Commercial National Bank, Kansas City, MO (Charter 1995)

Advertisement from January 1873 for the Commercial National Bank of Kansas City, Missouri.

Commercial National Bank, Kansas City, MO (Chartered 1872 - Receivership 1878)

Town History

On March 12, 1881, The Kansas City Star moved to its second home at No. 14 West Fifth Street on the ground floor. The Star began its career on Saturday, September 18, 1880, at 407-409 Delaware Street, upstairs.

Kansas City (abbreviated KC or KCMO) is the largest city in Missouri by population and area. As of the 2020 census, the city had a population of 508,090, making it the 36th most-populous city in the United States. It is the most populated municipality of the Kansas City metropolitan area, which straddles the Kansas–Missouri state line and has a population of 2,392,035. Most of the city lies within Jackson County, with portions spilling into Clay, Cass, and Platte counties. Kansas City was founded in the 1830s as a port on the Missouri River at its confluence with the Kansas River coming in from the west. On June 1, 1850, the town of Kansas was incorporated; shortly after came the establishment of the Kansas Territory. Confusion between the two ensued, and the name Kansas City was assigned to distinguish them soon after.

The city is composed of several neighborhoods, including the River Market District in the north, the 18th and Vine District in the east, and the Country Club Plaza in the south. Celebrated cultural traditions include Kansas City jazz; theater, as a center of the Vaudevillian Orpheum circuit in the 1920s; the Chiefs and Royals sports franchises; and famous cuisine based on Kansas City-style barbecue, Kansas City strip steak, and craft breweries. It serves as one of the two county seats of Jackson County, along with the major suburb of Independence. Other major suburbs include the Missouri cities of Blue Springs and Lee's Summit and the Kansas cities of Overland Park, Olathe, Lenexa, and Kansas City, Kansas.

Kansas City had 43 National Banks chartered during the Bank Note Era, and 40 of those banks issued National Bank Notes.

Bank History

• Organized May 6, 1872
• Chartered June 3, 1872
• Receivership February 11, 1878

The Commercial Bank of Kansas City, Missouri

On Thursday, February 4, 1869, the new banking house, The Commercial Bank, opened for business on Main Street between Fifth and Sixth, with a capital of $100,000. The following gentlemen were the officers: Theo. S. Case, president; L.K. Thacher, vice president; W.S. Ide, cashier; J.R. Balis, secretary. The directors were K. Coates, L.K. Thacher, John R. Balis, W.S. Ide and Theo. S. Case. The banking house was neatly fitted up and would be used until their handsome new bank building was completed. Their entire furniture, books, papers, etc., were purchased in Kansas City. With the exception of Mr. Ide, the officers were well and favorably know and were among the pioneer settlers of the young metropolis. Mr. Ide had five years' experience in banking and a knowledge of the German language and that broader culture resulting from foreign travel.

The third semi-annual statement of the Commercial Bank showed total resources of $105,706.98, with capital paid in $10,000, surplus $1,301.93, and deposits over $94,000. W.S. Ide, cashier, signed the report with Chas. Demmon, assistant cashier, attesting to its correctness. The notary was P.S. Brown.

In 1871 the Commercial Bank at No. 18 West Fifth Street, Kansas City, Missouri, had the following directors: L.K. Thacher, D. Ellison, W.S. Ide, J.V.C. Karnes, Joab Toney, E.H. Webseter, C. Demmon, and J.R. Balis. In July, directors declared a semi-annual dividend of 6% on the paid in capital from the earnings of the six months ending June 30th, payable on demand free from Government tax. Eight per cent of profits were retained as a reserve fund and with 5% taxes paid and prior dividend of 5% made earnings of 24% for the past year. Chas. Demmon, assistant cashier, published the notice.

