Provident Savings Bank & Trust Company (Cincinnati, OH)

Episode Information

Episode UID
13005771566
Episode Type
Run Only
Bank Type
trust
Bank ID
1300577 routing
Routing Number
13-0057
Start Date
June 26, 1930
Location
Cincinnati, Ohio (39.103, -84.515)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
10790130a4b0bb32

Response Measures

None

Events (1)

1. June 26, 1930 Run
Cause
Local Banks
Cause Details
Withdrawals followed the failure/closing of the Brotherhood of Railway Clerks' National Bank and Cosmopolitan Bank amid the Shafer check-kiting scandal, prompting heavy withdrawals at Provident.
Measures
Kept open overtime to satisfy depositors; stayed open late and accommodated withdrawals.
Newspaper Excerpt
The Provident Savings Bank & Trust company also experienced heavy run yesterday but kept open overtime to satisfy depositors.
Source
newspapers

Newspaper Articles (12)

Article from Commercial, June 27, 1930

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OFFICERS OF CLOSED BANK UNDER ARREST (Continued from Page One) were the direct ed of the bank's Shafer, Mau said, had deposited cities ice collateral bearing forged was this stock, dorsements. $225, ported $375,000. that involved Norris and Rosenblum. Brotherhood Bank came under the scrutiny of federal 10 when it was learned gators bank carried an account for Shafer. On that the itanBank Trust closed because alleged shortage Shafer's and Shafer was arrested on charge embezzling more than from the Doherty Company, his formar employers. The removal of the three officials the bank was the best way protect depositers although statewas issued saying InstityLien was in good Direcsaid closing the bank was the best way protect and Investigators every obligatien probably be Provident Savings Bank Trust Company experienced heavy run yesterday, kept open time to satisfy depositors. State director of commerce Edward Schorr announced other banks were Involved Shafer and the Cincinnati Clearing House


Article from The Saginaw News, June 27, 1930

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TWO UNDER ARREST AS BANK IS CLOSED from Page One. issued saying the institution was in good condition. Directors said closing of the bank was the best way to depositors and investigators said every obligation probably would be met. Provident Savings Bank & Trust company also experienced heavy run yesterday but kept open overtime to satisfy depositors. State Director of Commerce Edward D. Schorr announced no other banks were involved by Shafer and the Cincinnati House tion of all the rest of county's Brotherhood bank was established 1923 by the Brotherhood of Railway and Steamship Clerks and 51 per cent of the stock was owned by members the un. It was capitalized at $400, 000, and had deposits of and total resources of $5


Article from Salt Lake Telegram, June 27, 1930

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CINCINNATI BANK CLOSING TRACED TO SHAFER CASE Two Former Officials Are Arrested on United States Charges CINCINNATI O. June 27 (AP) -^ second Cincinnati bank was closed and two of Its officers were under arrest today as a result of the alleged million dollar check kiting operations of A. W. Shafer discharged district manager for the Henry L. Doheny company. The failure of the Brotherhood of Railway Clerks National bank to open yesterday was followed by the arrests of Lyman E. Norris, former vice president. and Harry Rosenblum, former cashier, on charges of conspiracy to violate the national banking act. They were held today in default of $25,000 bond each set after they entered pleas of not Norris, Rosenblum and Joseph J. by the directors Monday FAKE INDORSEMENTS United States District Attorney leged manipulations were the direct cause of the bank's closing. Shafer. ported to amount between 000 and $375,000 that involved Morris and The Brotherbood bank came under the scrutiny of federal investiwaters June 10 when it was learned the bank carried an account for Shafer On that day the Cosmopoll. tan Bank & Trust company closed because of an alleged shortage of $628,000 In Shafer's account and Shafer was arreated on a. charge of embezaling more than $210.000 from the Doherty company, his for. mer The removal of the three officials of the bank also resulted in withdrawal of $1,000,000 by depositors. although a statement was Issued saying the institution was in good condition. Directors said closing the bank was the best way to protect depositors and Investigators said every obligation probably would be HAS HEAVY RUN The Provident Savings Bank & Trust company also experienced heavy run yesterday but kept open overtime to satisfy depositors. State Director of Commerce Edward D. Schorr announced no other banks were involved by Shafer and the Cincinnati Clearing House associa. tion promised support of all the rest of the county's banks. The Brotherhood bank was established in 1923 by the Brotherhood of Railway and Steamship Clerks and 81 per cent of the stock was owned by members of the union. It was capitalized at $400,000 and had deposits of $4,800,000 and total re-


