MORE BANKS CLOSE DOWN.

Press, Volume LXVI, Issue 20089, 19 November 1930, Page 11

MORE BANKS CLOSE DOWN.

POSITION IN AMERICA. FOUR STATES AFFECTED. (UNITED TRESS ASSOCIATION —BY ELECTRIC «XEanArn copykio Jit.) (Received November 18th, 8.5 p.m.) NEW \OIIK. November 1". our States have suffered an epiemie of bank closures, due to vari ous causes, in most instances smaller banks being affected by the closure ot larger institutions with which they aro associated. Ihe difficulties oi many seem due to the reaction of the banking trouble at Nashviile, l'ennesseo. tlle dories are reported ol •io Arkansas, two Illinois, four Missouri, and six Kentucky institutions, and it is announced that they will remain closed until the flood of unnecessary heavy withdrawls tends to cease. The collapse of the long established southern investment house of Caldwell anu Company, of Nashville, was followed on Friday last by the closing of the Affiliated Hunk of Tennessee and the Dolston Union Bank, which combined have liabilities of 25,000 001) dollars. The affair threw the State of Tennessee into financial and political turmoil. While it was claimed that the assets are adequate to meet all obligations, the Bank of Tennessee had only thirteen dollars in cash, and its liabilities were 13.000.000 dollars. The Stale has 5.000.000 dollars on deposit, and a number of countries also have funds there. The State of Louisiana has 1,2-10.000 dollars deposited. A two days' run occurred on virtually all tho banks, as the populace became panic stricken.