Citizens Savings Bank (Anita, IA)

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Heavy Withdrawals Cause Anita Bank to Suspend Operations Atlantic, Ia., May 13.-(Special Telegram.)-The Citizens Savings bank of Anita did not open its doors for business this morning. Slow collections made it \impossible for the institution to Maintain a sufficient supply of cash to meet its requirements. The last few days there has been a steady withdrawal of funds by depositors. Collections were not ample to replace there, it is said. The depositors will be paid 100 cents on the dollar, a statement ty President Byron D. Forhsay said. The bank carries a large amount of paper given by farmers. Because of low prices the latter have been unable to liquidate their indebtedness. This crippled the bank. President Byron D. Forshay has been engaged in the banking business at Anita for the last 30 years. D. R. Forshay, son of President Forshay, is vice president, and Ed L. Newton, former member of the legislature, is cashier. The capital of the Citizens Savings bank is $50,000, with a surplus of $25,000. Deposits which were $700,000 a year ago have fallen to $450,000, it is said.

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ANITA BANK IS CLOSED However Bank Will Pay All Claims in Full At An Early Date. The citizens, Savings bank of Anita did not open its doors for business Thursday morning. Slow collections made it impossible for the institution to maintain a sufficient supply of cash to meet its requirements Within the last few days there has been a steady withdrawal of funds by depositors. Collections were not ample to replace these, it is said. "The depositors will be paid 100 cents on the dollar," was the statement of President Byron D. For shay. The bank carries a large amount of paper given by farmers. Because of low prices the latter have been unable to liquidate their indebtedness. This crippled the bank. Within the last two weeks other banks came to the assistance of the Citizens' Savings bank and advanced it money. The drain from withdrawal of deposits was too great however. Wednesday night the officials and directors decided not to open the following morning. The bank will liquidate to the last dollar, is the statement of the officials It has sufficient paper outstanding to do this. The president, Byron D. Forshay, has been engaged in the banking business for the last thirty years. He originally was in business with Senator James E. Bruce and the late Senator John C. Voorhees. D. R. Forshay, son of President Forshay, is vice president. Ed L. Newton, former member of the legislature, is cashier. The capital of the Citizens, Savings bank is $50,000, with a surplus of $25,000. Deposits which were $700,000 a year ago, have fallen to $450,000, it is said

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Domestic The Citizens' Savings bank at Anita, In., capitalized at $50,000 and in existence for 30 years, failed to open its doors, due to inability to realize on farmers' securities, Benny Kauff, suspended Glant outfielder, was acquitted by a jury in General Sessions at New York on an indictment charging him with the larceny of an automobile December 8, 1919. Plans are under way for reorganizing the International Fur exchange at St. Louis, according to a formal statement from a committee of bankers representing the creditors of the concern. . Mrs. Jake L. Hamon, widow of the Oklahoma oil millionaire and politielan, is under the care of physicians in her home at Chicago, suffering from a nervous collapse. Six persons were killed when 12 freight cars piled up In a ditch at Eagle Flat, Tex, on the Texas and Pacific railway, according to a report made by train crews, * Miss Mary White, sixteen, only daughter of William Allen White, author and publisher of the Emporia Gazette, died of injuries received in a fall from 8 horse at Emporia, Kan. Her skull was fractured. A complete pardon was granted by, Governor Blaine at Madison, Wis., to John Dietz, restoring freedom to the "defender of Cameron dam" on the tenth anniversary of his conviction. First odds quoted on the big fight of July 2 between Dempsey and Carpentier were posted at Paris, Seven to four in favor of Dempsey were the figures. Officials of the International Fur Exchange at St. Louis announced a deficit of $9,202,437 in the finances of the establishment. A circular containing this information is being mailed to all stockhoblers. Sergt. Algoti Bloomquist and C. E. McCullough, cotton broker of Oklahomn City, were killed and Sergt. B. Grogan, Atlanta, Ga., was probably fatality injured in an airplane accident near the military reservation at Fort Bill, Okla

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Domestic The Citizens' Savings bank at Anita, In., capitalized at $50,000 and in existence for 30 years, failed to open its doors, due to inability to realize on farmers' securities, * Benny Kauff, suspended Glant outfielder. was acquitted by a jury in General Sessions at New York on an indictment charging him with the larceny of an automobile December 8, 1919. . Plans are under way for reorganizing the International Fur exchange at St. Louis, according to a formal statement from a committee of bankers representing the creditors of the concern. . * Mrs. Jake L. Hamon, widow of the Oklahoma oil millionaire and politiclan, is under the care of physicians in her home at Chicago, suffering from a nervous collapse. Six persons were killed when 12 freight cars piled up in a ditch at Eagle Flat, Tex, on the Texas and Pacific railway, according to a report made by train crews, * Miss Mary White, sixteen, only daughter of William Allen White, author and publisher of the Emporia Gazette, died of injuries received in a fall from 8 horse at Emporia, Kan. Her skull was fractured. A complete pardon was granted by, Governor Blaine at Madison, Wis., to John Dietz, restoring freedom to the "defender of Cameron dam" on the tenth anniversary of his conviction. * First odds quoted on the big fight of July 2 between Dempsey and Carpentler were posted at Paris, Seven to four in favor of Dempsey were the figures, Officials of the International Fur Exchange at St. Louis announced a deficit of $9,202,437 in the finances of the establishment. A circular containing this information is being mailed to all stockholders, Sergt. Algoti Bloomquist and C. E. McCullough, cotton broker of Oklaho ma City, were killed and Sergt. B Grogan, Atlanta, Ga., was probably fatality Injured in an airplane accident near the military reservation at For gill. Okla

