First National Bank (Waverly, NY)

View Charter #297 on SPMC View balance sheet

Episode Information

Episode UID
29701606
Episode Type
Suspension → Closure
Bank Type
national
Bank ID
2970 national
Charter Number
297
Start Date
October 24, 1933
Location
Waverly, New York (42.013, -76.540)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
f143eec3263f2077

Response Measures

None

Receivership Details

Depositor recovery rate
91.1%
Date receivership started
1933-10-24
Date receivership terminated
1938-01-31
Share of assets assessed as good
50.1%
Share of assets assessed as doubtful
38.8%
Share of assets assessed as worthless
11.1%

Description

Bank was closed and placed in conservatorship/receivership on Oct 24, 1933; later receiver appointments are reported.

Events (6)
1. March 2, 1864 Chartered
Source
historical_nic
2. October 24, 1933 Receivership
Source
historical_nic
3. October 24, 1933 Receivership
Newspaper Excerpt
taken from the hands of Conservator Pierson H. Salmon on Oct. 24, 1933, and Attorney F. E. Hawks of Waverly appointed as receiver.
Source
newspapers
4. April 20, 1934 Receivership
Newspaper Excerpt
James R. Flynn of Pennsylvania Avenue today succeeded Charles D. Youthers of Owego as receiver for the former First National Bank of Waverly.
Source
newspapers
5. August 23, 1934 Other
Newspaper Excerpt
Two actions for a total of $22,200 have been brought by the receiver of the First National Bank of Waverly because 222 shares of bank stock were sold several months before the bank was closed.
Source
newspapers
6. October 12, 1934 Other
Newspaper Excerpt
Federal Jury Finds Towanda Woman Unlawfully Transferred Stock in First National of Waverly ... verdict of $22,200 in two actions brought by James R. Flynn, receiver of the First National Bank of Waverly
Source
newspapers

Newspaper Articles (4)
1. April 20, 1934 Elmira Star-Gazette Elmira, NY

Article Text

Flynn Becomes Bank Receiver Waverly—James R. Flynn of Pennsylvania Avenue today succeeded Charles D. Youthers of Owego as receiver for the former First National Bank of Waverly. The appointment was made by J. F. T. O'Connor, comptroller of the currency. Mr. Flynn is the third receiver appointed for the bank since it was taken from the hands of Conservator Pierson H. Salmon on Oct. 24, 1933, and Attorney F. E. Hawks of Waverly appointed as receiver. Mr. Hawks tendered his resignation in November, last year, and was succeeded by Mr. Youthers on Dec. 8, 1933.

2. August 23, 1934 Elmira Star-Gazette Elmira, NY

Article Text

Towandan Accused In Bank Stock Case Brought by Receiver Mrs. Alice Lang Dayton Charged with Sale of Stock to Escape Liability in Failure of First National Bank of Waverly—Action to Be Heard in Syracuse Federal Court Waverly—Two actions for a total of $22,200 have been brought by the receiver of the First National Bank of Waverly because 222 shares of bank stock were sold several months before the bank was closed. The defendant is Mrs. Alice Lang Dayton of Towanda, personally, and as executrix of the estate of her sister, Mrs. Gertrude Lang Hall of Rochester. Each owned 111 shares of stock. Under statute, owners of bank stock are liable for par value of the stock in case the bank is forced to close. The Comptroller of Currency is authorized, in such an instance, to assess for par value of the stock. The receiver in the present action, James R. Flynn, charges that the 222 shares, par value $100 a share, were sold by Mrs. Dayton and Mrs. Hall to a Dayton Mill employe named Foster in an attempt to escape statutory liability. The sale was made with knowledge of impending failure of the bank, the receiver charges. Sale negotiations were begun in July, 1932, and the stock was delivered in November, 1932. The bank closed in September, 1933. The defendant claims since the bank was paying dividends at time of the negotiations and continued to pay them as late as January, 1933, the sale was not made due to knowledge that the bank would fail. The transaction was bonafide and not an attempt to escape liability, the defendant contends. Mrs. Hall was living in July, 1932, when negotiations were begun, but was killed in an automobile accident before November, 1932, when the Waverly bank. In an accounting of the estate in Tioga County Surrogate's Court, the court ruled that the estate was free from the assessment, but the statutory status of the $11,100 levy is upheld in the present action. Mrs. Dayton is the widow of the late Percy L. Lang, former bank president, and the present Mr. Dayton is George A. Dayton of Dayton, formerly associated with the verly bank. The actions are scheduled for trial at the current term of Federal Court in Syracuse. Attorney F. E. Hawkes of Waverly represents the receiver. The defense is represented by Attorney Halsey Sayles of Elmira and Attorney E. D. Eaton of Waverly.

