National City Bank (Indianapolis, IN)

View Charter #10121 on SPMC View balance sheet

Episode Information

Episode UID
1012101491
Episode Type
Suspension → Closure
Bank Type
national
Bank ID
101210 national
Charter Number
10121
Start Date
March 1, 1924
Location
Indianapolis, Indiana (39.768, -86.158)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
ca9edf680e220849

Response Measures

None

Description

Bank closed in spring 1924 and deposits were taken over by Fletcher-American; later suits sought a receivership.

Events (4)
1. January 2, 1912 Chartered
Source
historical_nic
2. March 1, 1924 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank closed and deposits were taken over by Fletcher-American after insolvency/mismanagement allegations; liquidation under a liquidating agent.
Newspaper Excerpt
All business of the National City Bank, except that of the safety deposit box department, was transacted at the Fletcher-American Bank today.
Source
newspapers
3. April 30, 1924 Voluntary Liquidation
Source
historical_nic
4. October 25, 1924 Receivership
Newspaper Excerpt
Receiver for the National City bank and the National City Realty Company were asked yesterday in the two suits filed in Superior court...
Source
newspapers

Newspaper Articles (6)
1. March 3, 1924 The Indianapolis Times Indianapolis, IN
Article from The Indianapolis Times, March 3, 1924

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Article Text

TRANSFER OF BANK RECORDS EFFECTED National City Moves in With Fletcher-American. All business of the National City Bank, except that of the safety deposit box department, was transacted at the Fletcher-American Bank today. Immediately after close of business Saturday, transferring of deposits and records began. National City Bank customers may use old check books until convenient to obtain Fletcher-American books, it was announced. Paving tellers and receivers of the National City Bank, as well as a numher of its officers, including Chester L. Robinson, cashier, and Miss Josephene M. Henley, assistant cashier, have joined the Fletcher-American organization.

2. October 25, 1924 The Indianapolis Star Indianapolis, IN
Article from The Indianapolis Star, October 25, 1924

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Article Text

ASK RECEIVERSHIP FOR DEFUNCT BANK Receivers for the National City bank and the National City Realty Company were asked yesterday in the two suits filed in Superior court, Room 1, by attorneys for Maurice Warner, Ludie Warner and Samuel Warner of Summitville, stockholders. Deposits of the bank were taken over by the Fletcher American National bank last spring after it had closed its doors and Chester Robinson was named National City liquidating agent. Officers of the National City companies and Mr. Robinson are defendants. Several weeks ago other stockholders sued the bank directors for $1,000,000. As in that suit, which is still pending, the allegations are made that money was lent before last February without sufficient security and that the bank's losses were $1,000,000, much of which can not be recovered. The new suit against the banking company alleges that affairs of the institution are still mismanaged. The suit for receiver for the realty company, which owns the National City Bank building at 108 East Washington street, in which the banking business was carried on, alleges that the prudential affairs of the realty company are so mingled with the prudential affairs of the banking company that the realty company actually has been operated and controlled by the banking company. Rents and profits of the building, which was erected at a cost of $350,000, have not been sufficient to pay expenses and dividends, and the realty company can not pay the dividends on preferred stock by use of funds belonging to the banking company, it was said. These funds, according to the plaintiffs, must be raised by assessing the stockholders of the banking company. Mr. Robinson asserted that there have been no irregularities since the banking company went into liquidation. He said liquidation has been under charge of the directors of the bank as a liquidation committee. "A receivership would prove disastrous to stockholders, as it is impossible to liquidate in a hasty manner," he said. "It would precipitate the liability of the banking company to the realty company and perhaps result in the forced sale of the building."

3. October 25, 1924 The Indianapolis Times Indianapolis, IN
Article from The Indianapolis Times, October 25, 1924

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Article Text

STOCKHOLDERS FILE SUIT Receiver Asked for National City Bank and Realty Companies. Receiver for the National City Bank and the National City Realty Company is asked in a suit filed in Superior Court, Room 1, by stockholders Maurice Warner, Ludie Warner and Samuel Warner of Summitville. Bank closed its doors last spring, and Chester Robinson was named liquidating agent. Bank officars and Robinson are defendants. Several weeks ago other stockholders sued the bank directors for $1,000,000. alleging mismanagement before the bank ceased operations. New suit repeats the charges. Affairs of the realty company, which owns the National City Bank building on E. Washington St., alleges the affairs of both companies are so mingled that the realty company is controlled by the banking officials. Liquidating Agent Robinson asserted there have been no irregularities since the bank closed. A receivership would be disastrous, he said.

