763201580 76320
national
371ba3dba0f60a02Capital injected, Full suspension, Books examined
Clearinghouse involved: Yes (loan, examination, or other measures)
National in Closes Doors LOS ANGELES, branch United States National closed doors shortly after it opened posted at the front of the closed order its board directors. The notice signed Foster Ramm, national Officials the bank said forstatement the situation would be given shortly after The bank has eight branches in Los
LARGE LOS ANGELES BANK CLOSES DOORS (UP). The main branch of the United States National bank here closed doors Tuesday notice posted the front the closed by order the The notice was signed by Foster Ramm, tional The has eight branches here.
LARGE LOS ANGELES BANK CLOSES DOORS LOS ANGELES. main branch of the United States National here closed its doors Tuesday. notice posted the front of the closed by order of the board of directors. The notice signed Foster Ramm, National examiner. The bank has eight branches here.
LOSSES IN BANK CLOSING SLIGHT LOS ANGELES Yesterday's closing of the United States Na. tional bank, a small independent institution, was regarded in financial circles today as having no special bearing on the general economic situation in southern California. Pointing out that the bank is be- lieved solvent, experts also explained that even should depositors lose a portion of their funds it will be attributable to peculiar rather than general conditions. Eventual settlement of depositors' claims, it was pointed out, depends upon what disposition is made in the courts of suits pending against the bank as receiver for realty investment trusts of the Harold Ferguson interests. No official of the bank would es. timate the cost of the bank and to depositors of an adverse ruling on the suits, but all agreed that depositors would not lose anything
FAILURE IMPORTANCE LOS Aug. United the United States National Bank. small independent institucles today having special bearing the general economic situation Southern Pointing out that the bank lieved that should lose portion their funds will tributable peculiar rather than general conditions. Eventual tlement of depositors claims, pointed depends upon position made courts suits pending against the bank receiver investment trusts of the realty Harold interests. official of the bank would timate the bank and cost depositors ruling the suits, but agreed that depostthe tors would not suits were settled favorably.
BANK CLOSING NOT SERIOUS (By P. Leased Wire to The Star) LOS ANGELES, Aug. 19 terday's closing of the United States National Bank, a small independent institution, was regarded in financial circles today as having no special bearing on the general economic situation in Southern California. Pointing out that the bank is be. lieved solvent, experts also explained that even should depositors lose portion of their funds it will be attributable to peculiar rather than general conditions. Eventual settlement of depositors' claims, it was pointed out, depends upon what disposition is made in the courts of suits pending against the bank as receiver for realty investment trusts of the Harold Ferguson interests.
NATIONAL IS IS REPORT TODAY LOS Aug closing the United States National Bank, small independent regarded in financircles today as having no special bearing nomic situation in Southern Callfornia. Pointing out that the bank bealso explainthat even should lose portion their funds be than general Eventual settlement depositors' claims, pointed depends upon what disposition made in the courts suits the bank as realty trusts of the Harold Ferguson interests. No official of the bank would estimate the to the bank an adverse ruling on the suits, but all agreed that would not the suits were settled favorably.
BELIEVE A. BANK LOS ANGELES, Aug. closing of the United States National bank, small independent institution, was regarded in financial circles today as having no special bearing on the general economic situation in Southern Pointing out that the bank believed solvent, experts also explained that even should depositors lose portion of their funds it will be attributable to peculiar rather than general Eventual settlement of depositors' claims. it pointed out, depends upon what disposition is made in the courts of suits pending against the bank as receiver for realty investment trusts of the Harold Ferguinterests.
LOS ANGELES BANK CLOSES United States National. With Resources of to Open. LOS ANGELES The to though federal other any The bank resources of The at BANK OF MAUMEE CLOSES by This State of deposited capital
LOS ANGELES BANK CLOSES United States National, With Resources of Fails to Open. LOS United States National eight branches, Los falled to its Tuesday though the bank federal government other than any The resources of bank has and as of 30. 1931 showed. The surplus was shown at $202,797. BANK OF MAUMEE CLOSES 19 more bank by its This the deposited of and total with capital at $25,000.