Article from The Herald-Palladium, June 27, 1930

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BARE ALLEGED CHECK FRAUDS IN BANK DEAL Two Former Officers Of Cincinnati Institution Arrested (By Associated Press) CINCINNATI, O., June 27-A second Cincinnati bank was closed and two of its former officers were under arrest today as result of the al-, leged million dollar check-kiting op. erations of A. W. Shafer, discharged district manager for the Henry L. Doherty company. The failure of the Brotherhood of Railway Clerks National bank to open yesterday was followed by the arrests of Lyman E. Norris, former vice-president, and Harry Rosenblum, former cashier, on charges of conspiracy to violate the national banking act. They were held today in default of $25,000 bond each set after they entered pleas of not guilty. Officers Removed Monday The Brotherhood bank was estab. Norris, Rosenblum and Joseph J. lished in 1923 by the brotherhood of Castellini, president, were removed railway and steamship clerks and 51 by the directors Monday. per cent of the stock was owned by United States Destrict Attorney Haveth E. Mau said Shafer's alleged manipulations were the direct cause of the bank's closing. Shafer, Mau said, had deposited Cities Service collateral bearing forged indorsements. It was this stock, reported to amount to between $225,000 and $375,000, that involved Norris and Rosenblum. The Brotherhood bank came under the scrutiny of federal investigators June 10 when it was learned the bank carried an account for Shafer. On that day the Cosmopolitan Bank & Trust company closed because of an alleged shortage of $623,000 in Shafer's account and Shafer was arrested on charge of embezzling more than $210,000 from the Doherty company, his former employers. The removal of the three officials of the bank also resulted in withdrawal of $1,000,000 by depositors al. though statement was issued say. ing the institution was in good con. dition. Directors said closing of the bank was the best way to protect depositors and investigators said every obligation probably would be met. Act to Prevent Trouble The Provident Savings Bank & Trust company also experienced heavy run yesterday, but kept open over-time to satisfy depositors. State Director of Commerce Edward D. Schorr announced no other banks were involved by Shafer and the Cincinnati Clearing House association promised support of all the rest of th county's banks.


Article from The Plain Speaker, June 27, 1930

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ARREST FORMER BANK OFFICIALS Failure of Brotherhood of Railway Clerks Institution Leads to Prosecution. CINCINNATI, O., June 27 (AP) A second Cincinnati bank was closed and two of its former officers were under arrest today as a result of the alleged million dollar check writing operations of A. W. Shafer, discharged district manager for the Henry L. Doherty Company. The failure of the Brotherhood of Railway Clerks National Bank to open yesterday was followed by the arrest of Lyman E. Norris, former vice president and Harry Rosenblum, former cashier, on charges of conspiracy to violate the national banking act. They were held today in default of $25,000 bond each set after they entered pleas of not guilty. room from high government offiNorris, Rosenblum and Joseph J. cials and from many parts of the Castellini, president, were removed world, expressing sympathy and by the directors Monday. solicitude. United States District Attorney Haveth E. Mau said Shafer's allegfred Sze, Chinese Ambassador to ed manipulations were the direct London, who was associated with cause of the bank's closing. Shafer, Mr. Porter in the narcotic conference Mau said, had deposited Cities Service collateral bearing forged in- in Geneva. dorsements. It was this stock, reported to amount to between $225,000 and $375,000, that involved Norris and Rosenblum. The Brotherhood Bank came under the scrutiny of federal investigators June 10 when it was learned the bank carried an account for Shafer. On that day the Cosmopolitan Bank and Trust Company closed because of an alleged shortage of $623,000 in Shafer's account and Shafer was arrested on a charge of embezzling more than $210,000 from the Doherty Company, his former employers. The removal of the three officials of the bank also resulted in withdrawal of $1,000,000 by depositors although a statement was issued saying the institution was in good condition. Directors said closing of the bank was the best way to proBathing tect depositors and investigators said every obligation probably would be met. Suits The Provident Savings Bank and Trust Company also experienced a heavy run yesterday, but kept open over time to satisfy depositors. $1.69 State Director of Commerce Edward D. Schorr announced no other banks were involved by Shafer and the Cincinnati Clearing House Association promised support of all the rest of the county's banks. The Brotherhood Bank was established in 1923 by the Brotherhood of Railway and Steamship Clerks and 51 per cent of the stock was owned by members of the union. It was capitalized at $400,000 and had deposits of $4,800,000 and total resources of $5,659,363.


