A Bank Scandal in Whateom
The Cashier of the First National Bank of Whateom faces a bench warrant over a $10,000 loan, allegedly secured with inflated land values.
The story, cleaned up
A cleaned-up reading of the newspaper page: spelling and layout repaired, one story lifted off a crowded page. It follows the original closely but it is not a transcription. The original page is below; read it if a detail matters.
A bench warrant was issued today by the United States court for Cashier C. M. Atkins, of the First National Bank of Whateom (modern-day Bellingham). It is alleged by the Commercial Bank of Tacoma that Mr. Atkins' bank borrowed $10,000, providing as security eighty acres of Fairhaven land, valued, it is estimated, at $30,000. Tacoma bank officials state that Mr. Atkins claims the money was borrowed on his personal account, while the statement is made that he secured the money for his bank, and that his bank used it.
“It is alleged by the Commercial bank, of this city, that Mr. Atkins' bank borrowed $10,000, giving as security eighty acres of Fairhaven land.”
Bank failures and complex land-based collateral disputes were a hallmark of the volatile economy in the 1890s, often leading to rapid closures and litigation that ripple through the community. Today, Bellingham's Fairhaven district is a stable, historic commercial hub, but it was once the site of wild real estate speculation that fueled these very types of local financial crises.
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