First State Bank (Huntington, IN)

Episode Information

Episode UID
71018971597
Episode Type
Suspension → Closure
Bank Type
state
Bank ID
7101897 routing
Routing Number
71-0189
Start Date
January 26, 1933
Location
Huntington, Indiana (40.883, -85.497)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
dff84006130fc1b5

Response Measures

None

Description

Articles link local rumors/attacks and a moratorium/legal holiday in 1933; by 1934 the bank is being liquidated.

Events (3)
1. January 26, 1933 Suspension
Cause
Rumor Or Misinformation
Cause Details
Local agitation and alleged false rumors/slander circulated against the bank prompted a business moratorium and a mayoral legal holiday to discourage withdrawals.
Newspaper Excerpt
The two remaining Huntington banks were open today but neither was accepting deposits or permitting withdrawals.
Source
newspapers
2. February 7, 1933 Suspension
Cause
Rumor Or Misinformation
Cause Details
Continued pressure after alleged circulation of false rumors by a local editor led to temporary closure under a moratorium requiring depositor pledges.
Newspaper Excerpt
the two remaining institutions, including the First State bank, are both closed temporarily in a business moratorium.
Source
newspapers
3. February 27, 1934 Receivership
Newspaper Excerpt
Plans for organization of new bank here ... liquidation the First State Bank ... Liquidation the First State Bank would entail 100 per cent assessment of stockholders.
Source
newspapers

Newspaper Articles (3)
1. January 26, 1933 The Times Hammond, IN

Article Text

IRWIN MAY SUCCEED MORGAN INDIANAPOLIS, Jan. 26.—(I.N.S.)—Don B. Irwin, of Frankfort, Fifth district chairman, today loomed as a probable successor to Ivan C. Morgan, of Austin, as republican state chairman. Morgan, whose resignation has been asked by several district chairmen, announced that the G. O. P. state committee would meet here on February 2. Morgan, Irwin and Harry Fenton, secretary of the state committee, conferred here last night. John Scott, of Gary, First district chairman, has been the leader in the movement against Morgan. Scott objects to Morgan's stand for prohibition. MORTON CAN'T GET HIS PAY INDIANAPOLIS, Ind., Jan. 26.—(I. N.S.)—Gaylord S. Morton, tax commissioner, whose membership on the tax board has been the center of heavy fire, indicated today he would continue serving although Floyd E. Williamson, auditor of state, has assured him he will not get paid. Yesterday Morton observed a birthday by presenting a voucher to the auditor for his January pay but Williamson said the position he couldn't pay Morton without a court mandate due to recent opinion of the attorney general on the commissioner's status. Morton was appointed to fill a vacant post on the last day of Harry G Leslie's administration but Philip Lutz, Jr., the attorney general, held that Leslie's last day was Gov. Paul V. McNutt's first and that the appointment was void. BANKS DECLINE DEPOSITS HUNTINGTON, Ind., Jan. 26.—(U. P.)—The two remaining Huntington banks were open today but neither was accepting deposits or permitting withdrawals. A legal holiday, proclaimed by Mayor Jack T. Dungan, gave the First State and the Citizens State bank an opportunity to persuade depositors to sign waivers saying they would not withdraw their funds immediately. Other business in the city were not affected by the holiday proclamation. WEATHER SUMMARY By U. W. WEATHER BUREAU (Written for I. N. S.) Since Monday morning rains have continued in the entire Pacific coastal region, and light snows to the eastward over the great basin and Central Rockies. Elsewhere, throughout the country, except for a few scattered showers in the gulf and South Atlantic regions, the weather has been fair. It is somewhat colder in the eastern third of the country and lower temperatures also are reported from Alberta and Saskatchewan and from the far southwest; while considerably higher temperatures prevail in the northern Red River Valley and in parts of the Great Plains. Sunrise 7:00 a. m.; sunset, 4:55 p. m.; moonrise, 6:16 a. m.; moonset, 3:22 p. m. LAPORTE BOY KILLED LAPORTE, Ind., Jan. 26.—(U.P.)—Roy Place, 18, LaPorte, was killed yesterday when his rifle accidentally discharged. Bank Suspensions 22 Pct. Below 1932. Rand McNally & Co. reports the number of bank suspensions for the week ended yesterday were 22 per cent under those of a year ago. So far this year, average of deposits of suspended banks is 52 per cent less than for the corresponding period in 1932, the report said. DROWNED IN RIVER GOSPORT, Ind., Jan. 26.—(U.P.)—M. M. Bills, 65, who lives on an island east of here, was drowned yesterday when his rowboat overturned in the swollen waters of White river. He clung to the craft until it struck a bridge pier at Gosport.

2. February 7, 1933 The Indianapolis Times Indianapolis, IN
Article from The Indianapolis Times, February 7, 1933

Click image to open full size in new tab

Article Text

AUTO IS USED AS POWER TO PRINT PAPER Electricity and Telephone Cut Off: Trouble Bunches on Huntington Man. By United Press HUNTINGTON, Ind., Feb. 7.Adversity overtook C. W. H. Bangs, editor of the Huntington News, all at once. He now is forced to publish his daily newspaper with a jacked-up automobile as his power source and without the convenience of a telephone. Facing seven charges of criminal libel and slander on the first state bank of Huntington, he is under $5,000 bond after spending an hour in jail a week ago. With his telephone and electricity disconnected because the bills were overdue, Banks connected the automobile with his press to run it. He bought oil burners to heat his linotype melting pot, and has a small electric generating plant to provide lights in his office. Attacked Bank Policies Besides that, his employes, claiming that their pay is long overdue, are causing him trouble. A former college president and attorney and a specialist in international law study, Bangs has not given up. He took over editorship of the paper about a year ago, making his law practice his avocation. Recently he began attacks on Huntington banks in his newspaper. Local residents said he owed the banks, they were pressing him for loans and he was retaliating. John R. Emly, president of the First State bank, brought charges against Bangs. Six of them alleged criminal libel and the seventh charged slander, asserting that Bangs had circulated verbally false rumors against the bank. Former College President That followed closing of another Huntington bank. Now the two remaining institutions, including the First State bank, are both closed temporarily in a business moratorium. They will reopen if 80 per cent of the depositors of both banks sign a pledge not to withdraw more than a specified percentage of their deposits. Bangs is a former president of Huntington college, a United Brethren supported institution here. Since then he practiced law. Daily he rode a bicycle, carrying his lunch, from his outlying home to his law office. He studied international law in Paris for several years. He took a small son there with him once, and when the child returned here, after two years, he could speak no English.

3. February 27, 1934 The Indianapolis Star Indianapolis, IN

Article Text

Proposal for New Bank Outlined at [Special to The Indianapolis Star.] HUNTINGTON, Ind., Feb. Plans for organization of new bank here and $25,000 surplus, liquidation the First State Bank, institution open the were late today McConaugh of Frankspecial representative state banking department, who will direct Deposits the new bank would be insured The plan would release 50 per restricted deposits the First kept from month month Class state department. Liquidations the First State Bank would entail 100 per cent assessment of stockholders.