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STATE EXAMINER ORDERS CLOSING OF NIPPON BANK Failure to Pay Off $100,000 Note Is Given as Reason The Nippon bank, located at Fourth and L streets, yesterday closed its doors under orders of G. K. Cunningham, examiner, working from the office of the state superintendent of banks. The Nippon is a Japanese financial institution, owned by Japanese, with practically all of its depositors of the yellow race. H. Arita, manager of the bank, said yesterday it is his opinion that none of the depositors would lose any money by reason of the closing. "The closing of the bank," Arita said, "is on account of a difficulty three years ago when it was necessary for the institution to close. Because of the inability of J. Hirabayashi, of Osaka, Japan, the owner of the bank to pay off an old note for $100,000, it has been found necessary to close the doors. "Since the re-opening of the bank in 1920, the depositors have been few in number." The Nippon bank was established in 1907 and has been under control and management of Japanese ever since. In June, 1920, a run on the bank lasted for several hours, during which thousand of dollars were withdrawn by depositors who feared their funds would be lost. The run was laid to agitation on the part of outside interests. In March, 1921, the bank failed to open its doors without authority to close, and an investigation led to the disclosure that an alleged shortage of funds was the reason the bank failed to open. The bank re-opened two months later after permission was given by the state bank superintendent. At the time, it was stated entirely new ownership and management was operating the bank, and that capital enough to offset all estimated losses and shortage of reserves had been obtained.