Fillmore County, Minnesota - Chapter with an unread heading (no. 28 of those read), 1912

Banks And Banking

Financial History of Fillmore County - The Early Banks of Easton and His Partners - Many Old Banks Still in Existence - Story of the Starting, Growth, Progress and Standing of the Present Banks - Edited by M. Scanlan.

The first effort of the pioneer was to secure his location and to there erect a habitation. The question of livelihood was one of immediate importance and no sooner was the pioneer and his family provided with a place to live, however poor or temporary, than he began to break the ground for erops. Mills for grinding the grain and sawing lumber were also an early necessity, and ag there were many articles of daily need which the soil did not produee, the establishment of general stores could not long be delayed. But even in the most primitive community money is a vital need. The money lenders followed fast in the footsteps of the pioneer. Before long it became apparent that there must be some sort of an institution of financial exchange. Private banks were usually established as an adjunct of some other business. Some continued for a few years only, but others grad-: ually assumed the importance of national or state institutions. This to a large extent ig true of the early history of Fillmore county. Today the county is on a sound financial basis and the prosperity of the community is shown by the financial statements of the various banks which handle the moncy of the people at large. The eounty now has twenty-one banks, six of these being national banks and fifteen of them being state banks. They are:

National: First National Bank of Chatfield, First National Bank of Preston, First National Bank of Spring Valley, First National Bank of Rushford, First National Bank of Mabel and the First National Bank of Harmony.

State: First State Bank of Chatfield, State Bank of Lanesboro, Seanlan-Habberstad State Bank of Lanesboro, Rushford State Bank, Peterson State Bank, State Bank of Mabel, First State Bank of Canton, First State Bank o! Fountain, Exchange State Bank of Wykoff, First State Bank of Wykoff, First State Bank of Spring Valley, Ostrander State Bank, Farmers' & Mer-

The First Bank. Gilbert & Easton commenced the banking business in Chatfield November 25, 1856. W. A. Gilbert was a wmember of congress from northern New York at that time and J.C, Easton was the resident member of the firm, having recently removed to Minnesota from New York. Mr. Gilbert withdrew from the firm after a year or two and the business was continued by Mr, Easton as a private bank until 1888, doing business during this period under the name of Root River Bank. It was the first bank doing business in southern Minnesota, except perhaps a private bank in Winona (which was later merged in the First National Bank of that city), and one of the very first in the entire state. My. Easton established a number of banks throughout southern Minnesota, at Caledonia, Rushford, Lanesboro, Spring Valley, Owatonna, Austin and Winnebago City, all of which were successfully conducted under his supervision for a long period of years. During this period from 1856 until 1883 he resided in Chatfield. Mr. Easton sold the Root River Bank to George J. Haven, a merchant of Chatfield, in 1888, and ihe business was continued by Mr. Haven under the same name (Root River Bank) until June 20, 1905, when it was incorporated as First State Bank of Chatfield, with G. H. Haven, president; Levi Bemis, vice-president, and S. B, Bibbins, cashier; these officers, with E. G. Bolles and G. A. Haven constituting the first board of directors. G. A. Haven became cashier October 1, 1905, and with the president G. H. Haven continues in the active management of the bank. Mr. Bemis, upon his decease in August, 1910, was sueceeded by Ensign G. Bolles, the present vice-president. H. Fairbank was elected a director. The present board of directors are G. II. Haven, E. G. Bolles, 8. B. Bibbins, G. A, Haven and H. Fairbank.

The policy of the bank is conservative, seeking first of all to protect its depositors and stockholders from all possible loss. That this policy has been successfully carried out is evidenced by the fact that during the nearly fifty-six years of its continuous existence, first as Root River Bank and later as First State Bank of Chatfield, no depositor has ever lost a dollar entrusted to its care or ever asked for the money due him without receiving il.

The Root River Bank first occupied the building on the west corner of Main and Fourth streets, a one-story frame structure, removing in 1870 to the two-story brick building corner Main and Third streets now occupied by First State Bank. So that during the nearly fifty-six years of its life it has had but one change of management. The present building was purchased by the bank in 1907 from J. C. Easton's estate and entirely rebuilt and refitted with modern fittings and appliances.

