Sanford National Bank, Sanford, ME (Charter 5050)
Sanford National Bank, Sanford, ME (Chartered 1896 - Liquidated 1931)
Town History
Sanford is a city in York County, Maine. Situated on the Mousam River, Sanford includes the village of Springvale. The city features many lakes in wooded areas which attract campers. The population was 21,982 in the 2020 census, making it the seventh largest municipality in the state. In 1900 the population was 6,078 growing to 13,392 by 1930.
Sanford is in the western portion of a tract of land purchased in 1661 from Abenaki Chief Fluellin by Major William Phillips, an owner of mills in Saco. First called Phillipstown, it was willed in 1696 by Mrs. Phillips to her former husband's son, Peleg Sanford. Settlement was delayed, however, by hostilities during the French and Indian Wars. In 1724, Norridgewock, an Abenaki stronghold on the Kennebec River, was destroyed by a Massachusetts militia. Subsequently, the region became less dangerous for white settlers, and Sanford was first settled in 1739. Incorporated a town in 1768, it was named after Peleg Sanford. Until 1794, Alfred was the town's North Parish.
The Mousam River provided water power for industry. In 1745, Capt. Market Morrison built a sawmill above Springvale. Following the Civil War, Sanford developed into a textile manufacturing center, connected to markets by the Portland and Rochester Railroad. Factories were built at both Springvale and Sanford villages. Products included cotton and woolen goods, carpets, shoes and lumber.
In 1867, British-born Thomas Goodall established the Goodall Mills at Sanford, after selling another mill in 1865 at Troy, New Hampshire which made woolen blankets contoured to fit horses. His factory beside the Mousam River first manufactured carriage robes and blankets. It would expand to make mohair plush for upholstering railroad seats, carpets, draperies, auto fabrics, military uniform fabric and Palm Beach fabric for summer suits.
The company's textiles were known for brilliant and fast colors and found buyers worldwide. From 1880 to 1910, the mill town's population swelled from 2,700 to over 9,000, some living in houses built by the company and sold to workers at cost. In 1914, the Goodall family built Goodall Park, a 784-seat roofed stadium, now a treasured historic site. They also helped build the library, town hall, hospital, airport, and golf club. A bronze statue was erected by the citizens of Sanford in 1917 to the memory of Thomas Goodall. His effigy has a place of honor in Central Park. George and Henrietta Goodall's daughter, Marion C. Goodall Marland, and her husband William Marland continued the Goodall family philanthropy. A dormitory at Nasson College bears the Marland's name.
In 1954, Burlington Mills, then the nation's largest textile firm, bought Sanford Mills. After moving the looms to its Southern plants, Burlington closed Sanford Mills—leaving 3,600 unemployed and 2,000,000 square feet of empty mills.
Sanford had one National Bank chartered during the Bank Note Era, and it issued National Bank Notes.
