South Omaha State Bank (Omaha, NE)

Episode Information

Episode UID
27005971580
Episode Type
Run → Suspension → Closure
Bank Type
state
Bank ID
2700597 routing
Routing Number
27-0059
Start Date
August 14, 1931
Location
Omaha, Nebraska (41.259, -95.938)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
b14f39dedf1bd6d0

Response Measures

None

Description

Bank was turned over to the state department for liquidation and later receivers pursued claims against former officers.

Events (3)
1. August 14, 1931 Receivership
Newspaper Excerpt
turned over the state department trade and commerce for liquidation; state bank receiver E. H. Luikart later filed suits and distributed dividends to depositors. The largest amount disbursed was $106,197 to depositors of the South Omaha State bank. (Jan 1932 article).
Source
newspapers
2. August 14, 1931 Run
Cause
Local Banks
Cause Details
Heavy withdrawals and contagion from other Omaha bank suspensions and closings created runs and depositor agitation in Omaha.
Measures
Banks stayed open extended hours to satisfy depositors; larger banks attempted to meet cash demands.
Newspaper Excerpt
the South Omaha State bank ... has been turned over the state department trade and commerce for liquidation
Source
newspapers
3. August 14, 1931 Suspension
Cause
Government Action
Cause Details
State department of trade and commerce took possession and placed the bank in liquidation/receivership.
Newspaper Excerpt
South Omaha State bank ... has been turned over the state department trade and commerce for liquidation
Source
newspapers

Newspaper Articles (22)
1. July 21, 1931 Lincoln Journal Star Lincoln, NE

Article Text

RULES Judge Hastings at Omaha Holds He Is State Bank Receiver. Judge Hastings in written afternoon at Omaha in the case of Nebraska VS. Security State oank of Omaha, held that Secretary of the banking department is rightfully receiver for state banks and replaces Clarence G. Bliss, former secretary. Judge Hastings order, entered late 'Application to substitute the present acting secretary of the department banking for Bliss, former secretary and receiver of said bank is sustained. The court finds that the governor authority unde rthe provisions of said department ask that his appointee be that Luikart is present acting secretary and the policy of the law he have general vision of failed banks and he should to simflar order will be in cases of banks where the same state of exist application for hearing be made at once."

2. August 14, 1931 The Daily Plainsman Huron, SD

Article Text

South Omaha Bank Closes Its Doors OMAHA, Aug. South Omaha State bank. with capand deposits mately $1,000,000 has been turned over the dpartment trade comliquidation, was here night. The South Omaha bank the third Omaha bank close the past week. The State Bank Omaha closed Monday. "Freczing" of the Farmers and Merchants Benson. suburb Omaha, the State Bank of Omaha, forced the Benson bank to close.

3. August 14, 1931 Lead Daily Call Lead, SD

Article Text

OMAHA BANK TURNED OVER TO THE STATE DEPARTMENT OMAHA, Aug. 14. South Omaha State bank, with authorized capital of $100,000 and deposits of approximately $1,000,000, has been turned over the state department trade and commerce for liquidation, was announced here last night.

4. August 15, 1931 The Grand Island Independent Grand Island, NE

Article Text

in Union State Last Institution Suspend iness CAPITAL OF $200,000 Deposits Over the Heavy Withdrawals Closing Three Other Banks Cause for Crash. Omaha, and excited crowds intent on their savings, the leadbanks Omaha today tossed the regular Saturday closing hour of noon, discard would remain open throughout the day satisfy depositors wishing withdraw their funds. The upon the banks started full fury today with that the Union State Bank Omaha had closed safeguard depositors." the fourth bank Omaha to close since Monday created by the three previous closing blamed for closing Union State bank the closbanks members of the State Bank With the announcement that the larger banks were prepared meet plenty cash hand, crowds milling about entrances thinned little and the tension seemed broken. Aug Union State Bank Omaha suspended today treat all patrons fairly possible, officials being re-open early date, and the state department trade and commerce On June the time of its last the bank deposits of capitalized $200,and had surplus of $40,000. Union State bank the fourth Omaha bank close within the past State Bank of Omaha and the Bank and the South Omaha closed yesterday. Aid Depositors George bank issued the following regarding Union State Union State Bank Omaha business The partment trade and commerce charge assets protect interests. Examiner charge president of the bank three banks the city during the could patrons fairly possible deemed payments being worked upon bank early According Joseph attorney the there Monday after closing State Bank Omaha, but withdaily until closing of the South Omaha State bank, there another the cash reserve below the legal

5. August 15, 1931 The Grand Island Independent Grand Island, NE

Article Text

DISCUSS WAYS TO REOPEN BANK Omaha, Aug. mately last night for means of reopening the Farmers and Merchants bank Benson, which closed Monday after failure the State Bank Omaha Those interested in Benson bank voted sign release committee allow certain amount of the bank's deposits to be posted in building up the legal institution closing of the South Omaha State bank Thursday marked the from of three Omaha banks within week. The three had deposits nearly four and half million lars.

