City National Bank (Paducah, KY)

View Charter #2093 on SPMC View balance sheet

Episode Information

Episode UID
209301571
Episode Type
Run → Suspension → Closure
Bank Type
national
Bank ID
20930 national
Charter Number
2093
Start Date
November 17, 1930
Location
Paducah, Kentucky (37.083, -88.600)

Metadata

Model
gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
3ce2843894244dc8

Response Measures

Capital injected, Full suspension, Books examined

Other: The bank president committed suicide following the closure.

Receivership Details

Depositor recovery rate
50.0%
Date receivership started
1931-10-28
OCC cause of failure
Economic conditions
Share of assets assessed as good
19.0%
Share of assets assessed as doubtful
77.0%
Share of assets assessed as worthless
4.0%

Description

The bank absorbed two others in Nov 1930 before failing in Oct 1931 due to bond depreciation and heavy withdrawals. The president committed suicide shortly after the closure.

Events (7)
1. March 18, 1873 Chartered
Source
historical_nic
2. November 17, 1930 Other
Newspaper Excerpt
City National Bank of Paducah today announced the of the First National Bank the Mechanics Trust and Savings Bank of Paducah.
Source
newspapers
3. October 27, 1931 Run
Cause
Macro News
Cause Details
Persistent withdrawals over several months and deflation of bond values due to economic conditions.
Measures
Directors met to devise a plan to remain open but failed; subsequently voted to suspend for depositor protection.
Newspaper Excerpt
there have been heavy withdrawals of deposits, the resolution said... forced to close by persistent deflation of bond values and by withdrawals over period of several months.
Source
newspapers
4. October 28, 1931 Receivership
Source
historical_nic
5. October 28, 1931 Receivership
Newspaper Excerpt
Paul Keyes, who was appointed receiver for the City National bank, reached Paducah this afternoon and immediately took charge of the bank.
Source
newspapers
6. October 28, 1931 Suspension
Cause
Macro News
Cause Details
Deflation of bond values and heavy withdrawals forced directors to request suspension.
Newspaper Excerpt
The City National bank closed its doors this morning. Notices posted at the bank stated it had been closed for examination by order of the comptroller of the currency.
Source
newspapers
7. October 30, 1931 Other
Newspaper Excerpt
body of James C. Utterback, president of the City National Bank of Paducah... was found in Noble Lake here today.
Source
newspapers

Newspaper Articles (20)
1. November 17, 1930 The World-News Roanoke, VA
Article from The World-News, November 17, 1930

