9742. Central Bank (Jackson, MS)

Bank Information

Episode Type
Suspension โ†’ Closure
Bank Type
state
Start Date
February 21, 1908
Location
Jackson, Mississippi (32.299, -90.185)

Metadata

Model
gpt-5-mini
Short Digest
78cf31b3a1eee077

Response Measures

None

Description

Multiple contemporary newspaper articles report the Central Bank of Mississippi (Jackson) was placed in the hands of a receiver in Feb 1908 after the financial stringency/panic of 1907 impaired investments. There is no clear contemporaneous description of a depositor run; the action was receivership/suspension and the bank remained defunct (later receiver paid dividends and criminal prosecutions followed). Corrected/clarified name to 'Central Bank (Central Bank of Mississippi)'.

Events (2)

1. February 21, 1908 Receivership
Newspaper Excerpt
The Central Bank of Mississippi ... is in the hands of a receiver. It was established about a year ago ... forced suspension. Receiver E. E. Hindman named by Chancellor Garland (reports Feb 21-28, 1908).
Source
newspapers
2. February 21, 1908 Suspension
Cause
Macro News
Cause Details
Financial stringency following the panic of 1907 impaired the bank's investments and stability, leading to suspension and appointment of a receiver.
Newspaper Excerpt
Chancellor Garland has appointed E. E. Hindman receiver of the Central bank of this city ... checks were not honored when presented.
Source
newspapers

Newspaper Articles (19)

Article from The Birmingham Age-Herald, February 22, 1908

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CHECKS NOT HONORED. Receivers Are Promptly Appointed For Jackson Bank. Jackson, Miss., February 21.-(Special.)Chancellor Garland has appointed E. E. Hindman receiver of the Central bank of this city, of which W. J. Rice is cashier, but so far no schedule of assets and liabilities have been made, Cashier Rice being out of town and tomorrow a holiday. The receiver was named on application of Watkins & Watkins, attorneys, who represented several small depositors in the aggregate of about $500, and whose checks were not honored when presented. It is not believed the bank will be able to pull through. The bank was organized several months ago with C. E. Anders as president and W. J. Rice as cashier. Anders recently resigned and since that time the institution has had no president.


Article from Oxford Eagle, February 27, 1908

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NO. 16. Mississippi News Insurance Commissioner T. M. Henry having received an inquiry asking the Druggist Indemnity Exchange o St. Louis is authorized to transact busi ness in Mississippi. replied as follows "Beg to say that the concern referred to is not authorized to transact busi ness in Mississippi, and has never made an attempt to be. Every person who solicits business therefor is violating the law. and should be punished, ade quate penalties being provided in sec I tions 2815, 2616 and 2643 of the code. trust you will make affidavits against the parties, have them arrested and tried You can depend on this depart ment to render you all the assistance its power. I want to do everything possible to rid the State of all kinds wildcats. and to protect the people against themselves. Should a loss cur to a policyholder covered by insur ance in an unauthorized company the company could not send an adjuster to adjust the loss, nor could suit be brought in Mississippi to recover. Thus the policy holder would be placed absolutely at the mercy of the company, and have rarely known or heard of a case of this kind where the company failed to take all the advantage possible. The Central Bank of Mississippi, es tablished at Jackson less than one year ago with a capital of $500,000, is in the hands of a receiver. It is understood that the present embarrassed condition of the bank is brought about by reason of the financial stringency which has impaired the stability of certain banks and merchants in the country districts and that the affairs will soon be righted. and that the receivership is only tem porary. Doe Willis, a negro, convicted of murdering Sol Aronovitz, a peddler, near Leland Oct. 22. was legally executed at Greenville last week. Willis killed Aronovitz because he wanted $2. and committed his crime in most brutal manner, clubbing his victim into insensibility and leaving him for dead in a thicket by the roadside. The grand commandery, Knights Templars, at its session held at Hattiesburg resolved to break away from A the Blue Lodge organization to the ex tent of holding its annual grand session at a different time from the regular grand lodge. This action was taken because it was found that under the present arrangement the grand commandery did not get time enough to transact all of its business The independent telephone corporations in Mississippi have joined the Cumberland in the fight against the Engle physical connection bill, the purpose of which is to compel all tele phone companies to connect their lines and pro rate the tolls. Mrs. Maud Ballington Booth, who is leading the prison reform movement and is making the rounds of Southern State prisons, paid visit to the Mis sissippi convict farms, and afterward addressed the State legislature along the lines of prison reforms. General Manager White, of the Lib rty-White railroad, declares that 2-cent rate law in this State would be suicidal to every railroad in Mississippi: that the smaller lines can hardly exist at the present time and give the traveling public a good service. The anti-bucket shot bill, a measure which absolutely puts an end to all dealings in futures in this State, has been approved by the governor, and is now law. A monster petition to the Mississippi legislature is being prepared by employees of railroads in this State in opposition to the proposition before the legislature to enact a 2-cent pas senger rate law. The employees are fearful that any further reduction of earnings of the railroads will cause reductions in salaries. There have been no less than 1.000 cases of grip at Columbus The vie tims are entirely among the white people, and many stores, offices and facto ries are sadly crippled on account of illness among employes. At the age of 92 Henry Pittman. the oldest citizen of Montgomery county, died near Kilmichael. "Uncle Henry, as he was familiarly known. was a member of the Baptist church for 70 years. Twenty negroes. men and women, were arrested at Brookhaven on the charge of selling liquor. Negro detec tives were employed to land the boot leggers. On account of bad condition of the roads the February term of the circuit court at Ashland was postponed till the regular term in August. The house appropriations committee killed the bill carrying an appropriation of $5,000 per year to aid the Mississippi Industrial Exposition in its work. the sum to be used in the award of special premiums under the supervision of the State government. The Columbus canning factory was sold at public outery for $1,800. The factory was erected less than one year ago a cost of $10,000, and the ground on which the building stands is probably worth more than was paid for the Y entire property. Judge Z. M. Stephens, one of the


