Accommodated withdrawals, Borrowed from banks or large institutions, Fed/other loan, Public signal of financial health, Full suspension, Books examined
Receivership Details
Depositor recovery rate
50.7%
Date receivership started
1930-11-21
Date receivership terminated
1941-01-15
OCC cause of failure
Governance
Share of assets assessed as good
36.6%
Share of assets assessed as doubtful
59.7%
Share of assets assessed as worthless
3.7%
Notes
Receivership/receiver (Cunningham) is explicitly reported after the closure.
Events (5)
1.June 28, 1907Chartered
Source
historical_nic
+23 years
2.November 20, 1930Run
Cause
Local Banks
Cause Details
Runs precipitated by failure/closing of the Central Bank and Trust Company and other local banks, producing heavy withdrawals at American National.
Measures
President Jenkins made a dramatic public plea; Federal Reserve funds (cash) were trucked in from Richmond to bolster reserves.
Newspaper Excerpt
the American National Bank here weathering heavy run
Source
newspapers
+1 day
3.November 21, 1930Suspension
Cause
Local Banks
Cause Details
Following the collapse/closing of the Central Bank and Trust Co. and runs on other local banks, the American National failed to open and was closed to protect depositors.
Newspaper Excerpt
The American National bank here failed to open today ... A note on the door said the bank had been closed to protect depositors.
Source
newspapers
same day
4.November 21, 1930Receivership
Newspaper Excerpt
B. Cunningham, receiver for the American National Bank, said the liquidation would not begin until completion of the audit of the financial records. ... The City of Asheville had only $7,396 deposited in the bank when it closed Friday, Nov 21. Cunningham, receiver for the closed American National Bank, is engaged in preliminary examinations of the financial records ... was named Comptroller of the Currency Pole on 21.
Source
newspapers
same day
5.November 21, 1930Receivership
Source
historical_nic
Newspaper Articles (24)
1.November 20, 1930The Advocate-MessengerDanville, KY
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BANK FAILURES
(United Press) LOUISVILLE, KY., Nov. Union Central Bank failed The today, making the sixth Louisbank to close this week and the twelfth in Kentucky. The Bank correspondent bank of the National Bank of Kentucky, also failed to open. Geo. Ewald, of the Union Central president Bank, said the closing is temporand that the bank is solvent.
Asheville Banks Close.
ASHEVILLE, Nov. Central Bank and Trust of Asneville, largest bank Company western North Carolina, and Bank, stitution, failed to open for They are state banks today. and partially owned by the interests. The American National Bank weathering heavy run noon.
Failure at Hendersonville.
HENDERSONVILLE, N. C., Nov. 20. First Bank and Trust Company of Hendersonville, institution, failed to open business today and the Citizens National Bank and the Bank and Trust Company immedclosed their doors to prevent runs, lines of depositors formThe latter two were declared solvent by officials.
Cold Wave On. Order that load REGAL. Farmers Supply Co. 169-tf
2.November 20, 1930The Daily ReviewClifton Forge, VA
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THREE BANKS IN OLD NORTH STATE FORCED TO SUSPEND
Asheville, Nov. Central Bank and Trust Company Asheville, the largest banking house Western North Carolina, the Bank, suburban institution, failed open for business today. They State banks and partially owned by the same interests. The AmeriNational Bank here weathering heavy at At not far from the Bank and Asheville, Trust State institution, failed for business today Citizens National Bank and Bank and Trust immediately closed their Company doors to prevent runs, long line depositors formed at the latter two. All the institutions named are said to be solvent.
3.November 21, 1930Messenger-InquirerOwensboro, KY
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COMMISSIONER CONFIDENT
Says Banks Open in Louisville are Solvent Louisville, Ky., Nov. 21.-W. A. Dicken, deputy state banking commissioner, said today he believed all Louisville banks not affiliated with those alr ady closed, were solvent. "If they were not," he said, "we would close them. Following the closing yesterday of two banks at New Albany, Ind., across the Ohio river from Louisville, other members of the New Albany Clearing House association met and pledged aid to each other should runs develop. The Crestwood bank, a small institution in a suburb of Louisville, did not open this morning.
HOPKINS BANK CLOSES Madisonville, Ky., Nov. 21. UP:The Hopkins County bank failed to open its doors here today. A brief statement by the board of directors said it had been decided to place Its affairs in the hands of the state banking commissioner in order to conserve its assets for its depositors, The bank. established in 1890, had deposits of $696,000 and resources of $865,000. A. R. Cummings, Jr., president, said the bank was solvent, but was closed as precautionary measure. The other three banks here proclaimed themselves in good condition.
