gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
2cd060be8bf7a7e9
Response Measures
Accommodated withdrawals, Partial suspension, Full suspension, Books examined
Other: A receiver was appointed/took charge of the First National (and later actions include receiverships); state banking examiners took control of other local banks.
Receivership Details
Depositor recovery rate
3.8%
Date receivership started
1929-10-26
Date receivership terminated
1938-11-30
OCC cause of failure
Governance
Share of assets assessed as good
26.5%
Share of assets assessed as doubtful
62.5%
Share of assets assessed as worthless
11.0%
Description
Receivership reported and a U.S. examiner was placed in charge after a rumor-driven run in October 1929.
Events (5)
1.March 19, 1929Chartered
Source
historical_nic
2.October 26, 1929Receivership
Source
historical_nic
3.October 26, 1929Receivership
Newspaper Excerpt
A United States bank examiner and his assistant are in charge of the First National Bank, which failed to open its doors last Saturday.
Source
newspapers
4.October 26, 1929Run
Cause
Rumor Or Misinformation
Cause Details
Whispered rumors that the bank 'was not safe' prompted heavy withdrawals.
Measures
None reported prior to suspension; later U.S. bank examiner placed in charge.
Newspaper Excerpt
The ugly tongue of rumor is declared to have caused the trouble at New Bern through causing a run on the bank by whispering it was not safe.
Source
newspapers
5.October 26, 1929Suspension
Cause
Rumor Or Misinformation
Cause Details
Bank failed to open after a run prompted by rumors, and examiners took charge.
Newspaper Excerpt
A United States bank examiner and his assistant are in charge of the First National Bank, which failed to open its doors last Saturday.
Published six afternoons a week and Sunday mornIng by The Goldsboro Publishing Company at 105 B. James Street, Goldsboro, N. C.
All rights of republication of special dispatches herein are also reserved.
Entered at the postoffice in Goldsboro, N. C., as second class-mail matter.
Tuesday Afternoon, October 29, 1929.
BANKS ARE SAFE
Former directors of the National Bank at Fayetteville have been charged with gross negligence and violation of the National Banking Act. At New Bern, a United States bank examiner and his assistant are in charge of the First National Bank, which failed to open its doors last Saturday. At Statesville, capiases were asked in Federal Court yesterday for officers of the Commercial National Bank of Statesville, which closed its doors a year and a half ago. In the Statesville case, a grand jury is reported to have found that false entries, overdrafts, and other acts leading to a shortage in the accounts of the bank had been committed. The ugly tongue of rumor is declared to have caused the trouble at New Bern through causing a run on the bank by whispering it was not safe. And at Fayetteville it is charged that directors of the bank violated the law by making loans of the bank's funds to themselves and approving loans made to concerns in which they had an interest. They are also charged with failing to make proper examination into the affairs of the bank at regular intervals. The three cases give interesting example of the ills from which banks may suffer-criminality, outside gossip, and insufficient attention to what is correct and necessary in the conduct of such institutions. Losses in all the cases are of far great. er effect than failure of ordinary commercial enterprises because such a number of people in the community and the general trust and mutual credit of the community are involved. Bankers carry a responsibility greater than those of most people. Proof that most of them carry it well is found in the small proportion of banks, as compared with other kinds of business, which get into trouble. stocks without any careful consideration of how much dividends the individual stocks actually paid or any of the other things which would be considered by a man or woman putting out money so as to receive an income from it over a number of years. Main Street first over-expanded the stock market and then exploded it. Wall Street tried to save the fragments. The fact that Wall Street saved the fragments for itself merely indicates that most Wall Streeters have more sense and knowledge about stocks than most Main Streeters. That is the truth that hurts.
SUBSCRIPTION IN ADVANCE Delivered by Carrier: One Year $8.00 Six Months 4.00 Three Months 2.00 One Month .70 By Mail In Wayne, Johnston, Sampson, Duplin, Lenoir, Greene, and Wilson Counties One Year $6.00 Six Months 3.00 Three Months 1.50 One Month .60 Outside of Counties Named One Year $8.00 Six Months 4.00 Three Months 2.00
2.April 21, 1930The Charlotte ObserverCharlotte, NC
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DISSOLVES INJUNCTION AGAINST FORMER BANKER
NEW BERN, April 20.-An inPique. junction has been dissolved here by Judge M. Meekins, restraining Vernon Blades. former president of the defunct First National bank from disposing of property or carrying on other business which might affect his llability in connection with the band. The injunction had been obtained by the bank re[ceiver. Although dissolved, the case which seeks to establish Mr. Blades' liability is still pending. Judge Meekins refusing to pass on that matter until final papers have been filed before May 12.
