Farmers State Bank (Jasper, TN)

Episode Information

Episode UID
87066571558
Episode Type
Suspension → Closure
Bank Type
state
Bank ID
8706657 routing
Routing Number
87-0665
Start Date
October 8, 1929
Location
Jasper, Tennessee (35.074, -85.626)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
0b55f75046ab27ea

Response Measures

None

Description

Suspension followed by state receiver and liquidation; cashier later charged with embezzlement.

Events (4)
1. October 8, 1929 Receivership
Newspaper Excerpt
notified the state banking department at Nashville requesting that it take charge of the bank. This has been done and the department, through its receiver, Col. J. H. Grigsby, will wind up the affairs of the bank
Source
newspapers
2. October 8, 1929 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Directors suspended and asked state banking department to take charge amid heavy borrowing by officers and internal problems
Newspaper Excerpt
the bank suspended business on Oct. 8
Source
newspapers
3. October 29, 1929 Other
Newspaper Excerpt
Barker has his position liquidating agent for the Farmers State bank, which suspended here October ... He was appointed to the position by H. L. Grigsby ... as liquidating agent and be took over the affair of the bank Monday.
Source
newspapers
4. February 12, 1930 Other
Newspaper Excerpt
A. L. Roberson Held for Fraud In Connection With Failure of Jasper Institution ... charges him with embezlement.
Source
newspapers

Newspaper Articles (4)
1. October 20, 1929 Chattanooga Daily Times Chattanooga, TN
Article from Chattanooga Daily Times, October 20, 1929

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Article Text

JASPER BANK CLOSING Active Vice-President Gives Statement of Conditions Causing Crash. To The Chattanooga Times: Since there has been so much publicity given to false and wild rumors concerning certain of the officials and directors of Farmers' State Bank of Jasper after the bank suspended business on Oct. 8, and especially in view of the fact that a seeming studied effort from certain unfriendly sources attempts to fix a large part of the responsibility on me, I make the following statement for the benefit and information of anyone interested in the institution financially or otherwise: In order to protect depositors, by action of the directors of the bank, it suspended business and notified the state banking department at Nashville requesting that it take charge of the bank. This has been done and the department, through its receiver, Col. J. H. Grigsby, will wind up the affairs of the bank to the very best advantage for depositors and all concerned. The receiver will have the full and hearty cooperation of all the directors of the bank and we trust the same cooperation of everyone interested. This is the only way by which the best results can be obtained for depositors and stockholders. Knocking and abuse can result only in the defeat of what we most want to accomplish. The officers of the bank are Dr. D. C. Shelton, president; A. L. Roberson, active vice-president; L. R. Darr, vice-president; W. N. Hackworth, cashier, and, as has been stated through the press, all are heavy borrowers, and it

2. October 20, 1929 Chattanooga Daily Times Chattanooga, TN
Article from Chattanooga Daily Times, October 20, 1929

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Article Text

To The Chattanooga Times: Since there has been so much publicity given to false and wild rumors concerning certain of the officials and directors of Farmers' State Bank of Jasper after the bank suspended business on Oct. 8, and especially in view of the fact that a seeming studied effort from certain unfriendly sources attempts to fix a large part of the responsibility on me, I make the following statement for the benefit and information of anyone interested in the institution financially or otherwise: In order to protect depositors, by action of the directors of the bank, it suspended business and notified the state banking department at Nashville requesting that it take charge of the bank. This has been done and the department, through its receiver, Col. J. H. Grigsby, will wind up the affairs of the bank to the very best advantage for depositors and all concerned. The receiver will have the full and hearty cooperation of all the directors of the bank and we trust the same cooperation of everyone interested. This is the only way by which the best results can be obtained for depositors and stockholders. Knocking and abuse can result only in the defeat of what we most want to accomplish.

3. October 29, 1929 The Chattanooga News Chattanooga, TN
Article from The Chattanooga News, October 29, 1929

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Article Text

J. M. Barker to Liquidate Harmless as the recipe on the wrapper; mild and bland as it Jasper Bank's Affairs tastes. But its gentle action Jasper, Oct. 29.-(Special.) B. Lasa- soothes a youngster more surely ter has his position liquidating than some powerful medicine agent for the Farmers State bank, which that is meant for the stronger suspended here October He was appointed to the position by H. L. Grigsby systems of adults. of Nashville, superintendent of banks and That's the beauty of this special receiver of the Farmers State bank. Mr. Grigsby, it said, has appointed children's remedy! It may be Barker of South Pittsburg to succeed Mr. given the tiniest infant-as often Lasater as liquidating agent, and be took as there is any need. In cases of over the affair of the bank Monday. Mr. Barker for years leading of colic, diarrhea, or similar disturbSouth Pittsburg. having store near Richance, it is invaluable. But it has

4. February 12, 1930 The Chattanooga News Chattanooga, TN
Article from The Chattanooga News, February 12, 1930

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Article Text

BANK CASHIER FACES CHARGES A. L: Roberson Held for Fraud In Connection With Failure of Jasper Institution. capias issued against A. L. Roberson, cashier of the defunct Farmers State bank of Jasper Monday afternoon, charges him with emberzlement. It was served by T. E. Coppinger, sheriff of pay It was thought for long while that the amount due the bank from him and members of his family, totaling a large sum, would be repaid in the course of the liquidation, but becoming impatient over apparent delay in 80 doing and also being unable to learn if payments were being made in the matter owing to the absolute secrecy observed in the settlement of the affairs of the bank by the receiver, a commit tee of five business men appointed by the depositors, and known as the depositors' committee. determined to act in the matter and secured Whitaker & Whitaker and C. H. Neighbors, Chattanooga lawyer, to investigate the case and raised money sufficient to retainer. The smashing of the bank consumed the savings of years for a large number of depositors. Blame is attached. in large measure, to the state banking department, which apparently allowed the directors of the bank to loan themselves large amounts of money. with the result that there was deficiency in cash of 8411, according to the statement of the bank receiver, as well as a deficiency in notes of about Liquidation is still in progress, and 80 far none of the depositors have received anything on their accounts The collection on small notes has been good 80 it has been said. The expense of the liquidation is very high, and it saems It will take several years to complete it.