9791. Union Bank & Trust Company (Meridian, MS)

Bank Information

Episode Type
Suspension → Closure
Bank Type
trust
Start Date
November 16, 1912
Location
Meridian, Mississippi (32.364, -88.704)

Metadata

Model
gpt-5-mini
Short Digest
16219dbeceecad90

Response Measures

None

Description

The Union Bank & Trust Co. of Meridian closed in mid-November 1912 and was placed in the hands of temporary receivers; subsequent reporting describes it as a defunct/failed institution with receivers and later dividends paid. There is no description of a depositor run prior to suspension in these articles. The sequence is a suspension/closure with receivership.

Events (2)
1. November 16, 1912 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank failed/insolvent leading to closure in mid-November 1912 (articles state the bank failed November 16, 1912 and closed its doors).
Newspaper Excerpt
the failed bank has assumed... The bank at the time of its failure, had 2,000 depositors.
Source
newspapers
2. November 18, 1912 Receivership
Newspaper Excerpt
RECEIVERS NAMED FOR MERIDIAN BANK UNION BANK AND TRUST COMPANY FORCED TO CLOSE DOORS TEMPORARILY. ... the chancellor appointed E. L. Bostick ... and J. A. McCain ... as temporary receivers ... the Union Bank & Trust company ... will not open its doors this morning, and the two receivers will at once proceed to a more thorough investigation of the affairs of the bank.
Source
newspapers

Newspaper Articles (15)
1. November 19, 1912 The Hattiesburg News Hattiesburg, MS
Article from The Hattiesburg News, November 19, 1912

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RECEIVERS NAMED FOR MERIDIAN BANK UNION BANK AND TRUST COMPANY FORCED TO CLOSE DOORS TEMPORARILY. Meridian, Miss., Nov. 18.-A few moments after 12 o'clock this morning Hon. J. M. McBreath of this city, as attorney for the stockholders and depositors of the Union Bank & Trust company here, one of the largest banks in Mississippi, presented to Chancellor Sam Whitman at Bay Springs an application for the appointment of temporary receivers of the bank. The chancellor appointed E. L. Bostick, a well known lumberman of Meridian, and J. A. McCain, cashier of the Merchants & Farmers' bank of Meridian, as temporary receivers, under a bond which will be made promptly thi smorning in Meridian. They will be in charge of the Union Bank & Trust company, which will not open its doors this morning, and the two receivers will at once proceed to a more thorough investigation of the affairs of the bank. Mr. McBeath stated that the action was taken as a measure of protection to the depositors and to conserve the resources of the bank, which it is expected. will be reorganized and placed upon a better footing in the future. The receivership is a temporary

2. November 26, 1912 The Hattiesburg News Hattiesburg, MS
Article from The Hattiesburg News, November 26, 1912

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PLAN TO REOPEN MERIDIAN BANK Meridian, Miss., Nov. 26.-Stockholders of the Union Bank & Trust Company Monday decided, If the consent of depositors could be obtained, to ask the court to discharge the receivers and place the affairs of the bank in the hands of a committee composed of F. W. Williams, Joe Meyer, E. S. Bocstick of this city, and Dr. J. B. Marshall of Mobile, all to serve without pay, eliminating the cost of a receivership. It was stated by a committeeman that there was every reason to believe that all depositors would be paid dollar for dollar and that there would be a substantial part for the stockholders. It is also the purpose of the committee to devise plans for reopening the bank.

3. December 19, 1912 The Neshoba Democrat Philadelphia, MS
Article from The Neshoba Democrat, December 19, 1912

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epositors Reassured. Meridian.-Nothing new has developed 1 the future of the Union Bank and trust Company, which was placed in the ands of receivers, after the bank closed doors three weeks ago. The stockolders and others are still firm in their slief that depositors will be paid in ill.

4. December 20, 1912 Greene County Herald Leakesville, MS
Article from Greene County Herald, December 20, 1912

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Depositors Reassured. Meridian.-Nothing new has developed in the future of the Union Bank and Trust Company, which was placed in the hands of receivers, after the bank closed its doors three weeks ago. The stockholders and others are still firm in their belief that depositors will be paid in full.

5. September 19, 1913 The Grenada Sentinel Grenada, MS
Article from The Grenada Sentinel, September 19, 1913

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$700,000 Instead of $100,000. In our editorial columns of Sept, 7, we commented on the allowance of $50,000 made by the chancery judge at Meridian to the three attorneys and two receivers of the defunct Union Bank and Trust Co. When we made that comment we were under the impression that only $100,000 had been paid to the stockholders but Hon. J. M. McBeth, one of the attorneys, writes us that nearly $700,000 had been paid the stockholders. We gladly make the correction and take occasion here to congratulate our distinguished friend, Mr. McBeth. EDITOR.