The Rushford State Bank began business on March 7, 1867, as a private bank under the name of Bank of Rushford. The owners were Niles Carpenter and J. C. Easton, and the firm name was Carpenter & Easton. Previous to this Mr. Carpenter was auditor of Iitimore county and Mr. Easton was a capitalist and owner of several banks in Fillmore county. On November 21, 1872, George G. Stevens, of Rushford, pwrehased Mr. Easton's interest in the bank and the firm name became Carpenter & Stevens. Mr. Stevens was one of the early settlers of Rushford and owned the present business part of the town. The bank continned under this ownership until January 18, 1897, when they associated with them John Roberton, of Winona county, and Fred A. Olson, of Rushford, under the firm name of Carpenter, Stevens & Co. On November 29, 1901, Niles Carpenter sold his interest in the bank to George G. Stevens and the business was continued by Stevens, Roberton & Co. until John Roberton died and his son, James G. Roberton, and his brother, William Roberton, also M. A. Maland, became the new owners as Stevens, Roberton, Maland & Co. This was soon destined to be changed again, this time by the death of G. G. Stevens, which occurred Mareh 16, 1908, and the remaining partners continued as Roberton, Maland, Olson & Co., until they incorporated as a state bank under the name of Rushford State Bank, which was done July 17, 1906. The officers, directors and stockholders were elected then and are now as follows: Win. Roberton, president ; M. A. Maland, vice-president ; J. G. Roberton, vice-president; F. A. Olson, cashier.

The general policy of this institution is prompt and careful attention to all business entrusted to it, no matter whether large or small. With ample capital and surplus it is in a position to

When it began business in 1867 it occupied and owned its building where the Presbyterian church is now located, and ten years later purchased and occupied the present stone building which has been remodeled at different times to meet the demands of a growing business.

The Exchange State Bank of Wykoff was started as a private bank in the year 1880 by L. G. Kilborn, under the name of Exehange Bank of Wykoff, and occupied a small lean-to building in the center of the main business block. In the fall of 1887 L. G. Kilborn sold out his business to Fred Wendorf, who was at that time blacksmithing and selling farm machinery. Fred Wendorf then continued the business at the old stand until the fall of 1894, when he mored into a new and modern briek building, built in the sane bloek by Mr. Wendorf, with a large and comodious vault for the better accommodation of the business which had outgrown its former location. On the morning of Mareh 28, 1895, fire swept over and consumed the entire business bloek, with the exception of the new bank building, which had been completed and occupied only a few months, leaving it with ils roof burned off, the only building remaining in the block. Durimg the summer of the same year, 1895, the business block was rebuilt of brick, Fred Wendorf, banker, advancing the money necessary to carry on the construction of same, until its completion. At one time during this period about £20,000 was necessary to carry ou the good work. On March 21, 1908, in accordance with a state Jaw which had been passed prohibiting private banks in this state, the above named institution was organized into a state bank, with $15,000 capital stock, and twenty-one stockholders as organizers, as follows: Fred Wendorf, Otto A. Wendorf, John Wendorf, August Derenthal, A. F. Erdman, E. Erdman, C. J. Spies. D. C. Green, John L. Froehlich, John Lottes, Wm. 8. Kidd, Dr. J. T. Dunn, Fred Evers, Louis Kidd, Fred Woltman, M. Egleston, Osmond Brakke, M. F. Flanagan, O. M. Rowley, A. F. Sehroeder, E. L. Behring.

Since the organization of the bank the following stockholders have been added to the above list: Phil. Hoffman, C. V. Hoffman, Hedwig Affeldt, Will Hahn, E. G. Jeche, Cory Means, EB. A. Erdman, Gust. Erdman, Wm, E. Gralan, Wim. Schmidt, B. D, Farrington, C. H. Farrington, John Graban, Jr., F. W. Boyer, IH. T. Dutcher, Prof. E. F. Wallman.

At the first meeting of the stockholders Fred Wendorf was chosen as president, August Derenthal as vice-president and Jolin Wendorf as cashier. At the same meeting the following stockholders were elected as directors of said bank: Fred Wendorf,

The above officers and directors have been re-clected eacli year and are siill holding their respective offices, excepting Dr. J. T. Dunn, who, having sold out his practice and moved io Albert Lea, Minn., resigned as a director. Wi. 8S. Kidd has been appointed as a director to fill the vacaney. John Wendorf, cashier, starting in with his father at the age of fifteen years as janitor, assistant bookkeeper and the like, has practically grown up with the business.

In the fall of 1910 the direetors, having the wellfare of their patrons at heart, installed one of the American Bank Protection Company's electric burglar alarms, ilus absolutely insuring their patrons against loss of their funds and valuable papers by burelary. They also have a nest of safety deposit hoxes for rent to customers for the salekeeping of valuable papers, ete., where they are safe against loss by burglary, fire or other causes.