ASHEVILLE BANK CLOSES Asheville, N. C., Nov. 21. (/P)The American National bank here failed to open today bringing the total number of banks to close in western North Carolina in two days to nine. The bank had deposits of $2,000,000.
4.November 21, 1930The Pittsburgh PressPittsburgh, PA
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REALTY NOTES CLOSE 6 BANKS
North Carolina Examiner Blames Failure to Liquidate Securties for Trouble
By The United Press
RALEIGH, N. G.-Closing yesterday of six banks in North Carolina was attributed today by John Mitchell. chief bank examiner. to failure to liquidate real estate securities acquired during an inflated boom period four years ago The affected institutions are The Central Bank and Trust Company. Asheville The Biltmore-Oteen Bank, suburban institute partly owned by the same Asheville interests. The Leicester, (N. C.) Bank, affiliated Trust with the Central Bank and Company The First Bank and Trust ComThe Citizens National Bank, Hendersonville. The American Bank and Trust Company, Hendersonville The Citizens and American Bank at Hendersonville were closed by directors after heavy runs resulting from failure of the First Bank and Trust The Asheville closing resulted in heavy runs on the American National Bank, controlled by the Central Bank and Trust Company, which were weathered successfully with aid of federal reserve funds sent by truck from Richmond, Va. L. Jenkins, president of the American National, said his bank was in good condition and would open today as usual, despite the Notices posted on the closing banks in Asheville indicated directors had decided to close to conserve assets for the benefit of depositors. Chief Examiner Mitchell emphasized the fact that the condition of banks generally throughout the state was excellent.
5.November 21, 1930Springfield Leader and PressSpringfield, MO
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SECOND ASHEVILLE BANK IS SUSPENDED
ASHEVILLE. N. C., Nov 21-(AP) -The American National bank here falled to open this morning, bringing the total number of banks to close in western North Carolina in two days to nine. A note on the door said the bank had been closed to protect depositors. On September 24, date of the last bank call, the American National listed deposits of $2,000,000. Failure of the Central Bank and Trust company of Asheville, fourth largest single bank in North Carolina, yesterday, precipitated a financial crisis in this section. Within few hours seven smaller banks had closed. More than $4,600,000 in city funds and $3,100,000 in county funds was tied up in the closing of the Central company, but city and county officials announced the greater part of the money was covered by col
6.November 21, 1930The Indianapolis TimesIndianapolis, IN
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ROOSTERS' CROWING ENJOINED BY COURT
Judge Orders Silence Until at Request of Sick Man. RIDGEFIELD. N. Nov. John tion not 10 George his sick bed fowls their had sleep became invalid. court studied his physician's affidavit and granted him an injunction.
Two North Carolina Banks Closed Nov. American National bank Asheville, with deposits nearly and the Citizens bank Bryson City, closed today, bringing ten the number banks to halt operations in this state two days.
Readjustment Now Over In Asheville Banks, Says Seely
Asheville's banking readjustcomplete and there is further to The time has come to the gist of statement Issued Friday L. director of the Wachovia Bank and Trust and of western North CareThe National Bank of have ered the storm wide margin spare, said His full: "There isn't the least cause pessimism over the happenings of the past 48 hours Asheville. far as the banking situasafe saying that the now and that there every reason Asheville to and the future. "The American National, which went through safely on Thursday and fully expected to this chose the safer course. of and the Southern bank are superb and are business as usual. Bank and Trust company, statement condition shows over twenty millions In cash, government and state bonds, In position ten-fold more than any Carolina could make "Less than half of the cash on hand Thursday morning was required for the day's business, but mark of and common sense in an emergency, where the become more or less one million dollars cash was brought by Federal Reserve truck at four o'clock yesterday afternoon, and another million cash came Insured and was placed the vaults at 8:30 this has not necess any of although have several where their banks that pressed demands "Wachovia bank has been dobanking trust business for more than and the people of North have faith in sincerity statement tried conand help them to build and sure they will now believe me say here for ages to come of strength the financial landscape the Land of Sky the Old North State. "Let's all to work in earnthe and let's try grow where one be-
8.November 22, 1930The Owensboro MessengerOwensboro, KY
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COMMISSIONER CONFIDENT
Says Banks Open in Louisville are Solvent Louisville, Ky., Nov. Dicken, deputy state commissioner, said today he believed all Louisville banks not affiliated with those closed, solvent. "If they were he said, would close them.' Following the closing yesterday of two banks Albany, Ind., across the Ohio river from Louisville, other members of the New Albany Clearing House association met and pledged aid to each other should runs develop. The Crestwood bank, small stitution in suburb of Louisville, did not open this morning.
