Decatur County, Indiana - Chapter 10: Banks and Banking, 1915

Chapter 10: Banks and Banking

The Citizens Bank of Greensburg, a private institution, was established on March i, 1866, by David Lovett, Levi P. Lathrop and Samuel Christy. As a private bank it did a good business and enjoyed the confidence of the public from the very beginning. In November, 1871, it was reorganized under the national bank law and took out a charter as a national bank, under the name of the Citizens National Bank, with a paid-in capital of $100,000.

The first officers of the Citizens National Bank of Greensburg were, David Lovett, president; Levi P. Lathrop, vice-president; Samuel Christy, cashier, and D. W. Lovett, teller. Affairs of the institution have been handled in a careful and business-like manner, from the start, by its efficient officers and directors, and its deposits have shown a steady and normal growth.

Besides paying its regular dividends, the Citizens National Bank has accumulated a surplus fund of $45,000 and has undivided profits amounting to $7,644.52. The institution does a general banking business of discount and deposit and buys and sells United States bonds and other high-class securities. According to its latest statement, this bank's deposits amount to $265,000.

The Citizens National Bank is the oldest existing institution in the county, and is in many respects a financial landmark. Some of the foremost citizens of Decatur county are numbered among its officers and directors, adding to its prestige of seniority the powerful asset of safe and conservative administration.

The present officers of the bank are: James B. Lathrop, president; S. P. Minear, vice-president; C. W. Woodard, cashier, and G. G. Welsh, assistant cashier. Its board of directors consists of James B. Lathrop, S. P. Minear, John H. Christian, C. W. Woodward, John W. Lovett, Louis E. Lathrop and Frank D. Bird.

The Third National Bank

Among the highly successful business institutions of Decatur county, the Third National Bank of Greensburg occupies a leading place. Through the rare business discernment of its officials together with their willingness to extend accommodations in every possible manner the institution has enjoyed a rapid growth and is now recognized as one of the most sturdy and substantial financial institutions of the county.

The bank was organized on December 4, 1882, by John E. Roljbins. Samuel A. Bonner, Thomas M. Hamilton, Abraham Reiter, E. B. Swem, M. L. Miers, Charles ZoUer, Seth Donnell, William Kennedy, E. F. Dyer, James DeArmond, James Hart, Walter W. Bonner and Louis Zoller. The first officers were John E. Robbins. president ; Thomas Hamilton, vicepresident; Cortez Ewing, cashier, and Walter Bonner, bookkeeper. The original directorate was made up of the following: J. E. Robbins, Morgan L. Miers, James Hart, A Reiter, E. B. Swem and Charles Zoller. The bank was capitalized for $50,000.

Cortez Ewing, who had taken an active part in the organization of the institution, served as cashier until his death, four years later; and later successes of the enterprise are largely due to its auspicious beginning under his active direction. Ewing had practiced law, but quit the bar to organize this bank. He is remembered by older citizens as a man of unusual frankness and candor, who despised sham and hated hypocrisy ; who loved equity and was at all times an open and fair-minded citizen.

Walter W. Bonner, who swept out the bank on the day it was opened and has been identified with it ever since, succeeded Ewing at the cashier's window. Two years after its organization the business of the bank had so increased that $25,000 was added to its capital stock. This date, December 16, 1884, marks the real beginning of the growth of the institution - a growth as healthy as it has been unusual.

For years the bank had been paying annual dividends of twenty per cent., but, in spite of the payment of such large returns, on July 8, 1898, the institution had piled up a surplus of $100,000 and had undivided profits amounting to $24,000. On this date a stock dividend of $75,000 was declared, and $75,000 worth of additional stock was sold, which brought the capitalization of the bank to its present figure, $150,000.

Total resources of this institution, according to its latest statement, amount to $760,282.99. Its loans amount to $527,654.05 and its deposits to more than $461,000.

Present officers of the bank are: ^Morgan L. Miers, president; Louis Zoller, vice-president; Walter Bonner, cashier, and George W. Adams, assistant cashier. The teller is Charles J. Dowden, and Cora C. Self, W. E. Koenigkramer and Ernest T. Erdmann are bookkeepers.

Since its organization the Third National Bank has always enjoyed the careful attention of an active board of directors. With the exception of Mr. Miers, all members of the first board are dead. Following are members of the present directorate : Charles Zoller, Frank R. Robbins, Morgan L. Miers, Louis Zoller, John T. Meek, George P. Shoemaker and Walter W. Bonner.

Character, as well as the financial responsibility of borrowers, has alwavs been considered by this institution in credit extensions, and as a result of judicious assistance rendered by this bank at proper times a large number of highly successful Decatur county business organizations owe their present financial rating.