Bank History
- Organized April 3, 1896
- Chartered July 20, 1896
- Liquidated September 5, 1931
- Absorbed by Fidelity Trust Company, Portland
In March 1896, the total capital of $50,000 necessary to establish a national bank in Sanford had been subscribed. The largest shareholders were Merton A. Hewett of Madison, L.B. Goodall, treasurer of the Goodall Worsted Co., and F.C. Leavitt of Sanford. The other shareholders were S.B. Emery, W.H. Nason, Geo. H. Nowell, Samuel Smith, Jr., C.A. Bodwel, Moses Wentforth, Amos Garnsey, I.J. Young, Geo. W. Hanson, Fred J. Allen, Fred S. Sherburne, O.W. Brown, W.A. Fogg, J. Hollimake, H.G. Allen, J.C. Sawyer, G.D. Tibbets, L.P. Goodwin, W.H. Wood, O.W. Coffin, E.E. & J.W. Goodwin, A.J. Fernald, H.O. Witham, H.B. Rowe, L.B. Weeks, G.A. Moulton, S. & E.M. Estes, D.G. Clark, and Samuel Nowell all of Sanford and Springvale.[2] In April the directors decided to purchase the site on Washington Street occupied by the office of the Mousana River Electric Railway and would erect a three-story brick banking house. The proposed new bank would be the only brick structure in the village.[3] On Monday, July 20, 1896, the Sanford National Bank, capital $50,000, was authorized to begin business.[4] The Sanford National Bank opened for business on Monday, July 27th. A savings department was connected with the bank and afforded an opportunity for those who wished to have a little bank account of their own. M.A. Hewett was cashier.[5]
On Tuesday, January 12, 1915, the stockholders elected the following directors: Louis B. Goodall, George H. Nowell, Fred J. Allen, Harmon G. Allen, and Eugene M. Hewett. The directors elected Louis B. Goodall, president; George H. Nowell and Harmon G. Allen, vice presidents; and Fred J. Allen attorney. The cashier, Eugen K. Hewett and the assistant cashier Harold K. Lord were held over.[6]
In January 1926, the officers of the Sanford National Bank were Louis B. Goodall, president; Orren A. Moulton and Harmon G. Allen, vice presidents; and Eugene M. Hewett, cashier. The directors re-elected were Hiram Willard, Curtis R. Johnson, Craven Sharp, Oscar G. Hanson, Moses H. Goodwin, Orville V. Libby, Frank E. Fleming, Arthur L. Roberts, James W. Meserve of Bar Mills, Dr. A.C. Hanscom, John E. Abbott, Dr. F.A. Bragdon, George A. Smith of Waterboro, J.W. Leavitt, Pearly H. Ford, and Willard Bennett.[7] The bank had total resources as of January 9th of $4,762,724.39. The capital stock was $200,000, surplus $200,000, profits $62,029.21, reserve $44,000 and savings deposits of $3,648,643.92. A year earlier the circulation was $93,200, but was discontinued for 1926.[8]
On Tuesday, January 14, 1930, stockholders elected the following directors: Dr. Fred A. Bragdon, Hiram Willard, Lester Willard, Lucius B. Swett, George H. Smith of Waterboro, Arthur L. Hayes of Limerick, Wilbur J. Brown, of Hollis Center, James W. Meserve of Bar Mills, Frederick Darvill, John E. Abbott of North Berwick, Laurence C. Allen, Willard H. Bennett, J. Will Leavitt, Frank E. Fleming, Moses H. Goodwin and the first four officers below. The officers elected were Louis B. Goodall, president; Harmon G. Allen, first vice president; Oren A. Moulton, second vice president; Eugene M. Hewett, cashier; and Clarence H. Thyng, assistant cashier.[9] On April 22, 1930, James W. Meserve of Bar Mills, 74, a leading politician in York County and a director of the Sanford National Bank, died in a Portland hospital. He was a director for 19 years.[10]
On Friday, April 10, 1931, announcement was made that the Fidelity Trust Company of Portland purchased the assets and assumed the liabilities of the Sanford National Bank. Petition to buy the bank and operate it as a branch of the Fidelity Trust was granted by Sanger N. Annis, State Banking Commissioner. With the purchase of the Sanford National and the Limerick National this week, the Fidelity Trust Company had total assets in excess of $34 million. According to the last published statement, the Sanford National had total assets of $4,239,245, excluding its trust department; deposits of $3,400,000; capital of $200,000 and surplus and undivided profits of $234,124. The officers were Louis B. Goodall, president; Harmon G. Allen and Orren A. Moulton, vice presidents; and Eugene M. Hewett, cashier.[12] The main office of Fidelity Trust was at Monument Square and it operated branch offices at 87 Exchange Street and Woodfords Square, Portland, South Portland, Westbrook, Fryeburg, Harrison, South Windham, Yarmouth, Cumberland Mills, Sanford, and Limerick.[13]
