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AMPEIXTS ED REPORTS SIXARDTNG
DEPOSIT


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Federal Reserve Bank of St. Louis

PAMEHLETS AND REPORTS REGARDING
DEPOSIT GUARANTY IN NEBRASKA


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Federal Reserve Bank of St. Louis

Nh.13RASKA

In addition to material found in Nebraska binders part I and II and
Pamphlets and reports regarding deposit guaranty in Nebraska", there
are the following folders pertaining to deposit guaranty in Nebraska:
Number and deposits of failed banks
Carbon copy of Nebraska report on deposit insurance 1955
Nebraska Supreme Court Journal 1932-1931
Newspaper clippings
Briefs - Hoskins State Bank
BrIefs - Security State Bank
Briefs - Abie State Bank
Briefs - State Bank of Ravemona
Briefs - Hubbel Bank
Briefs - Irrigators' Bank; State Bank of Minatare
Nebraska laws and report of 1930

PAMPELETS AND REPORTS REGARDING
DEPOSIT GUARANTY IN NEBRASKA

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NEBRASKA
is a
Remarkable
State
And tells

A Story no other
State can Tell


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Nebraska's Depositors'
Guaranty Fund
PROTECTS
$288,000,000 of funds deposited by
550,000 people in the
896 Nebraska State Banks

AND EVERY DOLLAR
IS SAFE

As Compared With Other States

NEBRASKA
Stands
FIRST in BANKING
Second in Hogs

•

Third

in Wheat

Third

in Corn

Third

in Cattle


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Federal Reserve Bank of St. Louis


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Federal Reserve Bank of St. Louis

Nebraska Is Going
Ahead
Nebraska is truly a remarkable state in many
ways and we who live within her borders can
be justly proud of the name Nebraska.
Nebraska raises a surplus of four out of five
of the world's basic needs—corn, wheat, cattle,
and hogs. It produces in new wealth each
year: Farm products, $500,000,000; Products
of industry, $800,000,000. The wealth of Nebraska in men and materials is covered by
insurance; life, fire and casualty, to the amount
of $5,000,000,000 for which the people pay in
annual premiums more than $45,000,000.
Many pages could be written telling the story
of Nebraska's wealth, its products and its proress, which would be a record that few states
ould equal. Behind this production and progress is a reason. It is an asset of Nebraska
which has more real value than any other asset
it possesses. It is Nebraska's Guaranty Law.
Because we have it and have had it for years,
perhaps it has become commonplace and people
do not realize its value and give to it the credit
it deserves.
For fifteen years no depositor in a state bank
in Nebraska has lost one cent through the failure of the bank and during those years we
have passed through one of the greatest financial depressions ever known. Nebraska's Guaranty Law stood the shock of time and deflation
—when its enemies said it would fail—and today is the foundation of our economical and
financial structure. It has proven its soundness, thereby becoming a boon to every man,
woman and child in the state. Its benefits
are not shared by a few, but enjoyed by everyone, either directly or indirectly.
Its success has directed the eyes of the entire
nation on Nebraska and many states are now

W


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contemplating the passage of similar laws. No
doubt, some day in the near future, the demand for guaranty of bank deposits will be a
nation-wide movement. Depositors are beginning to feel they have a right to demand absolute protection for their funds and the business world is beginning to recognize the value
of such protection in its effect upon business.
The banking business is not a one-sided proposition but one wherein both parties to a deposit
contract are entitled to consideration. History
is being made in Nebraska. It is establishing
a precedent in banking which others will
follow.
Inquiries are so numerous, both from. Nebraska and outside states, which indicate that
people do not understand what the Guaranty.
Fund is, whom it protects, who pays for the
protection and what it has accomplished, that
it seems timely and proper to set forth someAk
of these facts. With the hope that it may bfflr
of educational value this pamphlet has been
prepared, telling only of Nebraska's state banking system. It is a story that cannot be told
by any other state. It is a record unequalled
in the entire world.
WHAT IS NEBRASKA'S
GUARANTY LAW?
People always have and always will suffer
losses through the failure of banks unless some
adequate form of government protection is
given to them. In Nebraska, as a result of a
demand of the people for absolute protection
of their funds, the State Legislature in 1909
passed a law creating a state fund known as
the Depositors' Guaranty Fund. They provided
that upon the failure of any state bank all the
depositors would be paid immediately, one hundred cents on the dollar.
This fund is created through assessments on
the solvent banks of the state in proportion


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4

to their deposits. The maximum assessment
which may be levied during any calendar year
is six-tenths of one per cent, of the bank's
average daily deposits. If the full assessment
was levied it would raise approximately
$1,725,000.00 per year for the payment of depositors. To prevent any misuse of so large a
fund, the money is left on deposit with each
individual bank until it is needed to pay depositors. It is set aside in an account subject
to the order of the Secretary of the Department of Trade and Commerce who may draw
upon it when necessary and so ordered by the
proper court.
Before the law became effective its constitutionality was tested and finally decided by
the highest court in the nation: the United
States Supreme Court. In sustaining the law,
the court said:
"When the legislature (of Nebraska)
declares in its banking laws that incorporation, inspection and co-operation for the protection of deposits are
necessary safe-guards, this court certainly cannot say that it is wrong. The
power to compel beforehand, co-operation and thus, it is believed, to make a
failure unlikely and a general panic
almost impossible, must be recognized
if government is to do its proper
work."
Like a giant insurance company the state
banks are associated under the laws of Nebraska for the protection of the deposits in
the state banks. Men provide for the insurance that goes to their dependents after death
by paying for it. The insurance of the deposits
placed in the state banks in Nebraska is paid
for by the bankers.
This insurance plan not only protects the
deposits in the bank; it protects the sleep of
550,000 depositors and their peace of mind.
It protects the business that is dependent upon
these deposits. It protects the farmer whose
funds on deposit are to be used for the clear-


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5

_a

ing of the mortgage or the stocking of the feed
lot. It protects the worker whose funds in the
bank are being saved against the day when he
and his wife and little ones can move into the
new home on the hillside.
A giant insurance plan, filled with the spirit
of confidence and trust because the money in
the bank is safe.
WHAT DOES IT PROTECT?
The law applies to, and protects, all classes
of deposits, whether it be checking accounts,
demand certificates, time certificates, savings
accounts, or cashiers' checks. It likewise protects holders of exchange. The law reads:
"The claims of depositors for deposits not otherwise secured and claims
of holders of exchange shall have
priority over all other claims except
federal, state, county and municipal
taxes * * * and upon proof thereof, they shall be paid immediately
• * *
Our Supreme Court has held that "in order
to create a deposit which will be protected by
the Guaranty Law, it is necessary that money
or its equivalent shall in intention and effect
be placed in or at the command of the bank
under circumstances which do not transgress
the specific limitations of the Bank Guaranty
Fund Law." A holder of exchange is defined
by the Court as a person who holds a draft
drawn by one bank upon another bank.
Banks may pay as high as four per cent.
interest on time deposits but any payment in
excess of this rate not only removes the deposit
from the protection of the Guaranty Fund but
makes it a felony both on the part of the bank
who pays it and the depositor who accepts it.
The rendering of any service either directly or
indirectly or the giving of any consideration
of value as an inducement, in addition to the
legal rate of interest, for making or retaining
a deposit in the bank, carries with it a like
6

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•

penalty. Every depositor of time money should
be careful that this section of the law is not
violated.
The protection of the Guaranty Fund applies in the case of all failures no matter what
may be the cause, whether it be depreciation
in the value of the bank's securities, mismanagement or even criminalities on the part
of the banker, it makes no difference. If the
bank cannot pay its deposits, the Guaranty
Fund will.
HAVE OTHER STATES
SIMILAR LAWS?
Eight states, namely: Mississippi, Texas,
Oklahoma, Kansas, South Dakota, North Dakota, Washington and Nebraska, have passed
guaranty laws during the past twenty-five
years. In most of these states, the law has
Ag&been more or less of a failure, and at this time,
stands alone as having fulfilled all
the promises of the law.
Investigation tends to show that inadequate
laws, poor management and politics are the
three principal causes responsible for the failure of the laws in the other states. In 1922,
Nebraska bankers, benefiting by their own experience as well as that of other states, could
easily foresee that unless the causes which
proved to be the undoing of the law in other
states were removed from Nebraska's law, it
too, would be a failure. In part, the bankers
have been successful in removing these objectionable features from our law and placing it
more nearly on a business-like basis through
the creation of the Guarantee Fund Commission.

wNebraska


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7

WHAT IS THE GUARANTEE
FUND COMMISSION?
As a result of the demand from the bankers
for a voice in the management of the failed
banks and the salvage of the assets, the legislature of 1923 passed the Guarantee Fund Commission law, whereby a Commission was created
consisting of seven members and the Secretary
of the Department of Trade and Commerce,
who is the Chairman and a member ex officio.
To be eligible for membership on the Commission, one must have been an executive officer of a state bank in Nebraska for at least
five years preceding his appointment. The
state is divided into seven groups, a member
chosen by the bankers representing each group.
Each member is appointed for a term of three
years and receives a salary of $10.00 per day
and actual expenses for the time spent in the Ak
work. Each member must give a bond in theW
amount of $25,000.
While the Commission has practically sole
charge of the failed banks, the law specifically
provides that it shall have no jurisdiction over
going banks except in an advisory capacity.
Solvent banks are under the jurisdiction of the
Department of Trade and Commerce, but upon
the closing of any bank, it must be turned over
to the Guarantee Fund Commission for the
purpose of restoring solvency or liquidation.
In the Commission's office at the State House,
Lincoln, are employed twenty-two people and
to carry on the necessary work over the state
requires the additional employment of approximately one hundred twenty-five people. The
expense of the organization is borne by the
banks, except for an appropriation of $15,000
per year made by the legislature. Although a
department of state, it will be readily seen
that the cost of maintaining it is a very light
burden on the state itself.


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•

WHY ARE INSOLVENT BANKS SOMETIMES OPERATED AS GOING
CONCERNS?
In asking for 1110 passage of the law, the
bankers anticipated that large savings could
be made for the Guaranty Fund and thus for
themselves through the operation of an insolvent bank as a going concern, if the management of that bank was placed in competent
hands. So under this law, when a bank is
closed by the Department of Trade and Commerce and turned to the Guarantee Fund Commission, they have the option of either continuing the bank as a going concern without
regard to its solvency or liquidating its affairs
through a receiver to be named and appointed
by the Commission.
Experience has proven that large savings
ak can be made in operating the bank as a going
W concern for a time at least. The usual practice
is to place a Special Agent of the Commission,
who is under bond, in charge of the bank and
continue its business as before its failure. The
ordinary business of the bank is carried on
without interruption so that the business and
social affairs of the community are not disturbed.
It has been found that a far greater per cent.
of the assets can be collected in a going bank
than in a receivership. It is the usual practice
to operate a bank over a crop season as only
by so doing can the best results be obtained.
During that time the greatest possible liquidation is secured, either by collecting the notes
or by. securing collateral, making future collection possible.
Then the bank is re-organized, or sold to
another bank, by the transferring of the deposits and the sale of the good assets. The
difference is supplied by cash from the Guaranty Fund. In this way a bonus is usually
secured for the good-will of the business. The

•


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AIM

transaction is handled in such a manner that
the business is not interrupted for even a single
day.
To enable the Commission to operate a bank,
the law created a fund known as the Bankers
Conservation Fund which is nothing more nor
less than money advanced by the state banks
in proportion to their deposits as a loan which
must be repaid when the bank is finally closed
or re-organized.
The benefits derived from the operating of
an insolvent bank as a going concern have been
of unestimable value to the Guaranty Fund and
to the depositors and the community as well.
Not only does the immediate locality benefit,
but the state as a whole. People know that
the depositors' money will not be tied up and
under this plan of management confidence has
been established in the entire state so that
even rumors of a bank being insolvent or likely*
to be closed, causes no fear among the depositors. Bank runs are unknown.
HOW ARE RECEIVERSHIPS
HANDLED?
Upon the re-organization or sale of an insolvent bank which has been operated as a
going concern, or the closing of a bank which
does not have sufficient business to justify its
continuance, the remaining assets are placed in
receivership. The Commission has adopted the
plan of naming the Commissioner, in whose
Group the bank is situated, as receiver. The
handling of the receivership and the collection
of the assets is carried on principally by a
Special Agent who is placed in eharge. The
best possible salvage is then obtained as quickly
as possible, the proceeds of which are returned
to the Guaranty Fund to reimburse it for the
money advanced in the payment of depositors.
As soon as the assets are exhausted an attempt is made to collect the stockholders' ha-


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Federal
Reserve Bank of St. Louis

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•

bility. Under our laws a stockholder of a bank
is liable to creditors for an amount equal to
the amount of stock held by him. Unfortunately, the Constitution of the state will not
permit the Commission to collect this stockholders' liability until after all assets are exhausted which usually takes a considerable
length of time inasmuch as the assets coming
into the hands of the receiver are frozen and
long drawn out affairs. This provision of the
Constitution, without doubt, increases to a very
large extent the losses to be borne by the Guaranty Fund. In the case of a national bank
failure, the Comptroller has authority to levy
this one hundred per cent. assessment immediately and collect it. It should be the same
under our state law.
The compromising of any indebtedness or the
sale of any real estate or personal property
A& must not only be approved by the receiver and
Commission but by the Judge of the District Court in whose district the receivership
is located. A full and complete report of each
receivership is made by the Commission to the
Court every three months covering all transactions in detail. These are placed in the files
of the Clerk of the District Court where they
may be examined by anyone interested.

Ipthe

HAS NEBRASKA'S LAW BEEN
TESTED?
It surely has. Having been in operation
since 1911, or more than 15 years, during which
time we have passed through one of the worst
periods of deflation ever known, it surely cannot be said but what the law has been thoroughly tried out. During that time 155 banks
have been closed by the state. Practically all
of these have been during the past five years.
Of this number 114 have been placed in receivership and deposits of over $28,000,000.00
paid in full. The Commission is now operat-

•


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ing 37 banks as going concerns and in four
banks receivers have been appointed but sufficient time has not elapsed for the court to
pass on claims.
In making this payment of more than $28,000,000.00 no depositor has ever lost one cent,
nor has he had to wait for his money. As soon
as his claim was approved the money was available to pay it. Of this $28,000,000 paid to
depositors, the state banks have contributed
about $11,500,000, the balance being secured
from the assets. During the past twelve
months the Commission has paid more than
$7,500,000 of deposits or an average of about
$25,000 per day.
There remains in the hands of the Commission more than $10,000,000 of assets belonging
to the banks whose deposits have been paid in
full. The proceeds from the collection of these
assets will be returned to the Guaranty Fund
and thus indirectly to the banks, to reimburse
them for the amounts already advanced. While
the value of these assets is doubtful, yet it is
certain that a considerable sum will be realized.
Another factor tending to show that the
Guaranty Fund is able to take care of its
losses is that the state authorities have closed
the banks, very few having closed voluntarily,
while in other states it would seem to be the
practice to allow banks to continue until they
close for the want of cash ta carry on their
business. For this reason we feel that the
banking situation is more nearly cleaned up
in Nebraska than in some other states.
Nebraska has not experienced as large a
percentage of bank failures, by any means, as
surrounding states, and without doubt the reason for this is Nebraska's Guaranty Law and
the confidence the people have in it.


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•

WHAT OF THE FUTURE?
Nebraska's Guaranty Law has been a success
and has paid every depositor in every failed
state bank one hundred cents on the dollar.
Every obligation of the law has been fulfilled
over a period of 15 years. All losses now on
hand or outstanding indebtedness will be paid
in full.
The Guaranty Law has become a fixture in
Nebraska. It has proven its worth many times
over its cost. The state as a whole has benefited through increased prosperity due to the
confidence of the people in banks. Money has
not been withdrawn from banks and placed in
hiding as in other states. Nebraska did not,
and is not now, suffering the common depression as are surrounding states. A banker demands security for the money he loans to his
customers, so is it unfair for the customer to
demand security from the bank when he deposits his money? Surely not. One has as
much right to expect the return of his money
as does the other.

go
;

Only through the sacrifice and courage of
the state bankers of Nebraska has this wonderful record been made. Bankers have gone
without dividends or profits in order that the
law might be fulfilled. Without this,"a story
that no other state can tell" could not be told.
It would not be possible to continue indefinitely under such a state of affairs and while
we can now say that we.have survived this
period of deflation, yet at the same time we
must realize that another is coming. The best
way to pay losses is to prevent them and the
best way to prevent them is through the supervision and examination of going banks.
The bankers in 1923 told the legislature that
if the handling of failed banks was placed on
a business basis, in the hands of competent
men and by removing it from political control,


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large savings could be made. The results now
show their.prediction to have come true. Under the old system, receivers collected but
twenty-nine per cent, of their assets, whereas
under the Commission's management sixty per
cent. of the assets are now collected. Expense
of liquidation has been reduced more than twothirds.
Bankers now feel that additional changes
should be made in our law, especially as far
as supervision and examination of going banks
are concerned. They uphold the Guaranty Law
and in a recent meeting at Omaha, delegates
representing the majority of the banks in the
state, passed the following resolution:
"We re-affirm out strict adherence to the
Guaranty Fund law under which no depositor
in any Nebraska bank has suffered loss. We
are opposed to any change in the law which
will in any wise tend to obstruct, hinder ora
delay any depositor in any Nebraska state bank'
in the collection of his deposit." They do,
however, want to remove as far as possible the
Department of Banking from political influence
and control. They ask that the examiners be
chosen solely because of merit, training and
fitness. They also recommend more adequate
salary and longer tenure of office for those responsible for the supervision and examination
of banks.
The interest of the state bankers of Nebraska
is the welfare of the people. This has been
demonstrated and proven by the courage they
have shown and the sacrifice they have made
during the past few years. It is only through
their efforts that the Guaranty Fund was
saved in 1923 and now that they are asking
for reasonable changes in the law and only
what is surely due them, it would seem that
the legislature and the people of Nebraska
should co-operate with them in making Nebraska's Guaranty Fund a greater success, not
by any lessening of the protection given to the

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depositors but by lightening the cost to the
bankers.
Nebraska stands alone as a state where bank
depositors sleep well at night. It is a story
no other state can tell.
VAN E. PETERSON, Secretary,
Guarantee Fund Commission.
Lincoln, Nebraska,
September 1, 1926.

•


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Removal Notice
7KHLWHPLGHQWLILHGEHORZKDVEHHQUHPRYHGLQDFFRUGDQFHZLWK)5$6(5
VSROLF\RQKDQGOLQJ
VHQVLWLYHLQIRUPDWLRQLQGLJLWL]DWLRQSURMHFWVGXHWR copyright protections.

ŝƚĂƚŝŽŶ/ŶĨŽƌŵĂƚŝŽŶ
Document type: Pamphlet

Pages
Removed:

Author(s): Watson, B. Frank

Title:

A History of the Nebraska Bank Guaranty Law

Date:

Written and Submitted to Federal Reserve Board on March 21, 1933

Journal:

Volume:
URL:

Federal Reserve Bank of St. Louis


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NEBRASKA HISTORY AND POLITICAL SCIENCE SERIES
ADDISON E. SHELDON, Editor

,,N,K DEPOSIT GUARANTY
IN NEBRASKA
AN HISTORICAL AND CRITICAL STUDY

BY

Z. CLARK DICKINSON
(Graduate student, University of Nebraska, 1913-14;
Scholar in Economics, Harvard University, 1914-15.)

PUBLISHED BY

Nebraska History and Political Science Seminars, University of Nebraska
and Nebraska Legislative Reference Bureau


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BULLETIN No. 6

NEBRASKA LEGISLATIVE REFERENCE BUREAU
NOVEMBER 1, 1914

NEBRASKA HISTORY AND POLITICAL SCIENCE SERIES
ADDISON E. SHELDON, Editor

)11ANK DEPOSIT GUARANTY
IN NEBRASKA
AN HISTORICAL AND CRITICAL STUDY

BY

Z. CLARK DICKINSON
(Graduate student, University of Nebraska, 1913-14;
Scholar in Economics, Harvard University, 1914-15.)

PUBLISHED BY

Nebraska History and Political Science Seminars, University of Nebraska
and Nebraska Legislative Reference Bureau


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BULLETIN No. 6

NEBRASKA LEGISLATIVE REFERENCE BUREAU
NOVEMBER 1, 1914

EDITOR'S PREFACE

111

"Know Nebraska First" is the motto of this series of publications. The true stories of one's own state are the delight and
fascination of childhood. The history and ethnology of one's
own state is instruction and inspiration to both student and busy
man of affairs. The economic and scientific lessons drawn from
the experience of one's own state should be the first knowledge
of the legislator, the educator, the farmer, the artisan and the
business manager.
Nebraska is fortunate in having a history filled with interesting and useful material for research. Her aboriginal life,
her financial and social experiments, the conflict here between
rival theories of government, the mingling of many nations within
her borders, the creation of a new forestry and agriculture—have
each inspiration for the historical scholar and value for all citizens.
It is the high aim of the University departments joining in
this study, research and publication to make this rich mine of
Nebraska human experience available in the solution of present
Nebraska problems. History is thus made to serve the course
of human progress. The present University study in Nebraska
history is therefore planned first of all to yield information on
living social questions arising today. Their publication is a
contribution not only to Nebraska's needs but also to the world's
knowledge and has been welcomed as such beyond the borders of
our own commonwealth.
This paper by Mr. Dickinson is not only a distinct contribution to Nebraska history, but a most valuable addition to the
world's stock of knowledge on a very important public question.
Its research is thorough. Its criticism is fair, yet courageous.
Its conclusions are discriminating and strong. Much of its
statistical information is absolutely new. Nebraskans will learn
for the first time many important facts in their state's banking
history from these pages and every Nebraska bank will find this
pamphlet an authority in its field.
ADDISON E. SHELDON.
Nebraska History Seminar
University of Nebraska.
October 22, 1914.


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-AL

0

ib


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GEORGE O. VIRTUE,
Professor of Political Economy
and Collllllerce.

HOWARD W. CALD WELL,
Professor of American History.

L. E. AYLSWORTH,
Associate Professor of Political
Science.

GEORGE E. HOWARD,
Professor of Political Science
and Sociology.

C. E. PERSINGER,
Professor of American History.

ADDISON E. SHELDON,
Lecturer on Nebraska History.

DIRECTORS OF UNIVERSITY RESEARCH IN NEBRASKA HISTORY,
ETHNOLOGY, POLITICAL SCIENCE AND ECONOMICS.


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JAS. E. LE ROSSIGNOL,
Professor of Political Economy
and Commerce.

P.
SEMINAR STUDIES
in
Nebraska History, Political Science and Economics
Beginnings of University Research
and Publication in Nebraska History

In the years 1885-1891 Dr. George E. Howard, as professor
of history in the University of Nebraska and secretary of the
Nebraska State Historical Society, laid the foundations for
systematic research in Nebraska history and exemplified his
plans by publication of two important volumes of collections of
the society.
When Dr. Howard was called in 1891 to the chair of history
at Leland Stanford University, California, the work in history
was divided. Professor Howard W. Caldwell became professor
of American History and Civics and Secretary of the Nebraska
Historical Society. Nine volumes of Nebraska historical publications followed under his editorship—between the years 1892
and 1907.
In 1895 Professor Caldwell founded a seminar consisting
of graduate and advanced students in the University of Nebraska
for study,research and publication in the field of American history.
From 1899 the work of this seminar was for some years largely
directed to the study of problems in Nebraska history and government. Among its members at this time were C. E. Persinger,
Leon E. Aylsworth and Addison E. Sheldon, all now members of
the University History and Political Science faculties. Gradually the number and interest of advanced students so increased
that two seminars were formed, one for the general field of American history, the other for special research in Nebraska history.
Both of these are increasing in numbers and interest at the present
time.
Growing out of this work in Nebraska history several publications have been made, among them these:
"The Territorial History of Nebraska Told by its Makers"
"Civil Government of Nebraska"
"History of Higher Education in Nebraska, 1854-1899"
"Nebraska Constitutional Conventions"
"The Archives of Nebraska"
"Poems and Sketches of Nebraska"
"History and Stories of Nebraska" (A text book in Nebraska
schools)


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Professors Caldwell
and
Persinger
Professor Caldwell and
members of the seminar
Professor Howard W.Caldwell
Addison
E. Sheldon

6

Bank Deposit Guaranty in Nebraska

Present University Research Work
In Nebraska History

Interest in Nebraska history as a field for profitable research
and historical training increases each year. The present seminar
in Nebraska history is conducted by Professor Caldwell and
Director Sheldon of the Legislative Reference Bureau. The
seminar meets each week. Investigations in the original documentary records of the state, in files of Nebraska newspapers, in
personal letters and recollections are carried on by each student
under the direction of the instructors. Reports on these investigations are read and criticized. In the course of one, two or
three years a thesis is worked out by the student with a carefully
edited list of sources of information. From time to tim.e the most
available of these theses are published as chapters of Nebraska
history. A partial list of topics pursued in these researches at
present and during the past two years follows:
‘,'History of Nebraska State Board of Agriculture"
;The Nebraska Movement from the Farms to the Cities"
'History of Farmers' Co-operative Societies in Nebraska"
"A History of Agriculture in Sheridan County"
"Christian Missions Among Nebraska Indians"
"Progress in Civilization of the OgIsla and Brule Sioux"
"History of the Nebraska Labor Bureau"
"Labor Conditions at l'acking Houses in South Omaha"
"Nebraska Authors and Their Works"
"History of Bank Guaranty Legislation in Nebraska"
"History of Taxation in Nebraska"
"Federal Appointments in Nebraska"
"Economies in Retail Nebraska Trade"
"Dependent Children in Nebraska"
"Management of Nebraska Penitentiary"
"Legislative Employes in Nebraska"
"Workings of Australian Ballot in Nebraska
"History of Political Parties in Nebraska 1885-1900"
"Legislative Control of Railroads in Nebraska"
"The Construction of Railways in Nebraska"

M. A. Sharp
Leon H. Moomaw
Frank S. Perkins
Harry E. Rush
David J. Williams
Anna Hahne
Leon H. Moomaw
Ralph C. Sweeley
Florence B. Schell
Z. Clark Dickinson
William E. Hannan
George A. Munn
E. L. Stancliff
Myrtle Keegan
Alfred J. Melville
Frank S. Perkins
C. W. Mottinger
James W. Eckersley
Robert McMasters
Earl H. Davis

Nebraska R
h in the Seminar of
Political Science and Sociology

Upon the return of Dr. George E. Howard to the University
of Nebraska and the establishment of the department of political
science and sociology in 1906 courses were founded leading to
original research work in living questions of the day.
As an outgrowth of this work was established the Tuesday
Evening Seminar under leadership of Dr. Howard and Professor
Aylsworth. This seminar is composed of graduate students, many
of them candidates for the M. A. or Ph. D. degreee. Independent
and original investigations are made in the whole field of political
and social subjects.
Nebraska topics are chosen so far as practicable. The
experiences of other states and countries in government and


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•

Bank Deposit Guaranty in Nebraska

social betterment are brought into comparison with those of our
own. Men and women are thus trained in knowledge of Nebraska
affairs and better fitted for their duties as citizens.
The written results of this Nebraska research work are edited
with care and published for the information of the general public.
Into many of them go months of most careful investigation,
comparison and criticism. When completed they become an
authority upon questions of fact in their field and the basis of
intelligent action by the citizens and the legislature.
Under act of the Nebraska legislature of 1911 the Nebraska Legislative Reference Bureau is affiliated with this department in courses of study, research and publication.
Among the subjects of Nebraska research now under way
or recently undertaken by this Seminar are the following:
"A Model System of Garbage Disposal for Lincoln"
"A Model Civil Service System for Lincoln"
"The Organization, Functions and Coat of County Govenment in
Nebraska" (with special reference to Lancaster county)
"The Municipal System of Nebraska"
"The Preferential Vote in Municipal Elections"
"History of Municipal Legislation in Nebraska, 18U-1911"
"Social Effects of the Free Textbook System" (with special reference to Nebraska)
"Recent Legislation for the Administration of State Education:
How to take the Superintendent out of Politics"
"The Administration of Education in Nebraska"
"The Minimum Wage with Special Reference to the Nebraska and
California Laws"
"History of Labor Legislation in Nebraska"
"The Contract-Labor System in the Nebraska Penitentiary"
"The Need of the 'Short Ballot' in Nebraska: Study of our System
of Elective Offices"
"Should the Board of Commissioners of State Institutions Establish
a Nebraska Reformatory-"
"Comparative Merits of the Eight O'Clock Closing and no License
Policies in Nebraska"
"The Spoils System in Nebraska"
"The Administration of Public Health in Nebraska"
"An Investigation of Family Desertion in Lincoln"
"The Road to Citizenship." A Study of Naturalization in a Nebraska County. (Published in Political Science Quarterly,
September, 1912)
"A Foreign Industrial Group in Lincoln"
"Reform of Judicial Procedure" (chiefly with reference to Nebraska)

Nebraska R

Grace M. Clark
C. A. Sorenson
Edna D.Bullock
Thomas V. Goodrich
C. E. Lemmon
Mary E. Elliott
Mary Tremain
Julia M. Wort
Charles E. Teach
Rabbi Jacob Singer
John F. Krueger
W. E. A. Aul
C. A. Sorenson
WE.A.Aul
Marcus M. Beddall
Walter B. Sterrett
Clara Coulter Wolf
Annie Hawes
Hattie Plum Williams
Henry C. Luckey

h in Economics Seminar

Under direction of Professor J. E. LeRossignol and Profe.s.sor G. 0. Virtue a seminar on Economics has been instituted
in the department of Political Science and Commerce. Below
are some of the research subjects under investigation there,
the work being largely done in the Nebraska field:
"Agricultural Credit"
"Comparison of Producers' and Consumers' Prices of Agricultural
Products"
"Division of Sources of Revenue for State and Local Purposes"
"Nebraska State Railway Commission"
"Assessment of Real Estate in Lancaster County"


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R. A. Canaday
H. C. Filley
M. S. Pate
F. F. Laune
V. D. Smith

Bank Deposit Guaranty in Nebraska

8

BANK DEPOSIT GUARANTY IN NEBRASKA
I. GROWTH OF THE IDEA
The principle underlying the Safety-Fund System of New
York was sufficiently like that of the modern deposit guaranty
laws to make a brief resume of it illuminating to a discussion of
the latter. That measure,enacted in 1829, levied a tax of of 1%
yearly on the capital of banks chartered under it, to create a
fund out of which the currency of members which.failed should
be redeemed. Assessments were paid to the State Comptroller,
who invested the money and distributed its income to the participants in the system.
For several years there were no failures. By 1835 the fund
amounted to $400,000, and the security of their notes had brought
the Safety-Fund banks so much business that their combined
capital was five times that of the unsecured. With the panic of
1837, however, came a series of failures; and when, in 1841, the
courts decided that the fund could be drawn on for all debts of
insolvent member banks, the fund of $850,000 was soon swept
away. It is thought that if the currency only of failed banks had
been paid from the reserve, as was the original intention, the
amount on hand would have been ample. The fact that the
Safety-Fund institutions were legally held to be insured as to all
liabilities, however, caused such a rush of patronage to them
that in spite of the inroads of a host of fraudulent claims the
system was kept staggering along, with the fund continually
overdrawn, until 1866.' Vermont (1831) and Michigan (1837),
with modifications of New York's method, successfully insured
their state banks' currency until it was taxed out of existence by
the Federal government in 1865.2 The plan initiated by the
New York Free Banking Act (1838), of each bank securing its
circulation by approved collateral deposited with a central
authority, gradually became the prevailing system, and was incorporated with little essential change into the National Banking Act of 1863. After that, as has been stated, the state bank
notes were taxed out of circulation, and no more was heard for
a long time of the guaranty or insurance of banks.
The deposits, however, of both state and national banks were
still subject to risk. Whenever a panic came, and the fall of

•

1 Knox, History of Banking, 399 K.
11 Ibid., 355, 732.


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Bank Deposit Guaranty in Nebraska

9

some big bank would set a multitude of others tottering, a cry
would go up that when a man put his money into a bank, he
ought to have more assurance that he could get it out; but the
only relief was better and better inspection, which only minimized the danger, until the Oklahoma deposit guaranty law of
December 17, 1907. The latter act enforced contributions from
all state banks to make good the deposits of any which should
fail, so that in theory "each bank guaranteed every other bank."
This system was severely tried by numerous failures due to the
reckless and criminal banking which had flourished the few years
previous, while the country was being opened up to settlement,
and while there was no inspection in Indian Territory, which was
added to Oklahoma Territory to form the new state. One bank
failed with deposits of $2,800,000,3 having assets upon which not
much more than half that amount could be realized. Burdensome assessments had to be levied upon the surviving banks,
averaging 1% a year on their deposits from the pa-a-sage of the law
up to the present. The fund is still under a funded debt of some
$375,000. Amendments of the law in the last few years have
changed the situation so that each bank participating, instead of
standing sponsor for all other like institutions, is liable for only
1-5 of 1% of its deposits in any one year, a basis which, as more
experience is acquired, is likely to be more satisfactory to the
bankers while protecting the depositors.*
Such, then, is the background of Nebraska's guaranty law;
the general growth of state activity for greater safety to the
banking clientele, especially by means of mutual insurance, and
the example of a sister state's guaranty of deposits.
Banking in Nebraska, from territorial times in the fifties up
to the first state supervision in 1886, was partly of a "wild-cat"
nature. No records are available as to failures until 1892, when the
State Banking Board was created with a regularly employed
secretary, but since all that was needed in the preceding forty
years to start a bank was a sign and a counter,b and as every
banker regarded as his chief function the borrowing of money
from the east to lend to the struggling settlers of his neighborhood,
it is safe to say that failures were not uncommon. Although the

•

Columbia Bank & Trust Co., Oklahoma City.
The data concerning Oklahoma is from Mr. Thornton Cooke's articles in the Quarterly
Journal of Economics, Vol. 24, p. 85 if. (1909) and in November, 1913; also from
Report of the
Bank Commissioner of Oklahoma.
'Dr. P. L. Hall, Proceedings Neb. Bankers' Ass'n, 1906: 105.


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Bank Deposit Guaranty in Nebraska

10

aggregate deposits were never very large in those days, the sweeping away of the small savings of what depositors there were in
such wrecked banks must have meant great hardships to the
indigent frontiersmen.
In the early '90's, when the state banks were first subject
to inspection, came a series of "hard time" years, when crops
were short and a financial depression swept the entire nation.
The disastrous effects of this crisis on Nebraska banks are shown
by the following tables:
STATE BANKS,

Year

Banks
Failed

Total Number
State Banks
at End of Year

7
17
8
17
36

513
504
482
447
414

1892
1893
1894
1895
1896

$71,997
652,175
197,288
584,665
1,156,888

Total Deposits
in
All Banks
$24,891,113
17,208,476
18,074,832
14,200,775
10,227,537

$2,662,9987

85

Total

Deposits
in
Banks Closed

NATIONAL BANKS,

Year
1891
1892
1893
1894
1895
1896
Totals
Net loss to creditors.

Banks
Failed
4
4
3
5
16

Total
Proved Claims
Against
at End of
Year
Failed Banks
139
137
134
127
117
113

Dividends
from
Failed Banks

$346,840

$165,018

1,823,837
269,785
877,008

445,338
74,030
127,793

$2,817,470

$812,179
2,005,291

Total Deposits
in All
National Banks
(Individual)
$24,039,000
28,783,000
21,272,000
21,549,000
17,994,000
17,037,000

$2,817,470

A comparison and combination of these tables reveals that
*Rhin six years the creditors-of Nebraska banks had over five
million dollars tied up in 101 failed banks, of which sum creditors
of the nationals finally recovered less than a million, and creditors
of state banks an unknown sum perhaps something over a million.
It is seen that the total number of banks in Nebraska fell from
650 in 1892 to 527 in 1896; and the aggregate deposits declined in
the same time from $48,920,000 to $27,264,000.
'Report, Sec'y State Bkg. Bd., 1912: xvi.
Definite statistics are lacking as to dividends paid on these deposits, because liquidations
are
were then in charge of the district courts. Answers to a questionnaire sent out on this point
summarized in Appendix A below.
s Report of the Comptroller of the Currency, 1913. See Appendix B below for figures on
other years.


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Group of Public Men Connected with Beginnings of Bank Guaranty in Nebraska

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Bank Deposit Guaranty in Nebraska

11

The largest failure was of the Capital National, in Lincoln,
whose claims amounted to $1,300,000. Only about $250,000 was
finally realized from its assets. The distress occasioned by this
million-dollar loss to depositors was a tremendous object-lesson
to the members of the legislature of 1893, which was then in session. Though no bill was introduced into the legislature for
deposit guaranty until four years later, apparently it began to
be talked of at this time, as a practical scheme. C. W. Mosher,
president of the Capital National, is credited with having written
an article advocating a guaranty plan while in jail awaiting trial
for criminal action in wrecking his bank.9 If he did so, it would
appear that Mosher was the originator of the idea in Nebraska.
It was also in 1893 that W. J. Bryan, then representative
from the First District of Nebraska in Congress,introduced a bill
into the House" providing for the payment of depositors of insolvent national banks by an insurance fund administered by
the Comptroller of the Currency. His action was inspired, some
Nebraskans say," by C. 0. Whedon, who was for many years
a consistent advocate of national bank deposit insurance.
These early suggestions of a method of mitigating the calamity of failures by mutual bank insurance, and the record of failures from 1891 to 1896, culminating in the fall of thirty-six banks
with over a million dollars deposits in 1896, give a hint as to
the circumstances which influenced the author of a bill in the
legislature of 1897 enacting a yearly tax of of 1% on the average
daily deposits of state banks, to be collected with other taxes
and held by the State Treasurer in a separate fund for the payment of the depositors of such banks as might become insolvent."
No emergency assessment was provided for, in case the fund
should be exhausted. The levy of of 1% was apparently thought
to be sufficient, a supposition quite in harmony with the tentative
and haphazard drafting of the bill. The measure was referred to
the Committee on Banking and Currency, where the bankers,
assisted by Dr. Hall, Secretary of the State Banking Board,
promptly killed it.
In the legislature of 1899 Mr. I. D. Evans of Kenesaw in•Conversation

with Dr. P. L. Hall, Pres. Central Nat'l Bank, Lincoln.
1, H. It. 8878, Cong. Record vol. 25.
1, F. A. Harrison and W.L. Locke of Lincoln.
"S. F. 100, intr. by E. G. Watson of Friend. Dr. Hall says the real author was Judge Beall of
Hastings, who spent a great deal of time studying the problem before the legislature convened, and
appeared in defense of the bill before the committee. I have not been able to verify this statement.


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^WISP

Bank Deposit Guaranty in Nebraska

12

troduced a bill requiring state banks to keep on deposit with the
State Treasurer 5% of their average daily deposits as a suretyfund for the payment of creditors of failed banks. They were
allowed to count this deposit as part of their legal reserve, and
the Treasurer was to loan the fund out to state banks at 21%
interest. The income thus collected was to form a separate fund
for the payment of losses so that no further deposit would be required unless the drains were too heavy." Mr. Evans says that
the bankers of the state at once began active efforts to defeat his
bill, writing numerous letters to their representatives in the
legislature asking them to vote against it," and this is not surprising, considering that under it each bank was required to
guarantee all other banks up to 5% of its deposits, and the experience of the past few years had taught them that they might
expect to participate in the payment of an aggregate loss of from
1% to 10% of their total deposits. A number of bankers and
bank attorneys were sitting in the legislature at the time. Mr.
A. C. Shallenberger of Alma and Dr. P. L. Hall were prominent
in the opposition which resulted in the defeat of the bill in committee, though both of them were very influential in securing
the passage of the present guaranty law.
Dr. Hall now says that the reason he opposed the Watson
and Evans bills was because they provided for immediate payment of depositors—payment as soon as claims have been proven
—that he believed then, as he does now, in ultimate payment—
that is, payment out of the guaranty fund only after all the
'assets of the failed bank have been disposed of and as much as
possible collected from the stockholders's. Nevertheless his
comment on the bills above mentioned, in his report as secretary
of the State Banking Board in 1899, seems to indicate that he
was wholly unfavorable to the principle of deposit guaranty:
"Efforts were made at the last two sessions of the legislature
to amend the banking act by providing for a reserve fund to be
collected from the banks for the protection of depositors of a
failed bank. While protection to the depositors is a matter of the
greatest importance, and protection along the lines attempted as
above indicated meets the approval of many experienced bankers
whose opinions I highly prize, yet I have never been able to bring
myself to see that such a plan would be equitable."
,3 H.5.70,1899.
14 Letter of March 14, 1913 to the writer.
"Conversation, November, 1913.
"Report, Sec'y State Bkg. Bd., 1899, p. 20.


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Bank Deposit Guaranty in Nebraska

13

It is interesting to note that there were at this time "many
experienced bankers" who approved of deposit guaranty, even
though they were evidently in the minority.
In 1900 the late C. 0. Whedon of Lincoln prepared a bill
relating to national banks which he sent, it is stated,17 to then
Congressman E. J. Burkett of the First District for introduction
into Congress. This bill, which was published and recommended
editorially in the Nebraska State Journal on December 15, proposed to set aside half the tax now paid by national banks on their
circulation for the formation of a guaranty fund to protect depositors. He had worked out statistical data which showed, he
believed, that this fund would be sufficient to meet the demands,
and that the other half of this tax would reimburse the Federal
Government for its expenses on the national banks' circulation.
Mr. Whedon later assisted the Attorney-General of Nebraska
in upholding the state law of 1909 in the Supreme Court of the
United States.
At a bankers' meeting in Fremont in April, 1903, Dr. P. L.
Hall, then cashier of the Columbia National of Lincoln, read a
paper called "A Tax on Banks to Protect Deposits," in which he
proposed a method of guaranteeing very similar to that which
has since become law. He presented a table showing the deposits
in failed state banks compared with the total deposits in all state
banks for the ten years from 1892 to 1901. Assuming that 60%
of these deposits had been recovered in dividends, he estimated
that the losses for the period named had been nearly 1% a year
on the average daily deposits. Using the national banking
average of 75% dividends, however, the loss had been about
.38 of 1%, and, considering the extraordinary conditions prevailing in that decade, he expressed his opinion that an annual
assessment of 1-10 of 1% on the average deposits would be enough
to pay all losses which would occur in the future, under the present
banking laws and inspection. He worked out a system in considerable detail, advising especially that the fund be not collected and entrusted to the politicians who temporarily hold
office at the State House, but be left with the banks, to remain
intact until drawn upon by the State Banking Board to pay
receiver's certificates issued to the depositors of any failed bank.
Following is an extract from his paper:
"Conversation


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with Jas. A. Brown of Lincoln. former secretary of Mr. Whedon.

14

Bank Deposit Guaranty in Nebraska

"If the principle of a guaranty fund is right, and the results
produced would be what is claimed, it would be money well
invested. That a sufficient guaranty fund would inspire confidence, and in time of panic allay the fears of depositors, there
can be but little doubt. That it would bring to the banks increased deposits I think may be fairly a-ssumed. That such a
fund can be maintained without oppressive taxation to the banks
is a problem whose demonstration depends on many varying conditions, such as the rise and fall of values and prices, the inflation
and contraction of credits, and all the well-known influences that
materially affect and influence the solvency of banks and their
ability to meet the demands made upon them."
This language seems to us so temperate and conservative
that we can hardly realize how radical it appeared to the convention. No discussion was made of it at this meeting, but when
Dr. Hall read the same article before another group at Falls City
in July of the same year, the record states:
"Mr. Morehead requested that the members who were not
in favor of such sentiment rise. There was unanimous sentiment
against it."19
Two years later (January, 1905), Frank Jouvenat, then of
Petersburg, introduced a guaranty bill into the House which he,
being chairman of the Banking and Currency Committee, managed to get before the Committee of the Whole, where it was
defeated. This bill originally set aside of 1% of the average
non-interest-bearing deposits every six months, to be drawn
upon by the State Treasurer pro rata when necessary to pay
losses. In committee the aRgessment was amended to 1-10 of
1%.20 This was the most carefully drawn bill thus far introduced,
because Dr. Hall's actuarial figures had demonstrated that an
assessment of 1-10 of 1% would probably be ample to meet
prospective losses. As Mr. Jouvenat did not return to the next
legislature, J. 0. Milligan of Wakefield introduced a bill into the
House on February 8, 1907, which was identical with the one
introduced by Jouvenat in the preceding session, as amended by
the committee." This bill also got past the Banking committee
but met defeat in Committee of the Whole.
The bankers of the state were now beginning to admit, in
their conventions, that the public had a right to expect something
more than "due diligence" in the safeguarding of its savings,
"Proceedings Neb. Bankers' Ass'n, 1903, p. 353.
.9 Ibid., p. 281.
"H.R. 133, 1905.
"H. R. 28, 1907.


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•

•

Group of Nebraska Bankers and Legislators Connected with
Bank Guaranty Legislation

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Bank Deposit Guaranty in Nebraska

•

15

and to the topic of guaranty was devoted a good deal of discussion. At a meeting of the Nebraska Bankers' Association in
1906, Henry W. Yates, president of the Nebraska National Bank
of Omaha, contributed a paper on "Protection for Bank Depositors."
"The difficulty of providing or enforcing any system which
will prevent bank failures has led to the advancement of
schemes for guaranteeing bank deposits * * * This idea has
merit, and deserves consideration. In the banking of the future,
when our widely extended system of independent banks shall
assume greater coherency and stability, something of this kind
may be welcomed and adopted But we are far from that suitable condition at present, and to my mind the objections to the
scheme are now insurmountable."22
All banks would be on the same footing, he predicted, and
"the glibbest talker and largest promiser would have an equal
chance with the oldest and most experienced banker." "All
would go well for a time," he added darkly, "but in the end
if continued so far, the business would be destroyed, for good
bankers would give up the contest and seek other means of
livelihood." He therefore recommended turning away from this
blind alley, and the trying of other means to secure greater safety,
such as more rigid examinations, more severe penalties for irregularities, and the introduction of bookkeeping methods which
would make individual defalcations impossible.
Postal savings banks then began to be talked of as providing
the desired safety for individual deposits, and the bankers became alarmed at the prospect of so much money being taken out
of the state. In a meeting of Group One of the Nebraska Bankers' Association in June, 1907, a resolution was introduced as
follows:
"WHEREAS, A general movement is being made to secure
the passage of a law establishing a system of postal savings
banks, be it
"RESOLVED, That it would be better for the banks of Nebraska to provide a guaranty fund to protect depositors than to
concede the establishment of government postal banks."23
In other words, said the author, we are.between the devil
and the deep sea, but have a slight preference for the deep sea of
bank guaranty. C. B. Anderson, Vice-President of the Crete
State Bank, who had been prominent as chairman of the Resolu"Proceedings, Nebraska Bankers' Assoc., Nov. 22, 1906, p. 101.
2 Nebraska State Journal, June 21, 1907.


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16

Bank Deposit Guaranty in Nebraska

tions Committee of the Republican State Convention of 1906,
opposed the resolution, believing guaranty neither necessary,
fair nor feasible. John R. Cain, Jr., of Stella, is also mentioned
as being unfavorable to it. C. L. Hurlburt of Utica, and E. R.
Gurney of Fremont spoke in behalf of the plan, but it was finally
laid on the table, and no action was taken by these bankers to
forward the movement.
In October came the panic of 1907. The banks of the reserve
cities all over the country suspended cash payments, and Nebraska banks became fearful of paying out too much of their
coin and currency without being able to get more from their
correspondents. So they formed clearing-house associations and
issued certificates in convenient denominations, secured by deposits of commercial paper. These, along with their cashier's
checks, they put into circulation as much as possible instead of
cash. Bankers of the other states adopted the same methods,
except in Oklahoma. There, as has been stated, the situation was
unusually precarious because of the large number of weak institutions, especially in the old Indian Territory, whose solvency
was questionable. On the out-break of the panic, the Governor
declared a legal holiday of a week, while the Executive Committee
of the Oklahoma Bankers' Association met to devise a way out.
This committee recommended guaranty of state banks by the
state, and of national banks by the nation. Within a few weeks
after this Oklahoma became a state, and the first legislature met
at once. The Banking Board introduced a bill for the guaranty
of deposits of state banks by a 1% annual assessment on the
average deposits, with unlimited special assessments in case of
emergency. This bill became law December 17, 1907. National
banks were invited to participate in the system, but were forbidden to do so by the Comptroller of the Currency.24 The law
was immediately contested by one of the banks affected, and
was by the state courts upheld.25
In Nebraska the panic caused no failures, because the very
efficient State Banking Board had succeeded in bringing the
banking business-of the state into an excellent condition; but as
soon as people were able to get their money out of the banks
many of them did so. The deposits of state, private and savings
:4 Thornton Cooke, Quarterly Journal of Economics,
XXIV, 85.
25 Noble State Bank v. St. Bkg. Bd., 97 Pac. 590.


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banks dropped from $71,539,000 on August 31, 1907 to $64,434,000 on November 30, a falling off of seven millions, or about onetenth, in those three months.26 It is true that the August deposits are usually two to three millions heavy, on account of
marketing of crops, but that the confidence of many people in
banks generally was shaken by the panic is certain, one evidence
being that the next year in August the deposits were six millions
below August, 1907.
It became clear to the bankers that a recurrence of the conditions which had just come about must, if possible, be prevented.
State guaranty of deposits naturally came into notice at once as
a possible solution. Dr. Hall read a paper in January, 1908,
before the Candle Light Club of Lincoln, in which he recommended a system of insurance similar to that which he proposed
in 1903, above referred to." The Oklahoma experiment was
watched with keen interest. Reports of its progress were often
printed in the papers, with varying opinions as to whether or not
it was proving successful. The Democratic national convention,
meeting July 7, 1908, was dominated by Mr. Bryan, and he was
able to get a plank into the platform favoring national bank
guaranty. This action called the attention of the entire country
to the subject, enlivened by a spirited controversy between Mr.
Bryan and Mr. Taft as to the merits of the Democratic doctrine.
When the Democratic state convention met September 22 in
Nebraska, Mr. Bryan insisted on the following plank:
"(We favor) A law under which the state banks shall be
required to establish a guaranty fund, under state supervision
and control, under an equitable system, which shall also be
available to all national banking institutions of this state wishing
to take advantage of it.""
The Democratic candidate for governor, Mr. Shallenberger,
who, as has been stated, is credited with having been active in
defeating the Evans bill in committee in 1899, also urged the
adoption of the above plank by the convention.
In the Republican state convention, which met the same day
as the Democratic, a determined effort was made by Governor
Sheldon, candidate for reelection, and M. L. Fries of Arcadia,
member of the resolutions committee, to have a guaranty plank
adopted. All other members of the resolutions committee were
26 Report See'y State Bkng. Bd. 1907, p. xv.
27 The Commoner, Sept. 18, 1908.
28 Nebraska State Journal, Sept. 23. 1908.


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either bankers or bank attorneys," so there was no second to
Fries' motion. He therefore offered it from the floor of the convention. Governor Sheldon seconded and spoke in its favor, as
did also C. 0. Whedon, but the convention voted it down, 48 to
15." Twenty-six members of the convention, according to F. A.
Harrison, editor of the Nebraska State Capital, were financially
interested in banking institutions." The Democrats used their
guaranty promise to good advantage during the campaign, and
although Mr. Bryan's personal popularity in this state was one
of the most important of his party's assets, yet the prospect of
safer bank deposits was undoubtedly of great force in the election
of Mr.Shallenberger and a majority of the Democratic candidates
to the legislature.
II—ENACTMENT AND ESTABLISHMENT OF THE LAW
When the legislature met January 5, 1909, Governor Shallenberger read his message, of which nearly two-thirds was
devoted to bank deposit guaranty. He recommended that an
assessment of 1 of 1% of each bank's average daily deposits for
the preceding six months be levied the first of July, 1909, and
I of 1% at intervals of six months up to January 1, 1911; then
an annual assessment of 1-10 of 1%. If the fund should be
exhausted, he would allow an emergency assessment up to 2%
in any one year. He advised that the fund be left on deposit
with the banks themselves, subject to draft by the State Banking Board."
A Committee on Banking, with Charles Graff of Bancroft
as chairman, was appointed in the House to draft the bill. This
committee hired I. L. Albert of Columbus as special counsel,
paying him $300 for his services.33 On March 1 H. R. 423 was
reported, embodying most of the Governor's suggestions, and
bearing the stamp of Mr. Bryan's approval. Dr. Hall and others
urged Mr. Bryan to stand for an ultimate payment form of bil1,34
because of the greater safety to .the fund; but the enthusiasts
who wanted the most popular measure possible gained the ascendency over him, and he consented to payment of depositors as
soon as the district court having charge of a receivership deter"Nebraska State Capital, Sept. 25, 1908.
"Nebraska State Journal, Sept. 23, 1908.
n Nebraska State Capital, Sept. 25, 1908.
"Governor's message Senate Journal 1909 p.
127


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41)

19

mines the amount of cash necessary above that held in the bank,
making a period of about sixty days. The fund is then to be
reimbursed by the sale of the bank's assets. Amendments were
made in committee, limiting the emergency assessments to 1c,
in any one year and providing that the fund be kept at 1% of
the aggregate deposits. To discourage reckless bidding for deposits, more than 4% interest on time deposits was forbidden.
The bill in this form was passed by the House March 9, 72 to 23.
But one Democrat opposed it, and only 7 Republicans voted for
it. Six members who voted No explained, however, that they
favored real bank guaranty, but did not think this bill would
provide it.
When sent to the Senate, H. R. 423 came in conflict with
a bill36 introduced by a Republican from the western part of the
state, E. L. Myers. This produced a partisan division, but H. R.
423 was finally passed, 19 to 12, only one Republican voting for
it and but one Democrat against it. The Governor added his
signature April 25, completing the fulfilment of the Democrats'
first platform pledge.
V. E. Wilson of Stromsburg also introduced a bill which was
passed, allowing national banks to reorganize as state banks and
participate in the guaranty system.36
Then followed a long period of litigation to establish the
constitutionality of the law and put it into operation. One requirement of the act was that all institutions doing a banking
business within the state must be incorporated; if not nationally,
then under the state law. This compelled the private banks,
numbering about twenty, to either incorporate or go out of
business. The First State Bank of Holstein, probably a tributary
of the First National of Hastings,37 brought suit in the United
States District Court against Governor Shallenberger and the
other state officials to prevent them from putting the guaranty
law into operation. The national bankers of the state, it is
claimed, combined to finance this as a test case. The late C. 0.
Whedon assisted as legal counsel for the state, his long study of
the matter, extensive legal knowledge and earnest interest in the
cause making his services extremely valuable. In July, 1909, he
"Nob. State Capital, Feb. 12, 1909.
"Conversation with P. L. Hall.
"S. F. 290.
"It. R. 533.


