gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
994776a179f47df1
Response Measures
None
Receivership Details
Depositor recovery rate
36.1%
Date receivership started
1894-11-13
Date receivership terminated
1899-02-20
OCC cause of failure
Fraud
Share of assets assessed as good
11.7%
Share of assets assessed as doubtful
47.1%
Share of assets assessed as worthless
41.2%
Events (4)
1.December 24, 1888Chartered
Source
historical_nic
2.November 12, 1894Suspension
Cause
Government Action
Cause Details
United States bank examiner/comptroller closed the bank citing impaired capital and reserve problems; examiner posted suspension notice
Newspaper Excerpt
This bank has suspended payment and is in the hands of the Comptroller of Currency.
Source
newspapers
3.November 13, 1894Receivership
Source
historical_nic
4.November 13, 1894Receivership
Newspaper Excerpt
The controller of the currency has appointed John I. Cox receiver of the First National Bank at Johnson City, Tenn.
Source
newspapers
Newspaper Articles (17)
1.November 15, 1894The CometJohnson City, TN
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Article Text
"Suspended Payment." These two words and all they imply have caused an amount of sorrow and lamentation in this community during the last few days that is hard to estimate. They were employed in the following sentence and suspended on the door of the First National Bank last Monday at 12:30 p. m.: "This bank has suspended payment and is in the hands of the Comptroller of Currency." Do you realize what that means? It means that $80,000 dollars due depositors is tied up indefinitely and that $93,000 due from the people of this section must be paid at once, though it bankrupt them This is not all. It probably means that $50,000 put up by the stockholders to found the institution has been irretrievably lost. The effect this will have upon this section is hard to calculate. That it will be bad goes without saying but how bad and how long it will take to get over this terrible blow to our business interests remains to be seen. Mr. J. E. Crandall, the President of the bank, came to Johnson City from Illinois almost ten years ago and, in connection with D. W. Shuler, started the Bank of Johnson City. In a short time Mr. Shuler withdrew to start a bank at Hickory, N. C., and Mr. Crandall became the sole proprietor of the institution. It was during his connection with the Bank of Johnson City that he gained the confidence ofthe people of this city and section and established a reputation as being one of the best financiers and most conservative bankers in the State, all of which he has shown himself worthy of throughout his career, and upon the day of failure he enjoyed the full confidence and respect of his patrons and the public. The Bank of Johnson City was changed to a national bank about six years ago and Mr. Crandall made President. During its life it has had many ups and downs. A year ago when banks were failing over the country this one came very near meeting a similar fate, but Mr. Crandall managed to pull it through by careful financiering Since that time the bank has been considered out of deep water and on the road to prosperity. It was on account of this feeling that the report of the suspension Monday caused such general consternation. There is scarcely a doubt that depositors will be paid in full, but it is generally conceded the stock is worthless. Mr. Crandall has done all he could to insure this first result. Like an honest man he has turned over everything, including his personal property, to save the depositors and his individual sureties. He was the largest stockholder, and, therefore, the largest loser. When he went to dinner on Monday he was worth about $50,000, representing the accumulation of ten years of ceaseless toil, but with one pen-ful of ink Bank Examiner Miller wiped that out completely, and left him, without A moment's notice, as penniless as a pauper. There has been nothing but the sincerest sympathy expressed for Mr. Crandall in his financial troubles and the hope that he may be able to save something from the wreck, in all of which THE COMET heartily joins.
