Mimiti Nasional Bank of Blanchardville - Blanchardville, WI Bank Gagal - Episode 333

**Freesia Brindski** (0:01)
Good afternoon, good afternoon. Thank you so much for joining me. This is the podcast, The Endurance of Labor Laws. I'm your lovely host, Freesia Brindisi. Today is episode 333, and we're going to take a look at another filled bank. Today, we're going to take a look at First National Bank of, I think it's called Blanchardville of Blanchardville, Wisconsin. But before we dive into that one, let me give a big shout out to my listeners because as usual, you guys are awesome. I love to see you here. So a big shout out to California, New Jersey, New Hampshire, and Oklahoma. In terms of countries, the United States, Singapore, Vietnam, and the Republic of Moldova. Good to see all of you. Okay. So this is a very interesting one. So again, this is a bank out of Wisconsin. So this is called the First National Bank of Blanchardville, located in Blanchardville, Wisconsin. The bank that took them over is called the Park Bank, and that's P-A-R-K, the Park Bank. And the date for this one, let me scroll up to the top and make sure. The date that this one closed, because I don't want to tell you wrong. Hold on just a moment, it disappeared. The closing date for this one, basically the date that this bank failed in Wisconsin was May 9th, in 2003 And let me pull up the information for this one. So this one, it says on May 9th, 2003, first National Bank of Blanchardville in Blanchardville, Wisconsin was closed by the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation, also known as FDIC, and the FDIC was named receiver. As receiver, the FDIC is charged with winding up the business affairs of the failed financial institution. This includes the disposition of assets and liabilities of the failed financial institution and payment of dividends to approve creditors in order of priority. The FDIC as receiver has taken all necessary actions to conclude the affairs of the failed financial institution, made all dividend distributions as required by law, and the receivership estate is deemed terminated. In terms of the press release, there are two different ones. The FDIC has issued a press release about the institution's closure. As usual, it says, if you represent a media outlet and would like information about the closure, please contact the FDIC Public Affairs Office at 202-898-6993.
In the first press release, this one was released May 9, 2003, and this is directly from the FDIC. The media contact back then was David Barr, I don't know if he still is, who knows, telephone number 202-898-6992.
It says, FDIC announces receivership of First National Bank of Blanchardville and Blanchardville, Wisconsin. It says for immediate release, so when it says for immediate release, that means it has to be published immediately. And that's very important for banks and for the public, so that way the public is aware of what happened, what's going on, and what the government, the FDIC is doing about it, because the last thing you want is for a bank to go under, the FDIC to take over and not tell anybody about it. They cannot legally do that, so that is why a lot of these press releases, they say in big bold capital letters for immediate release, meaning it's very important. It says the First National Bank of Blanchardville, Blanchardville, Wisconsin was closed today, that's back in 2003, by the Office of the Comptroller of the Currency, also known as OCC, and the Federal Deposit Insurance Corporation, also known as FDIC, and the FDIC was named receiver. The FDIC is attempting to arrange a transaction under which the failed bank's insured deposits will be assumed by a healthy bank. So this tells you that they're already having a problem finding another bank to take them over. That's a problem. It says that this bank must have been in really big trouble in order for another bank to not take it over immediately. That's a big red flag. Goes on to say, if this effort proves unsuccessful, the FDIC will mail checks up to the $100,000 statutory insurance limit directly to the depositors on Monday, May 12th. The FDIC expects to make an announcement of the outcome of its efforts over the weekend. So back then, you were only insured up to $100,000. And so the FDIC is already seeing, they're pretty much seeing the writing on the wall on this one, where they're basically seeing that this bank's problem is so bad that there's not another bank at this point that would want to come in and take over and even try to make money off of these depositors. That's how bad it is. So basically, the upper management of this bank really screwed up and they have no business running a bank. But again, if I had to guess, the people that ran this bank into the ground, I guarantee you, they just went to go work for another bank. That's how a lot of these, I would say failed bankers are, that's how they're like. Basically, if they have like an MBA or they went to like a business school, they for some reason act like they are untouchable. And stupidly, our banking system falls for this crap. Our banking system does this, where it basically says no, we want to hire you because of your degree. Well, your degree does not authorize you and doesn't make you a good employee, basically. Because your degree does not mean that you have integrity or that you have common sense or that you have wisdom. But unfortunately, a lot of stupid people fall for these people's fancy resumes, and that's basically what happens with some of the stuff. So just FYI, be aware of that. It goes on to say, the FDIC expects to make an announcement of the outcome of its effects or efforts over the weekend, and that's back in 2003 Excuse me. Depositors with more than $100,000 on deposit at First National should contact the FDIC to discuss their accounts. That basically means they're screwed. If you have anything over $100,000, not this is back in 2003, if you had anything over $100,000, you basically lost your money.