DYNAMITE BLAST DAMAGES OLD THEATER IN NEW YORK
NEW YORK, April 20.-(P)-A dynamite bomb early today wrecked concrete. iron-sheathed projection booth in the grand opera house landmark since the seventies at 23rd street and Eighth avenue. The building. which is now operated as motion picture theater, was empty except for the nighth watchman. and no one was injured. The man- range of colors. agement told police they were at loss to account for the bombing.
3.July 14, 1930News and RecordGreensboro, NC
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STATEMENT IS ISSUED BY BANK'S RECEIVER
First National, of New Bern, Shows Assets To Be Bigger Than Its Liabilities.
(Special Daily News) New July 3.-Receiver issued nancial for the First National bank, for quarter ending June 30. Listed assets bills 784 cash on other additional assets stock ment, $150,000. The total of all asinto the hands the celver given as $2,142,073. 13. assets uncollected are receivable, than Total of assets uncollected, $1,871.No dividends have been paid to date the cash on hand given of the bank held meeting and perfected orfor the purpose aidthe of the affairs
4.August 8, 1930Hickory Daily RecordHickory, NC
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WETS PLAN
POINT SABLE, LITTLE executive Aug. Anti-Saloon League board of the has challenged oppoof America to offer prohibition nents to bring temperature better plan to the nation. and sobriety included in The challenge was of policy and prothe declaration by the of action adopted gram session of its board in the last biennial conference terday.
STATE BANKING NEW BERN EXAMINER AT NEW BERN, Aug. Examiner Taylor, of State Banking department, the New Bern today to see was in could be done about giving what New Bern banking facilities. Chief Evaminer John Mitchell ex later the day pected the Citizens Bank Two banks, and the Eastand Trust company Bank Trust company, ern closed their doors here yesterday, New Bern with only leaving industrial bank. Five branches of the Eastern this section also closed. The First National Bank business here last suspended
5.August 8, 1930The Salisbury PostSalisbury, NC
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Article Text
Situation Survey Subject New Bern. Aug. Taylor, of the state banking department, in New Bern day to could be done about giving New Bern Chief John Mitchell was later the day. Two banks, the Citizens Bank and the Eastern Bank and Trust company. closed their doors here yesterday, leaving New Bern with only an dustrial bank. branches the Eastern in this section close. The First National bank suspended business here last October Officials of the two banks today reiterated that the are sound, and that closing was President Swan, declared his bank would not have closed had officials not been under the that could reopen immediately, or soon public confidence was stored. Directors of the Eastern late yesterday the possibilities of mediate reopening.
6.August 8, 1930The Charlotte ObserverCharlotte, NC
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TWO BANKS AT NEW BERN CLOSE TO PREVENT RUNS
NEW BERN, Aug. 7-State Bank Examiner John Mitchell and sistants from the banking department of the state corporation commission were expected here tonight to take charge of the Citizens Bank and Trust company and the Eastern Bank and Trust company of this city, both of which closed their doors here this morning as precautionary measures against threatened heavy runs and withdrawals. Since last October the First National Bank of New Bern has been in the hands of a receiver, so that the city is now without any commercial bank, except the Morris Plan bank. It is thought at least one of the two banks that closed today will be permitted to reopen shortly, as both are said to be in good financial shape. Closing of the Citizens bank affects the home office here and also its five branches at Arapahoe, Maysville, Oriental, Bayboro and Vanceboro. MRS. JOHN BASKERVILL INJURED IN CAR WRECK
Mrs. John Baskervill, wife of the Raleigh correspondent for the North Carolina Association of Afternoon Newspapers, had her right arm broken in three places when driven by her husband collided. another at Valdese, near here, Mr. Baskerville was not injured His wife is being treated at a Morganton hospital.