HOPKINS BANK CLOSES Madisonville, Ky., Nov. The Hopkins County bank failed open its doors here today. brief statement by the board of directors had been decided to place its affairs the hands of the state banking in der to conserve its assets for its The bank. established in 1890. had deposits of and resources Cummings, said the bank was solvent, but was closed as precautionary measure. The other three banks here proclaimed themselves in good condition.
ASHEVILLE BANK CLOSES Asheville, Nov. The American National bank
9.November 23, 1930Evening StarWashington, DC
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RELIEF IS SOUGHT AS BANKS CLOSE Publie Funds of $8,000,000 Tied Up in N. C. County; Payments Suspended. By the Associated Press. ASHEVILLE, N. C., November 22.With more than eight million dollars of public funds tied up through the closing of three banks, the city of Asheville and Buncombe County today cast about for means of relieving a strained financial situation. Strictest Economy Ordered. The county, faced with greater difficulties, suspended all payments from its treasury until next week, while "strictest economy' was the word passed down the line to city employes. The county today had in banks open and operating, $483,000 while its deposits in three banks which closed were $3,404,203. In the Central Bank and Trust Co., largest bank in this section, the county had $3,007,000 when it closed Thursday. Thirteen other banks suspended operation following its closing. In the American National Bank and the Biltmore-Oteen Bank, two of them, the county had $263,203 and $134,000, respectively. City Money Has Collateral. Among the problems the county faces is meeting one interest payment of $102,000 on December 1 and another of $86,000 on January 1. Although the city had $4,653,112.42 in the Central Bank and Trust Co., its financial future appeared brighter than that of the county. "Every dollar that the city had in the Central Bank is secured by collateral," said Mayor Gallatin Roberts. TENNESSEE BANK CLOSED.
Bad Influence
Examiner Blames Frensy for Closing of Eight Banks
Nov. of the banking closed since the and Trust doors due Mitchell chief state examiner careful survey of the situation Western North Friday condition which brought on the failure of other three purely and the result the wake deflated real estate values coupled with the general business which current throughout the country he Both city and county have made arrangements to meet all payrolls and interest on notes due Decemher and the decision of the operation city and county being left open. Meanwhile the schools will carry on and It believed that for the of all educational work will be made. City and county ficials announced that while the economy will be maintained there will be no cutting off of employees salary slashes for the immediate present. The American National in Ashaville, weathered heavy run yesterday, did not open its doors morning addition, banks in City and Tryon closed. Other institutions port today result that deposits exceeded withdrawals in every The state bank officials arrived here early today and immediately conferred Darden B. state examinthe went to Waynesville, Bryson City and Hayesville to take charge of institutions in that group which had closed result of heavy withdrawals Two others went Hendersonville, Flat Rock and Tryon to up the closed institutions that while others visited the Bank of Leicester Auditors being at work in all the which taken to determine and report to the State full report assets and liabilities institution reports filed law the clerk court in the counties in which the banks are cated.
AUDIT SHOWS CONDITION OF CENTRAL BANK
(Continued from Page 1) their work, liquidating agents will be appointed to have charge of disposof the assets and payment depositors. Impossible to estimate how much the depositors will receive, explained This will depend upon the value of the securand collateral. Cunningham, receiver for the American National Bank, said the liquidation would not begin until completion the audit of the financial records. While he was unwilling to suggest possible date for completion the it believed the preliminary work will be finished this week.
Will Have Charge Mr will have charge of the liquidation and will be in complete charge of closed bank affairs the sary legal met. The liquidation of na. tional bank different from the course pursued in closing out the fairs state bank was explained. The state bank employs liquidating agents to handle the liquidation, while receiver appointed for national bank by the comptrollof currency. Mr. Cunningham associated with the comptroller's in Washington and paid by the government He was named Comptroller of the Currency Pole on 21. The federal agent was unwilling to discuss any details of the bank's uidation He that regulations prevented any until complete check the bank's flnancial records had been Such records will be filed with the court. Rumors Heard During the past week. rumors have been current throughout the city and county that the American National bank would reopen its doors in the near future Little credence given the report in banking circles however. Members of the board of directors of the bank expressed ignorance the plan, while the work of the federal agents ed The City of Asheville had only $7.396 deposited in the bank when It closed Friday. Nov 21 The county had 706 deposited there. The various federal governmental agencies had thousands of dollars on deposit there, but the exact amounts not available However, such funds were amply protected by U. and state bonds which were turned over to the authorities at Washington as guarantee of such deposits.
