Merchants & Planters (Helena, AR)

Episode Information

Episode UID
81006371571
Episode Type
Suspension → Closure
Bank Type
state
Bank ID
8100637 routing
Routing Number
81-0063
Start Date
November 17, 1930
Location
Helena, Arkansas (34.530, -90.592)

Metadata

Model
gemini-3-flash-preview (chosen from majority vote of a three-model LLM ensemble)
Short Digest
4c48aa0a962aba8a

Response Measures

None

Description

The bank suspended under a 5-day state law provision following the failure of the A.B. Banks chain; it never reopened as the same entity, being replaced by the Phillips County National Bank.

Events (3)
1. November 17, 1930 Suspension
Cause
Macro News
Cause Details
Suspended following the failure of Caldwell & Co. and the subsequent suspension of the American Exchange Trust Co. of Little Rock, which triggered a chain-wide suspension of A.B. Banks affiliated institutions.
Newspaper Excerpt
The Merchants Planters bank of Helena, its doors today they regarded as solvent, closing to protect depositors.
Source
newspapers
2. November 21, 1930 Other
Newspaper Excerpt
At Helena, in eastern Arkansas citizens operated bank officers and they plan open national bank take over assets of the Merchants and Planters
Source
newspapers
3. January 27, 1931 Reopening
Newspaper Excerpt
The Phillips National Bank will open here Tuesday morning... takes the place of the closed Merchants Planters Bank, which suspended business Nov. 17.
Source
newspapers

Newspaper Articles (11)
1. November 17, 1930 Jonesboro Daily Tribune Jonesboro, AR
Article from Jonesboro Daily Tribune, November 17, 1930

Click image to open full size in new tab

Article Text

BANKS CLOSED TEMPORARILY STATE CITIES Number of Banks Chain Suspend Business Today In Order to Protect Interest of Depositors. Will Open in Five Days After Precautionary Steps Taken. Thirty-two banks in which A. B. Banks, Arkansas financier, is interested, temporarily suspended business this morning, with announcements being made to the effect that they would reopen for business after five days. Capitalists viewed the closing of the banks with little alarm, expressing the belief that the banks are all absolutely solvent and that their temporary closing is for the protection of depositors and to avoid runs that might have resulted from the present panicky condition of the state. Fortunately, no Jonesboro banking interests were in any way connected with any of the banks that closed, according to statements made this morning. The following United Press dispatch tells of the temporary closing of the banks: LITTLE ROCK, Ark., Nov. 17.—The following banks in which A. B. Banks company is interested suspended business temporarily this morning: Bank of Altheimer, Altheimer; North Arkansas Bank, Batesville; Bank of Bauxite, Bauxite; Benton Bank and Trust Company, Benton; Arkansas State Bank, Carlisle; Bank of Carthage, Carthage; Farmers Bank, Casa; Bank of Clarendon; Farmers Bank, Dardanelle; Eudora Bank and Trust Company, Eudora; Hampton State Bank, Hampton; Cleburne County Bank, Heber Springs; Merchants and Planters Bank, Helena; Arkansas Bank and Trust Company, Hope; Bank of Houston, Houston; Merchants and Planters Bank, Humphreys; First National Bank, Junction City; Merchants and Farmers Bank, Junction City; Cleveland County Bank, Kingsland; Chicot Trust Company, Lake Village; American Exchange and Trust Company, Little Rock; First State Bank, Osceola; Bank of Pangburn, Pangburn; Perry State Bank, Perry; Merchants and Planters Bank and Trust Company, Pine Bluff; Victoria Bank, Strong; First State Bank, Thornton; Bank of Wabbaseka, Wabbaseka; Grant County Bank, Sheridan; Exchange Bank and Trust Company, Dermott. Bank of Fordyce, Fordyce; Exchange Bank of Dermott, and Sheridan, closed at noon, due to heavy runs this morning.

