Citizens Savings Bank (Anita, IA)

Episode Information

Episode UID
72059271457
Episode Type
Run → Suspension → Reopening
Bank Type
savings
Bank ID
7205927 routing
Routing Number
72-0592
Start Date
May 13, 1921
Location
Anita, Iowa (41.445, -94.765)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
9839c7c274864df3

Response Measures

None

Description

Closure traced to inability to realize farmer loans and heavy withdrawals; later reorganized into a new Citizens State Bank.

Events (4)
1. May 13, 1921 Run
Cause
Bank Specific Adverse Info
Cause Details
Heavy withdrawals prompted by inability to realize on large holdings of farmers' paper as low prices left borrowers unable to pay.
Measures
Other local banks advanced money but drain continued; officials decided not to open.
Newspaper Excerpt
There has been a steady withdrawal of funds by depositors.
Source
newspapers
2. May 13, 1921 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Slow collections and inability to maintain sufficient cash due to uncollectible farmers' securities forced the bank to suspend operations.
Newspaper Excerpt
The Citizens Savings bank of Anita did not open its doors for business this morning.
Source
newspapers
3. May 26, 1921 Reopening
Newspaper Excerpt
Reorganization of the Citizens' Savings Bank of Anita which closed its doors on the morning of May 13, is seeming assured. Two-thirds of the capital of $75,000 proposed for the new bank has already been subscribed.
Source
newspapers
4. September 1, 1923 Other
Newspaper Excerpt
The Citizens State bank ... was organized for the express purpose of taking over the business of the Citizens Savings bank, in order to save the depositors from loss.
Source
newspapers

Newspaper Articles (6)
1. May 14, 1921 Omaha Daily Bee Omaha, NE
Article from Omaha Daily Bee, May 14, 1921

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Article Text

Heavy Withdrawals Cause Anita Bank to Suspend Operations Atlantic, Ia., May 13.-(Special Telegram.)-The Citizens Savings bank of Anita did not open its doors for business this morning. Slow collections made it \impossible for the institution to Maintain a sufficient supply of cash to meet its requirements. The last few days there has been a steady withdrawal of funds by depositors. Collections were not ample to replace there, it is said. The depositors will be paid 100 cents on the dollar, a statement ty President Byron D. Forhsay said. The bank carries a large amount of paper given by farmers. Because of low prices the latter have been unable to liquidate their indebtedness. This crippled the bank. President Byron D. Forshay has been engaged in the banking business at Anita for the last 30 years. D. R. Forshay, son of President Forshay, is vice president, and Ed L. Newton, former member of the legislature, is cashier. The capital of the Citizens Savings bank is $50,000, with a surplus of $25,000. Deposits which were $700,000 a year ago have fallen to $450,000, it is said.

2. May 19, 1921 Audubon Republican Audubon, IA
Article from Audubon Republican, May 19, 1921

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Article Text

ANITA BANK IS CLOSED However Bank Will Pay All Claims in Full At An Early Date. The citizens, Savings bank of Anita did not open its doors for business Thursday morning. Slow collections made it impossible for the institution to maintain a sufficient supply of cash to meet its requirements Within the last few days there has been a steady withdrawal of funds by depositors. Collections were not ample to replace these, it is said. "The depositors will be paid 100 cents on the dollar," was the statement of President Byron D. For shay. The bank carries a large amount of paper given by farmers. Because of low prices the latter have been unable to liquidate their indebtedness. This crippled the bank. Within the last two weeks other banks came to the assistance of the Citizens' Savings bank and advanced it money. The drain from withdrawal of deposits was too great however. Wednesday night the officials and directors decided not to open the following morning. The bank will liquidate to the last dollar, is the statement of the officials It has sufficient paper outstanding to do this. The president, Byron D. Forshay, has been engaged in the banking business for the last thirty years. He originally was in business with Senator James E. Bruce and the late Senator John C. Voorhees. D. R. Forshay, son of President Forshay, is vice president. Ed L. Newton, former member of the legislature, is cashier. The capital of the Citizens, Savings bank is $50,000, with a surplus of $25,000. Deposits which were $700,000 a year ago, have fallen to $450,000, it is said