4. October 25, 1924 The Indianapolis News Indianapolis, IN
Article from The Indianapolis News, October 25, 1924

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Article Text

BANK RECEIVER ASKED Three Stockholders of National City Allege Mismanagement. Two suits asking that receivers be appointed for the National City Bank, which recently closed its doors, and the National City Realty Company were filed in superior court, Room 1, Friday afternoon by Maurice, Samuel and Ludie Warner, stockholders, who allege that they sustained losses due to poor management on the part of the bank. It is set out in the suit that the three men own twenty shares of stock. They charged mismanagement in the part of the officers of the bank in that, they said, the officers failed to appoint a committee to take charge of examining the books of the bank or to investigate the loans made by the institution, some of which, the suit says, were in excess of $2,000 and were made to persons known to be insolvent at the time. It also is alleged that James McIntosh, formerly president of the bank, was permitted to carry on the business in any way he saw fit. The suit which named the National City Realty Company as defendant said that the affairs of the bank and the realty company, which owns the National City Bank building at 108 East Washington street, have become so commingled that the realty company is controlled and managed by the bank. Suit is pending now in superior court, Room 2, in which other stockholders have sued the bank directors for $1,000,000.

5. March 1, 1925 The Indianapolis Star Indianapolis, IN
Article from The Indianapolis Star, March 1, 1925

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Article Text

MAROTT AND AYRES BUY NATIONAL CITY BLOCK CONCLUDED FROM PAGE ONE. operated as since 1924 will from all obligations outstanding debts and taxes expept property the time the against This according to the officers the mean the $15 share ers issue of $1,000,000 bank and that the preferred of the realty company receive all unpaid dividends and the principal Building Loses $50,000. the Mr. In explaining said the upkeep of Marott the bank closed in building since than $50,000 in excess had been more the revenue He said the suites in building were almost drastic all indicated that and operation of change the policy building may be made the bank room will be used the for new bank be headquarters has been another will be remodeled or other Mr. Marott for some said that It would declined remain of this transaction, it Consummation is believed. will end series of conover the National City bank troversies After differences between on faction asked holders receiver the bank Oct. closed doors and been after by the Fletcher American taken National bank and Chester Robinson liquidating agent. This appointed brought which Mr. Robinson was charged with the mismanagement of the affairs of the The receiver. however, was not Suit Follows was followed by suit for This $1,000,000 filed by Arthur John Ridgeway and Ida G. A. against Frank John Oliver P. Jesse T. Prior and William K. the rectorate, in which was charged the affairs were mismanaged. Violation of state banking failure of the directors to of the bank and other irregularities were alleged to caused loss to the complainants The next chapter was written in cember when the favored the acceptance of the $650,000 opposed by Mr. who held that the institution worth more than that The minority was James of Indiana of the bank and holder worth of stock a result Mr. Marott and Mr. Ayres appointed special committee the month the offer which accepted yesterday Marott, Mr. time bank than $100,000 of the available The of that that the and $114 and total liability of Roy president of the bank at that time and president of the board of meeting Dec said time Sims his the actual assets of the bank possibly and not than 000. At the same meeting Mr. Shaneberger said bank examiners are to be depended upon for the always assets of bank Mr. Marott refused to comment on financial of the bank last the saying the bank or to start with clean

6. June 13, 1930 Tri-County Banner Knightstown, IN
Article from Tri-County Banner, June 13, 1930

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Article Text

JUDGMENT FOR A LARGE Judge Van Duyn Finds for Arthur B. and Other Stockholders of National City Bank, Indianapolis. judgment of Judge Arthur Van Duyn in the Hancock county court Greenfield to Arthur Ayers, of New Castle, other of the National City Bank of Indianapolis, which failed 1922. against former of the The former directors named in the suit, which was taken of are Frank M. Millikan, John R. Moorman, Isaac Pinkus and William R. Sprowle, of Indianapolis. Two other members who were named but who bought immunity under authority of the statutes were Leonidas Newby, of Knightstown, and John Prior, Marion, dead. The judgment, said to be the largest awarded civil law bank suit Indiana, will accrue to the benefit all stockholders the National City Bank corporation and not to Mr. Ayers and the plaintiffs alone. Judge Van Duyn held that the had been careless and negligent in the of the bank's affairs from 1919 to 1922; that they disregarded and violated federal bank laws for at least two years in failto hoist proper reserves for protection of depositors and stockholders; that they displayed careless and negligent business judgment investing $375,000 in the $1,200,000 bank buildproject at time when reserves and liquid assets were low and "that they loaned large amounts the bank's money times when the statute under which they operated absolutely prohibited them from the making of such loans, for all of which they should be held liable.