In October 1933, an investigating committee appointed by Chief Justice William R. Pattangall concluded its probe and prepared a report charging the directors and officers of the Fidelity Trust Company of Portland with "carelessly allowing the affairs of the trust company to be mismanaged so that the assets of the bank were wasted and lost. Chief Justice Pattangall appointed Frank H. Haskell of Portland, John E. Nelson of Augusta, and James P. Perkins of Boothbay Harbor to investigate charges and prosecute any liabilities of officials or others connected with the bank. The detailed loss of $3,500,000 suffered by Fidelity Trust was blamed entirely on the directors of the bank. Directors were held responsible for the loss to the bank of $190,000 paid in dividends of stock during 1931, 1932, and 1933. The dividends were declared to have been paid illegally. Some cases highlighting losses charged included: $100,000 loan to Cumberland Share Corp., Jan. 19, 1932 made at a time with the Fidelity Trust Co. had no surplus and no undivided profits and when its capital stock was seriously impaired. Cumberland Co. had only $10,000 in assets. Security for the loan was 1,000 shares capital stock of Casco Mercantile Trust Co. which was then insolvent. $15,000 "donated" to Houlton Trust Co. of Houlton in 1932 at a time that it was reported in an insolvent condition. $298,946.96 loss from purchase of 1,500 shares of Forest City Trust Co., October 1930, $72,564.90 paid in excess of its real value. Merger of Forest City Trust with Fidelity Trust caused an additional loss of $40,352.23 on loans charged off, $9859.89 on loans considered bad, $168,270.44 on loans considered doubtful. $348,188.70 loss from purchase of Security Trust Co. of Rockland in 1930 at a time that Rockland Trust was in danger of insolvency and that $278,988.70 paid for the stock in excess of its true value. $163,609.49 loss from purchase of Georges National Bank of Thomaston, June 1930 and subsequent merger with Fidelity Trust. Purchase of 479 shares of this stock made in an illegal manner and at a price far in excess of its true value. The loss included $25,000 commission paid for the purchase of the stock. $357,795.82 loss following merger of Sanford National Bank of Sanford with Fidelity Trust. Merger was approved at a time that Sanford bank had no capital, surplus or undivided profits, but did have a deficit of $243,000, facts readily ascertainable had directors wished. $257,607.79 loss from creating Limerick National Bank, an affiliate of Fidelity Trust April 1931. Loss sustained principally because note given Fidelity Trust was practically worthless. Agreement made by Fidelity Trust officers without proper authority. $258,940.90 loss following purchase of 409 shares of Brunswick National Bank stock, December 1931. $422,200 loss following merger of North National Bank of Rockland with Fidelity Trust, May 1930, insolvent at the time of the merger.[14]
A conservator was appointed for Fidelity Trust on March 18, 1933. At that time, the bank, in addition to what it owed its depositors, had borrowed in round numbers $2,144,000 from the Reconstruction Finance Corporation (RFC) and from other banks. On June 30, 1933, the conservator borrowed a further sum of $3,760,000 from the RFC. This money with the available cash on hand was used to pay the initial dividend of 20%. Of these loans aggregating $5,905,000, the conservator had repaid $3,218,000, leaving a balance due of $2,686,000. Help came from the citizens of Westbrook who re-established their own bank which assumed a portion of the obligations to Westbrook depositors in return for a proportional part of the assets of the Fidelity Trust Co. Depositors were advised that valuable assets remained and the liquidation of which would yield further substantial returns to depositors who should take care before disposing of their rights for inadequate consideration.[15]