12.December 11, 1930The Journal TimesRacine, WI
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Banker Stays Run
President Checks Milling Crowd, Battling for Funds, by Personal Plea.
By Central Press ASHEVILLE. N. C., Dec. 11.Milling hundreds of hysterical men and surged about the lobby of the American National bank here during a financial crisis which caused 14 institutions to close their doors within 48 hours Tellers were counting out money as rapidly as possible, hoping against hope that something would occur to check what every banker dreads- run on the bank. The crowd outside the bank grew larger every minute as frightened depositors heard of the panic and joined the lines scrambling to get to the tellers' windows. Certain disaster for the big banking Institution loomed. Suddenly a short, thick-set man with piercing blue eyes and the square jaw of fighter climbed upon chair and raised a muscular arm dramatically above the throng. A thousand eyes saw the gesture. Excited shouting died to murmur of curiosity, then the murmur ceased. The crowd had recognized the with fighter's jaw. He L. L Jenkins, president of the bank, threatened with disaster because rumors concerning his institution's solvency had been spread following the closing of Asheville's largest bank. across the street.
A Dramatic Moment.
A friendly. boyish smile illuminated the and haggard face of the banker as the crowd turned to obtain a better view of him. He nodded at friends in the hysterical crowd. Then his jaws clicked. his eyes flashed with the fire that had brought him from farmhouse to the presidency of one of western North Carolina's most powerful and influential banking houses. "My friends,' President Jenkins said slowly, his voice filling the lobby of the see many of my personal friends have me for many years, and you know that am a man who keeps give you my word of honor that there is sufficient money en route to this bank to pay every man and woman in this throng cent that has been entrusted to this "I would rather lose cent of the fortune have built by a lifetime of labor and self-denial than to have one of you lose a dime. 1. ask you, as one friend to anotherdo not bring ruin. upon yourself. your community and the bank you have trusted years. Go outside. think things over calmly: then, If you wish, come back again and ask for your money. You will get Itevery cent of A tall man in the center of the crowd interrupted: "Fight 'em. Mr. Jenkins!" he shouted. "Stay in there and fight em!" -A smile flashed across the banker's face as he nodded. "I've been fighter all my life." he responded, "but today I'm not fighting-I'm begging. Begging my friends to give this bank. their community, themselves, square deal. I'm forgetting that I'm a banker. remembering only that am a citizen, a loyal citizen of this communIty. I have one request to make of my friends in this lobby. "Who will be first to lead the way out of the door into the street?"
Fate in Balance.
There was moment of tense silence. The banker knew that the fate of the bank he loved depended upon what would occur in the next 60 seconds. A thin, cracked voice smashed the silence. "I will! I believe you, Mr. Jenkins!" The speaker was a wizened old woman, whose life savings had been placed into Jenkins' keeping years before. With feeble steps the little old lady started toward the door, 30 feet way. Younger men and women opened up a path for her. Dozens of men and women, many with tears streaming down their cheeks, turned their faces away from the tellers' windows and followed their feeble leader out into the street. Her cheeks flushed with the thrill of achievement, the little old woman tottered straight ahead, on and on until her bent figure was lost in the maze of traffic.
Many Depart. The backbone of the run had been smashed. Many depositors grimly stuck to their places in line, but more had departed. Jenkins returned to his office, conscious that the American National bank would not close its doors ruined. The shades of evening found grimvisaged directors in session. Some of them had heard their president's dramatic appeal. Some of them had not. But all feared that another sunrise would bring another hysterical throng to the door. It was decided not to open the bank the following day But President Jenkins was confident the American National bank would reopen.
MAN BLINDED BY LIQUOR EXCUSED IN ALIMONY CASE CHICAGO, Dec. 11.-John Warren, 33, excused from paying yesterday pendIng settlement of his suit for divorce from Mrs. Catherine Warren. Warren led into the court room of Circuit Judge Trude by his father and mother. "My wife used to operate beer flat," Warren testified. "I drank some of her moonshine. It was poison and It made me blind. haven't been able to work for three years."