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prepared an 80-page brief, which was submitted to the court, and
of which extracts were published in the papers.38 The complainants contended that the guaranty law was unconstitutional
because it discriminated against private banks, in forcing them
to either incorporate or dissolve, and also in compelling solvent
banks to pay the debts of insolvent institutions. This contention
was upheld by the court in its decision on October 16. The
opinion, written by Judge T. C. Munger, was in part as follows:
"It is entirely clear that this act of the legislature does deprive the citizen of his right to engage in a lawful business except
upon the terms that the state will take of his property, without
his consent, for the private use of others, and without due process
of law. This is not accomplished by requiring that A shall pay
directly to B, or to B's creditors, but the same result is effected
through a process akin to taxation * * * *
The act not only attempts to exclude individuals from engaging in the banking business, unless they do so through the
agency of a corporation, but also attempts to impose upon them,
as a condition to their engaging in that business even in that
form, a duty to make good the obligations of all other bankers in
the state to their depositors * * * * * We are of the opinion
that this cannot be done consistently with the 14th Amendment
to the National Constitution or with Section 3 of Article 1 of the
State Constitution, and that this act is therefore void."38
By this decision the guaranty law was made inoperative. A
storm of protest went up from advocates of the law. Mr. Whedon,
in a letter published in the Nebraska State Capital of October 22,
criticised the Federal Court's decision severely. It ignored
entirely, he said, the principle laid down repeatedly by the
Supreme Court of the United States that the Fourteenth Amendment was not intended to interfere with the police power of a
State, which includes any laws a State may pass to provide for
the general well-being of its inhabitants.
The state officials appealed the case December 10, 1909, to
the United States Supreme Court, Mr. Whedon still assisting as
counsel. At this time the other state bank guaranty laws were
also in the Supreme Court on appeal, so the high tribunal lumped
them all together for purposes of argument. On January 3, 1911,
Justice Oliver Wendell Holmes decided that the Oklahoma law
was valid,- and that as the same principles were involved in the
'T A. L. Clarke, of the latter bank. WWI Its president.
"Nebraska State Capital, July 23, 1909.
"Quoted in Nebraska State Journal, Oct. 17, 1909. Case reported in 172 Fed. 999.


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Nebraska case, the Nebraska law was also valid and the decision
of the District Court should be reversed.
The following is an extract from his opinion:
"The levy and collection, under a state statute, from every
bank existing under the state laws, of an assessment based upon
average daily deposits, for the purpose of creating a depositors'
guaranty fund to secure the full repayment of deposits in case any
such bank becomes insolvent, is a valid exercise of the police
power, and cannot be regarded as depriving a solvent bank of its
liberty or property without due process of law * * * * The police
power of a state extends to the regulation of the banking business,
and even to its prohibition, except on such conditions as the state
may prescribe.' 4°
Justice Holmes proceeds to examine the arguments advanced
by the bankers, which were endorsed by the District Court, and
then says:
"Nevertheless, notwithstanding the logical form of the
objection, there are more powerful considerations on the other
side. In the first place it is established by a series of cases that
an ulterior public advantage may justify a comparatively insignificant taking of private property for what in its immediate
purpose is a private use * * * * It may be said in a general way
that the police power extends to all the great public needs * * * *
Among matters of that sort, probably few would doubt that both
usage and preponderant opinion give their sanction to enforcing
the primary conditions of successful commerce. One of these
conditions at the present time is the possibility of payment by
checks drawn against bank deposits, to such an extent do checks
replace currency in daily business. If, then, the legislature of the
state thinks that the public welfare requires the measure under
consideration, analogy and principle are in favor of the power to
enact it."
He curtly answers the reductio ad absurdum of the law's
opponents:
"it is asked whether the state could require all corporations
or all grocers to help to guarantee each other's"solvency, and where
we are going to draw the line, but the last is a futile question, and
we will answer the others when they arise."
The Nebraska case was disposed of by a single sentence:
"This case is governed by the decision in Noble State Bank
v. Haski1l."4
'
4° Noble State Bank v. Haskell, 219 U. S.
41 A. C. Shallenberger et. al. v. First


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St. Bk. of Holstein, 219 U. S. 114.

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A motion for rehearing was denied. This notable decision
establishes, in remarkably lucid language, a state's right to protect depositors in its banks, even to the extent of compelling
mutual insurance of the institutions it has chartered.
The legislature of 1911 proceeded to bring the 1909 law down
to date, and to patch up a few of its weak spots. Senator J. B.
McGrew of Bloomington introduced a bill on February 7, 1911,
repealing fourteen of the sixty-six sections of the preceding act,
and substituting amendments therefor." The dates for paying
the first 1% assessment in four semi-annual installments were
shoved up two years, but it was provided that no bank which
should have nationalized after the assessments were originally
due, from July 1, 1909 on, be released from the obligation for
these payments. As originally reported from the Banking Committee, the bill reduced the interest rate to be paid on deposits
from 4% to 3%, limited the guaranty fund to $1,000,000, and
contained a clause allowing banks voluntarily liquidating to get
back from 50% to 90% of their aRgessments not drawn upon. It
was amended in committee of the whole to permit 5% interest
on time deposits, to establish an outside limit of 11% of the
aggregate deposits of the banks to the guaranty fund, and the
refund clause was stricken out. It was also more definitely
stated that no further security than the Depositors' Guaranty
Fund should be requiied for public deposits. In this form the
bill was passed unanimously and signed by the governor.
The law now contains no direction as to what shall become
of any bank's share of the guaranty fund when it closes its business up voluntarily. The secretary of the State Banking Board
recommended in his report for 1912 that a law be enacted to
clear up this ambiguity, and a bill was introduced" allowing
such a bank to retain half its fund, the other half to go to the
State Banking Board to create a fund to be first drawn upon
in case of loss. This bill, with others relating to the guaranty
law, was not passed. A decision will doubtless be made by the
courts as soon as a bank liquidates and brings suit against the
Board for its share of the fund.
42 S. F. 213.
4
'S. F. 219.


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III—EFFECTS OF THE LAW
Since only three years have passed since the system has
been in operation, no judgment of very much value can be formed
as to how well it is likely to work. The rapid gains of the state
banks within this time, however, and the almost stationary
position of the nationals, are doubtless largely due to the real
and anticipated popularity of guaranteed banks.
The following table furnishes rather significant data for
estimating the results up to the first of 1914:"
STATE BANKS
Date
Nov.
Nov.
Nov.
Dec.
Nov.
Oct.
Feb.
May

27,
16,
10,
6,
26,
21,
12,
16,

1908
1909
1910
1911
1912
1913
1914
1914

Individual
Deposits

Number
of Banks

Capital

Loans

628
662
666
669
694
714
728
787

$10,900,000
12,000,000
12,500,000
12,800,000
13,800,000
14,400,000
14,800,000
15,200,000

$56,700,000
66,000,000
67,900,000
67,500,000
78,200,000
84,900,000
85,500,000
87,900,000

$65,400,000
71,700,000
70,400,000
72,200,00(1
80,700,000
89,300,000
90,100,000
83,300,000

$75,900,000
89,800,000
92,100,000
95,000,000
103,600,000
102,900,000
94,391,456

$73,000,000
83,800,000
86,400,000
89,000,000
98,400,000
94,600,000
93,100,000

NATIONAL BANKS

410

Nov. 27,
Nov. 16,
Nov. 10,
Dec. 6,
Nov. 26,
3ct. 21,
March 4,

1908
1909
1910
1911
1912
1913
1914

214
220
238
247
243
241
230

$13,500,000
14,400,000
15,400,000
16,200,000
16,200,000
16,270,000
16,280,000

From these statements it is evident that the law of 1909 did
not have any very decided effect on the business of state and
national banks as long as its constitutionality was doubtful, but
that in the last three years, while the law has been in operation,
the state banks have made the greater gain in business. In 1909
immediate results from the law seem to have been expected,
since fifty-five state banks were chartered, and only five state
banks nationalized. The deposits in both classes, which were
exceptionally low in 1908, on account of the panic the year
before, increased greatly in 1909, with very little advantage to
either. In 1910 and 1911,although 52 new institutions were chartered to take advantage of the law,some 24 of the old state banks
nationalized to get out from under it. Deposits in state banks
stood, at the close of 1911, only half a million dollars ahead of
where they were in November, 1909, while their national com41 Reports of the Secretary of the State Banking Board.


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petitors had added more than 5 millions of individual deposits.
In 1912, 1913 and the first half of 1914, however, the drift
has been steady and rapid in favor of the state banks. The
number of the latter has increased 68 in that period, including
12 conversions from nationals since November, 1913, while the
total number of nationals has fallen off 17. Since January,
1911, when the guaranty law went into effect, the individual
deposits of state banks have increased about 19 millions or 27%,
as compared with a seven-million gain for the nationals, which
is about 8%.
Within the past six months (January to July, 1914) the
state banking system has received considerable advertising from
the contrast in methods of liquidating the first three failures that
had taken place in Nebraska for six years. Two were national
banks, at Sutton and Superior, which were closed about the
first of the year, chiefly on account of mismanagement. The
First State Savings Bank of Superior, under practically
the same ownership as the First National, managed to
keep going for three months more, but on March 9, 1914,
it was closed by the State Banking Board, and George M.
Seemann took charge as receiver. With the cash of the failed
bank, and money advanced by the newly re-organized State
Bank of Superior, he was able to pay the depositors as fast as
they proved their claims, while the creditors of the defunct First
National had to bide their time, with the chances considerably
against getting all their money even eventually. The guaranty
fund was drawn on for $54,500, as soon as the district court
found that that was the amount required, and the new bank at
Superior found itself reimbursed for the money it had advanced,
and in possession of most of the depositors of the old state bank,
who had been won by the accommodation. A number of the
depositors in the failed bank, indeed, did not present their claims
for several months after the closing, so great was their feeling of
security. This feature of a guaranteed system makes the liquidation easier, and minimizes the disturbance to local business.
The remaining national banks in Nuckolls county changed
over very soon to state banks, and several others in that section
of the state thought best to make the same concession to the
preferences of their patrons. The City National of Holdrege,
a fairly large county bank, sent out a circular saying: "This


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step has been taken in response to an increasing demand on the
part of patrons of Nebraska banks for protection under the
provisions of the guaranty law. This security cannot be furnished
by a national bank, the guaranty feature having been purposely
omitted in the new currency law." The psychological effects
on small depositors have been just about what was predicted,
and unless some sort of insurance is adopted by the national
banking system, or change in conditions is effected by the new
Federal Currency Act, it is likely that every national or state
bank failure will cause a rush of business away from the nationals
to the state banks. Men who organize banks in Nebraska now
undoubtedly recognize the guaranty feature as a very important
consideration, and more and more seem to be coming to feel that
its advantages as a "business getter" are worth more than the
premiums involved. Large state banks have been organized in
Lincoln and Omaha, and have very soon secured heavy deposits.
The new business coming to the state banks is a good deal
more of a savings than commercial character, for almost eleven
of the nineteen millions was gained in time certificates of deposit,
and the total number of depositors increased nearly 75,000. Very
likely much of the money now invested in state bank certificates
of deposit at about 4% has been brought out of hoarding, as
was predicted by the early advocates of the guaranty system
and claimed for one of its chief advantages. The national bankers,
however, consider this large proportion of time deposits a menace,
for they say that such depositors are the most timorous of all,
while the bankers holding their money do nut anticipate its
withdrawal.
In opposition to the state bankers' argument that the guaranty will produce such a feeling of security among the depositors
that runs on guaranteed banks will not occur, the national
bankers contend that in Nebraska, where no bank ever failed on
account of a run, there is no real danger in this direction. When
a series of failures among all banks come, they say, as it surely
will, the fund will soon be exhausted, and the state banks will be
worse discredited in the public eye than the others. The fund
is, however, already large enough to take care of the worst failures
to be expected in normal times, and when it reaches the 11%
limit, as it probably soon will, a very severe crisis will be required
to shake it. The total amount on hand after the assessment of


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•

July 1, 1914, was $870,000, a little less than 1% of the deposits,
after paying out the $54,000 for the Superior failure. All the
latter amount may be replaced after the assets of the failed bank
are disposed of.
The conservative view of the effects of the law are pretty
well expressed by the following extract from a letter written in
1912 by V. B. Caldwell, vice-president of the United States
National of Omaha, to a banker friend in Seattle:
"The guaranty law in this state seems not to have changed
prior conditions. The national banks in the state cannot trace
any appreciable loss of business to the guaranty law, and up to
the present time the law has not been in any way detrimental to
the general banking business * * * One reason for its apparent
success here is that banking conditions in this state are unusually
sound, and banking ability throughout the state far above the
average * * *
"Operating under these almost ideal conditions, it will be
a long time before a really valuable opinion can be expressed as
to the results of the law. It has not served as a cloak for speculative or impractical bankers, a condition due to the banking
department. The law imposes an unjust and burdensome expense
upon good bankers. Theoretically and in principle it is absolutely
unjust. In this state it is not working out to the disadvantage of
general banking conditions because of the care exercised by the
state banking board and because of the intelligence and generally
high character of the state bankers.
"This * * * * opinion * * I believe * * fairly represents
all the conditions here,—a bad law, but in its practical application working better than any of its opponents had anticipated."45

•

Mr. Caldwell may have changed his mind on the subject
since writing the above, at least as to loss of business to the
nationals, but he would probably not care to modify the phrase
"a bad law, but in its practical application working better than
any of its opponents had anticipated."
One of the chief advantages, no doubt, of any bank deposit
guaranty system is that it compels the experienced and legitimate bankers of the state to protect themselves against the
operations of "wild-cat" bankers, and at the same time protect
the public. Their united efforts are thus transferred from fighting regulation and guaranty, as Nebraska bankers did up to
1909, to demanding stringent regulation for the prevention of
4, Nebraska State Journal, Aug. 7, 1912.


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dangerous and speculative methods of business. The Nebraska
law appears to have had such an effect, for the same bill which
created the fund also created certain provisions designed to make
banking less hazardous to the depositor." When the bankers
come to accept the guaranty as a permanent condition of their
business, this sort of co-operation seems as inevitable as it is
desirable.
IV. CRITICISM OF THE LAW
Whether state guaranty of bank deposits will be successful
has not yet been made clearly evident. Its ultimate results can
be only vaguely predicted from the few years of trial now past.
The New York Safety-Fund experiment, above referred to,
showed that a fund designed to pay only the circulation did in
fact pay all liabilities of failed banks for a number of years before
it was discontinued. Knox says that the principle of this act
was sound, and the premiums sufficient to guarantee currency
under conditions then existing:
"The history of the fund from 1829 to 1866,a period of nearly
forty years, indicates that if from the first the contributions of
the incorporated banks had been applied to redeeming the notes
of insolvent institutions, they would have been ample for the
purpose."47
The Oklahoma law is still on trial, with its fund $375,000 in
debt. The mushroom characteristics of a large number of banks
entering that system seem to have been largely responsible for
the difficulty there, complicated as it was by political activity in
the banking department. Changes have been effected, however,
which give promise of restoring Oklahoma's guaranty to a sound
working basis. The Kansas and Texas systems have been in
operation only about the same time as that of Nebraska, and
have been tested by only a few failures.
The practicability of a guaranty law, according to the
evidence now at hand, seems to depend upon several factors:
First, its possible interpretations; second, the effect of guaranty
on the conduct of the business; and third, the adequacy of the
fund, including (a) the size of the premium,(b) size of the fund,
and (c) availability of the fund when losses occur. Let us examine
the Nebraska law as to these qualifications.
e. g., the 5% limit on time deposits, limit of loans to 10% of deposits, criminal penalties for
failure to comply with any part of law, Secretary's discretion as to need of new banks.
History of Banking,p.413.


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1. The law states:
"If the cash in the hands of the receiver, available for such
purpose, be insufficient to pay the claims of depositors, the court
in which the receivership is pending, or a judge thereof, shall
determine the amount required to supply the deficiency, and cause
the same to be certified to the State Banking Board, which shall
thereupon draw against the Depositors' Guaranty Fund in the
amount required to supply such deficiency, and shall forthwith
transmit the same to the receiver, to be applied on the said claims
of depositors."
The courts will doubtless be called upon to decide as to the
exact meaning of "depositors" in this law, since the holders of
bills payable and bills and notes rediscounted may conceivably
try to secure participation in the guaranty fund. The latter
accounts, though comparatively small, might in some cases add
greatly to the liability of the fund."
2. The effect of the law thus far on Nebraska bankers and
depositors has been discussed. Thornton Cooke of the Fidelity
Trust Company of Kansa.s City has observed the same results in
Kansas and Texas, viz., that no abnormal or unhealthy relaxation of vigilance for purposes of expansion has taken place."
In the Safety-Fund days of New York, however, there was a
decided inflation. Knox says:
"When it was found that all the debts of every description
were to be paid from it (the Safety Fund), a fictitious credit
seems to have been given to the chartered institutions, which
was used by some of them in recklessly contracting debts for
'
the emolument of their managers."5
Business standards have changed a good deal since that
time, yet at the beginning of the Oklahoma experiment it seems
that a "fictitious credit" was given to many of the newly chartered state banks, a credit which they exploited to the disaster of
the older, more conservative members of the system. If people
in this state come to show a decided preference for the guaranteed
institutions, as is prophesied by the several applications for
national conversions to state banks now before the Board, then
it may happen that incompetents will be tempted into the banking business, and will involve the older and more careful bankers
in their mistakes. Such a result can be averted to a considerable
a Lawsof Nebraska,1911;Ch.8,747,See.52.
amount to about $650,000 in the last statement.
.
8 Quarterly Journal of Economies, November, 1918.
.1 History of Banking, p. 409.

'
4 They


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E. ROYSE
Secretary State Banking Board 1901-1914
Charged with Administration of Bank Guaranty Law


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extent, no doubt, by the co-operation of the majority of good
bankers with the State Board.
3. (a) The premium of 1-10 of 1%, which is to be levied
annually so far as necessary to keep the fund at 11% of the total
deposits, was probably based on Dr. Hall's calculations in 1903,
which have been explained." Five years after Dr. Hall prepared
his paper, the Comptroller of the Currency at Washington compared tl)e aggregate net losses of the national banks, during the
whole time of their existence, with the deposits held, and found
that but 1-20 of 1% of the latter had gone in failures." Probably
on the strength of this showing the Kansas legislature set their
annual assessment at 1-20 of 1%. The Comptroller's average,
being heayily weighted by the volume of business transacted in
older and more settled communities, probably represents somewhere near what the annual drain on deposits will be in Nebraska
and other western states when they have attained the stability
which eastern states now possess, but an assessment so small
would probably not be judicious at the present time, because it
builds up the fund too slowly and may not be enough to cover
eventual losses. Once a sufficient reserve is created, and experience has shown about what to expect in the future, then the
assessment should be accordingly modified.
(b) In the absence of a known rate, which could be continued year after year without much revision, a certain limit to
the fund is probably the best arrangement possible. Though
here, again, a definite basis of calculations is lacking, experienced
bankers think the present limit too small, and advocate its adadvancement to at least 21%. If, however, a constant premium
could be determined, on the basis of long past experience such as
the national bank records afford, it would be more advantageous
to have a very high limit to the fund, allowing the surplus to
accumulate in a sufficient amount to meet a series of tight years.
The fund should also be open at the other end; that is, specific
provision should be made for the issuance of negotiable, interestbearing warrants to be used in lieu of cash, to take the place of
special assessments. These could then be taken up as money
came in, and every depositor would be as sure of getting his
money as the holder of any state warrant.

•

"See pp. 6, 7 above.
Cooke, Q. J. E.,
"Report, 1908, P.86. For interpretation of this at 1-20 of 1e4, see article by T.
vol. 24.


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30

Bank Deposit Guaranty in Nebraska

Periods of depression come in more or less regularly recurring cycles, with prosperous years intervening. If the banks
of Nebraska had been compelled to pay their losses from 1891
to 1901 by special assessments, several struggling banks would
have been forced under the line into insolvency, and numerous
stronger ones would have been badly crippled." If, on the other
hand, a straight assPssment of 140 of 1% had been started in
1882, the Board being given the power to issue 6% warrants when
the reserve had given out, those warrants would have been all
retired in the prosperous decade just past, during which there
were but a few small failures. This illustration is not intended to
suggest the possibility of the recurrence of such years as the
'90's, but only to show the advantage of distributing the heavy
losses of a few years over the good times preceding and following.
It is clear that this 11% of the aggregate deposits will not
last very long in a real crisis. Two or three failures among the
larger institutions, which might come at any time, would sweep
it entirely away. Then, as failures come, one on the heels of
another, as they do in a crisis, the fund must be bolstered up by
special assessments which can be met with only the greatest
difficulty by the sound banks who are already having a strenuous
struggle to meet their other obligations. If the 1% beyond which
assessments cannot be levied is not sufficient, some hastily devised
system of deferred payment will be adopted. But meanwhile
the timid time depositors, from .whom the state banks have
gained most of their deposits—alarmed at the first suggestion
that the fund is running low—will have been drawing out their
money; and between such withdrawals and the burdensome
special assessments, the state bank system will be shaken through
and through. Both elements of danger,the strain on the resources
of many perfectly solvent banks and the discreditable failure of
the guaranty to meet depositors' expectations, could be avoided
if payments were continued at the same rate in good times and
bad, building. up a large surplus before the crisis and gradually
paying off the bonded indebtedness of the fund afterwards.
(c) As to the policy of leaving on deposit with the banks
the full amount of their assessments, which Mr. Cooke regards
as unwise," the only alternative would be to collect the money
and then redeposit it. To minimize the risk, the board would
14 See Appendix B below.


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.10111d1

Bank Deposit Guaranty in Nebraska

31

undoubtedly divide it among several banks, so perhaps the
safest way would be to distribute it all over the state. That is
precisely what the present system amounts to. It is difficult to
see on what grounds a bank could refuse to pay the Secretary's
checks for part or all of its share of thefund, without being closed;
since such a procedure would appear to be an act of bankruptcy
the same as non-payment of the check of any depositor. Kansas
and Oklahoma require the deposit of bonds considerably in excess
of the assessments; however these undoubtedly count as assets
of their owners, and in this state, in case of failure the assessment
is a first lien on all assets. It amounts in either case to taking
part of the good assets to pay the guaranty fund, and returning
the same amount with whatever more is needed to pay depositors.
The fund participates in the loss of depositors when a bank fails,
but it would suffer a more severe loss if any bank entrusted with a
disproportionate amount of it failed. The maintenance of any
such fund is attended by some risk. It could hardly be invested
in mortgages or bonds, because it is of prime importance that
the money be constantly available for immediate use. This is
true, at least, so long as we have the present system of immediate
payment—payment as soon as the deficiency of a bank's cash to
pay depositors is learned. If the Kansas plan of ultimate payment were adopted, as was urged from the beginning by Dr. Hall,
it is possible that our Board could invest the assessments in giltedged bonds, which it could sell in time to meet demands on the
fund. The bankers are sceptical as to the safety of a large amount
of money administered by the "politicians in the state house,"
because of the defalcations of several such officials in the past.
One advantage of considerable importance in the present method,
therefore, is that it reduces the antagonism of the contributors
to the fund.
The merits of the system of ultimate payment—payment
only after the receivership is closed and all possible returns from
the failed bank's assets have been secured—from the standpoint of
administration of the fund are many. No more money is taken
from the fund at any time than is actually needed. The clerical
work on the part of not only the Secretary's office, but all the
to trouble. Insurance premiums, for that
""Thin is an arrangement that might easily lead
not held by the insured, subject
is what these assessments are, should be paid over to the insurer,
insurance is proving too
to all sorts,of claims and processes if the insured happens to think his
24.
vol.
expensive.' —Q. J. E.,


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32

•

Bank Deposit Guaranty in Nebraska

state banks, is greatly reduced. Aside from this item, the expense
would not be greatly different in either plan if under ultimate
payment depositors were allowed interest from time of failure, as
they should be. If the fund is becoming nearly depleted, the
extra time afforded by the process of liquidation means more
assessments coming due to help replenish it. And finally, drains
on the fund can be foreseen by all concerned a considerable time
in advance, so that provision can be made to take care of them
with the least yossible disturbance. A change in Nebraska, then,
to the ultimate form of payment, would be another means of
strengthening the guaranty system.
V. CONCLUSION
Conditions in Nebraska seem to be favorable for an impartial
trial of state bank deposit guaranty. Upon the State Banking
Department, and the state bankers themselves, rests the chief
responsibility for its success or failure. These two bodies appear
in the main to so thoroughly possess each other's confidence that
an honest and earnest effort to raise state banking to a high
degree of efficiency is to be expected. It is believed that, having
the interest in each other's methods that mutual insurance
creates, the bankers will be more alert to detect signs of weakness,
and procure investigation by the Secretary in time to avoid the
more ruinous failures.
The limit to the guaranty fund should be placed considerably
higher, and the issuance of negotiable, interest-bearing warrants
in case of deficiency seems to me better policy than special
assessments. Disposition of the fund's deposit when a bank
withdraws from the system should be provided for by law, and,
as stated, ultimate payment would be an additional safeguard.
Probably it is fortunate that at present only the state bank
deposits are guaranteed, giving every depositor the privilege of
deciding for himself whether he attaches greatest importance to
the national bank prestige, the reputation of any particular bank,
or the Depositors' Guaranty Fund. This situation permits the
banker, moreover, who is unwilling to pay guaranty assessments,
to open a national bank and attract business by his methods
rather than his charter. As other states contemplate the passage
of guaranty laws, as some are doing now," they will look to


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•

Bank Deposit Guaranty in Nebraska

33

Oklahoma, Nebraska, Kansas and Texas for information as
to what they may expect of such a measure, and within a few
years the results in these commonwealths will probably be of
considerable significance.
The mutual or state guaranty of deposits is an undertaking
which must be run on a large scale, and conservatively and
cautiously managed. The evidence up to this time indicates
that in a system of efficiently supervised banks it is feasible and
not unfair to the bankers. If that proves to be true, our state is
doing pioneer work in a great movement which will spread to
other states and to the national banks, facilitating the industry of
the country and removing an important source of individual
Z. CLARK DICKINSON.
distress.
Lincoln
,
University of Nebraska
July 11, 1914

Ohio and Mississippi, at least, I am informed by the Nebraska Legislative Reference Bureau
and by the State Banking Department.


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34

Bank Deposit Guaranty in Nebraska
APPENDIX A
DIVIDENDS PAID BY STATE BANKS WHICH FAILED FROM
1892 TO 1899,

Year of
Failure
1896
1894
1893
1897
1893
1896
1895
1896
1896
1896
1894
1899
1893
1896
1894
1898
1896
1892
1893
1897
1895
1891;
1897
1893
1895
1895
1892
1892
1893
1895
1897
1895
1895
1895
1896
1896
1893
1893
1895
1896
1896
1893
1898
1893
1894
1895
1893
1895
1893
1895
1894
1895
1895
1894
1895
1894
1892
1896
1895
1896
1894

NAME OF BANK
Alliance, Box Butte Bkg. Co
Amherst, Bank of
Ansley, Bank of
Atkinson, Exchange Bank
Bassett, F. & M. Bank
Beatrice, Savings Bank
Beaver City, Furnas Co. Bk
Big Springs, St. Bk
Bloomfield, St. Bk
Blue Springs, Bk. of
Brunswick, State Bk
Butte, F. & M. Bk.
.
Cortland, State
Chadron, Bkg. Co
Crawford, Bkg. Co
Crawford, St. Bk. of
Culbertson,HitchcockBkg.Co.
Elk Creek, F. & M. Bk
Franklin, St. Bk
Fullerton, Citizens St
Genoa, State
Grand Island, Bk. of Corn
Havelock, State
Hay Springs, Bk of
Hebron, Blue Valley Bk
Hemingford, Bk. of.
Inland, Bk. of
Johnson, State
Lincoln, Nebr. Savings Bk
Lincoln, Savings Bk
Lincoln, Merchants
Litchfield, People's
Milligan, St
North Loup, Loup Valley St.
Ogallala, Bk. of
Ogallala, St. L. & T. Co
Omaha, Am. Savings
Omaha, McCague Savings.
Omaha, Nebr. Savings & Ex
Omaha, German Savings
Omaha, Midland St
O'Neill, Holt Co. Bk
Palmyra,Bk.ofC.A.Sweet&Co
Plainview, St
Plattamouth, Citizens
Rising City, Comm 'I
Rushville, Bk. of
Scotia, Greeley Co. Bk
Shubert, Farmers St
So. Sioux City, Citizens St.
Steele City,Pickering Bkg.Co.
Steele City, Bk. of
Stratton, Bk. of
Stuart, State Bk
Trenton, Bk. of
Verdigre, Bk. of
Wahoo,Bk.ofW.H.Dick inson
Wallace, State Bank
Wilcox, Bk. of
Wymore, Bk. of
Weeping Water, Bk. of

Capital
$5,000
10,000
5,000
35,000
20,000

Assets
$8,000

Dep. Ab.

40,000
18,000
10,000
5,000

Liabilities
$3,500

298,520.95
42,000
77,000
52,000
13,000
14,000

26,300
7,500
10,000

Percent
Ass't on
Dividend Stockholders
75
25

None
None

55
28

Full Am't

55
61
86 Pfd
65
100
100

None
None
26.6 Com'n
A little

100,000

258,000

168,000

42

50%

5,000
23,000
6,000

28,000
69,000

24,000
69,000
7,000

85
8% Pfd
46

$6,000
None Gen 'I
None

32i

Comprom'd

166,000
100,000
46,000
Practically None
10,000
40,000
40,000

100,000
75,000
150,000
100,000
25,000

130,000
166,000
347,000
286,000
123,000

156,000
124,000
347,000
481,000
72,000
13,000

10,000

100

100
13.91
75
661
26
90
100

20,000

42,000

42,000

331

26,000
10,000

35,000
28,000

30,000
28,000

100
14.7

5,000

8,000

40

26,000
5,000
30,000

18,000
113,000

None

$25,000
4,000
47,000
102,000
9,000
Yes
None

No Record

None
Very small
18
100
None
Records do not show

Average Dividend About 55';
1The records of state bank liquidations were not collected by the
state banking board until
after 1899, as up to that time each receivership was entirely in the hands
of the district court
This table contains the answers to two sets of questionnaires sent out by the Nebraska
Legislative
Reference Bureau, first to neighboring banks, and then in the cases where
information was obtained from these, to the clerks of the district courts. In many cases the no
records
appear
to have
been completely lost, in others they are unintelligible, and in a number
no answer was
received to the questionnaire. The average dividend, however, establishedofbycases
the
returns
on half
the failures, is probably very near the average dividend of all these early insolvent
banks.


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S.
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•

35

Bank Deposit Guaranty in Nebraska
APPENDIX B
LOSSES FROM NEBRASKA BANK FAILURES
National Banks from 1864 to 1913, State Banks from 1892 to 1913
No.

Year
•
1886
1891
1892
1898
1894
1895
1896
1897
1898
1899
1900
1901
1902
1903
1904
1907
Totals

•

tate

Banks
Closed

No. Nat'l

Depotata

Yrovecl t,lainis

Divalends

Banks
Closed

in State Banks
Closed

in National
Banks Closed

from National
Banks Closed

1
4
17
8
17
36
32
2
1_
2
2'

4
3
5
2
1

s
1
1

130

20

$71,997
652,176
197,283
584,555
1,156,888
144,507
35,780
18,829
39,975.
100,894
196,770
16,915
53,591
80,016,
53.344.325

I

$80,452
346,840

$82,946
165,018

1,823,837
269,785
377,008

445,338
74,030
127,793

92,634
103,012

9,619
70,724

$3.093.468

$975,368

The net loss to creditors of the insolvent national banks may
be found by subtracting the total dividends from the total proved
claims, which leaves $2,118,100.
The net loss to creditors of insolvent state banks can only be
estimated. The average dividends paid by those state banks
(
which failed between 1892 and 1899 was apparently about 557
(see Appendix A). The average dividend paid by insolvent state
banks since 1899 has been about 61% (see Report of the Secretary
of the State Banking Board, 1913, p. xxix). The claims involved
in the earlier period were of course much greater than in the later,
so that an average dividend of 56% of all claims might be nearer
the truth. If this is the case, about $1,872,822 was recovered to
the creditors of state banks through liquidation, leaving a net
loss of $1,471,503. This, added to the net loss to national bank
creditors totals $3,589,603 for all banks during the time when
records are available.

1913, pp. 206-9; and Report of
Figures taken from Report of the Comptroller of the Currency,'
the Secretary of the State Banking Board, 1913, p. xiv.


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APPENDIX C
CERTAIN IMPORTANT ITEMS FROM THE COMBINED STATEMENTS OF ALL NATIONAL AND ALL STATE BANKS
IN NEBRASKA, 1864 TO 1913, IN THOUSANDS OF DOLLARS'
No. Banks

uapital

ttcplus

UndtvaledProtits

Loans

Deposits3

Total Resources

YEAR
1864
1865
1866
1867
1868
1869
1870
1871
1872
1873
1874
1875
1876
1877
1878
1879
1880
1881
1882
1883
1884
1885
1886
1887
1888
/889
1890
1891
1892
1893
1894
1895
1896
1897
1898
1899
1900
1901
1902
1903
1904
1905
1906
1907
1908
1909
1910
1911
1912
1913

State

Nat'l

State

I

Nat'l

State ! Nat'l

5
6
16
54
61
68
114
160
129
159
172
174
223
210
230
294
323
455
637
946
1,197
1,484
1,506
1,733
1,979
2,126
2,129
2,197
1,957
1,783
1,560
1,470
1,427
1.477
1,676
1,772
2,068
2,386
2,599
2.820
3,625
4,226
4,981
5,599
6,485
6,972
7,792
8,319

1
31
58
117
137
95
87
121
88
1-08
96
110
74
160
155
132
164
199
374
557
677
568
631
675
744
944
1,036
980
972
1,044
709
687
513
618
636
731
703
1,027
966
1,159
1,161
1,409
1,477
2,002
2,143
2,206
2,411
2,594
2,563
2,680

•

1
35
2
115
3
200
3
283
4
400
500
•
4
4
500
6
650
9
850
10
905
10
1,025
1,000
10
9
950
•
10
950
10
950
•
10
925
850
10
12
910
•
23 I
1,715
40 I
2,860
63
4,735
75
5,949
88
7,184
103
8,406
104
9,285
119
10,985
513
135
12,555
11,155
139
13,263
13,518
11,257
137
513
134
12,943
504
10,840
10,407
127
12,573
482
11,640
117
447
9,216
113
10,975
414
8,233
7,855
104
10,475
398
393
7,532
102
10,225
100
9,690
405
7,180
412
7,036
110
9,965
116
439
7,259
10,045
124
10,088
479
7,833
501
8,018
137
10,365
147
10,810
515
8,343
10,885
546 ' 159
8,845
584 I 179
9,440
11,608
621
196
12,262
10,322
628
212
13,455
10,905
662
219
12,027
13,200
666
238
12,510
15.445
669
246
16,185
12,827
694
13,833 I 16,240
245
714
241 I 14,455
16,270

825
1,002
1,029
1,006
1,002
877
882
906
940
1,056
1,198
1,285
1,426
1,539
1,756
1,915
2,136
2,106
2,115
2,313
2,582
2,950
3,295

1,281
1,676
1,625
1,544
1,229
938
1,028
1,127
1,311
1,498
1,632
1,808
1,935
2,015
1,983
2,180
2,671
2,694
2,750
2,967
3,219
3,423
3,372

State

Nat'l

State

11
138
291
509
1,0
70
15
2
1,122
1:7
12
40
4
2,019
2,196
(
617
5
2,454
2,483
2,897
3,193
2
6
4:7
275

23,522
28,219
23,798
23,253
19,085
14.602
15,405
17,609
21,202
22,438
25,794
32,666
34,530
35,789
41,252
48,880
55,745
55,721
66,021
67,943
67,558
78,270
84,908 1

9,732
12,598
15,433
18,967
22,942
24,563
27,811
33,364
32,846
35,208
28,330
27,555
24,271
20,154
213;927
25,096
28,445
31,716
39,809
44,198
45,231
46,895
54,910
68,277
76,963
75,893
86,756
90,340
95,680
102,655
100,827

17,513
24,891
17,208
18,074
14,200
10,227
13,902
18,225
21,666
25,894
31,330
34,487
36,424
38,732
49,045
56,204
62,995
65,398
71,937
70,454
72,191
80,705
89,283

Nat'l I

State

17
337
645
1,207
1,415
1,342
1,192
1,613
2,142
2,378
2,518
2,570
2,660
2,509
2,719
2,968
3,724
5,242
6,113
9,419
9,996
11,317
14,214
17,858
19,120
20,711
26,152
32,589
24,029
28,783
39,878
21,272
32,219
32,049
21,549
17.994
26,764
17,037
20,995
20,292
24,115
25,717
28,133
29,378
31,571
32,917
35,684
36,965
41,554
41,093
46,024
45,193
48,972
47,601
51,855
56,822
62,853
65,009
71,356
73,942
79,914
72,986
81,402
83,369
90,592
87,663
90,460
90,473 • 93,388
96,907
104,175
93,675
114,434

'Statistics concerning national banks taken fr
eport of the Comptroller of the Currency, 1913, p. 362; those relating to state
banks are from the reports of the Secretary of the S
nking Board, 1892 to 1913 inclusive.
2Records of the state bank statements prior tc
are not obtainable. The summary for 1890 is given in the 1892 report. The
state banking board was not created until 1889.
'Individual deposits, not including due to banks.


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Nat'l
74
525
1,242
2,327
3,216
2,743
2,900
3,502
4,487
5,018
5,321
5,415
5,270
5,281
5,616
6,345
6,940
9,128
12,140
17,921
21,057
25,458
29,675
35,778
39,759
44,926
53,598
51,066
59,568
46,753
48,075
41,544
38,145
44,629
52,149
60,266
68,508
75,803
77,465
83,118
88,620
106,743
120,814
132,909
133,267
151,335
154,955
165,140
173,847
170,587

23

wisixtqaN Ui fliutxtronD n,sodaa 4urogr

State! Nat'l

Bank Deposit Guaranty in Nebraska

37

Editor's Note
Mr. Dickinson, author of the foregoing valuable contribution
to Nebraska financial history, now holds a scholarship in economics at Harvard University. Since his departure on September
30, 1914, the following additional information is furnished by
Secretary Royse of Nebraska Department of Banking, being
two lists-one the list of State Banks newly organized in Nebraska from January 1, 1914 to the present time, with their
capital and date of charter; the other, a list of National Banks
which have changed to State Banks since January 1, 1914,
with the date of such change and capital stock.
NEWLY ORGANIZED STATE BANKS IN NEBRASKA FOR 1914.
Name of Bank

Location

Capital Stock

Total

Date of Charter

$20,000.00
35,000.00
100,000.00
15,000.00
10,000.00
10,000.00
60,000.00
10,000.00
35,000.00
16,000.00
20,000.00
10,000.00
40,000.00
20,000.00
15,000.00
15,000.00

German-American Bank
Citizens State Bank
Security State Bank
Farmers State Bank
Angora State Bank
Farmers State Bank
Nebraska State Bank
Lakeside State Bank
First State Bank
Citizens State Bank
Farmers State Bank
Purdum State Bank
Minden State Bank
Hoskins State Bank
State Bank of Litchfield
Farmers State Bank

Deshler
Superior
South Omaha
Inman
Angora
Sunol
Beatrice
Lakeside
Alliance
Carroll
Clarks
Purdum
Minden
Hoskins
Litchfield
Ames

Jan. 10,
Feb. 2,
Feb. 16,
April 4,
April 21,
May 9,
May 25,
May 27,
June 1,
June 23,
June 30,
July 10,
Aug. 5,
Aug. 10,
Aug. 20,
Aug. 20,

1914
"

"
"

$420,000.00

16

NATIONAL BANKS IN NEBRASKA CONVERTED TO STATE BANKS BETWEEN
JANUARY 1, 1914, AND OCTOBER 1, 1914
National Bank Name
Atkinson National Bank
"
"
Superior
"
First
"
14
"
"

"
"
Id
44

City
First
4d
44
46

Total


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Federal Reserve Bank of St. Louis

State Bank Name
Security State Bank
State Bank
Nebraska State Bank....
Farmers State Bank
Elmwood State Bank
Security State Bank
State Bank of Nelson._
Security State Bank
Security State Bank
Farmers State Bank
Holdrege State Bank....
Farmers State Bank
Citizens State Bank
Security State Bank
Citizens
Sargent State Bank
State Bank of Wolbach..
Farmers State Bank
18

Location

Capital
Stock

Date
of Charter

Atkinson
$50,000.00 Jan. 2, 1914
Superior
50,000.00 Feb. 21, "
26,000.00 Feb. 24, "
Bloomfield
.
15,000.00 Feb. 24, "
•
Henderson
25,000.00 April 6, "
Elmwood
16,000.00 April 27,
Lawrence
50,000.00 April 27,
Nelson
20,000.00 April 30,
Oxford
30,000.00 June 9,
Curtis
25,000.00 June 23,
Campbell
40,000.00 July 10,
Holdrege
30,000.00 July 11,
Polk
25,000.00 July 24,
Cedar Rapids
30,000.00 July 24,
Spalding
25,000.00 July 26, 44
Diller
20,000.00 July 25,
Sargent
20,000.00 Aug. 18,
Wolbach
25,000.00 Sept. 26,
Overton
8520,000.00

38

Bank Deposit Guaranty in Nebraska

•

Following the enactment of the guaranty of bank
deposits law in 1909 bills were introduced in the legislative
sessions of 1911 and 1913, incorporating the principle of limiting
the number of banks in each town or city to the business needs
of the community. H. R. No. 323, introduced in 1911, contained
this provision: "Provided, That the state banking board may
withhold the issuance of such charter to a bank seeking to engage
in business in a town which, in the judgment of the board, does
not justify or warrant a new or additional bank." In the session
of 1913, S. F. No. 221 and H. R. No. 448, companion bills,
provided as follows: "The state banking board, if, upon investigation, it shall be satisfied that the parties requesting said
charters are parties of integrity and responsibility, that the place
or community is not already adequately supplied with banking
facilities and the conditions warrant the establishment of a
bark shall, * * * issue the certificate and charter." All three
bills were considered as an attempt to arbitrarily check business
freedom and were summarily dismissed.


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Federal Reserve Bank of St. Louis

•


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

0

To the Honorable Chairman and Members of the Banks and Banking
Committee of the House of Representatives:
We, the Committee appointed to make a thorough investigation of all
the books and records of the Guarantee Fund Commission, to determine
the amount of the deficit and the cause for it, and to determine the
value of the assets in failed banks'as nearly as could be obtained by
estimates, this being in accordance with the resolution presented to the
House of Representatives on January 29, 1929, beg leave to submit the
following report and exhibits attached thereto:
The report covers 322 trusts divided as follows:
Subdivision No. 1: 69 going concerns.
Subdivision No. 2: 137 new receiverships.
Subdivision No. 3: 46 old receiverships.
Subdivision No. 4: 70 sale asset trusts.
STATEMENT NO. 1. This statement shows that 273 banks have been
closed covering a period from June 30, 1911, to and including, February
5, 1929; showing liabilities to the amount of $77,031,812.37.
STATEMENT NO. 2. This is a condensed statement of the 322 trusts
under the Guarantee Fund Commission as of February 5, 1929.
In statement No. 2, Bills Receivable consists of approximately 20,000
notes.
Real Estate consists of 880 pieces of land. 580 pieces of these are
farms and 300 of them are city properties. This land is situated in the
several counties of Nebraska, fifteen other states and Canada.
Other Assets consist chiefly of banking furniture and fixtures.
SUBDIVISION NO. 1.
STATEMENT NO. 1. This statement is a consolidated statement of
the condition of 69 going concerns as of February 5, 1929.
Exhibit A is a statement of assets, estimated cash value, liabilities and
ultimate losses in the total 69 going concerns as of February 5, 1929.
Exhibit B is a list of the ultimate losses to be sustained in each of
these 69 going concerns as of February 5, 1929.
Exhibit C is a statement of condition of each going concern as of February 5, 1929.
SUBDIVISION NO. 2.
STATEMENT NO. 1. This is a consolidated statement of 137 new
receiverships as of February 5, 1929.
Exhibit A is a statement of assets, estimated cash value, liabilities
and ultimate loss in 137 new receiverships as of February 5, 1929.
Exhibit B shows the ultimate losses and recoveries in 137 new receiverships estimated as of February 5, 1929.
Exhibit C is a statement of condition of each new receivership as of
February 5, 1929.


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Federal Reserve Bank of St. Louis

3

SUBDIVISION NO. 3.
STATEMENT NO. 1. This is a consolidated statement of 46 old
ceiverships as of February 5, 1929.
Exhibit A is a statement of assets, estimated cash value, liabilities
and net recoveries in 46 old receiverships as of February 5, 1929.
Exhibit B is a statement showing the ultimate losses and recoveries
in 46 old receiverships as of February 5, 1929.
Exhibit C is a statement of condition of each old receivership as of
February 5, 1929.
SUBDIVISION NO. 4.
STATEMENT NO. 1. This is a consolidated statement of 70 sale
assets; these assets being the sale instituted by the receiverships of
the several banks and bought in by the Guarantee Fund Commission,
thereby constituting a trust, and to be liquidated by the Guarantee Fund
Commission.
Exhibit A shows the estimated cash value of the assets and the net
recoveries in 70 sale asset trusts as of February 5, 1929.
Exhibit B is a statement of condition of each sale asset trust as of
February 5, 1929.
SUMMARY
The Cash Deposits of the above four subdivisions amount to $2,294,054.32. Of this amount $2,202,736.32 is on deposit under the control of
the Guarantee Fund Commission and draws 2 per cent interest as is
paid by correspondent banks to solvent institutions. The sum of $91.318.00 represents cash on hand and items of exchange in going banks
operated by the Guarantee Fund Commission. The amounts on deposit
with different banks are shown by Exhibit A.
The following three statements include the assets, estimated cash
value of assets, liabilities, ultimate losses and recoveries in all trusts
under the Guarantee Fund Commission as of date of February 5, 1929,
also the estimated cash value of assets as classified under date of February 5, 1929; also showing the percentage of assets and liabilities of
all failed banks covering the period'from 1-3-11 to 2-5-29 in failed banks,
also showing the liabilities paid from the Guarantee Fund Commission
and the percentage of liabilities paid from the assets.
Under the audit as herein set forth, it would show the ultimate loss
to be paid from the Guarantee Fund on this date amounts to $16,003,574.13.
The Committee acknowledges the full cooperation and assistance given
them by the Secretary of the Guarantee Fund Commission and his staff.
Respectfuly submitted,
A. D. SPENCER
WALTER M. BURR
EARL HASSELBALCH
Sub-Committee


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Federal Reserve Bank of St. Louis

4

4

STATEMENT OF ASSETS AND LIABILITIES
of Failed State Banks
Total Assets in 273 banks taken over 1-3-11 to 2-5-29
Total Assets Realized (Book Value)

$82,111,695.89
48,532,862.60

Total Assets Not Realized 2-5-29
Total Liabilities in 273 banks taken over 1-3-11 to 2-5-29
Total Liabilities Paid

$33,578,833.29
$77,031,812.37
50,599,149.79

Total Liabilities Not Liquidated 2-5-29
$26,432,662.5,
Liabilities Paid from Guaranty Fund
$16,433,416.22
Liabilities Paid from Assets (after deduction of all expense) 34,165,733.57
Total Liabilities Paid
Percentage Liabilities Paid from Guaranty Fund
Percentage Liabilities Paid from Assets
ESTIMATED CASH VALUE OF ASSETS
By Classes as of February 5, 1929
Estimated
Class
Book Value
Cash Value
Cash
$ 2,294,054.32
$ 2,294,054.32
Bills Receivable
20,698,484.31
5,073,378.38
Overdrafts
134,849.93
15,160.36
Real Estate
6,204,400.71
2,037,465.00
Judgments
2,718,050.62
90,388.49
Other Assets
1,528,993.40
335,558.57
Stockholders Liability
5,955,042.79
583,083.33
Totals

$39,533:876.08

$50,599,149.79
32.1
67.4

Percentage
low

$10,429,088.45

(Note: The above list gives the total book value and estimated cash
value of all assets in the hands of the Guaranty Fund Commission divided into the principal classes according to the asset. Percentages
showing the relation of the estimated cash value to the face or book
value are given for your convenience. These values were not determined on a percentage basis but rather from the individual assets. [The
values given are somewhat below the average which we have obtained
during the past few years. However, we feel this is necessary as conditions are unstabilized to such an extent that all properties in our
hands have certainly depreciated in value.] If remedial banking legislation will stabilize general conditions and such legislation is passed then
the ultimate losses to the Guaranty Fund should be somewhat less than
the figures show. Your particular attention is called to the item of
Stockholders Liability and the small percentage expected to realize in
cash. This low figure is occasioned by reason of the constitutional provision preventing a receiver of a bank from maintaining a legal action
5


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Federal Reserve Bank of St. Louis

for stockholders liability until all assets of the trust are exhausted. A
constitutional amendment correcting this injustice to the creditors of
the failed banks would very materially reduce the losses to the Guaranty
Fund. Also, other banking legislation might be enacted which would
materially lessen the loss to the Depositors' Guaranty Fund as to banks
now in the hands of the Commission, and especially those banks yet to
be taken over.)

441

Statement of Assets, Estimated Cash Value of Assets, Liabilities,
Ultimate Losses and Recoveries in All Trusts under the
Guarantee Fund Commission as of
February 5, 1929
Total Assets, Cash and Unpaid Stockholders Liability
in all trusts
$39,533,876.08
Expect to Realize in cash from above
$10,429,088.45
(Note: The amount of the estimated cash value given is approximately 26.4 per cent of the book value. However, the estimated cash
value was determined from the assets and not by a percentage basis.
Also, the estimate given is a net amount to be realized after the deduction of all expense.)
Total Liabilities against Guaranty Fund in all trusts
$26,432,662.58
Expect to pay from assets
$10,429,088.45
Leaving an Ultimate Loss to be paid from the
Guaranty Fund of


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Federal Reserve Bank of St. Louis

$16,003,574.13

410

6

SUMMARY EXHIBIT A.
DEPOSITORIES OF FUNDS UNDER
CONTROL OF THE GUARANTEE FUND COMMISSION
as of February 5, 1929.

40

1. State Bank of Omaha:
Going Banks
Receiverships

2.

$468,646.03
210,451.48

Continental State Bank, Lincoln:
Going Banks
Receiverships

$281,103.52
175,587.60
456,691.12

3. Fremont State Bank:
Going Banks
Receiverships

$211,811.26
37,557.55
249,36

4. South Omaha State Bank:
Going Banks
Receiverships

$142,435.26
4,432.56
1•16,s67.s2

5. Nebraska State Bank, Norfolk:
Going Banks
Receiverships

$ 80,015.19
42,897.45

•vallo
122,912.61
6. Farmers Bank, Nebraska City:
Going Banks
Receiverships

$ 51,634.48
4,163.36
55,797.84

7. State Bank of Wayne:
Going Banks
Receiverships

$ 44,497.27
11,041.74
55,539.01

8. State Bank of Hastings:
Going Banks
Receiverships


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Federal Reserve Bank of St. Louis

$ 26,272.31
14,682.55
40,954.86
7

-11M1111
4

4

SUMMARY EXHIBIT A.
9.

Nebraska State Bank, Lincoln:
Going Banks
Receiverships

$ 32,317.33
2,352.50
34,669.83

10.

11.

Maxwell State Bank:
Going Banks

34.007.67

Nebraska State Dank, Grand Island:
Going Banks
Receiverships

$ 23,192.35
9,919.83
33,112.1'

12.

