20659. First National Bank (Jackson, TN)

Bank Information

Episode Type
Run Only
Bank Type
national
Bank ID
2168
Charter Number
2168
Start Date
January 12, 1927
Location
Jackson, Tennessee (35.615, -88.814)

Metadata

Model
gpt-5-mini
Short Digest
64ce65b5

Response Measures

Accommodated withdrawals, Borrowed from banks or large institutions

Description

A heavy run began Jan. 12โ€“13, 1927 driven by idle gossip/rumors the bank was short of money. The bank remained open and was aided by a cash supply from the Federal Reserve Branch in Memphis; no suspension, receivership, or permanent closure is reported.

Events (2)

1. August 17, 1874 Chartered
Source
historical_nic
2. January 12, 1927 Run
Cause
Rumor Or Misinformation
Cause Details
Idle gossip and groundless rumors spread that the bank was short of money (reports that a farmer's loan request led to rumors the bank had no funds).
Measures
Received a supply of money from the Federal Reserve Branch in Memphis; police organized crowds into lines and guarded the sidewalk; bank paid presented checks and announced it would meet all obligations.
Newspaper Excerpt
A run was started today on the First National Bank of Jackson...the run was started by idle gossip and groundless rumor.
Source
newspapers

Newspaper Articles (10)

Article from The Tennessean, January 13, 1927

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STARTED Door Closed in Face of Crowd of Depositors in Jackson. (Special to The Jackson, Tenn., Jan. 12-A run was started today on the First National Bank of Jackson, regarded one of the strongest banks in West with of as given in the statement of the condition the bank Sunday, throughthe day into the building to withtheir money. All of the checks presented were and when the closing came this afternoon the bank officials announced the large the front the building that the would o'clock in the morning bank officials announced that the started by sip groundless crowd times and noon Chief Police Tip Taylor squad the street open at the personally directed the crowd point institution ready meet was announced. has stock $200,000 surplus The and according published one oldest this aftthan usual posits show their confidence the bank. o'clock this Caldwell, president wire from Monroe former now Houston, that wiring $100,000 Bank of. ficials said were the spirit confidence and loyalty shown the message and the banks Jackson, with accord. inquirers today that the First absolutely sound they depositors single penny. the origin reports that led bank went the today that gained the greatest circulation and appeared many be most logical report that the alarm was first (Continued on Page


Article from The Leaf-Chronicle, January 13, 1927

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RUSHED JACKSON BANK GIVEN AID FEDERAL RESERVE BRANCH SUPPLIES INSTITUTION WITH NEEDED FUNDS. Jackson, Leased supply of money was received by the First National Bank of Jackson this morning from the Federal reserve branch Memphis, and bank officials announced that they were confident the bank could withstand the heavy run which Wednesday morning. Police prepared for the crowds this morning and arranged the strong inlines and there considerably less confusion than Wednesday when the rush opened. No business firms are known to have withdrawn deposits and the majority are withdrawing are said to be small


Article from Kingsport Times, January 13, 1927

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CONTINUE RUN ON BANK IN JACKSON Supply Money Received This Morning From Federal Reserve Bank Withstand Run Jackson, Tenn., Jan. 13. supply of money was received by the First National Bank of Jackson this morning from the Federal Reserve Branch in Memphis, and bank officials announced that they were confident the bank could withstand the heavy run which started yesterday morning. Police were prepared for the crowd this morning and arranged the throng in lines and there was considerably less confusion than yesterday when the rush opened. No business firms were known to have withdrawn deposits and the majority who are withdrawing are said to be small depositors. The bank is rated as one of the strongest and oldest in West Tennessee those who informed in local financial conditions declare the run will be weathered in good shape. Idle gossip is attributed to be the reason for the start of the bank run.


Article from The Chattanooga News, January 13, 1927

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HEAVY RUN STARTED ON BANK OF JACKSON Jackson, Jan. supply money was by the First National bank Jackson, this mornfrom the Federal Reserve branch in Memphis and bank officials nounced that they confident the bank could withstand the heavy which started yesterday morning Powere prepared for the crowd this Until morning and the throng in lines and there was confusion than yesterday when the rush opened. No business firms are known to have deposits and majority who are withdrawing are said to be Morte small bank as of the and oldest in West and who informed in local Homey declare the will be weathered in good shape. Idle is be the reason for the stars of the bank run.


