American National Bank, Asheville, NC (Charter 8772)
American National Bank, Asheville, NC (Chartered 1907 - Receivership 1930)
Town History
Asheville is a city in, and the county seat of, Buncombe County, North Carolina. Located at the confluence of the French Broad and Swannanoa rivers, it is the largest city in Western North Carolina, and the state's 11th-most populous city. According to the 2020 United States Census, the city's population was 94,589, up from 83,393 in the 2010 census.
In 1900, Asheville was the third-largest city in the state, behind Wilmington and Charlotte. Asheville prospered in the decades of the 1910s and 1920s. During these years, Rutherford P. Hayes, son of President Rutherford B. Hayes, bought land, and worked with the prominent African-American businessman Edward W. Pearson, Sr. to develop his land for residential housing known as the African-American Burton Street Community. Hayes also worked to establish a sanitary district in West Asheville, which became an incorporated town in 1913, and merged with Asheville in 1917.
On July 15–16, 1916, the Asheville area was subject to severe flooding from the remnants of a tropical storm which caused more than $3 million in damage. Areas flooded included part of the Biltmore Estate, and the company that ran it sold some of the property to lower their maintenance costs. This area was later developed as an independent jurisdiction known as Biltmore Forest, which is now one of the wealthiest in the country.
The Great Depression hit Asheville quite hard. On November 20, 1930, eight local banks failed. Only Wachovia remained open with infusions of cash from Winston-Salem. Because of the explosive growth of the previous decades, the per capita debt owed by the city (through municipal bonds) was the highest in the nation. By 1929, both the city and Buncombe County had incurred over $56 million in bonded debt to pay for a wide range of municipal and infrastructure improvements, including City Hall, the water system, Beaucatcher Tunnel, and Asheville High School. Rather than default, the city paid those debts over a period of fifty years.
Asheville had six National Banks chartered during the Bank Note Era, and five of those banks issued National Bank Notes.
Bank History
- Organized May 15, 1907
- Chartered Jun 28, 1907
- Opened for business Jul 1, 1907
- Assumed 5110 by consolidation Jul 1, 1906 (Blue Ridge National Bank, Asheville, NC)
- Receivership Nov 21, 1930
On May 7, 1907, the consolidation of the Blue Ridge National Bank and the American National Bank was announced in Asheville. The American takes over the entire stock of the Blue Ridge National, paying two dollars for each dollar on the share. The consolidation was effective July 1. John H. Carter of Georgia was the president of the combined banks, the business of which would be conducted under the name of The American National Bank of Asheville. The American National Bank occupied the Blue Ridge National quarters on Pack Square until 1909 when it moved into its building at Patton Avenue and Church Street acquired from Dr. F.A. Soundley.
On June 28, 1907, William B. Ridgely, comptroller of the currency, authorized The American National Bank of Asheville to commence the business of banking. The officers were Jno. H. Carter, president; C.J. Harris and Erwin Sluder, vice presidents; R.M. Fitzpatrick, cashier; and C.M Hickerson, assistant to the president. The bank's capital was $300,000.
In September 1910, John H. Carter resigned the presidency and was succeeded by L.L. Jenkins of Gastonia.
On January 17, 1911, at the annual meeting of the stockholders, the same board of directors was re-elected. The reports of the officers showed the bank in good condition and that it had a prosperous year with a good outlook for the coming year. L.L. Jenkins had been elevated to the presidency to succeed John H. Carter who departed to Atlanta. J.G. Merrimon was elected to the vacant active vice president postion. The directors were H. Redwood, C.J. Harris of Dillsboro, W.H. Woodbury of Murphy, J.Q. Barker of Andrews, J.G. Merrimon, L.E. Bayless of Murphy; C.T. Rawls, Frank R. Hewitt, L.L. Jenkins, Dr. A.W. Calloway, C.H. Hobbs, W.R. Patterson, S.P. Ravenel, Dr. C.V. Reynolds, Col. R. Bingham, Frank Loughran and Joseph S. Silverstein of Brevard. The directors re-elected L.L. Jenkins, president; C.J. Harris and H. Redwood, vice presidents; J.G. Merrimon, active vice president; and R.M. Fitzpatrick, cashier.