2. November 17, 1930 The Houston Chronicle Houston, TX
Article from The Houston Chronicle, November 17, 1930

Click image to open full size in new tab

Article Text

30 ARKANSAS CHAIN BANKS DROP PAYMENT Institutions May Be Reopened at End of Five Days Under Laws of State. By Little Rock. Ark. Nov. 17.-Offcials of the B. Banks Company, Arkansas financial institution, announced today that 30 banks in the state with which company affiliated suspended payments to depositors for period of five Eight other affiliated banks advised the B. Banks Company were The company officials said they had not heard early today from others the affiliation as to what action they were taking. Mostly Small Banks. The decision of the board of directors of the American Exchange Trust of Little Rock, the largest bank in the state, suspend payments and close for five days resulted in the temporary closing of the others, the banks anArkansas banking laws provide bank depositors for five days and reopen the end period placed hands of the state department. With exception of the AmeriExchange Trust Company the Merchants and Planters Trust Company of Pine Bluff and the Merchants and Planters Bank at Helena, closing are comparavice of the B. Banks Company, said expected least half" the would The temporary closing of the American Exchange Company attributed by the direcpublic from of investment bankers Nashville. Tenn. November statement by the American Exchange Trust Company the suspension was "forced upon by excessive drawals than 000 during the past 10 days, fol-

3. November 17, 1930 The Bismarck Tribune Bismarck, Mandan, ND
Article from The Bismarck Tribune, November 17, 1930

Click image to open full size in new tab

Article Text

ARKANSAS BANKS SUSPEND PAYMENT 30 Institutions Affiliated With Big Firm Expected to Reopen, However Little Rock, Ark., Nov. 17.-(P)Officials of the A. B. Banks and company, Arkansas financial institution, announced today 30 banks in the state with which the company is affiliated have suspended payments to depositors for a period of five days. Eight other affiliated banks advised the A. B. Banks company they were remaining open. The company officials said they had not heard early today from 11 others in the affiliation as to what action they were taking. The decision of the board of directors of the American Exchange Trust company of Little Rock, the largest bank in the state, to suspend payments and close for five days resulted in the temporary closing of the others, the Banks company announced. Arkansas banking laws provide a bank may suspend payments to depositors for five days and reopen at the end of that period or be placed in the hands of the state banking department. With the exception of the American Exchange Trust company here, the Merchants and Planters Trust company of Pine Bluff, and the Merchants and Planters bank at Helena, those closing are comparatively small institutions. J. J. Harrison, vice president of the A. B. Banks and company, said he expected "at least half" of the banks would reopen. A statement by directors of the American Exchange Trust company said the suspension was "forced upon us by excessive withdrawals totaling more than $4,000,000 during the past 10 days, following the announcement of financial difficulties of Caldwell and company, investment bankers of Nashville, Tenn. "The affairs of Caldwell and company are remote from Arkansas and nothing but an excited public mind could have forced the closing of this strong bank."

4. November 17, 1930 The Indianapolis Times Indianapolis, IN
Article from The Indianapolis Times, November 17, 1930

Click image to open full size in new tab

Article Text

Arkansas Bank Closes Ark., Nov. 17. The Merchants Planters bank of Helena, its doors today they regarded as solvent, closing to protect depositors. Eight Close Doors PINE BLUFF, Ark., Nov. and Bank Trust Company of Pine Bluffs. smaller banking failed open their doors today.