Article from Nashville Banner, January 13, 1927

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JACKSON BANK RUN CONTINUES Not So Pronounced Today as Wednesday and Offi. cials Confident. Jackson, The run on the First National of this place which started the believed of rumors, though 250 and depositors their funds is stated total amount bank's tors, The largely the bank amount to and reserve cash and all demands run on the stated Wednesday the was due, to ly after the bank and durto that force was keep the anxious to his her money, derly The friends of the bank local banks their assistand furnished bank continued business The bank handled paying all who into the of the The one the oldest best this as fully of the bank are the the local were during the day and they only the but officials not the the bank was withstand unusual demands Wednesday and would continue to pay demand. The the danger who familiar the banking business do not believe the run harm the W. Vanden of the states the able meet and has sought fears those clamoring for The is somewhat the who the failure of the People's The bank held meeting approved and pleasing to those the and all were for the ensuing Monroe rich cotton broker wired the bank which the disposal the many positors were clamoring for their others were making deposits


Article from The Commercial Appeal, January 13, 1927

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PANICKY DEPOSITORS START ON BANK First National At Jackson, Tenn., Weathers Storm. OF DEAD ARE WOMEN SENTENCES ARE HELD UP LAID TO Member of FootTeam Other Victim-Another Student Is Wounded. Grudge Held Responsible. JEFFERSON Tenn., summoned from the surrounding countryside and scores of private citizens tonight besieged W. B. Johnson, prominent man, in his home here where he barricaded himself late today slaying two women. He later shot and killed college student and member of the party which had surrounded his house. At late hour, no rush had been made on the building leaders were considering waiting for daylight and the arrival of rifles and ammunition from Knoxville before making attack. Virtually the population of this little college stirred by the slayings, either of the beleaguering party or watched the situation safe distance. Included in this number the greater part of the student body of College. Johnson, deputy shot Mrs. Josie B. Howher Jessie Howard to their the the town from shopping The reason for his not been definitely say difficulties the for years Fled to His Home. With his his slayer fled his home the the killing and about half mile the city. hours later. crowds gathered appeared upper window fired into persons instantlykil ling brell Hicks, leader star of its football team years. Another not learnbut it is believed revolvers the crowd, then from the Sheriff Walter Anderson. ar. rived the scene before Hicks and other took the situation and summoned aid nearby counties. began rapidly and by o'clock. deputies and poon the to have threatto shoot molesthim to his home from the first slayings. Varying Versions. Witnesses to the shooting of Mrs. Howard Bishop, tonight the route home Johnson Purkey being made that both and Purkey drew their on the women. while another version that Johnalone death spinning the bodies his his friend making valiant effort to stay Both men. after the shooting. dis(Continued on Page Four) One County Judge Delays Panishing Criminals Until After Woman's Term other County Attacks Policy. AUSTIN. Texas, Jan. Governor Miriam Ferguson today struck back at critics of her pardon policy, while the courts of second county the postponed the sentencing criminals after the woman executive leaves office Jan. 18. In Mrs. Ferguson challenged her opponents cite any acts clemency that "have not justified.' To prevent the further pardoning of convicts from Harris County, Judge Whit Boyd the criminal district court at today agreed to withhold the sentencing of all until Ferguson's expires. Judge Boyd acted the request of Horace Soule, district attorney. declared one man recently convicted had been freed by the governor that his understanding that another was to be pardoned. The in Harris County followed the continuance of all criminal cases in Bexar County, (San result of the flood of pardons issued by Mrs. Ferguson. There was no today in the stream of pardons that have been issuing from executive office. full pardons conditional granted the her acts to In less than two years Mrs Ferrecord for her husband, James E. Ferguson. (Continued on Page Two.) Hundreds of Depositors Made Rush to Say Institution Has Resources of $3,280,301. Tenn., Jan. run started today on the First National Bank of regarded one of the banks in West Tennessee, with of ns given in the statement of the condition of the bank published last Sunday, and throughout the day hundreds of crowded into the building withdraw their money. the checks presented were paid and when closing came o'clock this the bank officials announced the large crowd congregated around the front of the building that doors would open at o'clock the morn. ing usual. The bank officials announced that the run was started by idle gossip and groundless rumor. The crowd grew impatient at times and at noon Chief of Police Tip Taylor took squad four men to keep the sidewalk and street open at the bank. He personally directed crowd from point at the doorway. The institution ready meet all obligations, was announced. It has capital of $200,000 and plus fund of The deposits to according to the bank's statement published One of Oldest Banks. The bank is one of the oldest in West its ability withstand the run. Many regular customers this afternoon made more than usual deposits to show their confidence the bank. At o'clock this W. Caldwell, of the bank, received wire from Monroe Anderformer Jacksonian, with the Cotton Company of Houston, Tex., saying that he was wiring $100,000. Bank of ficials stated that they did not need appreciative of the spirit of confidence loyalty shown in the message and the act. Other bankersof Jackson one accord assured inquirers today that the First National absolutely sound they advised depositors withdraw penny. Many explanations the origin reports led to the run on the the circulation to the most logical the report that the alarm first Mercer This declared that of Mercer came the ago and applied for loan. The loan the bank didn't have any money farmer, alleged. back to and told friends of the his and the led other the story from to time until became rumor that the bank was out of money.