Article from Beatrice Daily Sun, June 27, 1930

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SENDS ANOTHER BANK TO WALL CINCINNATI, O., June 27 (/P) second Cincinnati bank was closed and two of its former officers were under arrest today as result of the alleged million dollar check kiting operations of A. W. Shafer, discharged district manager for the Henry L. Doherty company. The failure of the Brotherhood of Railway Clerks' National bank to open yesterday was followed by the arrests of Lyman E. Norris, former vice president, and Harry Rosenblum, former cashier. on charges of conspiracy to violate the national banking act. They entered pleas of not guilty. Norris, Rosenblum and Joseph J. Castellini, president, were removed by the directors Monday. United States District Attorney Haventh E. Mau said Shafer's alleged were the direct cause of the bank's closing. Brought Run The brotherhood bank came under the scrutiny of federal investigators June 10 when it was learned the bank carried an account for Shafer. On that day the Cosmopolitan Bank and Trust company closed because of an alleged shortage of $623,000 in Shafer's account and Shafer was arrested on charge of embezzling more than $210,000 from the Doherty company, his former employers. The removal of the three of ficials of the bank also resulted in withdrawal of $1,000,000 by depositors. Directors said closing of the bank was the best way to protect depositors. Investigators said every obligation probably would be met. The Provident Savings bank and trust company also experienced heavy run yesterday, State Director of Edward D. Schorr announced no other banks were involved by Shafer The Brotherhood bank was es. tablished in 1923 by the Brotherhood of Railway and Steamship


Article from The Rock Island Argus, June 27, 1930

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TWO EMPLOYES OF RAIL MEN'S BANK ARRESTED Operations of A. W. Shafer Blamed for Failure of Brotherhood Institution. Cincinnati, Ohio, June the Associated Press.)-A second Cincinnati bank was closed and two of its former officers were under arrest today as a result of the alleged million dollar check kiting operations of A. W. Shafer, discharged district manager for the Henry L. Doherty company. The failure of the Brotherhood of Railway Clerks' National bank to open yesterday was followed by the arrests of Lyman E. Norris, former vice president, and Harry Rosenblum, former cashier, on charges of conspiracy to violate the national banking act. They were held today in default of $25,000 bond each set after they entered pleas of not guilty. Norris, Rosenblum and Joseph J. Castellini, president, were removed by the directors Monday. United States District Attorney Haveth E. Mau said Shafer's alleged manipulations were the direct cause of the bank's closing. Shafer, Mau said, had deposited Cities Service collateral bearing forged endorsements. It was this stock, reported to amount to between $225,000 and $375,000, that involved Norris and Rosenblum. The Brotherhood bank came under the scrutiny of federal investigators June 10 when it was learned the bank carried an account for Shafer. On that day the Cosmopolitan Bank & Trust company closed because of an alleged shortage of $623,000 in Shafer's account and Shafer was arrested on a charge of embezzling more than $210,000 from the Doherty com pany, his former employers. Large Sum Withdrawn. The removal of the three officials of the bank also resulted in withdrawal of $1,000,000 by depositors, although a statement was issued saying the institution was in good condition. Directors said closing of the bank was the best way to protect depositors and investigators said every obligation probably would be met. The Provident Savings Bank & Trust company also experienced a heavy run yesterday, but kept open over-time to satisfy depositors. State Director of Commerce Edward D. Schorr announced no other banks were involved by Shafer and the Cincinnati Clearing House association promised support of all the rest of the county's banks. The Brotherhood bank was established in 1923 by the Brotherhood of Railway and Steamship Clerks and 51 per cent of the stock was owned by members of the union. It was capitalized at $400,000, and had deposits of $4,800.000 and total resources of $5,659,363.


