Symptomatic?

Nineteen banks closed in Palo Alto and Kossuth counties, Iowa; another string closed in Clay county, Iowa; there followed the suspension of the Clarinda (Iowa) National Bank. Tellers, bookkeepers and businessmen canvassed the countryside to persuade depositors to leave their money in the embarrassed banks.

This was the situation in Iowa last week, reminiscent of the Flori da-Georgia bank troubles of the last summer (TIME, July 26). Six years ago there was similar unrest among U. S. banks. Considerable numbers of them failed, prelude to the 1920-21 business depression. Is this Iowa situation symptomatic of a national condition? The Iowa State Banking Department hastened to make up a bulletin: "The condition is purely local. It is simply a concerted action on the part of the banks to stop continued unwarranted withdrawals." After a few days some of the banks reopened to honor demands for withdrawing money.