On December 7, 1912, John H. Carter was indicted in Federal court on charges of misapplication of funds. Carter was an organizer of banks at Greensboro, Hendersonville, Murphy, Waynesville and Black Mountain as well as a chain of banks in Georgia. Prior to the panic of 1907 he attempted to organize a $1 million bank at Charlotte, but had to abandon the idea. Since 1910, Carter has made his home in Asheville. Carter came to Asheville in 1905 from Georgia, in which state he had large interests including in several banks. In Asheville he conceived of the idea of organizing a national bank while perfecting an amalgamation with the Blue Ridge National Bank, opening under the name of The American National Bank with Carter as president. Carter, with C.M. Hickerson, was instrumental in the organization of the Commercial National Bank of Greensboro which recently consolidated with the American Exchange National Bank. With others Carter organized and built an electric line from Asheville to Weaverville and completed plans for the extension of the road to Burnsville in Yancey County. The survey for this extension has been made but the road has not yet built further than Weaverville. Carter was now devoting his time to this end other interests. He was said to be in Asheville and the warrant for his arrest was sent there. The director's of the bank were all along aware of his misdeeds. They were aware too that to have indicted him at the time of the act would have earned a run upon the bank, resulting in the closing of its doors, thereby causing a loss to both stockholders and depositors. Whereas, under the management of President Jenkins the bank was now in good condition, the depositors have not been bothered or disturbed, and the stockholders regarded their stock as worth par. It was claimed that since the discovery of his shortage at Asheville and his resignation as president of the bank he had paid back approximately $40,000 of the alleged $100,000 which he misappropriated. The indictment yesterday had been expected for some time by those familiar with the case, it being understood that a delay in the beginning of prosecution was sanctioned by the bank directors that the bank might not suffer from the public announcement of Carter's alleged wrongful misappropriation of its funds. The alleged misapplications occurred during a period of seven months from December 27, 1909 to August 1910. Stockholders of the bank were assessed 40% upon their stock at the time of the discovery to save the bank. Carter’s indictment was brought forth in December as the statute of limitations would have applied in a few months. The trail was scheduled in United States District Court for Asheville in May 1913.
On January 14, 1913, John H. Carter was brought to Georgia to face charges of misapplication of funds of the Gilmer County Bank while he was its president. He was released on $2,000 bond. After his release Carter was again taken into custody on three similar charges instituted by the North Georgia National Bank of Blue Ridge. At Blue Ridge Carter was again released on a $1,000 bond. On October 29, Carter returned to Asheville from Blue Ridge, Georgia where he was acquitted on charges of embezzlement of two $2,500 notes of the North Georgia Trust Company. He was former president of this bank.
On December 15, 1913, the final attempt of the government to prosecute John H. Carter, president of an Asheville bank, charged with misapplying the bank's funds, failed in the Supreme Court. The court dismissed, the government's appeal from the District Court for Western Carolina, which held the indictments against Carter "Bad in Law," without giving its reasons in detail. The appeal of the government was taken on the decision of Judge James E. Boyd when he threw out forty-four counts of the indictment against Mr. Carter at the August term of the Federal Court. Judge Boyd found that the counts, as enumerated, were faulty and "bad in law." The government, through District Attorney Holton, appealer to the United Slates Supreme court which announced its finding at Washington. On August 21, 1914, the prosecution rested in the case of the government against John H. Carter. The trial on remaining counts not previously thrown out by the court began on August 17. Former cashier Rufo M. Fitzpatrick was one of the Government's witnesses. The case was closed with Judge Boyd sustaining the demurrer of the defendant. Judge James E. Boyd said that there was not sufficient evidence to go to the jury. He declared that Carter in his banking operations had undertaken to run a bank without much, but that his acts as proven were not criminal.
