gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
d378c54438aa3023
Response Measures
None
Receivership Details
Depositor recovery rate
45.0%
Date receivership started
1932-03-28
Share of assets assessed as good
45.2%
Share of assets assessed as doubtful
41.0%
Share of assets assessed as worthless
13.8%
Description
The articles mention a 'panic' that passed after the closing, but describe it as a reaction to the suspension rather than a preceding run that caused the failure.
Events (5)
1.October 16, 1903Chartered
Source
historical_nic
2.March 21, 1932Suspension
Cause
Bank Specific Adverse Info
Cause Details
The bank was under investigation by the Department of Justice for its affairs prior to closing.
Newspaper Excerpt
the depositors' committee which has been on the job since March 21
Source
newspapers
3.March 28, 1932Receivership
Source
historical_nic
4.March 28, 1932Receivership
Newspaper Excerpt
Known receivership date: 1932-03-28
Source
newspapers
5.May 4, 1932Other
Newspaper Excerpt
United States department of justice agents are investigating the affairs of the closed Merchants National bank
Opening Greeted by Freezing Winds
GRAND JURY TO PROBE KIDNAPING CASE
IN VALLEY
RECOVERED FROM the first shock of the closing of the Merchants National Bank, Brownsville today stands waiting the publication of the reorganization plan worked out by the depositors' committee which has been on the job since March 21. The committee may rest assured one thing. No matter what the rumors which have been circulated, matter what the street corner gossip may citizens of all walks life stand ready and anxious work with the committee plan which promises specdy organization the bank. The panic has passed. Brownsville now realizes that the closing of the bank docs mean the Brownsville or of Brownsbusiness. The city realizes that far worse things than the closing the bank might befall us. provided the bank and reorganized. not the closing of the bank, but the failure effect speedy that will paralyze local business, and local business stand ready and anxious to all in their power to push this All that is needed now is the anof workable plan and effective leadership.
FEDERAL CROP LOANS are the That item has really ceased to be news. The real news feature of the crop loan business the Would appear to be the slowness Valley To for this federal money Those charge of placing the loans are More than eager to SCO the Valfarmer apply. They have loosened the restricHave cut the Gordian knot of red tape. You apply for the money, And within the available for Cameron for instance, Only $20,000 has been loaned to now expected that arrangements will Whereby may be secured for the planting crops, To be harvested during the winmonths. now available for Loans gation charges. They may also be bad for plantspraying. for fertilizer. The the only security demanded the government.
DEAD MAN'S CURVE will following action takno more. by the State Highway Commission alloting funds the widening of the main highway that point. has long been mystery to those who have followed the work the State Highway Commission just why this curve was allowed in the road In flrst place. The very unexpectedness of the curve has made dancerous than would appear nt flrst and the Valley breathe sight relief the announcethat be eliminated.
GROWERS last night the response given the join the Rio Grande Valley Exchange. No for the evils of the citrus exchange does offer the first of hope. ray the growers of the have seen. For Control of crop is the thing. And the organization offers that Provided of course. the of per cent the acreage. reached. Every known system of marketing fruit. Has been tried In the Valley. With the exception the offered the exchange. might be Just as well to try that.
AS OF Arelculture Geo. tried and friend the Valley. Carrying the masle name of Texpolitics. backed ability energy. Mr. Terrell has had little difficulty being elected to office which he has aspired in the state. Now he in the grand for and doubt will poll large vote. Hard as may be to believe. in more than three months Texas will to the polls the Democratic select state officers, to say nothing some political not already bolland almost over in politics would seem the the day from now in the Valley.
IN OUR VALLEY
RECOVERED FROM the first shock of the closing of the Merchants National Bank, Brownsville today stands waiting the publication of the reorganization plan as worked out by the depositors' cominitteo which has been on the job since March The committee may rest assured of one thing. No matter what the rumors which have been matter what street corner gossip may Brownsville citizens of life stand ready and anxious to work with the any plan which promises speedy organization the bank. panic has passed. Brownsville now realizes that the closing of the bank does mean Brownsville or of Brownsvillo The city realizes that far worse things than the closing the bank might bofall us, provided the bank and reorganized. not the closing of the bank, but the failure to effect speedy reorganization that will paralyze and local business men stand ready and in their power to push this All that needed now Is the plan and effective leadership.
FEDERAL CROP LOANS available the Valley That Item has really coased to he The real nows feature of the crop loan business the ValleyWould be the slowness appear Valley farmers. To apply for this federal money. Those charge of placing the loans are More that onger to SCC the Valfarmer apply. have loosened the restricThey Have cut the Gordian knot of red tape. You apply for the money. And within available for Cameron for Instance, Only $20,000 has been loaned to date. is now expected that arrangements will Whereby may be secured for the planting of crops, To harvested during the wintor months. Loans nre now available for irricharges. They may also be had for plantspraying. for The the only security demanded by the government.
DEAD MAN'S CURVE will no more, following action takyesterday by the State Highway Commission alloting funds for the widening of the main highway that point. has long been those who the work the Highway mission just why this in the rond the The very of the curvo has more than at glance. and will of relief announcethat be eliminated.
GROWERS last were At the response given the To join the Rio Grande Valley Citrus No euro-all for the cvils of the citrus The exchange does offer the first real ray That the growers of the Valley have seen. For many years Control of the crop the And the new organization offers that Provided course, the toal of per cent of the acreage. reached. Every known system of marketing fruit. Has been tried In the Valley, With the of the offered by the might be just well to try that.
