National Bank - Paola, KS

Bank Information

Episode Type: Suspension → Closure
Bank Type: national
Bank ID: 3795
Charter Number: 3795
Start Date: *
Location: Paola, Kansas (38.572, -94.879)

Metadata

Model: gpt-5-mini
Short Digest: e9a6f8b1

Response Measures

None

Receivership Details

Depositor recovery rate: 100.0%
Date receivership started: 1898-02-01
Date receivership terminated: 1899-12-26
OCC cause of failure: Losses
Share of assets assessed as good: 29.3%
Share of assets assessed as doubtful: 33.4%
Share of assets assessed as worthless: 37.3%

Description

Article (1899-09-20) states Lyman C. Gilmore was cashier of the National Bank of Paola which failed and describes alleged embezzlement. No explicit run is mentioned; failure appears tied to bank-specific malfeasance. No reopening or receivership date given in the article.

Events (3)

1. September 30, 1887 Chartered

Source: historical_nic

2. February 1, 1898 Receivership

Source: historical_nic

3. * Suspension

Cause: Bank Specific Adverse Info
Cause Details: Alleged embezzlement by the bank's cashier Lyman C. Gilmore; misuse/sale of collateral and pocketing proceeds led to bank's failure as reported in article. (Article does not provide specific suspension/closure date.)
Newspaper Excerpt: Gilmore ... was later cashier of the National Bank of Paola which failed
Source: newspapers

Newspaper Articles (1)

1. September 20, 1899 The Topeka State Journal Topeka, KS

Article from The Topeka State Journal, September 20, 1899

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Article Text

IS HE AN EMBEZZLER. Interesting Question Involved in Case of Lyman C. Gilmore. A habeas corpus proceeding filed in the supreme court Tuesday develops a peculiar story of the financial speculations of Lyman C. Gilmore of Paola who is now in jail to await the session of the district court in which he will be held to answer to charges of embezzlement. The supreme court fixed Gilmore's bond at $1,000 and he will be released from prison to await trial. The contention is that the statute of limitations has run against the crime with which he is charged. In 1894 Gilmore, who was later cashier of the National Bank of Paola which failed, associated himself with the firm of McBride and Bloom to engage in prospecting for gas at Independence. The business was not profitable at the outset and the firm claimed they had no money to put into the business. Gilmore did not care to put in any more money so he sold out to McBride and Bloom. He was to receive $6,500 for his share in the property. Gilmore was paid a sum of money in cash and the partnership agreed to pay him $500 monthly until the purchase price had been paid. The two men, McBride and Bloom, deposited as collateral security in the bank of which Gilmore was cashier, $6,500 of the stock of the gas company. By the time they had paid out the debt to Gilmore a rich find of gas was made and the $6,500 of stock held by Gilmore as collateral jumped until it was worth in the neighborhood of $25,000. At this stage of the proceedings Gilmore got into trouble. McBride and Bloom charge that Gilmore sold the collateral for several times it face value and pocketed the proceeds. He is now charged with embezzlement. Recently in the preliminary hearing Gilmore was bound over to the district court by a justice of the peace. In default of bond he was committed to jail from which the habeas corpus proceedings secured his release until the time of trial.