7.August 8, 1930The Charlotte NewsCharlotte, NC
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Article Text
Saturday Grocery And Market Specials For Thrifty Housewives
Two New Bern Banks Will Be Investigated
Examiner Seeking Facilities for Residents-Bank Officials Say Conditions Sound.
Taylor. an examiner of the State Banking Department. was in New Bern today to see what could be about giving New Bern banking facilities. Chief Examiner John Mitchell was expected later in the
Two banks. the Citizens Bank and Trust Company, closed their here yesterday. leaving New Bern with only Morris Plan bank Five branches of the Eastern in this section also closed The First Na. tional Bank suspended business here last Officials the two banks today reiterated statements that the in. stitutions are sound. and that closing was precautionary measure President W. Swan. of the Eastern, declared his bank would not have closed had officials not been under the impression that It could reopen or soon as public confidence was Directors of the Eastern late yes. terday appointed to investigate the possibilities*of imme-
8.August 8, 1930The News and ObserverRaleigh, NC
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New Overwhelmed By Demands of Depositors
New Bern, Aug. 7.-State Bank Examiner John Mitchell and assistants from the banking department of the State Corporation Commission were expected in the city night to take charge the Citizens Bank Trust Company and the Eastern Bank Trust Company, which elosed here today precautionary measures against heavy runs withdrawals. New thus left, at least temporarily, without bank, except for Morris Bank, First National Bank has been in the hands receiver since October. hoped, that least one of the two closed today, and possibly both, may be reopen early they are reported to good dition. In fact, meeting of directors the Eastern Bank and Trust Company held late day, make immediate investigation the possibility opening the bank and its five possible. On the President Swan, dent John Weskett, and Warren, director and The branches are Maysville, Oriental, and Vanceboro. Citizens First To Close. The Citizens Bank was closed this morning, minutes before its regular opening time, when throng depositors noted withdraw their funds. gradual drawals and the spread of rumors during the last few days, large yesterday but the bank officials expected to open today, until the waiting throng was outside. Cashier Scott states that the bank in good shape and amply nominal tions that institution could stand heavy withdrawals and that only decision close the bank, order protect depositors and all others concern-
For almost two and half hours the Eastern Bank remained open after the closing of the other institution. Every effort was made handle the situation but early became evident that many panicky depositors would immediatetheir The 30-day rule for notifying the bank about withdrawing was put into force the tide ed and the that the heavier the rest of the day. To interests of all in the best manner (Please Turn to Page
9.August 8, 1930The Index-JournalGreenwood, SC
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Examiner To Cope With Bank Trouble
NEW BERN, Aug. Examiner Taylor, of the state banking department, was in New Bern today to see what could be done about giving New Bern banking facilities. Chief Examiner John Mitchell was expected later in the day. Two banks, the Citizens Bank and Trust company and the Eastern Bank and Trust company, closed their doors here yesterday, leaving New Bern with only an industrial bank. Five branches of the Eastern in this section also closed. The First National Bank suspended business here last October.
10.August 8, 1930The Richmond News LeaderRichmond, VA
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NEW BANKING FACILITIES ARE CUT
Two Banks Closed and State Examiner Now Studying Conditions.
Asosciated Press Taylor, an examiner of the state banking department, was in New Bern today to see could be done about giving New Bern banking facilities. Chief Examiner John Mitchell was expected later Two banks, the Citizens' Bank and Trust Company, closed their doors here yesterday, leaving New Bern with only Morris Plan bank. Five branches of the Eastern this section also closed. The First National bank suspended here last October. Officials of the two banks today reiterated that the institutions are sound and that closing was precautionary measure. The News Leader covers Richmond Roof.
11.August 8, 1930The Durham SunDurham, NC
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NEW BERN HOPES TO REOPEN BANKS
Examiner Taylor, of the state banking department, was in New Bern today to see what could be done about giving New Bern banking facilities. Chief Examiner John Mitchell was expected later in the day.
Two banks, the Citizens Bank and Trust company and the Eastern Bank and Trust closed their doors here yesterday. leaving New Bern with only an industrial bank. Five branches of the Eastern in this section also closed. The First National bank suspended business here last October Officials of the two banks today reiterated statements that the are sound. and that (Continued on Page Eleven-A)
STATE BANK EXAMINER TRIES TO HELP NEWBERN
Two Banks Closed Doors Yesterday as Precautionary Move—Directors Say They Are Sound.