6. August 17, 1931 Des Moines Tribune Des Moines, IA

Article Text

IS ALL WELL? State bank of Dwight the BrainState bank of the Bruno State bank of Bruno the Butler of David City and the Leigh State bank of Leigh Bryan and Luikart said officers of the banks decided to close them so that all would have a greater chance of sharing equally in the banks funds. They said the Leigh State bank had Its funds deposited in the South Omaha State bank which closed last and that the other five had funds on deposit with the Union State bank of Omaha which also closed last week

7. August 17, 1931 North Platte Daily Telegraph North Platte, NE

Article Text

SIX NEBRASKA BANKS FAIL OPEN DOORS Lincoln, .Aug. 17, Nebraska state banks today failed to open their doors for business and both Governor Charles W. Bryan and E. H. Luikart, secretary of the State Department of Trade and Commerce, said the closings were the result of recent bank suspensions in Omaha. The six banks had total deposits of approximately 000. The banks are the First State bank of Pleasant Dale; the Dwight State bank of Dwight; the Brainard State Bank of Brainard; the Bruno State bank of Bruno; the Butler State bank of David City, and the Leigh State bank of Leigh. Bryan and Luikart said officers of the banks decided to close them so that all of the depositors would have greater chance of sharing equally in the banks' funds. They said the Leigh State had greater chance of sharing equally in the banks' funds. They said the Leigh Sate bank had it reserve funds deposited in the South Omaha State bank which closed last week and that the other five banks had funds on deposit with the Union State bank of Omaha which also closed last week. OFFICERS, DEPOSITS: Officers and deposits of the six suspended banks as announced by the governor: First State of Pleasant Dale, deposits about $140,000; F. Horacek, president; L. A. Horacek, cashier. Dwight State bank, deposits about $180,000; J. Novak, president; G. J. Tomes, cashier. Brainard State bank, deposits about $280,000; C. J. Davis, president; Fred C. Sennin, vice president; J. A. Proskovec, cashier. Bruno State bank, deposits about $140,000; Rohn, presiTomek, vice president; A. V. Rohn, cashier. Butler County State bank, deposits about $180,000; Joseph Shramek, president; Peter Meysenberg, vice president; R. Havelka, cashier. Leigh State bank, deposits about $200,000; F. Vlach, president; W. A. Vlach, acting vice president; E. M. Nelson, cashier.

8. August 18, 1931 The Sioux City Journal Sioux City, IA

Article Text

Doors of Half Dozen Banks in Nebraska Closed to Public Lincoln, Neb.-(P)-Six Nebraska state banks Monday failed to open their doors for business and Gov. Charles W. Bryan and E. H. Luikart, secretary of the state department of trade and commerce, said the closings were the result of recent bank suspensions in Omaha. The six banks had total deposits of "approximately $1,120,000. The banks were: The First State bank of Pleasantdale; Dwight State bank of Dwight; Brainard State bank of Brainard; Bruno State bank of Bruno; Butler County bank of Dav. id City, and Leigh State bank, of Leigh. Bryan and Luikart said officers of the banks decided to close them so that all depositors would have greater chance of sharing equally in the banks' funds. They said the Leigh State bank had its funds deposited in the South Omaha State bank, which closed last week, and that the other five banks had funds on deposit with the Union State bank, of Omaha, which also closed last week.

9. August 18, 1931 Star-Herald Scottsbluff, NE

Article Text

SMALL BANKS FAIL TO OPEN MONDAY Pleasant Dale, Dwight, Brainard, Bruno, David City and Lincoln, Aug. 17. small Nebraska banks failed open for business today Gov. Charles W. Bryan and E. Luikart. secretary of the state department of trade and commerce, said the closings were the result of recent bank suspensions in Omaha. The six banks had total deposits of approximately $1,180,000. They were the First State Bank of Pleasant Dale: the Dwight State Bank of Dwight, the Brainard State Bank of Brainard: the Bruno State Bank of Bruno: Butler County bank of David City, and the Leigh State Bank of Leigh. Omaha Closings Cause Others Bryan and Luikart said officers of the banks decided to close them so that all depositors would have greater chance of sharing equally in the banks bunds. They said the Leigh State bank had its reserve funds deposited in the South Omaha State bank, which closlast week and that the other five banks that funds on deposit with the Union State Bank of Omaha, which also closed last week.

