gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
07bde2d0033cc07d
Response Measures
Fed/other loan, Full suspension, Books examined
Receivership Details
Date receivership started
1923-07-03
Date receivership terminated
1923-12-15
OCC cause of failure
Run
Share of assets assessed as good
55.4%
Share of assets assessed as doubtful
22.3%
Share of assets assessed as worthless
22.3%
Description
Initial precautionary closing after rumor-run in June; by early July receiver activity indicates the bank entered receivership.
Events (7)
1.December 9, 1914Chartered
Source
historical_nic
2.June 9, 1923Run
Cause
Rumor Or Misinformation
Cause Details
Persistent rumors of a run prompted depositors and nervousness leading to heavy withdrawals and the bank closing its doors.
Measures
Bank closed its doors precautionarily; examiners arranged transfers of funds from the Federal Reserve Bank at Richmond to resume operations.
Newspaper Excerpt
the First National closed its doors Saturday, due to persistent rumors of a run on the bank.
Source
newspapers
3.June 9, 1923Suspension
Cause
Rumor Or Misinformation
Cause Details
Directors closed the bank to prevent a run after rumors and temporary tie-up of funds at Peoples National in Salisbury.
Newspaper Excerpt
the First National closed its doors Saturday, due to persistent rumors of a run on the bank.
Source
newspapers
4.July 3, 1923Receivership
Source
historical_nic
5.July 3, 1923Receivership
Newspaper Excerpt
There will be a mass meeting of the depositors of the First National bank of Spencer... It is the intention of the receiver of the Peoples National bank to be present at these meetings.
Source
newspapers
6.December 15, 1923Restored To Solvency
Source
historical_nic
7.December 15, 1923Voluntary Liquidation
Source
historical_nic
Newspaper Articles (11)
1.June 10, 1923Evening StarWashington, DC
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Article Text
THREE BANKS CLOSE IN NORTH CAROLINA Forced to Shut Down When Salisbury Institution Stops Business. By the Associated Press. SALISBURY, N. C., June 9.--Three smaller bank. in Rowan county closed their doors yesterday afternoon and today following the closing yesterday of the Peoples National Bank of Salisbury. The three banks are the First National Bank of Spencer, the Merchants and Farmers' Bank of Granite Quarry and the Bank of Rockwell. The Spencer institution will be able to pay its obligations in full, it was said today by W. G. Folger, national bank examiner, but no statements as to the situation of the other three could be obtained in authoritative quarters here today, nor would bank officers generally discuss the closing for the present. The Peoples National Bank, it was announced by its officers yesterday, was closed because of withdrawal of deposits following the throwing of the Mecklenburg mills into receivership. as it was explained that the banks had been interested in financing the mills. The Peoples National Bank was capitalized at $100,000. the Spencer bank at $25,000. the Rockwell institution at $7,000 and the Granite Quarry bank at $5,000.
2.June 10, 1923The News and ObserverRaleigh, NC
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Article Text
Two Other Banks In Rowan County Have Shut Doors
(Continued From Page One.)
Granite Quarry and the Bank of Rockwell at Rockwell.
Two national bank organizers W. J. Schechter and W. P. Folger, on the ground today, declared that the Spencer bank is absolutely solvent and there is no real cause for the depositors to become alarmed, that the assets of the bank are ample to meet all liabilities and that the closing of the bank's doors was purely precautionary and merely to prevent a run on the bank today.
The examiners also state that the bank here holds none of the class of paper that caused the closing of the Peoples National in Salisbury and the bank at Granite Quarry.
It is currently reported and undenied that the Spencer institutions has considerable funds on open deposit in the Peoples National in Salisbury and that this surplus being temporarily tied up caused the directors here to close the bank for a short time a statement posted on the front door today advised the public that the bank will reopen as soon as working funds are available. Later in the afternoon it was stated that ample funds are being transferred from the Federal Reserve Bank at Richmond to Spencer and that the bank will resume business as usual in a few days, perhaps the first of the week.
The First National was organized in 1915 with a capital of $25,000 and $5,000 surplus and now has assets of over $397,000. T. E. Johnston has been cashier since the bank was started.
While there was some uneasiness today and some evidence of a nervous feeling on the part of depositors there is a general feeling that the bank is sound that it will reopen next week and that there is no prospect for depositors to sustain a loss; other banks in the community did business as usual today.