The bank is in a flowishing condition and earning good returns for its stockholders and adding jo its surplus funds each vear, and thus making it a stronger institution each year and safer as they grow older and stronger. The latest financial statement reads as follows:

The policies of the officers and direetors of this bank are to treat its customers fair, to give them an honest deal every time, to look out for their welfare the whole year aronnd, and to provide safety and give them good returus for their earnings.

The First State Bank of Canton was organized and opened up for business as a state bank April 1, 1908, it being the suecessor of the Winnesheik Connty Bank. The incorporators were C. J. Weiser, president of the Winnesheik County State Bank, of Decorah, Ia.; BR. Algver, cashier of said bank, and F. A. Masters, of Canton, Minn.

The first officers of the First State Bank of Canton were C. J. Weiser, president; R. Algyer, vice-president, and F. A. Masters, eashier. Thete has never been any change and these are the present officers and directors of this institution. This bank was organized with a paid up eapital of $10,000 and a surplus of $2,500. In 1911 the surplus was increased to $3,000. | will and confidence of its customers and the people in general. It conducts a general banking business in all its forms, besides collecting rents and taxes, making general collections, writing insurance and doing conveyaneing. The bank and its officers are always ready ad willing to assist in any enterprise which is for the public benefit. The statement which follows, rendered February 20, 1912, shows the healthy and growing condition of this institution.

The State Line Bank of Prosper was incorporated September 20,1911. The first officers were: President, John T. Ask; vicepresident, William Donald; cashier, G.O. Lermo. Directors, L. B. Whitney, R. H. Baker, William Donald, Osear Dahl, M. D. Whitney, John T. Ask and G. W. Willford. The beautiful bank building, completed October 20, 1911, cost about $2,000. The doors were opened for business Oetober 27, 1911. After the death of William Donald his place was taken by his wife, Mrs. Alice T. Donald. R. H. Baker resigned as director, and his place was taken by R. M. Miller.

The hank was organized by about twenty of the leading business men and farmers of Mabel and vicinity, all substantial and well-to-do men, and is one of the strongest in the county. The fine building, located in the center of the business part of the city, lias a front of red pressed brick, with plate glass windows, and was ereeted in the summer of 1907, costing with vaults and. fixtures $6,800.

The Ostrander State Bank was organized in 1903. The first olficers were: President, H. O. Larson; vice-president, O. P. Hadland; cashier, A. J. Haugen; directors, C. M. Anderson, H. 0. Larson, H. A. Skaarberg, O. P. Hadland and Theodore Wold. The first president, H. O. Larson, served two years, followed by C. M. Anderson, who served six years. He was sueceeded by O. P. Hadiand, who at present oecupies the office. A. J. Haugen, the first cashier, served two years, followed by II. O. Larson, who is still serving. The vice-president is J. J. Uillestad. Lela M. Larson is assistant cashier. The assets of the bank amount to $85,000 and a general banking business is conducted along safe and conservative lines. The institution opened for business May 15, 1903, in the Salveson building. In 1910 a fine brick building was erected, its cost, including furniture and fixtures, being $4,000.

The State Bank of Lanesboro was started as a private bank in 1900 and in 1905 was chartered as a state bank, No. 555. It has had the same president and eashier since the beginning, with the exception of the years 1905 to 1908, when J. O. Blekre was cashier. He died in 1909. The eapital is 415,000; the surplus is $2,000. There are deposits of $100,000, and a like amount is loaned. The policy of the bank has heen conservative combined with enterprise, and the patrons are afforded every favor that is consistent with a sound hanking policy. The officers are: President, S. A. Nelson; vice-president, C. O. Krogstad; cashier, P. A. Nelson; assistant cashier, A. M. Hanson; directors, S. A. Nelson, P. A. Nelson, C. O. Krogstad, A. P. Lommen, II. 0. Benson, EF. J. Bothny, M. W. Williams, A. M. Hanson and Martin Carlson.

The Peterson State Bank was started May 1, 1908, and was incorporated fifteen days later. September 15 of the same year the company erected a fine one-story brick building on its lot, at a cost of $2,450. The incorporators and first officers of the bank were: President, C. M. Anderson; vice president, N. J. Amble; cashier, C. E. Retrum; directors, Elmer Halvorson and G. P. Has-- lerud. These gentlemen with P. A. Retrum were the incorporators. The president and viee-president have served since the beginning. O.S. Retrum succeeded C. E. Retrum as cashier May 1, 1909. Tilda Thompson became assistant cashier in January,

1912. The policy of the bank is to do business on strict business principles. The capital is $10,000 and the bank has a surplus of $2,000 and deposits of $78,000. It has loans of $80,000; its banking house, furniture and fixtures are valued at $4,000, and its cash resourees are $8,000.

