Peoples State Bank (Topeka, KS)

Episode Information

Episode UID
83111371524
Episode Type
Suspension → Closure
Bank Type
state
Bank ID
8311137 routing
Routing Number
83-1113
Start Date
December 3, 1926
Location
Topeka, Kansas (39.048, -95.678)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
ed6943fbd68cfd3e

Response Measures

None

Description

Articles report state banking department took charge and describe the bank as closed with hopes for reorganization but later coverage implies failure; final disposition not fully documented here.

Events (1)
1. December 3, 1926 Suspension
Cause
Government Action
Cause Details
Bank officers requested the state banking department take charge; state bank commissioner directed deputies to assist; bank was closed and placed under state supervision.
Newspaper Excerpt
Topeka, Kan., Dec. 3.—(AP)—...the People's State Bank asked the state banking department to take charge of its affairs.
Source
newspapers

Newspaper Articles (5)
1. December 4, 1926 Jefferson City Tribune Jefferson City, MO
Article from Jefferson City Tribune, December 4, 1926

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Article Text

THE NOTE WAS FOR $18,340 Paper of Nixon Farm Loan Company Also Found in the Institution. (International News Service.) KANSAS CITY, Mo., Dec. 4.—"I am under oath of secrecy and cannot discuss the transactions of our customers." This was the statement of P. E. Laughlin, president of the closed Federal Trust Company here when asked today to comment with reference to reports about the notes of Carl J. Peterson, former Kansas City bank commissioner, Charles U. Becker, Missouri secretary of state and others alleged to have been held by the bank. A note for $18,340 has been found among the Federal Bank's assets signed by Charles U. Becker, according to investigators. Paper of the Nixon Farm Loan company of Boonville, Mo., which recently failed and other unsecured notes have been found it was said by investigators who have filed the reports with the Jackson County Recorder's office. The People's State Bank of Topeka will not open for business today, according to reports from the Kansas Capital. R. L. Bone, state banking commissioner has charge of the institution. Carl J. Peterson owned ten shares of the bank stock. It was said however the closing of the Topeka Bank was not directly as a result of the closing of the Federal Trust Bank. A note for $29,000 unsecured by the Topeka institution has been found in the Federal Bank assets.

2. December 4, 1926 Joplin Globe Joplin, MO
Article from Joplin Globe, December 4, 1926

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Article Text

BANK AT TOPEKA CLOSES ITS DOORS HOPE FOR REORGANIZATION EXPRESSED BY OFFICERS OF DEPOSITORY. Topeka, Kan., Dec. 3.—(AP)—The capital city experienced today the first closing of a bank in twenty-one years when the People's State Bank asked the state banking department to take charge of its affairs. Hope for reorganization was expressed tonight by officers of the bank. Roy L. Bone, state bank commissioner, directed N. R. Oberwortmann, deputy bank commissioner, to assist officers and directors in efforts to reopen the institution without loss to depositors. The records in the state banking department show that Carl J. Peterson, who was bank commissioner in the administration of Governor Davis, owns ten shares of the bank's capital stock, which totaled $10,000. S. S. Irwin, who was pardon attorney in Governor Davis' administration, was one of the directors. Deposits totaled $168,000. There was a surplus of $5,500. The institution operated under the guaranty law. Reports that more than half the deposits were city of Topeka funds, could not be verified because the city treasurer was away to attend a funeral. Shawnee county had $3,000 deposited in the bank, according to Tom Boyd, county treasurer.

3. December 4, 1926 Sapulpa Herald Sapulpa, OK
Article from Sapulpa Herald, December 4, 1926

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Article Text

Sport Summary NEW YORK.—The world's foremost stars will serve up the appetizer for New York's forty first international six day bike race, with a series of spring races at Madison Square Garden tonight. The long race starts tomorrow night. ORANGE, Tex.—"Kid" Carlin, of New Orleans, and "Kid" Lencho of San Antonio will box here on December 10, for the southern bantamweight championship, it was announced here today. HARD TO MEET PAYROLL TOPEKA, Kans., Dec. 4.—Difficulty in meeting the monthly payroll was expected by the City of Topeka following the closing of the People's State bank here. The city had $86,000 on deposit in the institution, it was disclosed. It was Topeka's first bank failure in 20 years. NEW BOOKS AT THE LIBRARY "The Book of the United States," by Singmaster is foremostly entertaining. It is the fascinating story of the building and growth of our country. While it is not a history it is highly instructive and is recommended to school children of all ages. "The Toy Shop", by Maud Lindsay reminds one that the Christmas season is approaching. A lovely little old lady owns this toy shop and there is different story for every toy. Small children will love this book. In the children's room several attractive magazines invite the young patrons to spend an hour in this quite atmosphere. For the very little folks there is "The John Martin's Magazine" with many little games, funny pictures; short verses and easy stories in large print. "The Child Life" is especially attractive to girls, having interesting stories, cooking recipes and how to make things, all accompanied by beautiful illustrations. For the boys there is "The American Boy" full of wholesome tales of adventure, and "The Boys' Life," the official organ of the Boy Scouts of America. Among the new books received by the adult department 'Cherry Square' by Grace S. Richmond promises to be one of the most popular. By the author of "Red Pepper Burns" it seems to even surpass her former book in glowing romance, and heart-stirring enchantment. Interesting to men and women alike. In "Out of the Clay," by Harriet T. Comstock we have the old problem of divorce, presenting an entirely new phase. The question "What becomes of the children of divorced parents" is answered in this most moving novel. Saturday afternoon at 3 o'clock all the youngsters of the city are invited to come to the library and enjoy an hour of story telling and hear the plans that are under way for a "Christmas Story Hour Party."

