Bank of Stanley (Stanley, ND)

Episode Information

Episode UID
77097871580
Episode Type
Run → Suspension → Closure
Bank Type
state
Bank ID
7709787 routing
Routing Number
77-0978
Start Date
August 17, 1931
Location
Stanley, North Dakota (48.317, -102.390)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
737954b51f569ed0

Response Measures

None

Description

Closure followed a depositor run triggered by nearby bank closings; a state receiver later handled assets.

Events (3)
1. August 17, 1931 Run
Cause
Local Banks
Cause Details
Depositors panicked after the recent closing of several nearby Soo Line banks, triggering rapid withdrawals.
Measures
Effort to embalm the bank by offering 3% on deposits and conference with heavy depositors; attempt failed when depositors refused to sign up.
Newspaper Excerpt
Harold Kulaas, cashier, gave as the chief reason for closing that a run which started last Saturday, a week ago, had depleted the reserve.
Source
newspapers
2. August 17, 1931 Suspension
Cause
Local Banks
Cause Details
Payments suspended after reserves were depleted by withdrawals following other local bank closures.
Newspaper Excerpt
The Bank of Stanley failed to open on Thursday morning after officials ... gave as the chief reason for closing that a run ... had depleted the reserve.
Source
newspapers
3. * Receivership
Newspaper Excerpt
A proposal to purchase receivers' certificates in the closed Bank of Stanley for 30 per cent of their face value ...; state receiver later paid dividends to depositors (1935).
Source
newspapers

Newspaper Articles (3)
1. August 21, 1931 The Producers News Plentywood, MT
Article from The Producers News, August 21, 1931

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Article Text

FIVE BANKS IN N.D. CLOSED LAST WEEK Plaza, Ryder, Van Hook, Stanley and Parshall National Banks Close Doors Following Depletion of Reserves. Special to The Producers News— Stanley, N. D., Aug. 17.- The Bank of Stanley failed to open on Thursday morning after officials of the institution had been in conference with several of the heaviest depositors until late Wednesday night. Harold Kulaas, cashier, gave as the chief reason for closing that a run which started last Saturday, a week ago, had depleted the reserve. Following the closing of five banks on the Soo Line last Thursday, depositors became frightened and began withdrawal of funds so rapidly that cash could not be collected fast enough to cover withdrawals An effort made to "embalm" the bank for three years, at 3% on deposits failed when several depositors refused to sign up. The Bank of Stanley was moved here from Lunds Valley about three years ago. E. S. LeG is the president. It had deposits of $30,000 with a capitalization of $15,000. Loans and discounts aggregate approximately $30,000 with cash on hand amounting to $6.400. This is the third bank failure in Stanley in the past few years. E. T. Lee also has a bank at Grenora near the Montana line. Four banks. the First National of Plaza, First National of Ryder, First National of Parshall and the First National of Van Hook, all in North Dakota, closed last Friday. Deposits in the four banks were said by L. L. Madland, national bank examiner, to aggregate $535,000. Depleted reserves and frozen as-

2. March 24, 1932 Grand Forks Herald Grand Forks, ND

Article Text

Submitted for New Bank at Stanley Stanley, N. D., March 23.—A proposal to purchase receivers' certificates in the closed Bank of Stanley for 30 per cent of their face value and plans for organizing a new bank here that would be operated on a basis different from the former system were put before a meeting of 50 depositors in the closed institution. Under the plan no loans would be made with depositors' money which would be invested in government securities that could be liquidated on short notice. All loans would be made through a credit corporation. A reasonable service would be charged. The proposal was put before the depositors by P. M. Shefveland of Van Hook. Pembina Customs Force Moves to New Building Pembina, N. D., March 23.—Members of the U. S. customs force stationed here are arranging their offices in the new federal building this week. The move was made before all fixtures were installed because the lease on the bank building in which they were located has expired. Fixtures for the new structure completed recently are arriving daily and being installed. The second of a series of card parties given by the A. O. U. W. lodge was held Tuesday when 12 tables were in play. Prizes went to Mabel Ottem and Kenwood Woolworth in bridge and Mrs. Weis and John Johnson in whist.

3. April 2, 1935 The Bismarck Tribune Bismarck, Mandan, ND
Article from The Bismarck Tribune, April 2, 1935

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Article Text

Three Closed Banks Will Pay Dividends Minot, N. D., April 2.-(P)-Depositors in three closed banks in northwestern North Dakota are to receive dividends at once upon order of L. R Baird, state receiver of closed banks. Depositors in the Farmers Stat Bank of Battleview are to receive a 30 per cent dividend, making a total of 60 per cent in dividends which have been paid. Depositors in the Citizens State Bank of Ambrose and in the Bank of Stanley are to receive 5 per cent dividends. This makes a total of 35 per cent in dividends which have been paid by both banks. The payments of the dividends are being made through the offices of J. P. Reeve, Burlington, district manager for the state receiver.