Santa Fe new Mexican. [volume] (Santa Fe, N.M.) 1898-1951, 1907-12-05
KANSAS CITY
BANK FAILS
National Bank of
Commerce Forced
to Suspend
HEAVY WITHDRAWALS CAUSE
Institution One of Largest
and Oldest in Middle
West...May Reopen.

Kansas City, Dec. 5.-The National
Bank OF Commerce of Kansas CITY.
Missouri, failed to open its doors this
morning and is in the hands of Nation.
al Bank Examiner j. T. Bradley. The
bank Is one of the oldest and larg-
est financial institutions In this city
and was closed by order Of its board
of directors.
The bank had been in a weaken.
ed condition since It's last statement
on August % last, when 1t owed the
clearing house nearly million dol.
lars. After a conference lasting all
night, the clearing house officials
could not see any way to aid the bank
further
The statement Of the National Bank
of Commerce in response to the last
call shows that since August 20 its
deposits had been reduced from $685.
100000 to s16,942,694 and its loans and
discounts cut down $4,000,000. The
statement issued this morning fol-
lows:
Resources.
Loans and discounts $12,895, ,656.
Five per cent redemption funds
$4,000
Real estate S697 541
Cash and sight exchange $5,343, 400.
U. S. bonds par $1,2S0,0O0.
Other high grade bonds $4,OO6,771.
Total s24,276,429.
Liabilities.
Capital stock $1,OO0,OOO.
Surplus and undivided profits ST.
639,735.
Circulation accounts $1,000,000.
Due depositors $16,942,694.
Clearing house certificates 1884,.
900.
Total s24,.76,429.
DR.. S. Woods Is president of the
Bank of Commerce, w. H. Winants,
vice president, and William A. Rule,
cashier. James F. Downing, president
of the clearing house said:
Causes Of Failure.
II consider the failure due to a
lack of conservatism. None of the
other banks here have found 1t neces-
sary to ask aid of the clearing house
and / consider them perfectly sound.
The Commerce failure will not affect
them"
The Bank OF Commerce held depos-
its of many small banks of the South
west. The Withdrawals of these funds
caused the trouble. There mad been
no run by local depositors but the
publication of the banks statement
this morning caused a big crowd of
depositors to gather about the bank
building with the intention Of with.
drawing their money. Cashier Rule
said:
Statement of Cashier.
I'VE made the fight of our lives but
the conditions were against us. The
depositors will not lose one cent"
DR.. Woods is president also of the
Commerce Trust Company which has
deposits Of $1,395, 400, of which sixty
per cent is said to be on hand. This
company it is asserted will not be af-
fected by the Commerce failure.
Bank Examiner Bradley said he
would make every effort to get the
bank on it's feet but could not say
definitely when 1t would reopen.
Branch Bank Forced to Close.
Two small branches of the Nation
al Bank of Commerce, one located at
the Union Stock Yards, and the other
in the wholesale district in the west
bottoms, closed their doors this morn
ing. They were the Stock Yards Bank
of Commerce with deposits Of $780,
900, and the Union Avenue Bank Of
Commerce, with small deposits. There
were no runs on any OF the other
banks and deposits were made as
usual
The State Bank of Argentine, Kan.
sas, with small deposits closed its
doors this afternoon following run.
The stock Of the bank Is owned prin-
cipally by the National Bank Of Com
merce Of Kansas City. Its cashier
wired the state bank examiner to take
charge and said he hoped to be per-
mitted to reopen tomorrow.
Has Large BaIan-e With New York
Correspondent.
New York, Dec. 5.-The New York
correspondent Of the National Bank of
Commerce Of Kansas City, Missouri, is
the First National Bank. An official
of that institution said today that the
Kansas City bank had large balance
with the First National Bank here.
The stock market was affected by the
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