6. February 5, 1914 Oxford Eagle Oxford, MS
Article from Oxford Eagle, February 5, 1914

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STATE SCHOOLS GIVEN $1,600,000 EVENTS IN STATE CAPITAL INCREASE APPROPRIATION REC. OMMENDED BY HOUSE COMMITTEE IN REPORT. Doings in the Various Departments of the Government of the Commonwealth Reported for Benefit of Our Readers. -Jackson. An important feature in the house was the report of the appropriations committee fixing the basis for the common school appropriation at $2.25 per capita or approximately $1,600,000 per annum. This is an increase of about $150,000 per year over the last appropriation. In his biennial message Gov. Brewer recommended liberality in dealing with the common schools, and the educational leaders have been hard at work ever since the session convened for a larger appropriation. The senate judiciary committee has made favorable report on the Cavett resolution, adopted unanimously in the house, ordering an investigation of the official conduct of Chancellor Sam Whitman, Jr., especially in regard to an alleged excessive fee of $50,000 granted by him to the receivers and attorneys of the defunct Union Bank & Trust company at Meridian.

7. February 6, 1914 Macon Beacon Macon, MS
Article from Macon Beacon, February 6, 1914

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Letter from Mr. Brame. -To the Beacon: I am just in receipt of a letter from "Big Bud," who is at his son-in-law's, Dr. Roberts, at the A. & M. College. He writes that he hopes to be back Sunday. I miss him; in fact, we all miss him. His concurrent resolution to investigate the allowance of the large sum of $50,000 to the receivers and attorneys connected with the defunct Union Bank & Trust Co., of Meridian, has passed both Houses, and the committee will investigate the matter. We are all very anxious about Senator Price, and trust that he will soon be back in his place, where he is so much needed. Mr. Minor, as chairman of the Local and Private committee, is kept very busy and gives eminent satisfaction I introduced a bill with the view of relieving his committee and the House from passing on so many local bills to reimburse parties having stock killed or injured by defective bridges and culverts. Mr. Minor and myself prepared a substitute and this passed the House and is now before the Senate. Its purpose is to allow the Boards of Supervisors, in their discretion, to settle these claims. The House is now being flooded with another class of local bills, for which a general bill should be passed, viz: To pay for cattle killed by dipping under the tick eradication law. If we are got ing to force people to dip their cattle. b those that are killed by the act of dipping, through no fault of the owner. should be paid for them. We hope to get through further legisse tion relative to road laws of the state before the session closes, W We are always glad to welcome all u our friends from Noxubee, and if they can't come down. we will take pleasure ri in trying to assist them in any matter ty of interest to them. ti Adjt.-Gen. Scales, I understand, is to filling the role of soldier in his new pova ation in a way that is very gratifying CO to his friends and the members of the National Guard. in I thought Mrs. Brame would become fu tired before now and would want to go bl back home, but she seems to be very much satisfied. Yours, wh T. W. BRAME. its

8. February 6, 1914 The Grenada Sentinel Grenada, MS
Article from The Grenada Sentinel, February 6, 1914

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# State School Get $1,600,000. An important feature in the house was the report of the appropriations committee fixing the basis for the common school appropriation at $2.25 per capita or approximately $1,600,000 per annum. This is an increase of about $150,000 per year over the last appropriation. In his biennial message Gov. Brewer recommended liberality in dealing with the common schools, and the educational leaders have been hard at work ever since the session convened for a larger appropriation. The senate judiciary committee has made favorable report on the Cavett resolution, adopted unanimously in the house, ordering an investigation of the official conduct of Chancellor Sam Whitman, Jr., especially in regard to an alleged excessive fee of $50,000 granted by him to the receivers and attorneys of the defunct Union Bank & Trust company at Meridian.