2.November 15, 1894The Big Stone Gap PostBig Stone Gap, VA
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last week in Eastern Kentucky, buy ing cattle. Mr. Slemp says go cattle are very scarce now. Do you enjoy a hearty laugh? S the fun makers at old Nickels Buil ing, Wood avenue. They will * there one week, or more. A larger attendance at theEpwor League meetings Sunday afternoo would be appreciated by its leader not only the young people, but tl older ones. The Virginia Building at t) World's Fair, which cost $15,00 was bought by a Chicago policema for $400. He had it removed and no occupies it as a home. Dr. J. W. Kelly went over Gate City last week. The Dr. ha a large Drugstore there and in add tion gets a good practice. Mr. Albert S. Holt, of the firm English & Holt, New Haven Conu is spending a few days in the Gap o business. He is the guest of J. I Johnson. D. B. Wade returned yesterda from Cincinnati, where he went wit some fine cattle. Mr Wade is on of our most prominent cattle dealer and is very succerful in the business Nature's Remedy Company wi gine a matinee at old Nickels Bnile ing, Wood avenue, Saturday afte noon at 2 p. m. Admission 10 cent Hon. H. C. L. Richmond passe through the Gap Sunday, returnin from a very successful hunt wit Hon. Jeff Dillion and his coon do; They both took to the woods as soo as the election returns came in. Mr. R. E. Kennedy, one of our e ficient public school teachers, an who has charge of a school in Le county, spent Saturday and Sunda with homefolks inEastBigStone Ga The Southern Railway compan has filed a deed of trust at Knoxvil to the Central Trust company of Ne York for $120,000,000-the large mortgage ever given in the South. G. A. Murray, a prominent lumb dealer of East Tennessee and Sout west Virginia,and who is also propr etor of the Hale Spring Hotel, : Rogersville, Tenn., spent Sunday i the Gap. The Natures Remedy Compan handle medicines to cure any ill Give them a fair and impartial tria They will do you good. Old Nicke * Building, Wood avenue. The First National Bank, of John son City, Tenn., suspended busines Monday. The suspension was great surprise to the people of tha city. The cause of the failure ha not been made public yet. The Missos Kennedy gave an et joyable entertainment to a number friends at their hospitable home East Big Stone Gap last Saturda evening. The occasion was in hon of Miss Maggie Kennedy, who wi leave in a few days for Florida. In the United States court in tl case of Chapman VS Yellow Popl: Lumber Company, began hearing tl evidence of the defendant Compar Thursday evening. It is though the case may be concluded next wee -Abingdon Virginian. Rev. J. B. Craft, of Rye Cove, Va spent Friday night in Bristol. Th morning Prof. Sam Jones, of the : W. Va. institute, accompanied hi out over the S. A, & O. to Big Sto Gap.-Bristol News. FREE-A compound and directio for making one pound of fresh yello butter out of one pint of fresh mil
3.November 15, 1894The CometJohnson City, TN
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SUSPENDED PAYMENT. The First National Bank in the Hands of an Examiner. "The First National has been closed!" This startling piece of news was rapidly circulated over the city shortly aiter noon last Monday. It was 80 sudden and 80 unexpected that it was not credited by many, but upon investigation it proved only too true. The following notice upon the door confronted those who attempted to enter "This bank has suspended payment and is in control of the comptroller of currency. [Signed] J. M. MILLER, Jr., Examiner in charge. Mr, Miller is a United States bank examiner and has been in the city since last Thursday afternoon, looking over the affairs of the bank. He made his report last week, but it was not until Monday. while at dinner at Hotel Piedmont, that he received instructions by telegraph from Comptroller Eckels to take charge. The action was quite as much a surprise to President Crandall as to outsiders as be had no idea when he went to dinner on Monday that the bank was in any immediate danger of being closed, in fact, he had every reason to believe the contrary, as the ffairs were really in better condition than they had been at other times during the last year when the bank came 80 near having to suspend and would have done 80 but for outside as sistance and Mr. Crandall's extraordiary executive ability. There is a great deal of speculation on the part of the public as to why the bank was closed at this time and many reasons are assigned therefor, chief among which is that the legal reserve was not available. This may be true, but THE COMET believes one of the principal causes for the suspension was impaired capital. Examiner Miller told THE COMET that he was not permitted to make any statement whatever in regard to the bank's affairs, but as soon as a receiver was appointed a statement would be published, setting forth everything in detail. Mr. Miller has no idea how soon a receiver will be named, but he will remain in charge until that time. As there are a great many wild rumors as to the bank's condition and inasmuch as we are not able to give a statement of the condition when closed, we reproduce below the statement made at the close of business on October 2, 1894. It is not at all likely there has been much change in any items since that time:
4.November 16, 1894Richmond DispatchRichmond, VA
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A Bank President Arrested. BRISTOL, TENN., November 15.-(Speclal.)-J. E. Crandall, president of the First National Bank, of Johnson City, Tenn., which suspended business Monday, was arrested to-day by United States Marshal Condon, on a charge of making false statements with reference to the condition of his bank. He waived his right to a preliminary hearing, and was bound over in the sum of $5,000.
5.November 17, 1894The TimesRichmond, VA
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BANK PRESIDENT ARREATED Charged With Making an Unrrttful ment of the Cond tion of His Bank, BRISTOL, TENN., Nov. 16.-J. E. Crandal, president of the First National Bank of Johnson City, Tennessee, which suspended business Monday, was arrested by United States Marshall Condon yesterday on the charge of making false statements with reference to the condition of his bank. He waived his right to a preliminary hearng and was bound over in the sum of $5,000 Nov. 16.-The arrest of WASHI. President Crandall, of the Johnson City (Tenn.) National Bank, was made at the direction of Comptroller of the Currency Eckels. In his last report, made to the Treasury early in October, the president reported his bank to be in n solvent conditon, and the Treasury is assured that it was not. The United States District Attorney has been directed to prosecute Crandall for violating the statute which requires a truthful statement of the condition of national banks to be made to the Treasury five times a year.