3.June 11, 1923The SentinelWinston-Salem, NC
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Article Text
SPENCER BANK WILL RE-OPEN IN SHORT WHILE
Spencer, June 11—(Special)—The banking situation remains unchanged today, since the First National closed its doors Saturday, due to persistent rumors of a run on the bank. National Bank Examiner G. H. Tucker is in charge today, but has made no statement as to when the bank will reopen. Examiners declare, however, that the bank is absolutely solvent and will reopen in a short while.
SPENCER BANK STILL CLOSED
SPENCER, June 11.—The banking situation in Spencer remains unchanged today since the First National closed its doors Saturday due to persistent rumors of a run on the bank. National bank examiner, G. H. Tucker, is in charge today but has made no statement as to when the bank will reopen. Examiners declare, however, that the bank is absolutely solvent and will reopen in a short while.
5.June 12, 1923The News and ObserverRaleigh, NC
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Article Text
BANKING SITUATION AT SALISBURY UNCHANGED
Spencer, June 11.—The banking situation in Spencer remained unchanged today since the First National closed its doors Saturday. Due to persistent rumors of a run on
6.June 12, 1923The Wilson TimesWilson, NC
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Article Text
BANK IS SOLVENT;
WILL REOPEN SOON.
Spencer, June 11.—The banking situation in Spencer remains unchanged today since the First National closed its doors Saturday, due to persistent rumors of a run on the bank. National Bank Examiner G. H. Tucker is in charge today but has no statement as to when the bank will re-open. Examiners declare, however, that the bank is absolutely solvent and will re-open in a short time.
7.June 12, 1923The Wilson TimesWilson, NC
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Article Text
Spencer, June 11.—The banking situation in Spencer remains unchanged today since the First National closed its doors Saturday, due to persistent rumors of a run on the bank. National Bank Examiner G. H. Tucker is in charge today but has no statement as to when the bank will re-open. Examiners declare, however, that the bank is absolutely solvent and will re-open in a short time.
The estimates of damage in Arkansas City are placed at three million dollars.
Meager reports from Winfield, Kans., almost entirely cut from the outside world, estimates the damage there at between one and one and a half million dollars. Many are homeless and they are being cared for by the Red Cross and other organizations. American Legion members are patrolling the city.
Conditions at Wichita, Kans.
Bank Situation Remains Unchanged
(Special to The Journal)
Spencer, June 11.—The banking situation in Spencer remains unchanged today since the First National closed its doors Saturday, due to persistent rumors of a run on the bank. National Bank Examiner G. H. Tucker is in charge today, but has no statement as to when the bank will reopen. Examiners declare, however, that the bank is absolutely solvent and will reopen in a short time.
Hydrogen is made to solidify at a temperature of 470 degrees below zero, Fahrenheit.
Eating meat on Wednesday, or driving on Sunday, is still punishable in England.
9.June 12, 1923News and RecordGreensboro, NC
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Article Text
Bank Is Solvent; Will Reopen Soon
(Special to Daily News.)
Spencer, June 11.—The banking situation in Spencer remains unchanged today since the First National closed its doors Saturday, due to persistent rumors of a run on the bank. National Bank Examiner G. H. Tucker is in charge today but has no statement as to when the bank will re-open. Examiners declare, however, that the bank is absolutely solvent and will re-open in a short time.
10.June 15, 1923The Wilson TimesWilson, NC
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Article Text
WILL REOPEN SOON.
Spencer, June 11.—The banking situation in Spencer remains unchanged today since the First National closed its doors Saturday, due to persistent rumors of a run on the bank. National Bank Examiner G. H. Tucker is in charge today but has no statement as to when the bank will re-open. Examiners declare, however, that the bank is absolutely solvent and will re-open in a short time.
11.July 5, 1923The Salisbury PostSalisbury, NC
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Article Text
BANK RECEIVER WILL MEET WITH DEPOSITORS ON TOMORROW NIGHT
There will be a mass meeting of the depositors of the First National bank of Spencer and of interested citizens and the public generally in the county courthouse, Salisbury, on Friday night at eight o'clock, according to an announcement made this morning.
A similar meeting wil be held in school building at Spencer at 7 p. m. on the same night. It is the intention of the receiver of the Peoples National bank to be present at these meetings.
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.