The First State Bank of Spring Valley was organized 1872 as a private bank by Farmer & Easton who operated for seven years, when Easton's interest was taken over by Strong & Edwards. The new firm transacted business as a private bank under the firm name of Strong, Farmer & Edwards until the year 1899, when it was incorporated as a state bank with an authorized eapital of $30,000. The officers and directors elected at that time were W.H. Strong, president; John Leuthold and G. M. Warren, viec-presidents; B. F. Farmer, eashier; E. M. Edwards, assistant cashier; directors, W. I]. Strong, John Leuthold, G. M. Warren, S. H. Hale and Burdett Thayer.

W. iH. Strong was the bank's active president from the time of his first election until his death in September, 1909, when he was sueceeded by C. H. Smith, who has been president to the date of this issue.

B. F. Farmer held the office of cashier up to the time of his death, in 1901, when he was sueceeded by F. V. Edwards, who served in that capacity until in 1904, when he tendered his resignation, and was succeeded in 1905 by his brother, E, M. Edwards, who had served the institution since its incorporation as assistant eashier. IX. M. Edwards held the office of cashier up to January, 1912, when he tendered his resignation to the board of directors, and the vacancy was then filled by the election of R. E. Shephard, who is the present cashier.

The bank is doing business in its own building which was erected in 1889 at a cost of $18,500. The policy of the bank has ever been, and is today, to render the best possible banking service to its patrons, catering to no class or clique, but endeavoring to use every one alike in a fair and square, ''above board"' business manner, and to extend to its patrons every courtesy consistent with safe and sound business methods.

C. H. Smith, the president, is a capable leader with wide business experience, who devotes a great deal of time in overseeing the workings of the institution and whose financial strength is the hub to the wheel of the bank. John Leuthold, a former resident of Spring Valley, but at present in St. Paul, is well known for his business integrity aud ability; his financial sirength and timely suggestions are also a great benefit to the institution.

G. M. Warren, one of the oldest residents of Spring Valley, is a man well known to local people for his conservatism; is a man who has been suecessful in his own business and whose

R. J. Parker, one of the directors, and a leading attorney in the county, is always ready with legal adviee and authority and passes on all abstracts for the loans made by the bank, thus avoiding any chance for loss through a deficient title.

S. H. Hale, one of the directors, and the leading farm implement dealer in Spring Valley, is a man of wide aequaintanee, and his advice is looked to in extending credit on short time accom. modation loans.

R. Ei. Shephard entered into active service with the bank on April 11, 1905, as a clerk. In January, 1907, he was elected assistant cashier, which position he held until January 12, 1912, when he was elected cashier to sueceed E. M. Edwards.

If. H. Steffens came to the bank February 1, 1910, in the capacity of assistant cashier, which position he holds at the present time. He entered the employ of the Citizens' Bank of Spring Valley, a private bank, in 1900, and held the position of assistant cashier of the First National Bank of Spring Valley from 1902, when the Citizens' Bank was merged with the new institution, nutil January, 1908. From 1908 to 1910 he had experience in Hurdstield and Carrington, N. D., banks, removing to Spring Valley in 1910 to assume his present position.

The history of the bank would not be complete without making mention of the able stenographer and bookkeeper, Grace C. Stephenson, who has been with the bank only a short time but who has already proven her worth as to her willingness and ability.

The Scanlan-Habberstad State Bank, of Lanesboro. In August, 1868, the village of Lanesboro was organized by a stock concern, known as the Lanesboro Company, the principal mover being Clark W. Thompson, who was very active in pushing through here the construction of the Southern Minnesota, now a branch of the Chicago, Milwaukee & St. Paul. In 186) J. C. Easton, of Chatfield, established a private bank which he called the Bank of Lanesboro, the officers being: President, Jason C. Baston; cashier, Charles Josceylin; assistant cashier, C. F.

