Farmers State Bank (Lamoni, IA)

Episode Information

Episode UID
9916596791500
Episode Type
Suspension → Closure
Bank Type
state
Bank ID
991659679 hash
Start Date
December 20, 1924
Location
Lamoni, Iowa (40.623, -93.934)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
e817066263ea8ac3

Response Measures

None

Events (1)
1. December 20, 1924 Suspension
Cause
Government Action
Cause Details
State bank examiners visited, demanded a large sum of cash to cover bad paper and frozen assets; bank unable to meet demand and was closed and placed in hands of the state banking department.
Newspaper Excerpt
a notice was posted on the door reading This bank temporarily closed by order of the board of directors.
Source
newspapers

Newspaper Articles (2)
1. December 25, 1924 Mt. Ayr Journal Mount Ayr, IA
Article from Mt. Ayr Journal, December 25, 1924

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Article Text

Two Banks Closed In Decatur County There was considerable excitement in Leon last Saturday morning when instead of the Farmers & Traders State bank opening for business at 9 o'clock, a notice was posted on the door reading "This bank temporarily closed by order of the board of directors." Inquiry disclosed that the previous day the state bank examiners had visited the Farmers State Bank at Lamoni the stock of which is mostly owned by Fred, Bert and Orra Teale, and demanded that a big sum of cash be immediately placed in the bank to cover a lot of bad paper and frozen assets, and they were unable to meet the demand, so the bank was closed and placed in the hands of the state banking department. Knowing that when this became known it would cause a run to be made on the Farmers & Traders bank of Leon, which would probably force them to close, the directors decided not to open the bank, and later in the day a second notice was posted on the door, stating the bank was in the hands of the state banking department, and had been closed, being signed by N. A. Buck, examiner in charge. The examiner and assistants are now checking up the business, and until they complete their work no definite statement of the condition of the banks can be made, but it is hoped that the assets will enable the depositors to recover a fair proportion of their money. The Farmers & Traders Bank has been considered one of the strong banks of southern Iowa, but the Teales and Van Werdens were heavy stockholders in the C. S. Stearns bank at Garden Grove, which was closed some time ago and were called upon for a big assessment on their stock, and with a lot of frozen assets there was nothing left for them to do but close the bank at Leon. The last bank statement published at the close of business on September 29, 1924, showed they had a capital stock of $100,000, $5,000 surplus, the total resources being given as $582,507.53. The deposits at that time amounted to a total of $423,367.83, of which amount $149,302.31 was individual or checking accounts, and $274,018.30 time deposits. The officers of the bank are: Fred Teale, president; Helen R. Van Werden and Jas. F. Harvey, vice presidents; and Bob Teale, cashier. The Farmers Bank at Lamoni in their statement of the same date showed a capital stock of $25,000 and surplus $9,421. Their total resources were given as $306,920.31, and the total deposits were $244,082.07. Bert Teale is president, E. B. Teale vice president and Orra Teale cashier of this bank. The closing of these banks at a time when a great many people will be seriously inconvenienced, as many had money on deposit to meet interest taxes and rents, and others had all of their money in the bank. It is hoped that arrangements can be made soon to pay a dividend to the depositors so as to relieve their distress. Considerable sums of county, school and city funds are on deposit in these banks, and under the court rulings they will be preferred claims. The Iowa Supreme Court last Friday held that this ruling as to county school and other special funds does not apply to national banks, as they are operated under national supervision, and state rulings does not apply to them. The closing of the Farmers and Traders State Bank made things pretty lively at the Exchange National Bank in Leon, but they were prepared for such an emergency, and had a large amount of ready cash available in Des Moines and Chicago banks, and while the force was pretty nearly swamped Saturday and Monday, by Tuesday business was running normally again. A few people drew their money from the Exchange Bank Saturday and most of them brought it back to deposit again Monday, when they found it was safer there than for them to carry it around or hide it some place to be stolen. The people of Leon and vicinity expressed their confidence in the bank, merchants and others making deposits as usual, and more money has been deposited in the bank since last Saturday morning than has been withdrawn. The bank issued a statement showing their condition at the close of business Friday evening, which showed they did not have a dollar of money borrowed from any bank, did not have any notes rediscounted, and over $97,000 cash on hand and on deposit in Des Moines and Chicago banks which was available at once. In addition to this telegrams and letters were received from Des Moines and Chicago banks, stating that they were ready to supply any amount of cash needed in case of a run on the bank, but fortunately none was needed. Leon Reporter.

