State Savings Bank (Vassar, MI)

Episode Information

Episode UID
74037471581
Episode Type
Run → Suspension → Closure
Bank Type
savings
Bank ID
7403747 routing
Routing Number
74-0374
Start Date
September 9, 1931
Location
Vassar, Michigan (43.372, -83.583)

Metadata

Model
gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
6f97c47d7a1639d6

Response Measures

None

Description

The bank initially invoked a 90-day withdrawal clause in September 1931 following heavy withdrawals before finally suspending in March 1932 and entering receivership.

Events (3)
1. September 9, 1931 Run
Cause Details
Heavy withdrawal activities, including significant withdrawals by bank directors and their families.
Measures
Invoked the 90-day withdrawal notice clause.
Newspaper Excerpt
the bank placed the 90-day clause in effect. The clause became effective September 9, 1931... having lost in deposits $305,862.00 between January 3, 1931, and the date of suspension.
Source
newspapers
2. March 28, 1932 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Depletion of deposits and internal withdrawal activities by directors.
Newspaper Excerpt
The State Savings bank, which closed here Monday, is expected to effect an early reopening
Source
newspapers
3. January 4, 1934 Receivership
Newspaper Excerpt
Vassar Bank Receiver Pays Fifth Dividend... William Grant, receiver for the depositors.
Source
newspapers

Newspaper Articles (7)
1. March 30, 1932 Battle Creek Moon-Journal Battle Creek, MI

Article Text

STATE BRIEFS Vassar, March 30.-(U. P.)-The State Savings bank, which closed here Monday, is expected to effect an early reopening Manistee, March 30.-(U. With goal of only $2,185. the low est mark on record, the Manistee board of commerce resort drive has opened. Grand Rapids, March 30 U. )-Doris McCoy, 11. of Kellogsville, was killed last night when she was struck by an automobile while crossing US-131 near her torneys today were to complete the selection of jury to try Max Waldfogel. suspended Detroit detective lieutenant accused of perjury in connection with the Buckley murder investigation. Detroit, March 30. (U. Army Day will be observed April 6, by all Michigan towns and cities, the executive committee meeting here has decided A proclamation by Governor Wilber M. Brucker will be read in all schools. Victor D. Sprague of Cheboygan is to pass sentence Im ay City March The Peoples State bank, which suspended business Feb. 19. is expected to reopen within a few days under a five-year agreement signed by 90 per cent of the depositors not to withdraw their money. Petoskey, March 30.-(U. P.)Delegates to the national conven tion will be selected at the Republican eleventh district convention to be held at Sault Ste. Marie, April 18. County committee members met here yesterday to complete arrangements for the district St. Ignace. March 30.-(U. A life sentence is expected to be given today to Leonard Minor, 25, who pleaded guilty to the murders of Howard Martindale 25, a for mer chum, and Lennie Selby, 14. year-old girl friend. Circuit Judge Detroit March 30.-By a vote of to the Hamtramck city council decided to pay its resigned mayor, Dr. Rudolph G. Tenerowicz. $70 salary for the period March 24. when he resigned, until April when his term ended. The mayor was sentenced to 31-2 years in prison for vice conspiracy. Detroit, March 30 (U. After an investigation Deputy Coroner Elijah Eby decided that the deaths of Oliver Stewart, 43. his wife, Mary. 38. and their chil dren, Mamie, 4, and Tommie, 2. had been caused Tuesday by asphyxiation from oil fumes and not the explosion and fire which razed their three-room home in Lincoln Park. Detroit. March P.)-The Jeffersonian club of Detroit recom mended by unanimous vote that the state Democrats draft William A. Comstock as gubernatorial can didate in the coming fall election. Coming after Mayor Frank Murphy's reiteration that he would not be candidate for governor. this was regarded here as a final action on that matter.

2. March 30, 1932 The Flint Journal Flint, MI

Article Text

EARLY REOPENING OF VASSAR BANK IS SEEN Vassar, March 30.—(By UP)—The State Savings bank which closed here Monday, is expected to effect an early reopening.