5. November 17, 1930 The Daily World Helena, AR
Article from The Daily World, November 17, 1930

Click image to open full size in new tab

Article Text

HYSTERIA GIVEN AS CAUSE 32 CLOSINGS ENTIRE STATE AFFECTED BY CLOSING OF AFFILIATED BANKS IN SECTIONS ALL FOR FIVE DAYS Three Largest Close Are Americal Exchange, Little Rock; Merchants and Planters Trust Company, Pine Bluff, and Merchants and Planters at Helena Little Rock, Ark., Nov. affiliated banks in Arkansas ciosed today for five days as a result of what officials described as "public hysteria" over the receivership of Caldwell and Company, Nashville, Tenn., investment bankers. The decision of the board of directors of the Exchange Trust Company, Little Rock, the largest the state, to suspend payments deposits for five-day period allowed by law, was followed by the temporary closing of of 46 others associated with A. Banks and Company. A. B. Banks is president of the American-Exchange Trust Company and of several of the smaller banks which closed One other small bank in the Banks company group was placed in charge of the state banking department liquidation. Four other small independent banks also closed, two for five days and the others for liquidation. Walter Taylor, state bank commissioner, announced after a conference with Attorney General Hal Norwood that under the law he could not take charge of banks taking advantage of the five-day closing provision until the end of the period. The three largest banks in the group are the AmericanExchange, Little Rock; the Merchants and Planters Trust Company, and the Merchants Planters Bank, Helena. These three had combined total deposits of approximately $18,000,000 at the last bank call Sept. 24. The other closed banks are comparatively small: The Merchants and Planters at Humphrey, in the A. B. Banks for liquidation. The State Bank of Fouke, at Fouke, and theBank of Branch, a Branch not in the group, closed for liquidation. closing of the American-Exchange followed heavy withdrawals during the past few days. Other affiliated banks for the most part closed the protection of depositors" because of general unrest resulting from the closing officials

6. November 18, 1930 Evening Star Washington, DC
Article from Evening Star, November 18, 1930

Click image to open full size in new tab

Article Text

# 39 ARKANSAS BANKS CLOSED. Tennessee, Missouri and Illinois Institutions Suspend Payments. By the Associated Press. Approximately 39 banks in Arkansas Monday suspended payments to depositors for five days and two other small banks were closed for liquidation, while during the last two weeks four Tennessee banks have closed. Five Illinois banks have closed since Saturday. Four small banks in Missouri closed Monday. An optimistic view of the Tennessee situation was taken by D. D. Robertson, Tennessee superintendent of banks, who said "our banking troubles are over." Directors of the American Exchange Trust Co. of Little Rock, largest of the suspended Arkansas banks, said in their opinion the bank was solvent and with the "co-operation of our depositors a plan can be found to resume operations." Most of the suspended Arkansas banks were affiliated with A. B. Banks & Co., which was associated with the American Exchange Trust Co. With the exception of three, all were comparatively small. The three were the American-Exchange, the Merchants & Planters Trust Co., Pine Bluff, and the Merchants & Planters Bank of Helena. Directors of the American Exchange Trust Co. attributed the closing to public hysteria resulting from the placing of Caldwell & Co., Nashville, Tenn., investment bankers, in receivership November 7. A directors' statement said "the affairs of Caldwell & Co. are remote from Arkansas and nothing but an excited public mind could have forced the closing of this strong bank." The American Exchange Trust Co. announced deposits of $15,014,589.41 on the date of the last bank call. The bank was capitalized at $1,000,000 and had a surplus of $500,000. The banks acted under an Arkansas State law which permits them at the end of five days to reopen or turn over their affairs to the State Banking Department. Officials of A. B. Banks & Co. expressed the belief that more than half the banks would reopen. The four banking houses which have closed in Tennessee during the last two

7. November 21, 1930 The Birmingham Post Birmingham, AL
Article from The Birmingham Post, November 21, 1930

Click image to open full size in new tab

Article Text

Arkansas Institutions ReAffairs arrange Ark., Nov. 21. LITTLE Resumption of business Arkansas banks which number suspended operations likely today following appeared conference here. Most cheerful of reports the word that American change Trust Co. of Little Rock whose suspension precipitated the temporary closing of 34 outstate banks which Co. interested. expected business reopen Yesterday, two day conference, officials the bank indicated would impossible to open the bank they not when saying plans would be reorganization complete. Banks in which the B. Banks company were and which failed or are gradually re-organizing themAt Helena, in eastern Arkansas citizens operated bank officers and they plan open national bank take over assets of the Merchants and Planters which Monday with deposits reopening of the First State bank is being con sidered. PARIS, Tenn. Nov. first State Bank Trust Co., one the oldest Paris banks, failed open doors morning following the steady withdrawal accounts amounting more than $200,000 during the past two weeks financial unrest that has Tennessee. RALEIGH, N. Nov. Closing of eight western North Carolina banks to the number financial institutions which halted operations this state this year. State bank officials attributed Thursday's developments to collapse of the real estate boom of 1926. The insitutions were Asheville, Hendersonville and vicinity.