13.December 12, 1930Record-JournalMeriden, CT
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Banker Stays Run
President Checks Milling Crowd, Battling For Funds, By Personal Plea
By Central Press Asheville, hundreds hysterical men women surged about the the American National bank here during financial crisis which caused instituclose their doors within hours. were counting out money rapidly possible, hoping against hope that occur check what every banker the bank. The crowd outside the bank grew targer every minute frightened positors heard of joined the lines to get the tellers' Certain the big banking institution loomed. Suddenly short, with piercing blue eyes and jaw fighter climbed upon square raised muscular arm dramatically above the throng. thousand eyes saw the gesture. cited shouting died to murmur curiosity, then murmur ceased. The crowd had recognized the man the fighter's He president the bank, threatened disaster because rumors his institution's solvency had been spread following the closing of Asheville's largest bank, across the street.
Dramatic Moment friendly, boyish smile illuminated the haggard face of the banker crowd turned to better him. He nodded friends the hysterical Then his his eyes flashed with the fire that had brought him from humble farmhouse to the presidency of of western North Carolina's and ential banking houses. friends,' President Jenkins said slowly, his voice filling the see many of my personal friends here known for many and you know that man who keeps word. give you my word honor that there money route to this bank to pay every this throng every that has been entrusted this would rather lose every cent the fortune built by lifetime of labor and than one of you lose dime. friend not bring ruin upon yourself, your comand the you for years. Go outside, think things then, if you come back and ask for your money. You will get cent tall man in the center of the crowd interrupted: "Fight 'em, Mr. Jenkins!" he shouted. "Stay in there fight smile flashed across the face he nodded. been fighter all my responded, "but today I'm not Begging my friends give this bank their munity, square deal I'm forgetting that I'm membering only citizen. loyal citizen this community. request make of my friends this first lead the way of the door into the
Fate in Balance There moment of tense The banker fate of the bank loved depended would occur in the next cracked voice smashed the silence believe you, Mr. Jenk-
The speaker wizened woman, life savings had placed into Jenkins' keeping years before. With feeble the little lady toward the door. feet away. Younger and women opened path for her. Dozens and many tears down their cheeks, turned their from the tellers' windows and followed their feeble leader the street. Her cheeks flushed with the thrill
Will Play to Aid Unemployed committee be appointed to draft bill covering the necessary details. 2. was made business circles that the legislature point liquidating commission handle all the deposit held securities by the city and This it was pointed out, would save the and would provide some definite plan for liquidating more than 000,000 of deeds trusts and real estate bonds held by the two governments. Legislators to Confer 3. A conference will be held by the three Buncombe county legislators in the near future to arrive at some definite decision the on plan of government for Asheville and Buncombe county Representative-elect Howell favors city manager and county manager, while Benator-elect Bernard will support any legislation that will give the people "representative form government.' he announced. There some question whether the members the proposed city council should be named in the bill or elected by the people at the regular municipal election in April and May. This one of the problems to be threshed out, it was explained. 4. The audit of the Bank of Leicester will be completed next week. Jack Rogers, of sometime Statesville, has charge of this work The rumor that the Bank of Leicester will reopen was discounted in official circles today. It will be liquidated in the same manner prescribed for other closed banks of this Another two weeks #ill be required to finish the audit of the Biltmore bank. The auditors hope to file the audit with the state banking department before January
7. Final details incident the transfer the department of the bank to Adams Tisdale company Inc., were completed yesterday afternoon. Steps Against Lea 8. counsel to the conferred with the city Thursday afternoon and urged them to proceed against Luke Les and other Tennessee individuals and cor: porations for collection notes held by the city as securities for deposits in the closed Central takes The city on I/We properties and which have been guarateed by the Nashville publisher 9. B. Cunningham. receiver for the closed American National Bank. is engaged in preliminary examinations of the financial records, but is work has not progressed far enough for definite announcement concerning the liquidation.
Reidaville, N. C., who was arrested on charges that he participated in the recent revolutionary attempt. Smith and another American flier, Edward O. De LARM. were arrested together, but De Larm escaped and made his way to Buenos Aires in 500-mile trip=during which he ondured considerable hardship. Smith was De Larm's mechanic He spent brief time in prison but was released under ball last month with court recommendation that he be acquitted. Friday's declaion by the appellate court gives him his comThe Scandinavian languages are Swedish, Norwegian and Danish.