Article from The Aberdeen Weekly, February 28, 1908

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The Central Bank of Mississippi, at Jackson, was placed in the hands of a receiver last Friday. It was established about a year ago with capital of $600,000 and commenced business with a bright|prospect, but the financial stringency of the past few months rendered its investments unprofitable and forced suspension. It will pay all outstanding indebtedness in full.


Article from Greene County Herald, February 28, 1908

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Edississippi News Insurance Commissioner T. M. Henry having received an inquiry asking if the Druggist Indemnity Exchange of St. Louis is authorized to transact business in Mississippi, replied as follows: "Beg to say that the concern referred to is not authorized to transact business in Mississippi, and has never made an attempt to be. Every person who solicits business therefor is violating the law, and should be punished, adequate penalties being provided in secI tions 2615, 2616 and 2643 of the code. trust you will make affidavits against the parties, have them arrested and tried. You can depend on this department to render you all the assistrnce in its power. I want to do everything possible to rid the State of all kinds of wildcats, and to protect the people against themselves. Should a loss occur to a policyholder covered by insurance in an unauthorized company the company could not send an adjuster to adjust the loss, nor could suit be brought in Mississippi to recover. Thus the policy holder would be placed absolutely at the mercy of the company, and I have rarely known or heard of a case of this kind where the company fafled to take all the advantage possible." The Central Bank of Mississippi, established at Jackson less than one year ago with a capital of $500,000, is in the hands of a receiver. It is understood that the present embarrassed condition of the bank is brought about by reason of the financial stringency which has impaired the stability of certain banks and merchants in the country districts, and that the affairs will soon be righted, and that the receivership is only temporary. Doc Willis, a negro, convicted of murdering Sol Aronovitz, a peddler, near Leland Oct. 22, was legally executed at Greenville last week. Willis killed Aronovitz because he wanted $2, and committed his crime in a most brutal manner, clubbing his victim into insensibility and leaving him for dead in a thicket by the roadside. The grand commandery, Knights Templars, at its session held at Hattiesburg resolved to break away from the Blue Lodge organization to the extent of holding its annual grand session at a different time from the regular grand lodge. This action was taken because it was found that under the present arrangement the grand commandery did not get time enough to transact all of its business. The independent telephone corporations in Mississippi have joined the Cumberland in the fight against the Engle physical connection bill, the purpose of which is to compel all telephone companies to connect their lines and pro rate the tolls. Mrs. Maud Ballington Booth, who is leading the prison reform movement and is making the rounds of Southern State prisons, paid a visit to the Mississippi convict farms, and afterward addressed the State legislature along the lines of prison reforms. General Manager White, of the Liberty-White railroad, declares that a 2-cent rate law in this State would be suicidal to every railroad in Mississippi; that the smaller lines can hardly exist at the present time and give the traveling public a good service. The anti-bucket shot bill, a measure which absolutely puts an end to all dealings in futures in this State, has been approved by the governor, and is now law. A monster petition to the Mississippi legislature is being prepared by employees of railroads in this State in opposition to the proposition before the legislature to enact a 2-cent passenger rate law. The employees are fearful that any further reduction of earnings of the railroads will cause reductions in salaries. There have been no less than 1,000 cases of grip at Columbus. The victims are entirely among the white people, and many stores, offices and factories are sadly crippled on account of illness among employes. At the age of 92 Henry Pittman, the oldest citizen of Montgomery county, died near Kilmichael. "Uncle Henry," as he was familiarly known, was a member of the Baptist church for 70 years. Twenty negroes, men and women, were arrested at Brookhaven on the charge of selling liquor. Negro detectives were employed to land the bootleggers. On account of bad condition of the roads the February term of the circuit court at Ashland was postponed till the regular term in August. The house appropriations committee killed the bill carrying an appropriation of $5,000 per year to aid the Mississippi Industrial Exposition in its work, the sum to be used in the award of special premiums under the supervision of the State government. The Columbus canning factory was sold at public outery for $1,800. The factory was erected less than one year ago at a cost of $10,000, and the ground on which the building stands is probably worth more than was paid for the entire property. win reare 1113 luming wen provided for. His argument is to the effect that the nation exacts from its ex-presidents a dignity and aloofness from the usual occupations of life that restrain them from engaging in money making