Easton. In 1878 0. G. Wall and M. Seanlan purehased J. C. Easton's interests and good will, and continued the institution as a private bank, with Mr. Seanlan as president and Mr. Wall as cashier. Jn 1895 O. G. Wall, now deceased, withdrew from the bank, and disposed of his interests therein to M. Scanlan, his former partner. At this time the Bank of Lanesboro was somewhat impaired financially on account of the failure of the infamous N. W. Guaranty Loan Company of Minneapolis, which collapsed in 1893. From this source the Bank of Lanesboro siffered to the extent of $20,000, forty per cent of whieh amount was issued by this company as fictitious paper. In faet the managers of this N. W. Guaranty Loan Company gathered its vietims from all parts of the country and from all walks of life. However, the proprietor of the Bank of Lanesboro, after O. G. Wall withdrew, assumed all the liabilities of the bank and all depositors were paid in full. The Bank of Lanesboro continued under the management of M. Seanlan until 1897, when a partnership was formed with O. M. Habberstad, of Laneshoro, M. Seanlan being the president and O. M. Habberstad the cashier. The result of the latter co-partnership was that the bank prospered greatly, and grew to an extent far beyond the expectations of the owners. This partnership existed until September, 1907, when the Bank of Lanesboro was incorporated and merged into a state bank as the Seanlan-Habberstad State Bank. The ineorporators were M. Scanlan, O. M. Habberstad, O. S. Knudsen, M. V. Bean. A. J. Lund, John Solherg and C. IL. Sehansberg. The first officers elected under the new management were M. Seanlan, president; Jolin Solberg, vice-president; O. Al. Habherstad, cashier, and O. 8. Knudsen, assistant cashier. The directors are the most reliable business men of Lanesboro, namely: M. V. Bean, A. J. Lund, C. H. Sechansberg, John Solberg, O. S. Knudsen, and these gentlemen have heen elected in succession for each year up to the present tine. Following is the latest statement of the condition of the Seanlan-Habherstad State Bank, and a comparison of deposits, since the time of the organization as a s{ate bank: of Lanesboro was located on the first floor of the north side of the Lanesboro Iotel, commonly called the Stone IJotel, until its destruction by fire in 1885, at which time the present hank strueture was erected in block sixteen, Lanesboro. The prosperity of the Scanlan-Habberstad State Bank for the future depends largely in its close relationship with and for the suecess of the farmers. Their success is well assured, as they are putting into practice all the modern methods in husbandry.

The Farmers' & Merchants' Bank, of Preston, was organized by forty-six stockholders, March 27, 1911, with a eapital of $25.,- 000. The first officers were: President, Tollef Sanderson; first vice-president, S. A. Languim,; second vice-president, E. R. Blexrud; cashier, T. I. Garratt; assistant cashier, L. J. Luhmann; directors, Tollef Sanderson, E. K. Blexrud, 8. A. Langumn, I. A. Larson, Max R. Cluss, W. T. Burmeister and A. G. Olsou. The oificers and directors are now the same, with the exception that R. E. Thompson is a director in place of W. T. Burmeister. March 27, 1911, the loans and discounts of the hank amounted to $123,119.55, and the deposits, $178,493.55. June 10, 1912, the loans and discounts amounted to $207,188.65 and the deposits amounted to $264,079.11. This growth speaks for itself as to the success of the institution. The Farmers' & Merchants' Bank sueceeded the National Bank of Preston, March 20, 1911, when the following resolution was passed: ''Resolved, 'hat in consideration of the National Bank of Preston transferring, assigning and turning over all its property and assets of whatever kind or nature to the Farmers & Merchants State Bank of Preston, the said Farmers and Merchants State Bank hereby assuimes and takes over all the liabilities of said National Bauk of Preston.

The Harmony State Bank is one of the solid financial institutions of the county, some of the leading citizens of the county being interested in its management. It was started by Tollef Sanderson as a private bank in April, 1898, and was conducted as such until June 1, 1904, when it was organized as the Harmony State Bank. The first officers were: President, Tollef Sanderson; vice-president, Tallak Brokken; cashier, James 8. Jacobson; directors, John Jacobson, O. N. Thindale and D. A. Mosher. James §. Jacobson died April 7, 1911. The present officers are: President, Tollef Sanderson; vice-president, D. A. Mosher; cashier, R. W. Daniels; assistant eashier, T. S. Brokken. The directors are the Messrs. Sanderson and Mosher, with Flenry Nupson, O. M. Thundale and T. T. Brokken.

National Banks

The First National Bank of Preston was the frst national bank oveanized in Fillmore county, having been chartered May 8, 1902. The bank was first organized by C. M. Anderson, ol Lime Springs, Towa, and A. W. Thompson, of Preston, Minn. The original stockholders were C. M. Anderson, A. W. Thompson, George A. Love, R. E. Thompson and A. D. Gray. Later Wenry Nupson, Thomas J. Meighen, H. & Bassett and Jerome Utley becaine interested, also E, 8. Holton and William J. Meighen. The board of directors designated in the articles of incorporation consisied of A. W. Thompson, Thomas J. Meighen, Henry Nupsen, HK. 8. Iolten, W. J. Meighen, C. M. Anderson and George A. Love. A. W. Thompson became the first president; Thomas J. Meighen the first vicepresident, and C, M. Anderson the cashier. The latter has ''stood by the wheel'? to the present time, and has heen an important factor in its suecess. Six months after organization, Thomas J. Meighen beeame president and Llenry Upson, vice-president, an arrangement thal has proven so satisfactory that they have been continued in office to the present time. The assistant cashier, by no means Jess important in the make-up of the official staff, is the painstaking and genial E. T. Sehoenbaum. He learned the combination to the sates and the vault doors on the morning of August 4, 1902, when the bank opened for business, and with a few exceptions has opened the doors every working day since that time.