New Bern, Aug. 8. —(AP)— Examiner C. I. Taylor, of the State Banking Department, was in New Bern today to see what could be done about giving New Bern banking facilities. Chief Examiner John Mitchell was expected later in the day.
Two banks, the Citizens Bank and Trust company and the Eastern Bank and Trust company, closed their doors here yesterday, leaving New Bern with only an industrial bank. Five branches of the Eastern in this section also closed. The First National bank suspended business here last October.
Officials of the two banks today reiterated statements that the institutions are sound, and that closing was a precautionary measure.
President W. J. Swan, of the Eastern, declared his bank would not have closed had officials not been under the impression that it could reopen immediately, or as soon as public confidence was restored.
Directors of the Eastern late yesterday appointed a committee to investigate the possibilities of immediate reopening.
13.December 19, 1930News and RecordGreensboro, NC
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BORROWED BRIEFS.
Christmas parking Better your Louis Globefairly Democrat. the political If the narrowness extend Congress Bend Triband bear whiskers are comsaid that year think they should quarter- the scientist who Perhaps friendly Herald. wouldn' Princeton Suspension collegiate pranks News.
PARAGRAPHICS. most ardent Even those who are admit that admirers of snow must has tendency to drift. becoming problematical It is whether the senate will pass or merely provide lief measure measure
The daintiness of that handkerchief you're planning to give next determine whether or week will not to be sneezed at. looking for If the senate was which to place the shelf on pantry world court issue, shouldn't have taken members this long to find empty one.
Ye Paragrapher's guess that Dr. Allen in addressing the ladies' night meeting of the Siler City Rotary club did not discuss proposed textbook changes.
If get the suggestion right, it to the effect that in the "Mr. McNinch poor sentence man's next to the last supererogatory.
Our candidate for the prize for the worst thing any lawyer has lawyer in 1930: about poor man's lawyer because one else would hire
What this state has been suffering from here right lately of weather. considering the kind of weather, and ditto politics, ditto.
"Judge Drops Case." says headline in Greensboro's favorite morning newspaper. circumstance. Ye Paragrapher, recalls which has ments for any number of luggage toters.
Elizabethton, Tenn., dispatch prints that the name of plaintiff court there as Tisrow Tasrow Isrow Hasrow Searisrow SiMcGhee. We doubt it: but what typographical error more less anything that?
We think that Mr. this morning is simply and we shall not let appear within three columns of us out protest. Our notion has long been that the proper pictorial of the United States senate stuffed shirt.
Because he walked two miles through the snow to get to his fice, the Rowan county register of deeds gets on the Associated Press wire and makes box in more than one newspaper. Oh, well, the countless who did that more mileage probably didn't want the publicity anyway. The weather man's spasm of temperance has been widely mentioned blessing of sort, that affords employment for some hours people otherwould not have had any. And from us, find out for yourself, you haven't done the who shovels snow earns every dadblamed cent he gets.
It comes out that the Jersey federal judge who t'other day leaped from his cell with gain effect that the constitution where it says what the league put was protege of Wayne and Wheeler, at least that Wheeler duty helped him get his judging tions another of those ironies guard and the crop of them again these that they hardly entertain, edify or instruct.
CRAVEN WINS MENTION. The outcome of the banking litical alliance in various localities in North Carolina easily gives Asheville Buncombe county first place with millions involved. But bystander only in fair shall insist that play, New Bern, or Craven county, both, as may be, are entitled and the scorer invited take notice. The ceiver of the First National bank New Bern brought against V. Blades, president of the bank, for assessment on stock. It was admitted that the assessed stock was in Blades' name but ended that he did not buy and that was the owner; that he had permitted the use his name and credit to help straighten out the bank's affairs when was reorganized. Judge Meekins, judgment against Blades, remarked bank situation was appalling to him, and further: evidence indicates that dollar stock had that county the and citizens were sending up bank statements like that. hsa been mentioned that the of Craven county secured from the 1929 legislature authority to issue around threefourths of million dollars of bonds for roads and bridges, and alleged that instead of building roads bridges the money borrowed on the faith and credit of the taxpayers was used to bridge local banks. Presumably the $180,000 from the county to operate this First National bank part of the bond issue funds. Under the circumstances the stockholders probably no reason for paying their personal funds for stock when they could get capital from the county treasury. Mr. Blades' error seems to have been that he was He lowed bunch of stock to stand his name as favor to the bank and the court treats him as if was personally liable for the courtesy to friends. These down easters have dealt in hundreds of while the folks the mountain tops dealt in many millions. But does not appear that any Asheville bank tried to solely on bond sue money borrowed from the county, although had some millions of public money deposits help out. The Craven folks comparatively are more than but probably they were doing their Judge Meekins is appalled that the "best citizens" were mixed Craven business. Citizens hitherto considered among the also in the Asheville incident. It will be necessary redefine the term "best citizens. Plain folks have that people" did not carry on as alleged has been done at Asheville and New Bern. It may be the commoners just don't understand this modern way of financing banks with lie money through political ances.