3. October 10, 1934 Elmira Star-Gazette Elmira, NY

Article Text

Bank Receiver Case Scheduled On Court Term Waverly, Oct. 10—The October term of the Federal District Court opened in Syracuse Tuesday with Judge Frederick H. Bryant presiding. The court is scheduled to hear an action brought by the receivership of the First National Bank of Waverly charging Mrs. Alice Lang of Towanda, with the sale of 222 shares of the stock of the bank before it closed, in an attempt to defraud the bank and escape the possibility of a $22,200 assessment on the stock, when the bank closed. Mrs. Dayton is wife of George V. Dayton, a director of the defunct bank, and is being sued for her holdings on 111 shares of the stock and as executrix of the estate of her sister, Mrs. Gertrude Lang Hall, of Rochester, which included another 111 shares of the stock. The sale of the stock, it is claimed, was made less than a year before the closing of the bank, to an employe of the Dayton Mill in Towanda. Attorney F. E. Hawks is representing the receiver, James R. Flynn, while Attorney E. W. Eaton of Waverly is representing the defendant.

4. October 12, 1934 The Evening Times Sayre, PA

Article Text

Mrs. Dayton Must Pay $22,000 To Bank Receiver Federal Jury Finds Towanda Woman Unlawfully Transferred Stock in First National of Waverly SYRACUSE, N. Y., Oct. 12(Special to The Times)-After deliberating five hours, jury in federal court here last night rendered verdict of $22,200 in two actions brought by James R. Flynn, receiver of the First National Bank of Waverly, against Mrs. Alice Lang Dayton, Towanda, Pa., for alleged unlawful transferance of stock from the institution shortly prior to closing of bank by executive or der last year. Judge Frederick H. Bryant denied a motion for temporary withdrawal of verdict pending new trial proposed by Henry Sayles, Elmira, attorney for Mrs. Dayton. A 90-day stay of execution of payment was granted by the court. The defendant was ordered to pay $500 interest on stock from Feb. 7, 1934. Frederick E. Hawkes, Waverly, was attorney for the plaintiff. Of a panel of 30, only 11 jurors could be found who had not lost money in a bank. closing or who did not hold bank stock. With the panel exhausted and only 11 chairs in the box filled, the court permitted a stock holder to sit, on consent of the attorneys. The plaintiff contended in the case that Mrs. Dayton had transferred the stock to Elwyn L. Foster, a miller receiving $20 a week in the Dayton Milling company at Towanda of which Mrs. Dayton's husband is president. They introduced evidence to show that Mrs. Dayton, herself and as Mrs. Hall's estate executrix, knew of the condition of the bank and transferred the stock but remained its beneficial owner. The defense, however, declared that the transfer was made because for several months efforts to merge the Citizens' National and First National banks had been made and that officers of the institutions had Lad conferences in New York City, Washington, D. C., and Elmira but that Mrs. Dayton and Mrs. Hall opposed the merger so sold the stock, in a bona fide sale, to Mr. Foster on a payment plan. The sale, they contended, was made before anyone suspected that the bank was insolvent or in danger of being closed. The transfer was made on the books of the bank in Nov. 1932 by Mr. Dayton. The price, $20 a share, the defense said, was a fair price for bank stock at that time. They also said that it was assessed at $25 a share in Mrs. Hall's estate. Attorney E. W. Eaton of Waverly of defense counsel, stated today that an appeal is expected to be taken to the federal circuit court of appeals in the near future.