McDonald State Bank, North Platte:
Receiverships

30.599.56

13. Farmers State Bank, Blair:
Receiverships
14.

23,029.47

Bridgeport State Bank:
Going Banks
Receiverships

$ 5,747.58
15,728.45
21,476.03

15. Security State Bank, Norfolk:
Going Banks

17,179.31

16. State Bank of Madrid:
Going Banks

15,428.24

17. Platte Valley State Bank, Scottsbluff:
Receiverships

14,055.76

18.

19.

20.

Exchange Bank, Gibbon:
Receiverships

13,383.17

Nebraska State Bank, Ohiowa:
Receiverships

10,601.11

Farmers State Bank, Ewing:
Receiverships

9,346.71

21. State Bank, Dannebrog:
Receiverships


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Federal Reserve Bank of St. Louis

9.055.02
8

•

SUMMARY EXHIBIT A.
22.

Nebraska State Bank, Valentine:
Going Banks
Receiverships

$

8,675.81
358.79
9,034.60

23. Chappell State Bank:
Receiverships
24.

6.115.97

Chadron State Bank:
Receiverships

6.031.1

Miscellaneous National Banks:
Going Banks
Receiverships

$ 11,764.13
7,988.08
19.,752.2I

Miscellaneous State Banks:
Going Banks
Receiverships

$ 42,732.89
45,865.56
88,598.45

TOTAL
Total Going Banks
Total Receiverships

$2,202,736.32
$1,497,460.66
705,275.66
$2,202,736.32

Cash on hand and Items
of Exchange

•

Total Shown 2-5-29


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

91,318.00
$2,294,054.32

9

STATEMENT NO. 1.
STATEMENT SHOWING NUMBER OF BANKS CLOSED IN STATE
OF NEBRASKA AND LIABILITIES OF SAME AS SHOWN
BY. BOOKS AT DATE OF SUSPENSION
Liabilities
No. of Banks
None
$
None
None
1
122,393.06
None
1
118,394.00
None
None
None
684,107.23
3
4,409,214.14
16.
18
5,185,785.37
6,455,527.04
23
5,156,138.22
25
35
11,705,674.18
29
8,391,367.06
40
10,703,584.90
62
17,187,925.49
16
3,494,089.12
4
802,942.91

Fiscal Year Ending June 30, 1911
Fiscal Year Ending June 30, 1912
Fiscal Year Ending June 30, 1913
Fiscal Year Ending June 30, 1914
Fiscal Year Ending June 30, 1915
Fiscal Year Ending June 30, 1916
Fiscal Year Ending June 30, 1917
Fiscal Year Ending June 30, 1918
Fiscal Year Ending June 30, 1919
Fiscal Year Ending June 30, 1920,
Fiscal Year Ending June 30, 1921
Fiscal Year Ending June 30, 1922
Fiscal Year Ending June 30, 1923
Fiscal Year Ending June 30, 1924
Fiscal Year Ending June 30, 1925
Fiscal Year Ending June 30, 1926
Fiscal Year Ending June 30, 1927
Fiscal Year Ending June 30, 1928
July 1, 1928 to January 1, 1929
January 1, 1929 to Febr. 5, 1929

273

Total
Additional Claims Established
Grand Total


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$74,417,142.72
2,614,669.65
$77,031,812.37
,

10

•

STATEMENT NO. 2.
CONDENSED STATEMENT—GUARANTEE FUND COMMISSION
322 Trusts
February 5, 1929

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets

$ 2,294,054.32
$20,698,484.31
134,849.93
6,204,400.71
2,718,050.62
1,528,993.40

31,284,778.97

869,629.14
308,710.81

1,718,339.95

SUPPLEMENTARY CHARGES:
Real Estate Expense
$ 418,499.61
Interest Paid
519,130.17
Claims Estab. not Shown on Books... 1,424,047.81
Claims in Dispute not Shown on Books
192,980.27
Loss on Assets
9,506,893.36

12,061,551.22

OPERATING COSTS:
General Expense
Legal Expense

$

CAPITAL IMPAIRMENT

6,820,567.17
$53,639,291.63

LIABILITIES NOT LIQUIDATED:,
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers' Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Accounts Payable

$

Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income


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Federal Reserve Bank of St. Louis

$15,082,220.43
11,161,460.57
15,496.21
173,485.37
345,987.77
625,428.28
231,463.26
13,659.67
1,030.65

$26,432,662.5S

1,217,569.63
15,140,725.61

$

11

880,327.79
351,057.56

1717

STATEMENT NO. 2.
Realized Thru Assets Discovered
Deferred Credits
Stockholders' Liability Settled
CAPITAL STOCK
SURPLUS

I

kte•;.•
...
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

319,663.43
704,522.76
1,129,282.21

3,384,853.75
7,084,325.00
379,155.06
$53,639,291.63

12

1

SUBDIVISION NO. 1, STATEMENT NO. I

CASH

CONSOLIDATED STATEMENT OF CONDITION
of
69 GOING CONCERNS
as of
FEBRUARY 5, 1929
$ 1,595,383.57

ASSETS NOT REALIZED:
Bills Receivable:
$ 2,431,772.83
Class A
3,939,472.78
Class B
2,605,875.48 $ 8,977,121.09
Class C
Overdrafts
26,450.46
Real Estate
2,817,465.77
Judgments
453,539.74
Other Assets
571,615.15
; OPERATING COSTS:
Bank Expense
Legal Expense

296,591.04
36,655.68

SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estab. not Shown on Books
Loss on Assets
CAPITAL IMPAIRMENT

111,078.20
18,370.31
304,706.21
664,242.80

12,846,192.21

333,246 7

1,098,397.52
129,594.9S
$16,002,815.00

LIABILITIES NOT LIQUIDATED:
Payable From Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute

$ 4,778,091.23
7,475,980.15
33,705.46
488,038.52
77,778.28
159,187.44
98,803.34
11,664.97
2,042.04

SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

311,617.77
89,110.01
13

13,012,781.0s

112,510.35

SUBDIVISION No. 1, STATBMENT No. 1
Realized Thru Assets Discovered....
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
SURPLUS


L._
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

241,253.09
45,953.93
57,590.23

745,525.03
1,857,500.00
274,498.54
$16,002,815.00

SUBDIVISION NO. 1, EXHIBIT A.

Statement of Assets, Estimated Cash Value,
Liabilities and Ultimate Loss in
69 Going Concerns as of February 5, 1929
Total Assets, Cash and Unpaid Stockholders Liability in
$16,253,121.85
69 trusts operated as going concerns
7,235,771.08
Expect to realize in cash from above
(Note: The amount of the estimated cash value given
is approximately 44 per cent of the book value. However, the estimated cash value was determined from
the assets and not by a percentage basis.)
Total Liabilities against Guaranty Fund in 69 trusts
$13,012,781.08
operated as going concerns
7,235,771.08
Expect to pay from assets
Leaving an ultimate loss to be paid from the Guaranty
$ 5,777,010.00
Fund of


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Federal Reserve Bank of St. Louis

SUBDIVISION NO. 1, EXHIBIT B.
ULTIMATE LOSSES TO BE SUSTAINED
IN 69 GOING CONCERNS
Estimated as of February 5, 1929
Town
Allen
Beemer
-/ Benkelman
/ "Big Springs
.' Bloomington
Boone
Bradish
Brady
I - V Breslau
J i Bridgeport
' Broken Bow
' Brownlee
Burchard
Burton
Butte
Champion
Clarks
Crab Orchard
Creighton
Deweese
41-A, Dixon
- -it Dodge
-i Fairfield
•-•---'`f Fullerton
../y Genoa
- ,'Gilead
Glenrock
Grainton
Grant
- Greeley
Greenwood
Eiaigler
I 3 Humboldt
Humphrey
Jackson
Johnstown
Lamar


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Federal Reserve Bank of St. Louis

Name of Bank
Mien State Bank
Beemer State Bank
Citizens State Bank
American State Bank
Farmers State Bank
Boone State Bank
Farmers State Bank
Brady State Bank
Breslau State Bank
Nebraska State Bank
Custer State Bank
Btownlee State Bank
Bank of I3urchard
Burton State Bank
Citizens State Bank
State Bank of Champion
State Bank of Clarks
Bank of Crab Orchard
The Security Bank
State Bank of Deweese
Dixon State Bank
Dodge State Bank
Citizens Bank
Farmers State Bank
Farmers State Bank
State Bank of Gilead
Community State Bank
Perkins County State Bank
Commercial Bank of Grant
Greeley State Bank
Farmers State Bank
State Bank of Haigler
State Bank of Humboldt
Bank of Ottis & Murphy
Bank of Dakota County
Citizens Bank
Lamar State Bank
16

Loss
$ 97,792.00
1,000,000.00
100,000.00
None
37,733.00
10,000.00
18,085.00
25,000.00
55,000.00
56,400.00
72,800.00
5,000.00
None
45,000.00
35,000.00
6,000.00
90,000.00
40,000.00
170,000.00
55,000.00
20,000.00
81,000.00
62,800.00
48,700.00
38,000.00
75,000.00
None
28,300.00
90,000.00
115,000.00
58,300.00
92,700.00
81,800.00
150,700.00
64,000.00
70,000.00
10,000.00

7

SUBDIVISION NO. 1, EXHIBIT B.
Laurel
Lindsay
Litchfield
Lyman
.\ ladrid
Martinsburg
Martinsburg
Maxwell
Mitchell
Murphy
North Bend
Overton
Panama
Paxton
Pierce
Plainview
Plainview
Polk
Ponca
Ralston
Republican City
Rohrs
Scotia
Scribner
Shelton
St, Edward
Stockville
Superior
Thurston
Vesta
Wakefield
Wolbach


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Federal Reserve Bank of St. Louis

State Bank of Laurel
Lindsay State Bank
State Bank of Litchfield
Lyman State Bank
Madrid Exchange Bank
Martinsburg State Bank
Citizens State Bank
Maxwell State Bank
Mitchell State Bank
First State Bank
First State Bank
Overton State Bank
Farmers State Bank
Commercial State Bank
Pierce State Bank
Citizens State Bank

10,000.0,i
75,000.00
20,000.00
68,300.0"
33,700.1)(1
30,000.01,
None
47,200.0,,
160,000.00
10,000.00
100,000.00
205,000.00 (
7,500.00
98,400.Of,
320,000.00
174,000.111,

Security State Bank
Farmers State Bank
Security Bank of Ponca
Ralston State Bank
Nebraska State Bank
Farmers Security State Bank
Farmers State Bank
Scribner State Bank
Meisner State Bank
Farmers State Bank
Frontier County Bank
Citizens State Bank
Thurston State Bank
Vesta State Bank
Security State Bank
State Bank of Wolbach

120,000.01)
87,000.00
120,000.0"
75,000.0(1
16,000.00
5,000.00
40,000.00
97,300.00 •-!
159,000.00
55,000.00
63,500.00
125,000.00
-2
50,000.00 I/150,000.00
265,000.00
85,000.00
$5,777,010.00

17

S BDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929
Allen
Beemer Benkelman
CASH:
$ 59,786.35 $ 58,750.28 $ 19,869.53
ASSETS NOT REALIZED:
Bills Receivable: Class A
97,605.08
47,943.52 192,703.60
Class B
161,355.05
37,465.65
67,902.71
Class C
16,587.33 557,081.75
53.976.87
Overdrafts
600.27
2,741.77
498.85
Real Estate
41,810.07
26,196.17 101,036.18
Judgments
2,287.79
250.11
Other Assets
8,008.85
151,668.17
22,107.68
OPERATING COSTS:
General Expense
2,177.34
3,858.02
6,845.53
Legal Expense
9.25
30.43
1,046.46
SUPPLEMENTARY CHARGES:
Real Estate Expense
137.00
2,921.38
Interest Paid
Claims Estab. not on Books ...
560.76
4,245.10
845.36
Loss on Assets
1,415.60
50.00
22,729.53
CAPITAL IMPAIRMENT:
$392,370.74 $890,030.86 $492,733.79
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$118,560.20 $263,922.97 $128,991.13
233,760.87 519,770.36 297,649.18
32.40
2,000.00
4,990.49
40,043.37
8,650.54
103.15
2,127.20
1,300.95
105.48
599.50
•)1

2,408.57
1,845.81
145.48
80.00
25,000.00
5,338.29
$392,370.74

3,510.59
214.35

3,921.58
1,494.87
137.40

30,000.00
27,842.52

438.41
50,000.00
149.73

$890,030.86 $492,733.79

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929

(
1
1
f
I

CASH
ASSETS NOT REALIZED:
Bills Receivable Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Big Springs Bloomington Boone
$ 23,337.64 $ 11,544.11 $ 5,450.85
$.• 21,765.98 $ 8,123.30 $ 1,010.08
10,990.84
51,627.91
36,318.47
12,487.04
6,185.77
15,171.84
1,877.99
8.06
5,440.55
18,433.78
16,441.59
1,515.95
3,529.10
1,765.05
2,254.79
1,862.19
1,008.42
10.20

2,286.77
116.25

1,754.83
583.19

418.21

1,121.00

22.50

6,819.73

383.37
4,120.75
2,020.84

53.49
3,187.51
2,063.21

$125,539.06 $115,672.28 $ 41,901.81
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
$ 29,912.64 $ 52,492.27 $ 9,446.97
Deposits Subject to Check
17,224.70
32,420.46
40,268.33
Time Certificates
4.87
Demand Certificates
5.35
2,623.50
Savings Accounts
11.64
Cashiers Checks
16,646.30
105.88
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
2,750.03
1,654.04
699.52
Interest Received
418.23
22.50
Real Estate Income
834.06
6,846.95
96.37
Realized Thru Assets Discovered
1,200.00
Stockholders Liability Settled .
30,000.00
20,000.00
CAPITAL STOCK
10,000.00
6,928.54
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$125,539.06 015,672.28 $ 41,901.81
19

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
Bradish
Brady
Breslau
CASH:
$ 3,810.10 $ 35,243.32 $ 19,018.43
ASSETS NOT REALIZED:
Bills Receivable Class A
4,928.34
26,511.09
Class B
24,546.29
60,402.24
Class C
11,726.38
24,750.97
Overdrafts
1,388.86
141.98
Real Estate
5,533.43
17,660.00
25,846.21
Judgments
6,626.46
5,497.32
Other Assets
2,279.23
5,726.90
2,405.01
OPERATING COSTS:
General Expense
934.19
3,383.43
2,113.99
Legal Expense
82.75
128.84
11.95
SUPPLEMENTARY CHARGES:
Real Estate Expense
1,091.80
277.58
Interest Paid
Claims Estb. not on Books
94.99
44.37
2,963.96
Loss on Assets
1,039.88
33,587.36
6.771.19
CAPITAL IMPAIRMENT
4,102.94
735.63
2,423.41
$ 60,467.68
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

20

12,067.37
33,070.97
2.00
3,877.98
_

$104,228.11

$ 55,192.17 $ 67,621.81
17,851.18
84,647.96
629.97

481.94
1.00
1,258.69

4,427.96
1,126.83

2,053.97
411.72

615.94
616.30

135.43

8179,165.36

81.69

2,688.27

10,000.00

25,000.00

20,000.00

$ 60,467:68

$104,228.11

$179,165.36

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
Brownlee
Bridgeport Broken Bow
$ 20,175.03 $ 5,963.90 $ 15,540.44

CASH
ASSETS NOT REALIZED:
Bills Receivable Class A
'Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estab. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

28,461.67
37,824.53
38,816.00
206.01
44,978.60
4,710.39
4,034.25

16,464.79
55,493.81
31,982.49
35,840.14
11,310.60
4,566.23

2,057.33
6,873.56
8,864.24
252.20
4,088.50
635.86
107.85

6,719.39
1,435.95

9,453.00
2,167.10

2,473.07
36.70

3,038.13

454.36
1,308.18
167.06
30,285.15

14,224.12
2,727.53

2,211.66
1,347.85

$207,351.60 $205,456.81 $ 44,489.26
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check ....$ 97,556.47 $ 65,301.39 $ 24,810.33
2,249.05
79,268.37
42,878.60
Time Certificates
700.00
633.71
Demand Certificates
2,172.03
7,985.46
Accounts
Savings
6,082.65
Cashiers Checks
6,001.65
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
1,672.57
6,326.92
6,760.85
Interest Received
1,991.33
1,723.93
Real Estate Income
Realized Thru Assets Dis57.31
1,360.32
12,196.06
covered
Stockholders Liability Settled .
Deferred Credits
15,000.00
35,000.00
25,000.00
CAPITAL STOCK
13,402.74
1,165.93
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$207,351.60 $205,456.81 $ 44,489.26
21

•• r.

p

r•• •

SUBDIVISION NO. 1, EXHIBIT C.
.STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
Burchard
Burton
Butte
CASH
$ 3,305.39 $ 4,198.19 $ 2,922.51
ASSETS NOT REALIZED:
Bills Receivable Class A
3,461.69
5,910.49
29,727.10
Class B
203.77
4,911.29
38,804.04
Class C
14,277.92
48,842.36
4,684.06
Overdrafts ,
20.84
140.30
300.57
Real Estate
12,165.00
27,072.77
Judgments
6,496.97
603.38
Other Assets
422.07
1.536.06
1,734.47
OPERATING COSTS:
General Expense
7,531.14
162.81
4,455.32
Legal Expense
928.39
459.25
SUPPLEMENTARY CHARGES:
Real Estate Expense
2,414.94
1,706.66
Interest Paid
1,842.01
3.95
Claims Estab. not on Books
2.85
19.81
Loss on Assets
19,948.43
2,151.69
CAPITAL IMPAIRMENT
2,089.72
$ 60,856.41 $ 77,866.50 $116,735.30
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Stockholders Liability Settled .
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$

90.46 $ 39,316.38 $ 39,020.65
23,368.60
52,185.72
84.03

6,927.77
1.92

11,551.33
1,963.98

121.30
10.00

2,821.05
517.90

1,368.62
14,500.00

25.68

25,000.00
6,382.02

10,000.00
4,940.51

64.46
50.00
145.83
15,000.00

$ 60,856.41 $ 77,866.50 $116,735.30
22

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
Clarks Crab Orchard
Champion
$ 7,047.85 $ 57,306.53 $ 8,520.38
CASH
ASSETS NOT REALIZED:
11,928.41
40,824.77
6,696.95
Bills Receivable Class A
58,359.15
9,609.55 123,937.94
Class B
9,487.08
22,233.95
5,196.04
Class C
349.78
67.13
5.50
Overdrafts
19,937.84
71,059.93
5,065.00
Real Estate
1,614.88
6,981.45
Judgments
7,691.79
6,969.98
6,929.98
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

2,767.34
131.25

206.80
63.30

509.20
5.00

1,497.15

11.88

5,347.62

7,900.84
1,013.66
1,140.09

1,070.23

$
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
.$
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks .
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1,622.71
11.90

43,719.56 $338,931.29 $128,470.01

20,608.98 $ 73,719.41 $ 43,509.32
37,716.50
141,516.88
9,006.88
59,448.12
3,776.80
88.80
234.75

943.48
685.12
6,529.31
4,951.35

1,654.01

2,473.13
1,865.06

490.62
664.18

51.70

5,759.45

7,980.1:1

48.89
50,000.00

25,000.00

33.33

10,000.00
2,364.66

$ 43,719.56 $338,931.29 $128,470.01
23

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING
CONCERNS.
February 5, 1929.
Creighton Deweese
Dixon
CASH
$ 55,618.55 $ 10,280.64 $ 22,488.
76
ASSETS NOT REALIZED:
Bills Receivable Class A
137,682.18
7,913.02
10,167.16
Class B
138,023.29
10,788.27
14,522.43
Class C
55,794.41
16,890.77
5,190.62
Overdrafts
335.00
280.24
5.51 1
Real Estate
118,589.60
13,976.14
10,745.00
Judgments
13,677.60
5,972.83
241.85
Other Assets
17,435.48
11,478.06
2,305.20
OPERATING COSTS:
General Expense
5,728.08
4,107.39
6,490.01
Legal Expense
68.10
427.46
142.90
SUPPLEMENTARY CHARGES:
Real Estate Expense
1,817.73
1.221.61
80.94
Interest Paid
34.15
Claims Estb. not on Books
396.23
7,676.32
58.56
Loss on Assets
5,346.78
20,114.00
17,365.00
CAPITAL IMPAIRMENT •
12,050.72
1,566.42
$550.543.03
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Stockholders Liability Settled .
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$140,010.89 $ 45,561.81 $
38,106.87
327,197.14
55,213.65
24,581.95
700.00
20,425.36
2,800.87
714.31
4,835.32
158.00
4,605.82

436.80
9,161.31
1,881.25

2,530.21
846.07

6,262.40
217.00

791.46
1,600.00

1,231.74

272.28
547.95
1.74
20,000.00

40,000.00
4,045.20
$550,543.03

24

$123,177.47 $ 91,404.50

387.30
10,000.00

$123,177.47 $ 91,404.50

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS.
February 5, 1929.
Fullerton
Fairfield
Dodge
$ 68,174.12 $ 9,882.12 $ 24,732.99
CASH
ASSETS NOT REALIZED:
29,507.96
14,590.17
5,456.18
Bills Receivable Class A
11,411.15
40,107.07
'17,309.78
Class B
39,612.30
26,455.12
29,844.57
Class C
4.17
1,930.12
Overdrafts
73,756.19
43,045.87
34,558.74
Real Estate
24,992.47
71.65
901.45
Judgments
2,327.04
9,244.71
53,561.30
Other Assets
OPERATING COSTS:
6,755.47
6,595.52
3.822.24
General Expense
360.69
205.00
849.25
Legal Expense
SUPPLEMENTARY CHARGES:
2,345.54
4,477.60
1,453.40
Real Estate Expense
16.67
961.28
Interest Paid
88.89
85.13
1,957.02
Claims Estb., not on Books
13,340.03
28,581.30
7,736.38
Loss on Assets
562.90
CAPITAL IMPAIRMENT
$287,554.55 $184,869.61 $229,247.39
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
$ 71,113.80 $ 56,690.44 $ 58,892.59
Deposits Subject to Check
94,660.06
74,494.78
167,012.88
Time Certificates
Demand Certificates ......
4,450.02
8,423.06
3,349.70
Savings Accounts
1,066.93
Cashiers Checks
79.59
70.59
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
8,262.97
2,925.55
3,625.90
Interest Received
1,630.59
522.51
2,005.08
Real Estate Income
Realized Thru Assets Dis602.71
174.70
1,137.82
covered
156.00
6,829.83
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
50,000.00
40,000.00
25,000.00
SURPLUS
2,772.10
15,721.35


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$287,554.55 $184,869.61 $229,247.39
25

11•••

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS.
February 5, 1929.
Genoa
Gilead
Glenrock
$ 8,725.61 $
CASH
152.18 $
105.12
ASSETS NOT REALIZED:
Bills Receivable Class A
26,082.17
17,388.42
41,234.02
Class B
38,138.53
70,493.48
Class C
14,466.20
53,862.46
Overdrafts
116.17
851.10
6.28
Real Estate
24,775.97
4,800.00
41,375.96
Judgments
4,783.07
335.00
Other Assets
3,467.66
6,320.97
58.58
OPERATING COSTS:
General Expense
3,317.84
72.50
Legal Expense
227.71
3.81
SUPPLEMENTARY CHARGES:
Real Estate Expense
757.32
Interest Paid
104.10
Claims Estb. not on Books
697.74
148.09
Loss on Assets
10,962.57
CAPITA L IMPAIRMENT
2,963.80
$136,518.06 $217,253.97 $ 23,021.90
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 41,769.05 $ 57,224.93 $ 6,348.01
66,561.89
127,899.87
5,600.00
3,479.17
533.04
8,650.00

1,557.62
589.69

602.53

104.04

18.85

25,000.00
382.73

20,000.00

10,000.00
452.51

$136,518.06 $217,253.97 $ 23,021.90
26

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS.
February 5, 1929.
Greeley
Grant
Grainton
$ 5,650.87 $ 47,791.92 $ 14,733.06
CASH
ASSETS NOT REALIZED:
32,554.41
33,169.55
11,498.66
Bills Receivable Class A
98,519.02
124,471.36
8,781.81
Class B
62,619.05
78,770.06
2,334.72
Class C
35.56
2.75
Overdrafts
52,210.81
71,658.63
38,277.33
Real Estate
23,801.74
163.10
2,032.36
Judgments
2,874.94
5,359.85
1,972.76
Other Assets
OPERATING COSTS:
10,372.70
4,659.71
189.76
General Expense
84.15
• 252.07
12.40
Legal Expense
SUPPLEMENTARY CHARGES:
3,036.74
2,553.82
Real Estate Expense
3,786.90
Interest Paid
41,884.60
4,479.84
Claims Estb. not on Books ....
22,458.37
9,296.05
112.10
Loss on Assets
5,320.89
CAPITAL IMPAIRMENT
$. 75,342.64 $425,354.36 $327,087.45
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
$ 25,710.25 $152,515.75 $ 47,168.42
Deposits Subject to Cheek
197,317.94
29,938.03 122,314.20
Time Certificates
231.04
1,179.98
Demand Certificates
Skvings Accounts
2,748.96
Cashiers Checks
9,258.77
1,169.75,
Other Liabilities
8,243.00
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
6,741.73
14,391.65
174.06
Interest Received
2,424.56
2,875.60
Real Estate Income
Realized Thru Assets Dis25,560.62
2,447.91
covered
Stockholders Liability Settled
45,546.77
2,069.52
Deferred Credits
60,000.00
50,000.00
CAPITAL STOCK
10,000.00
5,102.80
SURPLUS
2,653.14


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 75,342.64 $425,354.36 $327,087.45
27

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS.
February 5, 1929.
Greenwood Haigler
Humboldt
$ 18,662.16 $ 31,856.84 $ 62,600.39
CASH
ASSETS NOT REALIZED:
Bills Receivable Class A
23,534.96
36,775.11
15,052.73
Class B
37,582.04
53,167.79
104,533.03
Class C
27,499.82
,
52,469.4)
36,724.86
Overdrafts
208.32
92.12
Real Estate
11,439.61
33,940.06
60,671.50
Judgments
5,337.81
26,263.34
Other Assets
2,384.21
3,203.17
18,227.14
OPERATING COSTS:
General Expense
4,682.56
4,031.73
1,358.81
Legal Expense
1,049.38
756.15
SUPPLEMENTARY CHARGES:
Real Estate Expense
242.54
1,625.67
Interest Paid
5.27
Claims Estb. not on Books
274.47
561.09
6,501.57
Loss on Assets
16,453.58
23,527.5g
6.10
CAPITAL IMPAIRMENT
$149,356.73
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$269,084.22

$304,862.07

$ 46,933.12 $108,726.79
82,175.41
106,730.68
1,202.92

$108,763.44
126,836-65
21.19

28

4.46

215.93
473.97
19,163.80

7.50

2,547.46
520.95

535.79
87.00

8,239.80
743.60

261.01

783.65

6,693.60
20.00

15,000.00
1,914.32

30,000.00
1,163.69

$149,356.73

$269,084.22

-

50,000.00
3,536.29

$304,862.07

9
1
9
8

(
1
7

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS.
February 5, 1929.
Johnstown
Jackson
Humphrey
( CASH
$ 50,119.73 $ 34,610.85 $ 8,578.76
; ASSETS NOT REALIZED:
57,392.54
22,783.13
53,196.01
Bills Receivable Class A
26,288.47
44,012.40
103;818.69
Class B
12,243.43
26,624.02
15,046.25
Class C
2,212.59
109.67
31.92
Overdrafts
37,791.19
64,064.01
186,568.86
Real Estate
306.20
1,129.56
1,096.81
Judgments
2,737.98
2,449.86
4.528.49
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

;

,

f

6,1341.97
827.65

3,502.76
536.65

4,372.61
410.50

7,498.15

2,104.38
79.25
21.15
625.82

704.62

317.53
13,710.09
910.50

458.00
1,422.84

$444,312.65 $204,653.51 $154,919.73
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
$ 63,662.69 $ 54,730.94 $ 46,498.21
Deposits Subject to Check
76,966.33
114,751.10
313,065.39
Time Certificates
452.37
Demand Certificates
4,021.14
'2,144.39
Savings Accounts
2,476.09
1,459.59
. 626.51
Cashiers Checks
4,731.00
21.15
;..Other Liabilities
8,909.63
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
1,915.8:,
4.10",
8,817.87
Interest Received
Air, T,0
1 73,896.04
Real Estate Income
Realized Thru A s s e t s Dis107.3s
1,-;11 .i
784.31
covered
30.00
Stockholders Liability Settled
Deferred Credits
10,000.0,,
20,000.00
CAPITAL STOCK
50,000.00
SURPLUS ..
1,091.17
4,529.35


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$414,312.65 $204,653.51 $154,919.73
29

p.

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS.
February 5, 1929.
Lamar
Lindsay
Laurel
CASH
$ 4,535.85
$ 23,753.17 $ 9,856.71
ASSETS NOT REALIZED:
Bills Receivable Class A
31,459.96
20,676.40
6,041.07
Class B
23,854.85
32,576.22
11,366.65
Class C
22,120.36
10,782.91
21,382.33
Overdrafts
71.92
385.45
63.75
Real Estate
88,496.69
18,450.00
6,400.00
Judgments
3209.42
18,410.86
8,390.53
Other Assets
233.69
3,593.50
3,826.50
OPERATING COSTS:
General Expense
2,746.06
5,891.81
5,261.05
Legal Expense
107.00
556.20
1,630.38
SUPPLEMENTARY CHARGES:
Real Estate Expense
602.33
5,012.17
99.32
Interest Paid
Claims Estb. not on Books
142.02
Loss on Assets
12,365.10
9,200.03
CAPITAL IMPAIRMENT
2,443.02
2,395.72
7,116.71
$ 96,434.82 $104,531.49 $224,541.40
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
$ 36,164.77 $ 39,066.31 $ 58,454.46
Time Certificates
28,681.02
114,345.33
12,703.48
Demand Certificates
356.35
Savings Accounts
917.60
2,328.47
Cashiers Checks
959.40
Other Liabilities
.64
Bills Payable
2,908.46
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
1,911.58
12,394.07
7,166.60
Real Estate Income
119.75
76.00
6,793.85
Realized Thru Assets Discovered
649.84
198.42
95.70
Stockholders Liability Settled
40.00
14,052.62
Deferred Credits
122.99
CAPITAL STOCK
25,000.00
25,000.00
35,000.00
SULPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 96,434.82 $104,531.49 $224,541.40
30

CA
AS

ay
1.71
1.96
1.85
1.36
1.45
.69
.86
.50

.81
.20

.17

02
10
72

40

16
13
15
17

9•

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION-GOING CONCERNS.
February 5, 1929.
Madrid
Lyman
Litchfield
CASH .
$ 8,735.95 $ 20,497.87 $ 18,133.40
ASSETS NOT REALIZED:
71,732.91
17,624.55
19,679.02
Bills Receivable Class A
27,212.56
64,100.80
15,109.26
Class B
38,534.45
41,340.49
2,249.69
Class C
134.58
3,100.16
62.54
Overdrafts
Real Estate
4,560.78
44,300.00
5,426.54
1,549.08
Judgments
169.16
519.18
Other Assets
5,217.39
3,446.85
OPERATING COSTS:
4,096.28
General Expense
3,775.05
1,028.89
379.22
Legal Expense
659.59
1.10
SUPPLEMENTARY CHARGES:
132.87
Real Estate Expense
715.82
142.50
Interest Paid
458.36
Claims Estb. not on Books .
17,671.17
444.73
11,291.08
Loss on Assets
291.31
1,474.79
CAPITAL IMPAIRMENT
1,011.15
2,637.92
$ 99,482.40 $182,115.21 $178,051.41
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
$ 27,173.94 $ 78,028.71 $72,418.63
68,221.70
Time Certificates
33,846.01
32,521.84
Demand Certificates
1,600.00
2,906.04
Savings Accounts
,6,258.04
107.11
Cashiers Checks
5,594.54
24.53
Other Liabilities
6,904.78
21.93
Bills Payable
377.31
19,497.96
Rediscounts
3,000.00
-5,246.97
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
4,969.82
1,806.51
76.64
Real Estate Income
79.50
781.31
156.48
Realized Thru Assets Discovered
17,655.39
926.36
77.99
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
25,000.00
15,000.00
25,000.00
SURPLUS
4,350.98


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 99,482.40 $182,115.21 $178,051.41
31

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS.
February 5, 1929.
State
Citizens
Martinsburg Martinsburg Maxwell
CASH
$ 19,862.82 $ 21,031.43 $ 56,695.3k
A
ASSETS NOT REALIZED:
Bills Receivable Class A
7,224.19
13,427.33
14,57813"
Class B
6,206.94
42,371.71
17,546.67
Class C
14,421.37
30,387.4t
14,371.70
Overdrafts
Real Estate
25,444.33
19,742.40
5,193.92
Judgments
3,920.15
815.97
Other Assets
21,270.78
1,732.50
6,344
OPERATING COSTS:
General Expense
2,289.25
4,244.5
1,735.42
Legal Expense
37.28
71.45
56.7
SUPPLEMENTARY CHARGES:
Real Estate Expense
875.42
504.2
257.56
Interest Paid
Claims Estb. not on Books
1,789.92
101.35
218.67
Loss on Assets
2,488.51
6,195.00.
CAPITAL IMPAIRMENT ......
2,058.80
109.88
$107,889.76 $ 76,285.30 $181,449.06
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
$ 27,729.09 $ 24,534.54 $110,408.08
Time Certificates
52,152.13
26,041.41
36,888.78'
Demand Certificates
46.00
Savings Accounts
2,946.81
405.42
6,916.98
Cashiers Checks
33.16
Other Liabilities
27.88
1.20
Bills Payable
Rediscounts
Claims in Dispute
105.24
SUPPLEMENTARY CREDITS:
Interest Received
1,863.33
3,687.22
1,585.70
Real Estate Income
827.96
270.00
Realized Thru Assets Discovered
2,091.32
155.84
43.70
Stockholders Liability Settled
100.00
2,600.00
300.00
Deferred Credits
1.50
CAPITAL STOCK:
20,000.00
15,000.00
25,000.00
SURPLUS:
3,860.87


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$107,889.76 $ 76,285.30 $181.449.06
32

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION-GOING CONCERNS
February 5, 1929.
ell

395.34

i7 3.93
L.71
8 '.47

4 .40

44.25

14,50
56 70
21

8.67
5.DO
9. 38
-

9. 16 I

3.0
3.7

7
00
70
(g)
59
)0

CASH:
ASSETS NOT REALIZED:
Bills Receivable, Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
S
UPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Murphy
$ 8,801.76

65,821.86
194,614.00
58,308.13
2,455.37
70,280.14

7,106.72
6,939.42
5,881.12
5.40
2,500.00
30
2:28768
8:23
2

133,707.91
48,796.78
40,752.47

7,790.45
1,848.35

3,743.32
462.05

7,858.81
4,395.51

3,402.98
380.72
83.60
2,611.93

8.30
130.33
50.58
7,068.47
2,925.23

1,022.57
17.67
30.38
32,928.01
2,583.46

$449,630.74

$50,986.75

$358,681.92

$186,570.77
187,261.88
,3,812.25
20,652.59

$15,925.12
11,836.72
300.00
2,248.27

$122,953.29
200,784.84

3.03

900.00

9.91

45,390.61
19
8168
:7
039:2.;

2,342.39

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
Time Certificates
Demand Certificates
Savings Accounts
Cashiers Checks
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Discovered
Stockholders Liability Settled
Deferred Credits
CAPITAL STOOK:
SURPLUS:

16


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

North
Bend
$ 13,441.59

Mitchell
$ 39,690.82

33

I 0'°

3,316.17
65.00
295.47
1,100.00

9,026.98
599.10

37,500.00
4,180.93

15,000.00

25,000.00

$449,630.74

$50,986.75

$358,681.92

5,268.09
4,172.70
208.50

307.80

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
CASH:
ASSETS NOT REALIZED:
Bills Receivable, Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT:

Overton
$ 34,804.44
189,016.47
255,548.70
81,078.58
167.45
72,701.99
988.04
8,653.47

500.00
5,248.43
3,556.60

17,688.04
45,703.14
82,130.03

19,472.33
2,038.33
1,583.65

38,405.70
7,559.42
12,136.70

6,655.91
544.71

2,460.75
450.35

4,689.58
182.60

2,816.69

717.69

32,274.03
10,600.19

16.25
695.92
1,157.20

2,214.81
41.17
375.00
7,097.96

$695,850.67
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
$176,167.88
Deposits Subject to Check
416,405.67
Time Certificates
Demand Certificates
Savings Accounts
4,970.49
Cashiers Checks
431.73
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
8,197.67
Interest Received
1,688.20
Real Estate Income
36,778.98
Realized Thru Assets Discovered
Stockholders Liability Settled
Deferred Credits
50,000.00
CAPITAL STOCK
1,210.05
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$695,850.67
34

Panama
Paxton
$15,177.95 $ 4,316.69

$53,075.45 $222,540.94

$24,882.19 $109,814.92
9,502.02
46,392.18
I
800.00
-)
18,490.11 f
"
17.39
1
30.65
45 ,

877.83
950.83
562.58
1,300.00
15,000.00

3,103.32
2,252.45
1,384.01
250.00
40,000.00
5.91

$53,075.45 $222,540.94

/

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
Citizens
Security
Pierce
Plainview
Plainview
CASH
$ 31,637.75 $ 54,180.11 $ 13,033.03
ASSETS NOT REALIZED:
Bills Receivable, Class A
17,264.91
51,392.50
25,101.54
Class B
77,884.78
230,673.06
87,424.98
Class C
238,731.94
15,805.37
57,000.63
Overdrafts
1,614.97
479.91
Real Estate
60,621.49
110,321.71
47,710.65
Judgments
1,798.21
19,848.13
8,457.53
Other Assets
1,705.38
3,737.22
4,367.95
OPERATING COSTS:
General Expense
7,346.04
7,252.08
6,319.28
Legal Expense
1,871.71
1,983.14
1,232.54
SUPPLEMENTARY CHARGES:
Real Estate Expense
1,869.06
9,072.93
7,997.79
Interest Paid
12.92
641.56
1,559.53
Claims Estb. not on Books
81,698.90
127.57
14.00
Loss on Assets
20,442.16
12,024.98
10,426.06
CAPITAL IMPAIRMENT
$544,500.22
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
$114,331.76
Time Certificates
250,33(7.81
Demand Certificates
10,593.18
Savings Accounts
19,620.39
Cashiers Checks
4,955.79
Other Liabilities
48,496.16
Bills Payable
5,075.18
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
3,719.55
Real Estate Income
1,184.46
Realized Thru Assets Discovered
37,608.91
Stockholders Liability Settled
Deferred Credits
620.15
CAPITAL STOCK
25,000.00
SURPLUS
22,956.88


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$544,500.22
35

$517,540.27

$270,645.51

$153,516.45 $ 50,555.74
280,791.00
163,247.56
2,806.33
7,510.90
282.33

14,273.67
3,191.04
591.13

6,023.29
3,823.09
2,347.31
50.00
553.87
50,000.00
9,835.70

3,696.27
3,525.82
162.54
143.92
25,000.00
6,257.82

$517,540.27 $270,645.51

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERN
February 5, 1929.
Ralston
Ponca
Polk
$ 5,868.60 $ 20,814.27 $ 15,955.40

CASH
ASSETS NOT REALIZED:
Bills Receivable, Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

32,824.35
68,555.04
32,578.82
50.82
66,088.35
1,560.50
4,655.56

14,596.93
183,742.92
38,887.06
106,335.28
34,780.51
4,097.63

53,822.82
66,612.41
8,243.12
551.12
66,754.95
210.00
28,667.61

1,518.71
14.73

4,546.78
328.19

993.99
8.20

108.00

5,179.62

68.19

8,504.16
8,138.98

1,578.75
16,772.99

9,472.49
2,870.73

$230,466.62 $431,660.93 $254,231.0.
D:
LIQUIDATE
NOT
S
LIABILITIE
Payable from Guaranty Fund:
$ 39,029.23 $ 87,512.83 $101,459.10
Deposits Subject to Check
60,566.66
104,853.99
216,220.96
Time Certificates
450.00
Certificates
Demand
59,332.36
10,838.96
Savings Accounts
657.82
3,885.99
1,927.00
Cashiers Checks
11,275.26
58.54
Other Liabilities
16,675.06
Bills Payable
3,400.00
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
453.03
1,017.68
7,401.60
Interest Received
191.13
4,584.93
157.50
Real Estate Income
12,655.11
2,608.73
2,786.35
Realized Thru Assets Discovered
70.00
Stockholders Liability Settled
7,179.34
Deferred Credits
'15,000.00
65,000.00
25,000.00
CAPITAL STOCK
3,915.83
46,276.34
3,917.26
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$230,466.62
36

$431,660.93

$254,231.07

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
Republican
City
Rohrs
Scotia
$ 2,613.84 $ 54,634.46 $ 6,217.79

CASH
ASSETS NOT REALIZED:
Bills Receivable, Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books..
Loss on Assets
CAPITAL IMPAIRMENT

7,688.30
13,745.24
13,780.30
7.26
10,958.15
1,057.25
4,159.15

15,767.04
14,464.15
2,918.26
1,024.44
6,800.00

12,035.44
55,057.1
22,210.75
270.27
5,000.00

1,697.21

5,641.06

1,840.39
6.60

3,414.06
.80

2,484.21
1.60

224.27

65.51

241.31
31.12
5,516.95
2,395.34
18.56
3,342.25
1,783.87
$62,059.65 $100,835.61 $116,219.12

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
$ 23,952.34 $ 30,949.40 $ 24,491.34
Time Certificates
16,131.41
59,881.77
55,023.48
Demand Certificates
21.25
Savings Accounts
?, A 4,998.75
Cashiers Checks
1,451.06
288.1(1
Other Liabilities
2,029.67
Bills Payable
3,500.54
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
282.46
2,351.23
1,147.56
Real Estate Income
238.30
323.75
Realized Thru Assets Discovered
4.08
120.47
4,860.14
Stockholders Liability Settled
Deferred Credits
CAPITAL STOCK
20,000.00
10,000.00
15,000.00
SURPLUS
2,067.28


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$62,059.65 $100,835.61
37

$116,219.12

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
CASH
ASSETS NOT REALIZED:
Bills Receivable, Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Scribner
St. Edward
Shelton
$102,197.03 $ 27,021.37 $ 7,024.75
48,071.00
9,564.71
35,961.74
23.34
127,991.82
19,701.28
16,148.65

17,619.47
100,881.49
32,395.66
3.17
44,192.07
65,886.47
8,612.44

79,358.87
57,092.84
2,952.99
380.44
44,224.66
2,888.25
4,501.66

6,979.62
1,185.84

12,745.40
1,260.55

4,679.76
560.67

3,226.96

4,667.09
2,455.32
30.20
28,288.04
13,046.48

652.50

541.28
35,177.84

5,411.30
12,659.13
2,721.25

$406,771.11 $359,105.22 $225,109.12
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check .... $ 60,873.89 $ 90,588.28 $ 72,048.65
234,128.37
192,551.11
113,105.57
Time Certificates
100.00
2,075.00
Demand Certificates
5,402.70
1,748.65
10,812.75
Savings Accounts
638.07
1.00
15.59
Cashiers Checks
3,849.70
131.95
120.06
Other Liabilities
Bills Payable
Rediscounts
1,500.00
Claims in Dispute
SUPPLEMENTARY CREDITS:
16,192.60
22,220.14
4,042.62
Interest Received
2,452.19
2,521.92
788.00
Real Estate Income
1,513.09
293.48
4,679.57
Realized Thru Assets Discovered
350.00
Stockholders Liability Settled .
Deferred Credits
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

40,000.00
41,270.50

40,000.00

25,000.00

$406,771.11

$359,105.22

$225,109.12

38

JIM

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
Stockville
Superior
Thurston
$ 9,844.23 $ 31,099.90 $ 14,024.49

CASH
ASSETS ,NOT REALIZED:
Bills Receivable, Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
" Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

12,172.19
21,753.73
15,164.14
272.19
6,862.62
8,521.02
720.67

196,440.82
137,059.37
61,765.44
340.90
49,500.00
2,734.08
7,383.50

39,982.86
1,800.07
568.99

3,237.97
206.75

923.10
1.20

5,161.01
495.78

367.70

61.32

2,616.57

1,406.81
255.00
32,165.15

26,739.83

180.41
16,661.50

4,232.98
2,959.24
18,417.84

$112,950.17 $514,049.46 $107,101.74
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Subject to Check
$ 39,566.08 $224,007.72 $ 35,423.31
Time Certificates
59,004.27
65,625.32
46,830.22
Demand Certificates
81.31
3,404.92
Savings Accounts
97,618.97
320.49
Cashiers Checks
12,590.84
Other Liabilities
2.30
31,371.99
24.00
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
Interest Received
2,261.94
1,650.16
1,021.65
Real Estate Income
38.00
1,075.78
4,192.16
Realized Thru Assets Discovered
1,996.27
22,021.87
523.70
Stockholders Liability Settled..
Deferred Credits
CAPITAL STOCK
10,000.00
50,000.00
15,000.00
SURPLUS
8,086.81
361.29


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$112,950.17 $614,049.46 $107,101.74
39

SUBDIVISION NO. 1, EXHIBIT C.
STATEMENT OF CONDITION—GOING CONCERNS
February 5, 1929.
CASH
ASSETS NOT REALIZED:
Bills Receivable, Class A
Class B
Class C
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

Vesta
2,824.44

Wolbach
Wakefield
$ 46,779.73 $ 13,690.79

7,344.05
27,810.98
23,039.73
163.39
32,566.86
2,986.72
530.81

24,152.50
193,245.01
61,605.16

73,499.13
5,154.11
16,318.60

49,395.85
33,699.55
9,083.80

79,968.29
10,648.07
624.33

6,574.16
1,183.95

10,325.01
1,331.36

9,224.55
190.85

2,664.09
858.49

2,112.87
435.06
55.20
32,025.66

6,535.84
3,695.78
13.41
23,159.00
10,353.43

16,226.67
1,374.31

$126,148.65 $464,246.76 $253,076.18
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
$ 37,054.84 $141,287.31 $ 28,111.34
Deposits Subject to Check
55,079.57
184,108.94
262,734.32
Time Certificates
14.52
Demand Certificates
83.13
10,329.18
Savings Accounts
887.58
Cashiers Checks
55.20
Other Liabilities
Bills Payable
Rediscounts
Claims in Dispute
SUPPLEMENTARY CREDITS:
5,081.20
16,437.08
13,530.16
Interest Received
1,916.18
3,256.39
5,338.43
Real Estate Income
55.20
1,407.13
1,889.66
Realized Thru Assets Discovered
609.73
140.00
Stockholders Liability Settled .
Deferred Credits
25,000.00
20,000.00
25,000.00
CAPITAL STOCK
4,064.50
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$126,148.65
40

$464,246.76

$253,076.18

SUBDIVISION NO. 2, STATEMENT NO. 1.
CONSOLIDATED STATEMENT OF 137 NEW RECEIVER
SHIPS
February, 5, 1929
CASH

$

ASSETS NOT REALIZED:
Bills Receivable
•
$ 7,913,777.36
Overdrafts
65,941.13
Furniture and Fixtures
121,034.54
Real Estate
2,665,820.83
Judgements
904,740.08
Other Assets
260,049.49
Acquired and Discovered:
Bills Receivable
188,138.96
Real Estate
318,007.56
Judgments
432,579.91
Chattels
374,215.71
OPERATING COST:
General Expense
368,286.73
Legal Expense
176,830.39
SUPPLEMENTARY CHARGES:
Real Estate Expense
238,555.72
Interest Paid
378,040.00
Claims Established not shown on Books
750,868.46
Claims in Dispute not on Books
192,980.27
Loss on Assets
7,257,609.88
CAPITAL IMPAIRMENT

650,968.51

13,244,305.57

545,117.12

8,818,054.33
4,591,529.22
$27,849,974.75

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Accounts Payable
Depositors Guaranty Fund
SUPP
LEMENTARY CREDITS:
Interest Received
Real Estate Income


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

2,228,626.79'
11,153,185.57
' 13,496.21
14,297.93- 13,409,606.50
343,945.73
283,012.61
125,787.98
1,994.70
385.00
755,126.02
8,370,500.19
329,996.86
187,090.48
41

SUBDIVISION NO. 2, STATEMENT NO. 1.
Realized Thru Assets Discovered .....
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

78,410.34
525,689.02
558,133.16

1,679,319.86
3,558,700.00
76,722.18
$27,849,974.75

SUBDIVISION NO. 2, EXHIBIT A.
STATEMENT OF ASSETS, ESTIMATED CASH VALUE, LIABILITIES
AND ULTIMATE LOSS IN 137 NEW RECEIVERSHIPS
AS OF FEBRUARY 5, 1929
Total Assets, Cash and Unpaid Stockholders Liability in
$16,895,840.92
137 New Receiverships
2,859,528.63
Expect to realize in cash from above
(Note: The amount of the estimated cash value given
is approximately 17 per cent of the book value. However, the estimated cash value was determined from
the assets and not by a percentage basis.)
Total Liabilities against Guaranty Fund in 137 New
13,409,606.50
Receiverships
2,859,528.63
Expect to pay from assets
Leaving an ultimate loss to be paid" from the Guaranty
$10,550,077.87
Fund of


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

42

SUBDIVISION NO. 2, EXHIBIT B.
ULTIMATE LOSSES AND RECOVERIES
IN 137 NEW RECEIVERSHIPS
Estimated as of February 5, 1929
Town
Adams j
Altona Ames
Angora
Angus
Ansley
Ansley
Bartley
Bassett
Bazile Mills
Belden
Belgrade
Bennington
Bennington
Beverly'
Blair
Bloomfield
'
Boelus
Brayton

Name of Bank
Farmers State Bank
Farmers State Bank
Farmers State Bank
Angora State Bank
Bank of Angus
Farmers State Bank
State Bank of Ansley
Farmers State Bank
State Bank of Bassett
First State Bank
Farmers State Bank
Bank of Belgrade
Bennington State Bank
Mangold & Glandt Bank
Beverly State Bank
State Bank
Citizens State Bank
Farmers State Bank
Brayton State Bank

Bridgeport
Bridgeport Bank
Broadwater •
Broadwater Bank
Brownville
Brownville State Bank
Brunswick
' Farmers State Bank
Bushnell
Farmers State Bank
Carroll
Citizens State Bank
Cedar Rapids ...3. S. Hadley Company
Chadron
Citizens State Bank
Clearwater
State Bank of Clearwater....
Clinton
Clinton State Bank
Cornlea 7
Cornlea State Bank
Cotesfield
'
Farmers State Bank
Craig • • .;......Farmers State Bank
Crawford
Farmers Bank
Crofton
Farmers State Bank
Crookston
Bank of Crookston
Culbertson
Farmers State Bank
Dannebrog
Dannebrog State Bank
Dannebrog
First State Bank
Dix ............Farmers State
Bank


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

43

Loss
None

Recovery
$ 4,273.47
None
1,000.00

9,000.00
91.44
170,495.77
144,748.24
8,000.00
80,918.34
5,785.50
114,786.70
101,390.46
82,780.40
86,741.34
5,946.1N
234,643.72
40,000.00
62,360.02
4,910.22
300,174.51
5,000.00
4,500.00
77,649.21
None

None
750.00

207,174.32
94,541.26
156,736.56
14,300.00
122,980.33
3,655.78
1,000.00
5,000.00
268,803.44
None

None
6,300.00

202,931.74
238,799.96
4,600.00

--wve.1111111M1

SUBDIVISION NO. 2, EXHIBIT B.
Town

Loss

Name of Bank

Farmers State Bank
Dixon
Commercial Exchange Bank.
Doniphan
Dunbar State Bank
Dunbar
Farmers State Bank
Eagle
Security State Bank
Eddyville
Farmers State Bank
Elba
Elgin State Bank
Elgin
Enola State Bank
Enola
Farmers State Bank
Ericson
Ewing State Bank
Ewing
Pioneer Bank
Ewing
Farmers & Merchants Bank..
Fairfield
Citizens State Bank
Geneva V
Commercial Bank
Gibbon
Citizens Bank of Giliner
Giltner
Farmers & Merchants Bank..
Gretna
Nebraska State Bank
Harvard
Union State Bank
Harvard
Bank of Commerce
Hastings
.....Farmers State Bank
Hazard .
Citizens State Bank
Holdrege
Hooper ..........Dodge County Bank
Jackson State Bank
Jackson
Farmers & Merchants Bank..
Kennard
Lakeside State Bank
Lakeside
Lorenzo State Bank
Lorenzo
Security State Bank
Lynch
Citizens State Bank
Lyons
Citizens State Bank
McCook
Security State Bank
McGrew
Macy State Bank
Macy
Magnet State Bank
Magnet
Malcolm State Bank
Malcolm
Meadow Grove.. Meadow Grove State Bank
Minatare State Bank
Minatare
Monowi State Bank
Monowi
Mount Clare State Bank
Mount Clare
Republican Valley Bank
Naponee
Atlas Bank of Neligh
Neligh
Neligh State Bank
Neligh
State Bank of Nelson
Nelson
Farmers State Bank
Newcastle


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

44

Recovery
2,402.29

78,591.99
178,136.94
23,323.47
6,700.00
129,817.74
503,265.46
19,284.29
524.66
160,056.95
217,109.14
103,575.17
248,109.73
98,00'0.00
86,759.84
137,997.73
236,130.14
500.00
27,000.00
39,190.54
18,500.00
1,000.00
124,739.76
151,820.07
14,585.18

None
None
None
45,753.94
83,235.46
145,480.49
95,699.33
None
31,188.00

3,800.00
15,950.00
None
33,000.00
None
None

None
11,000.00
20,000.00
5,500.00
15,000.00

354,855.87

SUBDIVISION NO. 2, EXHIBIT B.
Town

Name of Bank

Loss

Rock County Bank
Newport '''.
First State Bank
Nickerson
Niobrara Valley Bank
ITiobrara v"
.
North Platte... Platte Valley State Bank
Antelope County Bank
Oakdale
Oakdale Bank
Oakdale
Ohiowa
Nebraska State Bank
Omaha
Bank of Benson
Omaha
Commercial State Bank
Omaha
Security State Bank
Orchard
Orchard State Bank
Osceola
Osceola Bank
PaPillion
State Bank of Papillion
Pawnee City....First State Bank
Peru i
Peru State Bank
Petersburg
Citizens State Bank
Petersburg
Farmers State Bank
Potter
Citizens State Bank
Ralston
Citizens State Bank
Randolph
Farmers State Bank
Richfield
First State Bank
Riverton
Republican Valley Bank
Rosalie
Farmers State Bank
Royal
Citizens State Bank
Royal
Royal State Bank
Santee
Santee State Bank
Scottsbluff
American State Bank
Seneca
Seneca State Bank
Sidney
...American Bank
Silver Creek.
Silver Creek State Bank
SnYder
Snyder State Bank
So. Sioux City..
.Bank of South Sioux City
Spring Ranch...Blue Valley State Bank
Springview
Springview State Bank
Stapleton
Farmers Bank
Sterling
Farmers & Merchants Bank.
Strang
Strang State Bank
Stratton
Citizens State Bank
Superior
State Bank of Superior
Sweetwater'
Sweetwater State Bank
Taylor
Old Gold Bank
Thedford
Thedford State Bank


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

15

Recovery

101,888.49
2,000.00
, 59.97
560,355.13
85,483.58
122,010.97
None
397,273.33

None
2,000.00
15,000.00
1,700.00

186,420.69
1,000.00
316,959.13
.704.81
72,161.65
167,968.49
4,500.00
None
4,948.86
None
107,048.84

7,103.79
None
None
5,000.00

72,535.98
1,000.00
325,000.00
3,300.00
1,000.00
124,523.40
90,626.70
355,289.26
88,907.04
None,
None
28,800.00
33,000.00

None
None

26,990.fr,
533,403.50
3.80
None
None

None
None

SUBDIVISION NO. 2, EXHIBIT B.
Name of Bank
Town
i
Liberty State Bank
Thurston
State Bank
Tilden
Trumbull State Bank
Trumbull
Ulysses
Farmers & Merchants Bank.
First Bank of Ulysses
Ulysses '
Valentine'
Valentine State Bank
Verde11
Farmers State Bank
Wahoo
Farmers & Merchants
Waverly
Bank of Waverly
Wayside
Wayside State Bank
Western .......Western State Bank
Winnetoon
First State Bank
Wolbach
Farmers State Bank
York
Farmers State Bank

Loss

Recovery

65,929.80
146,661.73
1,200.00
153,229.30
257,089.27
None
229,519.85
77,792.88
None
65,132.98
160,000.00

None

2,700.00
None

2,791.85
67,638.10

$10,983,042.39 $432,964.52
Total Loss to be paid by Guaranty Fund....$..$10,983,0.42.39
Total Recoveries to be made for Guaranty Fund
432,964.52
Net Loss to be paid by Guaranty Fund


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$10,550,077.87

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims In Disp. not on Books
Loss on Assets
*CAPITAL IMPAI
RMENT

$

Ames
Altona
Adams
93.29 $ 5,135.93 $
39-99
24,480.70
1,683.50
2,500.00
1,639.84

45.69

1,941.00

1,613.40
844,29

25.00

167.68
294.00
541.08

3,061.75
1,336.13
2,080.65
67,461.72
11,539.51

1,029.09
583.18

498.84
8,809.62

23,076.97
1,725.2*,

$ 88,030.74 $ 44,773.43 $ 29,441.96
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SU
PPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

47

5,726.53V

23,173.43
—

12.75

6.27
261.95

52,270.13

7,123.00

94.29
2,472.55

479.28

SUBDIVISION NO. 2, EXHIBIT C.
Adams
711.21
137.28
25,000.00

Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

$ 88,030.74

Altona
1,600.00
20,000.00

Ames
309.96
5,675.00
15,000.00

$ 44,773.43 $ 29,443.96

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not shown on books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Angora
8.40 $

Angus F. S. Ansley
1,914.74 $ 2,895.69
62,024.09
527.17
24,887.79
12,258.02
432.76

5,000.00

3,077.93

2,104.56
383.97

3,483.68
662.42

1,820.70
953.87

30.25
1,347.50
316.93

6.00
720.70
S,770.37

1,597.34

59,444.32
6,270.68

23,086.25

2,018.13
5,210.00
21,983.97
70,149.40

$ 74,906.61 $ 33,644.16 $209,836.86
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims


https://fraser.stlouisfed.org
ahr.
Federal Reserve Bank of St. Louis

48

5,500.00

91.44

177,895.77

SUBDIVISION NO. 2, EXHIBIT C.
Angore
4,000.00

Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Augus F. S. Ansley

,

5,210.00
132.88

2,609.30

34,030.00

8,148.09

57.81
84.00
62.79
979.56
5,059.57
25,000.00

1,682.87
3,294.28
862.64
4,800.00
10,000.00
2,155.54

781.39
498.40
3.51
447.79
25,000.00

$ 74.904.61 $ 33.644.16 $209.836.86

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
CASH

Bassett Bazile Mills
Ansley State
945.61 $ 1,273.60
$ 13,414.02 $

ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

96,449.94
7.43

61,584.73
1,500.00

27,847.31
14,299.32
877.38

20,915.72
395.26

685.34

905.98
361.95

1,090.45
130.17

1,893.67
1,536.48

1,426.98

71.42

831.12

1,884.30
12,625.90
12,237.00

49

SUBDIVISION NO. 2, EXHIBIT C.