14.March 31, 1931Hickory Daily RecordHickory, NC
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RAYMOND APPOINTED BANK RECEIVER
NEW BERN March ceiver for the First National bank New Bern. Monday ap pointed receiver for the National bank of Goldsboro, which closed last December. While continuing his work here will assume charge the Goldsboro institution April
15.March 31, 1931The Charlotte ObserverCharlotte, NC
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NEW BERN BANK RECEIVER WITH BANK AT GOLDSBORO
NEW BERN March 30-Raymond Schumacher, receiver for the First National bank of New Hern today was appointed receiver the National of Goldsboro closed last December. While continuing nis work here he will assume charge of the Goldsboro April
16.October 30, 1931The Daykin HeraldDaykin, NE
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NEW BANKING FACILITIES ARE CUT
Two Banks Closed and State Examiner Now Studying Conditions.
Asosciated Press Taylor, an examiner of the state banking department, was in New Bern today to see could be done about giving New Bern banking facilities. Chief Examiner John Mitchell was expected later Two banks, the Citizens' Bank and Trust Company, closed their doors here yesterday, leaving New Bern with only Morris Plan bank. Five branches of the Eastern this section also closed. The First National bank suspended here last October. Officials of the two banks today reiterated that the institutions are sound and that closing was precautionary measure. The News Leader covers Richmond Roof.
17.June 15, 1932The Richmond News LeaderRichmond, VA
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RESERVE BANK'S DEMURRER UPHELD
Meekins' Decision in Case From Newburn Affirmed by Circuit Court.
The United States circuit court of appeals has affirmed the decision made by Judge in sustaining demurrer filed attorneys for the Federal Reserve Bank which was defendant 000,000 brought Lucas and and the defunct First National Bank of New was today. The decision the the plaintiffs decide continue han appeal the States supreme which contemplated. The considerable interest banking às concerns the question whether federal bank demand amounts of collateral for bank Asked for Collateral The plaintiffs asked for return marginal collateral claimed for the two sought ages around from the federal reserve institution, they claimed that the local had greatly and eventually destroyed the fact that collateral had been held by the reserve bank. They declared preference being the creditor fed. reserve, in allowing to collect much they asked the return the paper for liquidation bank receiver, so that creditors might benefit from its distribution. for the plaintiffs were Whitehurst, R. Guion and Judge all of New Bern. The defendant attorneys, Newton Baker, former secretary war M. Wallace, Richmond, attorney for the Federal Reserve bank, and Wilson H. Lee, New Bern. filed demurrer asking that the tion be dismissed on several grounds.
FRANK FAGAN MADE RECEIVER OF BANKS Goldsboro Man Given Two More To Make Five Banks He Is Now Administering Goldsboro, Nov. 30 (AP)-Frank F. Fagan, of Goldsboro, has been appointed receiver of the First National Bank of New Bern and the National Bank of Washington, N. C., and will assume his duties December 5, it was announced today. Fagan will continue as receiver of the Wayne National Bank of Goldsboro the First National of Kinston, and the National Bank of Kinston.
19.July 7, 1937The Times-NewsHendersonville, NC
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NEW RECEIVER NEW BERN, July 7.-(UP)Fred W. Ayres of Washington has been named receiver of the First National bank of New .Bern and fuor other banks of this section to succeed Frank F. Fagan, resigned.
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.