Article from Tensas Gazette, February 28, 1908

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Central Bank Suspends. Very little surprise has been occasioned by the appointment of a receiver for the Central Bank of Mississippi at Jackson ordered by Chancellor Lyell. The bank was organized here last year with an authorized capital of $500,000, but only $100,000 of the amount was paid in. The bank secured a very small patronage, and it is understood that it will be able to pay its depositors in full.


Article from The Tupelo Journal, February 28, 1908

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The Central Bank of Mississippi, established at Jackson less than one year ago with a capital of $500,000, is in the hands of a receiver. It is understood that the present embarrassed condition of the bank is brought about by reason of the financial stringency which has impaired the stability of certain banks and merchants in the country districts, and that the affairs will soon be righted, and that the receivership is only temporary.


Article from The Tupelo Journal, February 28, 1908

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dississippi smale ance Commissioner T. M. Henry received an inquiry asking it aggist Indemnity Exchange of is is authorized to transact busiMississippi, replied as follows: : say that the concern referred t authorized to transact busiMississippi, and has never made mpt to be. Every person who business therefor is violating and should be punished, adeenalties being provided in sec15, 2616 and 2643 of the code. I ou will make affidavits against ties, have them arrested and Y ou can depend on this departrender you all the assistrnce in er. I want to do everything = to rid the State of all kinds of , and to protect the people themselves. Should a loss ocpolicyholder covered by insuran unauthorized company the y could not send an adjuster to he loss, nor could suit be brought sissippi to recover. Thus the holder would be placed absot the mercy of the company, ve rarely known or heard of a this kind where the company o take all the advantage posentral Bank of Mississippi, esd at Jackson less than one year h a capital of $500,000, is in the of a receiver. It is understood : present embarrassed condition ank is brought about by reason financial stringency which has d the stability of certain banks chants in the country districts, t theaffairs will soon be righted, t the receivership is only temWillis, a negro, convicted of deppler, B IยฐS duy eland Oct. 22, was legally exet Greenville last week. Willis Aronovitz because he wanted committed his crime in a most manner, clubbing his victim ensibility and leaving him for a thicket by the roadside. grand commandery, Knights rs, at its session held at Hat( resolved to break away from el Lodge organization to the exholding its annual grand session fferent time from the regular odge. This action was taken it was found that under the arrangement the grand comy did not get time enough to : all of its business. adependent telephone corpora1 Mississippi have joined the land in the fight against the physical connection bill, the of which is to compel all teleompanies to connect their lines rate the tolls. Maud Ballington Booth, who is the prison reform movement making the rounds of Southern risons, paid a visit to the Misconvict farms, and afterward ed the State legislature along S of prison reforms. al Manager White, of the Libite railroad, declares that a ate law in this State would be to every railroad in Mississippi; e smaller lines can hardly exist resent time and give the travpood B 19 nti-bucket shot bill, a measure absolutely puts an end to all $ in futures in this State, has proved by the governor, and is