SIX BANKS CLOSE DOORS
In One Instance Action Is Taken Conserve Assets
Gastonia, Dec. 16, Gaston county banks failed to open their doors today, leaving only financial institution in this textile of 20,000. The First National bank and the Gaston Loan and Trust company Gastonia, the Bank of Dallas and the Peoples Bank of West Gastonia blam"heavy withdrawals" in notices ing they would not open. The First National bank the gest of the four, had $3,660,072.11 deposit September 24. Bank officials said $800,000 had been paid to deposisince November 20, when the American National bank of Asheville closed its doors. Jenkins, president of the Asheville bank, was vice president the First National bank and its largest single stockholder.
York, Dec. Clover, York county closed its doors today. Lee Robinson, president of the First National Bank of Gastonia which failed open this morning, president of the Clover institution. The bank had resources of about $650,000.
Charleston, W. Va., Dec. 16, The state department of banking day that the Bank of Hillsboro, in Pocahontas county, was closon Friday The bank on September capital stock of $25,000. Its resources and its deposits taled $127,746.
16.December 26, 1930The Sioux City JournalSioux City, IA
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BANKER STOPS RUN ON BANK
Frenzied Crowd in Lobby Heeds President's Dramatic Appeal
(By Central Press.) Asheville, N. C.-Milling hundreds of hysterical men and women surged about the lobby of the American National bank here during financial crisis which caused 14 institutions to close their doors within 48 hours. Tellers out money as possible, hoping against hope that something would occur to check what every banker dreads-a run on the bank. The crowd outside the bank grew larger every minute as frightened depositors heard of the panic and joined the lines scrambling to get to the tellers' disaster for the big banking institution loomed. Suddenly short, thickset man plercing blue eyes and the square jaw fighter climbed upon chair and raised arm dramatically above the throng. A thousand eyes saw the gesture. Excited shouting oled mirmur of curiosity, then the murmur ceased. The had recognized the man with the fighter's jaw. He was L. L. Jenkins, president of the bank, threatened with disaster hecause rumors concerning his institution's solvency had been spread following the closing of Asheville's largest bank, across the street. A Dramatic Moment the worn and haggard face of the hanker the crowd turned obtain better view of him. He nodded at friends In the hysterical crowd. Then his clicked, his eyes flashed the fire that had brought him from humble farmhouse the presidency of one western North Carolina's most powerful and Influential banking houses. "My friends," President Jenkins said slowly, his voice filling the loh: by of the Ree many of my personal friends here-you known me for many years, and you know that am man who keeps his word. give you my word of honor that there sufficient money en route to this hank to pay every man and woman In this throng ery cent that has been to this would rather lose every cent of the fortune have built by lifetime of labor and self denial than to have one of you lose dime. ask you, one friend to not bring ruin upon yourself, your community and the hank you have trust. ed for years. No outside, think things over calmly: then, If you wish, come back again and for your money. You get cent of It!" Cheered by Man in Crowd A tall man in the center of the crowd Interrupted: "Fight 'em, Mr. Jenkins!" he shouted. "Stay in there and fight amile flashed across the bank. er's face as he nodded. "I've been fighter all my life," he responded, "hut today I'm not friends to give this bank, their community, themselver, square deal. I'm foretting that I'm hanker. membering only that am citizen, loyal citizen of this community. one request make of my friends In this lobby. "Who will be the first to lead the out of the door into the street?" There moment of tense lence, The banker knew that the fate of the bank he loved depended upon what would occur in the next 60 seconds. thin, cracked voice smashed the silence. kins!" believe you, Mr. Jen. The speaker was wizened old woman. whose life savings had been placed into Fenkins' keeping years before. With feeble steps the little old 30 woman started toward the door, feet away. Younger men and women opened up path for her. Dozens of men women, many with tears streaming down their cheeks. turned their faces from the tellers' windows and followed their feeble leader out into the street. Her cheeks flushed the thrill of achievement. the little old woman tottered straight ahead, and on until her bent figure was lost in the maze the traffic. The backbone of the run had been smashed. Many depositors grimly stuck their places in the line. but more had President departed Jenkins returned office. actous that the American National would not close doors The shades of evening found grim Some of them heard their president's of them had feared that auother bring the the
17.January 22, 1931The Butler HeraldButler, OK
Article Text
Halted Bank-Run Single-Handed
Personal Plea of President Checked Panicky Customers' Run on N. C. Bank
Capper's Weekly
Tellers in the American National Bank at Asheville, N. C., were counting out money and shoving it thru the windows as fast as they could work. The lobby was full of hysterical men and women made panicky by 14 other banks in the state being closed, one of them just across the street. Suddenly a short, thick-set man with piercing blue eyes a n di square jaws climbed on a chair and raised a muscular arm to attract attention. A thousand eyes saw the gesture and this with his friendly smile silenced the crowd. Everybody there knew L. L. Jenkins, who had come from a humble farmhouse to the presidency of one of the state's strongest banks.