AS COMMISSIONER OF Areiculture Texas. Geo. Terrell tried and friend of the Valley. Carrying the masic name of Texpolitics. backed ability energy. Mr. Terrell has had little difficulty being elected any office to which he has aspired In the state. Now he in the groud for and doubt will noll large vote. Hard may be to believe, just more than Texas will to the nolls in the Democratic select state and county officers. to say nothing some The not already and and has almost boiled in IIIpolities would seem the order the day from now in the Valley.
3.May 5, 1932Valley Morning StarHarlingen, TX
Article Text
FEDERAL GRAND JURY TO GET FINDINGS MONDAY
Issue Subpoenas for Persons Informed About Affairs
Special to Valley Morning Star
BROWNSVILLE, May 4—United States department of justice agents are investigating the affairs of the closed Merchants National bank and will present findings of their study to the federal grand jury which is to convene here next Monday.
Federal authorities here today confirmed the report that such action was being taken after subpoenas had been served on several persons purported to have knowledge of affairs of the bank during the several months prior to its closing.
Asst. Dist. Atty. Carlos Watson issued a statement today as follows:
"In the usual course of procedure and pursuant to a report from the office of the comptroller of the United States, the department of justice is engaged in investigating the affairs of the closed Merchants National bank.
"If, in our opinion, the evidence justifies it, the results of this investigation will be presented to the federal grand jury as a matter of ordinary procedure."
Judge R. J. McMillan of San Antonio is scheduled to take the bench until arrival of Judge T. M. Kennerly from Houston.
The Merchants National bank suspended operations about a month ago. It was the oldest and largest bank in the Rio Grande Valley and shortly before suspension had absorbed the First National bank.
Deposits of Cameron county, the city of Brownsville, numerous irrigation and improvement districts, were in the bank in addition to several thousand individual accounts.
Notice is hereby given to all persons who may have claims against "The Merchants National Bank of Brownsville," Texas, that the same must be presented to John M. Young, Receiver, with the legal proof thereof within three months from this date or they may be disallowed.
J. W. POLE,
Comptroller of the Currency.
5-27 to 8-28 incl. 3 mon.-4394
Bank Receiver Is Named In Suit W. Walton has filed suit against Fountain as receiver for the closed Merchants National bank in an effort to have $6,500 escrow impounded in the bank declared preferred claim. The suit filed in federal court. The escrow fund was placed the bank the result between Walton and Fox fees from the Cameron county tax collector's office. Fox collector the time, Walton had from Dividends of cent have per been paid on the fund, and the suit for principal amount $3,575.
Bank Receiver Is Named In Suit W. Walton has filed suit against Fountain as receiver for the closed Merchants National bank in an effort to have $6,500 escrow impounded in the bank declared preferred claim. The suit filed in federal district court. The escrow fund placed the bank the result of agreement between Walton and fees from the Cameron county tax collector's office. Fox collector the time, Walton had served from Dividends per cent have been paid on the fund, and the suit principal amount $3,575.
BANK RECEIVER DIES AT SUNDAY SCHOOL
BROWNSVILLE, Nov. 26.-J. Fountain, 63, receiver of the Merchants' National Bank here, died while attending Sunday school at the First Baptist Church Sunday. Fountain came here from Marlin, where he had been in the banking business for many years. Surviving him were his widow, four daughters and two sons, all of whom live in or around Marlin. Funeral services will be this afternoon at Marlin.
BANK RECEIVER DIES AT SUNDAY SCHOOL
BROWNSVILLE, Nov. 26.—J. C. Fountain, 63, receiver of the Merchants' National Bank here, died while attending Sunday school at the First Baptist Church Sunday. Fountain came here from Marlin, where he had been in the banking business for many years.
Surviving him were his widow, four daughters and two sons, all of whom live in or around Marlin. Funeral services will be this afternoon at Marlin.
10.January 16, 1935El Heraldo De BrownsvilleBrownsville, TX
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Article Text
NOTICE TO THE PUBLIC Notice is hereby given to all persons, firms or corporations, and to the public generally, that any and all listings that may have heretofore been made for sale or rent of properties owned by or in the possession of The Merchants National Bank of Brownsville, Texas are hereby cancelled, and notice is hereby given that any and all such listings that may be hereafter made will be made in writing by the undersigned. Ben Freudenstein, Receiver, The Merchants National Bank, Brownsville, Texas. 1-16-23-30-6-4t-4905
11.February 6, 1935El Heraldo De BrownsvilleBrownsville, TX
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Article Text
NOTICE TO THE PUBLIC Notice is hereby given to all persons. firms. or corporations, and to the public generally, that any and all listings that may have heretofore been made for sale or rent of properties owned by or in the possession of The Merchants National Bank of Brownsville, Texas are hereby cancelled. and notice is hereby given that any and all such listings that may be hereafter made will be made in writing by the undersigned. Ben Freudenstein Receiver. The Merchants National Bank. Brownsville. Texas. 1-16-23-30-6-4t-4905
12.February 13, 1935El Heraldo De BrownsvilleBrownsville, TX
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Article Text
Freudenstein Named Pharr Bank Receiver Ben Freudenstein, receiver for the Merchants National Bank of Brownsville, has been named also as receiver for the defunct First National Bank of Pharr. The duties will be added to his duties as receiver for the Brownsville bank. He succeeds W. W. Collier, former state banking commissioner.
13.February 15, 1935El Heraldo De BrownsvilleBrownsville, TX
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Article Text
FREUDENSTEIN APPOINTED B. M. Freudenstein of Brownsville, receiver for The Merchants National bank, has been appointed receiver for the First National bank of Lareno. The Laredo bank closed several years ago.
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.