On January 20, 1925, J.E. Rankin, former Mayor of Asheville and one of the leading business men, retired as president of the American National Hank, but continued his active duties as chairman of the Board of Directors and Trust Officer. Mr. Rankin would hold this position as chairman until his death on December 12, 1928. A.E. Rankin, vice president and cashier, was elected by the directors as president. He has been with the American National since 1911, was previously a State bank examiner, and was for ten years with the Battery Park Bank. Other officers elected at the annual meeting were as follows: L.L. Jenkins, first vice president; Harmon Miller, second vice president: Jos. R. Brandt, third vice president and assistant trust officer. Jos. B. Whitfield was elected cashier, succeeding A.E. Rankin. R.E. Currence, former president of the Southern States Bank was elected as assistant cashier. J.E. Rankin served as president for the past five years and was one of the organizers of the Battery Park Bank which he served as cashier for a number of years. The directors elected were L.L. Jenkins, A.E. Rankin, Gilbert H. Morris, Chas. G. Lee, R.L. Ellis, Jos. B. Brandt, J.G. Merrimon, F.R. Hewitt, J.E. Rankin, Harmon A. Miller, J.H. Manley, W.E. Shuford, and Jos. B. Whitfield.
In January 1930, Mr. L.L. Jenkins was elected president, succeeding Arthur E. Rankin, Mr. Rankin would take over the Haywood Street Branch of the Central Bank and Trust Company. The officers of the American National were as follows: Harmon Miller, chairman of the board; L.L. Jenkins, president; Charles G. Lee, vice president; R.E. Currence, cashier and trust officer; and H.M. Whitfield, R.H. Anders; William A. Pope, and D.H. Perry, assistant cashiers. The directors were L.L. Jenkins, J.G. Merrimon, A.E. Rankin, Harmon Miller, Charles G. Lee, J.H. Manley, R.E. Currence, John A. Goode, and William M. Smathers. Total resources as of the close of business on December 31, 1929 were $2,763,533.63. Mr. Jenkins, in his outlook for 1930, had optimistic, well-defined opinions without painting the future with deluding and over-colorful hues. Mr. Jenkins held to the belief that business must be met in a business-like manner and not in the over-toned colorations of a circus advertisement. He had great faith in the future of Asheville and believed that during the year, business would show a marked increase in activity.
On November 20, 1930, a run which began a few minutes after the news of the closing of the Central Bank and Trust Company grew alarmingly in numbers clogging the banking rooms of the American National. The sidewalk in front of the bank was packed. Worn and haggard, but fighting doggedly for his institution, President L.L. Jenkins faced a frightened throng which stormed the bank demanding payment of accounts. By his impassioned plea, he partly stemmed a tide which swept toward ruin as he staked his reputation to pledge that no depositors would lose by their dealings with his bank if they heeded. There was something so heroic, and convincing in the very act that some of those who had joined the stampede broke into cheering and others echoed his appeal for confidence. As a result, some semblance of reason was restored although the run was not halted. Funds reaching the bank from various points were withdrawn as rapidly as received. On November 21st, the bank was placed into receivership by Comptroller of Currency, J.W. Pole. In December, J.B. Cunningham, receiver, with a corps of assistants was engaged in the detailed work of straightening out the affairs of the bank. Mr. Cunningham explained that the liquidation of the bank would not begin until after the audit had been completed and new books set up.
In December 1933, Wallace B. Davis, former president of the Central Bank and Trust Company was serving a five to seven year term in state's prison in Raleigh. He was convicted on August 31st in United States District Court. Others who were tried in connection with the failure of the Central Bank were the late L.L. Jenkins, former president of the American National Bank; Russell B. Davis, former vice president of the Central Bank; and J. Charles Bradford, former cashier of the Central Bank. The charges against Russel Davis and Mr. Bradford were not pressed in United State District Court. Mr. Davis was serving two terms concurrently, one for conspiracy to defraud the Central Bank and one for publication of false reports as to the condition of the bank.