9. February 28, 1914 The Semi-Weekly Leader Brookhaven, MS
Article from The Semi-Weekly Leader, February 28, 1914

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House Censures Chancellor for Fifty Thousand Dollar Fee. Jackson, Miss., Feb. 25. -By a vote of 68 yeas to 32 nays the House of Rperesentatives today adopted a resolution censuring Judge Samuel Whitman, Jr., of the Second Chancery Court District for his conduct in allowing a fee of $50.000 to the receivers and attorneys of the defunct Union Bank and Trust Company of Meridian. Immediately following the adoption of the resolution of censure the House passed a concurrent resolution notifying Judge Whitman that he would be addressed out of office, and citing him to appear before the Legislature to defend himself. Meantime, the Jones County Bar Association adopted strong resolutions commending Chancellor Sam Whitman, Jr as a "capable, in. corrupt and efficient judge," and expressing its contempt for the motives that prompted an attack upon him that culminated in a legislative investigation. The committee exonerated Judge Whitman, and the Jones county lawyers state in their resolutions that they are anxious to express their "unalterable confidence in the ability, fairness, honesty and integrity of said chancellor." " This action of the lawyers of Jones county, reminds us of nothing as much as whose ox is gored'' in the matter. Lawyers who grant or accept exorbitant, and consequently, dishonest fees are just as guilty of abuse and misuse of the people's confidence and their funds as is generally the case with bank officials. Theonly difference 18 the depositors' money changes hands. It 18 takingadvantage of position to the utter disregard of the rights of others.

10. March 6, 1914 Macon Beacon Macon, MS
Article from Macon Beacon, March 6, 1914

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$ WHITMAN SEEKS VINDICATION. The Vicksburg Herald, several months ago, had a very strong editorial in regard to payment of a fifty thousand dollar fee to the lawyers and receivers of the Union Bank & Trust Co., of Meridian, and has the following to say anent the action of the legislature in regard to Chancellor Whitman: After the committee report and its acquittal of Chancellor Whitman of violating the law, and nothing venal being attributed to his dereliction, The Herald thinks the legislature crossed the line of justice and law, in calling for his retirement from office. A vote of censure was sufficient it seems to carry the needed warning. But any reply from the chancellor in which he may seek to justify the $57,000 fees. etc., he allowed the receivers and lawyers in the case of the suspended Union Bank & Trust Co., wiil have few converts. In view of the labor involved, and their previous earning capacity, they were grossly overpaid and the depositors grossly wronged. A vincicatory election of the chancellor in the face of such facts, is a matter for the determination of his constituents.

11. May 1, 1914 Macon Beacon Macon, MS
Article from Macon Beacon, May 1, 1914

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# Bank Suit Thrown Out. A surprise was caused in circuit court at Meridian, when the case of Receivers J. A. McCain and W. C. Moore of the Union Bank and Trust company against I. Blum, for the recovery of $1,175 on alleged promis-sory notes, was withdrawn.

12. August 21, 1914 Macon Beacon Macon, MS
Article from Macon Beacon, August 21, 1914

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# Another Dividend Soon. Meridian.—As soon as sales of real estate, held by the receivers of the Union Bank & Trust Co., as collateral, are held and collections made, another dividend will be paid depositors of the institution which failed over a year ago.

13. February 26, 1915 The Grenada Sentinel Grenada, MS
Article from The Grenada Sentinel, February 26, 1915

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# GETTING INTO POLITICS. The failure of the Union Bank and Trust Co. of Meridian and the payment of a fee of $50,000.00 at one time to the attorneys and receivers is causing a great stir in Lauderdale county and is about to get into the politics of the county. J. M. McBeth, one of the attorneys, is the leader in that county of the faction supporting the Lieutenant Governor, and the widows and the orphans and other people of the county who had their all in the failed bank are, unable to reconcile an attorney's fee, for ten month's services, of $50,000.00 with a proper regard for the rights of the public. Besides the fifty thousand dollars, it seems that there was an additional allowance of ONLY $16,000.00 for expenses. Press dispatches state that suit is being filed in the name of Mrs. Lula Miller of Lauderdale station asking that the attorneys and receivers be made to "cough up" the big fee. The petition of Mrs. Miller charges that there was secrecy in filing the request for the fee and that the interested parties were not given notice. Mrs. Miller further states in her petition as follows: "Your petititoner shows on information that said receivers not having sufficient funds in their hands to pay themselves the said allowance of $50,000 borrowed as receivers a considerable amount from the Merchants and Farmers' Bank with which to pay themselves and on which amount so borrowed the estate is forced to pay interest; all of which is unlawful, unjust and inequitable." In view of the fact that these attorneys kept full connection with their other duties and that the service they rendered the defunct Bank took but little of their time it does appear that the fee was beyond all reason and their is little wonder that the people of Lauderdale county are wrought up over it.

