The Colville examiner. [volume] (Colville, Wash.) 1907-1948, 1919-04-05
FINAL REPORT
OF RECE|vERSH|P
AFFAIRS OF DEFUNCT FIRST
STATE BANK OF MARCUS
ARE CLOSED
Receiver W. A. Haskins Makes His
Final RepOrt-Dividends Paid
Amount to 2SRR

When the final account and re-
port of w. A. Haskins as receiver
of the First State Bank of Marcus
was accepted after a hearing March
Is, it marked the finale of the af-
fairs of that institution, which have
been through a long period of liti-
cation and laborious Investigations
ever since the bank was declared in
solvent December Is, 1914. In all,
lOS papers were filed in this case
Mr.. Haskins and his attorneys l.. c.
Jesseph and l.. b. Donley are cred
tied with very efficient work in their
handling of the funds for the benefit
of the creditors and stockholders.
"This bank was the most com
pletely robbed institution | have
ever seen," said one of the attorneys
in speaking Of the history of the
First State Bank of Marcus. Or
ganized in the year 1910 or 1911,
with most of the stock owned by
the late c. w. Barringer and his
family, the bank went through a
most interesting series of trans
actions which eliminated in rob-
berry of the institution which was
alleged to have been a fake one
perpetrated by the president, Bar
ringer. With this, the light of pub
licity was thrown on the affairs of
the bank and it was closed by the
bank examiner and found to be
completely wrecked.
Charles J. Webb was appointed
receiver for the defunct bank in
December, 1914, and acted in this
capacity until the time of his resig-
nation in February, 1917, when w.
A. Haskins was appointed to sue
ceed him. The general condition
of the affairs of the bank at the
time of its failure was such as to
render the task of winding up its
business and realizing upon its as
sets slow and laborious task. The
books had not been properly kept,
and the correspondence had not been
filed after the year 1912. Hun
dreds of letters were found in a
box, placed there evidently in order
of receipt.
In his report, Mr.. Webb stated
that the bank had been in a bad
condition from the early period of
its history. To begin with, far
too much money had been invested
in the banking house and its equip
ment. The cost of the land, bank
building, furniture and fixtures, to-
gether with running expenses for
one year, made total about equal
to the entire capital stock of the
corporation. The report stated
that there had been no attempt to
practice that rigid economy neces-
sary to maintain bank in small
town, and that at no time did the
total deposits amount to over $40,-
600, and yet at one time C. w.
Barringer, his wife and son were
all employed on salary.
1t was alleged that, throughout
the history of the bank, Mr.. Bar
ringer feathered his own nest
regardless of the welfare of the de-
positors and stockholders. The
clever methods followed by Bar
ringer to improperly turn sources of
income to his private benefit, would
make an interesting story. Most
of this is well known to the public.
Premiums on insurance, commissions
on loans secured from other inst-
tutions, ETC., were said to have been
made to better his private income
instead of to increase the bank prof
its. About three years after the
bank was established, the Barrin-
ger Investment Co. was organized
and was found convenient for many
uses, one Of which was that of act
ing as Intermediary so that Mr.
Barringer might collect commissions
on loans really made by the bank,
nominally by the company. Other
operations to keep himself supplied
with funds included alleged ques-
tionable credits, notes and other
transactions in his personal check
ing account.
The robbery" was the climax Of
all these transactions and occurred
in September, 1914, when Mr.. Bar
ringer claimed that $2,239.60 in
cash had been stolen. He at
tempted to recover from the Nation
al Surety Co., in which the bank had
burglary insurance. Investigation
showed there had been no robbery.
The report of the auditor to the
surety company stated that it was
apparant that entries had been made
in order that the books would show