Article from The Montgomery Advertiser, March 12, 1908

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ANDERS INDICTED. Banker at Jackson, Miss., Makes His Bond. Birmingham, March 11.-N. T. Anders, President of the Commercial Bank of Jackson and former President of the Central Bank of Mississippi has been indicted by the Hinds County grand jury on the charge of embezzling $25,000 from the latter institution. Anders was placed under arrest and immediately gave bond. The Central Bank of Mississippi was placed in hands of receivers several days ago and the grand jury is probing the failure.


Article from The New South-News, June 5, 1909

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Rice May Settle Affairs of Bank. Creditors of the late Central Bank of Jackson, of which W. J. Rice, of Kentucky was president, and which went broke a few months after opening for business. are negotiating with Rice in an effort to get some sort of settlement. Rice, who practically owned the concern, left to escape arrest when the bank broke, leaving his financial affairs in a tangle and his business associates in a bad box. Rice and two of his associates were indicted though no trials have been had. All efforts to get Rice on requisition failed, as he resisted with habeas corpus proceedings and the receiver had no funds to fight the case. Recently he has indicated a desire to settle, and H. V. Watkins, attorney for the receiver, has gone to confer with him. His creditors are willing to abandon criminal prosecution If he will straighten out the business and make a satisfactory compromise.


Article from The Hattiesburg News, October 5, 1909

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DEFUNCT CENTRAL BANK PAID 50 PER CENT DIVIDEND POPULATION OF Depositors of Wrecked Institution Are Treated to a Pleasant ENTIRE WORLD Surprise. United States Ranks After China Special to The News Great Britain, and RussiaJACKSON, Miss., October 5.-ReFrance Now Fifth. ceiver E. E. Hindman, of the defunct Central Bank of Mississippi, yesterday paid the first dividend of fifty per Special to the News. cent. to the creditors of that instituCHICAGO, October 5.-An unkind tion, this being much more money statistician has almost eclipsed Ohicago by comparing its 2,250,000 popthan any of the creditors ever expectulation with the total population of ed to receive, the installment the world, 1,452,000,000. In this comamounting in total to about $41,000. parison even the 1910 census populaThe distribution does not include tion of the United States, 90,000,000 the stockholders of the bank, who will or more, becomes almost insignificant although its population increase durprobably never recover anything at ing the second half of the last century all. It does, however, include the dewas 228 per cent, and for the first positors and other creditors, who will half of that century 240 per cent, a probably receive a total of 75 or 80 more marvelous record than any othper cent. on the final settlement of er country can show from immigration the accounts. The items of the world population, Other Claims Pending. which diminished Chicago to a mere There are one or two contested fly speck on a battered tin globe, inclaims yet to be settled by the chancluded the following: cery court, and in the event these al433,000,000 Chinese Empire lowed the total payment to the other 410,000,000 British Empire creditors will be slightly reduced 152,000,000 Russian Empire thereby. United States (includMr. Hindman has been importunea ing Philippine Islands for some time by the creditors, and 95,000,000 and Porto Rico) even by some of the stockholders, to France 90,000,000 make a payment on account, but has 72,000,000 German Empire in just got the affairs of the institution 49,000,000 Japan in such shape as to justify a distribu45,000,000 Austria-Hungary tion on the basis mentioned, which Netherlands 43,000,000 e necessarily excluded the stockholders, 35,000,000 Ottoman Empire whose claim come last. 33,000,000 Italy Stockholder in Bad Fix. si-, The curious fact about these figure. of The only possible chance for the is that the population of western Eu ne stockholders to get a cent will be in rope has not diminished, notwith ut the settlemen of his accounts by W. standing the enormous immigration J. Rice, the defaulting cashier, who to North and South America, Aus on with his daughter and the former prestralia and South Africa from Europe rs, ident of the institution, N. T. Anders, an countries. Never since historian are under indictment here for em began to keep tab on population ha bezzlement. That a settlement might there been such an increase as dur be made as a condition of a light sening the last half of the nineteent tence or. a plea of guilty is not imposcentury and the beginning of this one sible, although it seems rather improbable. Stockholders' Claims, WRIGHT MAK The claims of the stockholders amount to very little at most, there SU CCESSFUL FLIGHT et having been less than $5,000 of stock etactually paid into the institution, alor though in the sworn statements made the by Rice to the state auditor he repreBy Associated Press W. sented it to be more than $100,000. NEW YORK, October 5.-Wi W. Former President N. E. Anders was Wright started his aeroplane fligl Mr. forced after the failure to pay in his shortly before 10 o'clock yesterda lay stock subscription of $10,000, which ces morning. he claimed to have prevoiusly paid. ive After circling about the battery for but which Chancellor Lyell, after a paintient hearing of the evidence, decided a short time, he sent his machin to he hadn't. straight up the Hudson river, flyir There has been some disapointment about one hundred feet above the su here among the creditors of the bank face of the water. over the refusal of Governor Willson, At 10:25 Wright passed Fulton, an of- Kentucky, to honor the requisition stretching, turned and started back o for the return here of Miss Carrie ubhis way to Governors Island. H tenRice, who was indicted at the same landed safely at Governors Island om10:29. time her father was( she having been han a confidential clerk in the bank, alThe aeroplane passing like a b tety bird across the waters of New Yo though general satisfaction was exlay, pressed at the fact that the requisi harbor, was a sight well worth se Citition for Rice himself was honored. ing. As a rule the creditors are more than digto glad to have a small portion of the asreet sets expended in a prosecution of the CHANGES IN defaulting cashier. CAD