14. April 9, 1915 The Hummer Houlka, Houston, MS
Article from The Hummer, April 9, 1915

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will Terry, 24 years of age, fell into Bear Creek, near Sontag, and was drowned. His body was recovered by & searching party. The cornerstone of the new city hall at Meridian was laid by Grand Master Jesse M. Brooks and other Grand Masonic lodge officers. Chancery court, which was to have convened at Quitman the second Monday in April, has ben pretermitted to the third Monday in April, the 19th. Contracts for the erection of the new high school in Greenville have been awarded to a Birmingham concern, who were lowest bi ers, within price of $34,000. The date of Gov. Brewer's speaking in ineBatesville has been changed from April 12 to April 17. The governor had accepted, an invitation to speak at Mendenhall April 12. The yarn mills of Yazoo City received a large order from one of the warring nations. Shipment will be made via Gulfport. The mill has been running on full time for several months, and the outlook is that every yard of yarn will be sold before " leaves the spindle. The most disastrous hall storm that has struck Hattiesburg in years swept a wide area of Forrest and adjoining counties, tearing the roofs-from build. ings, breaking out window panes and damaging early crops hundreds of dollars. Reports reaching Hattiesburg tell of the disaster caused by the hail stones, and local hardware companies have been filling orders for glass roofing and the like. Forty-five thousand dollars good cotn was turned loose in Meridian when checks for this amount, 50 per cent due creditors and depositors of the defunct Union Bank & Trust com. pany, were distributed by attorneys for Receivers J. A. McCain and W. C. Moore. The remainder of the amount due depositors and creditors of the bank $45,000, will be paid on or be fore November 23. At Pearlhaven, Lincoln county, 24 houses were more or less damaged by a tornado, about a dozen being torn off of their sills and totally demolished. Just north of the Central Lumber com pany a residence owned by Capt. Mor ton and W. H. Seavey was completely destroyed, and, although occupied, no one was seriously hurt. The tops of four box cars were also blown off. At the gravel pit east of Brookhaven sev eral houses were also blown down. Rats gnawing a match are believed to have started a fire in Pontotoc that destroyed six business establishments, causing $50,000 loss. The flames orig. inated in Carr Bros.' store, destroying that building, the Southern Express company's office, N. M. Wheeler's grocery, R. B: Carr & Co.'s and I. C. Henderson's general mery andise stores and the Campbell garage. I. H. Daniel, a traveling salesman of New Orleans, and Ike Bell, an express wagon driver, were painfully injured when a wall of the Carr building fell on the building of the Southern Express company, demolishing the structure. The two men were in the express officer at the time. Gov. Brewer has issued pardons to Gus Bradley, serving fifteen years from Tate county for shooting a negro woman, and Will Clayton, of Pontotoc, convicted in September, 1913, on a charge of murder and sent up for life. George W. Wilkes, proprietor of the Biloxi Daily Herald and Guifport Daily Herald, died in Biloxi, after an illness of seven weeks. Mr. Wilkes' death was due to complication of allments from which he had suffered for some time. He was born on Jan. 11, 1854, in Princeton, Ind., emigrating to the south in 1877. Whatever effect the cold weather

15. May 8, 1915 The Hattiesburg News Hattiesburg, MS
Article from The Hattiesburg News, May 8, 1915

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DAMAGES ARE GIVEN. Meridian, Miss., May 8.-The jury after being out all night returned a verdict this morning awarding H. J. Woods $5,500 damages with six per cent interest from November 16, 1912, against Sam Meyer. The total amount is $6,315.82. The suit involved the condition of the Union Bank & Trust Company, which failed November 16, 1912. Mr. Woods alleged that he had a conversation with Mr. Meyer, a director in the bank from its organization, in June and July, 1912, with reference to the purchase of fifty shares of stock and the sale of fifty-four shares owned by him. He claimed that Meyer told him the bank was in good condition. Meyer denied on the witness stand that he had held any conversation with Woods. The case is of state-wide interest, because of the various phases which the failure of the bank has assumed and the involving of prominent men. The bank at the time of its failure, had 2,000 depositors. The allowance of $50,000 attorneys' and receivers' fees, brought forth an effort before the legislature to address Chancellor Whitman out of office. The attempt failing, various suits have been filed and criminal prosecution brought in which Governor Brewer and Attorney-General Collins took a hand. The criminal prosecution has been dropped. Part of the amount due creditors has been paid under an agreement. About $45,000 is still due which is to be paid next November. At the time the bank failed, it had liabilities of almost $1,000,000.