The bank opened its doors for )usiness, as stated, on August 4, 1902, in the Odd Fellows block, Preston. The lease on this location expires July 1, 1912. The bank having purchased the Weiser block February 1, 1912, immediately commenced to remodel the room on the corner of St. Paul and Main streets, and by the time this work is issued will be in their new quarters. The new location is fitted with one of the finest vaults in this part of the state, and the banking rooms present every facility for doing a large husiness.

The aim of the bank is earefulness in its uselulness - to he useful to the people in its communify - to encourage useful enterprizes which will help develop resources thal wiJ] go fo foster more energy and enrith the people of its vieinity. The bank has been suceessful from the start. The original capital is $25,000. The profits of the bank aside from the annual dividends have built up a surplus and undivided profit of $20,000. The shareholders in the bank are substantial men who have aeeumnulated wealth by conservative management of their personal affairs, and the same character is retiected in the management of the bank. It is only fair to conjecture the future of this institution by comparing its past record in saying that the people of Preston may well feel proud that they have one of the solid banks of the county in their town.

The First National Bank of Rushford started business in Jannary, 1903. It was incorporated in 1902 by Niles Carpenter, who had been in the banking business in Rushford about forty years. The first officers were: President, N. P. Colburn; cashier, Niles Carpenter; assistant cashier, E. H. Highum; directors, Lewis Knudson, Thomas Kierland, J. Webster, H. W. Eldred and L. Tagland. After Mr. Colburn's resignation Mr. Carpenter was elected president. Mr. Carpenter resigned in January, 1910, and was succeeded as president hy H. W. Eldred. L. Tagland was appointed eashier during the fall of 1906. J. M. Webster was at the same time made assistant cashier, having previously been employed in the bank for about a year. J. Webster is the vicepresident. The bank owns its building, which was purchased from Hibere & Hazard, the structure having formerly been oceupied as a drug store.

The First National Bank of Mabel. The first bank in Mabel was started in 1880 or 1881, in a building, later oceupied by the First National Bank, erected for banking purposes by Frank

Adams, and eapital from Dubuque. The establishment was opened by a Mr. Aubrey, who, thongh a very eapable man, was foreed to discontinue the bank, owing to lack of patronage and limited capital. In 1893 E. L. Tollefson started a private institution, ealled the Bank of Mabel. It was condueted in the E. L. Tollefson store, with E. L. Tollefson as sole owner and A. L. Tollefson as eashier. In 1894 0, H. Tollefson beeame assistant cashier. The business grew rapidly and in 1897 had assumed goodly proportions. Consequently Mr. Tollefson purchased the bank building erected in the eighties, which for a number of years had been used for various purposes, and remodeled it, building an addition and making the place in every way suitable for a successful banking business. In addition to housing the banking business, the building has two offices in the rear, on the ground floor; and the second floor, which has formerly heen used for lodge purposes, is now used for elub rooms. In 1901 JC White moved to Mabel and became attorney and assistant cashier of the institution.

In 1908 the bank was incorporated as the First National Bank of Mabel and was chartered as National Bank No. 9031. The incorporators were: E. L. Tollefson, Betsey Tollefson, JC White, Amy T. White, A. L. Tollfeson and Grace J. Tollefson. The officers were: President, E. L. Tollefson; vice-president, JG White; eashier, A. L. Tollefson. On the death of E. fh. Tollefson, Mrs. Betsey Tollefson was elected president. In 1909 Ed. J. Jolinson came from Adams, Mfinn., and his services having proven satisfactory, has been made assistant cashier. G. W. Brace, Lennie Larsou and Olaf M. Weium have been bookkeepers in the insfitution. The policy of the bank has been to accord its customers the most generous treatment consistent with a safe conservative course. Like its founder &. L. Tollefson, the bank is doing its utmost to upbuild the community, and the institution is largely conducted with that end in view.

