Capital injected, Full suspension, Books examined
Other: Receiver appointed and assets sold to a new bank under Comptroller supervision; reorganization and receivership measures taken.
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, Dec. First and Moorhead National bank, with deposits of more than $2,000,000, was voted meeting directors here The step decided method protecting against run the while reorganization is being effected, statement issued by directors said. directors blamed circulation of false the stability the institution for the
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other probably fatally injured when Central train struck the which they were riding here this afternoon. Mrs. Flo Clayton, twentyeight, driver of the suffered fractured skull and expected Her mother, Mrs. Stella Nash, sixty, was killed instantly. The carried block on the pilot of the engine before train could be CLOSE
Suspension at Moorehead, Minn., Follows Circulation of Rumor. Dec. closing of First Moorphead National bank, voted meeting of the bank's direcafternoon. ment, declared that widespread, regarding bank sulted deposits and the the to with drawals conserve the resources and protect loyal supporters The declared that they "expect the bank soon will opened
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OUR CHRISTMAS MOORHEAD. Minn., Dec. (AP) -Closing of the First and Moor GIFT TO YOU head National Bank. with deposits of more than $2,000,000 was voted at As Special Holiday of directors here. Program We Offer You decided as method of protecting resources against run TRIPLE on the bank.
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Minnesota Bank Is Closed by Directors the First and Moorhead National Bank. with deposits of more than $2,000,000 was voted at meeting directors The step was decided as method of protecting resources against a run on the bank.
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MOORHEAD NATIONAL BANK CLOSED DUE TO MONEY WITHDRAWAL Directors Call for Reorganization After Run 'Is Started by Rumors' Moorhead, Minn., Dec. 24.-Closing of the First and Moorhead National bank pending reorganization was announced Saturday by members of the board of directors following a meetIng held by them. The directors, in a statement, said that the spread of false rumors regarding the bank had resulted in such n withdrawal of deposits that the action was deemed necessary to pro-
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Weber, Ernest and to 704 Mortgage 500 adjoining 10 Community to gage North BroadStone Corp R. falo East Saw line premises 76.07 Nepperhan Seminary & College and to The Lots 11-A Map James Sherwood Park
Mortgages Yonkers lots property Armour Villa Rentschler 1034 Wakefield Ad and 68 and 63 Map Bryn Mawr Ernest " and adjoining Subdiv. Heights tion and 133 Scott estate, Woodlawn James and New York Edison Park Land & ImCo. Map Peter and The property Horton Construction Development Map Henry and 24 Map
MINNESOTA BANK CLOSES
Moorehead. Minn., Dec 23 (AP) Closing of the First National Bank, with deposits of more than $2,000,000, was voted at meeting of directors here The step was decided on to protect resources against run on the bank while reorganization is being effected. a statement issued by the directors said. The blamed the circulation of rumors regarding the stability of the institution for the
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MOORHEAD, Minn., Dec. 24.(AP) - Closing of the First and Moorhead National bank, with deposits of more than $2,000,000. was voted at a meeting of directors here today. The step was decided on as method of protecting resources against a run on the bank, while a reorganization is being effected, statement issued by directors said. The directors blamed circulation of false rumors regarding the stability of the institution for the run.
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DILWORTH BANK CLOSES DOORS, FEARING RUN
Dilworth, Minn., Dec. 24.-(AP) run on the Dilworth State Bank of Dilworth as result of the of the First and Moorhead National Bank of Moorhead directors of the Dilworth indecided to close that bank statement that the bank closed don't owe cent to any Owen M president of the Dilworth State Bank day of the circumstances and prevent possible to close the bank pending Some of the officers of the First and Moorhead National of Moorhead are directors of the Dilworth
Re-Opening Plans Talked. for reorganization of the First National bank of closed Saturday by order of the board of are to be taken up immediately. it announced today by bank officials. The bank was closed pending reorganization, due to continued Leavy withdrawais of deposits resulting from "widespread false and vicious rumors,' according to officials The statement of the bank, issued Oct. 3. showed the bank had more than a quarter of million dollars, in quick consisting of Other bonds and securities and cash This statement showed capital surplus and profits with surplus and $1,954.14 in divided Since that time the undivided profits item had to $20 000 and Christmas greeting card published few days before the undivided profits of Bank officers maintain that the bank was and is in good condition. that there has been considerable liquidation this fall of their out standing loans and that the closing was decided upon solely to protect depositors and allow and reopening H. Wray has been placed receiver by Irwin charge Wright, chief bank examiner for this pending re-organization.