10. December 14, 1931 North Platte Daily Telegraph North Platte, NE

Article Text

BANKRUPTCY IS FILED AGAINST J. S. McGURK Omaha, Dec. 14, (AP)-State Bank Receiver E. H. Luikart has filed a bankruptcy petition in federal court here against John S. McGuirk, former president of the closed South Omaha State bank and now engaged in the insurance business Chicago. Luikart declares he holds proveable claim against McGurk for more than $87,000 in the form of a judgment awarded by the Douglas county district court on McGurk's double liability as a stockholder in the bank. The petition alleges that Mc Gurk's committed an act of bank ruptcy by conveying by deeds six pieces of Omaha property to his foster father, W. A. Wells of David City, Neb., and Mrs. Wells. McGurk was recently held for trial in district court on a charge of embezzlement of $15,000 of the bank's funds.

11. January 15, 1932 Lincoln Journal Star Lincoln, NE

Article Text

TAKES Former President of Failed South Omaha Bank Own Witness. OMAHA. (UP). John former president failed South Omaha State bank, charged with $23,000 took witness stand own defense. McGurk vigorously defended action accepting percent $23,000 loan by Elsie Thomas, that the voted to him by the bank's board of had given hopes collecting directors, added, practically commanded George state bankcharge profit altho Gurk state officials believed Thomas would pay. short time after the and the Claire Goddard, the only that Thomas the bank and full, he before coming had acted official in and he had vested the South Omaha State Thru error, brought the books that of the Thomas been collected. should have read instead McGurk testified.

12. February 9, 1932 The Omaha Evening Bee-News Omaha, NE

Article Text

Bank Receivers Sue for $22,598 on Notes Suit to collect $22,598 as principal and interest on two notes given in 1931 to the South Omaha State bank was begun Monday afternoon in district court against Joe Lapidus, 865 South Sixtieth street, by bank receivers. The suit contends Lapidus had represented his assets at $166,000 in statements given the bank in 1930 and failed to reveal any change when applying a year later for the bank loans.

13. February 11, 1932 The Nelson Gazette Nelson, NE

Article Text

State News Items of Interest Out of 353 cases tried in federal district courts in Nebraska during 1931, 258 convictions were obtained. The cost of the actions was $182,000. Of nearly $30,000 assessed in fines and judgments only $11,000 has been collected. Members of the citizens committee of ten are circulating petitions at Norfolk urging the city council to call a special election to let citizens decide whether they want to install a municipal electric light and power pant for Norfolk. Dividends totaling $326,751 were paid depositors of 16 failed state banks in Nebraska during January, the department of trade and commerce announced Monday. Payments were from liquidation of assets. The largest amount disbursed was $106,197 to depositors of the South Omaha State bank. It was a 15 per cent dividend. Temperatures even as low as 18 below zero will not necessarily eliminate grasshoppers in northern Nebraska, according D. K. Whelan, assistant professor of entomology at the University of Nebraska. Whelan pointed out that above ground temperatures rarely penetrate to a depth in the soil where grasshopper eggs rest prior to hatching. Jame A. Sheffield, Lancaster county assessor, recently said valuation of Lancaster county farm lands may be year for taxation purposes. "Through a system equalizing downward we hope to arrive at an average assessment on the 514,605 acres of rural lands that will be $3 an acre lower than the present figure," Sheffield said. The first trail from Omaha to Decatur, and the site of the first log schoolhouse in the vicinity of Blair is to be marked by Nikumi chapter, D. A. R., of Blair, in the spring. For several years this chapter, of which Mrs. W. W. Wilkinson is regent, has been raising a fund for this purpose. The base for the marker is now ready to place, and an unusually large and beautiful boulder has been secured, on which a bronze plate with a suitable inscription will be attached. With 4,071 students formerly reg istered to enter their second semester classes that started recently, University of Nebraska officials predicted that the student decrease this semester will be about 350 more than in normal year. Authorities pleased that delay in the payment of fees by those who had registered early was not much greater that last year. Early reports showed that 450 had delayed paying their fees as compared with 416 for the second semester. From the estate of Robert J. Kilpatrick, pioneer Beatrice railroad contractor, the State of Nebraska has received inheritance tax, State Tax Commissioner W. H. Smith announced recently. The estate was given a gross valuation of $919,117, and a net worth of $758,385.99. The sum of $12,210 was paid as county inheritance tax, and $6,400 went to the federal government. Joseph M. Kilpatrick, John S. Elliott and Fulton Jack are the executors. Appeal for additional contributions to a fund to purchase feed grain for preservation of Nebraska game birds was made recently by Secretary Frank O'Connell, of the game forestation and parks commission. The continued snows and cold weather have made it impossible for pheasants, prairie chickens and other game birds to secure feed from natural sources, the commissioner states. Heavy loss of birds is anticipated unless much feed can be purchased and distributed, he said. The largest suspension bridge of its kind in the world is being constructed north of Ponca, extending across the Missouri river into South Dakota. A span, almost a half mile in length, will carry the pipe at a height of 66 feet above high water mark. Two towers, one on each side of the river, will extend 160 feet above the water level, and a cable, weighing 28 tons will be stretched across. The cable will be anchored on either end by means of large concrete blocks. On the Nebraska side of the river the tower foundation will go down to a depth of 46 feet, 0-feet of this into solid rock. On the South Dakota side the foundation must go down 54 feet and will rest on 60-foot piles. The pipe itself will be hung from the main cable and will be held in position every 20 feet. This bridge is being built by a gas company at an estimated cost of 150 thousand dollars. The pipe has been anchored to the river bottom and weighted down. Nebraska's 1932 potato acreage will be approximately the same as the acreage for 1931, according to estimates by the state and federal div ision of agricultural statistics. Carlot shipments of potatoes from Nebraska have reached 5,600 cars to date this season, as compared to 6,850 cars in the corresponding period a year ago. Total shipments year ago were 9,160 cars, the highest on record. Potato acreage for the United States are expected to show a decrease this year of 2 per cent as compared to last year.

