Douglass State Bank

Named after Frederick Douglass and established by H.W. Sewing, Douglass State Bank opened its doors in 1949 as the first African American financial institution West of the Mississippi. After reaching the status of the nation’s 17th-largest African American-owned bank, the bank was shut down in 1983 by banking authorities because its liabilities had far exceeded its assets. The bank was then succeeded by Douglass National Bank. 

Douglass State Bank was first established in Kansas City, Kansas in 1947 and set out to serve local African Americans as the Midwest’s very first African American-owned bank. Henry Warren Sewing, a local insurance salesman, founded the bank and then hired James H. Browne to serve as its Vice President. In 1961, after much success the bank expanded and also helped local African Americans to expand their businesses and personal wealth, spurring economic development throughout the Kansas City community.

H.W. Sewing was born in Texas. After serving in WWII, he moved to the Kansas City, Kansas area where he found odd jobs until landing a teaching position at Western University. Following his time at the University, Sewing began his insurance career in 1922. After much success, he decided to open up a bank to service African Americans and allow them access to loans and mortgages. 

Douglass Bank loyally served the Kansas City, Kansas community up until its closure in 1983. During its lifetime, the Douglass State Bank became the 17th largest African American owned bank in the country but was closed due to insolvency as a result of the F.D.I.C. discovering millions of dollars in loan losses resulting in the bank's assets being far overshadowed by its liabilities. This closure was also not shy of scandal, as the F.B.I. was investigating several high-positioned members of the bank for fraudulent activity. Following its closure, the F.D.I.C. aided local African American investors to reopen the bank as Douglass Bank and was given new management.  

Berg, Eric N. Bank Shut in Kansas; Losses Big, The New York Times. September 5th 1983. Accessed June 8th 2022. https://www.nytimes.com/1983/09/05/business/bank-shut-in-kansas-losses-big.html.

Douglass State Bank records, Kenneth Spencer Research Library Archival Collections. Accessed June 8th 2022. https://archives.lib.ku.edu/repositories/3/resources/1542.

Kansas City Black History 2016, Accessed June 8th 2022. https://static1.squarespace.com/static/5075895f84ae84c1f4ec0443/t/56981c6fa128e6608ed3b371/1452809328936/bhm-2016-booklet-web.pdf.

Phillips, Kynala . KC Black History: Here are five trail-blazing entrepreneurs you may have never heard of , The Kansas City Star. March 6th 2020. Accessed June 8th 2022. https://www.kansascity.com/news/your-kcq/article258675773.html.