2. March 20, 1925 Adams County Free Press Corning, IA
Article from Adams County Free Press, March 20, 1925

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Article Text

NEIGHBORHOOD NEWS. of and Mrs. Howard Augustine of Adair county was drowned in water tank. There are candidates for mayor of Creston being Ed Keith, R. Rhine. Adam Pickett and M. L. Burt. Mr. Burt is said to be the Klan candidate. The city finances of Clarinda has balance of $41,782.71 on hands and ev. fund has on the right side of the ledger, even the band fund has Not every place did the voters take as Interest in the school election as did the Corning voters. At Corydon only 102 votes were cast and for direcfor they elected F. Roberts (male) over Mrs. A. Hayes (female) by vote of 50 to In the case of Floyd Collier vs, Dr. D. H. Killingsworth tried at Clarinda, the shit being for $50,000 damages be; cause of medical attention that WAS given an injured of the plaintiff being defective. Judge Peters after hearing the evidence of the plaintiff. directed verdiet in favor of the defendant and the thise was dismissed. Leon past week some slick ment peddlers were in Leon and canvasted the residence district. selling the good what they claimed were real honest to goodness country cured boneless hams, and they disposed them. And now we hear that the cured. smoked with bickory chips in simply packing house hams which were disposed of at fancy price. Corydon Iown SouthUtilities Company has for damages resulting from the death Thomas Ishmael. who lost his life at Allerton on February Sth by electrocution. Ishmael's estate will $5,000. Frank S. Payne of Cenrepresenting the Iown South- Utilities Company. was in Corydon Monday completing arrangements for sfon light wire belonging to the Iowa Southern Utilities Co. fell and came in contact with the wiring in Mr. 1shhe attempted to turn on light in the building. An income of about $500 month during the winter from flock of 670 white Leghorn chickens is the boast of Jusper llaines who lives near Centerlieres he has the largest individual chicken house in the state. It is 100 feet wide, and in the middle is two stories high basement The in the basement. Two stoves. one each end of the house. supply the heat. The hen house is electrically lighted and Haines turns on fhe lights at o'elock in the morning. The chickens are-permitted to go to roost at o'clock at ulght. The result of all this care during January produced 11.275 Clarinda Herald-The agitation of churches to have minors excluded from duile balls and have the dances supervised has resulted in the city's latest ordinance passed Tuesday evening at the regular meeting for March. Provision is made for lon but the age limit is fixed nt 17. 1111less the boy girl Is by patent or legal guardian Under the dinance the nia,yor is given authority to regulate all dance balls and skating for supervisor who has. been approved the mayor this the powers cause the expulsion from the ball of anyone under the limit or who are in the ordinance by the prospective of fine and Imprisonment upon of violation. congressman, W. K. Evans, has returned to Corydon and ident of Iown, after serving the Eighth congressional district during the unex pired term of H. M. Towner, Mr. Evans by all political deeeney was entitled to others thought otherwise and Judge Evans refused to enter contest for and he down and out and back old where again engaged in the practice of law. In speaking of Itis return to Corydon the Democrat says: "Hon. and Mrs. H. Evans returned the last of the week from Washington, D. C., where they bad been for months_while Mr. Evans completed his term of fuithful service as representative in congress from the Eighth Iown district. Mr. Evans will now devote his entire attention to the practice of law as member of the firm of Evans Garrett." Gravity Independent-Ir Page comty District Court, Tuesday, Beckner of Clarinda, won the court declsdon in case for damage brought by Blanche Davis, of Creston. Beckner was being sued for darunge result of the automobile accident, southwest when the Beckner car crashed into the cur driven by Duvls at blind railway crosing, short distance northeast and his three sons badly injured. At tempts to settle the matter out of court were made at various times since the accident. all of which have resulted in trial Tuesday. at Clarinda. Johnston Bone, Creston lawyers. appeared for Mrs. Davis. white the defense was directed by Stipe. Clarinda. After the witnesses for the the for the defense entered motion for claiming that the Hsh case for damage. susmotion and for the defense was given. Cundy. freshman nt college and son Mr. and Mrs. F. L. Cundy of their annual Who" election ns assistant varsity sheik and third best looking man. The election was held Inst Monday and the returns just announced, and the unique thing about Mr. Cundy's positions are that It is seldom freshman is menHoned nt all in the votes. Mr. Cundy has also just completed singing In three music