14. April 2, 1932 Lincoln Journal Star Lincoln, NE

Article Text

M'GURK IS ACQUITTED Second Trial Frees Former South Omaha Banker OMAHA. (P). John S. McGurk, former president the failed South Omaha State and now man, acquitted by district court jury of charges that approximately $15,000 of the bank' fund at the time it closed. The jury dehours. trial ended with the jury deadAuthorities charged McGurk with $15.000 paid on note which had previously been charged off by tors as bad paper. Counsel for the banker contended the note had been questioned by the state department examiners had ordered charged off

15. April 2, 1932 The Lincoln Star Lincoln, NE

Article Text

JURORS ACQUIT JOHN S. M'GURK Former South Omaha Banker Not Guilty of Embezzlement. OMAHA, April 2—(AP)—John S. McGurk, former president of the failed South Omaha State bank and now a Chicago insurance man, was acquitted today by a District court jury of charges that he embezzled approximately $15,000 of the bank's fund at the time it closed. The jury deliberated seven hours. The case was given to the jury late yesterday after almost the entire day had been occupied with closing arguments. A previous trial ended with the jury deadlocked. The jury reached its verdict this morning shortly after returning from a hotel where it had spent the night. Authorities had charged McGurk with misappropriating $15,000 paid on a note which had previously been charged off by directors as bad paper. Counsel for the banker contended that the note had been questioned by the state department examiners and had been ordered charged off. Deputy County Attorney Bryce Crawford, jr., described the bank directorate as a "dummy board" which took its orders from McGurk. After the verdict had been returned McGurk was served with five grand jury indictments charging him with offenses similar to the one of which he had been acquitted. County Attorney Beal said "it is still undetermined as to the prosecution of these indictments."

16. April 2, 1932 Lincoln Journal Star Lincoln, NE

Article Text

M'GURK IS ACQUITTED Second Trial Frees Former South Omaha Banker. OMAHA. (AP). John S. McGurk, former president of the failed South Omaha State bank and now a Chicago insurance man, was acquitted by a district court jury of charges that he embezzled approximately $15,000 of the bank's fund at the time it closed. The jury deliberated seven hours. A previous trial ended with the jury deadlocked. Authorities had charged McGurk with misappropriating $15,000 paid on a note which had previously been charged off by directors as bad paper. Counsel for the banker contended that the note had been questioned by the state department examiners and had been ordered charged off.

17. June 1, 1932 Omaha World-Herald Omaha, NE

Article Text

Tryon State Bank Reopens Today Lincoln, Neb., June 1 (AP).—Reopening today of the reorganized Tryon State bank of Tryon, McPherson county, was announced by the state department of trade and commerce. The bank suspended January 8, last. Depositors eventually will be paid in full, the department said. L. A. Warden is president, and A. C. Hill, jr., cashier. Sees 75 Pct. Payment. C. J. Southard, one of the attorneys for the receiver of the failed South Omaha State bank, said today that members of the depositors' committee estimated that the bank would pay out 75 to 90 per cent, with strong hopes for 90 per cent.