The First National Bank, of Chatfield, was started as a private bank about January 1, 1880, by I. H. O'Ferrall and Charles Trego. At that time it was known simply as the Chatfield Bank. About 1883 the bank was operated by 8. M. Onstine and C. W. Doud; later by Lombard, Ober & Jones; still later by Lombard,

Ober & Underleak. Then it was econdueted by the firm of A. L. Ober and S. Burnap (Ober & Burnap) until its incorporation, all the time being known as the Chatfield Bank. April 1, 1903, the institution was incorporated as the First National Bank. The incorporators were A. L. Ober, Sidney Burnap, Joseph Underleak, II. S. Griswold, Milo White, Sr., and F. C. Lovell. These geutlemen were also the first directors. The first officers were: President, A. L. Ober; vice president, H. S. Griswold; cashier, Sidney Burnap. A. L. Ober served as president from the incorporation until December 26, 1911, when he was sueceeded by Joseph Underleak. Sidney Burnap served as cashier from the incorporation until January 15, 1910, when he was succeeded by F. G. Stonat. Mr. Stoudt has been associated with the bank sinee November 1, 1909. I. EB. Ober, assistant cashier, entered the Chattield Bank on November 15, 1899, and has been with the First National Bank since its incorporation. Knute Olson, assistant easlier, has been with the bank since June 1, 1907. The institution does a conservative banking business, and is a substantial factor in the financial.integrity of the people from three counties. The First National Bank opened its doors for business April 1, 1903, occupying the building erected about 1879 by I. H. O'Ferrall for the old Chatfield Bank, and occupied by that institution from the time it began business until its incorporation as ihe First National Bank. The old banking rooms were remodeled in 1903, the vanit room doubled, and new fixtures installed, making pleasant and commodious quarters.

Resourees: Loans and discounts, $275,313.81; overdrafts, secured and unsecured, $1,684.98; U. S. bonds to secure circulation, $25,000.00; premiums on U. S. bonds, $1,000.00; bonds, seenrities, ete., $18,224.60; banking honse, furniture and fixtures, $7,122.07 ; other real estate owned, $6,458.00; due from national banks (not reserve agents), $7,664.25; due from state and private banks and bankers, trust companies, and savings banks, $3,233.41; due from approved reserve agents, $31,548.36; eheeks and other cash items, $292.66; notes of other national banks, $70.00; fraetional paper currency, nickels and cents, $101.25; lawiul money reserve in bank, $20,584.75; redemption fund with U. 8. Treasurer (0 per cent of circulation), $1,250.00; Total, #399,£98.14.

Liabilities: Capital stoek paid in, $25,000.00; surplus fund, £25,000.00; undivided profits, less expenses and taxes paid, $2,- 917.70; national bank notes outstanding, $25,000.00; due to other national banks, $388.84; due to state and private banks and bankers, $2,249.11: individual deposits subject to cheek, $92,195.69; time certificates of deposit, $208,825.50; notes and Dill reclis-

The First National Bank of Spring Valley was organized in the summer of 1902 and opened for business on July 2 of that year. It sueceeded the Citizens' Bank, which had been owned and operated as a private bank by Everett Jones for about ten years. A number of capitalists from Winona, together with Mr. Jones and several other local people were instrumental in organizing the hank and taking over the Citizens' Bank's business. The first president was W. P. Tearse, of Winona. Jiverett Jones was its first vice-president and J. H. Davis, of Winona, its first cashier. Mr. Davis remained with the bank for one year only at which time he resigned and Everett Jones sueceeded to his position, whielt position he held until January 1, 1910. At the end of the first year T. L. Beiseker, formerly of Austin, Minn.; now of Fessenden, N. D., purchased a large interest in the bank from the stockholders at Winona and became its president, occupying {hat position until January 1, 1908, at which time Mr. Beiseker's entire holdings were purchased by local people. It has been owned and controlled entirely by local people since that time.

When Mr. Beiseker sold out, F. J. Harris, a hardware merchant of Spring Valley, was elected his successor as president, which position he still holds. My. Harris was vice-president during Mr. Beiseker's presidency.

Il. H. Steffens, who was employed as bookkeeper in the Citizens' Bank from July, 1900, until the organization of the First National, was elected the first assistant cashier and oceupied that position until January, 1908, at which time Lyle Hamlin, who had heen with the bank four years as bookkeeper, was elected assistant eashier. Upon Mr. Jones' resignation in 1910, Mr. Hamlin was elected cashier to sueceed him, which position he has held since that time. J. W. Barber was elected assistant cashier in January, 1910, which position he still holds.