Claims Est. not shown on Books
Claims in Disp. not on Books
Loss on Assets

Ansley State
4,554.90
51.99
13,927.80
19,631.41

CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

Bassett Bazile Mills
2,873.73
11,754.12
992.43
6,900.50
242,753.89
25,381.13
68,438.83

$220,503.61

$122,781.15

$329,167.05

189,548.24

103,418.34

6,785.50

51.99

2,388.81
719.95

297,284.99
2,264.95
655.50
• 188.09
1,794.84
1,000.00
25,000.00

15,000.00

1,921.83
2,335.13
1.10
731.22
5,107.28
15,000.00

$220,503.61

$122,781.15

$329,167.05

30.72
125.00
193.02
905.31

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Beltlen
$ 7,609.25

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

46,971.40
46.60
4,576,88
22,579.23
15,320.46
50

State
Belgrade Bennington
$ 13,098.38 $ 12,800.43
12,616.16
8.34
1,999.35
55,162.37
13,347.25

49,179.27

19,317.61
206.40

SUBDIVISION NO. 2, EXHIBIT C.
Belden
44.60

Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not shown on books
Claims in Disp. not on Books .
Loss on Assets
CAPITAL IMPAIRMENT

State
Bennington
804.61
584.17

Belgrade

3,500.00

400.00
875.21
850.00

4,782.50
1,186.00

1,787.81
251.99

1,508.38
630.70

311.11
38.64

740.52

3,177.38

2.00

16,860.29
1,200.00
510.99
66,998.25

3,086.62
212.40
26,843.64
30,645.32

3,309.63
10,179.37
1,865.28
47,986.98

$188,023,48 $168,888.96 $149,504.33
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

14,137.51
95,003.30

147,086.70

139.790.46

1,200.00
11,670.33

212.40
67.93

1,160.49
629.56
125.00
2,651.40
3,500.00
20,000.00

618.73
2,198.46
279.80
721.18

36.22
30.00
211.67
555.54

25,000.00

25,000.00

3,639.3'
10.890.50

$188,023.48 $168,888.96 $149,504.33

51

SUBDIVISION NO. 2, EXHIBIT C.

CASH

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
M & G
Bennington
Benson
Blair
$ 1,468.80 $ 19,393.92 $ 23,029.47

ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels

165,178.13
126.81

144,974.97

5,700.00
24,924.40

60,906.93
24,136.03
4,560.61

33,297.19
34,009.13
484.14

2,250.00

9,262.84
4,946.13
7,997.63

1,080.60
62.00

4,668.55
5,023.35

2,307.59
504.81

279.95

3,616.94

571.46

2,533.82

10,907.32

1,105.28
19,413.89

5,965.49
68.78
59,967.59
144,720.15

40,361.40
63,971.91

$117,633.61

$520,539.88

$354,672.39

97,441.34

454,273.33

297,893.72

253.00

OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not Sh'wn on B'ks
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

58,814.87

68.78
14.04

21.86
52

3,749.31

690.25

SUBDIVISION NO. 2, EXHIBIT C.
G
M
Bennington
97.90
190.04
1,132.47
3,750.00
15,000.00

Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

Benson
3,437.22
735.81
8,261.39

Blair
1,787.05
1,133.34
3,168.03

50,000.00

50,000.00

$117,633.61 $520,539.88 $354,672.39

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Bloomfield

Boelus

Brayton

1,046.31
$ 5,132.33 $ 9,919.83 $

CASH

AssETs NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not Sh'wn on B'ks.
Claims in Disp. not on Books .
Loss on Assets
CAPITAL IMPAIRMENT

316,161.95
3,307.66
3,824.75
28,163.08

46,031.46

3,150.68

1,745.16

2,040.00
4:7441..0400
950

40,585.48
54,201.95
27,390.11
3,737.36

27,436.78
329.06
1,124.74
360.20
122.08

2,223.12
856.96

26,413.95
5,473.23

7.59
24
3
16
33

8..0
90
1
26
48
2,5

13,291.80
41.870.69
20,836.64

10.25

216.65
3,217.24
1,117.73

198,667.49
32,960.75

8,510.90
5,066.16

$792,209.15 $107,399.68 $ 54,444.84
L
IABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

83,935.02
53

,

SUBDIVISION NO. 2, EXHIBIT C.
Bloomfield
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

Boelus

Brayton
9.78

3,321.96

96.87

697,250.00

42,006.76

16,338.02
5,674.19
3,203.33
2,557.23
5,011.87
50,000.00
8,852.55

6.12
6.54
8,452.00
15,000.00

1,285.17
200.00
218.06
517.29
110.91
10,000.00

$792,209.15 $107,399.68 $ 54,444.84

STATEMENT OF CONDITION—NEW RECEIVERSHIP
S
February 5, 1929
Bridgeport Broadwate? Brownville
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 15,286.63 $

45.22 $

186,848.42

9,202.94
17.78

57,023.17
18,489.87
1,459.97

7,391.30

6,182.49
1,246.51
1,490.33
1,139.50

54

785.03

1,174.98

3,497.41
2,035.65

3,372.49
699.45

2,191.59
787.80

6,817.49

3,483.33

452.26

SUBDIVISION NO. 2, EXHIBIT C.

Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Bridgeport Broadwater Brownville
1,541.97
12,201.97
646.67
1,500.96
5,723.82
48,864.57
74,106.59

157,243.56
972.22

7,905.72
1,805.45

$430,212.42 $179,519.20 $ 33,903.49
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified ....
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims In Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc
Deferred Credit:;
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

365,974.51 V

294.14

141,875.00

14,858.02

2,927.58
2,109.45
25.84
7,581.33

1,616.37
482.00
985.08
667.88

25,000.00

15,000.00

3,950.73
4,980.19
1,791.01
3,515.98
25,000.00
25,000.00

$430,212.42 $179,519.20 $ 33,903.49

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Brunswick
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$

908.09 $
33,218.78
114.15
1,975.00
20,252.23
12,538.17

55

Bushnell
6.52 $

Carroll
79.58

SUBDIVISION NO. 2, EXHIBIT C.
Brunswick
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Dispute not on books
Loss on Assets
CAPITAL IMPAIRMENT

Bushnell

Carroll

822.79

506.12
286.04

4,518.73
1,386.30

1,529.79
809.71

907.20

5.50
8,942.51
6,138.47

231.96
2,632.15
1,241.17

129,957.43
3,411.25

144,537.34
25,079.53

1,447.66
101.22
2,357.30
49,589.86

$125,024.61 $154,366.71 $176,141
.23
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

56

101,349.21 V

101.22

1,240.93
17,965.68

103,568.40

135,552.15

31.34
181.50
4.26
3,357.08

2,678.00
128.00
166.86
3,618.84

20,000.00

25,000.00

262.35
200.00
12.00
11,002.61
4,112.12
25,000.00

$125,024.61

$154,366.71

$176,141.24

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
CASH
ASSET NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Cedar Rapids Chadron Clearwater
$ 9,242.98 $ 6,032.26 $ 12,831.99
13,341.92

78,544.61
604.48
1,566.95
153,505.66
• 45,566.37
873.29

263,951.77
457.35
3,054.89
43,651.80
6,397.55
3,680.93

2,606.43

2,655.95
46,673.02
11,960.49

15,478.90
25.00
5,090.00
4,359.99

1,737.55
255.32

13,980.35
2,652.82

1,704.94
441.74

3,278.73

17,613.00
11,088.17
11,821.02
1.91
127,974.37

5,525.82

5,281.80
16,236.67
22,245.62

75,436.05
23,075.49
945.21

4,043.88
4,413.20
57,981.50

$341,546.46 $573,647.65 $224,695.63
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers' Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Accounts Payable
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

243,674.32 k

758.67
16,629.68

388.74

205,836.56

251.91
5,956.81

385,500.00
598.35
6,022.80
57

5,841.25
12,586.27

2,472.64
2,865.99

SUBDIVISION NO. 2, EXHIBIT C.
Cedar Rapids

Chadron

Clearwater

392.92
1,656.23
21,813.49
50,000.00

9,622.39
60,037.25
7,400.00
75,000.00
11,063.03

129.78
390.66
1,000.00
12,000.00

Realized Thru Assets
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

$341,546.46 $573,647.65 $224,695.63

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

Clinton
Cotesfield
Cornlea
114.36 $ 7,028.94 $
306.54
72,986.82
185.80
1,200.97
3,434.21

46,551.82
17,955.21
2,219.00
4,673.92
20,262.44
1,545.46

8,216.30
8.33
935.00

7,880.25
942.55

792.51
370.92

1,100:88
618.20

1,100.06
3,336.60
11,647.57

142.05

575.28
926.11
603.39

127.91

132.39

4,137.08
8,247.91
67.50

1,938.98

5,311.78
8,000.00
16,286.84
37,273.86

22,603.70
5,864.04

$117,348.57 $168,414.75 $ 41,890.16
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

58

SUBDIVISION NO. 2, EXHIBIT C.
Clinton
Preferred Claims
Receivers' Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Cornlea
133,580.33

900.00
535.80
5,650.10

8,000.00
5,936.39

Cotesfield
1,155.78
2,500.01)

114.69

15,500.00

77,000.00
,
6,174.79
3,671.75
792.16
4,108.32
3,515.65
15,000.00

$117,348.57

104.48

12.82

8.73
3,134.82
2,650.00
15,000.00

22.06
748.01
6,836.90
15,000.00

$168,414.75 $ 41,890.16

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Crofton
Crawford
Craig
469.11 $ 21,150.63
$
681.64 $
CASH
ASSETS NOT REALIZED:
202,065.96
105,013.13
Bills Receivable
3.30
233.30
Overdrafts
2,260.52
2,278.75
Furniture & Fixtures
57,284.85
27,914.33
Real Estate
14,627.57
Judgments
'651.12
1,066.39
Other Assets
Acquired & Discovered:
1,271.00
3,375.00
Bills Receivable
4,000.00
Real Estate
5,148.22
Judgments
Chattels
OPERATING COST:
3,925.76
6,263.30
General Expense
3,122.57
Legal Expense
1,807.32
3,115.61
628.92
SUPPLEMENTARY CHARGES:
Real Estate Expense
2,131.58
3,904.66
2,160.96
Interest Paid
14,966.28
2,745.77
' Claims Est. not on Books
10,873.34
5,311.32
6,232.50
59


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

SUBDIVISION NO. 2, EXHIBIT B.

Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers' Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

Craig

Crawford

53,524.34
52,370.60

123,330.69
11,871.24

Crofton
631.73
12,732.90
65,705.47

$297,418.28

$157,011.70

$382,421.70

326,603.44

631.73
5.00

26,250.00

256,000.00

86,589.10

4,967.01
638.61
11.55
796.11
35,000.00

2,737.81
1,479.69
1,245.25
3,509.85
200.00
35,000.00

50,000.00

$297,418.28

$157,011.70

$382,421.70

1,412.36
2,662.48
70.30
1,041.39

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Dannebrog 1st State
Crookston
State
Dannebrog
CASH
$
222.39 $ 9,055.02 $ 1,598.57
ASSETS NOT REALIZED:
Bills Receivable
147,861.81
128,128.76
Overdrafts
1,154.42
1,430.80
Furniture & Fixtures
225.07
Real Estate
5,000.00
48,668.79
Judgments
193.37
753.41
Other Assets
14,539.55
12,395.78
Acquired & Discovered:
Bills Receivable
Real Estate
1,500.00


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

60

SUBDIVISION NO. 2, EXHIBIT C.

Crookston
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

5,027.17
2,687.79

1,407.73
550.00

357.44
124.85

1,972.32
3,985.17
4,968.46

2,670.18

418.80

4,735.72
577.03
39,358.18
50,971.59

3,701.12
2,110.15
214.68
83,927.18

83,902.75
3,382.99
$106,149.04

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers' Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

Dannebrog 1st State
Dennebrog
State
4,384.66

$283,059.26 $284,055.40

241,931.74

250,699.96

5,577.03
2,730.25

2,110.15

10,877.13
910.00
515.75
5,881.36
3,874.80
20,000.00

2,116.53
1,825.40
26.05
1,152.26
3,600.00
25,000.00

34.21
487.20
.15
2,223.73
13,500.00
15,000.00

$106,149.04

$283,959.26

$284,055.40

64,090.00

STATEMENT OF CONDITION —NEW RECEIVERSHIPS
February 5, 1929.
Dixon' Doniphan
Dunbar
CASH
714.96 $ 20,081.09
$ 3,973.24 $
ASSETS NOT REALIZED:
Bills Receivable
10,471.78
67,295.75
179,191.55
61


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

SUBDIVISION NO. 2, EXHIBIT C.
Dixon
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

50.00

12.80

2,385.00
12,303.00
682.22
1,517.14

Dunbar
366.88
2,000.00
18,927.56
36,124.32
2,670.41

3,180.00
2,109.93

1,128.13
3,885.66

927.00
586.22

2,094.61
336.73

692.74
246.39
1,953.66

88.82

21.40

3,994.58

39,752.85
3,739.66

4,513.25
18,405.95

8,397.93
44,935.55
10,536.33

$ 65,906.91
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Doniphan

597.71

102,091.99

204,021.03
7,115.91
72,057.53

10,478.00
5,000.00

199.19
7,500.00

21,086.06
854.32
377.00
21.34
492.48
7,000.00
20,000.00

$ 65,906.91
62

$118,703.82 $325,681.35

773.99
2.93
560.72
75.00
15,000.00

2,312.23
107.97
99.75
1,547.06
4,000.00
25,000.00
1,922.87

$118,703.82 $325,684.35

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

Elba
Eddyville
Eagle
484.82 $ 8,188.08 $ 7,651.01
15,808.25
18.43
1,037.75
7,442.44
2,213.11
506.84

59,545.63
316.45
727.21
43,126.83
3,566.51
982.26

3,745.45
4,276.41
395.40

3,160.21

332.37
182.13

4,110.37

10,270.28
5,049.50

1,916.04
690.53
2,772.79

1,783.11
6,906.53
6,068.21

878.80 •
140.00
6,878.30 121,009.96
918.13
10,212.12

1,733.96
121.66
13,048.41
31,850.67

$ 56,365.73 $158,410.69 $175,320.54
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
.Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

40,023.47

1,300.00

151,717.74

19,580.87

4,201.66
4.00

140.00

98,000.00
362.87
160.25
13.81
665.33
63

15,873.39
61.00
1,712.79
4,982.64

2,628.24
978.23
24.9S
415.69

SUBDIVISION NO. 2, EXHIBIT C.
Eagle
Eddyville
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

1,900.00
15,000.00

Elba
350.00
15,000.00

$ 56,365.73 $158,410.69

$175,320.51

15,000.00

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Elgin
Enola
Ericson
$ 18,371.61 $ 10,902.29 $ 1,531.44
239,171.46
453.84
7,336.41
175,315.82
24,844.35
10,510.14

22,452.30
16,121.97
1,451.50
12,444.06
7,163.03
1,407.56

6,160.98

2,840.44
559.08

686.74
53.78

1,257.98
691.97

4,130.58

140.33

10,066.01
2,595.68
22,081.22
187,040.28

1,440.09
2,560.12
4,988.51
9,838.37

61.71
6,037.50
1,360.92
18.83
57,756.72
20,347.42

209.5S

1,858.01
12,128.70

$719,303.63 $ 91,650.65 $ 95,455.05
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
608,265.46
Preferred Claims
43,084.29
524.66
Receivers Certificates
Other Liabilities
Claims in Dispute
2,783.64
25,832.84
1,005.13
241.18
General Claims
Bills Payable
64


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

SUBDIVISION NO. 2, EXHIBIT C.
Elgin
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credite
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Enola

Ericson
78,500.00

1,296.74
1,704.73
126.10
4,885.78

444.46
274.00
28.94
1,986.12

39.64
333.85

100,000.00

20,000.00

15,000.00

51.77

$719,303.63 $ 91,650.65 $ 95,455.05
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Pioneer Bank,
Fairfield
Ewing
Ewing State
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SU
PPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 2,963.99 $ 6,382.73 $ 7,978.37
108,601.26
788.14
2,488.70
600.00
602.28
1,088.81

143,351.90
102.18
2,052.50
1,666.00
11,856.79
4,707.42

37,872.01
17.21
2,476.35
16,847.00
4,889.22
3,758.96

1,000.00
1,054.85
2,000.00
1,852.02
493.65

1,904.96
143.39

1,322.83
155.98

1.40

136.92

2,244.48

2,544.23
2,507.71
16,374.07
54,766.28

4,008.32
678.98
9,101.93
71,417.33

2,331.67

$196,672.54
65

28,291.75
44,632.64

$259,511.35 $153,873.32

SUBDIVISION NO. 2, EXHIBIT C.
Ewing
State
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Pioneer Bank
Ewing

Fairfield

164,656.95

234,109.14

125,105.14

3,126.91

2,678.98

370.03

2,111.38

1,448.55
24.00
43.73
261.02

682.35
81.58
114.00
1,845.30

25,000.00

20,00.00

$196,672.54

1,585.14
435.50
822.51
555.00
25,000.00

$259,511.35 $153,873.32

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Gibbon
Geneva
Florence
587.04
$
25,666.34
$
921.06
$
CASH
ASSETS NOT REALIZED:
112,697.16
122,323.91
Bills Receivable
Overdrafts
3,434.00
7,580.48
Furniture & Fixtures
4,053.72
55,366.42
Real Estate
28,089.12
31,152.75
Judgments
3,355.26
1,469.97
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
657.90
2,681.36
General Expense
222.25
406.99
Legal Expense


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

66

7

SUBDIVISION NO. 2, EXHIBIT C.

SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Florence

Geneva

1,025.13
3,607.81
2,139.96
81.35
54,798.63
25,060.17

118,005.97

Gibbon

34,718.24

$ 90,722.46 $362,445.99 $186,934.51
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

321,109.73

166,934.51

81.35

78,585.72
973.96
541.25
8.00
532.18

212.46
1,029.98
93.82

10,000.00

40,000.00

20,000.00

$ 90,722.46 $362,445.99 $186,934.51
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Harvard
Gretna
Giltner
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 3,591.77 $ 16,439.03 $ 11,872.86
33,476.24
767.25
35,551.25
7,932.99
348.75
67

70,055.44
79.75
1,441.63
112,067.66
2,206.17
587.15

93,252.12
1,714.69
47,965.52
893.45
1,362.42

SUBDIVISION NO. 2, EXHIBIT C.
Giltner
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels

Gretna

216.13

9,317.18
649.24
43,654.75
3,853.22

1,408.60
415.33

939.52
56.42

3,963.91
4,669.22

1,698.19

368.50

3,074.66

2,480.22
30,020.12

16,616.93
7,971.82
85,123.06
10,086.61

5,430.76
1,803.15

OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Eat. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Harvard

2,769.88
211.77
7.60
25,585.97

$120,999.50 $236,957.74 $346,041.66
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

214,297.73
108,559.84

279,730.14

211.77

1,000.00
19,256.74
597.93

773.65
746.56
35.08
432.60
40.00
10,200.00

68

384.64
2,272.13
3.24

7,823.09
3,461.20
5,033.87
4,134.69

20,000.00

25,000.00

$120,999.50 $236,957.74

$346,041.66

I

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Jackson
Hooper
Hazard
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Received
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$ 11,056.06 $

99,587.80
727.26
1,126.09
24,044.75
1,645.62
3,472.47

17,665.48
12.68
943.85
8,769.15
6,172.60
199.89

306.86
224.24

4,647.14

62.50

960.59
1,838.04

435.15
36.52
204.68

1,394.07
1,319.99
59.37
36,779.53
$ 82,189.71

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

679.90 8 8,593.84

69

118,800.05

4,830.15
925.50
6,602.50
16,191.00

$129,639.78 $168,485.83

59,390.54
143,939.76
1,000.00
8,488.13
15.01

57,867.17
155.55
43.62

363.00

197.15
368.75
45.74

11

SUBDIVISION NO. 2, EXHIBIT C.
Hazard

Hooper

2,600.00
20,000.00

22,476.53
20,800.00
25,000.00
2,133.08

$ 82,189.71

$129,639.78

Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Jackson
431.29
15,000.00

$168,485.83

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Kennard
$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expenses
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

80,533.52
4.33
1,308.00
4,567.03
4.97

70

Lakeside
$

$

4,016.13

Lynch
4,825.13
70,094.96

14,297.58
60.16
469.75
1,400.00

95,952.40

196.99
6,471.13

184.45

843.00
12,971.54

9,419.38
380.00

2,207.24
1,125.14

2,655.10
453.12

3,888.10
772.80

10.40

190.32

5,411,23
20,673.20
41,300.68
50,577.42

4,518.19

14,096.49
10,380.43
1,366.37

7,142.21

106,361.08
20,843.60

$215,064.54

$ 55,685.22

$338,565.19

158,820.07

34,085.18

500.00
2,000.00
1,863.00

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

2,978.38

Y

3

SUBDIVISION NO. 2, EXHIBIT C.
Kennard
20,673.20

Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guar. Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Lynch

Lakeside

1,877.77

294,481.02
1,120.54

2,387.98

10.75
681.98
3,758.00
30,000.00

403.50
5,057.56

1,385.23
9:520.48
253.52
1,287.07
9,760.10
20,000.00

11,000.00
2,751.00

$215,064.54 $ 55,685.22

$338,565.19

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929

$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

71

McGrew
Lyons
103.47 $
57.84 $

Macy
107.19

1,341.29
945.14

3,546.00
1,479.55

4,061.61
3,313.54

160.50
6,610.75
3,906.70
87.50

71.00
2,931.07
1,035.04

558.78
1,974.71
4,364.62

SUBDIVISION NO. 2, EXHIBIT C.
Lyons
90,331.52
79,324.28

Loss on Assets
CAPITAL IMPAIRMENT

McGrew
52,334.08
937.41

Macy
94,674.80

$182,765.52 $ 62,437.62 $109,055.25
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

87.50
683.84

11,076.74
8,017.45

138,711.00

44,875.52

64,119.62

251.10
80.00
6.54
3,045.54
9,900.00
30,000.00

5,235.70

715.77
6.00
111.91
5,161.07

65.41
1,760.99
500.00
10,000.00

10,000.00
9,847.69

$182,765.52 $ 62,437.62 $109,055.25

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Meadow
Magnet
Malcolm
Grove
$ 1,917.37 $ 17,150.42 $
925.85

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

37,734.54
7.73
740.00
10,043.10
3,580.57
291.41

72

11,722.66
730.00
57,008.32
6,331.41
421.91

77,158.03
301.57

7,045.50
590.35

"•7.

"77,7TF.'

--•

SUBDIVISION NO. 2, EXHIBIT C.
Magnet
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books ....
Claims in Disp. not on Books ..
Loss on Assets
CAPITAL IMPAIRMENT

Malcolm

Meadow
Grove

983.02
36.32

660.15
39.21

900.67
111.93

140.63

830.75

93.57

2,016.41
60.42
2,492.09
15,580.48

4,904.74
681.04
4,417.38
43,331.88

4,121.03
103.65
91,216.94

$ 75,624.09 $148,229.87 $182,569.09
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

73

$ 58,803.94 $126,735.46 $154,480.49

60.42

681.04

103.6

343.11
75.00
161.60
280.02
900.00
15,000.00

203.23
452.14
2.66
155.34

294.69

20,000.00

9.38
505.88
2,175.00
25,000.00

$ 75,624.09 $148,229.87

$182,569.09

SLTBDIVISION NO. 2, EXHIBIT C
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Atlas Bank,
Neligh
Mt. Clare
Minatare
204.62
$ 6,145.97 $ 5,016.47 $
CASH
D:
ASSETS NOT REALIZE
45,003.34
50,961.80
Bills Receivable
5.93
Overdrafts
871.00
Furniture & Fixtures
450.00
44,176.83
Real Estate
1,659.65
11,826.68
Judgments
203.86
7,556.34
Other Assets
d:
Discovere
&
Acquired
Bills Receivable
2,159.69
Real Estate
248.31
Judgments
Chattels
OPERATING COST:
12,442.28
405.74
2,511.54
General Expense
8,904.08
30.73
797.46
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims In Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:•

60.36

1,946.98

1,625.81

5,192.01
51,510.30
14,864.38

12,495.13
11,829.64

2,116.47
2,304.64

771,767.18
37,714.91

$155,676.86

$ 59,996.38

$902,599.76

118,699.33

49,638.00

15,282.92

780,944.60
921.73
3,160.62

Interest Received
Real Estate Income


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

3,262.87

74

56.22

10,246.34
6,533.33

)2

;0

SUBDIVISION NO. 2, EXHIBIT C.
Minatare
2,959.31
4,865.37
70.00
25,000.00

Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Atlas Bank
Neligh
1,045.88
8,519.39
27.30
10,000.00
80,000.00

Mt. Clare
44.21
257.95

$155,676.86 $ 59,996.38 $902,599.76
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Neligh
Nelson
State
Newcastle
CASH
72.72 $
443.59 $ 11,912.99
ASSETS NOT REALIZED:
46,378.58
Bills Receivable
201,017.29
186.80
93.70
Overdrafts
Furniture & Fixtures
1,766.00
Real Estate
83,387.94
741.20
19,366.58
Judgments
162.93
2,527.38
Other Assets
Acquired & Discovered:
Bills Receivable
1,490.10
Real Estate
2,499.85
Judgments
5,325.76
Chattels
OPERATING COST:
1,580.35
182.65
5,038.81
General Expense
417.47
25.73
Legal Expense
1,881.17
SUPPLEMENTARY CHARGES:
142.60
Real Estate Expense
6,495.83
1,677.38
2,954.71
Interest Paid
1.85
Claims Est. not on Books
4,004.43
Claims in Disp. not on Books
2.00
21,581.24
Loss on Assets
187,093.78
CAPITAL IMPAIRMENT
92,671.03
2,089.50
2,678.84
$210,220.29 $ 83,088.50 $414,584.04
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

75

391,855.87

SUBDIVISION NO. 2, EXHIBIT C.
Neligh State
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claim
Bills Payable
Rediscqunts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Nelson

50.95

2.00
1.80

145,510.00

29,000.00

4,665.53
6,895.98
419.62
2,678.21

1,125.87
144.93
2,813.90

50,000.00

50,000.00

Newcastle

251.93
2,004.48
7.31
464.45
20,000.00

$210,220.29 $ 83,088.50 $414,584.04

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Niobrara
Newport
Nickerson
$
90.96 $
299.81 $
72.80
CASH
ASSETS NOT REALIZED:
69,415.91
Bills Receivable
Overdrafts
1,025.75
Furniture & Fixtures
3,500.00
Real Estate
7,965.54
Judgments
328.79
296.70
Other Assets
Acquired & Discovered:
3,385.00
Bills Receivable
Real Estate
11,800.00
1,794.17
Judgments
Chattels
OPERATING COST:
5,385.50
2,961.30
549.04
General Expense
55.49
4,016.02
2,179.86
Legal Expense
SUPPLEMENTARY CHARGES:
41.20
239.60
7,251.68
Real Estate Expense
2,904.30
2,890.55
Interest Paid
6,794.94
1,760.62
13,455.27
Claims Est. not on Books


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

76

SUBDIVISION NO. 2, EXHIBIT C.
Newport Nickerson
1,172.89
586.02 141,458.32
73,877.89
57,274.97

Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Niobrara
180,971.13
10,458.85

$145,561.35 $254,680.46 $216,019.46
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

59.97

111.888.49

1,175.89
174.00

324.81
30.00
14.30
1,953.86
30,000.00

1,806.28

• 1,456.36

205,975.39

186,168.00

1,012.82

3,088.92
2,243.11
104.01
2,898.66

740.38
3,317.21
16,828.38
25,000.00

20,000.00

$145,561.35 $254,630.46 $216,019.46

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Oakdale
Ante Co.
Bank
Oakdale
No. Platte
CASH
2,377.86
$
3,195.78
$
$ 30,599.56
ASSETS NOT REALIZED:
62,392.77
48,955.72
576,951.47
Bills Receivable
3,883.9,5
370.00
Overdrafts
2,684.50
1,798.00
Furniture & Fixtures
118,497.76
58,374.66
Real Estate
37,493.26
15,045.51
12,564.26
Judgments
4,583.97
3,403.69
Other Assets
1,987.49
Acquired & Discovered:
600.00
Bills Receivable
8,480.12


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

77

SUBDIVISION NO. 2, EXHIBIT C.
No. Platte
33,161.09
32,977.98

Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Ante Co.
Oakdale

Oakdale
Bank

2,967.50

8,558.32
2,172.50

549.62
106.60

607.45
47.23

7,775.48

834.55

1,288.23

17,475.02
8,464.28
88,034.29
39,391.34

3,002.47
7,767.27

4,198.04
2,390.82
742.15
20,263.39

4,969.42

$893,892.20 $152,973.49 $235,119.6S

670,320.13

124,183.58

196,910.97

29,218.90
651.35
59,909.33

7,767.27

2,390.82
500.00

4,810.33
4,939.06
344.51
9,698.59
14,000.00
100,000.00

701.11
701.12
89.25
731.16
800.00
18,000.00

49.00
1,130.30
151.49
3,987.10
30,000.00

$893,892.20 $152,973.49 $235,119.68

78

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Orchard
Omaha
Ohiowa
CASH

$

ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
, Interest Paid
Claims Est. not on Books
Claims in Dispute not on Bociks

$ 2,419.76

$

577.09

1,138.92

Loss on Assets
CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thcu Assets


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

601.11

14.35
7.74

614.55
644.28

1,557.4'2
296.64

1,966.07

21,176.49
2,288.61

•1,226.1
1,539.42

15,703.90

490,574.17
39,590.94

68,623.21
56,510.12

18,293.17

$560.310.80

$134,469.56

7.000.01,

12 1n

7,1

ft

1,609.38
517.55
79

:;08.05

SUBDIVISION NO. 2, EXHIBIT C.
Ohiowa
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

15,000.00
1,136.24

Omaha
15,165.11

Orchard
472.55
1,000.00
10,000.00

100,000.00

$ 18,293.17 $560.310.80 $134,469.56

STATEMENT OF CONDITION—NEW RECEIVERSHIP
February 5, 1929.
Pawnea
Osceola
Papillion
City
$ 4,094.89 $
936.62 $ 1,742.54

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture and Fixtures
Real Estate
Judgments
Other Assets
Acquired and Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

127,046.51

52,580.93

1,270.95
48,311.73
8,227.10
731.66

171,983.07
10,473.55

17,128.32
2,925.72
9,864.68
1,502.69

1.00

2,973.87
2,658.14

4,897.88
11,594.04

1,745.41
533.07

2,781.21

7,569.97

8,194.542

1,478.50
24,666.60
116,738.07

5,738.19
60,776.33

157,282.87
194,364.62

7,673.59
503.15
10,020.68
136,673.76

$304,226.51 $511,959.20 $401,500.72
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates


https://fraser.stlouisfed.org
I.
Federal Reserve Bank of St. Louis

244,020.69

80

358,959.13

SUBDIVISION NO. 2, EXHIBIT C.

Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Osceola

Papillion

244.59

2,378.52
13,459.17

Pawnee
City
503.15

418,500.00
755.56
1,614.17
22.14
834.45
19,234.91
37,500.00

2,150.04
5,549.88
21,190.96
28,230.63
500.00
20,000.00

405.34
8,703.23
188.80
2,741.07
30,000.00

$304,266.51 $511,959.20 $401,500.72
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Farmers
Citizens
State
State
Petersburg Petersburg
Peru
297.10 $ 5,905.37 $ 16,350.69
$
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired and Discovered
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SU
PPLEMENTARY CHARGES:
Real Estate Expense


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

5,683.11
1,200.00

49,994.33
131.78
1,603.05
19,005.03
7,850.38
1,473.95

90,321.76
21.33
2,672.00
27,456.00
43,484.59
954.35

13,455.70

1,851.63

20,417.76

1,275.59
1,811.90

453.63
585.50

593.25
168.76

37,346.47
219.02

15.00
81

357.50

SUBDIVISION NO. 2, EXHIBIT C.

Interest Paid
Claims Est. not on Books
Claims in Dispute not on Books
Loss on Assets
CAPITAL IMPAIRMENT

LAIBILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liability Settled .
CAPITAL STOCK
SURPLUS

Citizens State Farmers State
Peru
Petersburg
Petersburg
1,553.98
1,115.84
5,393.59
10,046.50
6,418.28
106.59
6,913.84
29.00
8,908.54
10,630.12
30,291.57
77,480.8
$ 81,517.67

$130,987.09

$299,340.50

2,295.19

102,461.65

230,805.41

6,418.28
606.77

2,163.08
106.59
225.62

•

59,000.00
2,860.94

6,116.51
460.54

525.90
686.76
1,148.88
15,000.00

546.01
90.00
1.75
862.63
20,000.00

50,000.00

$ 81,517.67

$130,987.09

$299,340.50

9,462.75

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929.
Ralston
$
378.61

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

96,979.06
721.32
14,086.86
7,557.15
830.05

82

Randolph
$
1.13

I

hi
1.20

SUBDIVISION NO. 2, EXHIBIT C.
Ralston
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Randolph

Richfield

283.49
4,557.32

5,004.36
3,233.01

905.60
250.65

756.46
1,488.72

3,659.47
7,570.58
14,022.17

1,250.78
900.00

2,261.04
5,216.55

34,236.92
8,222.45

73,228.46
16,488.23

35,685.67
677.74

$201,342.82 $ 93,024.85 $ 46,087.38
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SU PPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
8PRPLus


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

4,948.86
2,896.21

4,508.22

157,983.74

33,065.01

30,191.00

820.75
3,284.36
1,539.97
10,309.57

23.80

545.97

5.00
4,131.04
20,800.00
35,000.00

96.75
301.66
3.14
10,000.00

20,000.00

$201,342.82 $ 93,024.85 $ 46,087.38

83

SUBDIVISION NO. 2, EXHIBIT C
STATEMENT OF CONDITION — NEW RECEIVERSHIPS
February 5, 1929.

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
• Loss on Assets
CAPITAL IMPAIRMENT

$

66,606.17

1,994.70

943.60
500.00
15,635.80
325.80

25.69

27,772.22
18.94
175.00
5,000.00
4,978.45
291.70
2,160.86
1,904.11

5,574.33
767.87
1,074.66
382.29

1,380.31
5,000.00
3,256.07
54,190.85

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claim
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Citizen
State
Royal
Rosalie
Royal
State
846.78 $ 5,713.71 $
624.71

84

3,629.11
4,422.68

1,243.85
556.50

463.17
1,168.42
1,487.97

358.67

40,902.03

1,195.83
8,248.34
50,563.64

$150,142.33 $ 66,149.68 $105,092.82

119,5.18.N.1

5,000.00
45.54

84,235.98

13,903.46
1,994.70
16,754.38

41.85

1,930.36

438.28

SUBDIVISION NO. 2, EXHIBIT C.
Rosalie
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

18.96
487.14
25,000.00

Citizens State'
Royal
135.31
677.71
15,000.00
15,000.00
753.76

Royal
State
28.71
389.85
20,000.00

$150,142.33 $ 66,149.68 $105,092.82

NEW RECEIVERSHIPS
STATEMENT OF CONDITION—
February 5, 1929.
Seneca
Scottsbluff
Santee
516.83
$ 14,055.76 $
96.06
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
°PERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

344,731.97
1,703.34
2,895.60
46,281.74
1,487.59
13,949.91

21,441.60
7.94
2,001.00
11,517.72

1,502.00

250.00
613.75
1,613.32

1,105.10
328.96

341.97

2,270.27
132.32

87.77
423.91
258.59

58.80

1,217.41
1,719.62
599.48

11,711.42
4,435.16

82.89
37,775.45

6,184.69
5,929.42

$ 18,446.97
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$464,867.02 $ 56,145.96

413,400.43

85

130.59

SUBDIVISION NO. 2, EXHIBIT C.
Santee
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Expense
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Scottsbluff

Seneca

98.51

156.73

8,145.57

34,500.00

26.07
35.00
25.96
15.86
100.00
10,000.00

990.01
105.53
371.05

1,082.71
110.25
36.00
260.27

50,000.00

20,000.00

$ 18,446.97 $464,867.02 $ 56,145.96

STATEMENT OF CONDITION —NEW RECEIVERSHIPS
February 5, 1929.
Sidney Silver Creek
$ 1,668.49 $ 1,989.65

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

34,441.72
9.30
2,391.00
59,153.40
5,347.53
897.60
300.00
1,295.05
1,286.60

86

1,447.24
287.32

1,585.97
427.19

4,461.91
8,436.18
64.00

7,335.24
3,855.70

••,,,

SUBDIVISION NO. 2, EXHIBIT C.
Sidney
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Deposits not Classified
Preferred Claims
Receivers Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

Silver Creek

288,032.37
211,916.48

10,771.62
73,592.42

$516,313.99

$204,679.89

157,523.40

7,096.08
334,184.00
2,509.86
1,268.50
180.24
20,238.45
57,932.94
100,000.00

1,549.73
4,833.65
47.20
329.83
3,300.00
30,000.00

$516,313.99

$204,679.89

RECEIVERSHIPS
STATEMENT OF CONDITION —NEW
February 5, 1929.
Spring
South
Ranch
City
Sioux
Snyder
.848.49
$
7,913.90
$
60N.50
q:
CASH
ASSETS NOT REALIZED:
11,626.36
221,535.51
81,417.77
Bills Receivable
981.34
203.58
266.96
Overdrafts
1,414.20
4,190.38
Furniture & Fixtures
3,450.27
2,294.82
20,403.88
Real Estate
11,136.35
2,140.35
6,625.29
Judgments
452.75
33,158.44
1,500.00
Other Assets
Acquired & Discovered
1,896.19
Bills Receivable


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

87

SUBDIVISION NO. 2, EXHIBIT C.
South
Sioux City

Spring
Ranch

6,720.21

2,596.1:;

1,592.00
287.50

3,047.72
730.39

1,045.75
260.47

546.60

270.45

23.00

3,984.09
54.46
2,601.42
16,505.32

7,855.23

1,958.26
5,182.54
2,392.98
38,229.86

Snyder
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$136,423.79
LIABILITIES NOT LIQUIDATED:
• Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositor's Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

108,926.70

19,080.84
86,216.35

$396,354.36 $111,599.05

363,389.26

54.46
42.00

1,561.76
400.00

89,51,;

5,182.54
540.55

3,660.06
50.00
360.48
1,464.56
2,430.00
25,000.00

10,000.00

$136,423.79 $396,354.36

$111,599.05

438.87
25,000.00

501.49
1.83
5,865.60

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION —NEW RECEIVERSHIPS
February 5, 1929.

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Asseti;
Acquired & Discovered
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

Springview
102.63 $

Stapleton Sterling
40.57 $ 16,977.52
33,853.43

41,819.43
757.25
7,500.00
14,696.41
1,458.97

951.43
120.75

718.52
100.22

17.50
143.45
78.27

57.90
347.57
47.72

7,936.48

22,659.72

96.00
33.50

11,546.46
$ 9,350.51 $ 57,825.65 $ 94,885.54

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

68,398.96

3,890.34
222.31

89

17,000.00
4.27
25.00

SUBDIVISION NO. 2, EXHIBIT C.
Springview
118.36
100.00
5,000.00
19.50

Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS
$

9,350.51

Stapleton

Sterling

1,165.20
15,000.00
15,000.00
9,660.45

1,457.31
25,000.00

$ 57,825.65 $ 94,885.54

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired and Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COST:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Superior Sweetwater
$ 26,483.63 $ 1,019.11

21,730.80

144,411.93
512.15
1,675.50
43,414.97
13,725.20
56,603.92

12,050.70
1,040.72

4,218.99
48,453.94
25,508.15
136,882.95

30.43

10,116.78
5,197.22

704.ss
78.70

15,502.07

20,127.32

76.05
1,242.81
464.03
141.74
2,865.16
5,648.62

$ 76,394.49

$758,013.15 $ 27,800.94

3,770.00
11,353.12
2,781.22
10,267.79

25.00
8.00

76,722.71
12,270.00
136,313.04

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Strang
6,331.24

90

2,330.00
107.99

65,448.30
614,603.50

3.80

11%

SUBDIVISION NO. 2, EXHIBIT C.
Strang
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

Superior

Sweetwater

12,270.00
323.16
6,064.89

265.87

16,000.00
287.16
108.03

551.00
10,000.00

5,471.46
7,504.13
182.00
49,231.98
1,000.00
50,000.00
11,362.03

269.90
74.56
186.81
1,000.00
10,000.00

$ 76,394.49 $758,013.15 $ 27,800.91

NEW RECEIVERSHIPS
STATEMENT OF CONDITION
February 5, 1929
Trumbull
Tilden
Thurston
18.37
318.88 $ 20,552.94 $
$
CASH
ASSETS NOT REALIZED:
97,075.61
32,122.41
Bills Receivable
Overdrafts
789.06
801.50
Furniture & Fixtures
20,838.89
9,116.48
Real Estate
15,613.96
150.42
Judgments
10,938.73
143.53
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Disp. not on Books


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

147.80
321.86

386.46
32.10

32.95

453.80

1,718.99
164.79
91

237.S
46.41

72.50
457.32

SUBDIVISION NO. 2, EXHIBIT C.
Thurston
1,574.94
46,057.45

Loss on Assets
CAPITAL IMPAIRMENT

Tilden
50,309.68

Trumbull
13,000 00

$ 92,672.00 $216,991.23 $ 13,832.44
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

195,861.73
72,429.80

164.79
259.94

2,072.50
40.88
512.50
6.12
77.41
20,000.00

$ 92,672.00

570.00
20,000.00

1,500.00
10,000.00

$216,991.23 $ 13,832.41

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
F.& M. First Bank
Ulysses
Ulysses
Valentine
$ 2,939.63 $ 10,751.24 $
136.40

CASli
ASSETS NOT REALIZED:
Bills receivable
Overdrafts
Furniture and Fixtures
Real Estate
Judgments
Other Assets
Acquired and Discovered :
Bills Receivable
Real Estate


https://fraser.stlouisfed.org
A.
Federal Reserve Bank of St. Louis

45,373,88
620.90
542.50
4,700.00
37,205.35
1,345.17

6,709.92
92

48,629.82
37.46
4,145.00
40,142.15
38,435.34

SUBDIVISION NO. 2, EXHIBIT C.
F.& M. First Bank
Ulysses
Ulysses
160.00
472.60
861.56

Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. Not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Valentine

1,249.39
1,624.69

1,056.73
165.03

5,954.47
2,008.59

227.53

793.81

10,878.57
43.23
4,052.93
75,771.06

7,332.01
408.99
43,922.18
139,104.40

1,489.88
2,617.59
3,965.27
126,749.45
13,430.42

$194,619.81 $335,084.16 $156.352.07
[ABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
291,589.27
159,629.30
Preferred Claims
Receiver's Certificates
Other Liabilities
408.99
43.23
Claims in Dispute
6,403.38
General Claims
Bills Payable
Rediscounts
116,442.51i
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
377.31 $ 9,880.29
681.69 $
$
Interest Received
990.95
131.00
5.00
Real Estate Income
81.92
20.35
24.82
Realized Thru Assets Disc
2,456.41
2.057.24
10,432.39
Deferred credits
1,500.00
500.00
2,400.00
Stockholders' Liability Settled.
25,000.00
40,000.00
15,000.00
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$194,619.81 $335,084.16 $156,352.07

93

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Verde!
Wahoo
Waverly
$ 2,155.82 $ 5,672.24 $
816.58

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture and Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Book'
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

92,861.63
1,750.00
43,960.98
10,203.29
3,400.14

69,028.27
196.25
2,159.11
12,347.66
542.14

113,792.03
3,009.39
300.00
6,924.39
798.34

4,979.04
500.00
5,960.11
1,437.00

3,089.00

1,129.64
56.92

1,978.16
515.72

8,400.07
1,938.22

1,927.55

2.05

4,968.95
16.82
31,454.80
72,804.65

6,147.13
624.26
4,835.72
25,782.95

110.25
8,098.52
10,063.22

6,898.05

48,522.94
29,307.47

$266,691.19 $142,708.11 $242,068.47
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits Not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc


https://fraser.stlouisfed.org
A._
Federal Reserve Bank of St. Louis

$243,769.85 $100,792.88

16.82
34.84

625.82
2,056.02

217,037.25
27.38
2,149.64
60.10
94

2,190.92
345.07

3,644.70
805.64
645.28

SUBDIVISION NO. 2, EXHIBIT C.
Verde!
832.56
1,800.00
18,000.00

Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
3URPLUS

$266,691.19

Wahoo
1,697.40

Waverly
4,935.60

35.000.00

15,000.00

$142,708.11 $242,068.47

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929 N/
Winnetoon
Western
Wayside
573,09 $ 3,476.38 $ 1,634.19
CASH
$
ASSETS NOT REALIZED:
128,499.49
'29,605.77
Bills Receivable
14.56
8.73
Overdrafts
2,422.50
Furniture and Fixtures
28,497.60
525.00
Real Estate
832.78
1,456.42
Judgments
749.37
442.41
Other Assets
Acquired & Discovered:
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est, not on Books
Claims in Disp. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

1,877.66
169.72

863.97
308.22

144.85
25.00

117.04

330.00

712.63
169.73

4,290.39

17,869.11
2,052.61

5,656.76
57,937.40

61,547.63

$ 23,424.55 $104,688.49 $224,697.97
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$203,682.97
66,132.98

95

SUBDIVISION NO. 2, EXHIBIT C.
Wayside
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

Western

Winnetoon

2,740.97

11,543.50
1,292.24
218.00
10.00
323.78
37.03
10,000.00

266.13
15.00
130.95
32.50
268.69 •
15,116.37
1,000.00
20,000.00
20,000.00

$ 23,424.55 $104,688.49 $224,697.97

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
February 5, 1929
Wolbach
$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Furniture & Fixtures
Real Estate
Judgments
Other Assets
Acquired & Discovered:
Bills Receivable
. Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not on Books
Claims in Dispute


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

85,552.06
437.66
3,989.14
144.01

96

York

371.47 $ 4,458.81
35,490.48
362.59
2,816.25
48,356.67
33,494.03
434.99

88.35
6,545.62

500.00

1,835.98
1,288.76

2,404.37
232.27

878.59
6,263.95
1,720.67
10,582.38

1,777.23
4,185.69
1,989.77

SUBDIVISION NO. 2, EXHIBIT C.
Wolbach .• York
15,061.57
54,391.80
27,870.35
32,920.18

Loss on Assets
CAPITAL IMPAIRMENT

$207,010.62 $179,435.07
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Deposits not Classified
Preferred Claims
Receiver's Certificates
Other Liabilities
Claims in Dispute
General Claims
Bills Payable
Rediscounts
Depositor's Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

8.15
2,200.00

121,538.10

43,775.42
529.11

3,635.77
561.57

130,985.73
1,818.76
798.15
1.50
5,560.47
1,333.33
20,000.00

1,136.28
1,835.26
728.09
50,000.00

$207,010.62 $179,435.07
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
(Van E. Peterson, Receiver)
February 5, 1929.
Beverly
Culbertson
Bartley
CASH
22.45 $ 1,306.86
$ 1,038.35 $
OPERATING COST:
General Expense
7,502.87
2,544.90
5,267.05
Legal Expense
4,839.09
1,357.85
2,926.10
SUPPLEMENTARY CHARGES:
Real Estate Expense
59.80
2,982.50
576.89
Interest Paid
4,318.59
1,144.99
1,235.33
Claims Estb. not shown on Books
3,791.52
9,156.89
812.76
Loss on Assets
100,149.08
12,701.94
36,391.85
CAPITAL IMPAIRMENT
4,133.30
8,312.07


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$48,248.33 $ 35,300.89 $129,023.81
97

•••--

SUBDIVISION NO. 2, EXHIBIT C.
Bartley
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Preferred Claims
Claims in Dispute
General Claims
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Deferred Credits
Stockholders Liability Settled
CAPITAL STOCK
SURPLUS

Beverly

Culbertson

53.82
406.73
17,910.96

154.56
17,799.94

4,437.57
115.80
586.26
1,092.51
3,546.76
20,000.00
151.74

1,703.64

300.01)
3,690.45
89,707.08

1,868.63
3,020.30
700.00
10,000.00

5,843.60
1,025.79
396.61
2,060.2s
6,000.00
20,000.00

$48,248.33 $ 35,300.89

$129,023.81

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
(Van E. Peterson, Receiver)
February 5, 1929.