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FALSE RUMORS CAUSED RUN AND CLOSING OF THE BANK SATURDAY Moorhead, Minn., Dec. 24 Plans for of the First National Bank of Moorhead, closed Saturday by order of the board directors, are to be taken up immediately, was announced today by The bank was closed pending organization, due heavy 'widespread false and vicious ors,' officials. The statement the issued Oct. showed the bank had more than quarter quick assets, bonds, other bonds and and cash. This showed surplus and undivided profits surplus and profits. Since that time the undivided profits item had increased to and greeting card published few days before the closing showsurplus and undivided $220,000. Bank officers maintain that bank that there been considerable quidation this fall their loans that the closing was decided upon solely protect deposand allow reorganization and reopening H. Wray has been placed in charge receiver Irwin Wright, chief national bank examinthis district, pending reorgan-
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Moorhead, Minn. Dec. 24 Plans for the First National Bank of closed Saturday by order of the board directors, to be taken up Immediately, announced today by The bank was closed pending due continued withdrawals deposits resulting from widespread false and victous rum according officials The last statement the bank issued showed bank more than quarter million dollars, in quick consisting government bonds, other bonds and securities This statement showed capital surplus undivided profits $150,000 $59,000 surplus and Since time item had increased to Christmas greeting card published before the closing show surplus and undivided $220,000 Bank officers that the maintain bank was and good condition. that has been considerable quidation this fall their outstand loans that closing decided upon solely to protect depos and allow reorganization and Wray has been placed charge Irwin Wright, chief national bank examin for this district, pending ization.
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F. H. Peterson was named temporary chairman of a depositors' committee named today by depositors of the closed First and Moorhead National bank of Moorhead. A committee of from three to seven men will be named by the depositors' meeting today.
Depositors of the closed First and Moorhead National bank in numbers that filled the Moorhead high school auditorium, leaving little standing room, met this afternoon. The purpose of the meeting, as previously announced, was to form a depositors' committee to act for creditors of the bank in whatever affair might develop. F. H. Peterson, Moorhead attorney, explained to the gathering that the depositors' committee would have no power or authority except to assist the bank receiver in negotiations. Leslie Welter Sr. called the meeting to order. A temporary organization was to be effected before the naming of a committee was to be considered.
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bank. operating under . new charter, employees of the closed bank will continue their work as far as possible.
Committee Reports When opened the bank will have a capital of $100,000 and $50,000 surplus. The full report of the depositors' committee as presented today fol-
"Acting under instructions from the general depositors and under pormission of the banking department, your committee made a very careful and complete examination of the assets of the First and Moorhead National bank. After doing this. it was the opinion of your committee that It was neither feasible nor possible to reorganize and reopen the closed bank under its charter and that It was virtually necessary that a new bank operating under a new charter, be organized to give this community adequate banking facilities. "Under arrangements duly approved by the comptroller of currency, the new bank which will soon have completed its organization and be ready to open for business will purchase a considerable number of the good assets of the closed bank at full face value and accrued interest to date of purchase; thereby permitting a 50 per cent cash dividend to be paid to depositors at once. The balance of the bank's assets will be trusteed and further dividends will be distributed as these assets are liquidated and collected by a representative of the comptroller of currency. "The committee wishes the depositors to fully understand that no assets have been sold except at full face value with accrued interest and that the remainder of the assets are held in trust, intact, and exactly as they were on the day the bank suspended operations. "It is the opinion of the committee that depositors' interests have been safeguarded and protected to the fullest possible extent under the plan approved by the comptroller of currency.
"At this time, the committee wishes to acknowledge the splendid co-operation received from the banking department and its representative, Mr. Schram."
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FIRST & MOORHEAD NATIONAL BANK STATEMENT RELEASED
Editor Moorhead Daily News: For the information of creditors of the First and Moorhead National bank and your readers generally, have compiled some facts and figures showing the condition of the receivership at the close of business on December 31, 1929, reflecting liquidation progress since the bank suspended about year ago, The statement covers such details am authorized to publish, and is follows: Statement of Condition of First and Moorhead National Bank, of Date of Its Quarterly Report, December 1929. ASSETS (At Suspension, Dec.
Bills receivable $1,564,200.03 Assets other than bills receivable 702,319.56 Stock assessment 150,000.00
Total of all assets coming into the hands of the REMAINING ASSETS UNCOLLECTED Bills receivable 874,835.36 Assets other than bills receivable 114,436.28 Assets acquired since suspension 49,910.87 Stock assessment 86,992.87 Total assets uncollected $1,126,175.38 Total claims proven on unsecured $1,471,346.54 Total unproven unsecured liabilities 51,665.21 Total liabilities secured: Public deposits, counts, $170,002.20 431,728.39 Total additional liabilities proven 6,501.45 Total of all liabilities $1,961,241.59 Dividends paid to date Secured and preferred claims paid 414,917.07 Cash on hand 14,831.41 should be explained that the item of "cash does not reprenet collections on assets since the payment of the first dividend of 50 per cent on May 1929. Collections made since May 1929. total nearly but this has been sum used largely to carry an agreement entered into with the First National bank in Moorhead unacceptable assets transferred to it on 1929. Our contract with the First National bank in Moorhead will very soon completed. making future collections on remaining assets available for payment of further dividends to
SCHRAM,
CENT DIVIDEND, TOTALLING $777,264.79 HAS BEEN PAID.
Contract With First National Bank Completed, Receiver's StateShows.