Greensburg National Bank

Although the youngest national bank in Greensburg, the Greensburg National Bank now ranks second in deposits and is growing at a rate that would indicate its assumption of a more commanding position at no distant date. The institution was organized under the national banking law on June i8, 1900, by the following stockholders: Webb Woodfill, Benjamin F. McCoy, J. M. Covert, Harry T. Woodfill, Charles P. Miller, Robert B. Whiteman, Isaac Sefton, George B. Davis, Nelson Mowrey, Cal. Crew, Marshall Grover, John M. Bright, Oliver Deem, Joseph B. Kitchin, James M. Woodfill, Will H. Robins, Will C. Pulse, Elizabeth A. Hamilton, John W. Deem, David A. Myers, Max Dalmbert, Blanche McLaughlin and Mary McLaughlin.

The bank's original capital stock was $50,000, but in 1906 its business had increased to such an extent that the capitalization was raised to $75,000. First officers of the institution were James M. Woodfill, president; Will H. Robbins, vice-president; Joseph B. Kitchin, cashier, and Dan S. ' Perry, assistant cashier.

Deposits of the Greensburg National Bank, according to its latest financial statement, were $310,938.49 and its surplus and undivided profits amounted to $31,399.43. The present officers of the bank are James M. Woodfill, president; Will H. Robbins, vice-president; Dan S. Perry, cashier, and Robert Woodfill, assistant cashier, succeeding A. J. Lowe.

Westport National Bank

Incorporators of the Ijank capitalized it at $30,000. Its deposits amount to $150,000 and its surplus to more than $10,000. The bank is doing a flourishing- business and filling a long-felt want in the \-icinity of \\'estport.

Clarksburg State Bank

The Clarksburg State Bank, one of the youngest financial institutions of the ciiunty was organized in October, 1904, by W. G. Gemmill, Everett Hamilton, C. \'. Spencer, J. X. Aloore, C. M. Beall, S. McCay, E .S. Fee, Leroy Dobyns and W. J. Kincaid. The bank's capital stock was fixed at $25,000. Its first officers were Everett Hamilton, president ; W. J. Kincaid, vice-president ; W. J. Gemmill, cashier. Since its organization, it has paid fair dividends, laid by- a surplus of $16,000 and its deposits have mounted to $96,000. The institution owns the building it occupies. Its present officers are : Charles V. Spencer, president: W. J. Kincaid, vice-president, and A. T. Brock, cashier.

The youngest bank of the county is the State Bank of Alert, which came into being on November 13, 1914. Though still too young to have a surplus, its deposits have reached the tidy sum of $35,000, and the outlook for the institution is most encouraging. Incorporators of the bank were : John \V. Spears, Thomas J. Norton, John H. Deniston. George A. Beesley, James D. Anderson, Samuel Kelly and James W. Casson. John W. Spears is president of the institution; Thomas J. Norton, vice-president, and Claud F. Tyner, cashier. This bank owns the building it occupies.

The St. Paul Bank

The concern is capitalized at $10,000 and does a general banking business. According to its latest statement its deposits exceed $100,000 and its undivided profits are more than $1,000. The bank occupies its own building. Orlando Hungerford is president of the institution; Walter Hungerford, cashier, and Dora Hungerford, assistant cashier.

Newpoint State Bank

Organization of the bank at Newpoint was effected on October 22, 1906, when it was incorporated with a capitalization of $25,000 and a building, costing $3,500, was purchased. The first officers were J. J. Puttman, president; John Hoff, vice-president, and E. H. Spellman, cashier. The deposits of the institution exceed $100,000 and it has a surplus of $3,500. Its present officers are : John Hoff, president ; John A. Meyer, vice-president, and George A. Redelman, cashier.

Burney State Bank

Recognizing the need of some sort of financial institution to care for the needs of farmers, business men and others in that part of Clay township, William Smiley and six other progressive citizens of the township incorporated the Burney State Bank on December 22, 191 3. Its original capital was $25,000. Since its incorporation the bank has increased its deposits to $80,000 and a surplus amounting to $200 has been laid aside. The first officers, who are still serving, are William G. Smiley, president; John W. Corya, vice-president, and Huber C. Moore, cashier. These officers, John G. Gartin, W. F. McCullough, A. E. Howe, L. P. V. Williams and others, were incorporators of the institution.

Greensburg Building And Loan Association

The Greensburg Building and Loan Association, organized for the encouragement of money-saving and home-building, in March, 1896, now has more than five hundred members and occupies a very important position in the improvement of the municipality. Stock of the institution, subscribed and in force, amounts to $416,700. The par value of each share, when matured, is $100.

Interest at the rate of six and one-half per cent, is charged borrowers, and the annual tlividend of the association has never been less than six per cent. The plan of the institution is permanent. Dividends are paid semiannually, in January and July. According to the latest statement of the association, deposits amount to $18.2,624.34. and there is a surplus of $5,117.22.