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
Acquired and Discovered:
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Established Not Shown
on Books


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

98

$

Union State
Dix
Harvard
Hastings
1,687.83 $
24.26 $
697.84
25,467.56
72.63

101,550.38
63.77

6,364.28
119.18

7,650.25
1,070.63

2,300.00

19,470.34

4,100.00
142.11

12.60
5,272.87
3,375.70

825.04
1,541.88

4,426.91
6,557.21

378.92
3,323.30

320.62
5,155.47

3,509.44
15,544.89

4,340.07

1,050.00

si RDIVISION NO. 2, EXHIBIT C.

Dix
Claims in Dispute Not Shown
on Books
Loss on Assets
CAPITAL IMPAIRMENT

Union State
Harvard

Hastings

11,500.00
19,300.44

5.50
426,609.75
28,521.87

$110,339.73

$169,535.68

$492,415.66

11,500.00
2,809.17
102,420.00

1,592.39

41,573.79
38,000.00

56,841.34
3,026.05

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Claims in Dispute
General Claims
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Deferred Credits
Stockholders' Liability Settled
CAPITAL STOCK
SURPLUS

3,400.45
2,088.50
1,462.21
27,071.14
43,800.94
75,000.00

396.58
797.75
175.42

4,825.18
761.01
344.63
3,835.12
1,000.00
20,000.00

$110,339.73

338,000.00

25,000.00
25,000.00
1,436.76
$169,535.68

$192,415.66

STATEMENT OF CONDITION—NEW RECEIVERSHIPS
(Van E. Peterson, Receiver)
February 5, 1929.
Cit. State
Holdrege
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Other Assets
Acquired and Discovered
Bills Receivable
Real Estate
Judgments
Chattels
OPERATING COSTS:
General Expense
Legal Expense


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$

Lorenzo

424.19 $
10,146.81
32,294.08

McCook

555.40 $
16,197.01
1,298.85
6,150.61
49.91

779.43
41,863.67

14,100.00
17,281.51
93,560.15

7,500.00
189,919.91
1,583.45
1,016.28
99

4,505.39
1,175.35

12,477.02
6,525.97

SUBDIVISION NO. 2, EXHIBIT C.
Citizens State
Holdrege
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Established Not Shown
on Books
Loss on Assets
CAPITAL IMPAIRMENT

Lorenzo

McCook

4,409.99
3,776.08

507.04
681.37

13,059.82
6,736.55

575.83
94,736.83

2,114.70
11,742.60
510.04

961.57
88,075.01

$346,383.45 $ 45,488.27 $295,420.70
LIABILITIES NOT LIQUIDATED:
Payable from Guananty Fund
General Claims
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Deferred Credits
Stockholders' Liability Settled
CAPITAL STOCK
SURPLUS

223,000.00
36,281.57
4,933.81
37.75
258.17
25,000.00
50,000.00
6,872.15

4,831.52
16,750.00

3,105.47
120,500.00

2,402.24
1,470.54
58.11
541.98
4,433.88
15,000.00

35,076.31
13,954.32
3,102.99
28,413.92
39,000.00
50,000.00
2,267.69

$346,383.45 $ 45,488.27 $295,420.70
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
(Van E. Peterson, Receiver)
February 5, 1929
Monowi
Naponee
Potter
$
318.25 $
43.60 $ 3,247.08
CASH
ASSETS NOT REALIZED:
16,840.71
59,684.79
Bills Receivable
Overdrafts
3.21
3,624.51
Real Estate
Judgments
2,192.85
4,471.13
Other Assets
212.95
Acquired and Discovered:
Bills Receivable
700.00
Real Estate
1,000.00
Judgments
2,620 77
OPERATING COSTS:
2,767.52
General Expense
3,095.70
6,394.12
2,536.54
Legal Expense
799.95
4,705.05
100


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

SUBDIVISION NO. 2, EXHIBIT C.
Monowi
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estab. not shown
on Books
Claims in Disp. not shown
on Books
Loss on Assets
CAPITAL IMPAIRMENT

Naponee

Potter

734.80
7,552.69

918.40
2,001.27

699.29
5,056.81

18,854.44

1,656.73

7,312.83

136,262.81

40,715.02
14,082.38

4,050.00
36,794.81
19,775.17

$169,027.05 $ 85,971.12 $156,728.01
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Preferred Claims
Claims in Dispute
General Claims
Accounts Payable
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK
SURPLUS

12,000.0011,150.00
26,491.51

6.10
146,363.41
1,959.01
1,078.85
225.77
1,857.81
1,200.00
12,000.00
4,336.10

385.00
73,500.00

74,500.00

732.29
336.65
3.26
513.92
500.00
10,000.00

9,121.57
281.25
401.00
7,082.68
700.00
15,000.00

$169,027.05 $ 85,971.12 $156,728.01
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
(Van E. Peterson, Receiver)
February 5, 1929
Taylor
Stratton
Riverton
92.26
CASH
$
2,190.63
$
46.41
$
ASSETS NOT REALIZED:
31,998.76
Bills Receivable
15,201.13
161.08
Overdrafts
197.25
31,033.18
Real Estate
200.85
3,401.88
Judgments
117.40
231.08
Other Assets
Acquired and Discovered:
Judgments
11,209.23


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

101

SUBDIVISION NO. 2, EXHIBIT C.
Riverton
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not shown on Books
Loss on Assets
CAPITAL IMPAIRMENT

Stratton

Taylor

2,180.62
747.53

3,523.46
1,794.85

1,453.82
557.73

1,649.45
1,626.20
889.35
64,838.14
7,636.60

3,866.17
3,753.35
2,650.73
20,578.34
11,577.09

2,465.49
1,747.9
64,103.01
10,294.82

$ 79,928.95 $110,780.04 $113,306.31
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund:
Other Liabilities
General Claims
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Disc.
Deferred Credits
Stockholders' Liab. Settled
CAPITAL STOCK


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

59,500.00
1,991.14
989.53
378.44
4,569.84
2,500.00
10,000.00

9.35
7,348.19
76,000.00
3,385.39
4,246.38
567.31
4,223.42
15,000.00

90,690.00
122.91
151.83
2,338.90
3.15
20,000.00

$ 79,928.95 $110,780.04 $113,306.84

SUBDIVISION NO. 2, EXHIBIT C.
STATEMENT OF CONDITION—NEW RECEIVERSHIPS
(Van E. Peterson, Receiver)
February 5, 1929
Thedford
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
Acquired and Discovered:
Bills Receivable
Judgments
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Established Not Shown on Books
Claims in Dispute Not Shown on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

161.98
27,605.04
1,467.44
3,500.00
3,845.44
98.13
10,258.52
2,84,7.21

8,740.63
, 2,846.96
730.72
3,532.83
6,979.51
428.72
27,176.81
8,219.29
$108,439.23

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Claims in Dispute
General Claims
Depositors' Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Realized Thru Assets Discovered
Deferred Credits
CAPITAL STOCK


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

428.72
7,676.44
74,650.00
1,534.97
1.282.66
466.65
12,399.79
10,000.00
$108,439.23

103

SUBDIVISION NO. 3, STATEMENT NO. 1.
CONSOLIDATED STATEMENT OF FORTY-SIX OLD PECEIVERSHIPS
February 5, 1929.
$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets

28,734.91

$ 487,752.99
17,487.61
339,419.02
223,152.75
72,590.58
1,140,402.95

OPERATING COST:
General Expense
Legal Expense

154,899.91
86,437.46
241,337.::T

SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est. not shown on Books
Loss on Assets

42,570.76
122,719.86
368,473.14
5,557,011.40
6,090,775.16
2,099,442.97

CAPITAL IMPAIRMENT

$9,600.693.31;
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable

8,275.00
2,000.00
342,415.67
6,871.94
231.41
359,794.02

Depositors Guaranty Fund
-4 UPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

6,626,451.23
225,233.85
46,775.93
121,183.87
525,195.12

104

SUBDIVISION NO. 3, STATEMENT NO. 1.
918,388.77
1,668,125.00
27,934.34

CAPITAL STOCK
SURPLUS

$9,600,693.36

SUBDIVISION NO. 3, EXHIBIT A.
Statement of Assets, Estimated Cash Value, Liabilities and Net Recoveries in 46 Old Receiverships as of February 5, 1929.
Total Assets, Cash and Unpaid Stockholders Liability in 46
$2,312,067.71
Old Receiverships
Expect to realize in cash from above
$ 146,440.00
Total Liabilities against Guaranty Fund in 46 Old Receiverships

10,275.00

Leaving a Net Recovery to be made for benefit of the
Guaranty Fund of

136,165.00

(Note—The amount of the estimated cash value given is approximately
6% per cent of the book value. However, the estimated cash value
was determined from the assets and not by a percentage basis.)


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

105

WEIP15

di

SUBDIVISION NO. 3, EXHIBIT B.
ULTIMATE LOSSES AND RECOVERIES IN 46 OLD RECEIVERSHIPS
Estimated as of February 5, 1929.
Town
Aurora
Bayard
Blair
Ceresco
Chambers
Hemingford
Holdrege
Kimball
Lincoln
Long Pine
Merriman
Milligan
Morrill
Newcastle
Octavia,
Omaha
Omaha
Oshkosh
Plattsmouth
Table Rock
Waco

Name of Bank
American State Bank
Farmers State Bank
Banking House of A. Castetter
State Bank of Ceresco
South Fork State Bank
First State Bank
Holdrege State Bank
Citizens State Bank
American State Bank
American State Bank
American State Bank
Nebraska State Bank
Farmers & Merchants Bank
Newcastle State Bank
Octavia State Bank
American State Bank
Pioneer State Bank
First State Bank
Bank of Cass County
Community State Bank
Waco State Bank

Loss

$ 800.00
1,500.00
1,000.09
7,475.00
15,000.00
10,000.00
2,000.00
5,000.00
1,700.00
2,000.00
$8,275.00

Total Recoveries to be made for Guaranty Fund
Total Loss to be paid by Guaranty Fund

Recovery
$ 5,000.00
2,000.00
35,950.00
5,750.00
2,000.00
8,000.00
4,000.00
1,000.00
17,540.00
20,000.00
5,000.00

$144,440.00
$144,440.00
8,275.00

$136,165.00
Net Recoveries for use of Guaranty
Note—Trusts not listed above have no losses to be paid and any recov
eries are very doubtful.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

106

SUBDIVISION NO. 3, EXHIBIT C.
STATMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.

$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., not on Books
Loss on Assets
CAPITAL IMPAIRMENT

1,011.46
754.86

1,034.48
786.67

648.33
997.21

247.98
852.88
4,837.94
139,624.75
37,171.30

41.23
584.63
18,910.68
165,845.03

76.67
8,851.89
165,918.38
22,814.98

$185,536.24

$187,544.89

$199,868.56

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOOK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Bayard
Aurora
Allen
440.32
517.78 $
980.24 $

10,625.00
2,000.00

871.01

140,670.16

151,377.44

143,547.08

245.07

99.65

5.25

13,750.00
30,000.00

1,067.80
35,000.00

4,445.31
14,245.92
25,000.00

$185,536.24

107

$187,544.89 $199,868.56

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.
Belvidere
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Asets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

93.98 $

Bennett Berwyn
630.86 $

556.83

1,800.00

3,900.00

941.50
577.65

2,094.49
2,575.52

4,677.98
1,922.54

166.12
3,130.82
2,994.46
34,647.63

1,085.65
51,912.81
29,146.01

14,394.98
5,517.30
174,743.24
8,379.01

$ 42,386.04 $ 89,411.46 $214,091.91
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

252.10

20,216.07

68,859.00

184,489.68

132.32

1,041.14
259.34
231.98
4,020.00
15,000.00

6,411.91

141.07
2,200.00
15,000.00
4,696.58

138.22
7,800.00
15,000.00

$ 42,386.04 $ 89,411.46 $214,091.91

108

1)
SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Blair
$ 1,121.11

flristow
$

145,902.57
2,358.04
189,957.55
59,927.15
2,320.00

Ceresco
539.11
57,137.76
'.80
6,290.00
2,303.15

11,183.10
2,525.49

7,410.74
5,578.25

1,065.85
134.46

13,761.03

702.21
34,138.07
11,176.24
271,383.65
10,132.62

2,054.57
2,063.85
51,018.40

5,676.96
227,011.80
78,513.16

$740,257.96 $340,521.78 $122,607.95
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

8,044.58

603,000.00
19,856.69
9,557.18
7,510.75
333.34
100,000.00

31.13
302,900.34

110,994.18

3,154.00
892.45
499.28

1,613.77

25,000.00

10,000.00

$740,257.96 $340,521.78 $122,607.95

109

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb., not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

Chambers Endicott Gering
739.26 $
253.61 $
151.30

3,700.00
500.00
2,027.24
281.16

43.33
2,705.80
32,356.78
6,313.88

209.50
100.95

4,006.09
1,133.75

39,622.40

366.04
13,590.89
178,198.11
29,960.95

$ 44,467.45 $ 43,886.46 $227,907.1'3
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

28,623.70

23,000.00

199,893.59

546.85

386.46

1,709.37

5,500.00
15,000.00

1,289.17
15.00
25,000.00

296.90
15,000.00

$ 44,467.45 $ 43,886.46 $227,907.13

110

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.
Gross
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb., not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

647.81 $

Gurley Hemingford
152.04 $

957.46

3,719.68
4,007.38

2,142.61
446.42

6,245.52
675.51

294.81
10,354.33
2,032.34
78,311.26
4,198.35

241.44

1,228.53

76,350.14
21,376.76

2,691.49
171,080.35
11,201.57

$103,565.96 $100,709.41 $194,080.43
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receiver's Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

2,000.00'
10,501.00

81,737.00

67,000.00

146,500.00

1,302.96
25.00

927.70
616.76
2,243.07
9,921.88
20,000.00

3,691.94
730.97
690.83
5,466.69
35,000.00

10,000.00

$103,565.96 $100,709.41 $194,080.43

111

A

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.
Henry
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., not on Books ....
Loss on Assets
CAPITAL IMPAIRMENT

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

112

Homer
$

Kilgore

223.77 $

13.71

8,500.00

6,614.83
266.23

4,058.20
4,156.99

1,378.23
984.35

2,306.69
11,054.66
5,653.17
76,540.19
14,718.51

7,873.99
151,570.60
67,078.54

826.00
8,497.46
156,398.76
22,861.59

$123,347.59

$237,268.78

$190,960.10

10,012 .—
9.39
100,000.00

183,163.00

147,022.78
841.23

1,037.48
8,500.00
10,000.00

7,437.15
3,758.89
711.85
17,197.89
25,000.00

251.51
7,832.26
25,000.00

$123,347.59

$237,268.78

$190,960.11)

3,800.72

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS.
February 5, 1929.

$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense ...
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Kimball A.S. Lincoln M.S.Lincoln
89.70 $ 1,428.54 $ 1,955.07

4,416.81
2,694.95

22,410.25
5,038.80
320,914.20
42,022.62

61,898.55
335.22
2,590.00
77,073.95
5,738.21

10,212.50

7,582.79
7,911.30

1,000.00
2.75

824.10

992.31

10,482.43
79,459.48
155,436.30

2,857.15

11,493.12

$397,587.33 $410,760.87 $ 28,512.93
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income .......• • • •
Deferred Credits
Stockholders Liability Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

26,754.48

299,850.00

242,500.00

6,559.40

28,708.26

1,031.52
13,391.93
50,000.00

13,652.61
25,900.00
100,000.00

1,362.93
25.00

27,125.00

$397,587.33 $410,760.87 $ 28,512.93

118

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS.
February 5, 1929.
A. S.
Long Pine
CASH
AASETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

564.05

$

Maskell

380.73 $

257.21

7,756.18

982.20

4,000.00
2,298.11

2,963.56
185.14

2,270.15
1,027.00

2,719.87
759.70

2,816.09
843.85

697.93

2,415.63
261,078.38
61,783.49

4,318.83
296,170.99

14,314.48

$343,375.41
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income • • • .
Deferred Credits
Stockholders Liability Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

B. C.
Long Pine

58,889.40
81,558.14

$308,661.39 $159,014.31

31,948.53

277,804.56

168,246.00

130,837.57

945.93

4,111.08

421.51

624.92
14,000.00
50,000.00

819.30
50,000.00
50,000.00
3,536.48

155.23
7,600.00
20,000.00

$343,375.41

$308,661.39

$159,014.31

414

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS.
February 5, 1929.
Milligan

•
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense ....
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

78.07 $

Morrill
Newcastle
2.50
135.87 $
26,896.15
86,494.61

7,280.50
1,935.19
506.11
4,199.52

14,417.97
30,516.46
56,451.90

3,846.03
724.80

5,231.98
2,007.19

21.00

4,964.58
2,282.75
10,259.23
338,160.74
141.557.61

2,422.63
177,484.88
21,502.34

$113,450.53 $206,137.55 $419,792.53
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liability Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

800.00

75,309.72

173,000.00

375,677.50

338.56

5,879.45

17,002.25
20,000.00

258.11
1,999.99
25,000.00

2,741.07
7,370.80
2,903.16
1,100.00
30,000.00

$113,450.53 $206,137.55 $419,792.53

115

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS.
February 5, 1929.

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Estb. not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

Obert
250.3

Octavia
$

93.02 $

Ogallala
56.03

2,068.03
403.85

660.19
748.57

3,633.82
2,218.53

2,654.05

169.14
1,287.00
34,408.37
46,794.57
50,058.44

953.90
4,182.54
54,974.33
158,028.76
13,402.44

400.00
97,857.43
43,053.90

$146,687.64 $134,219.30 $237,450.35
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liability Settled .
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

7,475.00

106,260.68

108,708.00

69,663.49

122.14
1,708.00
587.32
13,009.50
26,000.00

640.57
25.00
2.40
7,368.33
10,000.00

7,878.78
3,648.96
6,259.12
75,000.00
75,000.00

$146,687.64 $134,219.30 8237,450.35

116

SUBDIVISION NO. 3, EXHIBIT C.
IPS.
STATEMENT OF CONDITION OF OLD RECEIVERSH
February 5, 1929.
Pioneer St.
Oshkosh
Omaha
2,335.77
$
1,057.27
$
$ 1,003.36
Am St.
Omaha

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., Not on Books
Loss on Assets
CAPITAL IMPAIRMENT

485.00
35.89
18,823.79
6,425.15
25,358.00

2,000.00

7,800.00
10,535.53
7,157.45

7,218.49
1,584.79

687.60

1,685.00
13,819.71
412,281.33
174,460.42

794.27
83.50

200.00
426,011.98

2,193.25
43,923.69

$630,742.80 $436,072.53 $101,145.91
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liability Settled .
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

16,000.00

369,841.00

161,327.00

47,000.00

2,369.62
1,662.88
12,051.05
28,818.25
200,000.00

14,565.64

76.56
2,481.74

1,713.77
47,464.72
200,000.00
11,001.40

24,000.00
25,000.00
2,587.61

$630,742.80 $436,072.53 $101,145.91

117

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS.
February 5, 1929.
Plattsmouth
Sholes
Sidney
$ 2,031.02 $ 2,230.19 $
353.36

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., Not on Books
Loss on Assets
CAPITAL IMPAIRMENT

14,976.44
273.72
•

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liability Settled .
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

2,000.00

2,911.52
3,293.53
1,281.27

708.04
111.75

4,724.04
770.76

1,128.63

177.43

13.20

860.29
224,948.72
23,153.71

339.45
92,210.39

2,855.65
153,593.36
40,411.86

$256,697.17 $113,938.93

$204,722.2S

339.45
4,871.94
164,101.92

88,092.29

895.39
8,537.77
762.09
32,400.00
50,000.00

177.50
5,400.00
4,057.75
11,000.00

129.06
4,008.90
50,000.00

$256,697.17 $113,938.93

$204,722.23

118

146,500.00
4,084.27

SUBDIVISION NO. 3, EXHIBIT C.
S.
STATEMENT OF CONDITION OF OLD RECEIVERSHIP
1929.
February 5,
Springfield Table Rock Valparaiso
49.18
939.88 $ 2,795.02 $
$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., Not on Books
Loss on Assets
CAPITAL IMPAIRMENT

11,699.13
3,218.13
500.00
13,364.91
11,661.34

116,006.51
11,265.81
29,559.95
13,257.38
8,552.92

1,428.51
496.72

1,044.18
1,039.83

2,934.96
135.33

199.81

103.61

2,368.57

1,387.28
74,023.42
5,624.83

3,162.57
11,568.39
22,489.12

712.60
12,724.80
164,128.62

$ 84,100.45 $112,646.23 $359,696.63
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liability Settled .
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1,500.00

2,800.00

56,926.74

75,000.00

311,878.44

4,565.89
75,00
5,132.82
900.00
15,000.00

6,036.42

636.10
805.91
14,560.43
6,815.75
25,000.00

309.81
8,500.00
20,000.00

$ 84,100.45 $112,646.23 $359,696.63

119

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSH
IPS.
February 5, 1929.
Waco
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., Not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund ,.
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liability Settled .
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Walton

619.96 $

Waterloo
167.04 $
692.92

1,064.12
238.68

561.98
364.02

1,787.79
352.95

1,350.08
4,170.42
4,216.51
26,082.99

43.50
6,101.40
20,910.09
32,268.58

963.70
53,425.82
7,690.55

$ 37,742.76 $ 60,416.61 $ 64,913.73

15,000.00

46,190.00

38,483.22

1,601.97

192.58
27.30
536.73
3,470.00
10,000.00

5,611.88

67.52
6,073.27
15,000.00

818.63
20,000.00

$ 37,742.76 $ 60,416.61 $ 64,913.73

120

TRUiroMelk

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.
$

CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdraft's
Real Estate
Judgments
Other Assets
OPERTAING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., Not on Books
Loss on Assets
CAPITAL IMPAIRMENT

Merriman
Winside
792.47 $

11,200.00

19,443.50
20,078.57

2,266.08
736.85

4,386.94

476.90

39,636.51
239,871.49
41,927.25

4,627.34
57,371.70

$377,336.73 $ 65,478.87
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

10,312.10

259,759.08
56,677.37
3,524.48
22,063.70
25,000.00

190.89
30,000.00
4,208.78
766.93
9,200.00
15,000.00
6,112.27

$377,336.73 $ 65,478.87

121

SUBDIVISION NO. 3, EXHIBIT C.
STATEMENT OF CONDITION OF OLD RECEIVERSHIPS
February 5, 1929.
Dunning
CASH
ASSETS NOT REALIZED:
Bills Receivable
Overdrafts
Real Estate
Judgments
Other Assets
OPERATING COSTS:
General Expense
Legal Expense
SUPPLEMENTARY CHARGES:
Real Estate Expense
Interest Paid
Claims Est., Not on Books
Loss on Assets
CAPITAL IMPAIRMENT

$

Holdrege

90.68 $

266.43

3;000.00

182.49
372.25

1,262.92
1,212.34

680.91

1,773.92
1,611.48
61,799.06
149,761.83
26,644.45

152,312.78

$156,639.11 $244,332.43
LIABILITIES NOT LIQUIDATED:
Payable from Guaranty Fund
Preferred Claims
Receivers Certificates
General Claims
Bills Payable
Accounts Payable
Depositors Guaranty Fund
SUPPLEMENTARY CREDITS:
Interest Received
Real Estate Income
Deferred Credits
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

22,535.19

189,919.91

85,500.00

30,403.92
3,200.00
15,000.00

10,797.52
865.00
2,750.00
40,000.00

$156,639.11 $244,332.43

122

I

SUBDIVISION NO. 4, STATEMENT NO. 1.
CONSOLIDATED STATEMENT OF SEVENTY SALE ASSETS
February 5, 1929.
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

$ 86,913.58
3,131,693.91
704,038.14
24,970.73
63,687.53
42,574.35
4,053,878.24
3,885,496.83

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Cost:
General Expense
Legal Expense

$168,381.41
18,967.33
49,851.46
8,787.28
58,638.74

Supplementary Charges:
Real Estate Expense
Loss on Realization

4
tp,

26,294.93
9,397.39

Depositors Guaranty Fund
(Excess of refunds over amount bid for Assets)
Liabilities not Liquidated
Depositors Guaranty Fund
Accounts Payable

35,692.32
23,606.88
$305,286.68
167,381.07
414.24
167,795.31

Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

13,479.31
28,081.14
95,871.28
59.64
137,491.37
$305,286.68

123

SUBDIVISION NO. 4, EXHIBIT A.

STATEMENT OF ASSETS, ESTIMATED CASH VALUE
AND NET RECOVERIES IN
70 SALE ASSE1 TRUSTS AS OF FEBRUARY 5, 1929
(Note:—The division of work carried on our books as "Sale Assets" is a
record of the assets purchased by the Guarantee Fund Commission
from receivers of failed banks as provided for under Section 32.
Chapter 191, Session Laws for 1923. The receiver offers the remaining assets of his trust at public sale and the Commission may buy
the same and the law provides for the giving of the Commission's
receipt to the receiver which is considered by him the same as
cash. On our books the assets are carried both at the face or nominal value and also at the book value which is the amount bid for
the assets at the sale. These assets are realized upon and the cash
received less the expense incurred, is refunded to the Depositors'
Guaranty Fund for the benefit of other claimants against that Fund.
In handling a large amount of such assets we find that we are, on
an average, able to realize, after the deduction of expense, more
than the amount bid. So in the following estimate the book value
or amount bid is used as the cash value, plus the cash on hand.)
Total Face, or Nominal Value of Assets in 70 Trusts
Estimated Cash Value (Book Value) of Assets
Cash on hand
Total Estimated Net Recovery to be made for the benefit
of the Guaranty Fund


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

124

$4,072,845.57
$168,381.41
18,967.33

$187,348.74

SUBDIVISION NO. 4, EXHIBIT B.
STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
Ames
Allen
Adams
Nominal Value of Assets
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

11,600.09
6,356.90

189.30

84,133.48
9,374.25
1,202.68
800.00
394.92

886.50
697.20

95,905.33
94,133.33

17,966.99
17,247.49

189.30
138.07

1,772.00
377.19

719.50
267.50

32.50

1,351.45

304.70
146.80

697.20

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Cost:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

10.00

2.45
1,192.50

Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

$

4,695.59

229.87

4,638.00

127.00

57.59

2.50
1,309.00

130.00

$

1,438.50

359.87 $

359.87

$

4,695.59

$

1.438.50

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
Angus

Angora
Nominal Value of Assets:
Assets Acquired
Bills Receivable


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$
11,463.8(1
125

Anselmo

1,833.31 $
40,250 1
6,087.20

SUBDIVISION NO. 4, EXHIBIT B.
Judgments
Overdrafts
Real Estate
Other Assets

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Angora
2,998.74
573.41

Angus
5,786.37
193.28

AnseImo
17,902.67

83.77

72.74

20.00

15,119.72
14,965.33
154.39
310.26

13,972.90
13,188.96
783.94
124.38

58,172.98
57,786.43
386.55
798.88

246.80

52.09
5.00

3,001.66
234.32

8.55
250.00

$
Liabilities not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits
$

185.15

970.00 $

965,41

970.00

851.91

64.05

3.29

446.09

110.21

4,096.42

970.00 $

965.41

$

$

4,606.56

4,606.56

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
Aurora
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Bartley

Bayard

13,387.83
764.81
1,800.99
115.00
360.00i
14,627.64
126

566.96

284.23

566.96

2,085.22

SUBDIVISION NO. 4, EXHIBIT B.
Aurora

Bayard
2,085.22

Bartley

14,497.64

Allowance for Doubtful Assets

130.00
20.00

Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

566.96
22.08

537.30
474.71

400.00
$

Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

150.00 $

5s9.0,1

150.00

589.04

$

1,412.01

171.16
1.240.87;

150.00 $

589.04 $ 1,412.01

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
Bennett
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

11.•‘

11,732.92
17,924.23
236.65

29,893.80
27,852.80

Allowance for Doubtful Assets
Book Value of Assets
Cash


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Berwyn

2,041.00
250.00
127

4.02

55.68

SUBDIVISION NO. 4, EXHIBIT B.
Bennett

Berwyn

Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund
$
Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

Beverly

1,221.41
157.75

220,

59.99
883.82

172.38

2,291.00 $ 2,326.99
2,141.00

$

250.06

2,100.00

21.00

250.06

226.99

129.00

$

2,291.00

$

2,326.99 $

250.06

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929
Bostwick
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

400.00
50.00


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Broadwater

85,100.36
2,325.53
36.12
310.00
654.82

34,143.44
928.02
97.63

$

450.00 $ 88,169.09 $ 35,169.09
35,082.09
87,873.33

$

450.00 $
483.44

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense

Bristow

553.50 $
87.30
84.00
2.35

5.66
128

89.10

87.00

59.96

SUBDIVISION NO. 4, EXHIBIT B.
Bristow

Bostwich

Broadwater

304.90

Loss on Realization
Depositors Guaranty Fund

Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

3.19

$

1,244.00 $

816.25 $

150.15

$

1,200.00 $

658.50 $

125.00
25.15

106.50
51.25

44.00

$ 1,244.00 $

816.25

$

150.15

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929

1,790.00
53.24

Liabilities Not Liquidated:
Depositors Guaranty Fund


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 696.13 $
10,332.12
118,595.05
6,077.84
1,520.73
52.97
1,280.00

$126,649.02 $ 11,905.82
11,858.82
122,155.25

$

1,843.24

$

1,843.24 $ 4,493.77 $
755.67
1,050.13

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Chambers

Carroll

Bushnell
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

252.98
108.10

1,162.55
225.45

3.50
108.96

155.28

47.00

$

3,366.91

$

6,792.72 $

47.00

$

3,221.16

$

6,280.00

47.00

129

$

SUBDIVISION NO. 4, EXHIBIT B.
Bushnell
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

Carroll

312.72
200.00

145.75

$

3.366.91

Chambers

$

6,792.72 $

47.00

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929
Crawford Crookston Culbertson
Nominal Value of Assets:
Assets Acquired
$ 4,537.50 $
Bills Receivable
59,165.39
49,991.31
Judgments
11,236.79
14,109.80
Overdrafts
44.68
471.83
Real Estate
1,601.00
1,600.00
692.50
Other Assets
297.67

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

$ 72,345.53 $ 71,402.94
70,025.16
62,059.44
$

I

9,343.50
1,040.04

51.01

1,546.30
35.30

264.80

1,129.66

99.94

41
1,092.23

$

1,192.92

8,744.50 $

1,192.92

$

2,674.90 $ 13.094.80

$

2,410.90

264.00

$
130


„.
. iteffetar:relti..L;i,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

2,320.37 $
38.72

$

1,443.67
2,003.74
902.89

2,674.90 $ 13,094.80 $

1,192.92

SUBDIVISION NO. 4, EXHIBIT B.
STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929
Florence
Dixon
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

Allowance for Doubtful Assets

200.00
240.09

$162,943.20
148,390.10

$ 18,497.36 $ 46,320.08
44,956.49
18,072.36
425.00 $
235.30

Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

1,363.59 $ 14,553.10
539.64
43.79
1,253.46
250.00

414.70
6.90

2,612.51

$
Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

$ 3,128.00
132,435.04
19,471.60
243.56
7,665.00

37,318.32
8,561.67

18,135.68
339.61
22.07

$

1,075.00 $
475.00

$

1,414.28 $ 19,208.71
$ 15,000.00

1,414.28

287.17
3,264.30
657.24

600.00

$

—
1,075.00

$

1,414.28

$ 19,208.71

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929
Curley
Gross
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Gering

51,395.87
3,189.03

Hadar

1,544.29
1,302.51

SUBDIVISION NO. 4, EXHIBIT B.
Gross
31.31
100.00
35.00

Overdrafts
Real Estate
Other Assets

$ 54,751.21
54,490.21

Allowance for Doubtful Assets

$

Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

$
Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization ...... • • •
Deferred Credits

Gurley
5.00

$

5.00 $ 2,846.80
2,445.80
5.00 $
280.32

401.00
92.46

83.70
19.36

141.00

421.65
3.00

57.86

123.65

261.00 $
55.34

477.26

$

549.97 $

106.26
108.00

477.26

918.11
305.00

263.00

$

Hadar

$

32.59

172.23

517.38

440.88

549.97 $

918.11

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929
Hooper
Henry
Homer
Nominal Value of Assets:
$
462.00 $ 3,500.00 $
Assets Acquired
1,813.47
56,520.15
Bills Receivable
78,094.28
Judgments
Overdrafts
Real Estate
Other Assets

15,286.63
131.36

Allowance for Doubtful Assets ....
Book Value of Assets


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

132

58.86

1,500.00
5.00

57,172.37
55,810.17

98,385.91
92,658.91

_1,813.47
1,788.47

1,362.20

5,727.00

25.00

SUBDIVISION NO. 4, EXHIBIT B.

Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Henry
267.13

Homer
745.22

Hooper
359.07

2,012.23
24.70

720.38
3.50

579.43
11.50

213.18

1,643.10

2,500.00
$ 6,379.44 $ 8,839.20 $

Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
I /ererred Credit s

432.20
5,947.24

975.00

6,837.00

950.00

40.00
1,387.20
575.00

25.00

$ 6,379.44 $ •8,839.20 $

975.00

ASSETS
STATEMENT OF CONDITION OF SALE
February 5, 1929
Kimball
Kilgore
Hoskins
Nominal value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

$

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

133

930.00 $ 6,642.88 $ 1,200.00
119,673.33
34,862.76
15,384.49
22,717.59
401.94
374.76
600.00
20.00
58,885.11
56,948.11

142,722.64
137,001.48

1,200.00
650.00

1,937.00
59.68

5,721.16
238.66

550.00
97.16

518.60
16.00

2,570.06
216.56

231.10

SUBDIVISION NO. 4, EXHIBIT B.
Hoskins

Kilgore

Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Kimball

200.64

$
Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

2,531.28

$

8,947.08 $

1,004.00

1,997.00

7,028.23

850.00

233.04

261.48
301.95
1,355.42

154.00

301.24

$

125.71

2,531.28 $

8.947.08 $

1.004.00

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929
Amer St.
Long Pine
Nominal Value of Assets:
Assets Acquired
Bills Receivable ,
Judgments
Overdrafts
Real Estate
Other Assets

$ 10,190.85 $ 26,594.52
125,024.98
146,366.31
76,237.71
48,861.29
444.54
34.94
5,840.00
426.00
7,366.15

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Brown Co.
Long Pine

67,782.72

99.00

218,164.08
210,947.97

229,223.21
209,883.65

67,881.72
67,445.72

7,216.11.
1,014.92

19,339.56
457.09

436.00

5,557.82
1,544.63

5,963.91
1,710.15

1,136.51
170.13

2,799.62

2,850.40

89.05
190.05

$ 18,133.10 $ 30,321.11 $
134

Lyons

2,021.76

SUBDIVISION NO. 4, EXHIBIT B.
Amer St. Brown Co.
Long Pine Long Pine
Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

6,857.61

14,254.00

1,190.20
2,884.90
7,200.39

3,030.47
1,242.58
11,794.06

Lyons
1,741.00
20.76

260.00

$ 18,133.10 $ 30,321.11 $ 2,021.76

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
NI(•(;1'1•NN
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

26,669.15
6,469.29
592.20
1,142.24
201.84

91.77

13,665.72
13,000.10

35,074.72
33,226.48

91.77
422.71

665.62
68.92

1,848.24
52.51

10.00
600.00

30.00

787.97

I ) Allowance for Doubtful Assets

379.45
25.00
1,544.00
$ 1,124.48 $

Liabilitities not Liquidated:
Depositors Guaranty Fund
Accounts Payable


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Merriman

10,545.70
1,708.30
257.88
500.00
653.84

91.77

Book Value of Assets
Cash
Operatiing Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Macy

1,124.48
135

789.54 $ 4,612.17
789.54

SUBDIVISION NO. 4, EXHIBIT B.
McGrew

Macy

Merriman

Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

731.67
3,880.5)

$

1,124.I"

789.54

$

4,612.17

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.

Milligan
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

Atlas Bank
Neligh
$

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

138.50
62,334.43
35,927.95
1,714.70

2,550.00
8,860.99

60,308.44
12,812.47

4,412.19

200.00
6.00

268.75

15,823.18
14,788.68

73,326.91
72,973.91

100,384.33
99,132.01

1,034.50

353.00
97.50

45.50

30.00
2.00

(
1,252.29
167.61
89.47

45.50
1,650.00

$ 1,080.00 $
Liabilities not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Monowi

1,070.00
10.00

136

2,178.00 $

1,509.37

2,103.00

1,404.29

SUBDIVISION NO. 4, EXHIBIT B.
Milligan
Real Estate Income
Gain on Realization
Deferred Credits

Monowi
75.00

Atlas Bank
Neligh
105.0k

1,509.37
$ 1,080.00 $ 2,178.00 $
STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
Neligh St. Newcastle Nickerson
of
Assets:
Nominal Value
439.36 $ 1,975.00
$
$
Assets Acquired
108,777.45
143,807.36
3,270.27
Bills Receivable
7,933.50
2,118.91
12,559,17
Judgments
1,276.15
44.85
Overdrafts
Real Estate
Other Assets

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

6,231.00
17,443.87

30.00

1,473.5X

39,504.31
32,039.31

146,440.48
145,743.98

121,435.68
120,555.90

7,465.00
2,015.01

696.50
603.88

879.78
94.10

435.35

187.97
7.90

770.00
418.35

1,793.50
285.22
2,417.15
$ 11,708.86 $ 1,496.25 $

Liabilities not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

6,49,0.00

156.00
1,882.16
3,180.70

822.50

107.46
673.75

2,339.99

$ 11,708.86 $ 1,496.25 $ 2,447.45
137

SUBDIVISION NO. 4, EXHIBIT B.
STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
Niobrara
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

15.11

Obert

Octavia

59,127.88

12,490.65
22,360.51
4.40

15.00

1.00

59,142.88
58,732.38

34,856.56
34,819.56

410.50
69.67

37.00
10.00

378.63
86.85
676.21
2,489.36

$
Liabilities not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

1.15
600.00

3,646.16 $

1,081.32 $

47.00

2,932.00

1,010.50

42.00

714.16

70.82
5.111)

$ 3,646.16 $

1,081.32 $

47.00

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
A. S. Omaha
Nominal Value of Assets:
Assets Acquired
Bills Reeclvable


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

$ 2,996.84
191,894.78
138

Sec'y St.
P. S. Omaha Omaha

$
153,914.03

840.91
$
242,340.11

SUBDIVISION NO. 4, EXHIBIT B.
Sec'y St.
A. S. Omaha P. S. Omaha Omaha
65,262.31
25,339.37
1,796.25

Judgments
Overdmfts
Real Estate
Other Assets

Allowance for Doubtful Assets

1,064.00

2,610.00

223,091.24
221,568.24

221,786.34
213,114.34

1,523.00
403.33

8,672.00

892.89
162.00

331.88
1.00

Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplernentarly Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

243,181.05
243,181.05

927.11
1,814.47
2.50
3.75

12.00

$
$ 2,993.22 $ 9,004.88
Liabilities not Liquidated:
Depositors Guaranty Fund ....
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
referred Credits

2,747.s1;

8,673.00
331.30

2,159.00

54.30
100.00
2,647.86

.58

779.92

$ 2,993.22 $

9,004.88

$

2,747.8i;

ION OF SALE ASSETS
STATEMENT OF CONDIT
February 5, 1929.
Papillion
Page
Orchard
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

310.33

1,239.39 $
45,508.89
61,499.84
9,755.78
154.75
2,496.99
9,138.61
832.29
1,264.88
305.00

310.33

72,337.59

$

139

59,858.83

SUBDIVISION NO. 4, EXHIBIT B.
Orchard

Page
69,415.94

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

310.33
59.63

Papillion
57,494.66

2,921.65
170.26

2.364.17
312.71

2,672.24
77.20

160.00
• 51.08

$
Liabilities not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

'369.96 $ 5,841.35 $ 2,887.96
369.96

4,30445

2,500.00

447.80
1,089.40

$

367.96
20 00

369.96 $ 5,841.35 $ 2,887.96

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929.
Plattsmouth
Nominal Value of Assets:
Assets Acquired
Bills Recenvable
Judgments
Overdrafts
Real Estate
Other Assets

$ 3,263.31
9,508.98
36,065.73

Allowance for Doubtful Assets
Book Value of Assets
Cash


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

140

Pleasanton

ltandolpii

$
39,565.10
5,163 1",

25.00

32.1111

48,863.02
46,018.02

44,760.85
44,046.85

2,845.00
46.60

714.00
56.09

SUBDIVISION NO. 4, EXHIBIT B.
Plattsmouth
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Pleasanton

Randolph
9.0.0
15.00

51.00
17.40

4,366.90
$ 2,960.00 $ 4,366.90 $

Liabilities not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

794.00
719.00

2,915.00

15.00
4,366.90

$ 2,960.00 $ 4,366.90 $

75.00

794.00

SALE ASSETS
STATEMENT OF CONDITION OF
1929
5,
February
Richfield
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

$

Santee

191.30
$
223.29 $
6,527.65
24,119.60
27,807.31
1,874.35
318.11
115.00

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Royal

141

30,223.06
29,929.06

24,119.60
23,828.60

6,833.95
6,600.65

294.00

291.00
851.15

233.30

7.41
8.92

525.49

246.00

SUBDIVISION NO. 4, EXHIBIT B.
Richfield

Royal

Santee

Supplementary Charges:
Real Hstate Expense
Loss on Realization
Depositors Guaranty Fund
$
Liabilities not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Incom,,
Gain on Realization
Deferred Credits

310.33

$

309.00
1.33

$

310.33 $

1,667.64

$

1,417.00

354.43
8.15

147.39

13.27

103.25

103.45

1,667.64

$

STATEMENT OF CONDITION OF SALE ASSETS
February 5, 1929
Shelton
Sholes
Nominal Value of Assets:
Assets Acquired
$ 5,340.49 $ 1,343.90 $
Bills Receivable
65,719.14
26,416.76
Judgments
10,900.00
6,960.96
Overdrafts
332.03
Real Estate
Other Assets

479.30

Sidney
7,600.00
69,738.83
13,127.24
29,180.00

$ 82,291.66 $ 34,721.62 $119,647.07
82,291.66
32,937.62
82,260.92

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

479.30

$
$

262.86

1,784.00 $ 37,386.15
60.46
241.56

2,022.76
1,785.16

813.69
112.30

3,077.84
66.70

1,911.81

234.45

8,219.46

14,167.26
$ 20,149.85
142

$ 3,004.90 $ 48,991.71

SUBDIVISION NO. 4, EXHIBIT B.
Sholes

Sheldon
Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Incom“
Gain on Realization
Deferred Credits

$

$ 20,149.85

481.00 $ 22,566.00

655.89
10,279.36
15,490.46

1,035.32

946.96
1,977.50
17,225.39

$

Sidney

1,428.94
59.64

$ 3,004.90 $ 48,991.71

SALE ASSETS
STATEMENT OF CONDITION OF
February 5, 1929
Springfield
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Springview

284.07
$
23,527.24
26,349.24
170.78
1,000.00
8.00

Valentine

3,265.61
334.62

32.55

88,965.16
26,307.83
400.40
386.00
148.00

9
$ 51,339.33 $ 3,632.78 $116,207.3
110,975.89
3,527.23
49,720.01
$

1,619.32 $
337.54

105.55 $
4.11

5,231.50
39.11

858.21
79.35

406.82

203.41

46.55

$ 3,097.83

$

109.66 $

5,723.98

597.25

$

109.66 $

4,557.50

$

143

SUBDIVISION NO. 4, EXHIBIT B.
Springfield
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits

Springview

Valentine

456.48
480.00
1,564.10

$

6.48
1,160.00

3,097.83 $

109.66

$

5,723.9N

STATEMENT OF CONDITION OF SALE ASSETS
.
February 5, 1929.
Walton
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

10,012.90
817.54

Allowance for Doubtful Assets

11,130.44
10,155.44

\Val orIc)(,

250.00
50.00

Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

975.00

66.50

1.05

602.20
185.63(
59.13
435.00

•
$
Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1042.55 $ 1,281.96
1,010.00
17.55

1,216.78

65.18
15.00

$
144

1042.55 $

1,281.96

k

SUBDIVISION NO. 4, EXHIBIT B.
STATEMENT OF CONDITION OF SALE ASSETS.
February 5, 1929.
Wayside
Nominal Value of Assets:
Assets Acquired
Bills Receivable
Judgments
Overdrafts
Real Estate
Other Assets

$ 1,322.00
132,311.93
56,215.07
32.66
160.00
5.00
25.50

11,520.72

Allowance for Doubtful Assets
Book Value of Assets
Cash
Operating Costs:
General Expense
Legal Expense
Supplementary Charges:
Real Estate Expense
Loss on Realization
Depositors Guaranty Fund

11,546.22
11,394.72

190,046.66
189,025.66

151.50
226.86

1,021.00
404.61

313.90

927.60
85.00
35.79

343.50
$

Liabilities Not Liquidated:
Depositors Guaranty Fund
Accounts Payable
Supplementary Credits:
Interest Received
Real Estate Income
Gain on Realization
Deferred Credits


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Federal Reserve Bank of St. Louis

Winside

1,035.76

4;

2,474.51 ,
1,341.00

290.72
18.00
1,017.76

$

145

1,035.76 $

842.78

2.474.50

List Showing Amounts Paid from
Depositors' Guaranty Fund in Failed Banks During
the Operation of the Depositors' Guaranty Law
Town
Superior
Decatur
Halsey
Valparaiso
Aurora
Page
Dunning
Merriman
Ceresco
Blair
Long Pine
Hoskins
Hadar
Oshkosh
Allen
Pleasanton
Belvedere
Anselmo
Omaha
Lincoln
Sidney
Octavia
Table Rock
Kilgore
Obert
Gurley
Springfield
Plattsmouth
Fairbury
Ogallala
Ilayard
Homer
Winside
Walton
Newcastle
Long Pine
Shelton
Milligan
Waterloo
Endicott


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Federal Reserve Bank of St. Louis

Amount
Name of Bank
,l)" 18,656.01
The First State Savings Bank
43,921.14
Farmers State Bank
6,131.80
Farmers State Bank
311,878.44
Valparaiso State Bank
151,527.44
American State Bank
Farmers Bank
190,354.27
Home State Bank
85,500.00
American State Bank
28,456.00
The State Bank
110,994.18
603,000.00
The Banking House of Castetter
Brown County Bank
182,500.00
Farmers State Bank
85,663.38
Farmers State Bank
4,146.15
First State Bank
47,000.00
Farmers State Bank
145,308.16
Farmers State Bank
88,317.14
The Farmers State Bank
20,216.07
The Peoples State Bank
107,777.61
Pioneer State Bank
170,000.00
The American State Bank
242,500.00
Nebraska State Bank
146,500.00
Octavia State Bank
108,750.00
Community State Bank
75,000.00
Kilgore State Bank
154,051.01
Obert State Bank
107,271.18
Gurley State Bank
67,000.00
Farmers State Bank
57,523.99
The Bank of Cass County
167,046.92
The Goodrich Brothers Banking Company.... 11,732.6s
Exchange Bank
69,663.49
The Farmers State Bank
143,147.08
Homer State Bank
190,000.00
Farmers State Bank
261,100.08
Farmers & Merchants Bank
47,200.00
Newcastle State Bank
376,500.00
The American State Bank
284,662.17
Shelton State Bank
239,961.59
The Nebraska State Bank
76,379.72
Bank of Waterloo
,
39,700.00
Endicott State Bank
23,000.00
146

I.

OD

IIP

Town
Sholes
Benedict
Hemingford
Morrill
Waco
Gering
Omaha
Kimball
Bennett
Bristow
Chambers
Berwyn
Maskell
Henry
Gross
Kenesaw
Neligh
Crookston
Wayside
Eddyville
Broadwater
McCook
Dixon
Bushnell
Royal
Springview
Dix
i'otter
Waverly
Lorenzo
Thedford
McGrew
Culbertson
Bartley
IVIonowi
Nickerson
Clinton'
Trumbull
Crawford
Valentine
Ames
Angora
Carroll
Riverton


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Federal Reserve Bank of St. Louis

Name of Bank
Wayne County Bank
Farmers State Bank
First State Bank
Farmers & Merchants Bank
Waco State Bank
State Bank of Gering
American State Bank
Citizens State Bank
Farmers Bank
American Exchange Bank
South Fork State Bank
Berwyn State Bank
Maskell State Bank
Henry State Bank
Gross State Bank
First State Bank
Atlas State Bank
Bank of Crookston
Wayside State Bank
Security State Bank
Broadwater Bank
Citizens State Bank
Farmers State Bank
Farmers State Bank
Citizens State Bank
Springview State Bank
Farmers State Bank
Citizens State Bank
Bank of Waverly
Lorenzo State Bank
Thedford Bank
Security State Bank
Farmers State Bank
Farmers State Bank
Monowl State Bank
First State Bank
Clinton State Bank
Trumbull State Bank
Farmers Bank
Valentine State Bank
Farmers State Bank
Angora State Bank
Citizens State Bank
Republican Valley Bank
147

Amount
88,573.29
139,868.68
146,500.00
173,000.00
15,000.00
214,893.59
372,000.00
300,700.00
71,000.00
303,558.84
28,670.70
186,589.68
130,837.57
97,500.00
82,000.00
115,775.00
782,348.89
72,834.50
11,200.00
98,000.00
142,000.00
120,500.00
21,561.06
106,789.56
18,171.313
4,000.00
38,000.00
74,500.00
217,037.25
16,750.00
74,650.00
46,000.00
90,900.00
18,500.00
148,466.41
205,690.17
77,000.00
2,072.50
89,000.00
121,000.00
7,250.00
35,000.00
141,832.15
59,500.00

110
Town
Hooper
Chadron
.
•
.Adams
. Naponee
Macy
Taylor
McLean
Niobrara
Neligh .
Stapleton
Peru
Bloomfield
Beverly
Holdrege
Sidney
Orchard
Ralston
Hastings
Randolph
Bostwick
Lynch
Cotesfield
Santee
Brownville
Harvard
Stratton
Wolbach
Seneca
Lyons
Papillion
Omaha
Ord
Richfield
Omaha
Craig
Sweetwater
Angus
Ericson
Brayton
Nelson
Bazile Mills

Name of Bank
Dodge County Bank
Citizens State Bank
Farmers State Bank
Republican Valley Bank
Macy State Bank
Old Gold Bank ....
McLearryre Bank
NiobraV alley Bank
Neligh' State Bank •
Farmers Bank
Peru State Bank
Citizens State Bank
Beverly State Bank
Citizens State Bank
American Bank
Orchard State Bank
Citizens State Bank
Bank of Commerce
Farmers State Bank
Bostwick State Bank
Security State Bank
Farmers State Bank
Santee State Bank
Brownville State Bank
Union State Bank
Citizens State Bank
Farmers State Bank
Seneca State Bank
Citizens State Bank
The State Bank
Security State Bank
Ord State Bank
First State Bank
Commercial State Bank
Farmers State Bank
Sweetwater State Bank
Bank of Angus
Farmers State Bank
„
Brayton State Bank
State Bank
First State Bank

1
3

.