News of the World in Brief Form (By United Press) Just All Fired Up-South Gate, Cal.: Jilted by his sweetheart. Charles King. 20. assertedly sought revenge by setting fire to her house. Ruth Leon, 24, told deputy sheriffs that she had wordy battle with King. and after refusing him admittance, went to bed. A short time later firemen found five separate blazes burning around the house. Bank Receiver Named Los Angeles: H. F. Schilling. representative of the comptroller of the currency. has been appointed receiver for the United States National bank, which closed its doors Tuesday.
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Name Receiver For Closed Bank LOS ANGELES, Aug. 20. (U.P.)H. F. Schilling, representative of the comptroller of the currency, has been appointed receiver for the United States National Bank, which closed its doors Tuesday. The bank, which has deposits of $6,400,000, was said to have got into difficulties through recent failures of the Harold G. Ferguson corporation. Schilling said no formal statement would be issued until a complete examination of the bank's books had been made. He recently liquidated the First National Bank of Fresno.
BANK CLOSING BAD TIMES LOS ANGELES. Aug. 19. terday's closing of the United States National bank. small independent institution, was regarded in financial circles today as having no special bearing on the general economic situation in southern California. Pointing out that the bank is believed solvent, experts also explained that even should depositors lose portion of their funds it will be at, tributable to peculiar rather than genera! conditions. Eventual settlement of depositors' claims, it was pointed out, depends upon what disposition made in the courts of suits pending against the bank as receiver for realty
BANK RECEIVER NAMED LOS ANGELES, Aug. 20.-(LP) F. Schilling, representative of the comptroller of the currency, has been appointed receiver for the United States National bank, which closed its doors Tuesday. The bank has deposits of $6,400,000.
L. BANK RECEIVER LOS ANGELES, Aug 20 H Schilling, representative of the comptroller of the currency. has been appointed receiver for the United States National Bank, which closed its doors Tuesday
Bank Receiver Appointed Today LOS ANGELES, Aug. Schilling, representative the comptroller the has been appointed receiver United States National Bank, which closed its doors Tuesday The which has deposits of said to have difficulties through recent failure the Harold Ferguson Corporation. Schilling said formal statement would issued until complete examination the bank's books made. He liquidated the First National Bank Fresno.
Witness in Clark Slaying Leaves State Jurisdiction Lucille Fisher, Who Heard Shots Which Killed Spencer, Crawford, Goes East Beautiful Lucille Fisher, state witness in the sensational David H. Clark case, has vanished and the district attorney's office made no effort to keep her here for the new trial starting next Monday, it was revealed today. The pretty young stenographer for the slain Charles H. Crawford, whose testimony was of vast importance to SUITS PLANNED the case, left Los Angeles a week ago for the East. She now out of the jurisdiction of California and cannot IN BANK CLOSING be forced to return. The discovery was made during an attempt to interview Miss Fisher at her apartment, 654 South Detroit street. Residents there said she Recovery of Millions "went East to stay with her parents.' The district attorney's office did Withdrawn Before not subpena any witnesses for the coming case until last Monday night, Crash Sought just week before the case comes up in court. 'Why, I never knew she was gone,' Between three and four hundred District Attorney Buron Fitts said former depositors of the United excitedly. "I'll have to make a check States National Bank, believed to right away. don't know when she was subpenaed. Joe Ford didn't tell have been advised to withdraw their me she was gone." funds from the bank shortly before it Special Prosecutor W. Joseph Ford closed its doors on August 18. soon said he "knew Miss Fisher was gone. will be named in court actions to The embarrasses the prosecution, as Mr. Ford is under- force them to return their withstood to have planned to ask the drawals. girl many questions regarding CrawThis was learned today from ford's affairs in an effort to find sources close Federal Bank Rethe motive for the double slaying. ceiver
PATRONS LOSE FIGHT AGAINST BANK OFFICERS Tipoffs on losing Permitted Under Present Laws No protection is afforded to the rank and file depositors in national banks against bank officials and employes who tip off their friends in advance of failures, or who accept deposits from unsuspecti depositors while knowing that the bank is This was revealed today when G. M. Grant, chairman of depositors' committee of the United States National Bank, late yesterday attempted to launch criminal action against officials of the bank, which failed on August 18, after keeping its doors open but 20 minutes. Grant alleges that nearly $6,000,000 was withdrawn from the bank on the eve of its failure through advance information given favored depoitors. NO ACTION POSSIBLE Grant conferred late yesterday afternoon with Assistant District Attorney Robert