B. H. Schettler (Salt Lake City, UT)

Episode Information

Episode UID
6131313191258
Episode Type
Suspension → Closure
Bank Type
private
Bank ID
613131319 hash
Start Date
October 18, 1904
Location
Salt Lake City, Utah (40.761, -111.891)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
0a5502fc04c4cbdf

Response Measures

None

Description

Receiver was appointed by order of the secretary of state; bank remained in receivership and did not reopen.

Events (3)
1. October 18, 1904 Suspension
Cause
Government Action
Cause Details
Receiver appointed by order of the Secretary of State, removing the private bank from operation.
Newspaper Excerpt
Having been appointed on the 18th of October last, receiver for B. H. Schettler, banker...
Source
newspapers
2. December 15, 1904 Receivership
Newspaper Excerpt
Receiver R. R. Anderson filed... his report covering the liabilities and assets of B. H. Schettler, the East Temple street banker.
Source
newspapers
3. January 13, 1905 Other
Newspaper Excerpt
B. H. Schettler, a banker, was arrested tonight charged with accepting deposits after he knew his bank was insolvent.
Source
newspapers

Newspaper Articles (11)
1. December 15, 1904 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, December 15, 1904

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Article Text

Receiver R. R. Anderson Files His Report with Judge Hall of District Court. TWO HUNDRED DEPOSITORS. In Sums Ranging from Four Cents Up To $5,500 Liabilities Exceed Assets. Receiver R. R. Anderson filed, this morning, with Judge Hall of the Third district court, his report covering the Habilities and assets of B. H. Schettler, the East Temple street banker. Summed up, the report shows total assets at $100,136.84; liabilities, $107,287.36. Accompanying the report, which covers 59 pages, is a letter addressed to the court as follows: "Having been appointed on the 18th of October last,receiver for B. H. Schettler, banker, in the action entitled "The State of Utah, etc., vs. B. H. Schettler,' I herewith report to your honor my findings, which comprise all of the assets, totaling $100,136.84, and the liabilities, totaling $107,287.36, of the bank up to date. You authorized and empowered me to take charge of said bank, and wind up the affairs thereof. I am anxious to do this in a manner that will meet your approval, and would therefore ask your authorization to retain a legal adviser to guide me when necessary, I have already incurred a personal expenditure for reliable legal advice. "I believe that during the next 40 days just sufficient funds can be collected from past due notes receivable to pay off the unsatisfied balance (nearly $4,000) of the Miller judgment, which is drawing 8 per cent interest: and I now ask your permission to make such collections and pay off this lien now encumbering all the bank's real estate, With no surplus left from the notes receivable fund, after paying the Miller judgment, I find that a 10 per cent or even a 5 per cent dividend can never be paid without selling real estate. If you should wish me to sell the real estate, kindly designate the time and method of procedure you desire me to follow." The assets and liabilities in concrete form are as follows:

2. December 17, 1904 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, December 17, 1904

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Article Text

DEPOSITORS TO GET TOGETHER Move Is Taken to Probe Schettler Bank Affairs. MEETING WILL BE CALLED SECRETARY OF STATE HAMMOND MAKES EXPLANATION. OLLOWING the publication yesterday morning in The Herald of the true F condition of the assets of the defunct private bank of B. H. Schettler, conferences were held by several of the depositors, who had put from $1,000 to $4,000 each into the bank. for the purpose of outlining some action to be taken by them. The chief mover in getting the depositors together was Andrew Grundfor of 726 West Sixth North street, who had $1,100 in the bank. He said last night that a meeting would be called for next Monday or Tuesday night, at which It is expected all the depositors will be present. The bank's affairs will then be thoroughly discussed and a motion Will be offered to effect a permanent organization for the purpose of taking such steps as may be deemed proper in order to get as much as possible out of the assets of the institution. Some déclared they would favor prosecuting Schettler. alleging that in their opinion he had received deposits after he became aware that the bank was insolvent. Others were for suing the secretary of state on his bond. claiming that if he had not been derelict in his duty he would not have permitted Schettler to run a private bank without the capital of $50,000 required by the state banking law in a city of the size and class of Salt Lake. But none of these was willing to be put upon record as doing or attempting to do anything until such time as all the depositors, or a majority of them. get together and decide upon some line of action. Hammond Makes Explanation. State Bank Examiner W. J. Beatie was out of the city yesterday, but will return this morning. Secretary of State James T. Hammond was in his office and was asked why he permitted Schettler to continue running his private bank without the $50,000 capital he should have had. He said: "Soon after I went into office I made a verbal request of Schettler to comply with the state banking law, SO far as capitalizing his bank and making the required reports were concerned. He refused. contending that as his bank was in existence in territorial days, before the state law was passed or could be passed, he was not bound by it. He claimed that the law could not be made retroactive. I spoke to him again about it, but he still refused. In 1898 he began making quarterly reports of the condition of his bank, and has made those reports regularly ever since. "None of the statements showed him to be insolvent. but a few weeks before he was closed up I began to see that his capital was becoming impaired. The item of current expenses and taxes paid kept growing unreasonably. and I decided that he ought not to be allowed to continue in business. Schettler Made Promises. "I called his attention to his financial weakness and he agreed to sell some real estate not included in the bank's assets and with the proceeds to reinstate the bank's capital. "I want to-say that there is no provision in the laws of Utah for the examination of private banks. and consequently what I did in the matter of insisting that Schettler put more money into his business or close up was of my own motion and for the protection of the depositors. My action was based upon his last quarterly report. "There are only five other private banks in Utah, and they each have the full capitalization required by the state law for such banks in towns of the size of those in which they are located. One of these banks is in Salt Lake. two are in Box Elder county. at Brigham and Corinne: one at American Fork and one at Richfield."