9,e00.00

,

Total Net Amount Due2tyypeisitors' Guaranty Fund


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Federal Reserve Bank of St. Louis

148

Amount
, 58,817.17
'385,500.00
53,200.00
73,500.00
64,909.16
90,690.00
107,062.81
189,100.00
152,000.00
17,000.00
59,000.00
697,250.00
18,050.00
223,000.00
356,750.00
123,000.00
157,983.74
338,000.00
33,784.01
115,800.00
294,481.02
15,500.00
8,500.00
14,858.02
102,420.00
76,000.00
130,985.73
34,500.0
140,452.0
421,000.00
438,113.50
83,622.33
30,500.00
80,000.00
256,000.00
16,000.00

472%500601706
29,000.00
297,284.99
$16,510,180.16

i

1 I

40


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Federal Reserve Bank of St. Louis

••••••••••••••#~41NONI.M11~~~4.~I

Final Report
OF THE

Banking Investigation

Authorized by House Roll No 585

Beginning May 2 1929
and
Ending August 1st. 1930

A. C. SHALLENBERGER
Chief Examiner

To his Excellency the Governor
and the Legislature of Nebraska

WEAVER,
To GOVERNOR ARTHUR J.
Lincoln, Nebraska.
Your Excellency:
585 enacted by the Legislature of
As required by House Roll No.
acting, I have the honor to submit to
Nebraska under which I have been
the
required by law, the following report of
you and to the Legislature, as
us
vario
the
and
banks in Nebraska
investigation and audit of failed
and
tion
istra
admin
the
with
laws
departments charged under state
and the enforcement of the bankmanagement of the banking business
ing laws of Nebraska.
by your Excellency to direct
I was commissioned Chief Examiner
in House Roll No. 585, apded
provi
as
the investigation and audit
ssion was dated May 2, 1929. Bids
proved April 22, 1929. My commi
audit were considered for about six
the
and estimates for the work of
of auditing and investigation was
weeks. The contract to do the work
Certified Public Accountants of
iated
finally made with The Assoc
13, 1929. Three managing partners
Nebraska and was signed June
and making all reports *.o the
were directly in charge of the audit
ers were Raymond H. Walker,
partn
ging
mana
Chief Examiner. The
Moeller, C. P. A., of Omaha, and M. J.
C. P. A., of Lincoln, Henry S.
The work of investigation was ima.
Holland, C. P. A., of Omah
ors and assistants conducting the
mediately begun by the force of audit
d in the State Capitol at Lincoln,
lishe
estab
various audits. Offices were
The Associated Certified Public
Nebraska. A copy of the contract with
this report as a part of the
s
panie
accom
Accountants of Nebraska
ion.
tigat
inves
record of the
ership of Nebraska certified
I awarded the audit contract to a partn
satisfied myself that they
I
that
n
reaso
the
for
s
public accountant
much the lowest made,
was
bid
Their
were qualified to do the work.
expenses. I am glad to report that
both as to per diem cost and other
s has been thorough and satisthe work of the Nebraska accountant
began in June, 1929. I had
ors
audit
the
by
work
factory. Actual
July 1st, 1930. Investigation
hoped to complete the investigation by
s of banking could not be
tment
and
depar
banks
and audits of certain
nued the investigation for ancompleted at that date, so I have conti
tion as Chief Examiner was
direc
my
under
work
other month and the
finished on August 1, 1930.
e field of state banking in
The investigation has covered the entir
n into the operations and
Nebraska. It has included an examinatio
Commerce and an audit
and
Trade
of
nt
management of the Departme
ses and collection and
expen
tive
istra
,
admin
ments
state
ial
of their financ
s.
sment
asses
disbursements of the Guaranty Fund


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Federal Reserve Bank of St. Louis

—1—

During the period from 1919 to May 1, 1929, when the Guarantee
Fund Commission was abolished, 270 banks were closed by the Department of Banking. From May 1, 1929, to July 1, 1930, 83 state banks
were closed, or a total of 353 banks failed since 1919. 225 were closed
in the six year period during which the Guarantee Fund Commission
operated. Since June, 1929, this office has had under investigation and
audit 116 banks, 74 sale asset trusts and the auditors' reports are on
file in this office or with the Attorney General for his information.
In addition to the above reports the auditors have made to this office
7 special reports on certain banks and three general reports as follows:
Operation and Disposition of Depositors' Guaranty Fund, The Administration Fund of the Guarantee Fund Commission and the 74 Sale
Asset Trusts Fund.
This investigation has served its purpose and finished the work it
was appointed to do. Every failed bank for which there has been a
request for an investigation from depositors' committees has been
audited. Wherever reliable information indicated reasons for an audit,
it has been ordered without demand from interested parties. No
petitions for further investigations are on file in this office.
PUBLIC HEARINGS
Public hearings have been held wherever petitioned for by depositors' committees. A representative of the Attorney General's
office has attended each hearing to conduct the legal examinations and
a competent court reporter has made a record of the evidence introduced. The record of these hearings is on file in this office. The
public
hearings held had a salutary effect on public opinion and, together
with the reports of bank audits published in the public press, have
given the people the information necessary to a correct understand
ing
of the reasons for the disastrous bank failures that came upon them.
NEW LAW AND NEW POLICY PUT IN FORCE
The Department of Trade and Commerce, acting under the new
law recommended by your Excellency, is investigating with its
own
auditors and examiners, all banks that have failed since the
new law
was enacted. The Attorney General is conducting the prosecution
s of
all violations of the state's banking laws when reported to
him. If
the present rule of strict administrative supervision, rigid enforcemen
t
of banking laws and prompt punishment of those who violate
them had
been pursued in the past, there would have been no need for the
creation of this office.
ADMINISTRATIVE IMPROVEMENT
During the year this office has been investigating bank
failures,
their causes and results, great improvements have taken place
both a i
to bank management and administrative supervision
by the Banking


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Federal Reserve Bank of St. Louis

—2—

•pi

'km

Commissioner,
Bureau. Under the management of the new Banking
Past abuses
.
enforced
being
are
laws
Mr. George Woods, our banking
and should
few
are
failures
nce,
conseque
a
As
d.
permitte
longer
are no
is rapidly
banking
sound
of
ion
Restorat
soon be a thing of the past.
is eswhich
credit,
and
ce
confiden
public
of
on
foundati
building the
d
appointe
is
ioner
Commiss
Banking
sential to public prosperity. The
the
taking
thereby
cause,
for
removed
be
only
can
and
for six years
With banks and
supervision of banks out of the field of politics.
money for
public
of
ure
expendit
further
basis,
sound
bank credits on a
ion or reinvestigation of past failures where possibilities of prosecut
nted.
unwarra
is
d,
coveries are out-lawe
unI wish to thank your Excellency for the very earnest and
out
carry
to
ing
qualified support you have given me while endeavor
enyou
duties
nt
the mandate of the Legislature and the importa
office
this
of
ent
trusted to me when you appointed me to the managem
ce from the
as Chief Examiner. I have had much valuable assistan
business
banking
various departments of state dealing with the state
and the Attorney General's office.
AUTHORITY FOR THIS INVESTIGATION
authorizing
The title and first section of the Act of the Legislature
ation and
the creation of this office defines the purpose of the investig
follows:
audit as
"TITLE:
inAN ACT relating to banks and banking and providing for an
vestigation and audit of the business transactions and activities of the
e
Guarantee Fund Commission, the Department of Trade and Commerc
in receivership;
and Bureau of Banking, and receivers of state banks
providing methods of procedure and rules and regulations for said
shall
investigation and audit; providing that the Attorney General
shall
as
and
ation
audit
investig
said
in
help
and
give such assistance
out of
be requested by the Governor and that all information arising
or
said investigation and audit which indicates violation of law, fraud
negligence, shall be reported to the Attorney General for action;
providing penalties for the violation of this ACT and for failure to
comply with the requests of the Governor and those acting for or with
him in conducting said investigation and audit; providing for a report
of said investigation and audit; providing for an appropration of
$150,000.00, or as much thereof as may be necessary, for the purpose
of carrying out the intent and object of this ACT, and declaring an
emergency to exist.


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Federal Reserve Bank of St. Louis

--3--

BE IT ENACTED BY THE PEOPLE OF THE
STATE OF NEBRASKA
Section 1. The Governor of the State of Nebraska is hereby
empowered, authorized and directed to cause at once to be made a
thorough investigation and audit of the business transactions and
activities of:
(a) The Guarantee Fund Commission and its members, officers,
agents and employees, in connection with the handling and management of the affairs and assets of such state banks as have come under
the control or .supervision of the Guarantee Fund Commission since
its creation by law.
(b) The Department of Trade and Commerce and Bureau of
Banking and their officers, agents, examiners and employees, since
January 1, 1919, in connection with the supervision and examination
of going state banks and the liquidation of failed state banks.
(c) All receivers of state banks in receivership, appointed since
January 1, 1919, and their agents and employees, in connection with
the sale of the assets of said banks and the expense of liquidation.
(d) All hearings in this inquiry shall be made public after due
nctice given, and in so far as practicable, shall be held in the localities
where the bank under inquiry is or was located and doing business.
All general hearings shall be held at the State Capitol."
GENERAL PURPOSES OF THE AUDIT
In conformity with the language and mandate of the ACT, this
investigation has had certain principal purposes in view:
First—The audit of a sufficient number of banks to determine the
cause of the many bank failures in Nebraska and to secure evidence
of law violations by bank officers that would result in the punishment
of guilty offenders.
Second—To investigate the liquidation and disposition of bank
assets and to protect as far as possible the interests of depositors.
Third—To investigate and report on the work of the Guarantee
Fund Commission as administrators of the affairs of failed banks.
Fourth—To investigate and report on the efficiency and effectiveness of the supervision and examination of state banks as conducted
by the Department of Trade and Commerce.
The auditors' reports on file in this office show the causes and
reasons for the bank failures of the past and indicate needed ad-


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Federal Reserve Bank of St. Louis

-4—

ministrative reforms necessary to insure sound banking in the future.
Most of the reforms recommended have been enacted into law by the
Legislature upon recommendation of your Excellency.
The investigation was authorized by Legislative Act to cover a
period of ten years beginning with 1919 but, since the Statute of
Limitations begins to run against most violations of criminal statutes
after three years, I centered the work of the auditors and examiners
upon failures since May 1st, 1923, when the Guarantee Fund Commission was established. It would be a waste of public money to work
on cases that could only result in findings of no value as basis for
legal action in the courts because outlawed by Statute of Limitations.
The banks that have failed since the Guarantee Fund Commission
was abolished by Act of Legislature in May, 1929, are now in the
hands of the Department of Trade and Commerce. A large number
of them have been reorganized and reopened under the law signed by
your Excellency and the others are having audited and examined by that
department. In all, 37 closed banks have been reorganized and reopened since May, 1929; 4 as a result of stockholders making satisfactory arrangements with the Department of Banking and 33 by
depositors reducing their claims in a sufficient amount to absorb the
losses in the bank.
APPROPRIATION AND EXPENDITURES
The Legislature appropriated $150,000.00 for the expenses of the
investigation authorized. The entire amount was available for the
expenses of the audit, as well as the costs of the Attorney General's
office because of legal actions resulting from the investigation. Some
legal expenditures will necessarily continue after the audit is finished.
There are still pending numerous actions in state courts to recover
large sums of money due from stockholders, bank directors and others.
Also many indictments for criminal violations of banking laws are
still pending.
To date of August 1, 1930, there has been expended by this office
$99,027.82 divided as follows:


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Federal Reserve Bank of St. Louis

—5—

EXPENDITURES OF THE AUDITING DEPARTMENT
Salaries to August 1, 1930
Expense

$61,827.32
2,253.49

$64,080.81

LEGAL EXPENDITURES
UNDER DIRECTION OF THE ATTORNEY GENERAL
Salaries to August 1, 1930
Expense

$10,779,82
6,452.23

$17,232.05

CHIEF EXAMINER'S OFFICE
Salaries to August 1, 1930
Expense, including traveling, supplies,
postage, telephone, telegraph,
express and equipment
TOTAL

$15,395.34

2,319.62

There have been varying numbers of auditors and
ployed. Per diem pay was fixed by contract. The
accountants received $20.00 per day when actually
assistant accountants $12.50 per day. No charges for
employed in Lincoln were allowed. Actual expenses
work outside of Lincoln or Omaha were paid.

$17,714.96
$99,027.82

assistants emcertified public
at work and
expenses while
only when on

CAUSES OF BANK FAILURES
In my preliminary report, dated March 3, 1930, to your Excellency,
I analyzed at some length the causes of bank failures during the past
decade. The reasons stated and conclusions arrived at were the
•
results of study of the history of banking in Nebraska for the period
covered by this audit and careful consideration of the facts disclosed
by the investigation. Investigation and study since my preliminary
report has only confirmed the statements and recommendations made
in that document.
In analyzing almost every bank failure there are important facts
and law violations disclosed that pertain to that bank alone, but there
are certain economic causes as well as violations of both statutory law
and sound business practice that are constantly disclosed as the underlying reasons for failures in almost every case. Since the World War
economic causes general in scope and character destroyed agricultural


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Federal Reserve Bank of St. Louis

—6—

and commercial credit and made bankruptcy widespread throughout the
middle west with consequent disaster to the banks of Nebraska and to
the states surrounding her.
The World War inflated prices, both of land and other property,
to such an extent that a business boom developed which swept many
bankers, business men and even farmers into a maelstrom of speculation. Standards of values and normal basis of credit were completely
lost sight of and sound business principles were forgotten. Banks were
increased in numbers until competition brought disaster because there
was not sufficient safe and profitable business for all who were fighting
for it. Land speculation, a most dangerous economic disease for bankers
to contract, became epidemic either through loans on lands or by indirect
purchases by bank officers. The fall in value of farm property has
swept away supposed securities and caused a serious destruction of
credit. Federal statistics show that agricultural values shrunk eight
billions in one year. Only the strong, careful and experienced banker
could weather this storm.
During the war boom period 315 additional state banks were
chartered. In the year 1917, one hundred and one new banks were
opened and during 1918, one hundred and two more were chartered.
The courts decreed that, under the existing law, the State Banking
Department could not refuse charters. This decision denied to the
state's officers a power essential to the safety of banking and the
security and sufficiency of the Bank Guaranty Fund. The Legislature
later passed a law giving the authority to the Banking Department to
refuse charters for good cause, requiring officers in management of
banks to secure a license from the Banking Department certifying the
bankers' ability and character. This law was suspended by a referendum petition and later was defeated by a vote of the people.
Subsequently, hundreds of banks were chartered for which there was
no economic use and men permitted to operate them who, for want of
ability and honesty, have disgraced the business of banking. Too
many banks and too few bankers bred bankruptcy in the banking
business.
The irresistible economic law that unprofitable banks must finally
fail or discontinue has reduced the number of state banks to the
requirements of banking and commerce. The law now permits the
Banking Department to judge as to the need for a bank in a community and as to the ability and character of the officers. As a result
in the past year only one new state bank has been chartered in
Nebraska. No one protests that any just demand has been denied.


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Federal Reserve Bank of St. Louis

—7—

UNSAFE EXPANSION OF CREDIT
The unsafe and unnecessary expansion in banking during the
boom period because of no limiting of charters led to an extraordinary
and dangerous increase in loans and credits. Where too many banks
make competition ruinous, bad loans become common because there
are not enough safe borrowers to absorb the funds that must be loaned
to make a show of profit. Paper profits disappeared when deflation
had done its work.
Millions of dollars of worthless loans encumbered the note cases
of the banks audited by this office. Very often more than half of the
notes in failed banks were found worthless because the officers making
them were speculators, not bankers. Destruction of agricultural credit,
dishonest and incompetent bankers, weak supervision and lack of law
enforcement were the causes of bank failures in Nebraska.
THE GUARANTY LAW
Banking laws, no matter how sound and carefully drawn, will
not be effective in protecting the interests of the depositors and the.
public, if bankers are permitted to continually violate their most
important provisions. The Guaranty portion of the banking laws of
Nebraska established an insurance for the protection of depositors. The annual assessments for the payment of losses were
based upon federal reports of the average losses in national banks
during the life of that system since it was established in 1862. For
fifteen years before the war boom multiplied the number of banks and
inaugurated an area of speculation, failures were few, depositors lost
no money and public confidence in our state banks was complete.
Three sound banking principles were essential to the success of
the Guaranty Law, if the insurance plan was to prove sound and safe.
First—Limitation of bank charters to the requirements of business
and safe credit of the community served.
Second—Bank earnings of sufficient amount to insure a fair return
and the charging out of losses that come in periods of business depression. No bank that can honestly show a fair profit ever fails.
Third—Competent and efficient supervision and examination by the
department in charge of the administration of banking laws and requiring from all officers and managers of banks a state license certifying as to their honesty, ability and character. Failure to observe
and enforce these essentials undermined and wrecked the Guaranty
Fund.


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Federal Reserve Bank of St. Louis

—8-

1

The Guaranty Law brought prosperity and strength to the state
banks and saved depositors from losses of millions of dollars. It has
been discredited and destroyed by those who should have been its
staunchest defenders. Betrayal of their trust by faithless bankers and
inefficient supervision nullified the law and destroyed the confidence it
had established.
LAX ADMINISTRATION BY DEPARTMENT OF BANKING
The Department of Banking Administration is required by law
&mks shown insolvent by its examiners. It is a felony for
close
to
officers of a bank to receive deposits after it is insolvent. If an insolvent bank is permitted to operate, the depositor is grossly deceived
and his supposed security becomes a state swindle. In case of failure
stockholders are liable for an additional amount equal to their capital
investment. Under careful supervision the double liability should insure liquidation with little loss to depositors.
A former Governor stated in a message to the Legislature that
early in his administration his Banking Commissioner reported to him
that there were 125 state banks hopelessly insolvent. A Banking Commissioner of another administration stated to me that a few months
after he took office he made a written report that 150 banks were at
that date insolvent. Permitting broken banks to run only delayed the
deluge. Lax law enforcement did not save the banks. It did cost depositors large losses and piled up a mountain of bank failures when
conditions could no longer be concealed. The greatest blot on our state
and national governments is failure to enforce laws enacted for the
protection of property and the punishment of crime.
THE GUARANTEE FUND COMMISSION
The Guarantee Fund Commission was the chief agency of the
state for the liquidation of failed banks during the period covered by
this audit and investigation. The Commission first organized and took
oath of office May 4, 1923. It was advocated by bankers and composed
of bankers recommended to the Governor by banking groups. The
law provided that the Commission took charge and acted for the stockholders of closed banks when directed to do so by the Department of
Trade and Commerce.
The Commission was authorized to reopen failed banks, receive
and pay out deposits without regard to the solvency of the institution.
Every bank so operated showed a continual monthly operating loss and
few reorganizations and sale of closed banks resulted from this policy.
Delayed liquidations were only profitable to those in charge of them.


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Federal Reserve Bank of St. Louis

The operation of banks by the Guarantee Fund Commission resulted in payment of millions of dollars of discriminations and preferences in payment of deposits. It has been charged that the Commission used the funds belonging to the assets of one bank to pay
claims or deposits of another, but the record shows this was not true.
No breach of trust by the Commissioners was disclosed by this audit.
Governor Weaver pointed out, in his statement issued when convening the extra session, that in 73 banks operated by the Commission
there were preferences paid some depositors to the amount of
$5,000,000. It should be said that the Commissioners claim that before
December 1, 1927, it was represented to them by the Department of
Trade and Commerce that losses would finally be paid in full from the
Guaranty Fund. All unequal preferences in payments to depositors
were discontinued after December, 1927. This audit first disclosed the
magnitude of these discriminations.
There have been many cases reported to this office of compromises of debts owing to failed banks. Also numerous reports of sale
of lands or property at unfair prices. All these reports have been
carefully investigated. The Commission has left a complete and well
kept set of records showing the history of every transaction performed by itself or its agents. Compromises on loans and sale of real
estate were all approved by district court judges after being authorized and reviewed by heads of departments. Because of the constant
fall in values during recent years, delay in sale of land and other
assets resulted in severe losses in many cases.
DEFICIT IN PAYMENT OF DEPOSITORS
From 1909, when the guaranty law was enacted, to 1925, when a
long series of bank disasters began to undermine the Guaranty Fund,
deposits in Nebraska state banks increased almost 500 per cent. The
increases was from 62 million to 272 million dollars. During that period
91 banks closed but depositors suffered no losses. From 1919 to June
30, 1930, 353 state banks were closed in Nebraska. There were 615
state banks in operation in 1908. By 1921 the number was 1,009, an
increase of 394 banks. On June 30, 1930, 602 state banks reported
to the Department of Banking, a decrease of 402 banks from the high
water mark of 1921.
Liabilities of all banks closed prior to May 1, 1929, when
the Guarantee Fund Commission was abolished
$ 79,106,559.78
Liabilities of banks closed since May 1, 1929
22,874,934.29
Grand total of Liabilities


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Federal Reserve Bank of St. Louis

$101,981,494.07,
--10--

In his final report Mr. Van Peterson, Secretary of the Guarantee
Fund Commission, estimated the deficit from the 79 million •of liabilities
as of May 1, 1929, at 16 millions of dollars.
The following is a summary of the consolidated statement of the
condition of receiverships of the Department of Trade and Commerce
as of June 30, 1930.
38 OLD RECEIVERSHIPS
141 NEW RECEIVERSHIPS
106 DEPARTMENT RECEIVERSHIPS
285 TOTAL NUMBER RECEIVERSHIPS
$ 1,644,146.79

CASH IN BANKS
ASSETS NOT REALIZED:
Bills Receivable
Bonds, Stocks & Warrants
Furniture & Fixtures
Judgments
Other Assets
Overdrafts
Real Estate

$16,892,239.24
233,952.02
313,292.99
1,332,165.03
710,097.37
94,053.50
3,887,579.20

Acquired & Discovered:
Bills Receivable
Judgments
Other Assets
Real Estate

262,405.80
567,174.74
194,185.60
446,338.22
$24,933,483.80

OPERATING COSTS:
General Expense
Legal Expense

843,320.78
363,860.71
1,207,181.49

SUPPLEMENTARY CHARGES:
Protection of Real Estate
Interest Paid
Claims Estab., Not on Books
Claims in Disp., Not on Books
Loss on Assets


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Federal Reserve Bank of St. Louis

585,752.51
419,576.11
2,148,387.69
352,274.20
16,803,076.10
$20,308,066.61

•

CAPITAL IMPAIRMENT

7,278,773.02
$55,371,651.71

LIABILITIES NOT LIQUIDATED:
Deposits Not Classified $ 1,517,743.45
Preferred Claims
27,689,064.76
Total

$29,206,808.21

Claims in Dispute
General Claims
Bills Payable
Other Liabilities
Bank Overdrafts
Trust Funds

786,615.78
547,080.20
225,518.34
17,472.18
16,955.09
22,810.71 $30,823,260.51

Due Depositors Guaranty Fund
Depositors' Final Settlement Fund

$12,553,809.88
245,512.52

Total

$12,799,322.40

SUPPLEMENTARY CREDITS:
Deferred Credits
Interest Received
Real Estate Income
Realized Thru Assets Disc
Stockholders Liab. Settled
CAPITAL STOCK
SURPLUS

$

864,864.98
673,429.28
445,235.89
231,459.01
1,209,859.81 $ 3,424,948.95
7,811,825.00
512,285.85
$55,371,651.71

The above statement of the Department of Trade and Commerce
shows that on June 30, 1930, the total amount of allowed claims on
state banks yet unpaid was
$29,206,808.21
Cash on Hand
1,644,146.79
Balance due depositors less cash on hand
Estimated realization from remaining assets and
directors and stockholders liabilities

$27,561,66.42

Leaving an estimated deficit or loss to depositors of

$20,561,681.42

The estimate of realization is arrived at as follows:


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Federal Reserve Bank of St. Louis

--12--

7,000,000.00

04:

Assets on hand, other than cash, have a book value of $24,933,ical,
483.80. What they are worth under present conditions is problemat
ders
Stockhol
from
them.
realized
be
should
0.00
$5,000,00
least
but at
uncollected liability is over $6,000,000.00. Suits for collection of large
amounts against directors for approval of illegal loans are pending.
$2,000,000.00 should be collected from unpaid liabilities of stockholders
and directors.
RECEIVERSHIP DEPOSITS
The cash on hand shown in the above statement is on deposit in
certain banks. On date of July 1, 1930, there was $496,000 still in
the hands of receivers of Guarantee Fund Commission banks. Of
this amount $167,223.52 is secured by bonds. Most of the fund is deposited in reserve banks. All funds of failed banks now in receivership under control of Secretary Bliss of the Department of Trade
and Commerce are secured by bonds. The amount of the Department
of Trade and Commerce receivership funds on deposit in bonded banks
was $1,131,102.02 on July 1, 1930. The Commission Bank receiverships
are being taken over by Secretary Bliss as rapidly as possible.
Administration of receiverships was transferred to the Department of Trade and Commerce April 30, 1929. Statement of administration and receipts and disbursements by the Receivership Division of
the Department of Trade and Commerce from April, 1929, to June
30, 1930, follows:
ADMINISTRATION FUND
of the
Department of Trade & Commerce
Receivership Division
April 30, 1929, to June 30, 1930.
Cash Receipts and Disbursements
Balance transferred May 1, 1929, from Guarantee
$
Fund Commission
Receipts:
Assessments on Department
$
64,709.50
Receiverships
on
Commissi
Assessments on
31,760.50
Receiverships
2,908.38
Assessments on Old Receiverships
7,149.31
Assets
Sale
on
nts
Assessme
1,305.94
Interest on Cash Balances
1,306.03
Miscellaneous


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Federal Reserve Bank of St. Louis

23,829.69

109,139.66
$
—13-

132,969.35

I

Disbursements:
Expenses
Employees' salaries
$94,491.50
Employees' traveling expense 17,485.85
Office supplies and printing 4,754.65
Postage
2,730.00
Special Atty. fees and
court costs
147.00
Telephone & telegraph
1,195.70
Employees' Bond Premium
845.69
Service contracts
249.45
Miscellaneous
187.07

4

$
Office Equipment Purchased
Revolving Fund
BALANCE, JUNE 30, 1930
National Bank of Commerce
Continental National Bank

122,086.91
3,102.79
178.46 $

125,368.16

$

7,601.19

$2,821.86
4,779.33
$7,601.19

CASH COLLECTIONS FROM FAILED STATE BANKS
IN NEBRASKA MADE BY THE DEPARTMENT OF TRADE
AND
COMMERCE SINCE TAKING OVER RECEIVERSH
IPS
May 1, 1929 to June 30, 1930
Old Receiverships, being those pending when Guarant
ee
Fund Commission created (38 Banks) and
Commission Receiverships, being those of which member
s
of the Guarantee Fund Commission were the original
receivers. (140 banks)
$ 1,257,239.12
Department Receiverships, being those banks placed
in
Receivership since May 1, 1929, and of which
the
Secretary of the Department of Trade and Commerce is the receiver (106 banks)
4,034,768.57
Sale Assets, being those purchased at public sale
by the
Guarantee Fund Commission and being liquidated
for the benefit of the Depositors Final Settlem
ent
Fund (70 trusts)
TOTAL


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Federal Reserve Bank of St. Louis

79,938.82
$ 5,371,944.51

—14-

COMPARATIVE STATEMENT OF ADMINISTRATION COSTS OF
RECEIVERSHIPS UNDER THE MANAGEMENT OF THE
GUARANTEE FUND COMMISSION
AND FOR A LIKE PERIOD UNDER
THE

RECEIVERSHIP

DIVISION

OF

DEPARTMENT

THE

OF

TRADE AND COMMERCE
RECEIVERSHIP DIVISION COSTS
Department of Trade and Commerce
From May 1, 1929, to June 30, 1930 (14 months)
Paid from Administration Fund
Paid from State Appropriation

$

125,368.16
17,489.40

$

142,857.56

$

147,425.56
22,534.18

$

169,961.74

GUARANTEE FUND COMMISSION COSTS
From March 1, 1928, to May 1, 1929 (the preceding
14 months)
Paid from Administration Fund
Paid from State Appropriation

The Legislature made appropriations for payment of expense
tf the Guarantee Fund Commission as follows:
$
30,000.00
1923
30,000.00
30,000.00

1925
1927

Total .............................................................................$
Of this amount the Commission expended
Leaving an unexpended balance of
for the six years

90,000.00
89,627.89
372.11

At termination of his office as Secretary to the Commission, Mr.
Van Peterson, submitted to me a statement showing the total cost of
leceiverships under the Guarantee Fund Commission management to
be as follows:


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Federal Reserve Bank of St. Louis

—16—

Operating costs of liquidation of 58 banks
closed prior to May 4, 1923

$ 1,008,585.99

226 banks closed after May 4, 1923, and prior to
May 1, 1929
Total operating cost under Commission management

2,370,312.26
$ 3,378,898.25

All costs of liquidation by Guarantee Fund Commission and Department of Trade and Commerce such as salaries of receivers, auditors,
attorneys' fees, collectors, clerical salaries and administration expenses
are paid out of the assets of failed banks. All expenses chargeable to
this office are paid out of the appropriation made by the Legislature
for its use.
STATEMENT SHOWING DIVIDENDS PAID BY THE DEPARTMENT
OF TRADE AND COMMERCE TO DEPOSITORS
IN FAILED BANKS
May, 1929
June, 1929
July, 1929
August, 1929
September, 1929
October, 1929
November, 1929
December, 1929
January, 1930
February, 1930
March, 1930
April, 1930
May, 1930
June, 1930

$141,933.81
148,792.90
72,564.06
152,385.01
227,668.37
234,934.45
232,837.72
302,385.35
336,184.67
388,798.67
451,744.42
476,350.69
403,787.73
713,214.97

Total Dividend payments from Assets
$4,281,583.02
Following amounts paid from Depositors Final Settlement
Fund:
May, 1930
$129,487.77
Following Dividends paid entirely from the Depositors
Final
Settlement Fund:
May, 1930
$114,507.55
Total Dividend payments from
Depositors Final Settlement Fund
Amount of Dividends on Belated Claims paid
during period of May 1, 1929, to June 30, 1930


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Federal Reserve Bank of St. Louis

—16-

243,995.32
12,643.17

GRAND TOTAL OF DIVIDENDS PAID DURING
PERIOD OF MAY 1, 1929, to JUNE 30, 1930

$ 4,538,221.51

paid to
In addition to the foregoing Dividends there has been
g:
claimants of the above banks the followin
PRIORITY CLAIMS FOR TRUST FUNDS...$130,753.65
282,520.20
SECURED DEPOSITS
TOTAL AMOUNT PAID TO DEPOSITORS

413,273.85
$ 4,951,495.36

OF
SUMMARY SHOWING ASSESSMENTS AND DISBURSEMENTS
FUND
TY
THE GUARAN
Total Guaranty Fund Assessments to Jan. 2, 1930
Refunds to Jan. 2, 1930

$19,811,378.83
2,211,258.75

Total charges to banks for Guaranty Fund to Jan. 2, 1930 22,022,637.58
Drafts—Paid by banks for Guaranty Fund to
$18,694,668.59
Jan. 2, 1930
28,907.62 Miscellaneous credits
Total credits allowed banks to Jan. 2, 1930
Due Guaranty Fund Jan. 2, 1930

$18,723,576.21
3,299,061.37

$22,022,637.58
2,954,108.59 -1930....
2,
Jan.
banks
Unpaid assessments due from going
344,952.78 1930....
2,
Jan.
banks
Unpaid assessments due from closed
Total balance due from banks to Guaranty Fund
Jan. 2, 1930

$ 3,299,061.37

Examination of Guaranty Fund books subsequent to January 2,
1930, shows that on May 28, 1930, drafts were drawn on going banks
aggregating $203,492.22 of which only $21,117.05 was paid by banks.
Further disposition of the matter of unpaid assessments is
awaiting the ruling of the Supreme Court of the United States on the
appeal from the decision of the Supreme Court of Nebraska sustaining
the validity of the unpaid assessments. All Guaranty Fund assessments
required by law have been made by the Department of Trade and
Commerce.


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Federal Reserve Bank of St. Louis

— 17 —

j

ACTIVITIES OF THE DEPARTMENT OF TRADE AND COMMERCE
Mr. C. C. Bliss, Secretary of the Department of Trade and Commerce, reports the following summary of cash settlements and recoveries made by the Department growing out of the banking investigation and amounts involved in suits pending to recover from stockholders and directors. A more detailed statement is attached to this
report.
SUMMARY OF DEPARTMENT ACTIVITIES
Direct settlements and recoveries collected
Collections made by legal department

$

152,196.06
14,967.19

Total Cash Collections

$

167,163.25

Stockholders double liability suits pending
by legal department
Directors' liability suits pending

$

188,755.00
688,529.00

Total collections and suits pending

$ 1,044,447.25

LEGAL ACTIVITIES, TRIALS, INDICTMENTS, CONVICTIONS,
RECOVERIES AND SUITS PENDNG
During the period of this investigation, the findings and reports
by examiners and auditors of this office and that of the Department
of Trade and Commerce and the work of the various legal departments under the Attorney General's and Judge Skiles' supervision
have resulted in a large number of indictments, trials and convictions
followed by prison sentences, lawsuits for recoveries from stockholders,
directors, bank officers and others have been instituted. Sufficient funds
to carry on this important work is available in the unexpended balance
in the fund appropriated for this investigation. A statement of recoveries, settlements of prosecutions and other activities of the several
legal departments under supervision of the Attorney General's office
is attached to this report showing cases growing out of the banking
investigation.
DEPOSITORS' COMMITTEES
Early in his administration, as a result of dissatisfaction of depositors with past compromises and settlement, Governor Weaver
authorized establishment of depositors' committees for each failed
bank in receivership. Each committee is given full information concerning the receivership and no compromises or settlements are made
without their consideration and approval.


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Federal Reserve Bank of St. Louis

— 18—

EXAMINATIONS
One of the most important advances made in supervision is in the
character and thoroughness of examinations. All notes and bills
receivable are examined and classified and listed so that a banker has
an inventory and statement of the value of the contents of his note
case and the Bureau of Banking has this classified list of notes for its
information. Examinations that were formerly made by one man and
were too hurried to be thorough, now require two examiners working
two or more days to complete them. Examinations are made more
frequently than before. Periods between examinations are still too
long because much of the time of examiners is taken up with the affairs
of closed banks. This delay will soon be a thing of the past and the
whole corps of examiners can be used in supervision of the banks in
operation. Notwithstanding the greatly reduced number of banks, a
very material increase has been made in the number of bank examiners
in the field. Follow up men are sent out to see that rcommendations
of the department are obeyed and that promises of making good any
losses and better management are carried out. All expenses of examination and supervision by the Bureau of Banking including the Banking
Commissioner's salary are now paid by the banks.
Bank examiners should have authority and be instructed to verify
the validity and amounts payable of all notes and bills receivable
carried as the assets of a bank. They should reconcile depositors'
balances and outstanding Certificates of Deposit when deemed necessary.
If this practice had been in force heretofore the forgeries and
fraudulent bank balances that cost depositors a loss of $800,000.00
in the Wupper bank at Beemer and the long series of forgeries and
frauds that wrecked the Monowi Bank and sent its manager to the
penitentiary for fifty years would have been prevented.
The double liability of stockholders of banks is security in addition to the capital stock to insure the payment of depositors' claims
in case of failure. Experience has proven that only a small portion
of the additional liability has been collected from stockholders in the
past. If the constitutional amendment is adopted giving broader
powers for legislation to insure immediate payment of stockholders'
liability, the Legislature should promptly correct the disclosed weak-


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Federal Reserve Bank of St. Louis

nesses in the present law. It is only equity to the depositors that the
security the law professes to afford should be made immediately
effective upon failure of a bank.

0111V,,

Auditors' statements of the work of the Guarantee Fund Commission and the Department of Trade and Commerce in the liquidation
and management of the banks under their charge are on file with this
report.
Respectfully submitted,
A. C. SHALLENBERGER, (Signed),
APPROVED:
Chief Examiner.
ARTHUR J. WEAVER (Signed),
Governor.

STATEMENT FROM THE ATTORNEY GENERAL'S OFFICE OF
CASES GROWING OUT OF BANK INVESTIGATIONS
State v. Wm. Morton, District Court Scotts Bluff County. Mitchell
State Bank, charged with embezzlement. Conviction—sentenced to
penitentiary.
State v. Chas. Hinds, District Court of Gage County. Hinds State
Bank of Odell, charged with embezzlement, false records, excess bills
payable. Preliminary hearing, bound over to District Court Gage
County for trial. Case pending.
State v. Fred A. Wright, District Court Gage County. Security
Savings Bank Beatrice, charged with false reports, illegal loans,
and
misapplication. Preliminary hearing, bound over to District Court
of
Gage County for trial. Case pending.
State v. Raymond L. Cox, District Court Polk County. Bank
of
Polk, charged with illegal loans. Preliminary hearing, bound
over to
District Court Polk County. Case pending.
State v. Roy S. Appel, District Court of Howard County.
First
State Bank of Dannebrog, charged with forgery. Preliminary
hearing,
bound over to District Court Howard County. Case pending.
State v. Ronald I. Gutru and W. E. Nelson, District Court
of
Boone County. Farmers State Bank of Bradish, Nebraska,
charged
with making false entry upon books of the bank. Ronald
I. Gutru
pleaded guilty and paroled. W. E. Nelson case still pending.
State v. Julius A. Johnson, Security State Bank of Rohrs,
charged
with embezzlement. Trial to jury, convicted, sentenced
to one to six


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Federal Reserve Bank of St. Louis

— 20 —

010

fis

Court
years on several counts running concurrently, appealed Supreme
where judgment and sentence were sustained.
State v. Frank Pilger and Daniel C. Diebler, County Court of
Pierce County. Pierce State Bank, Pierce, Nebraska, charged Pilger
with embezzlement; Diebler charged with making false entry upon
books of the bank. Pilger tried, convicted and sentenced five years in
penitentiary. Diebler's case still pending in County Court of Pierce
County.
State of Nebrasta v. Benson, F. J. Kirchman, Max A. Kirchman,
Charles C. Carek, Justina Carek and W. H. Kirchman (separate actions). Saunders County Bank, Wahoo, Nebraska. Benson charged
with using bank with intent to defraud, convicted and sentenced to
five years in penitentiary. F. J. Kirchman charged with same offense,
sentenced to sixty-five years in penitentiary. Max A. Kirchman charged
with misapplication of bank's funds plead guilty and sentenced to
one-ten years in penitentiary. Charles C. Carek and Justina Carek
charged with wilful misapplication and forgery and cases against W.
H. Kirchman, charging him with using the bank with intent to defraud, are pending.
State v. Thomas J. Kastle, District Court Dodge County. First
Charged with receiving deposits from
State Bank of North Bend.
persons at the time he knew the bank was insolvent. Kastle acquitted.
State v. Peart, District Court of Franklin County. Charged with
embezzlement of $6,780.00 from Peoples Bank, Upland, Nebr. Convicted, now in State Reformatory, Hawthorne Apartment.
State v. Elizabeth Brown Hogoboom, District Court of Frontier
County. Charged with embezzlement. Convicted. Appeal pending
in Supreme Court of Nebraska.
State v. Louis Verne Hogoboom, District Court of Frontier County.
Charged with aiding and abetting embezzlement. Found not guilty.
State v. Westbrook, District Court of Otoe County. Charged with
embezzlement. Convicted. Now serving sentence. This grew out of
failure of Dunbar State Bank.
State v. Harry D. Hancock, District Court of Thurston County.
Charged with E. Gerald Hancock and Mike Minarik with making false
reports as accessory. Case pending. Now set for September term.
State v. E. Gerald Hancock, District Court of Thurston County.
Charged with Mike Minarik with making false reports to Banking
Department. Case pending and now on list for September term.
State v. Mike Minarik, District Court of Thurston County. Charged
jointly with E. Gerald Hancock in making false reports of the con-


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Federal Reserve Bank of St. Louis

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dition of the Thurston State Bank.
September term.

Case pending and on list for

State v. Bert Spearman, District Court of Morrill
County.
Charged with making false reports to Banking Department.
Nebraska
State Bank, Bridgeport, Nebr. Defendant convicted. Case
pending
on appeal to Supreme Court.
State v. Robert J. Wilson, District Court of Morrill
County.
Charged with false entries in books and reports of Nebrask
a State
Bank. Case dismissed upon conviction of Spearman.
State v. Joseph E. Weir, District Court of Nuckoll
s County.
Charged with receiving deposits when bank insolvent.
Case pending.
State v. George S. Aldrich, District Court of Nuckolls
County.
Charged with receiving deposits after bank insolvent. Case
pending.
State v. Wupper, District Court of Cuming County. Charged
in a
number of counts in embezzlement. Defendant a fugitive from justice.
State v. Johnson, District Court of Scotts Bluff County.
Charged
with taking bank funds. Case pending.
State v. Arthur A. Foreman, District Court Dawson County.
14
Counts charging false statements in reports and books. Farmer
s
State Bank, Overton, Nebraska. Defendant under bond to appear
at
the fall term of court for trial.
State v. William W. Vanatta and Earl R. Vanatta, District Court
Morrill County. Bank of Bayard, Bayard, Nebraska. Preliminary
hearing pending.
State v. Agnes J. Vanatta, District Court of Morrill County, Nebraska. Bank of Bayard, Bayard, Nebraska. Preliminary hearing
pending.
State v. Earl R. Vanatta, District Court of Morrill County,
Nebraska. Bank of Bayard, Bayard, Nebraska. Preliminary
hearing
pending.
State v. John W. Fieselman, District Court Morrill County,
Nebraska. Bank of Bayard, Bayard, Nebraska. Preliminary
hearing
pending.
R. 0. Brownell v. T. J. Kastle, District Court of Dodge
County,
Nebraska. North Bend, Nebraska. Attachment for the
recovery of
double stock liability. This case was filed in conjunction
with Mr.
Skiles and Mr. Beynon representing the Guarantee Fund Commiss
ion.
An attachment was levied upon certain lands and properti
es in Dodge
County, Nebraska, and the case is pending in .the District
Court of
that county.
State v. Thomas J. Kastle, District Court of Dodge County,
Nebraska. First State Bank, North Bend, Nebr. Preliminary
hearing
pending.
— 22 —


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Federal Reserve Bank of St. Louis

ADMINISTRATION FUND OF THE GUARANTEE FUND COMMISSION DEPARTMENT OF TRADE AND COMMERCE
May 4, 1923—December 31, 1929
The Guarantee Fund Commission took oath of office May 4, 1923.
RECEIPTS:
Assessments—Going Banks
Assessments—New Receiverships
Assessments—Old Receiverships
Sale Assets
Interest on Cash Balances
Miscellaneous Income
Assessments Unaccounted For—
Sale Assets, New Receiverships &
Old Receiverships prior to
June 30, 1925

$164,212.86
123,925.03
54,478.89
33,443.77
6,681.75
864.94

191.57
$383,801.81

TOTAL RECEIPTS
DISBURSEMENTS:
Expense:

a

$273,860.30
Salaries
Employees', Miscellaneous
58,510.92
Salaries & Traveling Expense
Printing, Stationery, Office
9,418.17
Supplies and Postage
1,514.63
Advertising—Real Estate
2,108.80
Surety Bond Premiums
820.11
Telephone & Telegraph
209.14
Express and Drayage
128.42
Repairs—Office Machines
Special Attorney's Fees and
2,852.64
Court Costs
1,603.43
Accountant's Fees
1,965.07
Miscellaneous Office Expense
$352,991.63
6,980.49

TOTAL EXPENSE
Office Equipment Purchase
TOTAL

DISBURSEMENTS

Cash Transferred to the
Department of Trade and Commerce


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Federal Reserve Bank of St. Louis

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$359,972.12

$ 23,829.00

ADMINISTRATION FUND
GUARANTEE FUND COMMISSION
May 4, 1923—December 31, 1929
DEl'ARTMENT OF TRADE AND COMMERCE
May 1, 1929, to December 31, 1929
RECEIPTS:
Cash Transferred from the Guarantee Fund Commission ..$ 23,829.69
Assessments—Going Banks
(Burchard Bank)
$
50.00
Assessments—Department
Receiverships (Bliss)

29,594.50

Assessments—Commission
Receiverships (New)

20,550.50

Assessments—Old Receiverships
Assessments—Sale Assets
Interest on Cash Balances
Miscellaneous Income

1,540.00
3,689.11
93.99
59.83

Total Receipts
Total Receipts and balances transferred
from Commission

55,577.93
$ 79,407.62

DISBURSEMENTS:
Expense:

$ 52,876.59

Employees', Miscellaneous
Salaries & traveling expense

10,287.15

Printing, Stationery, Office
Supplies & Postage
Surety Bond Premiums
Telephone & Telegraph
Repairs—Office Machines
Miscellaneous

3,868.01
322.56
674.69
201.30
104.20

Total Expense
Office Equipment Purchased

$68,334.50
?,042.81

Total Disbursements

$ 70,377.31

Balance due December 31, 1929

$ 9,030.31


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Federal Reserve Bank of St. Louis

-24-

Cash December 31, 1929:
Continental National Bank
National Bank of Commerce
Revolving Fund due from
York and Newport Banks

$4,779.33
3,717.63
533.35
$9,030.31

SUMMARY
Guarantee Fund Commission—May 4, 1923—April 30, 1929
Department of Trade and Commerce—May 1, 1929—December 31, 1929
RECEIPTS:—May 4, 1923, to April 30, 1929
Assessments
Interest on Cash Balances
Miscellaneous

$376,252.12
6,681.75
867.94

Total Receipts

$383,801.81

DISBURSEMENTS:—May 4, 1923, to April 30, 1929
$273,860.30
Office Salaries
79,131.33
Office Expense
6,980.49
Office Equipment
359,972.12
Total Disbursements
.29.69
Cash transferred to Department of Trade and Commerce 23,8
RECEIPTS:—May 1, 1929, to December 31, 1929
$ 55,424.11
Assessments
93.99
Balances
Cash
Interest on
59.83
Miscellaneous
Total Receipts

$ 55,577.93
$ 79,407.62

DISBURSEMENTS:—May 1, 1929, to December 31, 1929
$ 52,876.59
Office Salaries
15,457.91
Office Expense
2,042.81
Office Equipment
Total Disbursements
Cash on hand December 31, 1929


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Federal Reserve Bank of St. Louis

70,377.31
$ 9,030.31

REPORT ON DEPOSITORS' GUARANTY FUND
August 12, 1930.
Mr. A. C. Shallenberger,
Chief Examiner,
State Capitol Bldg.,
Lincoln, Nebraska.
Dear Sir:
We have audited the books, records and accounts of the Department of Trade and Commerce with reference to the Depositors'
Guaranty Fund of the State of Nebraska for the period from the
date the Depositors' Guaranty Fund law became effective on January
3, 1911, to January 2, 1930, a period of exactly nineteen years.
The results of this audit are presented in our comments which
follow and the four exhibits accompanying this report but not typewritten. We also submit an untypewritten addendum with this report
which consists of a list of the state banks of Nebraska, arranged
alphabetically, showing the Guaranty Fund certificate number of
each, so that any bank desired may be readily located in Exhibit "A"
by certificate number.
Respectfully submitted,
THE ASSOCIATED CERTIFIED PUBLIC
ACCOUNTANTS OF NEBRASKA,
By R. H. WALKER,
Certified Public Accountant.

SCOPE AND NATURE OF AUDIT
We examined and checked for the period audited the statements
of average daily deposits on file with the Department of Trade and
Commerce which were submitted by the various going state banks in
Nebraska as required by law to be used as a basis for computing
the assessments for the benefit of the Depositor's Guaranty Fund.
Statements submitted as a basis for two assessments made during the
period audited were missing and could not be located. A few errors
of minor importance were discovered in a few of the statements
examined.
The assessments shown by the statements examined were compared with those made against each individual bank as entered in the
ledger accounts.


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Federal Reserve Bank of St. Louis

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Schedules were prepared from the books of the Department of
Trade and Commerce showing the assessments, withdrawals, refunds
and other data affecting each of the 1,126 banks contributing to the
Depositors' Guaranty Fund. The drafts drawn on these banks, constituting withdrawals from the going banks for the payment of losses
in failed banks, were checked against the books or reports cof the
various receivers who received and disbursed the money to claimants.
The refunds made by the various receivers, in the case of receiverships, or the Guarantee Fund Commission, in the case of "sale asset"
trusts to the Department of Trade and Commerce for the benefit of
the Guaranty Fund were checked against the books and reports of the
receivers and the Guarantee Fund Commission.
The cash as shown by the books of the Department of Trade and
Commerce to have been on hand to the credit of the Depositors'
Guaranty Fund on January 2, 1930, was verified by certificates obtained
from the depositories and examination of bank statements in the case
of funds on hand but not deposited until subsequent to this date.
We did not verify the balances due the Guaranty Fund from going
banks, by correspondence with them, for the reason that many of the
banks have not credited recent assessments to the Guaranty Fund on
their books due to the litigation pending involving the legality of same.
The balances due the Guaranty Fund from failed banks represented
by the difference between amounts received from the fund and those
refunded to it were taken from the books and reports of the various
receivers and the total was reconciled with the monies shown to have
been received and disbursed by the books of the Department of Trade
and Commerce.
OPERATIONS OF DEPOSITORS' GUARANTY FUND
From January 3, 1911, to January 2, 1930.
Accompanying this report and designated as Exhibit "A" is a list
cf the state banks of Nebraska, 1,126 in number, which contributed
to the Depositors' Guaranty Fund in accordance with the law which
became effective January 3, 1911. This exhibit shows for each bank
the transactions, in summary form, between it and the Department of
Trade and Commerce on account of the Depositors' Guaranty Fund.
Below are shown the grand totals for all banks during the nineteen
year period covered by our audit as shown by Exhibit "A":
Total Guaranty Fund Assessments Made
Refunds Deposited with Banks by Department
of Trade and Commerce
Charges Due to Bank Consolidations

$19,811,378.83

Total Charges to Banks

$22,106,252.29


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Federal Reserve Bank of St. Louis

—27—

2,211,258.75
83,614.71

.