Article from St. Joseph News-Press, June 27, 1930

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OHIO BANKERS HELD Former Officers of Closed Railway Clerks' Firm Arrested. Two Removed by Directors Monday Said to Be Involved in Shafer Manipulations. second Cincinnati bank was closed and two of its former officers were under arrest today as result of the alleged $1,000,000 check kiting operations of A. W. Shafer, dis charged district manager for the Henry L. Doherty Company $25,000 Bond Defaulted The failure of the Brotherhood of Railway Clerks National Bank to open yesterday was followed by the arrests of Lyman E. Norris mer and former cashier on charges of conspiracy to violate the national banking act. They were held today In default of $25,000 bond each set after they entered pleas of not guilty Norris, Rosenblum and Joseph by the directors Monday United States District Attorney Haveth E. Mau said Shafer alleged manipulations were the direct cause of the bank's closing had deposited Cities Service collateral bearing forged indorsements It was this stock reported to amount to between $225 000 and involved Norris and The bank came under the scrutiny of federal investi gators June 10 when was learned the bank carried an account for Shafer On that day the CosmopoliLan Bank and Trust Company closed because of an alleged shortof $623,000 in Shafer's account, and Shafer was arrested charge of embezling more than $210,000 from the Dohetry company, his former The Provident Savings Bank and Trust Company also experienced heavy run yesterday but kept open overtime to satisfy depositors State Director of Commerce Edward D. Schorr announced no other banks were by Shafer. and the Cincinnati Clearing House Associapromised support of all the rest of the county's banks SPURWAY IS RECEIVER leaves tonight for Cincinnati. Suit brought by Mr. Spurway against directors of the Shenandoah bank recently resulted in $130,000 verdiet against T. H. Read and Elbert A. Read and $40,000 compromise with Henry Field, Gwynn and Earl Sheets.


Article from The Atlanta Journal, June 27, 1930

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2 MORE CINCINNATI OFFICIALS HELD AS BIG BANK CLOSES Brotherhood Institution Was Involved by Sha. fer "Kiting," Is Claim A second Cincinnati bank was closed and two of its former officers were under arrest Friday as result the alleged million-dollar check kiting operations of A. W Shafer charged district manager for the Hen. ry L. Doherty Company The failure the Brotherhood of Railway Clerks' National Bank open Thursdap was followed by the arrests of Lyman E. Morris former vice president, and Harry former cashier on charges of con. spiracy to violate the bank. ing act. They were held Friday default of $25,000 set after they pleas of not Norris, Rosenblum and Joseph Castellini, president, were removed by the directors Monday United States District Attorney Haveth E. Mau, said Shafer alleged manipulations were the direct cause of the bank's closing Shafer May said, had deposited Cities col. lateral forged It was this amount to between $225,000 and $375 that involved Norris and Rosenblum The brotherhood band the scrutiny of federal June 10 when it was the bank carried an account for Sh On that day the Bank Trust Company closed alleged shortage of $623 000 in Shafer's account and Shafe ed on charge of more than $210,000 from the Dohert his former The removal of the of the bank also in al of $1,000,000 by a statement was issued saying the stitution was in good D:rectors said closing of the bank was the best way to protect and investigators said every obligation probably would be met The Provident Savings Bank and Trust Company experienced heavy run Thursday but kept open over time satisfy State Director of Comme Edward D. Schorr announced other banks were involved by Shafer and the Cin. cinnati Clearing House Associatic promised support of all the rest of the county's banks. The brotherhood bank was established in 1923 by the Brotherhood Railway and Steamship Clerks and 51 per cent of the stock was owned members the union was capitalized at $400,000. and had of 800 000 and total resources of $5,659,363 German Bonds and Stocks NEW YORK BONDS Bid German Govt Revaluation German Kommunal Revalution Loan per rm STOCKS (Stocks quoted per par of Deutsche Bank and Disconto Ges Dresden Bank Reichsbank Gen Elec) Farben (Ger (200 Rud Karstadt (100) Hamburg AUSTRIA AND HUNGARWY Wierner Verein Bank share) Austrian Gen Rima Govt Conversion Loan 1894 Cons Prague 000 Royal Bank of Bohemia Rec 5% 1920 1,0000 lei days has ripened melons rapidly fast in fact that there is a car shortage at some points. Melon Shipments WAYCROSS June Waycross district of the Coast Line Railroad to date shipped 937 watermelons loading heavy and with the prospect of many more cars cross the largest point on the Atlantic Coast Line Railroad and from many districts cars are shipped here for re-icing and for re-billing. The Waycross yards date have verted 13,176 cars of perishables this


