First National Bank (Jackson, TN)

Episode Information

Episode UID
216801525
Episode Type
Run Only
Bank Type
national
Bank ID
21680 national
Charter Number
2168
Start Date
January 12, 1927
Location
Jackson, Tennessee (35.615, -88.814)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
72e63c5937f91c45

Response Measures

Accommodated withdrawals, Fed/other loan, Public signal of financial health, Capital injected

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 that the bank was short of money.
Measures
Federal Reserve branch in Memphis supplied about $1,000,000; bank paid presented checks; police organized crowd control.
Newspaper Excerpt
A run was started yesterday 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 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


Article from The Commercial Appeal, January 15, 1927

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of the south too completely moneyed crop has produced result. the speaker the Starklong run, ville cattlemen's meeting said, the price of while inconvenient may result in more diversified agriculture and less dependence on King quently Cotton. Cotton will always be raised here. with profit, but the generally devotion any planter's entire the staple alone is, acreage thing the past. this is the direct And cause, perhaps, of the unusual of those bank failures which come without any on the part of either negligence the bank officers. There have been too many of these, and beyond the such happenings are the Federal Reserve. De. power can be remedied. but relief possible where dishonest no has looted the bank of all its ready assets. So, from many angles, the run the bank at Jackson and the which was met furnishes object lesson. shows the fundamental stability of our credit struc ture and the flexibility the finanplaced in vogue with the system of the Federal Reserve. No creation institution be on the sound can run rocks by idle and untrue rumors. nor ever be entirely paralyzed when the liquid credit the entire United States be used to prevent the wrecking of any part of the system. Those who, relying on false withdrawn from the ports, First National Jackson will probably redeposit their funds when they learn that have been deceived And when they realize such institution can call upon the sources of the United States long keeps its business and its credit unimpeached, they will to trust such rumors in the unless based on something ture, more substantial than gossip. have arranged to carry business and not have tried shift the burden the banks, pecially since the stipulations made put the banks in fair way to do the business loss. We regret the injustice done the soldiers, but we do not believe that anyone will take trouble to the scheme can censure the ba KS for refusing to be made the goat. If the present administration Washingt sincere in its professed solicitude for the service men when it for their votes in should take immediate steps remedy and give the ex-soldiers square deal. There will be another plea for votes next year, and perhaps the national elections are not so far away that the service men will forget. The Belated Investigation. As result of panic, following fire alarm Montreal moving picture theater Sunday, 78 children dead. Only the victims injured by the trivial blaze. Most of them were crushed to death the mad scramble toward the coroner's jury holds the assistmanager and the head usher the playhouse criminally responsible. During the investigation the coroner made careful to whether adult accompanied each child victim. Nearly all the were in the negative. Then he wanted know if the child permission to attend the show. To this question 75 cent of the answers were The question would Indicate that child attends moving picture show in Montreal must either accompanied by an adult or have the permission parent guardian. If this the law, seems that the theater management ignored the there wholesale violation of the on this fateful casion for the first time, or was there gradual disregard of the law for weeks and months before? doubt not that the violation gradual. When the individual community begins shutting its eyes police regulation, law violation progresses by degrees until the law falls general disrepute and becomes dead letter. Maybe the assistant and manager the head usher are guilty of crimnegligence, as charged. But what about the authorities commissioned that the law is forced. and what about the inspectwhose duty is to guard against such disasters by compelling those charge of public gathering places to live up regulations and safeguard lives patrons? This belated investigation. like others of its kind, not restore life to the dead. will It prevent future catastrophes goes no further than fixing the blame for this particular incident. The investigation should have come before the disaster, then there would have no disaster. Amusement promoters and all other men should made live to the law and fire traps should be abolished.