9926. Farmers & Merchants State Bank (St Paul, MN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
August 1, 1893*
Location
St Paul, Minnesota (44.944, -93.093)

Metadata

Model
gpt-5-mini
Short Digest
bf702798

Response Measures

None

Description

The articles (Aug–Nov 1893) refer to the Farmers & Merchants State Bank being in the hands of an assignee/receiver (St. Paul & Minneapolis Trust Co.; A.R. McGill). There is discussion of creditor meetings and investigation by a grand jury. No article describes a depositor run prior to suspension; the bank appears to have suspended and gone into receivership/assignment and not reopened in the coverage provided.

Events (3)

1. August 1, 1893* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank had insolvency/financial problems leading to appointment of a receiver; petition alleging misrepresentations referenced in court proceedings and creditor disputes over assignee/attorney selection.
Newspaper Excerpt
the petition of Thomson Bros. et al. against the St. Paul & Minneapolis Trust company, as receiver of the Farmers' and Merchants' State bank
Source
newspapers
2. August 13, 1893 Other
Newspaper Excerpt
Meeting of Creditors of the Farmers and Merchants'. The meeting held at Century hall yesterday afternoon by all of the creditors of the Farmers and Merchants' State bank ... majority ... were in favor of having the assignee removed and were in favor of reorganization.
Source
newspapers
3. November 14, 1893 Receivership
Newspaper Excerpt
Among the witnesses sent for are Assignee Hahn of the State bank, A. R. McGill, of the St. Paul and Minneapolis Trust company, assignee of the Farmers' and Merchants' State bank
Source
newspapers

Newspaper Articles (3)

Article from St. Paul Daily Globe, August 6, 1893

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Article Text

COURT NEWS. Schedules in the assignment of Joseph W. Dupont, the insolvent jeweler, show assets of $6,220.84. and liabilities of $6,697.18. The Commercial bank and D. Laliberte, in sums of $1,500 each, are the only heavy creditors. The complication of affairs in the receivership of the Northwestern Guaranty Loan company was contin ued with the understanding that the case might come up at any time on twenty-four hours' notice to all parties. John A. Williams, who was indicted by the last grand jury accused of obtaining money through threats to prosecute, is now a free man. He appeared before Judge Smith yesterday morning with his attorney to argue a demurrer to the indietment, and the court sustained the idea that the indictment was not good and dismissed the action. Christian H. Thorpe has begun suit against the city of Minneapoiis to recover $1,052 damages. He claims that as a consequence of the floods from Bassett's creek out Western avenue June 26. of last year, his house was wrecked. The claim IS that the city constructed a canal which was insufhcient to carry of the water. A. E. Kroogstad claims $995 for the same reason in another complaint. The attorney general has served notice of an order to show cause why the receiver of the State bank should not pay the state the money in his hands as a preferred creditor. The attorneys for the other creditors are preparing for battle, and the case will come up for arguments in the district court next Monday. Andrew Dorko has begun a suit against Winston Bros. in which he claims damages to the amount of $20,DOO, He asserts that he was a workman on contract work on the Duluth & Iron Range railroad when a foreman asked him to drill out a hole for blasting, which had. already been opened. He claims that there was an unexpioded eartridge in the hole which went off and shattered an arm and otherwise injured him. The petition of Thomson Bros. et al. against the St. Paul & Minneapotis Trust company. as receiver of the Farmers' and Merchants' State bank, came up before Judge Smith on an order to show cause why a CPI tain deposit should not be turned over to the petitioners because of alleged misrepresentations. The court was of the opinion that the atorneys going at the matter in entirely the wrong way, as bringing a separate suit of that nature would be a very expensive proceeding. He therefore dismissed the order to show cause, and the attorneys for both sides came together and effected an amicable arrangement whereby evidence might be taken under the assignment without SO much additional expense.


Article from St. Paul Daily Globe, August 13, 1893

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Article Text

# HOT FROM START TO FINISH, Meeting of Creditors of the Farmers and Merchants'. The meeting held at Century hall yesterday afternoon by all of the creditors of the Farmers and Merchants' State bank, was well attended, there being about 150 present. The meeting was called by the special committee appointed at the meeting last week to provide for a more satisfactory settlement for the creditors than could be made through an assignee. The committee was composed of George W. Jenks, James H. Bishop and Dr. F. W. Woodward. The meeting was a hot one throughout, there being a division of the members as to what policy to pursue. Some very hot and tart things were said at the meeting, the members being delightfully frank in stating just what they thought. Mr. Jenks,as chairman of the committee, reported that the majority of that body were in favor of having the assignee removed and were in favor of reorganization. Mr. Bishop submitted a minority report, aud was in favor of having the assignee instructed to discharge his attorney, H. D. Stocker, because the latter was interested in several enterprises in which the directors also had stock. Mr. Bishop moved that another attorney be appointed for the assignee. The motion created considerable excitement and raised a hot debate. The motion was lost, 15 to 21. The point was made that the receiver (the Trust company) has an attorney of its own employed by the year, and that the employment of Stocker is therefore an unnecessary source of expense. Beside, it is urged that he was attorney for the officers of the bank prior to the suspension. It is stated that in deciding to retain him the clique of officers outwitted the depositors who are opposed to him. Another debate was occasioned by the motion to allow the assignee to continue in his trust, and not to reorganize, and the motion was carried by a large majority. There is no opposition to the trust company as receiver.


Article from St. Paul Daily Globe, November 14, 1893

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Article Text

TO INVESTIGATE THE BANKS. The Grand Jury Subpœnas Assignees of Suspended Banks. Thd grand jury will begin investigating the bank failures to-day. The principal witnesses have nearly all been subpœnaed. They are, for the most part, the assignees and receivers of the suspended banks. attorneys on the inside and some depositors, Among the witnesses sent for are Assignee Hahn of the State bank, A. R. McGill, of the St. Paul and Minneapolis Trust company, assignee of the Farmers' and Merchants' State bank, Robert L. Penny, assignee of the American Exchange bank, Judge Rea, assignee of the Bank of New England. Lawyers John W. Arctander and McNear and Bacon, and other attorneys will also be called.