In January 1872, the banks and banking houses doing business for the past year were the First National Bank, John J. Mastin & Co., Union German Savings Bank, Mechanics Bank, J.Q. Watkins & Co., Kansas City Savings Association, German Savings Association, Commercial Bank of Kansas City, David O. Smart & Co., and Kansas City National Bank. Within the last month, the German Savings Association consolidated with the Union German Savings Bank uniting their interests under the style of Union German Savings Bank. The City National Bank was a new institution in operation for a few weeks with X.X. Buckner as president and D.L. Shouse, formerly connected with the Mechanic's Bank, cashier. Another bank, the Farmer's and Drovers, with a capital of $200,000, was organized and had a building already in course of construction in West Kansas City near the Union Depot. The record of the banks for the past year was a follows:  Aggregate deposits $50,412,926, average deposits $2,315,000, Exchange sold $32,605,000, number of depositors 7,520.

On Friday evening, February 16, 1872, election of officers for the Commercial Bank had the following results: L.K. Thacher, president; J.V.C. Karnes, vice president; W.S. Ide, cashier; A.M. Allen, secretary. The directors elected were L.K. Thacher, J.V..C. Karnes, W.S. Ide, D.E. Ellison, A.M. Allen, N.R. Ferguson, W.M. Smith, Joab Toney, E.H. Webster, and J.R. Balis. Of the directors, Messrs. Ide and Webster devoted their entire time to the interest of the bank.

Commercial National Bank

In January 1873, the Commercial National Bank had the following directors: Frank Askew, Joseph Haefner, W.S. Ide, David Ellison, J.V.C. Karnes, William Weston, George J. Keating, D.E. Dickerson, Meade Woodson, Matthias Marty, N.R. Ferguson, William M. Smith, and L.K. Thacher. The officers were L.K. Thacher, president; Frank Askew, vice president; and W.S. Ide, cashier. The bank had authorized capital of $500,000 with $100,000 paid in capital.

In January 1876, the Commercial National Bank was led by Maj. L.K. Thacher, president; and Mr. Meade Woodson, cashier. Their integrity and prompt business habits were admired by all who did business at this bank and they were assisted by one of the oldest corps of directors found in any bank in Kansas City. The Commercial National passed through the financial shock of 1873 without scarcely feeling its direful effects and was among the first to resume business after the crisis passed over. The capital stock of the Commercial National was $100,000, all paid up, with a surplus of $30,000. The books showed a daily discount business of over $190,000 and a deposit business of over $200,000 The institution was located at No. 14, west Fifty Street in the center of business at a most favorable location within the city.

On Tuesday, January 29, 1878, a run on the Commercial National Bank caused the directors to temporarily close their doors as a precautionary measure. President Karnes stated that all depositors would be paid dollar for dollar within the next sixty days. The condition of the bank was as good as anyone could expect and had the officers had any notification whatsoever of the impending crisis, they could have fortified themselves and the suspension surely would have been averted. The statement of the Commercial National showed total assets of $160,895 with individual deposits $38,886, certificates of deposit $12,586.50, due to banks and bankers $4,790.02. On Wednesday, January 30, the First National Bank of Kansas City closed its doors. This was necessary due to the shrinkage in deposits of over $350,000, added to the large reduction of the previous few months.

On Thursday, January 31st, there was no sign of panic in the city. The paying teller at the Mastin Bank had hard work to perform on Wednesday and the receiving teller the next day. The report that the Mastin Bank received $75,000 from St. Joseph on Tuesday night was pronounced false by Mr. Thomas H. Mastin. Hon. Seth E. Ward, president of the Mastin Bank was at his post throughout and when thousands of dollars were being paid out to anxious depositors and through all the excitement, he kept his faculties about him and directed the affairs of the bank with his usual forethought and wisdom. Banks and bankers occupied the attention of everyone on the streets, nothing being talked about in the saloons, horse cars or places of business but the late crisis. The reported failure of two banks at Topeka was passed along, but it turned out that only the Topeka Bank and Savings Institution was embarrassed.

In February 1878, the old and reliable Missouri Valley Bank sold its bank building in West Kansas City and moved to No. 14, West Fifth Street to the building formerly occupied by the Commercial National Bank. It was under the management of A.J. Banker who brought the bank through the panic of 1873, the strike, and the recent panic while some of the largest financial institutions had to succumb. The Missouri Valley Bank would open Monday morning, February 18th, in the heart of the business portion of the city. The officers were Mr. A.J. Baker, president; A.A. Goodman, vice president; and W.A. Botkin, cashier. This bank was established in Kansas City in 1872. The Missouri Valley Bank was bound to become one of the principal financial institutions of the city. The Missouri Valley Bank would fail in February 1881.