3. January 14, 1905 Los Angeles Herald Los Angeles, CA
Article from Los Angeles Herald, January 14, 1905

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Article Text

SALT LAKE BANKER IS UNDER ARREST Receiver Claims Bank Was Insolvent When Man Accepted Deposits. Deeded Property to Wives By Associated Press. SALT LAKE, Jan. 13.-B. H. Schettler, a banker, was arrested tonight charged with accepting deposits after he knew his bank was insolvent. The extreme penalty in this state is five years in the penitentiary. Schettler conducted a private bank until three months ago, when, by order of the secretary of state, a receiver was appointed and the bank's affairs were investigated. The liabilities were about $107,000 and the assets estimated at about one fourth of that amount. It was stated by the receiver that the bank had been insolvent for several years. A few months before the receivership began Schettler deeded valuable residence property to his three wives and all efforts to induce him to turn this property over to his creditors have failed.

4. January 17, 1905 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, January 17, 1905

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Article Text

GETS HER MONEY. Schettler Creditor Given $1,000 on an Old Judgment for Debt. Receiver R. R. Anderson yesterday afternoon paid to the attorneys of Mrs. Elizabeth Livingston $1,000, to apply on a judgment obtained against exbanker B. H. Schettler last September. This judgment is secured by a lien on certain real estate, and when the balance of the judgment, amounting to $2,000, is paid, the property will be released and sold and a dividend to the creditors declared. A. meeting of Schettler's creditors will be held this evening, and the indications are that the session will be a lively one.

5. January 18, 1905 Weekly Arizona Journal-Miner Prescott, AZ
Article from Weekly Arizona Journal-Miner, January 18, 1905

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Article Text

EVERYTHING IN SIGHT WAS TAKEN An Avaricious Banker Played the Game too Often, and Will pay The Penalty By Associated Press. SALT LAKE, Jan. 13.-B. H. Schettler, the banker, was arrested tonight charged with accepting deposits after he knew the bank was insolvent. The extreme penalty in this state is five years in the penitentiary. Schettler conducted a private bank until three months ago when by order of the secretary of state a receiver was appointed. The liabilities were over one hundred thousand and the assets about one fourth of that amount.

6. January 31, 1905 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, January 31, 1905

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Article Text

OFFER TO TAKE FIFTY PER CENT Schettler Creditors Conclude Half a Loaf Better Than None. PLAN UNDER DISCUSSION DEPOSITORS OF THE DEFUNCT BANK WILL MEET TONIGHT. PROPOSITION was made yesterday afternoon by several of the creditors A of B. H. Schettler, the defunct banker, to his counsel. former Senator Joseph L. Rawlins, to settle all claims on a basis of 50 cents on the dollar. Senator Rawlins admitted last evening that he had heard of such a proposal, but he was not prepared to give any of the details. He added laughingly that such a proposition would no doubt be agreeable providing there was enough property in sight to realize a sum sufficiently large to liquidate all claims on a basis of 50 cents on the dollar. From other sources it was learned that several of the creditors, principally depositors, had called on Mr. Schettler and informed him that they were willing to drop all prosecutions, and would get the other creditors to make a similar agreement providing that he would mortgage all his property for $50,000 and turn the proceeds over to the receiver, R. R. Anderson, for distribution. Mr. Schettler is said to have replied that he could not entertain the plan without first consulting his lawyer, Senator Rawlins. and he advised the committee to submit their proposition to him. At the Schettler home on Brigham street last evening Mr. Schettler had retired, but one of his sons said it was true that some of the creditors had offered to make terms. but further than that, he said, the family was not prepared to make any statement.

7. February 19, 1905 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, February 19, 1905

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Article Text

# BANK RECEIVER # FILES ACCOUNT R. R. Anderson Gives Receipts and Expenditures in Schettler Case. # ARGUMENTS ARE DEFERRED FINAL SETTLEMENT OF J. R. WALKER ESTATE. R. R. Anderson, receiver of the defunct private bank of B. H. Schettler, yesterday filed a statement of his receipts and disbursements in Judge Morse's division of the district court, and C. S. Buckwalter was appointed referee to audit and report upon the accounts contained in the statement. The receipts from Oct. 19, 1904, the date of Mr. Anderson's appointment, to Jan. 1, 1905, were $2,487.69, and the disbursements $2,081.84, leaving a balance on the last date of $405.85. From Dec. 31, 1904, to Feb. 18, 1905, the receipts, including the balance of $405.85, amounted to $3,408.98, and the expenditures to $2,940.47, leaving a balance of $468.51. Arguments on the demurrers of the son and wives of Schettler to the allegations of Receiver Anderson's petitions in his suits to dispossess them of real estate alleged to have been deeded away by Schettler to prevent it from being taken possession of as part of the assets of the bank, were passed by Judge Morse indefinitely, together with other matters pending before him.