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Article Text

pany, Newport; Bank of Pangburn, Pangburn: State Perry: Merchants Trust Company. Pine Bluff: Bank Star Star Victoria Bank Strong: State Bank, Stuttgart; Citizens and Bank of Wabbaseka, The following banks affiliated with Banks Company mained open for business, the comannounced: The Bank of Fordyce and the First National Bank, Fordyce: Bank Harrisburg, Harrisburg First National Mineral Bank of phens, Stephens, and Bank of Waldo, Waldo. Efforts were being made at City to merge the First National Bank and the Merchants and Farmers and open one of them today, officials said. Chicago Nov affiliated the National Bank Kentucky drastically the Chicago stock market opening compared with closing price Saturday of Sales midsession today had reachtotal of shares, while the sales last 9.800. stock has sold 25 this and last mark was today the to and then slipped back Ky., Nov. City National Bank Paducah today nounced the of the First National Bank the Mechanics Trust and Savings Bank Paducah. James Utterbach president the City Bank, had all assets of the other local and had guaranteed their deposits. Directors the First National Bank, which was affiliated with the Bancothat closing the Bank Kentucky had not the First National of They added the National Bank owed and owed them nothing. BAPTISTS HERE FOR GENERAL ASSOCIATION MEETING TOMORROW CITY ITEMS Mark's Gathering. Mark's Lutheran who the during the will be welcomed gathering held the church Wednesday evening o'clock. Charles Smith, president Roanoke college, will make brief talk at this time. Committee to Meet. The of the Mary Louise home meet Wednesday o'clock the home number important matters will be discussed, and all members are urged to be New Director Arrives. Effie Kendrick, recently named the cafeteria, has the city. She assume her new duties morning Miss Kendrick native of Georgia, but comes here Orleans, where has sistant cafeteria of that city. Children's Book Talk. Miss Mary Roselle, children's 11brarian the Roanoke public library, will speak to parents the subjects books for children Tuesday morning at The viously announced Wednesday morning Suffering Injured Knee. near Boone taken Lewis-Gale hospital late suffering from badly lacerated knee as result of an automobile accident of on Mount road, about six miles from Crystal Spring The Crystal Spring Association meet afternoon the usual hour, nounced yesterday. The meeting was to have been held last but was poston the death mother the school Bertha Starritt. principal, Wreck Victims Improve. Mrs. Fred Lorenzen and daughters, Helen and Hazel, slightly injured an cident which occurred Armistice between Roanoke and Salem, are able to be out again. (Continued From Page One.) To Give Womanless Wedding. bentfit the church buildFor ing fund. Circle No. the WomAuxiliary of the West End Presbyterian will sponsor the "Womanless Wedsentation evening o'clock tomorrow the over the and Cafeteria Street. Hernwill be in charge of the don music. tists Virginia have chosen Roanoke their in 1897, 1910, 1917 in 1923. The white Baptists of Virginia numThey have 1,154 churches, 743 ministers 1,140 Bible Schools, Baptist Young Peoples Unions, Women's Missionary Undistrict which standhospital with 103 beds, orphanage at Salem which cares 275 children. seven academies, three junior colleges and one universiaccording to reports prepared for Seize and Liquor Cargo. tomorrow Stanley. Roanoke County of Virginia last liceman captured for automobile loaded 105 Buick for missions and education. of liquor on Friday night, gallons after chase from the W. Cammack will conduct opening session Road. through after organization and Northeast and an address welcome will ended the Bonsack Road, outside delivered by Angell. the city limits. One of the two sponse will made by Dr. Cecil other. cupants Cooke. Moses, faces prohibition charge. Among the other opening day speaktaken to Salem and later supplied ers are Frank Crump, bond. Eugene Sallee, both has Burn Car and Wreck One resented the denomination foreign Thleves will deliver an address Saturday night. Christ in Services will police another burned, at noon when that Frank Kaplan reported will be preached by Dr. been stolen. his had land whose subject will few minutes later fire company Greatest called street at Buzzard Rock president of the where Kaplan's machine Ford Richmond, will speak Police the car appearmorrow the ed been fired from the inside. "Higher World was backed into The report the committee ditch flames flared up presented by the sped Studebaker second car Tiffany. Tuesday night owned Riley Collins, touring address will Porter who wrecked at Church Avenue and his subject, "Must We First Street, W., shortly Fight Again?" was reported stolen. The driver fied. called to move the Speaking "Thomas Jefferson and Garland damaged vehicle away. Governor John Pollard will appear the program Pol- Pupils pupils of the Jamison has active Sixth will group songs the the for many school afternoon at o'clock from stahaving served moderator Friday WDBJ Those the the Peninsula Baptist Association while will last for about lived Williamsburg. which thirty program. minutes, will be children Dr. Richard pastor of CalMrs. Baptist will serve rooms of Mrs. vary Mrs. Virginia Mameeting which Beulah Painter and pastor scheduled adjournment at soncup. Thursday Planning Consolidation. article in the Daily to New the the National Credit Company and Dun Office are planning successful the the negotiations are individual will retain agencies but known the Dun Corporabe the Dun Company For 89 operation. been world-wide organiza257 offices and over operating states the States and themservices.