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BANK TO BE RE-ORGANIZED Anita People Have Full Confidence in Bank Officials that Depositors Will Not Lose. Reorganization of the Citizens' Savings Bank of Anita which closed its doors on the morning of May 13, is seeming assured. Two-thirds of the capital of $75,000 proposed for the new bank has already been subscribed. The remainder will be subscribed at once, it is said. The reorganization is the result of a meeting held at the Masonic temple in Anita Saturday afternoor and which was attended by several hundren people, including stockholders and depositors of the Citizens' bank. Among those present were representatives of the state banking department. The reorganized bank will have working resources of $205,000, under the tentative plans of reorganization. This would include a $75,000 capital; $50,000 representing the stock liability of the stockholders of the Citizens' bank, and $80,000 capital and surplus of the latter. The new bank would take over the liabilities and assets of the Citizens' bank, thus doing away with the necessity of a receivership and also assuring the depositors of the Citizens' bank 100 cents on the dollar. Stockholders and depositors of the Citizens' bank are giving the plans for reorganization unstinted support. They are subscribing liberally to the capital of the proposed new bank. "There is not the slightest doubt but what the new bank will be a go," it was said. President Forshay, leaving his sick bed, appeared before the meeting Saturday afternoon and explained the situation as regards the closed bank. For the last few days Mr. Forshay has been confined to his home by a nervous breakdown.

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Bank Stockholders Forced to Shell Out

Anita, Ia., Sept. 1.—Stockholders of the Citizens State bank of this city have received notice of an assessment of 100 per cent against the stock, recently ordered by the state superintendent of banking, R. L. Leach.

A letter from the directors of the bank to the stockholders accompanying the order of the state superintendent explains that the Citizens State bank was organized for the express purpose of taking over the business of the Citizens Savings bank, in order to save the depositors from loss, and the entire community from hardships attendant on the closing.

The Citizens State bank bought outright the assets of the Citizens Savings bank, and it was the opinion of the bank examiners, who were in charge of the reorganization, and of the directors of both banks that the guaranty of $130,000 advanced by the old bank would more than cover the uncollectible portion of the notes purchased from the old bank. Many of these notes, however, were taken during the period of inflation and the makers are unable to pay.

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Bank Situation Improves

CLOSED IOWA BANKS NOT IN TABLE.

Note—Prior to 1923, bank failures were rare and when a state supervised bank occasionally suspended business a receiver for it was appointed by a district court, as receivers are still appointed for private and national banks. No systematic records were kept by any state official, such as are now kept, for banks which failed prior to 1923, hence the information about the state supervised banks listed here is not readily available as for the banks closed after 1922. For the same reason information concerning closed national and private banks was not available for the table. The list of banks closed but not in the table, from 1918 to June 30, 1922, is as follows:

1918. STATE BANKS. Town. Name of bank. Capital. Date closed. Conway Conway Savings $ 20,000 May, 1918 PRIVATE BANKS. Cedar Cedar Bank $ 10,000 Dec., 1918

YEAR ENDING JUNE 30, 1920. STATE BANKS. Carroll Carroll T. & S. $ 50,000 Apr. 24, 1919 Decatur Decatur State Savings 25,000 May 9, 1919 Hartley Iowa Savings 30,000 June 27, 1919

YEAR ENDING JUNE 30, 1921. STATE BANKS. aAnita Citizens Savings $ 50,000 May 13, 1921 Braddyville .. Farmers Savings 25,000 Nov. 5, 1920 Clarinda Clarinda T. & S. 75,000 Dec. 6, 1920 bElliott Elliott Savings 25,000 June 22, 1921 Harper Farmers Savings 15,000 Mar. 11, 1921 Marathon Marathon Savings 40,000 April 25, 1921 Onawa Citizens State 30,000 April 29, 1921 Rome Rome Savings 12,500 Mar. 23, 1921 Sioux City ... Union T. & S. 100,000 Feb. 16, 1921 Ulmer Farmers Savings 10,000 Mar. 1, 1921 PRIVATE BANKS. Jefferson City Bank July 20, 1920 Armstrong ... Emmet County bank Dec. 22, 1920 Percival Percival bank Dec. 28, 1920 Davis City ... Valley bank April 11, 1921 Lawton Farmers bank April 14, 1921 NATIONAL BANKS. Emmetsburg .. Emmetsburg National ... $ 50,000 March 1, 1921 cMilford Milford National 25,000 April 13, 1921 Marcus First National 50,000 April 14, 1921 aReopened as Citizens State. bReopened as Farmers State. cReorganized as Security National.

YEAR ENDING JUNE 30, 1922. STATE BANKS. Bevington Bevington Savings $ 10,000 Curlew Citizens Savings 15,000 Nov. 25, 1921 Harris Harris Savings 30,000 Oct. 25, 1921 aLamont Farmers Savings 15,000 Sept. 22, 1921 bMassena Massena Savings 20,000 April 1, 1922 North Liberty North Liberty Savings .. 10,000 Aug. 22, 1921 Melcher Melcher State 25,000 May 20, 1922 Oto State Bank of Oto 25,000 Dec. 7, 1921 Sioux City ... American Savings 50,000 Nov. 5, 1921 Swaledale Swaledale Savings 15,000 Sept. 14, 1921 aReopened as Farmers State. bReopened as Massena State. PRIVATE BANKS. Grafton Farmers Exchange Bank Sept. 19, 1921 NATIONAL BANKS. aCherokee ... Security National $ 50,000 Feb. 11, 1922 bJefferson ... Farmers and Merchants .. 40,000 June 30, 1922 aReopened. bReopened.

far been held at a net cost of $184,000. The receiver is confident that this loss will more than be offset by receipts from sales of properties at advantageous times and the report states that had not the advances been made the assets would have been lost to creditors.