S

Drafts Paid by Banks from Assessments and
Refunds Made
Credits Due to Bank Consolidations
Miscellaneous Credits to Banks

$18,694,668.59
83,614.41
28,907.62

Total Credits to Banks

$18,807,190.92

Balances of Unpaid Assessments and Refunds
Due Fund January 2, 1930:
Going Banks
Closed Banks

$ 2,954,108.59
344,952.78
$ 3,299,061.37

We found that the balances shown to have been due from banks
as of January 2, 1930, per the individual ledger accounts kept by the
department, were in agreement with the controlling account. However, in auditing these accounts we found errors in the accounts of
thirteen banks of $195.08, net, which, when corrected, increased the
balances shown to have been due from banks by the same amount.
We conclude that the controlling account kept by the department was
found to be in agreement with the individual balances in the ledgers
because of arbitrary adjustments made therein.
The attention of the department will be called to these errors so
that corrections may be made.
In checking the monies drawn from the various banks by the Department of Trade and Commerce for the payment of losses in failed
banks, we found that the books and records of the receivers of failed
banks, which were made available to us, showed the receipt of
$18,695,101.34, while the books of the Department of Trade and Commerce show only $18,694,668.59, or a difference of $432.75. The books
of the department show less money paid to receivers than the latter's
books show, it will be observed. We were unable to locate the difference because some of the receivers' records were incomplete or missing.
In the case of refunds made to the department by receivers, in the
case of receiverships, and by the Guarantee Fund Commission, in the
case of "sale asset" trusts, arising from the realization of assets in
their charge, the department's records show the receipt of $2,250,817.90, while the records of the receivers and the Guarantee Fund
Commission show refunds made of $2,253,702.93, a difference of
$2,885.03. It will be noted that the records of the department show


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Federal Reserve Bank of St. Louis

less money received than those of the receivers and the commission.
This difference could not be located from the records available to us.
Of the amount shown by the department's books to have been received by it from refunds, the sum of $2,208,741.31 was deposited with
and charged to the contributing banks.
Deposits of these refunds were not made with the contributing
banks subsequent to April 29, 1929, although received by the department. Consequently, the balance of the refunds amounting to
$42,076.59 received by the department to January 2, 1930, not turned
back to contributing banks, must be accounted for separatEly. This
is accounted for below:
PAID TO PREFERRED CLAIMANTS OR RECEIVERS IN FAILED
BANKS AS FOLLOWS:
$ 5,000.00
800.00
1,016.66
18,101.47
522.30

First State Bank, Litchfield
Nebraska State Bank, Milligan
Farmers State Bank, Cotesfield
Citizens State Bank, Potter
Farmers State Bank, Bushnell

$25,440.43
Cash on Deposit:
Continental National Bank, Lincoln
Stevens National Bank, Fremont

$ 2,724.18
731.93
3,456.11

Cash on Hand:
Draft on Receiver, Atlas Bank of Neligh
(Deposited in Continental Nat'l Bank 3-4-30)

13,179.95
.10

Error in Drafts

$42,076.59
Accompanying this report and designated as Exhibit "B" is a list of
the trusts which have made refunds to the Department of Trade and
Commerce, as shown by its books for the benefit of the Depositors'
Guaranty Fund which amounts have, in turn, been deposited and
charged to the contributing banks (except a balance of $732.03 remaining on hand) during the nineteen year period audited.
The total amount thus refunded by receiverships was $2,036,195.53,
and the amount refunded by "sale asset" trusts was $173,277.81, a
total of $2,209,473.34. Of this total the sum of $732.03 was not de-


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Federal Reserve Bank of St. Louis

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posited with the contributing banks, leaving $2,208,741.31
as the
umount refunded and deposited from this source. To this amount
is
added the sum of $2,517.44, likewise deposited, which was obtained
om amounts previously withdrawn from banks for the purpose
of
paying losses in failed banks. The total thus arrived at is $2,211,258.75, which is in agreement with the total shown in Exhibit
"A"
as refunds deposited with banks by the department.
It was previously stated herein that the total refunds made to the
department, according to its books, by receivers and "sale asset"
trusts
was $2,250,817.90, which amount is $41,344.56 in excess of the
amount
shown above as having been received by the department
from receivers and "sale asset" trusts. This difference consists
of refunds
made to the department subsequent to April 29, 1929, by
the following
trusts which monies were accounted for previously herein:
Pioneer State Bank, Omaha
Homer State Bank, Homer
Wayne County Bank, Sholes
Neligh State Bank, Neligh
Security State Bank, Lynch
Atlas Bank, Neligh

Receiverships "Sale Assets" Total
$16.500.00 $16.500.00
3,000.00
3,000.00
$ 1,664.61
1,664.61
3,000.00
3,000.00
4,000.00
4,000.00
13,179.95
13,179.95
$18,844.56

$22,500.00 $41,344.56

The total refunds for the period audited would, therefor
e, be
divided as follows:
Receiverships
"Sale Asset" Trusts

$2,055,040.09
195,777.81
$2,250,817.90

• Reference is made to Exhibit "C", attached, which
shows the
failed state banks of Nebraska, in the order of payment
, which received payments from the Depositors' Guaranty Fund
to pay their losses
during the nineteen year period audited. These payment
s aggregate
$18,717,021.13 as will be noted. • Of this amount
$18,691,580.70 was
paid from the proceeds of drafts drawn on and paid
by solvent banks
during the period. The balance of $25,440.43 was
paid subsequent to
April 29, 1929, from refunds made to the Guarant
y Fund by receiverships and "sale asset" trusts, as was set out previous
ly herein.
The total drafts drawn on, and paid by, solvent
banks was
$18,694,668.59 during this period, as is shown by Exhibit
"A". The
balance of $3,087.89 thus withdrawn but not paid
to failed banks to
pay losses therein is accounted for below:


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Federal Reserve Bank of St. Louis

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Deposited with Contributing Banks
(Considered as Refund)
Check to Bridgeport State Bank (Error in Draft)
Check to State Treasurer (Paid in Error)
Collection Expense

$2,517.44
459.12
94.09
17.24
$3,087.89

There were 125 failed banks during the period audited whose losses
were paid from the Depositors' Guaranty Fund, as shown by Exhibit
"C", of which number, 89 refunded to the Guaranty Fund a portion of
the amounts received from the realization of assets. In addition,
the Guarantee Fund Commission in charge of the "sale asset" trusts
made refunds to the fund from 30 of these trusts.
The largest payment made from the Guaranty Fund to any failed
bank during the period audited was to the Atlas Bank of Neligh,
Nebraska, in the amount of $809,348.89 and the smallest amount paid
was to the Trumbull State Bank of Trumbull, Nebraska, in the amount
of $3,072.50.
The largest refund made to the Guaranty Fund by receiverships
during the period audited was from the American State Bank of
Lincoln, Nebraska, in the amount of $307,358.38 and the smallest
amount was $1,000.00 made by each of six receiverships. The largest
refund made by "sale asset" trusts to the Guaranty Fund was by the
American Bank of Sidney, Nebraska, in the amount of $34,250.00. ThE,
smallest refund made by these trusts was by the Bostwick State Bank
in the amount of $400.00.
The balances due from failed banks represented by the difference
between the amounts paid to them from the Guaranty Fund and the
refunds to the fund, plus credits on account of assets purchased by
the Guarantee Fund Commission at receivers' sales are shown in
Exhibit "D", as shown by the books of the various receivers. .These
emounts aggregate $16,330,620.92. The books of the Department of
Trade and Commerce are not kept so as to show the amounts due
from failed banks, but we are able to reconcile the total shown above
with the total indicated by data compiled from the books of the Department of Trade and Commerce as follows:
Payments to Failed Banks from Guaranty Fund
Refunds from Receiverships

$18,717,021.13
.2,055,040.09

Balance

$16,661,981.04


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Federal Reserve Bank of St. Louis

Deduct:
Bid Price of "Sale Assets"
Allowed as Credit

$331,509.37

Difference Between Refunds to Guaranty
Fund per books of Receivers and
Department of Trade and Commerce

2,885.03

334,394.40
$16,327,586.64

Add:
Payments to Receivers by Guarantee
Fund Commission from Sale Assets
(Considered as Charge)

2,601.53

Difference Between Payments from
Guaranty Fund per books of Receivers
and Department of Trade and
Commerce

432.75

Balance due from Failed Banks per
Exhibit "D"

3,034.28

$16,330,620.92

Of the total bid price of the Guarantee Fund Commission for the
assets acquired by it at receivers' sales in the amount of $331,509.37,
the sum of $195,777.81 has been refunded to the Guaranty Fund, to
December 31, 1929, as is shown by our summary report on audit of
71 "sale asset" trusts dated July 29, 1930. It is estimated that the
remaining assets of these "sale asset" trusts had a value of $163,426.91,
as of December 31, 1929, which would provide for the refund of the
balance of the Guaranty Fund's investment therein amounting to
$135,731.56 and $27,695.35 in excess thereof. The sum of $2,601.53 has
already been paid back to receivers as provided by law for the payment of expenses, which amount has gone to reduce the total payments
to failed banks from the Guaranty Fund.
The balances due the Depositors' Guaranty Fund for unpaid
assessments and refunds from 652 solvent banks on January 2, 1930,
was $2,954,108.59, while the balance due from 314 failed banks amounted
to $344,952.78 on the same date.
Attention is directed to the fact that, in our opinion, the Department of Trade and Commerce did not protect the interests of the
Depositors' Guaranty Fund, except in a few cases, with reference to
the balances due the fund from failed banks, aggregating $344,952.78
on January 2, 1930, by filing claims with the various District Courts
at proper times. These claims would, of course, be classified as general


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Federal Reserve Bank of St. Louis

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claims but would share in any amounts recovered on stockholders'
double liability with the preferred and other general creditors, according to the decisions of the Nebraska Supreme Court on this question. While the recovery might not have been large by the filing of
claims in the case of each failed bank owing the Guaranty Fund, it
would have, no doubt, been worth while.
We recommend that claims be filed for these amounts in the
future and that steps be taken to file claims in the case of past failures,
where possible.
During the nineteen year period audited there were 38 regular
semi-annual assessments made against solvent banks aggregating
$4,680,337.08 and 21 special assessments aggregating $15,131,041.75,
a grand total of $19,811,378.83. This is an average of over one million
dollars per year for the past nineteen years. Drafts were drawn by
the Department of Trade and Commerce against these assessments 66
times for amounts aggregating $18,694,668.59. Refunds received from
receiverships and "sale asset" trusts by the department were returned
to, and deposited with, solvent banks 27 times in amounts aggregating
$2,211,258.75.
BOOKS AND RECORDS
Our audit of the Depositors' Guaranty Fund, proper, was somewhat handicapped by the inadequate books and records kept by the
Department of Trade and Commerce.
Ledger accounts were kept with each solvent bank showing the
assessments, refunds, withdrawals and balances as to each. A controlling account was also kept. We have no serious criticism to make
of this portion of the department's records. The other books kept
were not adapted to the department's needs and, in fact, only served
as memorandum books.
Neither a regular cash book was kept showing the receipts of
cash nor was a check register used to enter all checks drawn by the
department in connection with the Guaranty Fund.
One of the most serious defects in the accounting records in this
department, in our opinion, is the absence of a permanent record
containing accounts with the failed banks which have received payments from the Guaranty Fund. There is no record available in this
department at present showing the balances owing the fund from failed
banks which have received payments therefrom on account of losses.
In our audit we were obliged to obtain this information from the receivers' books.
It is our judgment that the department should keep such records
that it will be able to account for all moneys coming under its control


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Federal Reserve Bank of St. Louis

— 38 —

in such form that it can be readily verified and comprehended
by those
interested. We were obliged to spend an unsual amoun
t of time in
auditing the records kept to obtain and verify the data and
information
desired. An adequate system would have eliminated a large
part of
this work.
As to the method of keeping documents belonging to
the office,
we found considerable carelessness and laxity. We could
not locate
the bank statements from 1914 to 1923, inclusive, and
no one seemed
to know their whereabouts. Drafts for the earlier years
were not
available. Some of the statements of average daily deposit
s submitted
by banks were also missing. No uniform system of filing
such documents seems to have been in use. Needless to say this
matter should
have attention with a view to correcting such methods.
All of the
records pertaining to the department should be systematically
filed and
kept so that they can be readily examined. The depart
ment's officials
and employees should desire this for their own protection.
REPORT ON THE ADMINISTRATION FUND OF GUAR
ANTY FUND
COMMISSION AND THE SECRETARY OF THE
DEPARTMENT OF TRADE AND COMMERCE
August 1, 1930.

Mr. A. C. Shallenberger,
Chief Examiner,
State Capitol Building,
Lincoln, Nebraska.
In re:

Administration Fund of Guarantee Fund Commis
sion
and its successor, the Secretary of the Depart
ment of
Trade and Commerce.

Dear Sir:
We have audited the books and records
of the Guarantee Fund
Commission, the Department of Trade and
Commerce and the State
Auditor, with reference to the Administrati
on Fund of the Guarantee
Fund Commission, from May 4, 1923, to
April 30, 1929, inclusive, and
its successor, the Secretary of the Department
of Trade and Commerce
from May 1, 1929, to December 31, 1929,
inclusive, and present the
results of our examination in the accomp
anying twenty exhibits and
schedules of 66 pages, with comments.


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Federal Reserve Bank of St. Louis

Respectfully submitted,
THE ASSOCIATED CERTIFIED PUBLI
C
ACCOUNTANTS OF NEBRASKA,
By M. J. Holland,
Certified Public Accountant.
— 34 —

COMMENTS ON THE AUDIT
The various sources from which monies were received and purposes
for which disbursed, which may be found in detail in the exhibits and
schedules, are condensed in the following statement, which includes
the whole period under examination, as well as the total receipts and
disbursements with amounts on hand and available.
SUMMARY OF RECEIPTS AND DISBURSEMENTS OF THE
ADMINISTRATION AND ADMINISTRATIVE FUNDS
MAY 3, 1923, TO DECEMBER 31, 1929
Receipts
$436,214.46
99,617.80
6,775.74
927.77

Assessments
Appropriations
Interest on Cash Balances
Miscellaneous

$543,535.77

Total Receipts
Disbursements
$380,021.35
142,821.16
10,462.95
1,200.00

Salaries
Office Expenses
Office Equipment
Compensation and Damages

$534,505.46

Total Disbursements

9,030.31

Cash in Banks December 31, 1929
CASH AVAILABLE FOR USE DECEMBER 31, 1929
Appropriation 1929 (Under House Roll 280)
Amount Used •
Amount Unexpended
Add: Cash in Banks December 31, 1929
Cash Available for use by Secretary of Department of
Trade and Commerce, December 31, 1929


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Federal Reserve Bank of St. Louis

— 35 —

• $100,000.00
9,989.91
90,010.09
9,030.31

$ 99,040.40

THE ADMINISTRATION FUND
For the purpose of this Audit we have included under the term
"Administration Fund", the amounts obtained in the manner and from
the sources immediately hereafter set out under I, II, III, IV and V.

This item, in a total amount of $4,538.23 as shown by the minutes
of meeting of Guarantee Fund Commission, under date of May 29,
1923, was derived from an assessment levied and collected by
the
Secretary of the Department of Trade and Commerce, under Section
9,
House Roll 272. Guarantee Fund Commission Law of 1923, on all state
banks and transferred to the Secretary of the Guarantee Fund Commissio
n
for the use thereof as Commission directed.
II
This item, in a total of $89,627.89, came from three Legislati ye
appropriations, one under House Roll 672 in 1923, of $30,000.00 for the
"Bureau of Banking support of Guarantee Fund Commission, under
provisions of House Roll No. 272", and similar appropriations of the
same amount by the Legislatures of 1925 and 1927, under House Rolls
329 and 295.
The appropriations were for the Bienniums ending June 30, 1925,
1927 and 1929, respectively, and the amounts used and returned to the
State Treasurer were as follows:
1923 Appropriation
1925 Appropriation
1927 Appropriation
Totals

Used
$29,644.61
29,997.31
29,985.97

Returned
$355.39
2.69
14.03

$89,627.89

$372.11

Date
7-25-25
8-29-27
7-30-29

III
This item, in a total of $431,676.23, was received from what may
he termed Assessments, made by the Guarantee Fvind Commissio
n, on
the banks in its charge in the amount of $376,252.12, curing the
period
May 4, 1923, to April 30, 1929, and from assessments made
by the
Secretary of the Department of Trade and Commerce on
all banks and
assets turned over to him by the Guaranty Fund
Commission, under
section 8, of House Roll No. 249, 1929 laws, and other
banks for
which he was receiver, in the amount of $55,424.11, during
the period
May 1, 1929, to December 31, 1929.


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Federal Reserve Bank of St. Louis

— 36 —

Of this $376,252.12 received from assessments, and the $7,549.69
from interest and miscellaneous income by the Guarantee Fund Commission, the unexpended portion, $23,829.69, was turned over to the
Secretary of the Department of Trade and Commerce, at the termination of the Guarantee Fund Commission, and of this $23,829.69 and
the $55,424.11 received from assessments, with $153.82 from interest
and miscellaneous, from May 1 to December 31, 1929, there was unexpended at the cicse of business, December 31, 1929, $9,031.31.
IV
This item, in a total of $9,989.91 came from a Legislative appropriation of $100,000.00, under House Roll No. 280 of 1929, under title
"Department of Trade and Commerce" for "expense of organization
and administration of state receiverships as successor of the Guaran_e
Fund Commission, including the checking of all assets in transfer and
administration of assets and property after transfer."
The balance of the $100,000.00 appropriation, after deducting the
$9,989.91 used as above indicated, is available, and, we an informed,
I- eing used in the period following,IDecember 31, 1929.
\if
Under this item we include interest received on cash balances in
banks by Guarantee Fund Commission of $6,681.75 and by Secretary
of Department of Trade and Commerce of $93.99, making a total interest received of $6,775.74, and miscellaneous income of $867.94 received
by the Guarantee Fund Commission and $59.83 by the Secretary of the
Department of Trade and Commerce, making a total miscellaneous
income of $927.77.
AUTHORITY AND BASIS FOR ASSESSMENTS MADE BY THE
GUARANTEE FUND COMMISSION AND SECRETARY
OF THE DEPARTMENT OF TRADE
AND COMMERCE
The assessments from which the $376,252.12 was received by the
Guarantee Fund Commission, probably were based on the idea incorporated in Section 13 of House Roll No. 249 of 1929 laws, which
provide the Secretary of the Department of Trade and Commerce, shall,
from time to time, allocate to the various receiverships the expense, by
reason of such receiverships.
They seem to have been based solely on the need of the revenue and
the presumption that as the banks and various assets under the supervision of the Guarantee Fund Commission, as later under the Secretary
of the Department of Trade and Commerce, were the beneficiaries of


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Federal Reserve Bank of St. Louis

37

the services rendered and various other items of expense incurred,
they were the proper subjects for levy to obtain the revnue.

•

In any event, the assessments were made, and the money expended
was received from the banks and various assets under the supervision
of the Guarantee Fund Commission, as later was done under the
:,ecretary of Department of Trade and Commerce.

The basis for making the assessments was not uniform. That is,
:t was not wholly a percentage on assets, or a percentage on deposits,
and it varied at times from one assessment to another. We are advised it was the purpose to make the assessments so that the charge
to each bank or asset would be proportioned in part to the relative
value cf that bank or asset to the others, and also in part to the value
or benefit received, as well as the relative proportion of the cost.
Taking the different elements into consideration, it is our opinion
the assesments were fairly equitably made and the burden shared
proportionally by the recipients of the benefits.
As previously indicated, the allocation by the Secretary of the
Department of Trade and Commerce was specifically authorized in
Section 13 of House Roll No. 249 of 1929 laws.
TOTAL DISBURSEMENT

$534,505.46

The total disbursements of $534,505.46 as shown above are for the
entire period, May 4, 1923, to December 31, 1929, and are made up of
tl-oe items immediately hereafter listed with comment.
SALARIES

$380,621.31

This includes all regular salaries paid during the whole period of
th2 Commission. Salaries ranged all the way from $10.00 per day to
members of the commission and $60.00 to $150.00 per month for stenographers; $250.00 per month for assistant secretary and $850.00 for
Counsel; to $625.00 per month for secretary.
The increase in number of employees as well as increase in
salaries of permanent employees appeared to extend gradually over
the whole period.
Any information as to any particular person or time during the
period may be obtained by referring to schedules accompanying report.
OFFICE EXPENSES

$142,821.16
This item also includes the whole period and the following items:
Employees Miscellaneous, Salaries and Traveling Expenses...4
98,583.57
Printing, Stationery, Office Supplies and Postage
24,385.75
Advertising Real Estate
1,514.63
Surety Bond Premiums
3,049.36


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Federal Reserve Bank of St. Louis

—38 —

•

7,936.95
2c19.14
329.72
2,852.64
1,603.43
2,355.97

Telephone and Telegraph
Express and Drayage
Repairs—Office Machines
Special Attorney Fees and Court Costs
Accountants Fees
Miscellaneous

$142,821.16
Total as above
The salaries included in the first item above are nearly wholly
those of occasional employees in connection with whom our information
as to the parts pertaining to salary and to expense were not clearly
defined.
OFFICE EQUIPMENT

$10,462.95

This includes desks, files, typewriters, machines and various other
items of equipment.
COMPENSATION AND DAMAGES

$1,200.00

This item represents amount paid in settlement of claim for
damages for injury sustained by an employee while in service of
Commission.
CASH IN BANK DECEMBER 31, 1929

$9,031.31

This item was verified by certificates from the depositories, and,
with the balance of appropriation of 1929 in the hands of the State
Treasurer, makes up the $99,041.40 cash available for use December
31, 1929.
The audit was made in detail, except as otherwise hereafter stated,
and covered the whole period from May 4, 1923, when the members
of the Guarantee Fund Commission took the oath of office to December
31, 1929. It also included an examination of the rewords of the State
Auditor with reference to the expenditures from the various appropriations, as payments for those expenditures were made direct from the
State Treasury on warrants for claims duly filed and approved by the
State Auditor.
The minutes of the meeting of the Commission were accepted as
evidence of payment of the $4,538.23 received from the appropriation
under House Roll No. 272 in 1923.
BOOKS AND RECORDS
Aside from the period covered by the expenditure of the $4,538.23
for May, June, July and August, 1923, to which reference is made in
the preceding paragraph, the books and records of the Guarantee Fund
Commission, the Department of Trade and Commerce, and the office of
the State Auditor, were in good order with the desired evidence and
information readily available.
39


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Federal Reserve Bank of St. Louis

4

STUDY OF CAUSES OF BANK
TROUBLES AND BANK FAILURES
IN NEBRASKA
WITH SUGGESTIONS
FOR THEIR CORRECTION

•


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Federal Reserve Bank of St. Louis

STATE OF NEBRASKA
DEPARTMENT OF TRADE AND COMMERCE
BUREAU OF BANKING

STUDY OF CAUSES OF BANK
TROUBLES AND BANK FAILURES
IN NEBRASKA
WITH SUGGESTIONS
FOR THEIR CORRECTION
,

STATE OF NEBRASKA
DEPARTMENT OF TRADE AND COMMERCE
BUREAU OF BANKING


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Federal Reserve Bank of St. Louis

A

TO ALL STATE BANKS IN NEBRASKA:
This Department has an inside picture of State Banks and a deal
of information not available to the average banker as to the condition
of banks and the causes of trouble and failures. This information has
been studied and checked with the records of other states. We find
dangerous tendencies have crept into many banks. We feel that these
tendencies should be reported and corrections made before they get
beyond control.
On the other hand many of our banks have achieved notable success. And their practices and standards should be carefully studied.
With these two thoughts in mind we list some of these dangerous
tendencies to be corrected or eliminated. And we also include other
suggestions whose soundness and practicability are well established.


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Federal Reserve Bank of St. Louis

•

1. EXPENSES IN EXCESS OF EARNINGS.
Banks must make money to be safe. Study ways to increase your
earnings and reduce expenses.
2. DECREASING DEPOSITS.
The causes should be removed, if possible, by cleaning-house from
within or effecting a reorganization in some manner.
3. TOO MANY BANKS IN THE TERRITORY.
This condition has been largely corrected in Nebraska, but where
it still obtains there seems to be only one solution, viz., consolidations. Do not permit petty or trivial matters to prevent
consolidations.
4. INSUFFICIENT VOLUME.
Your Officers and Directors should give their best thought to increasing the volume of your business. If you find it not possible then consolidation or liquidation seems to be the next step.
5. ACCOUNTS THAT DO NOT PAY.
Such accounts should be thoroughly analyzed. The depositors
should be shown the facts and asked to increase their balances
to a paying basis, pay a, reasonable service fee, or close the account. Unprofitable business should not be taken because of
keen competition or any other reason. A bank is not a charitable institution.
6. INCOMPETENT, DISHONEST OR EASY GOING MANAGEMENT.
Change at once. Directors in the past have in many cases injured or even ruined their banks by delaying too long, the
correction or elimination of such management.
7. CARELESSNESS IN KEEPING BOOKS AND BANK RECORDS: LISTING OVERDRAFTS, AND OTHER IRREGULAR ITEMS AS CASH, ETC.
The Department can see no excuse for delinquencies of this
character. We recognize that Officers and Directors may not
always be able to correct other' criticisms but we feel that they
can and must keep clear and exact records of their banks.
S. OTHER REAL ESTATE.
Other Real Estate is never a desirable asset in a Bank. It is often
an expense and causes unfavorable comment when disclosed in


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Federal Reserve Bank of St. Louis

3

your Published Statements. Sell it if possible or if in the sound
judgment of your Officers and Directors, it should be held for
later disposition, form a Holding Company to purchase it from
your bank at Book Value and take it out of your assets. If
neither of these suggestions can be followed then you should
charge it off at a substantial rate each year.
9. SECOND MORTGAGES.
Second mortgages should not be taken except to secure a debt
previously contracted. Most "Other Real Estate" comes into
banks through foreclosure of second mortgages and many bankers report their institutions would have been ahead if they had
taken their initial loss and not attempted to redeem through
acquiring "Other Real Estate".
10. NON-LIQUID AND FROZEN ASSETS.
Our records disclose that many banks could have been saved if
theie Officers and Directors had started soon enough to collect,
secure or otherwise give such loans needed attention. If you
have such assets, insist upon monthly or periodical payments,
even though the payments have to be small. There is seldom
any other way to handle these loans. Furthermore, amortizing
loans in this manner, is generally as beneficial to the borrower
as to your bank.
11. EXCESS LOANS.
This Department has previously sent you a warning as to making
excess loans in violation of the Statute. It is our purpose to
enforce this Statute. Not only should your loans always be
kept within the Statutory 20% limit, but banks are urged increasingly to require security on all loans in excess of 10% of
your Capital and Surplus.
12. LARGE LOANS TO DIRECTORS, STOCKHOLDERS AND TO
CORPORATIONS OR PARTNERSHIPS IN WHICH THEY
ARE INTERESTED.
Such loans should be carefully and, impartially scrutinized by thz
Directors, who should record their approval in the Minute Book.
The total of such loans should never be permitted to become
excessive.
13. EXCHANGE OF PAPER BETWEEN AFFILIATED BANKS.
Our Examiners are instructed to challenge this practice whereever found and to require its discontinuance. The records show
that the practice generally results in unwarranted extension of
credit.


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Federal Reserve Bank of St. Louis

4

14. RECIPROCAL LOANS AMONG BANK OFFICERS.
We have reference to an Officer of Bank "A" borrowing personally from Bank "B" and in consideration of such loan, an Officer
of Bank "B" borrows from Bank "A". This practice is so obviously unsound and has resulted in so many unnecessary losses
in the past that the Department is asking for the elimination of
all such loans wherever discovered.
15. OUTSIDE LOANS.
Experience shows that outside loans have caused more trouble to
banks than any other class of loans. They should be indulged
in sparingly, if at all, and only when they are adequately secured.
16. NOTES OF STOCKHOLDERS OR OF HOLDING COMPANIES GIVEN TO REMOVE REAL ESTATE OR TO EFFECT A CONSOLIDATION OR REORGANIZATION.
If possible, Stockholders and Holding Companies should be required to pay cash in travsactions of this kind. If notes are
taken, however, they must be steadily reduced and liquidated
within a brief period.
17. CAPITAL LOANS.
Under present conditions you should not loan to a borrower who
will have to be closed out to enable you to get your money.
You cannot afford to assume the risk of the business of the
borrower in making loans.
18. LOANS DEPENDING ON ENDORSERS.
Ordinarily if the original maker and beneficiary of the proposed
loan is not good, you should not make the loan, regardless of
the endorser. Such loans usually run indefinitely and ultimately
an enemy is made of the endorser, if he is forced to pay. Experience also shows that notes with too many endorsers are
especially hard to collect.
19. POLICY OR FAVOR LOANS.
Such loans are usually made to Officers of corporations which
carry a nice balance, or to Treasurers of Public Funds,—individuals not legitimately entitled to such loans.
20. NEGLECTING CHATTEL MORTGAGES.
Chattel Mortgages need frequent checking and should be checked
and renewed every six months. Experience shows that livestock, being prepared for market, is usually the best and most
liquid security, while household goods, Store fixtures and equipment are the poorest.


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Federal Reserve Bank of St. Louis

5

A

Pr

21. ADDING INTEREST TO PRINCIPAL OF NOTES.

fk

If the borrower cannot pay the interest, the loan is usually doubtful and instead of being increased the transaction should be
brought to a show-down.
22. LOANS AND INVESTMENTS.
Diversify your loans and investments. In addition to your rerequired Cash Reserve you should have an extra Reserve in the
form of some "A" notes and the bulk of your Note Case should
be Class "B" assets. Class "C" loans are presumably collectible,
but experience shows that if a bank has too many "C" or Capital
loans, it may be forced to close its doors during disturbed conditions, even though, by analysis, it seems to be solvent.
23. TOO MANY LONG TIME AND SECOND RATE BONDS.
A number of Banks bought bonds upon the recommendations of
salesmen, without having them checked or rated by independent
and impartial bond experts. Furthermore, some banks, without
regard to maturity or payment of principal, sought bonds to
yield a high interest rate. Only the highest grade bonds should
be purchased and most of them should have a maturity of five
years or less.
24. GRANTING CREDIT TOO FREELY AND WITHOUT COMPLETE CREDIT INFORMATION OR WITHOUT SECURITY
AS PROVIDED BY LAW—SEE SECTION 15, Page 32, 1929
NEBRASKA BANKING LAWS.
See that your credit files are up-to-date, your Financial statements
current, or your notes adequately secured.
24a. FALSE FINANCIAL STATEMENTS BY BORROWERS.
Statements should be signed and sworn to before a Notary. One
man has been sent to the penitentiary in Nebraska for making
a false statement. If you suffer a loss due to a false statement,
do not fail to prosecute.
25. EXCESSIVE BILLS PAYABLE.
Borrowing should be for temporary purposes only and you should
not borrow money with the idea of re-loaning it. Do not use all
your credit and thus render your bank helpless if anything unexpected happens.
26. EXCESSIVE INVESTMENT IN BANKING HOUSE, FURNITURE AND FIXTURES.
These items should be in proportion to the size of your bank.


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Federal Reserve Bank of St. Louis

6

•

27. CONTINGENT LIABILITIES.
All the liabilities of your bank must be shown on your books.
There must be no undisclosed gentleman's agreements or secret understandings creating a liability on the bank.
28. LARGE PUBLIC OR OTHER TEMPORARY DEPOSITS.
If accepted, invest the funds in liquid securities which can be sold
or collected without delay when and if, such deposits are suddenly withdrawn.
29. UNWARRANTED DIVIDENDS.
This is now covered by Statute. Dividends should not be paid
unless losses are charged off, "Other Real Estate" adequately
written-down, necessary amount transferred to Surplus and your
Undivided Profits and Reserve Accounts adequately built-up.
Many failed banks would be open today if they had not distributed all their earnings during the prosperous years from
1910 to 1920.
30. PROBABLE LOSSES STILL CARRIED AS ASSETS.
Do not permit your losses, determined or probable, to accumulate.
Charge-off these losses promptly. Keep your banks clean.
31. USE OF GIFTS OR PRIZES TO OBTAIN BUSINESS.
These methods have usually been found costly and unsuccessful
and have been largely discontinued.
32. MEETINGS OF DIRECTORS.
The Department requests Boards of Directors to meet monthly.
Directors cannot properly perform their duties if they meet less
frequently.
This study has been prepared for all Officers and Directors of State
Banks in Nebraska.
Yours very truly,
DEPARTMENT OF TRADE AND COMMERCE,


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Federal Reserve Bank of St. Louis

Geo. W. Woods, Bank Commissioner.
eikirwzt

7

A

HOUSE JOURNAL
FIFTY-FIRST (EXTRAORDINARY) SESSION

SIXTEENTH DAY
House of Representatives,
Lincoln, Nebraska, November 14, 1935.
The Speaker called the House to order at 9:00 A. M.
Prayer was offered by the Chaplain.
Roll was called and all members were present, excepting:
cused: Stringfellow.

Ex-

The Journal for yesterday was approved as corrected.
STANDING COMMITTEE REPORTS
Engrossed and Enrolled Bills
SENATE FILE NO. 11

(House Amedments)

—correctly engrossed and delivered to Committee on Arrangement, Phraseology and Correlation.
(Signed)

EDITH BECKMAN,
Chairman.

Arrangement, Phraseology and Correlation
SENATE FILE NO.


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Federal Reserve Bank of St. Louis

1

Re-engross with amendments.
ments mimeographed).
(Signed)

(Amend-

ALFRED SOFTLEY,
Chairman.

228

HOUSE JOURNAL
Finance, Ways and Means

HOUSE ROLL NO. 32

General file.
(Signed)

•
GEO. E. NICKLES,
Chairman.

BILL ON FIRST READING
The following bill was introduced and read the first time:
HOUSE ROLL NO.. 34. Introduced by Representative Walter M.
Burr of Adams.
A Bill For an Act relating to the general welfare; to provide revenue for social security; to authorize the department of roads and irrigation of the State of Nebraska to engage in the business of importing and retailing petroleum products; to provide that the profits from
such commerce shall be appropriated to the state assistance fund for
social security; and to declare an emergency.
MOTION—To Read H. R. No. 34 Second Time
Mr. Burr offered the following motion:

Nut. SPEAKER:
I move that the rules be suspended and House Roll No. 34 be
read the second time.
Fifty-eight having voted in favor of the motion, the same was
adopted.
BILL ON SECOND READING
The following bill was read the second time:
HOUSE ROLL NO., 34. Introduced by Representative Walter M.
Burr of Adams.
A Bill For an Act relating to the general welfare; to provide revenue for social security; to authorize the department of roads and irrigation of the State of Nebraska to engage in the business of importing and retailing petroleum products; to provide that the profits from
such commerce shall be appropriated to the state assistance fund for
social security; and to declare an emergency.
•
MOTION—To Place H. R. No. 34 on General File
Mr. Burr moved that under the suspension of the rules House
Roll No. 34 be placed on general file.


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Federal Reserve Bank of St. Louis

S

SIXTEENTH DAY—November 14, 1935

229

Fifty-six having voted in favor of the motion, the same was
adopted.
EXCUSES
Representative Barnes asked to be excused for Friday and Saturday, which request was granted.
Representative Schroeder asked to be excused for Saturday, which
request was granted.
COMMITTEE OF THE WHOLE
On motion of Mr. Putney, the House resolved itself into a Committee of the Whole to consider bills on special and general file.
Mr. Bishop was called to the Chair.
When the Committee arose, it submitted the following report:
MR. SPEAKER:
Your Committee of the Whole has had under consideration:
SPECIAL FILE
SENATE FILE NO. 11

(House Amendments)

—re-engross with the following amendments:
Amend the Engrossed House Amendment, page 1, line 2 by inserting before the word "majority" therein the article "a"; and in
line 3 of said Engrossed House Amendment strike the figures and
symbot "60%" and insert in lieu thereof the words "sixty per cent,".
—and report the same back to the House with the recommendation that the amendments be re-engrossed and the bill advanced to
third reading.
(Signed) JOHN S. BISHOP,
Chairman.
On motion .of Mr. Bishop, the report of the Committee of the
Whole was adopted.
MOTION TO RECESS
On motion of Mr. Hyde, the House recessed until 11:00 A. M.
AFTER RECESS
The Speaker called the House to order at 11:00 A. M.


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Federal Reserve Bank of St. Louis

230

HOUSE JOURNAL
PRESENTED TO THE GOVERNOR
November 13, 1935.

MR. SPEAKER:
Your Joint Committee on Engrossed and Enrolled Bills respectfully report that we have this day, at 2:00 P. M., presented to the
Governor for his approval:
SENATE FILE NO. 7
( Signed)

ARCHIE C. O'BRIEN,
Chairman Senate Engrossing Committee.
EDITH BECKMAN,
Chairman House Engrossing Committee.
November 14, 1935.

MR. SPEAKER:
Your Joint Committee on Engrossed and Enrolled Bills would
respectfully report that we have this day, at 11:10 A. M., presented
to the Governor for his approval:
HOUSE ROLL NO. 14
(Signed)

ARCHIE C. O'BRIEN,
Chairman Senate Engrossing Committee.
EDITH BECKMAN,
Chairman House Engrossing Committee.

COMMITTEE OF THE WHOLE
On motion of Mr. Dunn, the House resolved itself into a Committee of the Whole to consider bills on general file.
Mr. Bishop was called to the Chair.
When the Committee arose ,it submitted the following report:
MR. SPEAKER:
Your Committee of the Whole has had under consideration:
GENERAL FILE
HOUSE ROLL NO. 31
—and report the same back to the House with the recommendation that we report progress and ask leave to sit again.


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Federal Reserve Bank of St. Louis

(Signed)

JOHN S. BISHOP,
Chairman.

SIXTEENTH DAY—November 14, 1935

231

On motion of Mr. Bishop, the report of the Committee of the Whole
was adopted.
MESSAGE FROM THE GOVERNOR
Executive Office,
November 14, 1935.
To the Honorable W. H. O'Gara,
The Speaker of the House of Representatives:
I am directed by His Excelelncy, the Governor, to inform your
honorable body that he has this day approved the following acts, viz:
SENATE FILE NO. 7
(Signed)

THEO M. OSTERMAN,
Secretary to the Governor.

SIGNED BY THE SPEAKER
S. F. NO. 4
While the House was in session and capable of transacting business, the Speaker announced that he was about to sign and did sign
Senate File No. 4.
STANDING COMMITTEE REPORTS
Engrossed and Enrolled Bills
SENATE FILE NO. 11

(House Amendment)

HOUSE ROLL NO. 21
--correctly re-engrossed and engrossed, respectively and delivered
to Committee on Arrangement, Phraseology and Correlation.
(Signed)

EDITH BECKMAN,
Chairman.

Arrangement, Phraseology and Correlation
SENATE FILE NO. 11

(House Amendment).
grossed.

Correctly

re-en-

—advance to third reading.
HOUSE ROLL NO. 21


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Federal Reserve Bank of St. Louis

Re-engross with amendments.
ments mimeographed).
(Signed)

(Amend-

ALFRED SOFTLEY,
Chairman.

HOUSE JOURNAL

232

MOTION TO RECESS
On motion of Mr. Hastings, the House recessed until 1:30 P. M.
AFTERNOON
The Speaker called the House to order at 1:30 P. M.
Roll was called and all members were present, excepting:
cused: Stringfellow.
Absent:

Ex-

O'Brien, Herrick.
EXCUSES

Representative Sallander asked to be excused for Monday and
Tuesday, which request was granted.
Representative Long asked to be excused for Saturday afternoon,
which request was granted.
REPORT OF THE BANKING COMMITTEE ON THE
AUDIT OF THE BANKING DEPARTMENT
CONDUCTED BY THE SECRETARY
OF STATE
Lincoln, Nebraska
November 14, 1935
MR. SPEAKER:
Your Committee on Banks and Banking to whom was referred
the printed State Auditor's report of the Banking Investigating Committee as authorized by Chapter 20, Laws of Nebraska, 1935, as
amended by House Roll No. 28, Fifty-first (Special) Session, Nebraska State Legislature, have had the same under consideration and
beg leave to report as follows:
"Your Committee has held open hearings on the matter in the
House on the evenings of November 11 and 12, 1935, as well as executime sessions and makes the following recommendations, to-wit:
First—That the House proceed to consider additional information
which may be available from or through its membership.
Second—That if any such information so offered appears to be
valuable that the same be spread upon the House Journal for the purpose of preservation as a permanent record.
Third—That if the House deems it proper after gathering all in-


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formation and evidence by resolution or otherwise to make such additional recommendations as it may consider necessary or proper.
Fourth—Your Committee finds much evidence in support of the
claim that the Banking Department under Mr. E. H. Luikart has
been repeatedly prostituted for political purposes and your Committee condemns such practices as being not only unethical and unlawful but subversive of good government.
Fifth—Your Committee finds that state moneys were unlawfully
diverted from the Banking Department in 1932 and used in mailing
out campaign letters furthering the political interests of Governor
Charles W. Bryan, then a candidate for re-election, and your Committee recommends that the Attorney General forthwith commence
and prosecute iuch civil action or actions as may be necessary to recover back all state moneys so diverted.
Sixth—Your Committee finds that a number of employees in
the State Banking Department have been and are now receiving larger salaries than are permitted under the statutes of Nebraska, and
we respectfully recommend that the Attorney General be required to
commence and prosecute the. necessary actions to recover back .all
r.uch illegal excess salaries so paid and that henceforth no salaries be
paid in said Department in excess of that fixed by law.
Seventh—Your Committee further reports that it finds negligence
and inefficiency on the part of the attorney for the Banking Department, Mr. F. C. Radke, and we respectfully recommend that said Radke
be forthwith discharged from the employ of the state.
Eight--Your Committee further recommends that Mr. E. H.
Luikart be severely censured and condemned for misconduct while superintendent of banks in the following particulars:
1. Permitting the solicitation of funds for campaign purposes
from employees in his office and using the same and the time of his
employees for the advancement of political candidates.
2. For the use of state funds from his Department for the furtherance of the political campaign of Charles W Bryan.
3. For paying or permitting to be paid illegal and excess salaries to employees in his office.
4. For voting and holding stock in the State Bank of Stella in
violation of law while he was acting as superintendent of banks.
5. In attempting to obtain for the members of his family stock
in the State Bank of Stella without paying therefor but by virtue of
his position as superintendent of
banks.


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6. In refusing to resign as receiver of failed state banks after
he had been removed from the office of superintendent of banks although requested so to do.
Ninth—Your. Committee further recommends that the attention
of the District Courts be directed to the evidence and findings of the
Committee and the Committee further recommends to all District
Courts, before whom bank receivership actions are pending, that
the said E. H. Luikart be relieved of his duties as receiver and that
the said District Court appoint in his stead the superintendent of
banks.
Tenth—Your Committee recommends a complete revision of the
present banking law to the end that political corruption and fraud
may be prevented or discovered and punished, and state banks operated in harmony with wise and just rules in the interest of the public generally, and the patrons of state banks in particular.
Eleventh—Your Committee further recommends that all evidence
taken by the Standing Committee of the House on Banks and Banking be transcribed and that all transcripts of evidence and depositions
in, the hands of the Banking Investigating Committee be filed with
the State Auditor of Public Accouts and that said Banking Investigating Committee be discharged.
Respectfully submitted,
GATES LILLEY, Chairman
GEORGE E. TRUMAN
JAS, A. BROWN
JOHN MCLELLAN

MASON E. HYDE
B. B. WEBBER
EUGENE PERIGO
PETER H. CLAUSSEN
ED. F. LUSIENSKI

Byrkit and Exhibits
DEPOSITION taken by the Auditor of Public Accounts of the State of Nebraska, acting through the
Bank Investigation Committee appointed by him
under an Act of the 1935 Legislature entitled House
Roll No, 392, in effect March 15, 1935, in furtherance of the investigation and audit of all business
transactions and activities of the Department of
Banking with reference to the Centralized Receivership,
State House,
Lincoln, Nebraska.
Wednesday, October 23, 1935,
4:00 P. M.


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BEFORE

235

Ellsworth L. Fulk, Chief Examiner.
Frank B. Watson, Attorney and Ass't Examiner.
W. D. Messenger, Assistant Examiner.
W. J. Williams, Investigator.
W. H. Pansing, State Accountant.

At the close of the public hearing in the Centralized Receivership, October 23, 1935, the following deposition was taken regarding
matters pertaining to the testimony at the public hearing.
W. M. BYRKIT,
Of lawful age, being be me first duly examined, cautioned and solemnly sworn, as hereinafter certified, deposeth and sayeth as follows, viz:
Examined by MR. WATSON:

4—Will

you please give your name and address to the reporter?
A—W. M. Byrkit; Lindell Hotel, Lincoln, Nebraska.

Q—Where are you employed, Mr. Byrkit?
A—I handle investigation work for various people and firms.

Q—Have

you ever been employed by the Attorney General of the
State of Nebraska?
A—I have, several times.

Q—Were your ever employed to make audits of a bank at Walton?
A—Yes, I was.

Q—What

bank was that?
A—The Farmers & Merchants Bank.

Q—Did you make a report on that matter to the Attorney General?
A—Yes, I did. .
Q—Have you got a copy of that?
A—I have.
Q—Now, Mr. Byrkit, you handed me a copy of the so-called Hoagland report of the Farmers State Bank, Genoa.
A—Yes, sir.
Q—Dated March 27, 1931. Mr. A. B. Hoagland is now deceased, they
tell me?
A—That is right.
Q--While he was living did you discuss this report with him?
A—Yes, I did.
Q—And did he make this report at the request of the Banking Department of the State of Nebraska?


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A—No, he did not.

Q—He was working for—
A—He maae this report for the Attorney General
Q—Of the State of Nebraska?
A—Yes, he did.
Q—Who was the Attorney General?
A—C. A. Sorensen.
Q—After this report was made—you get your information from what
he told you, do you not?
A—Absolutely; that is the only source I had of the information.
Q—Now, I want you to testify only from what Mr. Hoagland told
you, otherwise to make your qualifications: Now, did Mr. Hoagland tell you that page 5 of this report to the department was
changed after he submitted it to the department?
A—Yes, sir; he did.
Q—In what way was this Page 5 changed?
A—Well, I don't know ,but it was changed; I never saw them.
Q—Who ordered it changed, did he tell you?
A—Why, Mr. Hoagland told me that his report of this audit was
changed after he had made it to his chief in the Banking Department.
Q—Just a minute, you said he was working for the Attorney General.
A—At this time that this report was made from his own private
files.
Q—I don't get you.
A—Well, he had files and records at home, outside of the Banking
Department.
Q—Who ordered this audit (referring to file in counsel's hand)?
A—Well, this particular audit covered this here (indicating); the
Attorney General ordered it.
Q—Oh, he kept a copy of the one that I have. The particular paper
that you have in your hand, he kept that copy at his home in his
own files?
A—Yes, sir, he did.
Q—And that is the one he gave you?
A—He did, and he told me his reason for doing it.
Q—Why?


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A—Because if he was ever subpoenaed on the witness stand relative to any of his transactions, he would have a true and exact
copy.
Q—And you were just to keep that safely for him?
A—Yes.
1Q—Did he tell you what changes were made on Page 5?
A—No, he didn't; he told me something about it, but I don't recall what those changes were.
Q—You have no independent knowledge of what they were?
A—No, because I tried to ascertain just what changes had been
made in the Banking Department.
Q—Have you studied this report?
A—Quite a bit.
Q—What is you experience as an auditor? How long have you been
an auditor? What are your qualifications?
A—Well, as an auditor, my qualifications are not very great.

Q—Well, just
L

state what they are.
A—Well, nothing only in matters of investigation work. I have
been doing the investigation work.

(4—And digging up the information and auditors have compiled it for
you?
A—That is right.
(4—You never worked on the Genoa deal yourself?
A—Yes, I did, but I didn't compile this.

Q—Did

you help Mr. Hoagland?
A—No, Mr. Hoagland was in the department at that time.
We attempted to obtain these C. D.'s,—(interrupted)

(4—Now, just state what Mr. Hoagland told you this report brought
out with relation to Charles W. Bryan.
A—Well, Mr. Hoagland—I talked.to him, it was in July of 1931,
and Mr. Hoagland told me that he was going to lose his job
for making this report, and he wrote that letter which was
attached on the back of it, in an endeavor to white-wash the
thing so he would hold his job, and he told me, in his own
language, that there was just plenty of heat turned on him
—that is his own language—because he made this report.
Q—Now, the letter you, refer to is a letter of June 19, 1931, to Mr.
E. H. Luikart, Secretary, in re Farmers State Bank, Genoa, with


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reference to the fraudulent issuance of certificates of deposit to
K. C. Knudson?
A—That is right.
Q—Who is K. C. Knudson?
A—K. C. Knudson was head of the Banking Department and president of this Genoa bank, and president of the Coconut Grove,
Florida, bank, all at the same time.
Q—And what time was that?
A—Well, that went over a period of years; at the time of this
transaction it was 1925-1924, 1925, 1926, 1927 and along
in there.
Q—Now, Mr. Hoagland made this statement in his letter:
"That my report in no way reflects that Mr. Bryan received funds
from the fraudulent issuance of certificates of deposit in May and
June, 1925, and is in no way involved in my report." Is that the
statement you refer to as the white-wash of Mr. Bryan?
A—Yes, sir; that is the statement.
Q—Now, what did he say was the true state of affairs, if that is not
the true state of affairs?
A—Well, I don't know that he explained it at that time, only the
conversation I had with him was relative to him compiling
this and furnishing the facts, and what it was going to cost
him, and he did lose his job; he was discharged.
Q—Yes—he left the department in 1931; the department told us it
was because they had no work for him to do at that time. As a
matter of fact ,a great many banks were failing in August and
September, 1931 weren't they?
A—That was one of the busiest times the receivership division
eveh had—you can go over a period of months—(interrupted)
MR. WATSON: Mr. Fulk would like to ask you some questions.
INTERROGATION BY MR. FULK:
Q—Do you know the consideration Mr. Bryan gave the bank for these
C. D.'s listed on Page 5?
MR. WATSON: Can you answer that question?
A—No—only through hearsay, because I don't have the facts.
MR. WATSON: You see, Mr. Fulk, Mr. Hoagland told this
story to Mr. Byrkit. Mr. Brykit is not an auditor and he
has heard it second-hand, and now Mr. Hoagland is dead, so


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we cannot go to him for the information, and I believe we
have got to go to some auditor or agent or assitant receiver
or some one who worked on that bank's original files to get
the low-down on this.

Q—Do

you know who the assistant receiver was in this bank at the
time Mr. Hoagland made.the audit?
A—I knew at the time, but I have just forgotten; I can find it in
my records; I had it at one time and Jam quite sure I have
yet, but in taking these records out of the safe deposit box,
I could not ascertain that, because I knew Mr. Hoagland was
dead and I knew the situation, what we were up against.

Q—Well now, if I was to tell you that Mr. Roland Buell was the receiver, would that refresh your memory?
A—Well ,that name is familiar to me, but relative to this bank, it
would not.
MR. WATSON: We would be glad to have you leave this
copy with us so we can go over it, and we will make Page 5
an exhibit, and make the letter of June 19th an exhibit, and
have the reported take a copy before you leave here today,
then we can compare those exhibits with what the department
offers us when they recover their copy of the Hoagland report
which is supposed to be in the possession of Mr. Bryan, who
is now Mayor of Lincoln.
MR. BYRKIT: May I make a statement?
MR. WATSON: Yes, we will hear what you have to say.
MR. BYRKIT: During the special session in 1931 the session
passed a resolution and demanded—they later changed the
word "demand" to "request"—that the Attorney General for
the State of Nebraska investigate the Genoa State Bank, the
Farmers & Merchants Bank of Walton, Nebraska, and the Van
Peterson alleged discrepancies of $10,000.00 while chief counsel for the Guarantee Fund Commission. The Attorney General was instructed to make these investigations and submit
a written report to the 1933 Legislature. That is why these
records now exist. This investigation was to have been carried on strictly non-partisan, which the Attorney General
attempted to do, and myself, as one of the investigators was
given those specific instructions. In 1933, the Attorney General, Mr. C. A. Sorensen, did make his report to the Legislature. This report contains a true and exact copy of that document we are looking at now, known as the Geona State Bank,


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Hoagland report. It also contained my own original complete
report of the Farmers & Merchants Bank of Walton; it also
contained the complete report of the Van Peterson transaction; it also contained the complaint which Mr. C. A. Sorensen drafted to sue Van Peterson to recover this $10,000.00
for the Guarantee Fund Commission. It is necessary that
the Governor sign such a petition. This petition was prepared
by the Attorney General's office, sent to Governor Bryan's
office and although the Attorney General was ready and willing, had all the evidence to prosecute this case or suit for
recovery, Governor Bryan not only refused to sign this petition but never as much as returned the original to the Attorney General's office. All of these facts that I have just told
you of was in the Attorney General's original report to the
Senate of 1933. The Senate accepted this report, and immediately someone offered a resolution that the Senate accept the Attorney General's report and that it be placed in the
files of the Senate, that no member of the press would have
any access to it, and that no one, unless he was a member of
the Senate, could see those records. The next day Senator
McCarter, who was then President pro tern, of the Senate,
called me into the President's office and asked if I would look
at this file and see if it was all there. Mr. John Chapman.
who was then Chief Clerk of the Senate, produced the files and
we, meaning Senator McCarter and myself, sat down and went
over these records, and he asked me if there was anything
missing, and there was. The Walton bank report was gone.
Senator McCarter asked me if I would make another copy and
certify it, which he would pay for; I made that copy for the
Senate, and Senator McCarter did pay me for it, that is, he
paid my stenographer for drawing it. We certified it at the
Capitol, and that is all the cost there was to it, a matter of
two or three hours. Shortly after that the complete file disappeared from the Senate Files. We were looking for it one
day and was unable to find it. I asked the Chief Clerk where
this file was. In said maybe it has been stolen. He later
changed that statement and said it had been taken out of the
files, because he had instructions to keep that away from the
Senate floor. I asked him if he knew who got these records,
and he said he thought he did know. I asked him who got
them. He didn't tell me who got the record, but he said if he
ever was subpoenaed that he would tell the truth, that he
would not perjure himself for any man. That, gentlemen,
biings the history up to date. That is why I thought your
report should be clarified—for that purpose only.


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Q—That is all there is, Mr. Byrkit, on Genoa?
A—Yes, that is all.
WITNESS EXCUSED

(EXHIBIT 1)
(Byrkit Deposition)
"June 19th, 1931.
Mr. E. H. Luikart,
Deputy Secretary,
Department of Trade and Commerce,
Lincoln, Nebr.
In Re: Farmers State Bank, Genoa, Nebraska with
reference to fraudulent issuance of certificates of
deposit to K. C. Knudson:
Dear Mr. Luikart:
With reference to my report in regard to the above matter, you
will note that the fraudulent certificates of deposit were issued to
K. C. Knudson in May and June, 1925.
That in January, 1926 ,the issuing of these certificates of deposit
Were covered by the entry of the Larson notes in the loans of the bank.
That on April 17th, 1926, a draft was drawn upon the Florida Exchange Bank, Coconut Grove, Florida for the sum of $10,000.00; that
this draft was finally paid by a transfer of funds from the Florida
Exchange Bank of Coconut Grove, Florida to the credit of the Farmers
State Bank, Genoa, Nebraska, at the Hanover National Bank in New
York. The statement of the Hanover National Bank is in the records
and clearly shows this fact, so that in the transaction the Farmers
State Bank, Genoa, Nebraska, received full consideration on April 17th,
1926 for the issuing of the certificates of deposit in May and June,
1925.
You will rte further, upon page 4 of my report, that after the
Farmers State Bank at Genoa, Nebraska had received full consideration for the issuing of the Certificate of Deposit that the Certificate
of Deposit was again renewed in the name of the Florida Exchange
Bank of Coconut Grove, Florida on November 3rd, 1926.
You will not note that on March 1st, 1927, in my report, upon page
;), that the certificates of Deposit for $10,000.00 that was issued in the
name of the Florida Exchange Bank, Coconut Grove, Florida (upon
which the Farmers State Bank of Genoa, Nebraska had received a


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transfer of funds from the Florida Exchange Bank, Coconut Grove,
Florida in April 1926) was cancelled.
That when this certificate was cancelled the bank issued certificates
Nos. 1785, 1786 and 1787 to Mr. C. W. Bryan; that my report in no
way reflects that Mr. Byran received funds from the fraudulent issuance of certificates of deposit in, May and June, 1925, and is in no
way involved in my report.
Yours very truly,
A. B. HOAGLAND,
Field Auditor."
(EXHIBIT 2)
(Byrkit Deposition)
(Signed

March 26th, 1926 the above notes total of $11,000.00 are credited
to Loans on the Tellers sheet (no record in the paid loan book) and
the Remittance sheet shows a draft of J. W. Larson payable to Farmers
State Bank on the Florida Exchange Bank, Coconut Grove, Florida.
The Remittance sheet shows to the Hanover National Bank of N. Y.
but on the daily Statement they charge it to Federal Reserve Bank.
March 29th, 1926 they credit the Federal reserve bank with the
$11,000.00 and charge it to the Hanover National Bank of N. Y.
April 17th, 1926 the Hanover National Bank give the Farmers
State Bank of Genoa credit for the draft with notation Transfer From
Exch Bk Coconut Grove Fla.
(Q—What went into the Exchange bank to pay this?)
FOLLOWING IS A HISTORY OF THE CERTIFICATES OF DEPOSIT
$5,000.00
August 28th 1926; T. C. C. No. 1538
2,500.00
1540
1,500.00
1541
Cancelled and
1,000.00
2193
D. C. D.
Certificate No. 1678 Issued to Florida Exchange
Bank for $10,000.00
November 3rd 1926 Certificate No. 1678 Returned and cancelled
$10,000.00
"Certificate No. 1721 issued to Florida Exchange
Bank $10,000.00.
When Certificates No. 1538; No. 1540 and No. 1541 which were
issued to K. C. Knudson on May 18th, May 2nd and June 1st 1925 came
back to the Farmers State Bank the name of K. C. Knudson was struck
out on the typewriter and the name of J. W. Larson inserted, and the
name of L. W. Larson is written on the back of the certificates lengthwise of the C. D. below the endorsement of K. C. Knudson and the
Florida Exchange Bank of Coconut Grove, Miami, Florida.