P. Stewart with view to instituting criminal ction under California state law prohibiting the giving of advance information of a bank's closing to favored depositors Stewart advised Grant that no action could be brought inder this act against national bank fficials. Rollin McNitt. dean of the Southwest Law School, whose advice was sought as to civil action. ruled late yesterday that the depositors cannot even institute civil action of any kind against the United States National Bank officials for any of their acts. H. S. Schilling, Federal bank receiver in charge of the defunct bank, is reported to be preparing suits against depositors who withdrew their money. "It appears from all of the authorities that there is no action of any nature we can ring now," said Grant. The comptroller of the currency at Washington a ppears to be a czar under the Federa banking act so long as he is in charge of the bank. CHARGES HURLED "Until he releases the property no one else can anything about it. "I am advised that on the afternoon before the bank closed large number of city employes deposited their pay checks in the bank, including 14 members of the staff District Attorney Buron Fitts. The directors of the bank must have known when the bank was going to close the next morning, yet they let these and other depositors place their earnings in the bank-and bright and early the morning the bank closed had messenger at the treasurer's offices to collect the checks. This latter tion was less than an hour before the bank actually closed.
assessment being collected." So far as can be learned there is no list of stockholders existing outside of the bank. Extreme secrecy has been attached to the list for the past two years, it is aid, because of attempts by other local banking in- terests to acquire sufficient of the United States National Bank stock to gain control. It was learned that within the next two weeks the depositors of the bank will be notified to begin filing claims against the bank
Clearing House Bank Arrangement Planned to Pay Depositors LOS ANGELES, Jan. Clearing house banks will be willto to depositors in the defunct United States National Bank per cent of approved certain agreements cently adopted proper authorities. clared an anonuncement issued today. affecting depositors in the from M. Chaffey. president the Los Angeles Clearing House AsMr. Chaffey explained that the its agreements worked included settlement of claims made against the bank by of two trusts Harold Ferguson Corwhich admittedly all influenced the bank's closing.
TRIAL BEGUN COUNTY RELIEF FOR RETURN FUND ALLOTTED FOUND OF DEPOSIT (Continued from First Page) United States National Bank Receiver Asks Sum Withdrawn by First of series of suits filed by H. Schilling, appointed by the Comptroller of the Currency to be the receiver for the United States National Bank of Los Angeles, to require depositors to return to the bank's estate money they withdrew shortly before the bank became insolvent, was placed on trial yesterday before United States District Judge James, who hearing the testimony in the absence of jury. The suit concerns the withdrawal of deposit Mrs. Bertha Sieroty. The amount involved is $5902. It was withdrawn August 1931, eight days before the board of directors the bank adopted directing the suspension of the bank's business. While the nine suits are similar in the evidence in each said to be different In the bill of complaint Receiver Schilling charges that the cials, knowing their bank be insolvent, permitted these als to be made, and that the fendant have ignored his demands that they restore the withdrawn deposits for the benefit of all creditors. Judge James said the cases will taken under advisement. by the purchase of bonds issued for financing such projects." As an example of projects to which the Stabilization Bureau may supply workmen, Shaw cited the San Gabriel dams, the Metropolitan Water District aqueduct and the transmission line to Hoover Dam. "In all such projects the Stabilization Bureau stands ready to supply immediately upon notice any type of workman artisan required and in any number specified by the contractors, whether not the project being constructed with funds," Shaw declared. "In addition, the Stabilization reau will maintain its policy of contacting and enterprises with view to unemployed workers throughout the county. Missing Woman's Body Discovered Under Floor of Inglewood Hospital The emaciated body of Mrs. Martha Whitcost, patient Retiro Sanatorium, Inglewood, was found yesterday by an employee of the sanatorium in an aperture underneath the building's flooring, where had lain, according to police, since March 27, when she disappeared from the instituMrs. Whitcost, patient in the sanatorium six months, had suffered nervous breakdown, according to relatives, the breakdown necessitating her removal to the sanatorium. The body was found in tight space, into which the woman had crawled, replacing section of iron grating in the opening of the aperture through which she had crawled, investigators said. Mrs. Murphy of Ontario, sisof the dead woman, said Mrs. Whitcost had come to Los Angeles her health, leaving her husband in Detroit. The body was taken to the Hardin mortuary in Inglewood and an autopsy was ordered.