The Fidelity Trust Company was chartered by the Maine Legislature in 1905 and organized in Portland with Hon. Edward P. Ricker of Poland Spring as president.[16] Among those interested in the new company were Louis B. Goodall and Fred J. Allen of Sanford and Justin M. Leavitt of Kennebunkport, who were also directors.[17] The trust company had capital $150,000 and surplus $150,000 and was located on 478 Congress Street.[18]
Robert Braun, conservator of the Fidelity Trust Company was in conference with a committee representing the Sanford Institution of Savings in regard to the rental or purchase of the Sandford quarters of the Fidelity Trust Company. Sixty-six men and women in Sanford and surrounding towns had subscribed to the idea of forming the new local savings institution. According to Philip A. Benson, President of the National Association of Mutual Savings Banks, a new high of $1,471,773,818 in the surplus accounts of mutual institutions indicated improved national conditions accompanied by a confident outlook.[19] On Thursday, August 24th, the corporators of the Sanford Institution of Savings met at the National Bank building and elected the following board of trustees: Fred J. Bowne, John B.S. Fitzpatrick, George A. Field, Cyrice Dube, Luther A. Hurd, Raymond E. Rendall of Alfred, J.W. Plummer of Alfred, Charles B. Marble of Waterboro, George L. Hanscom of Kennebunk, Arthur Lougee of Limerick, William L. MacDonald and Frank Howgate. Trustees selected Luther A. Hurd as president, who for 30 years successfully engaged in the undertaking business in Sanford with a business in Kennebunk established in 1920 and which was conducted by his son, Paul D. Hurd. Other officers elected were John B.S. Fitzpatrick and Fred J. Bowne, vice president; William L. MacDonald, treasurer; and James Cullen, assistant treasurer.[20]
Official Bank Title
1: The Sanford National Bank, Sanford, ME
Bank Note Types Issued
A total of $1,003,420 in National Bank Notes was issued by this bank between 1896 and 1931. This consisted of a total of 127,016 notes (127,016 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 1882 Brown Back 4x5 1 - 2775 1882 Brown Back 3x10-20 1 - 880 1882 Date Back 4x5 1 - 4151 1882 Date Back 3x10-20 1 - 3126 1902 Plain Back 4x5 1 - 12550 1902 Plain Back 3x10-20 1 - 8272
Bank Presidents and Cashiers
Bank Presidents and Cashiers during the National Bank Note Era (1896 - 1931):
Presidents:
Cashiers:
Other Known Bank Note Signers
- No other known bank note signers for this bank
Bank Note History Links
Sources
- Sanford, ME, 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
- ↑ Evening Express, Portland, ME, Mon., Apr. 13, 1931.
- ↑ Biddeford-Saco Journal, Biddeford, ME, Wed., Mar. 25, 1896.
- ↑ Sun-Journal, Lewiston, ME, Thu., Apr. 16, 1896.
- ↑ Commercial, Bangor, ME, Tue., July 21, 1896.
- ↑ Evening Express, Portland, ME, Tue., July 28, 1896.
- ↑ Journal Tribune, Biddeford, ME, Fri., Jan. 15, 1915.
- ↑ La Justice De Sanford, Sanford, ME, Thu., Jan. 14, 1926.
- ↑ Journal Tribune, Biddeford, ME, Thu., Jan. 21, 1926.
- ↑ Biddeford-Saco Journal, Biddeford, ME, Thu., Jan. 16, 1930.
- ↑ Kennebec Journal, Augusta, ME, Wed., Apr. 23, 1930.
- ↑ Evening Express, Portland, ME, Thu., Jan. 29, 1925.
- ↑ Portland Press Herald, Portland, ME, Sat., Apr. 11, 1931.
- ↑ Portland Press Herald, Portland, ME, Mon., Apr. 13, 1931.
- ↑ The Bangor Daily News, Bangor, ME, Tue., Oct. 3, 1933.
- ↑ Portland Press Herald, Portland, ME, Sun., Dec. 17, 1933.
- ↑ The Industrial Journal, Bangor, ME, Mon., Jan. 1, 1906.
- ↑ Biddeford-Saco Journal, Biddeford, ME, Mon., Jan. 22, 1906.
- ↑ Biddeford-Saco Journal, Biddeford, ME, Tue., May 1, 1906.
- ↑ Journal Tribune, Biddeford, ME, Thu., Aug. 3, 1933.
- ↑ Biddeford-Saco Journal, Biddeford, ME, Sat., Aug. 26, 1933.