"My friends," said Jenkins slowly, "you have known me for years and you know I am a man who keeps his word. I give you my word of honor there is enough money en route to this bank to pay every man and woman in this throng every cent entrusted to this institution. I ask you as one friend to another not to bring ruin upon yourself, your community and the bank you have trusted for years. Go outside, think things over calmly; then, if you wish, come back again and ask for your money. You will get it-every cent of it!"
"Who will be first to lead the way out of the door into the street?
There was a moment of tense silence. The banker knew the fate of the bank depended upon what would occur in the next 60 seconds.
A thin, cracked voice broke the silence. "I will! I believe you, Mr. Jenkins!"
The speaker was a little old woman, whose life savings had been placed into Jenkins' keeping years before. With feeble steps she started toward the door. Younger men and women opened up a path for her. Dozens of others, many with tears in their eyes, turned their faces away from the tellers' windows and followed their feeble leader out into the street. That broke the backbone of the run on the bank. Some de-
CANNOT ADAMS PROBE HELP IN BANK CASES OF
Man May Be Chosen To Aid Nettles In Undertaking.
Staff Correspondent) anFeb. office yesnounced the governor's John Sneed afternoon that terday would unable associate counsel to the investiZeb Nettles leitor in Asheville. bank failures gation of been advised Gardner has Governor of illness would attack Adams from accepting Mr. recently tendered executive the the chief solicitor for the request judicial district teenth the governor's was explained unable to office that been consider the of new associate counsel on legislative DES and other details program which require 12 and 15 hours his time Gardner will Governor under consideration take the matter doubtful whether associate until another he has name had opportunity to confer Solicitor Kingsland well known Asheville has been recomthe recent mended for the his law firm. Harkins selection Van Winkle. counsel to the receiver the closed American National Bank, probably preclude consideration his any further name Selection Lyle Jones, former and RobHall sevthem eral defendants from the picture of possible appoinOn account of recent developments entirely possible the governor select outside attorney as associate counsel to the solicitor.
PROBE OF BANK CASES STARTED FIRST OF MONTH
(Continued from Page Mr. SenBernard was instructed to introduce the general sembly the county com This week McGraw announced Coursey accountant of Southern Pines, and two had been engaged to help the grand jury with the investigation believed investigation may three Mr Coursey in the investigation bank in the the work. understood will the technical part of preparing whatever evidence the state wish use in the trial the The members of the grand jury
Rhodes Capt Fitzpatrick. CoopClaude E. Case, Paul Cordell, Burleson, Kiser and West. Lakey is grand jury III Last Monday when the February was to opened. Judge McElroy appeared announce was sugering from influenza would unable preside Thursday He ordered the and an officer morning and and told the jury was remain in On Thursday Solicitor Nettles McElroy still but that would appear o'clock Thursday morning to receive the grand jury's reCentral Bank and Trust comfailed open doors Thursthe American National closed the following day after withstanding heavy run Rapidly The Central was founded in by Wallace and assoclates Capitalized $25 bank attained high position in banking circles of Carolinas the time of the the largest Carolina Only three chovia company Carolina and Trust including their branches and American Trust of company resources. Mr. was first cashier of the Central and president On the last day on which the open. there was on which amount belonged city Asheville, county North Carolina Park commission. rious and school districts in mortgage and affiliated with the Central Withdrawals The general banking viduals. and other agencies Asheville and western North Carolina not affiliated manner the bank-had only on deposit. had withdrawn than during the last two years the bank The total public deposits at the Central Bank City Buncombe county including county and speNorth Park commission Chilfund. State $67,003.20 clerk and Buncombe county the city deposit at the American National Bank
With crop reported 32 per cent than California citrus received
COURT ORDERS SPECIAL TERM
Federal Court Opens August 31 to Try Cases Connected With Bank Failures
ASHEVILLE July cial term of western North Carolina federal court to try cases growing out of bank failures here last today was ordered by Judge James Webb to start August 31. After conference Charles A Jonas, of Lincolnton district torney Judge Webb announced that the against Wallace B. Davis and W Harris charged with using the mails defraud, would be called on that date The charges were brought as the result of stock sales by the Central Securities corporation subsidiary of the Central Bank and Trust company. Davis was president of both institutions. and Harris was vice president of the securities firm Other cases which Mr. Jonas onnounced would be tried during the special term time permitting charges Davis, L. Jenkins, president of the defunct American National bank another Central subsidiary and Charles Bradford Central bank cashier, with conspiracy divert illegally national bank funds to the Central bank Cunningham former cashier of the national bank also faces charge of making false report to the comptroller of the currency
21.September 27, 1931The Charlotte ObserverCharlotte, NC
Article Text
TEXTILE LEADERS SUED
Asheville Bank Receiver Files Action Against Prominent
Nine were filed day Charlotte United district by Cunningham. receiver of the AmeriNational bank Asheville against of Gastonia textile The suits were for the recovery various sums alleged to be owed the defunct bank on notes The suits the following defendants and alleged amounts Gray. and and Ethel Gray Bark ley Gray and George Gray. Gray $2,500 George Gray. Gray and H. Separk, Myrtle Gray Legare and Hugh Legare George Separk and Gray and George Gray and H.