3. July 22, 1932 The Saginaw News Saginaw, MI

Article Text

RESTITUTION EXPECTED (Special to The Saginaw Daily News.) CARO, Mich., July 22.—Examiner E. W. Nelson late Thursday filed with Judge Henry H. Smith his report of an investigation of the affairs of the State Savings Bank of Vassar, with especial consideration given withdrawal activities just prior to and during the time the bank placed the 90-day clause in effect. The clause became effective September 9, 1931, upon action of the board of directors. Finding little to make cause for complaint against most of the directors, the examiner recommended that the bank be organized and placed in the hands of some strong bank executive, with preference for an outsider who can come into the community and tackle the problems with an unbiased viewpoint. He pointed to the fact that the directors have on deposit in the closed bank $51,394.42. Suspended March 28. The report mentioned withdrawal activities of two directors only, C. H. Richardson, former president, and R. D. Varnum, director, and their wives. Mr. Richardson from June 22, 1931, to October 19, 1931, withdrew a total of $6,962.47, leaving on deposit $2,055.10. He accepted mortgages on real estate in payment to the amount of $5,623.65. Mrs. Richardson September 9, 1931, withdrew $1,445.00, accepting mortgages to close the account. Mr. Varnum and wife withdrew a total of $3,300 between September 9, 1931, and February 27, 1932, leaving on deposit $1,658.65. Varnum received village of Vassar bonds and cash to the amount of $3,061.00. Mr. Varnum was also vice-president of the bank. The bank suspended business March 28, 1932, having lost in deposits $305,862.00 between January 3, 1931, and the date of suspension. The greatest depletion occurred in the summer and fall of 1931. Examiner Nelson declared in his report that he believed proper restitution can be had in connection with the exchange of assets made by the two directors. Check on Moratorium Plan. A preliminary check was also made by Mr. Nelson on the moratorium plan and work completed to July 7, 1932, towards the reopening of the bank. The agreement is arranged on a 35-65 per cent basis, that is with a 35 per cent trust fund allocation and a 65 per cent moratorium bank allocation. The agreement calls for a 100 per cent assessment against stockholders. Five years are given to pay the moratorium. The State Savings Bank of Vassar was the second bank of that village into whose affairs Mr. Nelson delved at the orders of Judge Smith. Results of the investigation of the Michigan Savings bank called for an order for a permanent receiver and dissolution of the corporation.

4. January 4, 1934 The Flint Journal Flint, MI

Article Text

Vassar Bank Receiver Pays Fifth Dividend Vassar, Jan. 4.—Objecting depositors of the defunct State Savings bank of Vassar, will be paid a 7 per cent dividend today, according to William Grant, receiver for the depositors. This is the fifth dividend that Mr. Grant has made for the depositors, which totals 57 cents on each dollar, he says. The dividend is made possible at this time so that property owners may pay their taxes on Jan. 10. Receiver Grant stated that another dividend would be forthcoming in the near future.

5. December 18, 1934 The Saginaw News Saginaw, MI

Article Text

VASSAR BANK RECEIVER PAYS SIXTH DIVIDEND (Special to The Saginaw News.) Dec. receiver for the State Savings Bank of Vassar today paying the sixth dividend to the depositors which amounts 61 in The cost of the receivership is less than $100. M'ADOO QUITS HOSPITAL. Reccovered from attack acute indigestion. Senator William Gibbs McAdoo of California today left Sternberg General hospital where he was confined for four days.

6. December 18, 1934 The Saginaw News Saginaw, MI

Article Text

VASSAR BANK RECEIVER PAYS SIXTH DIVIDEND (Special to The Saginaw News.) Grant receiver for the objectors of the State Savings Bank of Vassar today is paying the sixth dividend to the depositors which amounts to 61 per cent in all. The cost of the receivership is less than $100.

7. June 12, 1935 The Saginaw News Saginaw, MI

Article Text

VASSAR BANK RECEIVER SUES FOR ASSESSMENTS CARO, June 12—Two suits have been started in the Tuscola county circuit court by Lewis Walton, receiver of the closed State Savings Bank of Vassar, to force collection of stock assessments. William Grant is named defendant in one suit, and Mrs. Clara Preston defendant in the other. The stock assessment was ordered over a year ago, and according to Walton's bill of complaint, neither Grant nor Mrs. Preston has paid any attention to his demands for payment. Grant is said to have had $1,000 stock in the closed bank, and Mrs. Preston, $500. A 100 per cent assessment was ordered by the court.