Albemarle Bank (Elizabeth City, NC)

Episode Information

Episode UID
66008271512
Episode Type
Suspension → Closure
Bank Type
state
Bank ID
6600827 routing
Routing Number
66-0082
Start Date
December 24, 1925
Location
Elizabeth City, North Carolina (36.294, -76.235)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
140d69dff74ea5b0

Response Measures

None

Description

Closure appears linked to discovered embezzlement and insolvency; receiver appointed.

Events (3)
1. December 24, 1925 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Closed due to lack of funds after discovery of large shortages, suspicious loans, and likely embezzlement by the cashier.
Newspaper Excerpt
closed its doors on Christmas Eve through lack of funds to meet incoming checks
Source
newspapers
2. January 7, 1926 Other
Newspaper Excerpt
W. H. Holland, cashier of the bank, was arrested Thursday on a charge of embezzlement, and is held in jail in default of bond.
Source
newspapers
3. January 7, 1926 Receivership
Newspaper Excerpt
appointment of P. H. Williams ... as temporary receiver. The State Banking Commission has taken charge of the bank's affairs. A final hearing on it is scheduled for Friday, January 8.
Source
newspapers

Newspaper Articles (3)
1. January 9, 1926 The St. Paul Echo St. Paul, Minneapolis, MN
Article from The St. Paul Echo, January 9, 1926

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Article Text

BANK CASHIER IS HELD ON CHARGE OF EMBEZZLING Doors of Building Closed Because of Lack of Funds; Receiver Appointed. $30,000 Loss Rumored Cashier Returns From Vacation to Find Himself Placed Under Arrest. (Preston News Service) Elizabeth City, N. C., Jan. 7.-An audit of the financial condition of the Albemarle Bank which closed its doors on Christmas Eve through lack of funds to meet incoming checks, was being made Tuesday following appointment of P. H. Williams, president of the Savings Bank and Trust Company, as temporary receiver. Thus far, nothing definite has been disclosed as to the condition of the bank, or the extent to which depositors will be protected. Bank Examiner Visits. The appointment of Mr. Williams as receiver was made by Judge Henry A. Grady, presiding over the term of Superior Court now under way here after a survey of the situation by Clarence Latham, chief bank examiner for the state. As matters stand, a definite announcement as to the condition of the bank will await the outcome of the audit now being made by W. S. Coursey of the Frank A. Hill Company, certified public accountants of Charlotte. The State Banking Commission has taken charge of the bank's affairs. A final hearing on it is scheduled for Friday, January 8. Cashier Held. W. H. Holland, cashier of the bank, was arrested Thursday on a charge of embezzlement, and is held in jail in default of bond. The warrant for Holland's arrest was sworn out by W. S. Coursey of Charlotte, accountant, who began an audit of the bank's affairs Wednesday. Holland's arrest followed the discovery of a shortage of more than $10,000, according to P. H. Williams, temporary receiver of the Albemarle Bank. It is rumored that the shortage is in the neighborhood of $30,000, though hope is expressed that additional assets will be found in the course of the audit, and thereby the total of the shortage may be reduced. Holland returned from Evansville, Ind., having left for there the day the bank closed. His wife is said to be living in Evansville. "If I have done anything wrong, I'm willing to take my punishment," he is quoted as saying as he was being conducted to jail. The finding of a bank ledger and balance sheets bearing a number of accounts concealed in the bank vault, led to to the discovery of the shortage and to Holland's arrest, Mr. Coursey stated. Clarence Latham of Raleigh, chief bank examiner, was notified of the arrest and went to Elizabeth City immediately.

2. January 10, 1926 The Virginian-Pilot Norfolk, VA
Article from The Virginian-Pilot, January 10, 1926

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Article Text

ALBEMARLE BANK RECEIVER NAMED P. H. Williams, of Elizabeth City, To Handle Affairs of Defunct Institution Elizabeth City, Jan. Savings Bank Trust Company here, and Albemarle Bank, ored closed doors Christmas named permanent by Judge Henry Grady, Superior Court, brief hearing. Judge Grady denied motion the defunct for out the tangled affairs of tution. The that Mr. was to hansituation, and expressed the would not hesitate assist him, the proceedings salvaging what might salvaged from the wreck the H. Holland, negro cashier the Albemarle arrested an embezzlement after He in jall for at the term 16, having failed give bond in the fixed hearing the Recorder's Court few days after his statement to Judge Grady, Mr. Williams today gave solvent assets $80,000 $85,000, against liabilities already aggregating and growing each day passbooks reveals discrepancies. The audit of the bank's affairs begun operations still is going with prospects that It continue through the coming week.

3. January 15, 1926 The Independent Elizabeth City, NC
Article from The Independent, January 15, 1926

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Article Text

DID GANG LOOT COLORED BANK Findings of Auditors Arouse Suspicions-Depositors May Recover Their Money Was the looting of the Albemarle Bank, Elizabeth City's negro bank which closed its doors Dec. 24, 1925, the work of the cashier, W. H. Holland, or the result of a conspiracy upon the part of a gang? The auditors are on trails that may uncover a conspiracy The audit of the bank's affairs shows money loaned in Plymouth Durham, Portsmouth. Norfolk, Richmond, Washington and New York City. Some of these loans appear suspicious indeed, and if suspli clons are verified Holland, the cashier now in jail and who won't talk. was working with others to wreck the bank. The audit of the tangle mess is yet incomplete. but there is enough to show that the bank's liabilities will be around $115,000. Examinaltion of pass books show that many depositors were credited with deposits on their pass books and the deposits never entered on the books at all-not even on the secret ledger which Holland kept. The assets of the bank consist of about $80,000 in securties, some of which are known to be worthless; $10,000 collectable on Holland's bond and bank fixtures probably worth $1,500. It means that an assess ment will be levied against every stock holder in the bauk, each stock. holder being required by law to put up an amount equivalent to the amount of his stock in the bank. A list of the stockholders was pub. lished last week. The largest stockholder is Dr. E. L. Hoffler, holder of 35 of the $50 shares. Dr. Hoffler stands to lose a `cool $3,500 in the final settlement. P. H. Williams, president of the Savings Bank & Trust Co., who ha been appointed receiver for the do funct bank entertains some hope that the depositors will receive dellar for dollar. This is, of course contingent upon the validity of a major part of the securities listed among the assets. But it is going to go hrad with the stockholders: they not only lose what they invested in stock. but stand to lose an equivalent amount.