Bank of Fayetteville (Fayetteville, GA)

Episode Information

Episode UID
307772291533
Episode Type
Suspension → Closure
Bank Type
state
Bank ID
30777229 hash
Start Date
September 13, 1927
Location
Fayetteville, Georgia (33.449, -84.455)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
8f052b0eb2decb54

Response Measures

None

Description

Receivers were appointed and the bank is described as defunct; county funds were tied up.

Events (2)
1. September 13, 1927 Receivership
Newspaper Excerpt
Judge W. E. H. Searcy...appointed R. E. L. Fife receiver in the bankruptcy of the Bank of Fayetteville, whose recent failure involved funds belonging to the city.
Source
newspapers
2. March 10, 1928 Receivership
Newspaper Excerpt
In obtaining appointment of D. B. Murphy as receiver by Judge W. E. H. Searcy...the commissioners said the county act of 1917...naming the Bank of Fayetteville as depository made no provision for a county disbursing officer in case a depository failed, which happened in this instance.
Source
newspapers

Newspaper Articles (2)
1. September 13, 1927 The Atlanta Journal Atlanta, GA
Article from The Atlanta Journal, September 13, 1927

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Article Text

Fayetteville Bank Receiver Appointed FAYETTEVILLE, Ga., Sept. 13.—Judge W. E. H. Searcy, in the Fayette county superior court, Monday morning appointed R. E. L. Fife receiver in the bankruptcy of the Bank of Fayetteville, whose recent failure involved funds belonging to the city. Judge Searcy's action followed an involuntary bankruptcy petition filed in behalf of the taxpayers of the community by the firm of Culpepper & Murphy, attorneys, against the bank and also against W. V. Holt, city treasurer of Fayetteville. A grocery store owned by Mr. Holt was also closed by order of the court, it was stated, but will be reopened shortly, as Mr. Holt said he intended making bond. He is represented by F. A. Sams and W. B. Hollingsworth.

2. March 11, 1928 Evening Star Washington, DC
Article from Evening Star, March 11, 1928

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Article Text

RECEIVERSHIP ASKED BY GEORGIA COUNTY Commissioners Unable to Find Bank to Act as Depository. By the Associated Press. FAYETTEVILLE, Ga., March 10.—The County of Fayette, Ga., went into receivership today on a petition of the county commissioners because they said they were unable to find a bank to act as depository for disbursement of county funds so long as a portion of those funds were in litigation. In obtaining appointment of D. B. Murphy as receiver by Judge W. E. H. Searcy in Griffin Superior Court, the commissioners said the county act of 1917 abolishing the office of county treasurer and naming the Bank of Fayetteville as depository made no provision for a county disbursing officer in case a depository failed, which happened in this instance. The Bank of Fayetteville, at the time it failed, had $40,000 of county funds on deposit. The Atlanta and Lowry National Bank of Atlanta, which took over the responsibilities of depositoryship at that time, recently returned $12,500 in Fayette County funds to the commissioners because holders of county warrants had rights that probably might tie up any funds in their possession, the petition said. Meanwhile, the petition continued, County Tax Collector J. W. Lunsford has collected funds to the extent of between $8,000 and $12,500, with no authority to disburse them. The appointment of a receiver will have the effect of releasing and protecting these funds, the petition said, so that the county may proceed with its business pending settlement of the affairs of the defunct Bank of Fayetteville.