The present corps of officers consists of F. J. Harris, president ; C. A. Gilbert, vice-president ; Lyle Hamlin, cashier; J. W. Barber, assistant cashier. The present board of directors who are owners of about three-fourths of the entire stock of the bank, are: F. Jd. Harris, C. A. Gilbert, J. B. Sample, D. M. Peshak, Julius Krause, R. J. Parker, H. E. King, Win. Affeldt and M. E. Molstad.

Mr. Harris, the president had been in the hardware business in Spring Valley for more than twenty years. IIe has been very successful in his business and is a man who is widely known and trusted in a large territory surrounding Spring Valley.

C. A. Gilbert, the vice-president is a farmer living about two miles east of Spring Valley. He owns one of the finest farms in this part of the country.

Mr. Hamlin, the cashier was born near Cherry Grove about ten miles southeast of Spring Valley, is a graduate of the loeal lugh school, and studied law at the University of Minnesota. He entered the employ of the bank in 1904 and has been with it ever siace.

The capital of the bank is $50,000.00, and the surplus fund is $10,000.00, whieh has been all earned since iis organization. It has deposits of $325,000.00 at the present time and total resources of nearly $450,000.00. The business of the bank has steadily grown since its organization, but it has made an especially rapid growth during the last three years. The general policy of the bank is to do for its customers upon a reasonably fair margin of profit, everything that a good bank ought to do, and if it can be a medium of exchange of money aud eredits for Spring Valley and vicinity, and in doing this reap a reasonable amount of profit for its stockholders, the ideals for which its officers stand will be realized. The bank oeenpies its own building, which was erected in 1903 at a cost of $13,000.00. It is one of the most modern and up-to-date buildings in this part of the state.

Former Banks

The Fillmore County Bank. This institution was organized September 26, 1886, by J. R. Clements, M. R. Todd and Mrs. J. F. Greenleaf, and commenced business in Preston on that date. Business was condueted in a wooden |ailding where the postoffice now stands, until 1889, when the brick building still ocenpying the site was erected. In October, 1594, J. R. Clements was alleged to have withdrawn from the firm. August 22, 1898, the doors of the institution were closed, aud it was found that there was less than $100 in cash and less than #300 in notes in the bank at that time. The amount of the deposits was large at the time of the failure, and the poor people who had been depositors sutfered heavily. It transpired in the litigation which. followed that Clements was the evil genius of the affair, and that Todd had turned over to him. for apparently no reason, vast sums of money.

When the hank was organized it was known as the Fillmore County Bank, president, J. R. Clements; vice-president, J. F. Greenleaf; eashier, M. R. Todd. Then it was changed to Fillmore County Bank, Clements, Greenleaf & Todd, bankers. Last it was Fillmore County Bank, Greenleaf & Todd, bankers. It was brought ont later that Clements' connection with the bank had continued from heginning to end. Todd was arrested as soon as the bank closed its doors, and Clements was arrested and extradited from Wisconsin, June 16, 1899. Todd died not long alter the trouble started. Clements served ten years in the state's prison.

The Kelsey Failure. In the fall of 1896 a promoter of private banks, B. J. Kelsey, claiming his residence in Minneapolis, came to Lanesboro and labored several days for the purpose to estahlish a stock company in a private bank. He worked and labored strennonsly, indueing and cajoling farmers in the vicinity to take interest or shares in his institution, but failed to accomplish his scheme. He nsed the same methods in Canton and failed also, but subsequently installed a private bank at Lanesboro and Canton. At Lanesboro be oceupied the building subsequently used by the Farmers' & Merchants' Bank. The institution was short lived. Apparently his resources were rather limited and from all indications his capital in banking consisted principally of an ability to talk, as subsequent events proved. However, through his machinations he captured a good many depositors. In the fall of 1897 Kelsey 's pretentions exploded and the doors of his business places were closed and passed into the receiver's hands, the result of which was total failure, as far as the depositors were concerned.

The National Bank of Preston. Henry R. Wells started the Preston Bank in 1875, and was in the banking business continnously in Preston up to 191]. Mareh 20, 1908, the National Bank of Preston was organized with a capital of $50,000. The officers were: President, Henry R. Wells; vice presidents, S. A. Languin and John W. Tlopp; eashier, William R. Wells; assistant cashier, L. J. Lubmann:; directors, IH. R. Wells, Tollef Sanderson, T. G. Moore, Thomas Frankson, 8. A. Langmn, John W. Hopp, Dr. W. B. Grinnell, The business of this bank was taken over in 191], by the Farmers & Merchants Bank of Preston.

There ure twenty national and state banks in Fillmore county, and their existence depends in 2 measure to the welfare ot the agricultural farmer, of which we have the most thrifty class and practical farmers im. the state.