ebb Authorizes Sale Of Property By Bank Receiver
Judge E Yates Webb has signed an order in U. district court author. ising the sale of the property at 29 Monroe Place by Cunningham. receiver for the closed American Na. . tional bank. Asheville According to the order. Mrs. R. L. Chance secures the property for $1,600. The receiver will pay back taxes amounting to $207.28. while the purchaser assumes the 1931 taxes.
k Receiver Seeks to Cancel Apartment Deed
D Rendleman. receiver for the closed American National bank. has filed suit in seeking set deed for apartChesthut and North Liberty The property now held by the purchased tax suit. The complaint alleges the sale was made without due notice to the
CLOSED CITIZEN'S NATIONAL BANK REALTY ASSETS WILL BE SOLD HERE AUGUST 25TH Special Liquidator Announces Auction; Bank SYMPHONY TO Bldg. on Block All real estate owned by the PLAY TONIGHT Citizens National Bank, now in liquidation, will be sold here at DeNardo Making His First public auction on Tuesday, Aug. 25, at 10 a. m., according to Britt Appearance Here as Davis, special liquidator of real Director estate for the comptroller of the currency. A similar sale of realty assets The North Carolina Symphony of the closed American National orchestra, under the direction of bank of Asheville, will be held at Joseph DeNardo, will make its Asheville the following day. Hilfirst appearance this summer in liard B. Atkins is receiver for the Hendersonville at the high school two institutions. auditorium tonight at 8 o'clock. Included in the sale to be conThe concert is the first of a seducted here is the Citizens Bank ries of musical programs, sponbuilding as well as dwellings, othsored by the Chamber of Comer business properties, farms and merce. In addition, the concert building lots. Every piece of will mark the first appearance of property will absolutely be sold Mr. DeNardo here as conductor of to the lowest bidder on the day the orchestra. of the sale, it was said. The concert will feature, in adPrincipal interest centers in the dition to Schubert's "Unfinished sale of the bank building, a handsome stone structure at Main Symphony," the ever popular street and Fourth avenue. Repre"American Bolero," by Brown; senting an investment of upwards the "Mississippi Suite," by Grofe, of $100,000 the building's projectand "Finlandia," by Sibelius. ed sale has elicited much speculaThese numbers have been popular tion on the amount it will bring at in Hendersonville audiences in public outcry. Sale of all the previous concerts by the orchesproperties will take place at the tra. Other numbers on the probank building, and a large crowd gram will include Glinka's "Rusis expected to attend. sian and Ludmilla," giving someThe auction method of disposthing of the spirit of Russian folk ing of realty holdings of closed music; and "La Media Noche," by national banks was adopted after Stoessel, which is a suite a four efforts to dispose of the properSpanish dances. ties by other means had proved The "American Bolero" preunsuccesful, it was said. The sents musical culture of America, comptroller of the currency finalinfluenced as it is by the music of ly selected Mr. Davis, a Tennessee all nations-the barbaric beat of realtor and auctioneer, for the drums, the broad melodic strain job, and with a sound truck and of the Latins, Oriental dissonants, other equipment, as well as a the lilting sweep of Viennese staff of assistants, he has been strings and the rhythm of Bolero going about the country conductcastanets. ing these sales. Suite" depicts.
Bank runs are almost always and everywhere a deterioration of bank fundamentals.
But not for you.
You are the measure-zero exception: great fundamentals, solid bank, and yet the Diamond Dybvig fairy spread its rumor. Depositors woke up. Your collateral was not prepositioned. The Clearinghouse had it for you.
Do not pass Go. Do not collect $200. Go directly to jail… or worse.
