent." The board, however, is gratified at signs of betterment. The total number of employes of the various roads in the state is 81,054, a decrease for the year of 7,999. The total compensation paid to employes was $49,448,571.25, a decrease of $4,106.044.75. The house committee on public buildings and grounds have ordered a favorable report on the bill appropriating $130,000 for a public building at Topeka. Topeka promises to give the old soldiers a royal entertainment at their reunion in that city. The date for the state G. A. R. reunion in that city has been set for the week of September 28. The state sanitary commission, in fix-

8. February 18, 1896 The Topeka State Journal Topeka, KS

Article from The Topeka State Journal, February 18, 1896

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# SNAP SHOTS AT HOME NEWS. Ex-Coroner Bailey is riding a new bicycle. There is ohe woman locked up at the city prison. Judge Morton writes his legal documents on a typewriter. Sheriff Kepley is now called "Father Kepley" by his friends. Mrs. Frank Merriam is quite ill at her home on Euclid avenue. The street sweeper was at work on Kansas avenue last night. Susan B. Anthony is 76 years old today, and she is lively yet. There is a man in town whose name is Julius and his wife's Juliet. Bishop Vincent preached twice last Sunday to Topeka audiences. An average of eight tramps sleep at the police station every night. Albert Griffin is canvassing the city for his book on the financial question. There is a case of scarlet fever in the family of J. M. Blair, 1012 Prospect street, Dick Cooley says the St. Louis club will do early spring playing at Dallas, Texas. Councilman Elliot says less than any man in the city council, but what he says counts. A young Topeka lawyer, when asked what jurist he took as his ideal, pointed to himself. Every amateur photographer in Topeka has trained his camera on the new court house. The police are keeping their eyes on a number of small boys who are harassing young girls. The argument for a new trial of the Gaines case has been set for Thursday in the district court. The elevator in the new court house will not run until the district court moved in, March 2. The grounds around the Church of the Assumption are being graded ready for seeding to blue grass. When the county commissioners have a wall built around the new court house the people will rejoice. A Topeka man has written a drama with the death and funeral of W. H. Bossington's dog as a nucleus. Since December 1 Christ hospital has cared for sixty-two patients, of which nineteen were charity patients. Bank Commissioner Breidenthal is at Hutchinson on business connected with the defunct Valley State bank. Gormley's band has a new set of instruments that cost $1,400. The band is composed of forty-five members. Dave Naylor and his workmen are cutting down trees and burning brush on the south side of the state house square. David Henderson's Sinbad company will play a return engagement at the Grand opera house in this city February 28. About 4,000 tons of ice was stored in the ice house at the state insane asylum last week, mostly brought from Soldier creek. Jailer Hopkins says that he had not tasted liquor in six monnhs when he was tempted with the beer from Durein's cellar. The Swedish American Flambeau club endorsed three workmen for places on the state house grounds and they are now at work. The Masonic grand lodge is in session at Wichita and the A. O. U. W. grand lodge meets at Leavenworth the last of the week. The chief of police has a collection of pictures that he examines oftener than people generally look at photographs of their absent friends. Johnny Collingsworth went through Topeka Sunday without being arrested, but he locked himself in an apartment of the smoking car to do it. John MacDonald left yesterday for Jacksonville, Florida, to be present at the annual meeting of the national association of superintendents. The register of deeds and the treasurer have sketched pen and ink signs for the doors of their offices in the new court house. Signs are needed, The net profits from the charity ball were $408.70; $240 went to the Orphans' Home, $160 to the Associated Charities and a $10 special contribution for Mrs. Thorpe was turned over to her. If Chief Wilkerson hired a man to watch supposed burglars and would detect them in the act of robbing a house would the burglars go free becanse they were arrested on the evidence of a "spotter?" J. G. Knox wants to move his creamery from Hoyt to Topeka if some person will put up a suitable building and rent it to him, There is one a mile and half southwest of town. It was built for a creamery. For the second time within a month the fire department was last night at 8:45 called to the apartments of Miss Lou Ellsberry in the Hicks flats on West Sixth street, The chimney was burning out. No damage. Judge Hazen last night refused to interfere in the Washburn college dispute. He said "a court of equity ought to keep hands off and let them fight it out." It seems to be a case for the president of the college to settle. "I have no patience," said ex-Governor St. John to the railroad men Sunday, "with the man who will not take and work hard at the best position he can get, even if it only makes him a living;" and the railroad men applauded the sentiment. Mrs. Mary A. Cornelius, president of the Equal Suffrage association and chairman of the legislative committee of the Woman's Keeley league, has issued a circular to the legislators of Kansas with a view to securing state legislation to furnish pauper inebriates with the Keelex cure.

9. February 19, 1896 Morris Tribune Morris, MN

Article from Morris Tribune, February 19, 1896

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FINANCE AND TRADE. The Valley State bank, Hutchinson, Kan., is in the hands of the state examiner. The weekly New York bank state. ment shows an expansion of $3,100,000 in the loan account. H. M. Smith and Co., manufacturing jewelers of New York, have assigned to Edward V., Slausen. Heavy withdrawals of gold were made from the subtreasury at New York, presumably to make payments on bond purchases.