2. November 19, 1930 The Paducah Sun Paducah, KY
Article from The Paducah Sun, November 19, 1930

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Article Text

PADUCAH BANKS PRAISED FINANCIERS Messages to Utterback Say the Situation Handled Admirably Here Messages congratulating Paducah upon the successful of the First National and Mechanics Trust and Savings banks with the City Bank have been ceived from number of leading bank officials of the United States. Without exception they have pressed gratification the working out of acute financial problem this city. James Utterback, president the City National, the following from Nugent, one the of the First National in Chicago: "Heartiest congratulations to yourself and associates. You have worked out constructive and civicminded arrangement and we wish success." Houston, chairman of the board of directors of AmeriNational bank in Nashville, Tenn., the concern which took over Caldwell interests after the failure of that large financial house. wire to Utterback: for the part you have played in stabilizing conditions your section. Please be assured our interest and desire to be These messages are two of many received at City National bank. Utterback, Louis Rubel, Jesse and Pierce have receivcongratulations from many their friends not only Paducah but throughout the district, followthe bank merger of Monday. Mr. Utterback said business ceeded under almost normal ditions at the bank today. The former patrons of the absorbed banks transacted their the City National, and checks drawn them were honored. The conhas been worked out astonishing smoothness and lack confusion. "There were very few withdrawmost of those who drew out their money Monday and Tuesday brought back today,' Utterback said. "We feel very gratthe spirit loyalty shown by the public. This has been an experience that testthe faith some in Paducah, and am sure that we are safely Reports the close of business Tuesday the City National showthat the institution, with the of the two banks purhas assets and resources amounting to nearly $10,000,000.

3. October 28, 1931 The Paducah Sun Paducah, KY

Article Text

Heads Up the time to keep your head! There nothing funny about the closing of great bank. means hardship for many peoThat hardship can intensified by fool talk and fool actions. What has happened to the City National Bank has happened to others all over this country. Not long ago this bank saved millions to by its sumption of the liabilities two other banks which were close and which could have paid cent on the dol- There is sound reason to believe that the City National due time will return most, not the money its depositors are entitled to. In the the two maining banks are "carrying They are perfectly solvent. The people of Paducah must realize that without the necessary of banks they are helpless. They should rejoice in the fact that in the face of pressure that has whole communities, they still have institutions that can weather the storm. This situation been taken calmly and sensibly by the whole city. has gone usual at the other banks. There have been tears shed and more will be, but not stroyed. The whole world taking licking and those who take best will live to laugh off.

4. October 28, 1931 The Paducah Sun Paducah, KY

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DEFLATION OF BOND VALUES FORCES BANK TO CLOSE ITS DOORS Directors Vote to Suspend Business For the Protection of Depositors; National Bank Examiners Here KEYES IS NAMED RECEIVER; ARRIVES TO TAKE CHARGE Examiners Indicate Crisis Caused by Economic Conditions; No Irregularity Seen The City National bank closed its doors this morning. Notices posted at the bank stated it had been closed for examination by order of the comptroller of the currency. The action was requested by the directors. Directors of the bank met Tuesday night and adopted resolution that the institution suspend business for the protection of depositors. The bond holdings have diminished greatly in value, and there have been heavy withdrawals of deposits, the resolution said. Robert Neill, St. Louis, chief national bank examiner representing the Eighth Federal Reserve district, and Russell Mooney, St. Louis, national bank examiner for the same district, arrived late Tuesday. Neill has returned to Louis. The examiners announced that Paul Keyes, present the National Bank of Kentucky, has been appointed receiver for the City National. It was indicated that the bank had been forced to close by persistent deflation of bond values and by withdrawals over period of several months. The examiners made no statement to the press and declined to be quoted at this time. Directors Ask Order Mr. Neill was in communication with James C. Utterback, president of the bank, early Tuesday, it was said, and hurried to Paducah in to request response by Mr. Utterback. The directors voluntarily relinquished control of the bank when it became apparent that the institution's affairs were in such shape that the depositors were jeopardized. Following is the resolution passed by the bank's directors Tuesday night after a conference with the bank examiners: "Whereas, the bond holdings of this bank have diminished greatly in market value and large amount of its deposits has been withdrawn, be it resolved, that for the protection of its depositors, this bank suspend business at once, and notify the comptroller of the currency to take charge of its affairs." It was indicated by the examiners that nothing irregular had occurred in the transaction of the bank's business. The crisis was precipitated solely by economic conditions, over which the bank's officials and directors had no control, was indicated. The City National bank was incorporated in 1873. For years it had been a leading financial institution in western Kentucky. Two other Paducah banks, the First National and the Mechanics Trust & Savings bank, were absorbed by the City National about a year ago. Deposits Were Over The bank's statement as of September 29 showed resources totaling These included loans and discounts amounting to $3,466,749.99 United States bonds worth $679,812.50; other bonds appraised at federal reserve bank stock worth $24,cash exchange aggregating $446,861.45 banking house and fixtures valued at $515,261.39, and unitemized resources valued at $89,990.85. The miscellaneous bonds mentioned in the statement were given value of but were marked down $204,152.92 to take care of reserve for market depreciation. The bank's statement showed liabilities of to balance its total assets, in the report of September 29. Among the liabilities were listed deposits totaling capital stock of surplus fund of and undivided profits and reaggregating $78,475.95. Paul Keyes, who was appointed receiver for the City National bank, reached Paducah this afternoon and immediately took charge of the bank. Robert Neill, chief bank examiner for the Eighth federal rèserve district, left for St. Louis after conferring with the bank's directors. Directors of the bank met Tuesday night in an effort perfect a plan whereby the institution might remain open, but no workable plan could be devised, one of the directors stated today.