The original capitalization of the association was $100,000, but this has since been increased to $500,000. The incorporators were : John F. Childs, H. J. Hamon, h>ank E. Gavin, Walter W. Bonner, P. T. Lambert and Charles Zoller, Jr. Upon organization, Mr. Childs was made president, Air. Gavin, vice-president; Mr. Zoller, secretary; Mr. Bonner, treasurer, and P. T. Lambert, solicitor. These officers, with T. H. Stevenson and George P. Shoemaker, comprised the original board of directors.

Present officials of the association are: W. C. Woodfill, president; George P. Shoemaker, vice-president; Charles Zoller, secretary; Walter W. Bonner, treasurer, and P. T. Lambert, solicitor. Other members of the present board of directors are Robert Xaegel and Louis Zoller.

The Union Trust Company

The Union Trust Company of Greensburg, although one of the youngest, ranks second in amount of deposits among the financial institutions of the county. It secured its charter on October 25, 1905, and opened for business on the north side of the public square on January 30, of the following year.

The original capitalization of the company was $45,000, which has never been increased. Its total deposits, according to its latest statement, were $374,547.62, and its surplus was $33,750. The original stockholders were almost without exception owners of stock in other Greensburg banks, who saw the need of a trust company in the cit)- and preferred to organize it themselves, rather than permit outsiders to do so. Like other organizations of this kind the company serves as guardian, trustee and administrator; but is not a depository for puj^lic funds. It speciahzes in farm mortgages, its latest statement showing more than $260,000, loaned upon this kind of real estate.

Present officers of the institution are: John H. Christian, president; Louis Zoller, vice-president, and Harrington Boyd, secretary-treasurer.

The Workingmen's Building and Loan Association, the oldest institution of this character in Decatur county, was founded in April, 1883, by the following: I. F. Warriner, president; C. W. Harvey, vice-president; F. P. Monfort, secretary; James E. Mendenhall, solicitor; O. P. Schriver, Tom Brown, Robert Naegel, D. C. Elder, John B. Montgomery, Adam Stegmaier and F. E. Gavin. Warriner, Harvey, Brown, Elder, Montgomery and Stegmaier have since died.

Founded for the. purpose of assisting laboring men, and those working for small salaries, to secure comfortable homes for themselves, the association has been a strong factor in the development of Greensburg. More than three hundred homes, most of them on the west side of the city, have been erected with money borrowed of this institution.

The organization is capitalized at a half million dollars and more than $200,000 in stock already has been taken by depositors, looking forward to the time when they should be able to build their own homes. The association has more than two hundred depositors and half as many borrowers.

Present officers and directors of the association are : A. C. Rupp, president; C. P. Corbett, vice-president; David A. Myers, secretary, J. B. Kitchin, Web Woodfill, Daniel S. Perry, H. L. Wittenberg, Edward Dille, August Goyert, Eugene Rankin and Charles S. Williams.

St. Paul Building Association

The St. Paul Building Association was incorporated on February 13, 1886, and was capitalized for $50,000. It now has ninety-one investing members and fifty-three borrowing members. The amount of capital stock now subscribed and in force is $76,100. Par value of shares is $100. Borrowers are charged six and one-half per cent, interest, but no premium is exacted. The annual dividend declared in 19 14 was six per cent. Total receipts for 1914, from all sources, according to the annual report, were $33,- 908.02. Assets, in cash and loans; amounted to the same.

Not one dollar has ever been lost by depositors through failure of a Decatur county bank. But one institution has ever closed its doors through failure; and in this instance, stockholders paid off the obligations of the institution within fifteen days. This bank closed its doors on September 2, 1897, and the money was ready with which to pay depositors in full on September 17; the speediest liquidation ever known, according to the declarations of Federal banking authorities at the time.

The bank in question was the First National Bank, which was organized as a private institution in 1857, under the name of the Greensburg Bank. In December, 1863. it was reorganized as a national bank with Antrim R. Forsythe as president. The capital stock was $50,000. This was later increased to $100,000, and then to $150,000.

Upon the death of Antrim R. Forsythe, his son, E. R. Forsythe, succeeded him in management of the institution. Not possessing the business acumen of his father, the son permitted the bank to back hazardous enterprises and its affairs became badly involved. The concern had been hard hit some years before, through the disastrous failure of Armel & Company, packers, and was in no condition to withstand additional financial drains.

Deposits of the institution in 1881 amounted to $205,126.80, according to the annual- statement for that year. The last statement of the bank, made on July 23, 1897, showed that deposits had dwindled to $84,000. When the (20) .

bank suspended, four of its directors, as individuals, negotiated loans with the two other banks of Greensburg and paid off the depositors in full. These four directors who lost eighty-five per cent, of their capital stock, but who felt under obligation to make full and immediate settlements with the institution's dospitors were : Nelson Mowrey, William Hamilton, Robert S. Meek and Louis Willey.