8. November 21, 1930 The Belleville News-Democrat Belleville, IL
Article from The Belleville News-Democrat, November 21, 1930

Click image to open full size in new tab

Article Text

15 MORE BANKS IN SIX STATES (Continued Page weathered steady withdrawals period of two weeks previously. The Cleburne (Kans.) State Bank took similar action and turned account over to state banking partment for liquidation. The bank had The American Exchange Trust Company, Little Rock, Ark whose suspension precipitated the closing Arkansas banks affiliated reached stage in its reorganization today which indicated would be reopened soon. national bank was formed Helena. Ark., to take over the Merchants Planters bank which suspended Monday with deposits of TURTLE SOUP. Ready o'clock Saturday. 502 South Charles Street.

9. November 26, 1930 The Daily World Helena, AR
Article from The Daily World, November 26, 1930

Click image to open full size in new tab

Article Text

Application Blanks for National Charter In Helena Announcement was made this morning that subscription for the proposed national bank had exceeded the goal of $100,000. The announcement was made by C. Fornor, president of the Helena Chamber of Commerce, who has vorked untiringly with the committee appointed at a meeting of those interested in the organization of the new bank The committee was composed of Lambert, chairman. Keeshan, Greer, Truemper G. Walk In making the expressed his gratitude for the splendid cooperation of the citizens of Helena, the stockholders and depositors of the suspended Merchants and Planters Bank and the committee. The subscription of the stock completes the first big step in the organization of the new bank. When the Merchants and Planters Bank suspended operation plans were immediately laid for the organization of a new National Bank. Mr. D. A. Blanton, of St. Louis, president of the Blanton Co. and owner of the Helena Cotton Cotton Mill, agreed to subscribe $25,000 in stock, provided that the directors of the Merchants and Planters Bank would subscribe $25,000 and the citizens of Helena subscribe the remaining $50,000 of $100,000 paid up capital stock. The authorized capital stock is $200,000. This agreement was also made provided that the stockholders of the suspended bank would relinquish their holdings, and that the new bank would take over the assets and assume liabilities of the Merchants and Planters Bank, such as were approved by the ComptrolForms and aplications for chartering the new bank arrived from the process of being filled out and proved for their return to be ap+ proved by the Treasury Department. A representative of the Comptroller is expected to arrive in Helena this week to examine the assets of the Merchants and Planters Bank. As soon as necessary legal steps are completed, formal and definite announcements will be made

10. January 2, 1931 Hope Star Hope, AR

Article Text

Last Helena Bank Closes on Friday Phillips County Without Bank-New National to Open, However HELENA (A) Phillips county was without bank Friday morning when Insterstate National bank, asked he federal comptroller to take charge the Bank of Marvell this was turned over to the state banking commissioner the latter bank days. The Interstate National notified Helena depositors that it had closed for their own protection. The only other bank in Helena, the Merchants & Planters, was closed November 17 along with the suspension of the American Exchange at Little Rock. A. B. Banks was president of the Merchants & Planters. The Bank of Marvell had deposits of $200,000, capital of $50,000, and surplus of $10,000. The Interstate National had deposits if $1,700,000 and capital of $250,000. Plans,for the reorganization of the Merchants and Planters, which has been closed for a month and a half. have been virutally completed. The federal comptroller has granted it new charter as a' pation bank and will be reopened as the Phillips Coun-

11. January 25, 1931 The Commercial Appeal Memphis, TN

Article Text

NEW BANK AT HELENA OPENED TUESDAY National Institution Has Capital of $100,000. Ark., Jan. 24. The Phillips National Bank will open here Tuesday morning for regular according to R. active vice president. The bank organized here several weeks capital of $100.takes the place of the closed Merchants Planters Bank, which suspended business Nov. 17. following the crash of the A. B. Banks' in the state. Mayor D. T. Hargraves is president the new institution with other officers James Pillow president: Deal, will charge bank, Directors: James Pillow. Deal, Herman Wolfe, Onie Welch, Moore and John Ware.