TAKING CASH OUT OF BANK EXPLAINED Mrs. Sieroty Testifies Personal Reasons Cause of Vithdrawing $5902 It was for personal reasons and not that she feared she might lose her deposit that caused Mrs. Bertha Sieroty, daughter-in-law of a director in the bank, to withdraw her account, $5902, from the United States National Bank of Los Angeles, eight days before the directors voted to suspend the bank's business, according to her testimony yesterday before United States District Judge James. This was corroborated by her husband and her father-in-law. Mrs. Sieroty who is active in relief, charity and club work, had asked one of the high officials of the bank for a donation for relief work, and when it was not made she determined to withdraw her account and place it in a different bank, she said. SERIES OF SUITS Mrs. Sieroty and her husband are defendants in the first of a series of nine suits filed by Receiver H. F. Schilling in an effort to restore to the insolvent bank's estate money withdrawn just before the bank closed its doors. Testimony in this suit was concluded yesterday by Attorney Leonard B. Slosson, representing the receiver, and Guy Knupp of the law firm of Mitchell. Silberberg & Knupp. and Attorneys I. B. Benjamin and Jacob Samuels, appearing for the Sierotys Judge James took the case under advisement following brief oral arguments. RUN ON BANK In yesterday's testimony it was brought out that there had been A quiet run on the bank for several weeks prior to its closing, due to reports that the court appointed receivers for the Harold G. Ferguson trusts, were threatening to sue the bank to recover $3,500,000. The bank officials, learning of these reports through counsel for the trust receivers, retained Attorney C. C. Montgomery, who, after an examination of the records, as he testified yesterday, informed the bank officers that there was no liability against the bank, in his opinion. Later the law firm of O'Melveny, Tuller & Myers was employed, and Myers was said to have estimated there was possible liability of $700,000. To meet this threatened claim the bank officials first planned an issuance of additional stock, and discussed the plan of seeking financial aid from the Los Angeles Clearinghouse Association, but wound up the problem by voting al resolution to suspend business. The resolution was adopted August 18, 1931. Emanuel Cohem who retired as executive vice-president of the bank in June, 1931, and who was, he testified, the largest stockholder in the institution. admitted that the criticism of the Comptroller of the Currency as to certain loans and bank paper "might have had something to do with my resignation."
Edison Sued Bank's Receiver Press) LOS ANGELES, Aug. Schilling, receiver for the United States National bank, today sued the Southern California Co. for claiming bank paid the company that amount shortly before it closed its doors August, 1931. The payment made, Schilling charged, with view the preference the defendants creditor of said bank to other creditors. The complaint said the Edison company had deposited $250,000 the bank in April, 1931, the bank agreeing to repay the amount per cent interest, but repaid it before due. He asked for return the amount with cent interest.
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TO PAY DIVIDEND LOS ANGELES, Oct. 19. U.P.X A fourth dividend, amounting to $638,813, will be paid depositors and other creditors of the defunct United States National bank of Los Angeles, Receiver H. F. Schilling announced today. The dividend brings to $4,442,282 the total refunded since the institution failed August 18, 1931.