5. October 30, 1931 Advance-Yeoman Wickliffe, KY

Article Text

City National Bank In Paducah Closes The City National Bank of Paducah closed its doors Wednesday morning by order of the Comptroller of the Currency after a decision by the directorate to suspend business. Paul C. Keyes was named receiver and began the task of examining the bank's affairs Thursday

6. October 30, 1931 Washington Daily News Washington, NC

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Body Of Utterback Is Found In Lake Paducah, Ky., Oct. body of James C. Utterback, president of the City National Bank of Paducah, which failed to open for business Wednesday, was found in Noble Lake here today. The body was discovered by his -brother. Will Utterback, who with other members of the family did not return this morning from had started search when the banker walk. Pending an examination of the body the coroner and police withheld comment. Men the bank closed Mr. Utterback issued statement attributing it to recent heavy withdrawals to shrinkage in the value of the bank's bond holdings. The bank, established in 1873, reported deposits of $4,807,000 and total resources of $6,462,000 in its September statement. Its president was one of the best known bankers and financiers 12 wester Kentucky

7. October 30, 1931 The Charlotte News Charlotte, NC

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Body Of Banker Is Found In Lake body of James Utterback presithe City National Bank Paducah, which failed open for business Wednesday, was found in Noble here The was discovered by his Will Utterback, with other members the had started search when the banker did return this morning walk Pending an examination of the the coroner and When the bank closed Mr. Utterissued statement attributing recent heavy withdrawals to shrinkage the value of bank's holdings The bank. established reported posits of and total sources $6,462,000 in its September

8. November 1, 1931 The State Journal Frankfort, KY

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KEYES RESIGNS AS BANK RECEIVER AT PADUCAH; J. H. HOOKER APPOINTED PADUCAH, Ky., Oct. 31 (By A.P.) Paul C. Keyes, appointed receiver for the City National Bank, closed last Wednesday. resigned today. Simultaneous with his resignation. Mr. Keyes announced Jeff H. Hooker of Dallas, Texas, had been appointed receiver for the bank. Mr. Hooker arrived today to take charge. Mr. Keyes said his appointment by the Comptroller of Currency had been made with the understanding he would remain in Paducah only until a permanent receiver could be obtained. Mr. Keyes said his time was taken up with the receivership of the Na tional Bank of Kentucky, Louisville.

9. December 6, 1931 The Paducah Sun Paducah, KY

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Sue City National For $2,607 The sum of is sought suit filed in McCracken circourt Saturday by the city Paducah against the City National Company, the City National Bank, and Jeff ceiver for the City National Bank. The petition, which Attorney Brady M. Stewart on behalf the city, alleges amount back taxes the city by the bank for company property Two tracts land are involved the for the first the City National Bank building and the other tract land Avondale Heights, owned the bank. The petition states that taxes these tracts for years 1928, 1929, 1930 and 1931 owing the city.

10. January 14, 1932 The Paducah Sun Paducah, KY

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NOTICE This is to advise that the doors of the City National Bank of Paducah, Kentucky, will be open each business day from 9 a. m. until 2 p. m. for the purpose of permitting its customers to file proofs of claim and transact other business.

11. January 31, 1932 The State Journal Frankfort, KY

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FORMER BANK RECEIVER INDICTED FOR EMBEZZLEMENT PADUCAH, Ky., Jan. 30 (By A.P.) Eugene Bell. former receiver of the Ohio Valley Bank and Trust Company, was indicted today on charge of embezzling $17,776.18. Jesse R. Fuqua, who worked with Bell, was also indicted for abetting. Bell. who recently resigned as receiver, was formerly cashier of the Mechanics Bank, which was taken over by the now closed City National Bank here.

