7872. First National Bank (Cheboygan, MI)

View Charter #3235 on SPMC

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
3235
Charter Number
3235
Start Date
June 11, 1930
Location
Cheboygan, Michigan (45.647, -84.474)

Metadata

Model
gpt-5-mini
Short Digest
d5672081d3aa84e1

Response Measures

None

Receivership Details

Depositor recovery rate
89.6%
Date receivership started
1930-06-12
Date receivership terminated
1934-08-27
OCC cause of failure
Fraud
Share of assets assessed as good
59.6%
Share of assets assessed as doubtful
38.7%
Share of assets assessed as worthless
1.7%

Description

Articles report a $303,000 shortage discovered at the First National Bank in Cheboygan, the suicide of the savings teller Clyde Milliken, closure by the board and placement in charge of an examiner (Henry F. Quinn) on June 11, 1930; by June 13 receivers had been named. This indicates a suspension followed by receivership (permanent closure). Cause is bank-specific adverse information (embezzlement/shortage).

Events (4)
1. August 6, 1884 Chartered
Source
historical_nic
2. June 11, 1930 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Discovery of a $303,000 shortage at the bank and the suicide of the savings teller, Clyde Milliken, prompting board-ordered closure.
Newspaper Excerpt
A shortage of $303,000 has been discovered in the First National Bank ... The bank has been closed by order of the board of directors and has been placed in charge of Henry F. Quinn, examiner.
Source
newspapers
3. June 12, 1930 Receivership
Source
historical_nic
4. June 13, 1930 Receivership
Newspaper Excerpt
Cheboygan bank's Bailey to face receivers named ... Harry F. Quinn ... had named receivers and ... Victory Sprague, president of the bank, today repeated assurances ... expects pay depositors ... commercial accounts amounted to $230,000 . (article discusses receivers being named.)
Source
newspapers

Newspaper Articles (2)
1. June 11, 1930 Cumberland Evening Times Cumberland, MD
Article from Cumberland Evening Times, June 11, 1930

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Article Text

LEADING BANK OF MIAMI FAILS TO OPEN (Continued from Page 1) and Trust Company, and the Bank of Coral Gables. J. H. Gilman. president of the bank. said today: "At meeting of the directors this morning. after with the state comptroller, it was decided not to open the bank and its affiliated institutions, the Biscayne Trust Company, Miami Beach Bank and Trust Company, and the Bank of Coral Gables, in order to protect all of our depositors to the fullest extent. "This decision was made after due consideration and was due to recent substantial withdrawals." Homestead. Fla., June 11. (AP) The Bank of Homestead closed its doors at 10 a. m., EST.. today, after opening for short time. Assistant Cashier H. Grady Smith said the bank was in good condition and that suspension of business was but temporary, taken for the purpose of avoiding local bank run on account of bank failures today in Miami. He said the bank expects to open in a few days. Cashier Suicide: Bank Closes Cheboygan, Mich.. June 11, (AP) A shortage of $303,000 has been discovered in the First National Bank whose savings teller. Clyde Milliken suicide, Monday night. The bank has been closed by order of the board of directors and has been placed in charge of Henry F. Quinn, examiner.

2. June 13, 1930 The Flint Journal Flint, MI
Article from The Flint Journal, June 13, 1930

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Article Text

CHEBOYGAN BANK'S BAILEY TO FACE RECEIVERS NAMED FIRST WITNESSES Cheboygan, Mich., June been pointed to the fairs the First National bank here which Wednesday after shortage of discovered the savings ment, the Clyde Milliken, committed suicide. Harry F. Quinn, porarily said that had notified the comptroller of the had named receivers and that their way not advised of their Victory Sprague, president of the bank, today repeated assurances that the expects pay depositors more than and were commercial accounts amounted to $230,000. Detroit, June The first witnesses against John Balley, charged with ob. taining by false from Union Investment Co., were ready take the stand in recorders court today. Louis Weitzman, assistant prosecuting said the four will be clerks finance company are alleged Bailey for part the between April state will attempt to prove that Bailey obtained the money from the finance company on the basis of fictitious automobile and their resultant financing by the company, the listing of used cards as new and the two financing operations on only one automobile.