4. December 5, 1926 Wichita Falls Times Wichita Falls, TX
Article from Wichita Falls Times, December 5, 1926

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Article Text

BANK IN MISSOURI CLOSES AFTER RUN City of Topeka, Kan., Is Heavy Loser Result Closing Of Bank in That City FULTON, Mo., Dec. 4. (AP) — The board of directors of the Southern bank of Fulton, which yesterday and late Thursday experienced a run, today closed the bank temporarily and notified S. L. Cantley, state finance commissioner, to take charge. Officials Are Borrowers TOPEKA, Kan., Dec. 4. (AP)—Half of the $168,000 deposits in the Peoples State bank here, which closed yesterday, belonged to the city of Topeka, the state banking department announced today. None of the public funds were protected by surety bond, because the bank operated under the depositors' guaranty law. However, the state guaranty fund has been declared insolvent by the supreme court. Results of efforts at reorganization were not made public. Records in the state banking department revealed today that Carl J. Peterson, former bank commissioner, had an overdraft last June of $1946. Peterson also owed the bank $2150 on a personal note. Mrs. Peterson, the records showed, had overdrawn her checking account $200. Peterson owns 10 shares of the bank's capital stock. The banking department did not make public the status of the Peterson accounts at the time of the closing. No Evidence Irregularities No evidence of any unlawful irregularities in the management of the bank has been revealed by the state examiners, Roy L. Bone, state bank commissioner, declared today. "There probably will be some losses," Mr. Bone said. The banking department has records showing that the following persons had borrowed from the bank between June 11 and the date of closing: Jonathan M. Davis, former governor, $2250. John Barrett, Topeka, formerly treasurer of the Democratic state central committee, $1110. J. R. Coffey, cashier of the bank, $1650. M. D. Reinhardt, a director of the bank, $900. E. S. Simmons, also a director, $1700. S. S. Irwin, also a director and

5. January 7, 1927 Kansas State Bugle Emporia, KS
Article from Kansas State Bugle, January 7, 1927

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Article Text

Entered as second class matter May 12, 1919, at the postoffice at Emporia, Kansas, under the act of congress, March 3, 1879 Published Every Friday at Emporia, Kansas, by E. J. Garner, Editor Business Office—613½ Commercial Street Subscription - - $1.50 If war is declared in Mexico let the Knights of Columbus take the lead. As we look at it, that is really their family row. Nineteen banks failed in Iowa in one day during these prosperous times and not one of them belonged to Carl Peterson.—Holton Signal. Down in Missouri quite a political struggle is on to select a woman as "speaker of the house" and if they succeed they will "have nothing on us" for a woman has been speaker of our house for more than forty years. The recent two million dollar appropriation by congress to the national agricultural board ought to very materially assist Secretary Jardine in his efforts to find out if bees are color-blind. Let his research for immediate farm relief continue unabated. Capt. M. G. Stevens reports to the American Society For The Promotion of Aviation that commercial aviation only accounts for eight killed last year while those kicked to death by the Missouri mule number 80---or ten times the number killed in airplane accidents. countants and bank receivers sure have a fine way of making extended researches into public and private records. Co-Operative Marketing properly functioning will eradicate a multitude of problems the actual farmer has to contend with. Of course the middlemen will fight any change that would effect the old system through which the speculators have for so long "feathered their nests." Let the growers stand firm and pat in their demands for real farm relief in the way of compulsory marketing legislation. The bank failures and consolidations continue in a decidedly numerical quantity weekly notwithstanding that Carl J. Peterson is not charged with owning stock in the failed or about to fail institutions. Just because Peterson happened to own a measly thousand dollars stock in the recently failed Peoples Bank in Topeka, every subsidized newspaper and jack-leg political tool of the big interests literally climbed all over the Ex-Bank Commissioner.