8. March 21, 1905 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, March 21, 1905

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Article Text

MARSHALL IS TO DECIDE. Receiver R. R. Anderson of Schettler's Estate Will Confer With Him Today. A conference will be held at 11 o'clock this morning between Judge John A. Marshall of the United States court, Judge C. S. Zane and Receiver R. R. Anderson in regard to the propriety of turning over the books and accounts of B. H. Schettler, the defunct banker, to Referee in Bankruptcy Charles Baldwin. Mr. Baldwin served an order on Mr. Anderson Saturday, in which he made a demand for the books and accounts, but the receiver, who is under $125,000 bonds, acting on the advice of his counsel, Judge Zane, refused to comply with the order, for the reason that his appointment came through Judge C. W. Morse of the Third district court, and he believed it would be an act of disrespect to Judge Morse to turn over the books without his official sanction. It was thought last evening that the matter would be settled amicably at this morning's conference. It was stated yesterday that the trial of B. H. Schettler, on the criminal charge made by Mrs. Tillie Sutherland would begin Tuesday, March 28.

9. February 19, 1906 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, February 19, 1906

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MEETING OF CREDITORS. About 35 of Them Considered Matters Pertaining to Schettler Affairs. Creditors of ex-Banker B. H. Schettler, to the number of about 35, met this morning at the office of Commissioner in Bankruptcy Baldwin, and considered several matters pertaining to affairs in which they are interested. First, the sale of 5x10 on A and Fourth streets, for the sum of $3,025. was approved. The receiver was authorized to sell a certain parcel of land situate In Plat C, for $500, of which amount $25 will be paid as the commisgion to the seller. A dry farm in Sanpete county, containing some 300 acres, was voted to be sold for $950. Peter Hanson bought for $47 five shares of stock in the Twentieth Ward Co-op, the said stock formerly belonged to Mr. Schettler. An agent of the Tuttle Brothers & Woolley firm made an offer, on behalf of W. W. Carlisle, of $20,000 for the Schettier home on East South Temple street. There is an arreas of taxes and other claims against the property, and it was decided to al. low the bidder until March 1 to agree to pay $20,000 net for the premises, the receiver holding the right to reject said bid, provided a greater sum shall be offered for the place. The next meeting of creditors will be on March 6.

10. March 6, 1906 Deseret Evening News Salt Lake City, UT
Article from Deseret Evening News, March 6, 1906

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CREDITORS MEETING. Divident of 2 1/2 Per Cent Declared--Offer for Schettler Home Withdrawn. About twenty creditors of the B. H. Schettler defunct bank met this morning at the office of Commissioner in Bankruptcy Baldwin, at which time a dividend of two and a half per cent was declared in fayor of the persons interested. This brings the total realized by the creditors to ten and a half per cent, eight per cent having previously been paid. The dividend declared today will be pavable at the office of Receiver G. B. Blakely within the course of a week. The offer of $21,000 for the Schettler home on east South Temple street, which was made some time ago by California parties through a local real estate firm, has been withdrawn. It is thought that higher bids will be received in the near future on the property mentioned, and It is from this source that the creditors expect to retrieve the greater portion of the unpaid balance of their investments.

11. March 20, 1910 The Salt Lake Tribune Salt Lake City, UT
Article from The Salt Lake Tribune, March 20, 1910

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SCHETTLER MATTER IS FINALLY SETTLED Creditors of Banker Receive Forty-eight Per Cent After Costs Are Paid. G. B. Blakely, trustee in bankruptcy in the Schettler case, on Saturday completed the settlement of the affairs connected with the matter. The claimants receive about 48 per/cent, after all costs have been paid. Mr. Blakely succeeded in colleeting $60,000 of the appraisement of $61,660.98. B. H. Schettler conducted a private bank on North Main street for several years prior to 1904 In that year he failed. The district court appointed R. R. Anderson receiver. Later Schettler went into bankruptcy court and Mr. Blakely was appointed by the court to handle the matter. At the time of the failure of Schettler, his case was brought to the attention of the grand jury, and an indictment was returned against him. Meanwhile he died. The schedule filed by Schettler showed liabilities of $98,000, with assets of $90.000. These assets were largely in excess of the true value in many Instances, Mr. Anderson found indebtedness of $107,000 and assets of only $39,000. The latter. however, did not include some property on Brigham street, valued at approximately $24,000. The appraisers turned over to Mr. Blakely a list of assets of $61,660.98. There were claims of about $100,000. Mr. Blakely's receipts were $60.742.73 of the appraised valuation of $61,660.98.