12. January 31, 1932 The Commercial Appeal Memphis, TN

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INDICT BANK RECEIVER Paducah Man Accused of Embezzling $17,776 of Funds. PADUCAH, Jan the Valley and and were by the Mc. Cracken grand jury today charge of of the bank's funds. The charges that Bell the that Fuqua, who bank actions and aided and abetted in the crime. Bell assistant cashier of the City National which closed last October. He suffered nervous after the closed, and has been in ill health bench warrant for the arrest Bell and Fuqua was issued this aft. but Sheriff Claude Graham would not be served unnext week NEW BUS LINE OPENS. Ky. Jan new its first bus Fulton to Murray this morning.

13. April 17, 1932 The Paducah Sun Paducah, KY

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CONTINUANCE FEDERAL COURT'S APRIL TERM WILL OPEN ON MONDAY accused but expected missed also convicted the attempt intimidate the witness Hunt and Bryan accused Pete and Huntalleged extorting money from them threat James Otto Clark and the Bryans charge liquor between GoldPond, Illinois. Deand scheduled The tried term court but hung jury resulted. Charge Intimidation Hopper will be tried on charge intimidating and impeding witness, Jule Dowell, had been ordered to appear and testify in the liquor trial. Dowell was spirited out of Paducah the Bryans and Hoporder to prevent testiprohibition officials charge. Beadles, former official the defunct First National Bank accused three separate indictments of violation national banking charged used his position fraudently obtain loans himself and made false bank reports. Eugene Bell and Jesse former Paducah bank ployes, who are accused in state charge $17,000 in funds the defunct Ohio Valley Bank and Trust probably will be tried federal court. federal charge been brought against them they have been indicted. assistant cashier funct National Bank. receiver for the Ohio Valley bank Fuqua bookkeeper The cases outstanding importance the civil and equity federal court dockets involve suit involving the defunct City National Emmett Holt. ex-sheriff and city of public safety defendant suit brought the state seek turn $15,000 alleged Holt from he made sheriff.

14. April 21, 1932 Messenger-Inquirer Owensboro, KY

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2 Bank Employes Get Prison Terms Plead Guilty to Law Violation in Paducah Court Paducah. Ky., April 21. (P)Eugene Bell, assistant cashier of the defunct City National bank receiver for the defunct Ohio Valley Bank and Trust company, and Fuqua, an employee the City National, entered pleas of guilty In federal court today to charges of violating the national banking laws. Bell sentenced to three years in prison and Fuqua to year and a day, Fuqua's sentence was probated on plea by Bell that the court be lenient. Bell assumed all the blame and admitted he embezzled approximately from the two institutions. Bell said he intended to put the money back and asked Fuqua to make false entries in the books to cover up the shortage until the money was replaced.

15. April 22, 1932 The Tennessean Nashville, TN

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BANKER CONVICTED PADUCAH, Ky., April 21-(A)Eugene Bell, assista cashier of the defunct City National Bank and receiver for the defunet Ohio Valley Bank and Trust Company, and Jesse Fuqua, an employe of the City National, entered pleas of guilty in Federal Court today to charges of violating the national banking laws Bell was sentenced to three years in prison and Fuqua to year and a day, Fuqua's sentence was probated on plea Bell that the court be lenient. Bell assumed all the blame and admitted he embezzled approximately $30,000 from the two institutions.

16. April 22, 1932 The Owensboro Messenger Owensboro, KY

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2 Bank Employes Get Prison Terms Plead Guilty to Law Violation in Paducah Court Paducah, Ky., April 21. (P)Eugene Bell, assistant cashier of the defunct City National bank and receiver for the defunct Ohio Valley Bank and Trust company, and Jesse Fuqua, an employee of the City National, entered pleas of guilty in federal court today to charges of violating the national banking laws. Bell was sentenced to three years in Leavenworth prison and Fuqua to year and a day, Fuqua's sentence was probated on plea by Bell that the court be lenient. Bell assumed all the blame and admitted he embezzled approximately $30,000 from the two institutions. Bell said he intended to put the money back and asked Fuqua to make false entries in the books to cover up the shortage until the money was replaced.