18. September 24, 1932 Lincoln Journal Star Lincoln, NE

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RULES AGAINST M'GURK Court Holds Him Liable for Ward's Money. OMAHA. (AP). District Judge Hastings ruled, after several days of testimony, that John S. McGurk, former president of the closed South Omaha State bank, did not exercise "due care and prudence" when, as guardian of James H. Dingwell, he deposited $52,000 of Dingwell's money in the bank. The ruling means that the company that furnished McGurk's bond as guardian is liable for the amount, and the receiver of the bank, since failed, will not be obliged to include the Dingwell item in the distribution of assets. Dingwell, an elderly man, was placed under McGurk's guardianship after he had been found wandering at the Union station here, carrying a suitcase. Taken to the county hospital, the suitcase was found to contain $52,000. He was found to be mentally incompetent, and was sent to the west coast to be cared for by a brother.

19. October 30, 1933 Beatrice Daily Sun Beatrice, NE

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VERDICT AWARDS $10,000 IN FAVOR BANK RECEIVER OMAHA, Oct 30 Judge Sears today entered rected verdict for $10,541 favor of H. Luikart as for the South Omaha State bank against Foreman, former cashier of the Farmers' State bank Neb. and Joseph Wilson, director of the latter bank. Foreman and Wilson guaranteed payment of for borrowed by their bank from the South Omaha bank. The amount the note was in 1930 stood $7,743. The judgment includes interest Foreman John former president of the South Omaha bank.

20. October 30, 1933 North Platte Daily Telegraph North Platte, NE

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LUIKART WINS SUIT AS BANK RECEIVER Omaha, Oct. 30, (P)-District Judge Sears tolay entered a directed verdict of $10,541 in favor of E. H. Luikart as receiver for the South Omaha State bank against A. A. Foreman, former cashier of the Farmers' State bank of Overton, Neb., and Joseph R. Wilson; a director of the latter bank. Foreman and Wilson guaranteed payment of note for $30,000 borrowed by their bank from the South Omaha bank. The amount of the note was reduced until in 1930 it stood at $7,743. The judgment includes interest charges. Foreman is father-in-law of John S. McGurk, former president of the South Omaha bank.

21. May 17, 1934 The Omaha Evening Bee-News Omaha, NE

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UNION STATE BANK OPERATED BY EXAMINER W. Robb, state bank examiner. Thursday morning took over the Union State bank at 19th and Farnam Sts. in what Merle Foster. assistant state banking superintendent at Lincoln, announced was first step to close the bank for final liquidation Foster was quoted by the Assoclated Press as saying part of the bank operating on an unrestricted basis will pay out in full, and that part operating on a restricted basis will be placed in receivership to complete liquidation The bank will continue to be operated by the hanking depart ment until liquidation is completRobb said The bank has $166,000 In new accounts, opened since November 1931, and all money in such accounts will be returned to depositors on demand, Robb said. In August, 1931, the bank was closed. during the same week that the State Bank of Omaha, the Benson State bank and the South Omaha State bank suspended operations. and was re-opened three months later Robb explained the department is seeking to get every state bank out from under restrictions, designed to protect depositors, or to liquidate the banks F. Horacek president of the bank since 1917 said the bank has 500 and that 78 per cent has been paid out on the old accounts number of old depositors, be said have opened accounts The bank is capitalized at

22. May 18, 1934 The Omaha Morning Bee-News Omaha, NE

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UNION STATE BANK OPERATED BY EXAMINER Unrestricted Operations Will Pay in Full, Official Says; Final Liquidation Predicted R. W. Robb, state bank examIner, Thursday morning took over the Union State bank at 19th and Farnam Sts., in what Merle Foster. assistant state banking superintendent at Lincoln, announced was first step to close the bank for final liquidation Foster quoted by the Assoclated Press as saying part of the bank operating on an unrestricted basis will pay out in full, and that part operating on a restricted basis will be placed in receivership to complete liquidation. The bank will continue to be operated by the banking department until liquidation is completed. Robb said. The bank has $166,000 in new accounts, opened since November, 1931. and all money in such accounts will be returned to depositors on demand, Robb said. In August, 1931. the bank was closed, during the same week that the State Bank of Omaha. the Benson State bank and the South Omaha State bank suspended operations, and was re-opened three months later. Robb explained the department is seeking to get every state bank out from under restrictions, designed to protect depositors, or to liquidate the banks. F. C. Horacek, president of the bank since 1917. said the bank has 4,500 depositors, and that 78 per cent has been paid out on the old accounts. A number of old depositors, he said, have opened new accounts. The bank is capitalized at $200,000.