revitals in three days. His voice is expected to replace the baritone of Bushnell North in both the glee elub and the When graduated last rear from Parsous his loss was felt keenly in inusical circles. in his prime. Besides being popular with music tovers and his classmates. Cundy has reputation as an earnest student. He was elected president of his freshman literary society when first organized choosing-ten couples to dance the minnet In the Washington party given annually by the Seniors, Cundy was one of the ten boys chosen out of 450 students. Villisen McClelland of Corning has been working here during the Inst several making the pro liminary survey for the new sewer sys. tem which the city council contemplating for the west part of Villisea: Mr. McClelland states be expects to complete the work this week, pre paratory to making the maps. R. N. Willett was here Wednesday 111ternoon on his way to his home Nodaway after spending the winter by Fairhope. Alabama. On his return trip Mr. Willett lost his overent and of his sultenses of clothes which were stolen from his in the sleepUng ear while he was in the dining CRE fuches tall. flowers were in bloom and other similarly advanced when he left H. Piper and S. A. Mathews returned home Sunday from Murdo, S. where they went to look a farm which Mr. Piper sold three years age contract. $15,000 still remaining unpaid. Piper bus deeded to Mr. and turned over to him the contract mentioned above. the former taking ns payment for same the Mathews SQuare farm five $5,000 In eash. Mr. Pher gets immediate possession of the S0 aeres. Orra Teale, eashier of the Farmers long penitentiary sentence before him: He banker who receive punishment. The Leon Reporter gives the following necount of his sentence: Wednesday evening just before court IPT of the Farmers State Bank at 1.amoni. appeared in court and entered tions filed by the county attorney twelve for forgery and one for making false entries on the bank's books. and asked that sentence be passed. Judge proceeded to sentence Mr. Teale to indeterminate term of not exceed ten hard labor in the penitentiary at F1. Madison, on each the of and on the charge of making false entries term of not to exceed five years. and that he thing $5,000.00 This was the maximum punishment which the law provides and the sentences are Pun concurrent. The court also orderplained that the bank receiver desired Mr. Teale to assist him for few days NaOmaha evaded the law for almost TWO years. nois the voluntarily week, surrendered himself to the and stated that wanted plead entity to the charge of transporting inThe charge upon which he roe county grand dury. am tired of dodging officers," he told officials. "and want to get this thing all fixed He appeared before Justice of the Peace E. B. Morris, Inst Thursday nfternoon, where be pleaded guilty to the charge. The Squire fixed the fine at their $100 and costs (the for this offense) and when young Grant had informed the Justice that he had no funds with which to was given the necessary papers and of his own free will went to the county jull asking admission. wishes were plied with and the next be will keep company with his brother. Walter, is "laying out" $1,000 time for liquor law violation. Napler in 1923 to and drew $500 fitter On May 1923 his car was siezed nt Melrose laden with booze and charges were lodged against Grant. He escaped from the the officers since has been jump or two ahead of the law. Leaving here he joined the DAVY, but was Inter discharged from the fedcral service, and since that time has devoted his the cers. tired of he said, and want to serve get this thing all fixed Winterset W. Will kinson. life long citizen of Winterset and oldest member the Winterset Dar, died of at his home Court Avenue Friday at 1:30 after an illness few hours. Judge Wilkinson. as was his custom for many years, went to his law office business houses were open. Miss Cora Henry, his stenographer. arrived at the office at eight o'clock and found him on couch in the library suffering from an attack of at once called his daughter, Lina. and also Dr. Davisson. Judge Wilkinson was taken house-and fell into deep sleep. At Miss Linn. who is trained nurse, found him sleeping quietly and his pulse was strong. Ten minutes afterward she entered the room and found he had passed away. The news of his sudden death startled the town and county and was learned with profound sorrow regret. The Judge was probably the oldest native born citizen of Madison county. His 1847 and he was born in Scott township in November, 1848. He was one of family of ten children. He attended school in Winterset and was admitted to the har in 1872 He spent year two California and opened an office in Winterset in 1875. He had good practice from the start and was elected district attorney in 1882, He was elected district judge in 1886 and served sixteen years with great ability. declining renomination. Since that time he has practiced law continually with his son. partner.