Article from The Vicksburg Post, January 14, 1927

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RUN ON BANK Tenn., Jan. "run" the First National on Bank of Jackson, started by mors which spread like wildfire. that the bank was short of money. has been withstood for two days the bank. One million dollars today from the Memphis branch of the Federal Reserve System of Louis to the local bank. Long lines of depositors today continued to withdraw their money.


Article from Paragould Soliphone, January 14, 1927

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IDIOTIC TALK CAUSES RUN ON JACKSON BANK "Lip Shooters" Unable to Break Institution-Bank Proves Its Strength (By the Associated Press) Jackson. Tenn., Jan. 13-A run was started yesterday on the First Na tional Bank of Jackson, regarded as me of the strongest banks in West Tennessee. with resources of $3,280.301.47 as given in the statement of the condition of the bank published ast Sunday, and throughout the day hundreds of depositors crowded into the building withdraw their money. All of the checks presented were paid and when the closing rame at o'clock this afternoon the bank officials anounced to the large crowd congregated around the front of fthe building that doors would open at 0 o'clock in the mornng as usual. The bank offifeials announced that the run was started by idle gossip and groundless rumor. The crowd grew impatient at times and at noon Chief of Police Tip Taylor took squad of four men to keep the sidewalk and street open at the bank. He personally directed the crowd rom a point at the doorway The institution is ready to meet all obligations it was announced. It has a capital stock of $200,000 and sur plus. fund of $100,000. The deposits amount $2,809,261.2 according to the bank's statement published last Sunday One of the Oldest The bank is one of the oldest in West Tennessee and is showing its ability to withstand the run. Many made more than usual deposits to regular customers this afternoon show their confidence the the bank.


Article from Morristown Gazette Mail, January 14, 1927

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Run On Bank Continues Today Jackson, Tenn., Jan. run on The First National Bank here started by rumors spreading rapidly that the bank was short of money, has been withstood for two days. One million dollars was brought from the Memphis branch of the federal reserve bank and depositors day continued to withdraw their money.


Article from The Commercial Appeal, January 15, 1927

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15, Rescue. might have been serious failure averted by the acof the Federal Reserve management sending million dollars the First National Bank at Jack- based on nothing more run, idle and rumor. draining the bank of cash, and without help there might have come moment temporarily the bank must have closed through lack the necessary cash to pay all withdrawals. And this run continued for two days, despite the publication before began of showing that the bank's resources were in excess of three quarter millions. The moral in this predicament Jackson bank enormous value our fiscal and financial system of the Federal which authorized by law to come the rescue any member bank which unduly harassed by demands. The number of bank failures this season and this section, due unprecedented cotton crop, (unusual, no failure should be stimulated by false rumors lack proper support from institutions. This one greatest features of the reserve banking system. only help the extension when credit becomes tight, can keep institutions are subjected to calls beyond normal ability satisfy. this way the run on the First of Jackson furnished object lesson of the Before the system the Jackson bank would been compelled to weather the best way could, and depositors had all clamored to be paid off the bank would been compelled close when the gave out. possible transfer cash and resources across the necessary, protect solvent against an unjust flood the wave prosperity country whole continues any serious setback, agricultural regions, are suffering effects of too large this, the