6.November 22, 1894The CometJohnson City, TN
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MAY REORGANIZE. The First National Bank Likely to Resume as a State Institution. A strong effort is being made by the stockholders and depositors of the First National Bank to have it resume under a State charter. Petitions setting forth the plan are being circulated among both classes of creditors and being liberally si. ned. A large majority of the stockholders and depositors have signified their willingness to submit to the new arrangement and others are doing 80. Dr. H. H. Carr and J. E. Crandall were in Washington last Monday to consult Comptroller Eckels and see what steps could be taken to wind up the bank's affairs other than by a receiver. As a result of their visit Bank Adjuster Lynch will be here this week to look the ground over and assist, if possible, in re-establishing the bank. The gentlemen were assured by the Comptroller that everything possible in the purview of the law would be done to bring about this result as it was the policy of the government to build up and not destroy the banks of the country. At this time there are many reasons for believing the matters will be straightened out and a new bank established in a short time. Such a result is greatly to be desired.
7.December 5, 1894Evening StarWashington, DC
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An Appointment. The controller of the currency has appointed John I. Cox receiver of the First National Bank at Johnson City, Tenn.
8.December 5, 1894The Morning NewsSavannah, GA
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A Bank in a Receiver's Hands Washington, Dec. 4.-Controller Eckels to-day appointed John I. Cox, receiver of the First National Bank of Johnson City, Tenn.
9.December 6, 1894The CometJohnson City, TN
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Retires With Honor. Bank Examiner J. M. Miller, Jr., who has been in charge of the First National Bank since it suspended payment, has shown himself to be thoroughly well qualified for the position he holds and has made many friends here by his polite and conrteous attention to the demands made upon him. While it is hoped he may not be called to this city to do as he has just done, yet if he should care to drop in to spend a few days, unofficially, he will be warmly welcomed.
10.December 13, 1894The CometJohnson City, TN
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Assumed Control. Receiver John I. Cox has taken charge of the defunct First National Bank, the transfer being completed Monday. Mr. Cox will give the matter his personal attention and do his utmost to wind up the affairs of the bank at the earliest moment.
11.February 28, 1895The CometJohnson City, TN
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TREASURY DEPARTMENT OFFICE OF THE COMPTROLLER OF CURRENCY. WASHINGTON. D.C, Dec. 4, 1894. Notice is hereby given to all persons who may have claims against "The First National Bank of Johnson City," Tennessee, that the same must be presented to John I. Cox, receiver, with the legal proof thereof, within three months from this date, or they may be disallowed. JAS. H. ECKELS, Comptroller of the Currency.
12.August 5, 1897The CometJohnson City, TN
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Receiver's Notice. I will be in Johnson City from August 9th to 14th, inclusive, for the purpose of selling the property, and compounding the doubtful debts, of the First National Bank, and to attend to any other business incident to the settlement of the affairs of said bank, JOHN I. Cox, Receiver,
13.August 12, 1897The CometJohnson City, TN
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We cash pension checks-no charge. Ward & Friberg, THE BEE HIVE. Receiver's Notice. I will be in Johnson City from August 9th to 14th, inclusive, for the purpose of selling the property, and compounding the doubtful debts, of the First National Bank, and to attend to any other business incident to the settlement of the affairs of said bank. JOHN I. Cox, Receiver.
14.September 9, 1897The CometJohnson City, TN
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Receiver of First National Bank of Johnson City, Tenn. (pr fee $32 00
15.August 11, 1898The CometJohnson City, TN
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John I. Cox, receiver for the First National Bank, is in the city this week arranging to wind up the trust. The last dividend will be paid the creditors in thirty or forty days.
16.August 18, 1898The CometJohnson City, TN
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Retained T. A. Cox. Hon. Homer J. Clark, receiver of the First National Bank, has retained T. A. Cox, of this city as attorney, and he will have charge of the affairs in the absence of Mr. Clark. The undelivered checks for divideneds are now in Mr. Cox's hands for distribution and will be given to the proper parties upon demand.
17.September 1, 1898The CometJohnson City, TN
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# All Collections Made.
T. A. Cox, attorney, representing Hon. Homer J. Clark, Receiver for the First National Bank of this place, says that all collections for the bank have been made, with two exceptions. When all assets have been disposed of, the Comptroller will probably declare a dividend of 2½ per cent. The bank has paid 35 per cent.
Bank runs are almost always and everywhere a deterioration of bank fundamentals.
But not for you.
You are the measure-zero exception: great fundamentals, solid bank, and yet the Diamond Dybvig fairy spread its rumor. Depositors woke up. Your collateral was not prepositioned. The Clearinghouse had it for you.
Do not pass Go. Do not collect $200. Go directly to jail… or worse.