10. February 19, 1896 Semi-Weekly Independent Plymouth, IN

Article from Semi-Weekly Independent, February 19, 1896

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BREVITIES, Mrs. Eliza J. Nicholson, proprietress of the New Orleans, La., Picayune, died Saturday morning. She was suffering from the grip when her husband died, and the event so shattered her system that the disease developed into congestion of the lungs. Sarpy County officials arrived in Omaha with warrants to arrest all United States soldiers engaged in a prize fight in that county on Sunday. Over 100 of the privates at Fort Omaha are said to have witnessed the fight between two soldiers, who, it is alleged, fought for a purse put up by officers who were present. The fort commander denies that any officers were present. Frank J. Miller, a butler in the employ of J. L. Franklin, of San Francisco, Cal., shot and killed John Anderson, a burglar, and was himself shot through the neck and dangerously wounded. The dead thief was a sailor with a criminal record. A year ago an attempt was made to rob the Franklin residence. Miller kept the burglars out of the house, though frightfully beaten by them. A sensation was created at Springfield, O., by a dispatch from Leonardsburg, Delaware County, to the effect that Mrs. C. M. Powell, formerly a boarding house keeper at Springfield, had been arrested there. She is charged with poisoning T. S. Maloney's two children, who died; his wife, who recovered, and also Prof. Van Sickle, who died in Mrs. Powell's house last December and was buried at Gallipolis. Mr. Maloney makes the charges. Henry Vine, a tinsmith at Omaha, wrote Henry Segal at Ladd, Ill., announcing that he intended to commit suicide Feb. 15. Segal sent the letter to the police, who found Vine and took him before the captain. Vine said he had written the letter and had nothing to retract. If he wanted to commit suicide he would do so regardless of the police. He is a single man. His landlady says Vine had been very despondent, owing to sickness and want of employment. The Hutchinson, Kan., Hardware Company, one of the largest concerns of its kind in Central Kansas; was closed by mortgage. John W. Woods, its manager, was connected with the Valley State Bank, which recently failed and the latter is supposed to have involved the hardware company. Liabilities, $21,000; assets, $45,000. The Exchange Bank of David Wilson & Co. assigned at Flemingsburg, Ky., to R. K. Hart and Robert Sourley. The estimated liabilities are $70,000, with assets of over $100,000. The bank will more than pay out.

11. February 22, 1896 The Madisonian Virginia City, MT

Article from The Madisonian, February 22, 1896

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FINANCE AND TRADE. Dallas business men have subscribed $10,000 to pay the Texas state fair debt. The Scotch oil combine has gone to pieces and the Standard Oil combine is again in control. A London dispatch says that it is rumored that an attempt will be made to corner cotton during 1895. The effect of opening the bond bids on the New York financial markets was to give everything a better tone. Dispatches received at Madrid from Cuba say that 107 insurgents were killed in the recent fighting there. The Southwest Missouri lead and zinc report shows an increase in sale of the former; a decrease in the latter. The grain market review shows that fluctuation during the last week was due more to manipulation than to natural causes. The Citizens' bank of Connersville, Ind., of which James N. Huston, extreasurer of the United States, is president, has suspended payment. Bank Commissioner Breidenthal has ordered the Valley State bank at Hutchinson, Kan., to close its doors and wired that he would be there to take possession.

12. February 29, 1896 The Madisonian Virginia City, MT

Article from The Madisonian, February 29, 1896

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FINANCE AND TRADE. The Valley State bank, Hutchinson, Kan, is in the hands of the state examiner. The weekly New York bank statement shows an expansion of $3,100,000 in the loan account. H. M. Smith and Co., manufacturing jewelers of New York, have assigned to Edward V. Slausen. Heavy withdrawals of gold were made from the subtreasury at New York, presumably to make payments on bond purchases.

13. April 2, 1896 Abilene Weekly Reflector Abilene, KS

Article from Abilene Weekly Reflector, April 2, 1896

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KANSAS BANKS IN TROUBLE. One Needs N Receiver and \nother Stuggies to EBcap» the Officials. TOPEKA. Kan., March 31.-Assistant Attorney-General Godard has returned from Goodland, where he went to ap. ply for a receiver for the Sherman County state bank. Those interested were unable to agree upon a receiver, and the choice was left with District Judge Smith. Bank Commissioner Breidenthal has been notified by the officers of the Valley state bank of Hutchinson, which was recently closed, that the affairs of the bank were being so arranged that business could be resumed by the middle of this week.

14. April 2, 1896 Abilene Weekly Reflector Abilene, KS

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NEWS NOTES. The report of the death of President Hippolyte, of Hayti, has been confirmed. Prominent capitalists will reorganize the recently suspended Valley State bank at Hutchinson, Kan. The Vose block at Machias, Me., containing a large number of offices, was burned on the 26th. Loss, $175,000, Robert Mantell, the actor, was married in Chicago on the 26th to Mrs. Charlotte Hulen, the leading lady of his company. At the M. E. conference at Wichita, Kan., Bishop Andrews advised the ministers not to meddle with the temperance question. The shops of the Baltimore & Ohio Southwestern at Washington, Ind., have been closed, throwing 400 men out, of employment