The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1908-09-26
New state TrIhnne. Inne !. i.

view state lIlHNlc. juno 7.
Reader did you ever see a notice
like the above posted on the door OF
any busted bank7 No you never
did, until this one. This Is an exact
photograph Of the notice which the
Oklahoma State Banking Commits.
Hioner. in pursuance Of the laws OF
Oklahoma posted on the door Of the
International Bank Of Coalgate, Okla.
homa. BY the end of the second day
The depositors had all proved their
claims and received their money, ex-
cept a few who lived from six TO four
teen miles from town, and whose
checks were made out and left in
the hands of another bank to be de.
livered when II was convenient for
the owners to call for them
b The statement made by the Bank
commissioner to the State Banking
Board was as follows:
THE International Bank OF Coal
gate was closed because its active
managing officers had violated the
State law by borrowing the follow.
ing sums. principal and interest:
The President, seven thousand
hlNly-SeNeu uOliafS.
THE Cashier four thousand, six
hundred and fourteen dollars"
The Bank Commissioner assem-.
bled the Beard of Directors. and de.
manded that this borrowed money
be replaced, which. after a reason
able time was given, they failed 10
do. Had this money been replaced,
these two officers would have been
removed, and the Board of Directors
might have elected new officers, and
the bank continued in operation. On
account OF the failure to replace the
money, the Bank Commissioner
closed the bank at two fifteen p. M.
and posted on the door the above
notice.
The Bank Commissioner found that
the deposits were thirty-slx thousand
seven hundred forty-four dollars and
nlnety-three cents; that there was
cash on band, nine thousand, five
hundred seventy-four dollars and
sixty-seyen cents, due from other
banks. seven thousand, five hundred
and sixty-four dollars aid three cents.
Thursday afternoon, Friday and
Saturday sufficed to completely liqai-
date the affairs of the bank SO far as
proving and paying depositors was
concerned The Bank Commissioner
drew on the State Guaranty Fund for
tweney-four thousand. eight hundred
forty three dollars and seyenty-three
cents to furnish additional cash neces.
sary to pay all depositors. The re-
maining amount due from other banks
and paper readily collectable, the
State Guaranty Fund will be replaced
within thirty days. Therefore. no
assessment ON the secured banks is
required.
The Bank Commissioner had the
two offending officers arrested: they
are now out on bond awaiting trial.
ii is The opinion of the Bank Com
missioner that after reimbursing the
Guarariy Fund the liquidation of the
banks assets will pay the stock
holders about fifty cents on The dol
lar
The benefit OF the Oklahoma Bank
ing law, IN its regulation and close
inspection of secured banks, Is fully
demonstrated in this case. These
bank officers had borrowed about
thirty per cent of all the deposits the
bank had. II they had been per
mltted to continue this kind Of bust.
ness under the old law until the bank
fell of its own weakness, the dep0s.
itors would probably not have gotten
twenty-five cents on the dollar, but
by prompt enforcement Of the new
law. the depositors got all their money
and even the stockholders viii get al
least fifty cents cn the dollar.
crooked banking IN Oklahoma is
not tolerated a single day after II
Is discovered, and the vigilance OF the