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SIXTEENTH DAY—November 14, 1935
March 1, 1927 They cancel Certificates of Deposit No.
$10,000.00 and issue certificates as follows:
No. 1785 Dated Feby 1927 Six Months to Charles W. Bryan
1786
1787
di

44

41

41

243
1721 for
$5,000.00
2,500.00
2,500.00

June 18th 1927 Certificate No. 1786 is paid to Charles W. Bryan
with interest $2,531.67 By Demand C. D.
This is paid by draft on State Bank of Omaha.
July 22nd 1927 Certificate No. 1787 is paid for $2,540.84 by Omaha
Draft.
August 19th 1927 Certificate No. 1785 is paid by draft on Omaha
for $2,548.05 and Certificate No. 1869 is issued for $2,548.05.
"August 29th 1927 Certificate No. 1869 is paid for $2,548.05.
Respectfully submitted,
A. B. HOAGLAND,
Auditor for the Department"
State of Nebraska,
) ss.
County of Lancaster.
I, Sidney M. Smith, appointed as official shorthand reporter to
make a record of the proceedings held in connection with the taking
of depositions by the Auditor of Public Accounts of the State of Nebraska, acting through the Banking Investigation Committee hereintefore listed, in the matter of the investigation and audit of all business transactions and activities of the Department of Banking with
reference to the Centralized Receivership, at said City and State, on
the 23rd day of October, 1935, do hereby certify that before said Committee came W. M. Byrkit, who was first duly sworn by B. Frank
Watson, Attorney and Assistant Examiner of the Commmittee, to testify to the truth, the whole truth and nothing but the truth; that the
examination of said witness was taken down in shorthand by myself
and later transcribed on the typewriter, and said deposition is herewith
returned.
I further certify that Exhibits 1 and 2, offered and received in evidence at said hearing, are correctly set out in said proceedings, the
transcript of which contains a full and complete record of said hearmg, all as appears from my notes taken at the time, and the record of
said hearing now in my possession.
In witness whereof, I have hereunto set my hand at Lincoln, Nebraska, this 31st day of October, 1935.
(Signed) SIDNEY M. SMITH,
Shorthand Reporter.


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BUELL & DEPOSITION EXHIBIT
DEPOSITION taken by the Auditor of Public Accounts of the State of Nebraska, acting through
the Bank Investigation Committee appointed by
him under an Act of the 1935 Legislature entitled
House Roll No. :192, in effect March 15, 1935, in
fi-.7:11!.rznec of the investigation and audit of all
business transactions and activities of the Department of Banking with reference to the Centralized Receivership.
State House,
Lincoln, Nebraska.
Wednesday, October 23, 1935.
800 P. M.
BEFORE

Ellsworth L. Fulk, Chief Examiner.
Frank B. Watson, Attorney and Ass't. Examiner.
W. D. Messenger, Assistsant Examiner.
W. J. Williams, Investigator.

At the close of the public hearing in the Centralized Receivership,
October 23, 1935, the following deposition was taken regarding matters pertaining to the testimoney at the public hearing.
ROLLIN BUELL,
Of lawful age, being by me first duly examined, cautioned and
solemnly sworn, as hereinafter certified, deposeth and sayeth as
follows, viz:
Examined by MR. WATSON:
Q—Will you please give the reported your name and address?
A—Roland Buell; I live at 2035 Euclid Avenue, Lincoln.
Q—What is your present occupation, Mr. Buell?
A—I am with a building firm here, and whatever is needed to
be done, I do it, whether it is collecting or ordering—
Q—Well, Mr. Buell, have you ever been connected with the Banking or Receivership Department of the State of Nebraska?
A—Yes, sir, from 1926 to 1931.
Q—In what capacity?
A—As—well, I don't know—it was really assistant to the receiver; they had a lot of different names; I started under the
old plan and they changed it to a dozen different names, but
they ended up with assistant to the receiver, I think.


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Q—Were you assistant to the receiver at the Genoa State Bank?
A—At the Farmers State Bank of Genoa.

Q—About what time, Mr. Buell?
A—That was from February, 1929 until June, 1931.
Q—During that time you had charge of the books and records of the
the Farmers State Bank of Genoa, did you?
A—I did.
Q—Was an auditor there for the Receivership Department investigating any irregularities in the bank at that time?
A—The books were audited in January, February and March,
1931.
Q—And who was the auditor?
A— A. B. Hoagland.
Q—He was a regular auditor of the Receivership Department, and
was his expense charged to the Receivership Department?
A—I think they surely were—I couldn't verify that.
Q—He was regularly employed in the receivership department?
A—Yes.
Q—Have you a copy of his report?
A—I have.
Q—Will you hand that to me, please?
A—Yes (handing report to counsel).
Q—Where did you get this report, Mr. Buell?
A—I borrowed the report of Mr. Hoagland and had a girl type it.
Q—Now, Mr. Buell, I wish to ask you—we have compared this word
for word with the original—will you please examine Exhibit
Number 2 in the Byrkit deposition, this paper I hand you, and
tell me whether or not that is exactly a duplicate of the last of
Page 4 and Page 5 of the original audit made by A. B. Hoagland,
of the Farmers State Bank of Genoa?
A—It is.

Q—And this Exhibit 1 is an exact copy of your report and exactly
the same as the end of Page 4 and Page 5?
A—It is.
Q--Now, this Exhibit 1 in your deposition is the report that was
originally submbitted to the receiver by A. B. Hoagland, auditor
for the department?
A—It was.
IQ—No w, at a later date, do you know whether any changes were made
in this audit, for the department's records?
A—There was.


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Q—How do you know that there was, Mr. Buell?
A—I have a copy of the change.
Q—And where is that?
A—In this report that you have.
Q---Just read that into the record; just read what Page 5 was changed
to; read Page 5 as it is now, and the change.
A—"When Certicates No. 1538; No. 1540 and So. 1541 which
were issued to K. C. Knudson on May 18th, May 2nd and
June 1st, 1925 came back to the Farmers State Bank the
name of K. C. Knudson was struck out on the typewriter
and the name J. W. Larson-inserted, and the name of L. W.
Larson is written on the back of the certificates lengthwise
of the C. D. below the endorsement of K. C. Knudson and
the Florida Exchange Bank of Coconut Grove, Miami, Florida.
March 1, 1927 they cancel! Certificates of Deposit No. 1721
for $10,000.00 and issue certificates as follows: No. 1785
dated February 24th, 1927, six months, to Charles W. Bryan,
$5,000.00; 1786 dated February 24th, 1927, six months, to
Charles W. Bryan, $2,500.00; 1787 dated February 24th,
1927, six months, to Charles W. Bryan, $2,500.00; June
18th, 1927, Certificate No. 1786 is paid to Charles W. Bryan
interest, $2,531.67, by demand C. D. This is paid by draft
on State Bank of Omaha; July 22nd, 1927, Certificate No.
1787 is paid for $2,540.84 by Omaha draft; Augusts 19th,
1927, Certilcate No. 1785 is paid by draft on Omaha for
$2,548.05 and Certificate No. 1869 is issued for $2,548.05;
August 29th, 1927, Certificate No. 1869 is paid for $2,548.05.
Respectfully submitted, A. B. Hoagland, Auditor for the Department."
Q—Now, what changes were made in there, Mr. Buell? In line four,
what change is there?
A—The name of L. W. Larson was changed to J. W. Larson.
Q—That is right In the second paragraph, what change was made?
A—Where it states Certificate Number 1785, dated February
24th, 1927, due in six months, in the original it was stated
Certificate 1785, dated February 24th, 1927, he mentions,
to Charles W. Bryan.
Q—And what did the changed report read?
A—The change read, Number 1785, dated February 24th, 1927,
due six months, for $5.000.0,0.
Q—In other wards, they left out the words "to Charles W. Bryan"
in the changed report?
A—On the three certificates.


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Q—And the next line, did they make the same change and leave out
the words "to Charles W. Bryan"?
A—They did.

Q—And the next line, Number 1787, did they make the same change
and leave out the words "to Charles W. Bryan"?
A—They did.
R—And in the next sentence did they leave out anything?
A—They left out the words "to Charles W. Bryan".
Q--And what else?
A—They left out the word "this is paid by draft on State Bank
of Omaha".

Q—And in the next sentence what did they leave out, if anything,
or did they insert anything?
A—They inserted there "by Omaha draft"—they left that out.
Q—Yes, they left out the words "by Omaha draft"?
A—Yes.
14---And in the next line what change did they make?
A,—The words left out, "Paid by draft on Omaha".
Q—And on the next line what change, if any?
A—They added "no interest".
Q—The two words "no interest"?
A--Yes.

Q—Now, tell us if you saw this Hoagland report in the files of the
Receivership Department at Lincoln, Nebraska after the changes
were made, showing only the changes and not showing the original Page 5?
A—No, I did not.

Q—Where did you see the changed report?
A--I borrowed the report from Mr. Hoagland; he had a copy
of the report, and I made it from that, from his copy.
Q—What did, he tell you about the changes?
A—I asked him if there had been some changes mad, and he said
—I said: "You made some changes in this report?" Ht
said: "The only thing I did—" he said: "They called me
in and asked me to leave out Mr. Bryan's name," and he
said, "I did, and I think I have got myself all set." Those
were the words he used.

Q—Did he tell you he had given any letter clearing Bryan of having
any part in this deal?


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A—I have a recollection to that effect. He gave a letter, yes;
he did tell me he had given a letter; I remember that.
Q—And did he show you that letter?
A---No, he didn't show me the letter.
Q—Did he say that letter had been attached to his report?
A—He did not, that I remember of.
Q—Who was J. W. Larson, if you know?
A—I think Larson was—I think he was a son-in-law of Mr.
Knudson,—a brother-in-law of Mr. Knudson.
Q—And who was Mr. Knudson?
A—Which Knudson?
Q—K. C. Knudson?
A—He was president of the Farmers State Bank of Genoa and
former secretary of the Department of Trade & Commerce.
Q—Was he the secretary for the Department of Trade & Commerce
for the period covered by this audit, if you know? This audit
covers a certain period, and I would like to know if K. C. Knudson was secretary of the Department of Trade & Commerce when
these certificates were issued in this Exhibit 1?
A—He was.
Q—Was Mr. Bryan, Governor?
A—He was.
Q—Of your knowledge, did Mr. Bryan have any interest in the bank
of Coconut Grove at Miami, Florida, or Florida Exchange Bank?
A—I don't know.
Q—Did Mr. Knudson?
A—Yes, he was connected with the banks there.
Q—Now, did the Page 5, before it was changed, reflect the true
statement of facts, of your own knowledge?
A—It did.
Q—And after it was changed, impoitant facts regarding Mr. Bryan
had been left out of the audit?
A—Yes, there had, because I seen the certificates; in fact, this
report is only a verification of a report that I made, that I
dug up; I dug up all these facts myself, and the auditor was
merely an auditor, and he confirmed them.
Q—What was your conclusion from these facts that you discovered in
your investigation as to whether or not C. W. Bryan personally
profited from this transaction to the detriment of the depositors
of the bank?


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A—He did not; the depositors received all the money that they
had as far as the Farmers State Bank of Genoa is concerned;
I don't know anything about the Coconut Grove bank, because I don't know what went in there; but as far as the
Farmers State Bank, they got all the money that came in;
when they collected that draft on the bank at Coconut Grove,
that money was returned to the depositors.
Q—Inasmuch as we cannot put this whole report into the exhibit, and
inasmuch as I understand it covers a period before our authority
to make an investigation— you see our authority begins on Jan.uary 1, 1930—please state briefly the facts relative to this $11,000.00 that is mentioned in Pages 4 and 5 as copied into Exhibit
1, and who did profit by that transaction, if any one did, or what
was the reason for handling it this way: In other words, Mr.
Buell, how was Mr. Bryan connected with this in any way?
A—Well, that is a thing I would not know, because we didn't
—unless we would audit the Coconut Grove Bank we wouldn't know what went in there.
Q—Why is that information necessary?
A—As far as the depositors at Genoa was concerned, anything
that Bryan had to do with that didn't affect them, that I can
see in the report. Now, what went into the Coconut Grove
Bank to take care of this worthless paper that went down
there, I don't know, o: how it was taken care of, whether
Mr. Knudson took it up out of his own pocket or whether it
came out of the Coconut Grove Bank, I don't know.
Q---Where did this paper come from?
A—It was notes that were put up to take care of all these certific:.tes which were finally ended up as going to Mr. Bryan,
but when they were first issued they were issued without
making a record of them in the bank of these certificates;
they turned over in a certificate book, and took out some
certificates and issued them without making any record in
the bank, and after considerable months, when they came in,
back in, then they had to put something in.
Q—And what did they put in?
A—All they did to start with was just mark "loans" on the teller
sheet, as I remember it; on the date that these certificates
came back they made on the teller sheet—(interrupted)

Q—That is,

you mean on the day when these certificates were put on
the books as a liability of the bank?
A—They just wrote across the teller sheet "loans $11,000.00"
Q—As a new charge to loans??


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250

A—As a new charge to to loans.
Q—Without putting anything into the note case?
A—Yes; in fact, the note register in which these notes were all
listed, when they came in there was only an increase of
$1.75.00 that day.
Q—And there was no increase in the loans list, so the loans were out
of balance then with the total loans shown on the daily statement
for same?
A—Yes, sir.
Q—Then what was put into the note case to make the total loans
agree with the daily sheet and take up this difference?
A—There was no record in the bank to show what went in. Mr.
Winne11, who was a former assistant cashier in the Farmers
State Bank at Genoa at the time Mr. Hoagland and I questioned him, was assistant cashier in the Genoa National Bank
at Genoa.
Q—Now, just read from your report this paragraph right here and
state whether that is a correct statement (indicating)?
A—It is.
Q—Now, that paragraph reads as follows—just check my reading
here—"On January 28, 1926 the following notes went into the
bank's loans without record in order to reconcile the charge to
loans on January 13, 1926. I got this from a written memorandum
made by Winne11, the assistant cashier, at the time. There is
no record of these notes in 019 bank's records. Note of .T. W.
Larson, dated January 11, 1926, due on demand, for $2800.00;
note of Kingsley J. Kubler to J .W. Larson, dated January 11,
1926 and due July 11, 1926, for $4200.00, endorsed by J. W. Larson; note of Leland W. Larson to J. W. Larson, dated January 11,
1926 and due ruly 11, 1926, for $4,000.00, endorsed by J. W.
Larson." Now, you state that that is a true statement of what
happened as told to you by Winne11 who was asssitant cashier at
that time?
A—It is.
Q—And did he say what becam& of these worthless assets when the
certificates of deposit were paid?
A,—He did.
Q—What did he say happened to that?
A—He said that on March 26, 1926—(interrupted)
the part you are beginning to read now is Exhibit 1 in the
Buell deposition?
A—Yes.


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251

Q—He stated the first paragraph of Exhibit 1.
A—Shall I read that?
Q—Yes—just state it in your own words—what happened to these
notes.
A—Well, thees notes were credited to loans and discounts, but
there was no record of it made in the paid loan book for the
reason that they had never been recorded there in the first place,
and the remittance sheet shows a draft to J. W. Larson, payable
to the Farmers State Bank, on the Florida Exchange Bank, Coconut Grove, Florida. The remittance sheet showed to the Hanover
National Bank of New York, but on the daily statement they
charged it to the Federal Reserve Bank.
Q—Now, what do you mean by that: Do you mean by that that
these notes were sent out of the bank at that time?
A—They were sent as collection to the Hanover National Bank.
Q—Just read that over and refresh your recollection and tell us what
happened.
A—Well, in the records of the bank the remittance showed a
draft of J. W. I arson, payable to the Farmers State Bank,
on the Hanover National Bank, but on the daily statement
it was charged to the Federal Reserve Bank, showing it was
written on one but when the statement came back it was as
if on the Federal Reserve Bank.
Q—Did that draft remain outstanding for some time?
A—It was.
Q—Was it ever paid?
A—It was.
Q—How was it paid? It finally was paid by being charged by the
Hanover National Bank, was it?
A—It was.
Q—It was paid by the Hanover National Bank?
A—Yes.
Q—And some time later?
A—Yes, about two months later or a little over a month later.
Q—Now, what about the notes, these notes you spoke of—What became of them? You made some statement about those notes being sent to the Florida Exchange Bank.
A—Well, I was mistaken in that statement; it was just as I
remember it, but (interrupted)


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Q—Well, we are trying to find out now just what happened after this
original set-up that you mentioned; you stated that C. D.'s were
set up on the books as a liability, and $11,000.00, approximately,
of worthless notes were set up in the note case as assets. Now,
we have got that far. Apparently if the notes were worthless
that would be a fictitious credit and a worthless asset, but from
that noint en you haven't explained to us how they got the ha
bility paid by disposing of the notes.
A—May be I had better make myself clear on it. The reason I
said they were worthless notes was because the notes, so far
as the records of the bank are concerned, never appeared in the
records of the bank except they were marked "loans", and the
only record I had was a notation gotten from Mr. Winne11, a
former cashier. Of course, whether these notes were ever in
the bank or not, I know no more about it than you folks. There
was no record whatever; it was only his notation when these
notes were charged out. There was a draft sent out and when
this draft went out in March, then these notes went out, and
then, of course, this draft was carried as an item up until
sometime in April, and then finally the draft was collected.
So my statement of worthless notes was because they surely
were worthless notes or they would have appeared on the record of the bank. Now, maybe I am wrong on that, but the
only record we have of these notes—we have one report that
should be on file in the Department of Trade & Commerce
here—was the notation of Mr. Winne11 of what made up these
loans of $11,000.00 and these notes were charged out when
they issued a draft drawn as stated. It is a little difficult to
get that because the whole thing was mixed.
Q—The draft in this case, of course, was a draft of J. W. Larson,
payable to this Farmers bank?
A--That was it.
Q—And drawn on the Florida bank?
A—That was it.
Q--And was, of course, appearing on the bank's books to take the
place of the notes that went out?
A—Yes.
Q—And it was then sent to the Hanover National Bank as a remittance, and finally was paid through clearings, and the money came
back to the Farmers State Bank of Genoa, so that the net sum
of the whole thing is that the Farmers State Bank of Genoa
got the amount of the draft in cash, and that, when you figure it
way back to the beginning, was the consideration that the bank
got for the C. Ds. that were eventually paid to C. W. Bryan?


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253,

A—That is it, yes.
Q—Does it state anywhere what the amount of the draft was?
A—The draft was for $11,000.00.
Q—Was the draft for $10,000..00 or $11,000.00?
A—The draft was for $11,000. These certificates—originally when
these certificates came back, the certificates amounted to
$9,000.00, and then there was a demand certificate for $1,000.00.
MR. WATSON: I think I understand that situation now, Mr. Fulk,
I don't see but what the Farmers State Bank of Genoa finally
did get payment for the sum of money that was paid out on
the other hand through the certificate to Mr. Bryan.
MR. BUELL: The bank had no loss at all.
Q—But the transaction was a little irregular and questionable?
A—It was very irregular. The facts are, a certificate shouldn't
be issued unless there was a record made of it; they were
fooling somebody some place along the line.
Q—And the fact there was no record in the bank's books indicated
that the certificates had been wrongfully issued at the time?
A—In other words, if those certificates had been present when
there was an examiner there when same came in that day, it
would have been too bad for the officials of the bank.
Q—Now, just examine that record again and state whether or not
the certificates to Mr. Bryan were issued on February 24, 1927?
A—They were according to the records.
Q—And was Mr. Bryan Governor at that time?
A—No, he was not.
Q_And Mr. Knudson was no longer Secretary of the Department of
Trade & Commerce then?
A—No, he was not. Mr. Weaver was Governor at that time—no,
he was not—Mullen was Governor at that time.
Q—And Bliss was Secretary of the Department of Trade & Commerce?
A—Yes, Bliss was Secretary; Bliss went in in 1927.
Q—When Mr. Bryan entered this transaction on the books of the
bank, he was no longer Governor of the State of Nebraska?
A—No; he was not.
Q—But when this note transaction took place was Mr. Knudson head
of the Department of Trade & Commerce? That would be 1926,
wouldn't it?
A—No, he was not, because Mr.—now, I can't think of his name
—he went to the building and loan company in Omaha.


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Q—The Occidental Building & Loan?
A—Yes, in 1926—I can't think of his name—Kirk 'Griggs.
Q—Then when these notes went into the bank, Mr. Knudson was not
Secretary of the Department of Trade & Commerce?
A—No, he was not; I think he was in Coconut Grove at that time.
N. WATSON: I believe we have a clear statement of the
transaction now in the record.
MR. FULK: May I ask a few questions?
MR. WATSON: Mr. Fulk wishes to ask a few questions.
By MR. FULK:
Q—You stated that you borrowed this report from Mr. Hoagland and
had a girl make a copy of it: Is that true?
A—Yes, sir.
Q—Do you remember her name?
A—No, I don't; she was stenographer for Frank Arnold at Fullerton. Frank Arnold used to be a real estate man up there; she
was stenographer for Frank Arnold—I don't remember her
name.
Q—Well, when did you make this copy of Mr. Hoagland's report—do
you remember the month?
A—Oh, I think it was either April or May of 1931; I can't remember the exact month.
Q—It is either April or May?
A—He was with me from January until the latter part of March
or first of April, and he was sent to the Farmers State, at
Columbus—I believe that is the Farmers State anyway, Clark's
bank there at Columbus, and he was there making an audit on
some work there when I borrowed this report; it was soon after, either April or May that I borrowed this—the first of
April is when I think it was.
Q—Did the report Mr. Hoagland gave you to copy have these two
pages in it, the original and the changed way?
A—No; it did not have both.
Q—How did you get the changed report?
A—I asked him about it. He said it was changed and I asked
him if I might have a copy. He said yes.
Q—(By Mr. Watson) Did he mail you a cpoy?
A—No, just handed it to me; in making the reports the sheets are
run through the typewriter separately, and he had this copy.


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Q—Did Mr. Hoagland tell you himself he changed this report?
A—He did.
Q—Did he tell you who requested him to make the change?
A—The department.
Q—(By Mr. Watson) Who in the department?
A—I suppose the head of the department.
Q—(By Mr. Watson) Who was the head of the department?
A--Mr. Luikart.
Q—Did you ever see these reports with Mr. Bryan's name on them?
A—Yes; he wrote all over the back of it when he signed his name.
Q—Do you know why Mr. Hoagland's services were no longer needed
with the departmennt, in August, 1931?
A—I can only tell you what he told me.
Q—What did he tell you?
A—He told me that they called him in and when he came in they
asked him if they could borrow his report of the Genoa State
Bank, and after he was in and after they had had it, he went
back to get his repo,t in a week or two and they wouldn't let
him have it and told him he wasn't needed.
Q—Lid the facts set forth in Mr. Hoagland's report have any bearing
upon your services being dispensed with by the department?
A—I think it did in a way, at least Mr. K. C. Knudson, when we
were going to make the report, came to Platte Center—I had
charge of the Farmers State Bank at Platte Center too.
BY MR. WATSON:
Q—Was that in receivership?
A—A receivership; that was in February, 1931; I think it was
February of 1931, and Mr. K. C. Knudson said if I had that
bank audited he would see that I was fired.
Q—Meaning the Farmers State Bank at Genoa?
A—If I had the Farmers State Bank audited he would see that I
was fired.
Q—And were you fired?
A—I was. I told Mr. Hoagland at the time as far as he was concerned I wouldn't ask him to make the audit, but so far as I
personally was concerned I would see it was audited, and Hoagland made the remark: "Well, by God, I am the man that is
going to do it."
Q—And was Mr. Bryan governor during that entire year, 1931?
A—He was.


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BY MR. FULK:

Q—Were these certificates issued held as cash items for a while in
the bank?
A—You mean these certificates issued to Mr. Bryan?
Q—Yes.
A-1`:o, they were not held.
BY MR. MESSENGER:
Q—You said when they were presented for payment they were held
there as an item.
A—That was this draft of Larson's; that was floating around
there from January to April before it got credit; that was the
draft of Larson's to the Coconut Grove bank which was held
from January to April before it was cleared.
BY MR. WILLIAMS:
Q—Mr. Buell, do you know what consideration took place or what
consideration took place or what Bryan gave of value to get this
C. D. of $10,000.00?
A—No; I would have no record of that.
BY MR. WATSON:
Q—How did Bryan get these C. D's.? Who transferred them to him,
or whose C. D's. were they before they were issued to Bryan?
A—They were K. C. Knudson's—well, they were issued to K. C.
Knudson, and then his name was scratched off, marked off
out of the face, and Larson's name put in.
Q—Was it Larson or Bryan?
A—No; Larson's.
Q—When Knudson's name was scratched out, whose name was put in?
A—Larson's. They put it in the typewriter; they had taken this
certificate and put it in the typewriter and marked an
cross-marked Knudson's name out, and then wrote Larson's
name above—that is J. W. Larson.
Q—And before K. C. Knudson's name was on those certificates, in
whose name were the certificates held?
A—To the Florida Exchange Bank of Coconut Grove, Florida.
Q—When the Certificate Number 1721 in the name of the Florida Exchange Bank, Coconut, Florida, for $10.000.00, was cancelled, then
in whose name were the certificates carried?
A—Then it was issued into three different certifcates in the name
of Charles W. Bryan.


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(11

•

r)

SIXTEENTH DAY—November 14, 1935
MR. WATSON: Now, is there any other question?
thank you, Mr. Buell, for coming in.

257
Well, we

WITNESS EXCUSED
MR. WATSON: The exhibit will be made a part of the deposition.
(EXHIBIT 1)
(Buell Deposition)
'March 26th 1926 The above notes total of $11,000.00 are credited
to Loans on the Tellers sheet (no record in the paid loan book) and
the Remittance sheet shows a draft of J. W. Larson Payable to Farmers State Bank on the Florida Exchange bank, Coconut Grove Florida.
The Remittance sheet shows to the Hanover National Bank of N. Y. but
on the daily Statement they charge it to Federal Reserve Bank.
March 29th 1926 They Credit the Federal reserve bank with the
$11,000.00 and charge it to the Hanover National Bank of N. Y.
April 17th 1926 The Hanover National Bank give the Farmers
State Bank of Genoa credit for the draft with notation Transf From
Exch Bk Coconut Grove Fla.
(Q

What went into the Exchange bank to pay this?)

FOLLOWING IS A HISTORY OF THE CERTIFICATES OF DEPOSIT
$5,000.00
August 28th 1926; T. D. D. No. 1538
2,500.00
1540
1541
1,500.00
1,000.00 Cancelled and
2193
D. D. D.
Certificate No. 1678 Issued to Florida Exchange
Bank for $10,000.00
November 3rd 1926 Certificate No. 1678 Returned and cancelled $10,000.00 "Certificate No. 1721 issued to Florida Exchange Bank $10,000.00
When Certificates No. 1538; No. 1540 and No. 1541 which were
issued to K. C. Knudson on May 18th, May 2nd and June 1st 1925 came
back to the Farmers State Bank the naine of K. C. Knudson was struck
out on the typewriter and the name of J. W. Larson inserted and the
name of L. W. Larson is written on the back of the certificates lengthwise of the C. D. below the endorsement of K. C. Knudson and the
Florida Exchange Bank of Coconut Grove, Miami, Florida.
March 1, 1927 They cancel Certificates of Deposit No. 1721 for
$10,000.00 and issue certificates as follows:


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No. 1785 Dated Feby 24th 1927 Six Months to Charles W. Bryan
$5,000.00.
No. 1786 Dated Feby 24th 1927 Six Months to Charles W. Bryan
$2,500.00.
No. 1787 Dated Feby 24th 1927 Six Months to Charles W. Bryan
$2,500.00.
June 18th 1927 Certificate No. 1786 is paid to Charles W. Bryan
with interest $2,531.67 By Demand C. D. This is paid by draft on
State Bank of Omaha.
July 22nd and 1927
Omaha Draft.

Certificate No. 1787 is paid for $2,540.84 by

August 19th 1927 Certificate No. 1785 is paid by draft on Omaha
for $2,548.05 and Certificate No. 1869 is issued for $2,548.05.
August 29th 1927 Certificate No. 1869 is paid for $2548.05.
Respectfully submitted,
A. B. HOAGLAND,
Auditor for the Department".
State of Nebraska,

)

County of Lancaster. ) SS.
I, Sidney M. Smith, appointed as official shorthand reporter to
make a record of the proceedings held in connection with the taking
of depositions by the Auditor of Public Accounts of the State of Nebraska, acting through the Banking Investigation Committee hereinbefore listed, in the matter of the investigation and audit of all business
transactions and activities of the Department of Banking with reference to the Centralized Receivership, at said City and State, on the
23rd day of October, 1935, do hereby certify that before said Committee came Roland Buell, who was first duly sworn by B. Frank Watson,
Attorney and Assistant Examiner of the Committee, to testify to the
truth, the whole truth and nothing but the truth; that the examination
of said witness was taken down in shorthand by myself and later transcribed on the typewriter, and said deposition is herewith returned.
I further certify that Exhibit 1 offered and received in evidence
at said hearing, is correctly set out in said proceedings, the transcript
of which contains a full and complete record of said hearing, all as appears from my notes taken at the time, and the records of said hearing
now in my possession.
In Witness whereof, I have hereunto set my hand at Lincoln, Netraska, this 31st day of October, 1935.


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(Signed)

Sidney M. Smith,
Shorthand Reporter.

Al

259

SIXTEENTH DAY—November 14, 1935
Mr. Lusienski offered the following motion:
MR. SPEAKER:

I move that the report of the Committee on Banks and Banking
be adopted and be supplemented with the "Deposition of Wm. A. Byrkitt" and the "Deposition of Rollin Buell" all of which to be spread
upon the House Journal.
The motion was adopted.
PRESENTED TO THE GOVERNOR
November 13, 1935.
MR. PRESIDENT:
Your Joint Committee on Engrossed and Enrolled Bills respectfully report that we have this day, at 2:00 P. M., presented to the
Governor for his approval:
SENATE FILE NO. 4
(Signed)

A. C. O'BRIEN,
Chairman Senate Engrossing Committee.
EDITH BECKMAN,
Chairman House Engrossing Committee.

STANDING COMMITTEE REPORTS
Engrossed and Enrolled Bills
HOUSE ROLL NO. 27
—correctly engrossed and delivered to Committee on Arrangement, Phraseology and Correlation.
(Signed)

EDITH BECKMAN,
Chairman.

Arrangement, Phraseology and Correlation
HOUSE ROLL NO. 27


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Re-engross as amended.
mimeographed).
(Signed)

(Amendments

ALFRED SOFTLEY,
Chairman.

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260

HOUSE JOURNAL
MESSAGE FROM THE SENATE
Senate Chamber
November 14, 1935.

MR. SPEAKER:
I am directed by the Senate to inform your honorable body that
it has passed:
HOUSE ROLL NO. 12 (With Emergency Clause)
HOUSE ROLL NO. 22

(With Senate Amendment and Emergency)

HOUSE ROLL NO. 23

(With Senate Amendment and Emergency)

HOUSE ROLL NO. 24

(With Senate Amendment and Emergency)

—and the same are herewith returned.
And has concurred in House Amendment to Senate File No. 3.
(Signed)

HUGO F. SRB,
Secretary of Senate.

MOTION—To Revert to Third Reading
On motion of Mr. Haycock, under suspension of the rules and
sixty-three having voted in favor of the motion, the House reverted
to the third reading of bills.
BILLS ON THIRD READING
HOUSE ROLL NO. 22

(Senate Amendments)

A Bill For an Act specifically to appropriate the sum of Thirtyfive Thousand Dollars, estimated, or so much thereof as may be necessary, from fees and moneys heretofore or hereafter arising under the
provisions of Chapter 3, Laws of Nebraska, 1935, for the uses and purposes of the Nebraska Aeronautics Commission for the biennium ending June 30, 1937; to appropriate likewise specifically the sum of
Eight Thousand Five Hundred Dollars from said fees and moneys for
the purchase of a second state plane and equipment in the event of loss
of first state plane, if purchased by said commission; and to declare
an emergency.
The Senate amendment was read.
Strike the period at the end of Section 2 and add the following:
", same to be purchased after open competitive bidding without restricted specification.".


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SIXTEENTH DAY—November 14, 1935

261

Whereupon the Speaker said, "Shall the House concur in the
Senate Amendment to House Roll No. 22?"
The roll was called and those voting in the affirmative were:
Adams, Bailey, Beatty, Beckman, Bentzen, Bishop, Brandt,
Bremer, Brown (Washington), Brown (Lancaster), Buresh, Busboom,
Byers, Canfield, Carlson, Claussen, Comstock, Cromer, Cummins, Cushing, Dowell, Erisman, Flaherty, Frank, Frost, Gillespie, Grosbach, Hansen, Hanthorn, Hastings, Haycock, Henderson, Hopkins, Howard, Jeppesen, Johnston, Long, Lusienski, McLellan, Meline, Nickles, Nuernberger, Obbink, O'Gara, Osterman, Owens, Perigo, Peterson, Proskocil, Putney, Quinn, Ratcliff, Reed, Reilly, Reuter, Schepman, Schoenrock, Soderstrom, Softley, Somerhalder, Stark, Steele, Steuteville,
Strong, Sullenberger, Summers, Sutton, Thomas, Thompson, Truman, Vogt, Webber (Franklin).-72
Those voting in the negative were:
None.
Those not voting were:
Barnes, Biermann, Bock. Burr, Diers, Dinan, Doyle, Dugan, Dunn,
Finnegan, Gutoski, Havekost, Herrick, Humphrey, Hyde, Lilley, McKim, Newman, O'Brien, Pizer, Porter, Rasdal, Richards, Sallander,
Schroeder, Stringfellow, Von Seggern, Weber (Colfax).-28
A constitutional two-thirds majority having voted in the affirmative, the Speaker declared the House concurred in the Senate amendment to House Roll No. 22.
HOUSE ROLL NO. 23 (Senate Amendments)
A Bill For an Act specifically to appropriate the sum of Fortytwo Thousand Eight Hundred Twenty-seven Dollars and Fifty-three
Cents for the support of the Nebraska National Guard; and to declare
an emergency.
The Senate Amendments were read.
Line 2 of the title of the engrossed bill, strike out "Forty-two
thousand Eight Hundred Twenty-seven Dollars and Fifty-three Cents"
and in lieu thereof insert "Twenty-three Thousand Three Hundred
Fifty-six Dollars and Sixty-eight Cents".
Line 13 of the Preambl°. of the engrossed bill, strike the figures
"P4,848.38" and insert in lieu thereof the fie:tires "44.74".


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262

HOUSE JOURNAL

Line 14 of the Preamble of the engrossed bill ,strike the figures
"$34,339.45" and insert in lieu thereof the figures "$18,310.55".
Line 17 of the Preamble of the engrossed bill strike out "$42,827.53, and".
After line 16 of the Preamble of the engrossed bill add the following item:
"Arbitration

1,100.00"

"Reporter costs
Make total

261.70"
"$23,356.68"

After figures in total add ", and".
In Section 1, line 2 of the engrossed bill strike "Forty-two" and
in line 3, Section 1 strike "Thousand Eight Hundred Twenty-seven
Dollars and Fifty-three Cents" and insert in lieu thereof "Twentythree thousand three hundred fifty-six Dollars and sixty-eight cents",
Strike Section 2 of the engrossed bill and insert in lieu thereof
"All acts of the Auditor of Public Accounts, the Secretary of State,
the Treasurer of the State and any other officer or officers, agents
and employees of the State, with reference to the signing of claims
against the State, the approval of such claims, and the issuance and
payment of vouchers for and in behalf of the National Guard on account of the crises and emergencies named in preamble hereof, are
hereby ratified and are hereby declared to be and they shall be deemed
valid and binding in law."
Add the following: "Section 3. Whereas, an emergency exists,
this Act shall be in full force and take effect, from and after its passage and approval according to law."
Whereupon the Speaker said, "Shall the House concur in the
Senate amendments to House Roll No. 23?"
The roll was called and those voting in the affirmative were:
Adams, Bailey, Beatty, Beckman, Bentzen, Biermann, Bishop,
Bock, Brandt, Bremer, Brown (Washington), Brown (Lancaster),
Buresh, Byers, Canfield, Carlson, Claussen, Comstock, Cromer, Cummins, Cushing, Dowell, Erisman, Flaherty, Finnegan, Frank, Frost,
Gillespie, Grosbach, Hansen, Hanthorn, Hastings, Haycock, Henderson,
Hopkins, Howard, Humphrey, Jeppesen, Johnston, Lilley, Long, Lusienski, McLellan, Meline, Nickles, Nuernberger, Obbink, O'Gara,
Osterman, Owens, Peterson, Porter, Proskocil, Putney, Quinn, Ratcliff,


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SIXTEENTH DAY—November 14, 1935

263

Reed, Reilly, Reuter, Sallander, Schepman, Soderstrom, Softley, Somerhalder, Stark, Steele, Steuteville, Strong, Sullenberger, Sutton, Thomas, Thompson, Truman, Vogt, Von Seggern, Weber (Colfax), Webber (Franklin).-77.
Those voting in the negative were:
None.
Those not voting were:
Barnes, Burr, Busboom, Diers, Dinan, Doyle, Dugan, Dunn, Gutoski, Havekost, Herrick, Hyde, McKim, Newman, O'Brien, Perigo, Pizer,
P.asdal, Richards, Schoenrock, Schroeder, Stringfellow, Summers.-23.
A constitutional two-thirds majority having voted in the affirmative, the Speaker declared the House concurred in the Senate amendments to House Roll No. 23.
HOUSE ROLL NO. 24
A Bill For an Act relating to social security; to provide for the
education and maintenance of certain deaf-blind persons and their
mother-teachers; to create the Deaf and Blind Educational and Maintenance Fund; to appropriate the sum of Five Thousand Dollars for
that purpose; and to declare an emergency.
The Senate amendment was read as follows:
Add the name of Senator George T. Sullivan as one of the introducers of the bill.
Whereupon the Speaker said "Shall the House concur in the Senate amendment to House Roll No. 24?"
The roll was called and those voting in the affirmative were:

b

Adams, Bailey, Beatty, Beckman, Bentzen, Biermann, Bishop,
Bock, Brandt, Bremer, Brown (Washington), Brown (Lancaster),
Buresh, Busboom, Byers, Canfield, Carlson, Claussen, Comstock, Cromer, Cummins, Cushing, Dowell, Erisman, Flaherty, Finnegan, Frank,
Frost, Gillespie, Hanthorn, Hastings, Haycock, Henderson, Hopkins,
Howard, Humphrey, Jeppesen, Johnston, Lilley, Long, Lusienski, McLellan, Meline, Nickles, Nuernberger, Obbink, O'Gara, Osterman,
Owens, Peterson, Porter, Proskocil, Putney, Quinn, Ratcliff, Reed,
Reilly, Reuter, Sallander, Schepman, Schoenrock, Soderstrom, Somerhalder, Stark, Steele, Steuteville, Strong, Sullenberger, Summers, Sutton, Thomas, Thompson, Truman, Vogt, Von Seggern, Weber (Colfax),
Wbber (Franklin).-78.


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264

HOUSE JOURNAL
Those voting in the negative were:
Grosbach.-1.
Those not voting were:

Barnes, Burr, Diers, Dinan, Doyle, Dugan, Dunn, Gutoski, Havekost, Herrick, Hyde, McKim, Newman, O'Brien, Perigo, Pizer, Rasdal,
Richards, Schroeder, Softley, Stringfellow.-21.
A constitutional two-thirds majority having voted in the affirmative, the Speaker declared that the House concurred in the Senate
amendments to House Roll No. 24.
COMMITTEE OF THE WHOLE
On motion of Mr. Haycock, the House resolved itself into a Committee of the Whole to consider bills on special and general file.
Mr. Bishop was called to the Chair.
When the Committee arose, it submitted the following report:
MR. SPEAKER:
Your Committee of the Whole has had under consideration:
SPECIAL FILE
SENATE FILE NO. 11
and report the same back to the House with the recommendation that the bill be advanced to third reading.

tr

HOUSE ROLL NO. 21
—and report the same back to the House with the recommendation that the bill be re-engrossed as amended. (Amendments Mimeographed).
HOUSE ROLL NO. 27
—and report the same back to the House with the recommendation that the action on The adoption of the Arrangement, Phraseology
and Correlation report be deferred.
(Signed)

JOHN S. BISHOP,
Chairman.

On motion of Mr. Bishop, the report of the Committee of the
Whole was adopted.


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SIXTEENTH DAY—November 14, 1935

265

EXCUSE
Representative Osterman asked to be excused for Saturday, which
request was granted.
MOTION TO ADJOURN
On motion of Mr. Haycock, the House adjourned until 9:00 A. M.
tomorrow.
MAX ADAMS,
Chief Clerk.

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House Roll No. 392.
INTRODUCED BY REPRESENTATIVES ELMER C. BARNES or
CHERRY, GEO. E. NICKLES OF CASS, ALLEN A. STRONG OF
SHERIDAN, S. J. FINNEGAN OF MADISON, E. PRESTON
BAILEY OF THAYER, JAMES E. REED OF LANCASTER.

A BILL FOR AN ACT relating to banks and banking; to provide for an
investigation and audit of all the business transactions and activities of the department of banking, including its activities as Receiver and Liquidating Agent of failed or insolvent banks, since
January 1. 1930; to provide methods of procedure and rules and
regulations for said investigation and audit; to provide that the attorney general shall give such assistance and help in said investigation and audit, when requested by the auditor; to provide that
all information arising out of said investigation and audit which
indicates violation of law, fraud or negligence shall be reported to
the attorney general for action; to provide penalty for the violation
of this act and for failure to comply with the request of the auditor
and those acting for or with him in conducting such investigation
and audit; to provide for a report of said investigation and audit;
to appropriate the sum of Twenty Thousand Dollars ($20,000), or
as much thereof as may be necessary, for the purpose of carrying
out the intent and object of this act; and to declare an emergency.

Be it Enacted by the People of the State of Nebraska:
Section. 1. Wherever the word "Auditor" appears herein,
it is to be taken to mean "Auditor of Public Accounts". The
auditor of the state of Nebrasht is hereby empowered, authorized
and directed to cause at once to be made a thorough investigation
and audit of all business transactions and activities of the department of banking ols t he state of Nebraska, particularly with
respect to Hit activities of said department, acting as Receiver
and Liquidating Agent of failed or insolvent banks since January
19:30. All hearings in thiS inquiry shall be made public after
due notice is given, and in so far as practicable, shall be held in
the localities where the bank under inquiry is Or was located and
doing business. All general hearings shall be held in the state
capitol.
See. 2. In order to carry out promptly said investigation
and audit the auditor is authorized to appoint such examiners,
auditors, certified public accountants, clerks and employees as
may be necessary. The auditor shall appoint a Chief Examiner


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to have general charge for the auditor of such investigation and
audit. Said Chief Examiner shall serve during the pleasure of
the auditor. The salary and compensation of all examiners,
auditors, certified public accountants, clerks and employees shall
be fixed by the auditor after receiving the recommendation of
the Chief Examiner with respect thereto. The attorney general
of Nebraska shall give to the auditor in connection with said investigation and audit, counsel and assistance, as and when requested by the auditor. Such special attorneys as the auditor
shall request, if necessary, shall be assigned for said investigation
and audit, at such compensation and expenses as the auditor shall
fix; and the fees of such special attorneys, fixed as aforesaid,
shall be paid out of the money hereinafter in this act appropriated for said investigation and audit.
Sec. 3. Subpoenas duces tecum, orders and other processes
of the auditor for the purpose of said investigation and audit may
be served by anyone duly authorized by the auditor, either (a)
by delivering a copy thereof to the person to be served, or a
member of the partnership to be served, or to the president,
secretary, or other executive officer or a director or managing
agent of the corporation to be served, at any place where such
person or persons may be found; or (b) by leaving a copy thereof
at the residence of or at the principal office or place of business
of such person, partnership, or corporation; or (c) by notifying
any public official to produce papers or documents or to appear,
by delivering a copy of said subpoena, order or other process to
said officer or official to be served, or by leaving a copy thereof
at the residence of or at the official office of said person or
official so to be served, or by requesting the proper court to
direct any receiver appointed by such court, or agent acting
under such receiver, to produce or to appear. The verified return
by the person so serving said subpoena, order, or other process,
setting forth the manner of said service shall be proof of the
same; the person serving said process shall be allowed such fees
for services as are allowed for the service of similar processes,
subpoenas or orders issued by authority of district, courts of the
state of Nebraska. The several state officers and departments and
bureaus of the government of the state of Nebraska and all clerks
of the court in said state, when directed by the auditor, shall
furnish him, or those acting for him, all records, papers and information in their possession relating to any transaction or mat-


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ter which shall be pertinent to the ob,jects and purposes of this
inquiry.

•

•

•

Sec. 4. For the purposes of this act the auditor, and all
persons acting for him, shall at all times have access to, for the
purpose of examination, and the right to copy, any court record
or any documentary evidence of any corporation being investigated and the auditor, and all persons acting for him, shall have
power to require by subpoena the testimony of -Witnesses and
the production of all documentary evidence relating to any matter under investigation by authority of this act. The auditor,
or any person acting for him, may sign subpoenas and subpoenas
duces tecum, and may administer oaths and affirmations, examine witnesses and receive evidence. Such attendance of witnesses,
and the production of such documentary evidence may be required from any place in the United States and from any place
in the state of Nebraska at any place and be designated for
hearing by the auditor, or any person acting for him, and in case
of disobedience to a subpoena, the auditor, or any person acting
for him, may invoke the aid of any district court of the state of
Nebraska, or of any court of any other state or of any court of the
United States in requiring the attendance and testimony of witnesses and the production of documentary evidence. Any of the
district courts of the state of Nebraska or any court of any
other state or any of the district courts of the United States
within the jurisdiction of which such inquiry is carried on, may,
in case of contumacy or refusal to obey a subpoena or a subpoena
duces tecum issued to any person or corporation, issue and order
requiring such person or corporation to appear before the
auditor, or any person acting for him, appointed for the purpose
of taking testimony, or to produce documentary evidence if so
ordered, or to give evidence touching the matter in question; and
any failure to obey such order of said court may be punished by
said court as a contempt thereof. Upon application of the attorney general of the state of Nebraska the district courts of the
state of Nebraska shall have jurisdiction to issue writs of mandamus commanding any person or corporation to comply with
the provisions of this act or of any order of the auditor, or person acting for him, when said order is made in pursuance of any
of the provisions of this act. Testimony may be taken by deposition in any proceeding or investigation under this act at any
stage of such proceeding or investigation. Such depositions may
be taken without notice to anyone but the witness whose testi-


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mony is to be so taken before any person having power to administer oaths. Such testimony shall be reduced to writing by
the person taking the deposition, or under his direction, and if
the deponent or the governor desires, shall be subscribed by the
deponent. Any person may be compelled to appear and depose
and sign said deposition and to produce documentary evidence
in the same manner as witnesses may be made to appear and
testify and produce documents before the auditor, or any person
acting for him, as hereinbefore provided. Witnesses summoned
before the auditor, or any person acting for him, shall be paid
the same fees and mileage that are paid witnesses in the district
courts of the state of Nebraska and witnesses whose depositions
are taken and the persons taking the same shall severally be entitled to the same fees as are paid for like services in district
courts in the state of Nebraska.
Svc. 5. Any person who shall neglect or refuse to attend
and testify or answer any lawful inquiry, or to produce documentary evidence, if in his power to do so, in obedience to the
subpoena or lawful requirement of the auditor or the attorney
general, or for any person acting for either of them, shall be
guilty of an offense against the state of Nebraska, and, upon
conviction thereof by the district court of the state of Nebraska.
in the district. within which he resides or by any court of competent juris(liction, shall be fined not. less than Five Hundred
Dollars ($500.00) nor more than Five Thousand 1)ollars
($5,000.00), or be imprisoned in the county jail for not more
than six months, or by both such fine and imprisonment. Any
person who shall wilfully make or cause to be made any false
entry of statement of fact in any testimony or report required
to be made under this act, or shall wilfully make or cause to be
made any false entry in any act, record, or memoranda., kept by
any public official or corporation or court concerning matters
subject to the investigation herein provided for or shall wilfully
neglect or fail to make or cause to be made, full, true and correct
entries in such accounts, records or memoranda of facts and
transactions appertaining to the matters subject to the inquiry
herein provided for, or who shall wilfully remove out of the
jurisdiction of the state of Nebraska or wilfully mutilate, alter
or by any other means falsify any documentary evidence pertinent to the inquiry herein authorized, or who shall wilfully refuse to submit to the auditor or to the attorney general, or to
any person authorized to act for either of them, for the purpose

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of inspection and taking copies of any records, documentary
evidence bearing upon the matters which are the subject of the
inquiry herein authorized and which shall be in his possession
or within his control, shall be deemed guilty of an offense against
the state of Nebraska and subject, upon conviction in any district court of the state of Nebraska of competent jurisdiction, to
a fine of not less than One Thousand Dollars ($1,000.00) nor
more than Five Thousand Dollars ($5,000.00), or to imprisonment
in the penitentiary for a term of not more than three years, or
by both such fine and imprisonment.

OP/

11,-1'4111(

Sec. 6. The auditor, with the assistance of the Chief Examiner and the attorney general, shall make such rules and regulations and prescribe such forms as may be necessary for the
carrying out of the provisions of this act. For said investigation
and audit he shall adopt an official seal which shall be judicially
noticed. All persons employed in connection with said investigation shall be subject to removal at any time by the auditor.
Sec. 7. Whenever the auditor, or any of the examiners,
certified public accountants, or other persons appointed under
the provisions of this act shall secure information concerning any
transact ion or act in vol ving the affairs or assets of a state batik
or the act ivit ies of the officials or persons in charge of said bank,
either as a going concern or during receivership after it shall
have become insolvent, which .seeins to show violation of any of
the criminal laws of the state of Nebraska, or fraud, or gross
negligence, or that a cause of action of any nature exists against
some person, partnership, association or corporation, for or
against the receiver of any insolvent state bank, or in favor of
the state of Nebraska, then such information shall at once be
communicated to the attorney general by the person or persons
having knowledge of the same. All files, papers, and records that
may come into the possession of the auditor and other persons
appointed in connection with said investigation and audit herein
provided for, and all the 'files, papers, records and correspondence of the department of banking, particularly when acting
in the capacity of Receiver and Liquidating Agent of failed or
insolvent banks since January 1, 1930, shall at all times be open
to public inspection and shall be transmitted to the attorney
general, or to his duly authorized assistants, and the persons in
charge of such files, papers and records shall give to the attorney
general at his request such information as they may have with


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reference to such files, papers and records. Whenever it shall
appear to the attorney general that in connection with some
transaction or act involving the affairs or assets of some state
bank during the time it was a going concern or during the process of receivership or liquidation, that the criminal law of the
state of Nebraska has been violated or that any cause of action
exists against any person, partnership, association or corporation,
in favor of or against the receiver of any failed state bank, the
department of banking, or the state of Nebraska, he shall at
once bring such action as may be proper under the circumstances.
Sec. 8. The auditor shall make public from time to time
such portions of the information obtained by this inquiry as he
shall deem expedient in the public interest. At the conclusion of
his investigation the auditor shall prepare and submit a complete
report to the next regular session of the Nebraska State Legislature, and submit therewith such recommendations for legislation, if any, as he shall deem expedient and just; and he is hereby
given power and authority to provide and pay for the printing
of said reports and conclusions in such form and manner as may
be best adapted for the information and use of the legislature
and the citizens of the state of Nebraska.
Sec. 9. There is hereby appropriated out of any money in
the general fund in the state treasury, not otherwise appropriated, for the use of the governor in carrying out the purposes
and objects of this act, the sum of Twenty Thousand Dollars
($20,000.00), or so much thereof as may be required.
Sec. 10. The money herein appropriated shall be expended
• under the direction of the auditor, and the auditor of public
accounts is hereby authorized and directed upon presentation of
proper vouchers, countersigned by the governor, to draw warrants on said fund as herein appropriated and the state treasury
is hereby authorized and directed to pay said warrants for the
purposes herein set forth.
• Sec. 11. Whereas, an emergency exists, this act shall be in
full force and take effect, from and after its passage and approval, according to law.
Approved March 15, 1935.

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