Official Bank Title(s)
1: The American National Bank of Asheville, NC
Bank Note Types Issued
A total of $2,912,100 in National Bank Notes was issued by this bank between 1907 and 1930. This consisted of a total of 312,408 notes (297,168 large size and 15,240 small size notes).
This bank issued the following Types and Denominations of bank notes:
Series/Type Sheet/Denoms Serial#s Sheet Comments 1902 Red Seal 4x5 1 - 3500 1902 Red Seal 3x10-20 1 - 5620 1902 Red Seal 50-100 1 - 660 1902 Date Back 4x5 1 - 20000 1902 Date Back 3x10-20 1 - 12400 1902 Date Back 50-100 1 - 300 1902 Date Back 3x50-100 1 - 755 1902 Plain Back 4x5 20001 - 39807 1902 Plain Back 3x10-20 12401 - 23781 1902 Plain Back 3x50-100 756 - 1104 1929 Type 1 6x5 1 - 1469 1929 Type 1 6x10 1 - 728 1929 Type 1 6x20 1 - 233 1929 Type 1 6x50 1 - 86 1929 Type 1 6x100 1 - 24
Bank Presidents and Cashiers
Bank Presidents and Cashiers during the National Bank Note Era (1907 - 1930):
Presidents:
- John Hardwick Carter, 1907-1910
- Laban Lineberger Jenkins, 1911-1919
- James Eugene Rankin, 1920-1924
- Arthur Eugene Rankin, 1925-1929
- Laban Lineberger Jenkins, 1930-1930
Cashiers:
- Rufus McAmis Fitzpatrick, 1907-1911
- Arthur Eugene Rankin, 1913-1924
- Joseph B. Whitfield Sr., 1925-1926
- Robert Edgar Currence, 1927-1930
Other Bank Note Signers
- There are currently no known Vice President or Assistant Cashier bank note signers for this bank.
Wiki Links
- North Carolina Bank Note History
- General information on Asheville (Wikipedia)
- General information on Buncombe County (Wikipedia)
- General information on North Carolina (Wikipedia)
Sources
- Asheville, NC, on Wikipedia
- Don C. Kelly, National Bank Notes, A Guide with Prices. 6th Edition (Oxford, OH: The Paper Money Institute, 2008).
- Dean Oakes and John Hickman, Standard Catalog of National Bank Notes. 2nd Edition (Iola, WI: Krause Publications, 1990).
- Banks & Bankers Historical Database (1782-1935), https://spmc.org/bank-note-history-project
- The Concord Daily Tribune, Concord, NC, Wed., May 8, 1907.
- Asheville Citizen-Times, Asheville, NC, Sat., July 13, 1907.
- Asheville Citizen-Times, Asheville, NC, Tue., July 30, 1907.
- Asheville Gazette-News, Asheville, NC, Wed., Jan. 18, 1911.
- The News and Observer, Raleigh, NC, Sun., Dec. 8, 1912.
- The Wilmington Morning Star, Wilmington, NC, Wed., Jan. 15, 1913.
- Atlanta Georgian, Atlanta, GA, Thu., Oct. 30, 1913.
- French Broad Hustler, Hendersonville, NC, Thu., Jan. 1, 1914.
- Asheville Citizen-Times, Asheville, NC, Wed., Aug. 19, 1914.
- The Courier, Asheboro, NC, Thu., Aug. 27, 1914.
- Asheville Citizen-Times, Asheville, NC, Wed., Jan. 21, 1925.
- Asheville Citizen-Times, Asheville, NC, Sun., Jan. 26, 1930.
- Asheville Citizen-Times, Asheville, NC, Fri., Nov. 21, 1930.
- Asheville Citizen-Times, Asheville, NC, Tue., Dec. 2, 1930.
- Asheville Citizen-Times, Asheville, NC, Sun., Dec. 10, 1933.