Article from The Birmingham Age-Herald, November 23, 1911

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W. J. Rice, the banker arrested in Kentucky last Saturday and returned to Jackson by E. E. Hindman, receiver of the Central bank, the concern Rice is charged with having wrecked, declines to make any statement or to be interviewed by representatives of the press. He is making the best of it in the Hinds county jail, and will probably remain there till circuit court convenes the first Monday in December.


Article from The Richmond Palladium and Sun-Telegram, December 16, 1911

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"FRENZIED FINAN: CIER" FACES TRIAL (National News Association) JACKSON, Miss., Dec. 16.-The many persons who suffered financial loss through failure several years ago of the Central Bank of Mississippi are looking forward with much interest to the trial of W. J. Rice, which is scheduled to begin here Monday. Rice was the promoter of the bank and in en. tire control of the institution. The bank was capitalized at half a million dollars, but when it closed its doors, during the financial panic of 1907, it had less than ten dollars in the vaults. Revelations following the bank's failure tended to show, according to the authorities who conducted the investigation, that Rice was a typical "Get-Rich-Quick Wallingford." He is alleged to have started "wild cat" banks and inaugurated other schemes of finance in Kentucky, Missouri. Illi nois and several other states. Efforts to learn his whereabouts after the failure of the Central Bank of Mississippi were for a long time fuitle. Recently the Mississippi authorities located the former banker at his home in Moorehad, Ky., and after successfully fighting a habeas corpus proceedings brought to resist the requisition, returned him to Jackson to await trial on charges of embezzlement and violations of the state banking laws.


Article from Semi-Weekly Herald, December 18, 1911

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"Frenzied Financiers" Face Trial. JACKSON, Dec. 16.-The many persons who suffered financial loss through the failure several years ago of the Central bank of Mississippi are looking forward with much interest to the trial of W. J. Rice,, which is scheduled to begin here Monday. Rice was the promoter of the bank and in entire control of the institution when it closed its doors, during the financial panic in 1907, it had less than $10 in the vaults. Revelations following the banks failure tended to show, according to the authorities who conducted the investigation, that Rice was a typical "Get Rich Quick Wallingford." He is alleged to have started "wild-cat" banks and inaugurated other schemes of finance in Kentucky, Missouri, Illinois and several other states. Ef. forts to learn his whereabouts after the failure of the Central bank of Mississippi were for a long time futile. Recently the Mississippi authorities located the former banker at his home in Morehead, Ky., and after successfully fighting a habeas corpus proceeding brought to resist the requisition, returned him to Jackson to await trial on charges of embezzlement and violations of the state banking laws.