Major Luin K. Thacher was born in Hornellsville, New York, on August 31, 1835, and was at the time of his death in 1894, just two months past 59 years of age. All his education was received at Alfred Academy, near Hornellsville, and in the spring of 1861, when the first call to arms was sounded by President Lincoln, Mr. Thacher was on the eve of his graduation from the academy, but he came from old Puritan stock, and the sentiments of patriotism were instilled into him so deeply that he forsook his studies and enlisted in a company of the First New York Infantry as a lieutenant. His brother, Solon O. Thacher, had been a citizen of Kansas for many years, and had been a judge on the Lawrence bench before the war. At the expiration of Lieutenant Thacher's term of enlistment in the New York infantry, he came West and joined the Ninth Kansas Cavalry, being stationed at Westport during almost the entire period of the war. Going into the war a lieutenant, he was mustered out at the close a brevet major with a gallant record. For some time after the close of the war, Major Thacher engaged in the practice of law in Kansas City where he had made his home. But he soon became interested in several business ventures. He organized the Commercial Bank, afterwards, the Commercial National Bank and was its first president. In 1889, Mayor Davenport appointed him a member of the first board of public works. In 1871 Major Thacher married Miss Caroline Hamilton in Columbus, Ohio. Three of their six children survived him.

Joseph Van Clief Karnes (1841-1911) was born on a farm in Boone County, Missouri, on February 11, 1841. From the district schools he entered the State University in 1857, and graduated with high honors in 1862. Immediately thereafter he enrolled himself in the Harvard Law School, but left it in his first year to accept a Greek and Latin tutorship at the Missouri University. In 1865, upon resigning, he was given an A.M. degree. During his tutorship he had studied law and had been admitted to the bar, and in August 1865, he came to Kansas City in company with Henry N. Ess, and formed the law firm of Karnes & Ess, which continued for twenty-one years. Later the firm was Karnes, New & Krauthoff. Few men have done more for Kansas City than Mr. Karnes. As a member of the School Board, he stood for progress and non-partisanship, and worked early and late in the development of Kansas City's magnificent educational system, and the upbuilding of the great Public Library. As chairman of the Commercial Club Committee on Municipal Legislation, he also labored. He was one of the organizers of the Provident Association. He helped to found the Kansas City Bar Association, and was its president for three terms. He was one of the founders of the Kansas City Law Library.

Official Bank Title

1: The Commercial National Bank, Kansas City, MO

Bank Note Types Issued

Original Series $10 bank note with pen signatures of W.S. Ide, Cashier and L.K. Thacher, President. Courtesy of Heritage Auctions, www.ha.com

Original Series $1 bank note with pen signatures of Meade S. Woodson, Cashier and L.K. Thacher, President. Courtesy of Lyn Knight Auctions, www.lynknight.com

Original Series $2 bank note with pen signatures of Meade S. Woodson, Cashier and L.K. Thacher, President. Courtesy of Lyn Knight Auctions, www.lynknight.com

A total of $108,300 in National Bank Notes was issued by this bank between 1872 and 1878. This consisted of a total of 25,248 notes (25,248 large size and No small size notes).

This bank issued the following Types and Denominations of bank notes:

Series/Type	Sheet/Denoms	Serial#s	Sheet Comments
Original Series	3x1-2	1 - 2940
Original Series	4x5	1 - 2500
Original Series	3x10-20	1 - 500
Series 1875	3x10-20	1 - 372

Bank Presidents and Cashiers

Bank Presidents and Cashiers during the National Bank Note Era (1872 - 1878):

Presidents:

• Maj. Luin Kennedy Thacher, 1872-1877
• Joseph Van Clief Karnes, 1877-1877

Cashiers:

• William Sullivan Ide, 1872-1872
• Meade S. Woodson, 1873-1877

Other Known Bank Note Signers

• Beverley Randolph Keim (VP 1877)

Bank Note History Links

• Commercial National Bank, Kansas City, MO History (NB Lookup)
• Missouri Bank Note History (BNH Wiki)

Sources

• Kansas City, MO, 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