17. May 24, 1932 The Paducah Sun Paducah, KY

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Suits Ask Liens On Bank's Stock Judgments for superior liens on the capital stock of the City National Bank and the assessments levied and collected thereon by the bank receiver are asked in two suits filed in McCracken county circuit court. In one of them the plaintiff is R. R. Purchase, trustee of the estate of Walter Purchase; and in the other, W. M. Husbands, guardian of Frank Konkle, is the petitioner The Purchase suit asks judgment for amount of cash of the Walter Purchase tate on deposit at time of the bank's suspension of business last October. The Husbands suit seeks judgment for $1,953.13. the amount of the Konkle trust fund deposited on October 25, two days before the closing of the bank The petitions allege that the bank, which qualified as trustee and guardian in the two cases, respectively, pledged its capital stock as surety. Since the stock was pledged. the levied and collected by the receiver are also liable until the trust funds are paid, the petitioners maintain. First and superior liens upon the collateral held by the trust departments and on the capital stock and the assessments are sought. The petitions were filed by C. Grassham.

18. June 13, 1932 The Advocate-Messenger Danville, KY

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PADUCAH BANK DEPOSITORS TO GET $500,000 DIVIDEND Paducah, Ky., June 13. Payment of 10 per cent to depositors of the closed Paducah City National Bank will be made soon, officials of the institution have nounced. The payment will approximate The bank suspended business October 28.

19. August 19, 1932 The Paducah Sun Paducah, KY

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Church Trustees Sue Bank Receiver Suit filed this afternoon McCracken circuit court by the trustees the Immanuel Baptist church against Jeff H. Hooker, receiver for the City National Bank, seeking to remove the bank trustee for $30,000 bond issue floated by the church in 1927. The plaintiffs are Guy Holland, Clyde Lofton and Ted Cooper, representing the board of trustees. The suit alleges that the First National Bank was originally trustee of the bond issue. When that bank closed, City National appointed trustee. The board now asks that defunct City National be removed as guardian of the bonds. The action was brought by Attorney Ben Adams.

20. March 1, 1933 The Paducah Sun Paducah, KY

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Officials Say Bank Holiday Not Necessary Purchase Incensed at Action of Governor; Declare Situation Normal Except For a Small Area In Northern Kentucky Only one bank in all West Kentucky today was affected by Governor Laffoon's "bank holiday" proclamation, and that one institution, the Kevil bank, was closed for only today and will reopen Thursday morning as usual. "Business as usual, unless the other action," apparently was the slogan this morning of all the bankers of the First District, who declared they could not understand Governor Laffoon's reasons for claring the "holiday." From all the bankers came expressions of confidence in their institutions and in the willingness of the public to cooperate so that no harm could result from this situation. Purchase bank officials were incensed by the action of Governor Laffoon, saying the bank holiday was not necessary for Kentucky. They declared the banking situation was normal except for a small area in Kentucky near Cincinnati, where some trouble was experienced because of the Ohio situation. Paducah's two banks will not take part in the four-day "bank holiday" declared by Governor Laffoon and will remain open for business as usual, officials of the institutions announced this morning. "We can see no reason why our bank should be closed," said Richard Rudy, president of the Citizens Savings Bank. "We will not take advantage of this proclamation issued by Governor Laffoon unless the attitude of the public forces us to do so. Therefore our institution will remain open for business as usual." "My opinion is the same as that expressed by Mr. Rudy," Robert L. Reeves, president of the Peoples National Bank, declared. "The Paducah banks are in sound financial condition, and therefore have no desire to suspend business. The Peoples National Bank will not close unless the public forces us to do The cooperation of the public so that the ordinary business of the banks can be carried on without a halt was asked by both the officials, who pointed out that the Paducah banks are in no danger unless the depositors withdraw their funds entirely without reason. Both the Citizens Savings Bank and the Peoples National Bank easily weathered the "run" which followed the closing of the City National Bank in October, 1931, and emerged with the confidence of the public in their financial soundness. All pay checks issued today by the Illinois Central to employees will be cashed immediately, Mr. Rudy and Mr. Reeves said.