3. May 21, 1921 Iron County News Hurley, WI
Article from Iron County News, May 21, 1921

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Article Text

Domestic The Citizens' Savings bank at Anita, In., capitalized at $50,000 and in existence for 30 years, failed to open its doors, due to inability to realize on farmers' securities, Benny Kauff, suspended Glant outfielder, was acquitted by a jury in General Sessions at New York on an indictment charging him with the larceny of an automobile December 8, 1919. Plans are under way for reorganizing the International Fur exchange at St. Louis, according to a formal statement from a committee of bankers representing the creditors of the concern. . Mrs. Jake L. Hamon, widow of the Oklahoma oil millionaire and politielan, is under the care of physicians in her home at Chicago, suffering from a nervous collapse. Six persons were killed when 12 freight cars piled up In a ditch at Eagle Flat, Tex, on the Texas and Pacific railway, according to a report made by train crews, * Miss Mary White, sixteen, only daughter of William Allen White, author and publisher of the Emporia Gazette, died of injuries received in a fall from 8 horse at Emporia, Kan. Her skull was fractured. A complete pardon was granted by, Governor Blaine at Madison, Wis., to John Dietz, restoring freedom to the "defender of Cameron dam" on the tenth anniversary of his conviction. First odds quoted on the big fight of July 2 between Dempsey and Carpentier were posted at Paris, Seven to four in favor of Dempsey were the figures. Officials of the International Fur Exchange at St. Louis announced a deficit of $9,202,437 in the finances of the establishment. A circular containing this information is being mailed to all stockhoblers. Sergt. Algoti Bloomquist and C. E. McCullough, cotton broker of Oklahomn City, were killed and Sergt. B. Grogan, Atlanta, Ga., was probably fatality injured in an airplane accident near the military reservation at Fort Bill, Okla

4. May 21, 1921 Iron County News Hurley, WI
Article from Iron County News, May 21, 1921

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Article Text

Domestic The Citizens' Savings bank at Anita, In., capitalized at $50,000 and in existence for 30 years, failed to open its doors, due to inability to realize on farmers' securities, * Benny Kauff, suspended Glant outfielder. was acquitted by a jury in General Sessions at New York on an indictment charging him with the larceny of an automobile December 8, 1919. . Plans are under way for reorganizing the International Fur exchange at St. Louis, according to a formal statement from a committee of bankers representing the creditors of the concern. . * Mrs. Jake L. Hamon, widow of the Oklahoma oil millionaire and politiclan, is under the care of physicians in her home at Chicago, suffering from a nervous collapse. Six persons were killed when 12 freight cars piled up in a ditch at Eagle Flat, Tex, on the Texas and Pacific railway, according to a report made by train crews, * Miss Mary White, sixteen, only daughter of William Allen White, author and publisher of the Emporia Gazette, died of injuries received in a fall from 8 horse at Emporia, Kan. Her skull was fractured. A complete pardon was granted by, Governor Blaine at Madison, Wis., to John Dietz, restoring freedom to the "defender of Cameron dam" on the tenth anniversary of his conviction. * First odds quoted on the big fight of July 2 between Dempsey and Carpentler were posted at Paris, Seven to four in favor of Dempsey were the figures, Officials of the International Fur Exchange at St. Louis announced a deficit of $9,202,437 in the finances of the establishment. A circular containing this information is being mailed to all stockholders, Sergt. Algoti Bloomquist and C. E. McCullough, cotton broker of Oklaho ma City, were killed and Sergt. B Grogan, Atlanta, Ga., was probably fatality Injured in an airplane accident near the military reservation at For gill. Okla

5. May 26, 1921 Audubon Republican Audubon, IA
Article from Audubon Republican, May 26, 1921

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Article Text

BANK TO BE RE-ORGANIZED Anita People Have Full Confidence in Bank Officials that Depositors Will Not Lose. Reorganization of the Citizens' Savings Bank of Anita which closed its doors on the morning of May 13, is seeming assured. Two-thirds of the capital of $75,000 proposed for the new bank has already been subscribed. The remainder will be subscribed at once, it is said. The reorganization is the result of a meeting held at the Masonic temple in Anita Saturday afternoor and which was attended by several hundren people, including stockholders and depositors of the Citizens' bank. Among those present were representatives of the state banking department. The reorganized bank will have working resources of $205,000, under the tentative plans of reorganization. This would include a $75,000 capital; $50,000 representing the stock liability of the stockholders of the Citizens' bank, and $80,000 capital and surplus of the latter. The new bank would take over the liabilities and assets of the Citizens' bank, thus doing away with the necessity of a receivership and also assuring the depositors of the Citizens' bank 100 cents on the dollar. Stockholders and depositors of the Citizens' bank are giving the plans for reorganization unstinted support. They are subscribing liberally to the capital of the proposed new bank. "There is not the slightest doubt but what the new bank will be a go," it was said. President Forshay, leaving his sick bed, appeared before the meeting Saturday afternoon and explained the situation as regards the closed bank. For the last few days Mr. Forshay has been confined to his home by a nervous breakdown.

6. September 2, 1923 The Des Moines Register Des Moines, IA
Article from The Des Moines Register, September 2, 1923

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Article Text

Bank Stockholders Forced to Shell Out Anita, Ia., Sept. 1.—Stockholders of the Citizens State bank of this city have received notice of an assessment of 100 per cent against the stock, recently ordered by the state superintendent of banking, R. L. Leach. A letter from the directors of the bank to the stockholders accompanying the order of the state superintendent explains that the Citizens State bank was organized for the express purpose of taking over the business of the Citizens Savings bank, in order to save the depositors from loss, and the entire community from hardships attendant on the closing. The Citizens State bank bought outright the assets of the Citizens Savings bank, and it was the opinion of the bank examiners, who were in charge of the reorganization, and of the directors of both banks that the guaranty of $130,000 advanced by the old bank would more than cover the uncollectible portion of the notes purchased from the old bank. Many of these notes, however, were taken during the period of inflation and the makers are unable to pay.