Progress of liquidation since suspension of the First and Moorhead National bank, which closed December 22, 1928, shown statement of condition made public today by Westlin, receiver. Dividends totalling percent, have been paid, cording to the and cured and preferred claims paid $530,676.35.
Contract Completed Mr. Westlin also revealed the repurchase held closed institution with the First National bank in Moorhsed now completed all cash hand and future collections on remaining will be available for payment future dividends to creditors. An agreement had been made the First National bank in Moorhead repurchase unacceptable assets tarnsferred to it on May 1929. The statement issued by Mr. Westlin shows cash hand on which represents the cash on hand since completion of the contract with the First Nation-
Collections made since the First and Moorhead National suspended while out of the total collections during the year the sum has been used to carry out the agreement with the First National. Assets the closed institution the of listare at including receivable, other assets cash hand. and stock assesment. Remaining Assets Remaining assets uncollected, December 1930, totalled including assets acquired since suspension. Liabilities $2,073,371.56 Listed liabilities claims are total proven on unsecured liabilities, total unproven cured claims, $26,507.78: total secured cancelled by total rediscounts paid, $170,002.20, and total additional proven,
EDITOR MOORHEAD DAILY NEWS: Crystals Fitted For the information of creditors of the First & Moorhead National "Walk a Flight and Buy Right" bank, and your readers generally, have compiled some facts and figures showing condition of the receivership at the close of business on December 31, 1930. reflecting liquidation progress since the bank suspended. The statement covers such details as I am authorized to publish, and it is as follows: Statement of conditioin of the First & Moorhead National Bank JEWELRY of Moorhead, Minn., as of date of its quarterly report, December 31, 1930: 21/2 Bdw Fargo. Over Woolworth's ASSETS (At Date of Suspension, December 22, 1928). Bills receivable $1,564,200.03 Assets other than bills receivable and cash on hand assessment 150,000.00 Stock Total of all assets coming into the hands of the receiver $2,416,519.59 REMAINING ASSETS UNCOLLECTED (Dec. 30, 1930) Bills receivable 791,236.08 Assets other than bills receivable 88,461.03 45,646.95 Assets acquired since suspension Stock assessment 76,431.86
Total assets uncollected
$1,001,775.92
Total of all liabilities Dividends paid to date (50 per cent) Secured and preferred claims paid.
777,264.79 530,676.35
$2,073,371.56
$ 40,389.81 Cash on hand Cash on hand represents net cash on hand since the completion of the contract with the First National Bank in Moorhead. Collectons made since suspension total $1,311,411.88. Out of the total collections during the year 1930, the sum of $165,613.49 has been used to carry out an agreement entered into with the First National Bank in Moorhead, to repurchase unacceptable assets transferred to it on May 1, 1929. Our repurchase contract with the First National Bank in Moorhead is now completed and all cash on hand and future collections on remaining RENEE Violnist. assets will be available for payment of future dividends to creditors. WESTLIN, Receiver.
Tax Levies Reduced At No Sacrifice Of Improving City city of Barnesville, which recently re tired the last of its bonded indebted ness, has made an record in public during the last 10 years, and at the time has gradually reduced its tax levies to Ten years the city tax levy was $6 Its electric 10 years an throughout the which decade phone was and need of modernized and Many streets mud at Its condemned city Its supply has The entered tract company
Second Dividend Payment Announcement Up To Comptroller
Liquidation of assets of the First Moorhead National bank, which suspended Dec. 22, 1928, is eration pervailing low prices for farm products, said M. Westlin, receiver, Saturday in public the quarterly statement of the bank's condition. No announcement was made as to when the second dividend will paid Mr. Westlin pointing out this information is announced by the comptroller of currency in The bank has paid to the creditors includes a cent dividend to and end the total of $122, said statement follows: assets 000 reDec assets on
8 Per Cent Payment To Be Paid Moorhead Bank Depositors
Between $120,000 and $125,000 will put in circulation among Moorhead residents about April as the result of approval by the United States comptroller of currency of the second dividend by the First and Moorhead National bank, which pended operations Dec. 22, 1928. O. M. Westlin, receiver for the inMenday the dividend, for per and to depositors have the for first for 50 per was paid May 1929, giving depositors close to The institution has paid nearly one and quarter million dollars ferred claims and the first dividend, Westlin declared. "The contract for paying the first dividend not completed the fall of 1930, the amount represented in includes only funds in 1931, the said. "The checks covering the second dividend should be back from Washington ready for distribution by April
560 Acres of Land Is Sold for $5,525
Five hundred sixty acres of land, all but quarter section of which located in Clay county and stituting part of the assets of the closed First and Moorhead National bank. was sold today for $5,525. The sale was conducted hearing Clav county district court before Judge Nye, on petition of Westlin, bank receiver. One quarter located Traill county, was sold Fred Downs, near Hillsboro, for 000. He was the only bidder. Two quarter sections, located south Moorhead. were sold Fred Brophy, Moorhead, for and another also south of Moorhead, was sold to Emil and Carlstrom, near Moorhead, for