Article from The Big Sandy News, December 29, 1911

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TEN DOLLARS ASSETS. Jackson, Miss., December 18The trial of W. J. Rice, president of the defunct Central Bank of Mississippi, began today. Rice was the promoter of the bank and had entire control of the institution. The bank was capitalized at $500.000, but when it closed its doors during the panic of 1907 with $250 000 liabilities it had less than $16 in the vaults. Rice in alleged to have started wildcat banks and inaugurated other schemes in Kentucky, Missouri. Illinois and other states. Efforts to learn his where abouts were for a long time futile. Recently the Mississippi authorities located him in Morehead, Ky., and after successfully fighting a habeas corpus proceeding returned him to Jackson to await - trial on charges of embezzlement and violation of the state banking laws.


Article from The Hattiesburg News, June 17, 1912

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BANKER RICE TO BE GIVEN TRIAL Criminal Term of Court Convenes in Hinds County Today-Four Murder Cases. Jackson, Miss., June 17-The criminal term of circuit court for June opened here today with Judge W. A. Henry on the bench. The docket is composed principally of blind tiger cases although several murder cases are expected to be disposed of at this term, the session having opened one week earlier than usual in order that the docket may be cleaned up in the end. While the whiskey cases seem to have first call, an early trial for W. J. Rice, the banker who fled from this state after the failure o fhis Central Bank here in 1907, and who was captured and brought back is predicted by attorneys on both sides. A long legal battle will ensue when Rice's case is called as the accused has been indicted on several counts. His attorneys will attenipt to show that he was the scape goat for others who left him in the lurch during the great financial panic. Of the murder cases, four of the S men who are to be placed on trial for their lives are white men, two of them, brothers, being under age. t. Opinion of Supreme Court 'A long list of opinions was handed S down this morning by the Supreme r Court of Mississippi, a majority of W which affirmed the finding of the lown er coutrs. Several damage suits Dagainst railroads which were appeale ed from the Hinds County court on to failure to obtain damages, were affirmof ed. aBody of Unknown Negro in River d A coroner's jury failed to identify re the body of an unknown negro found e floating in Pearl river near the city ly on Saturday. The report that at first egained circulation leading to the bey. lief that the body was that of a white ed citizen of Jackson was found to be leerroneous. This is the third body ed that has been dragged from Pearl nriver recently. pi Sunday was Hottest of Year n, Sunday proved to be the hottest es day of the year, the thermometers runto ning well up into the nineties in the te shade on the streets of Jackson, hav being the citizens sweltering for hours during the afternoon.


Article from The Topeka State Journal, July 20, 1912

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HIS STATEMENT FALSE Bank Clerk Found Guilty But Jury Recommends Leniency. Jackson, Miss., July 20.-After deliberating for twenty-four hours the jury in the case of W. J. Rice, cashier and founder of the suspended Central bank of this city, accused of having issued a false statement as to the condition of the bank. returned a verdict of guilty late yesterday but recommended that the sentence imposed be lenient. An appeal will be taken.


Article from Newark Evening Star and Newark Advertiser, July 20, 1912

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CASHIER FOUND GUILTY JACKSON, Miss., July 20.-After deliberating for twenty-four hours the jury in the case of W. J. Rice, cashier and founder of the suspended Central Bank, of this city, accused of having issued a false statement as to the condition of the bank, returned a verdict of guilty late yesterday, but recommended that the sentence imposed be lenient. An appeal will be taken.


Article from Evening Star, July 20, 1912

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Guilty of Falsifying Accounts. JACKSON, Miss., July 20.-After delibcreting for twenty-four hours, the jury in the case of W. J. Rice, cashier and founder of the suspended Central Bank of this city, accused of having issued a false statement as to the condition of the, bank. returned a verdict of guilty late yesterday, but recommending that the sentence imposed be lenient. An appeal will be taken.


Article from The Birmingham Age-Herald, July 21, 1912

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RICE DECLARED GUILTY OF FRAUD Jackson, Miss., July 20.-After deliberating for 24 hours the jury in the case of W. J. Rice, cashier and founder of the suspended Central bank of this city, accused of having issued a false statement as to the condition of the bank, returned a verdict of guilty late today but recommended that the sentence imposed be lenient. An appeal will be taken.