Article from Tulsa World, June 28, 1930

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OFFICERS ARRESTED WHEN BANK CLOSES Second Cincinnati Institution Closed; Charge Officials With Check Kiting CINCINNATI. Ohio, June second Cincinnati bank was closed and two of its former officers were under arrest today as result of the alleged check kiting of A. W. Shafer. discharged district manager for the Henry L. Doherty The failure of the Brotherhood of Clerks National bank to was by the of Lyman E. Norris. former president, and Harry Rosenblum, former charges conspiracy to violate the act. They were held today default of $25, 000 bond each set they entered pleas Officers Removed. Norris, Rosenblum and Joseph president, removed by the Monday. United States District Attorney Haveth E. Mau said Shafer's leged manipulations the dibank's closing Shafer Mau said, had deposited Cities bearing forged was this reported to amount tween and $875,000. that Norris Rosenblum. The bank under the scrutiny of federal investiwhen was learned the bank carried an account for Shafer. On that day the Cosmopolitan Bank and Trust company closed because an alleged shortage $623,000 in Shafer's account, and Shafer arrested on charge embezzling more than $210,000 from the Doherty company, his former employers. Stays Open Late. The removal of the three officials of the bank also resulted withdrawal of $1,000,000 by depositors, statement was issued saying the institution was in Directors said closing of the bank was the best way protect depositors, and investigators said every obligation probably would be met. The Provident Savings Bank and Trust also heavy run yesterday, but kept depositors. State Director of Commerce Edward D. Schorr no other banks involved by Shafer and the Cincinnati Clearing House all the rest the banks. 1923 by the Brotherhood of Railway and Steamship Clerks, and 51 per cent of the stock owned by members the capitalized had deposits and total resources of $5.-


Article from The Cincinnati Enquirer, November 19, 1930

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Provident Bank raise whatever found necessary, Dorger said. biggest shortage mentioned Monday morning was $300,000, said. o'clock Monday morning Holmes, gone York, from the State Banking Department offices in lumbus. don't you come down you badly. the give the figures. He do anything Doherty, and stopped here put Ambrose. the head the department. the telephone. the could be told him hours. possible. and hours. He said keep the bank open they would come down. At o'clock afternoon Superintendent called Dorger Hotel and asked him Gray said, wished first. and come in Edward Schorr, Director of Commerce; Gray several his there. They telephoned Van Lahr, who sat in on the conference. Conference On Until talked it until Dorger could information about the Shafer checks. o'clock Holmes came and said the amount $500,000. asked about the $92,000 in the Brotherhood Bank and Holmes found that bank either forged certificates tificates Shafer not Shafer had failed produce the $100,000. "The purpose of Mr. Van Lahr's presence auditors of taking the bank over. Negotiations had held with him month for merger the Provident.' conference the Provident Bank night Dorger said. proposition made that collateral open the bank, that impossibility get the collateral open the bank. Gray. put up share, but the money now. I'll deed to say my Vine Street you Dorger down equity He No. the real There nothing We signed and went That was o'clock Tuesday morn- Dorger Gives Life History. Before going into the various yesterday, Dorger answered merous questions formal nature He years old and work when 13 years old clerk the Shillito Company, while studied He was admitted the 1887, United States Commissioner for years. married Dorger he had owned some stock the Bank Freeman Avenue. He became director years Since then the bank resources, its greatest ing under the management of John Dorger knew Meiners for 35 years He joined the bank shortly after organization, from teller President 1924. Illness kept Dorger from the most the time. He there little" from 1923 1927, and never the bank 1928 "except directors meeting.' He attended only or directors' meetings the excused from Finance Committee because his ill health. Since 1924 practically drawn from the practice leaving that work his son, heart trouble him away from the much the time. Official Post In Bank Relinquished. He relinquished Vice Presidency the and attention May. became He up Presidency again the request of the Directors, pending the recovery of his son, Dorger asked what directions he gave bank affairs. "None whatNot being bookkeeper, he knew nothing the bookkeeping end, said. only the books that came before the their meeting, and the general ledger the accounts in the genledger. He asked about the "general items" and transit" counts, accounts which handled the irregularities charged state. there were such items the Dorger said. Dorger said that real estate loan bank made by Meinthat entirely because exceptional latter part of the answer stricken Understudy Appointed. John Brewster, who became Vice President belief become President selected committee three Directors Meiners," Dorger He denied that he talked with Brewster any time about alleged the bank's capital, Brewster testified state witness. He denied Brewster bank $300,000 loans. contrary, Dorger bank examiner June, 1929, following examination "complimented the Board Directors the splendid condition the and bond count the bond most the banks Ohio. He loans, the four the formal report charged off $10,000 in loans had notified the department begot the give Morris asked. "None Dorger denied that he had loan bank. He said there among Directors any Director port immediately to the other rectors. His share-holdings in the Cosmopolitan started with shares. He added these from time time until he 800 and shares when the bank closed. made distribution of some stock among children, under arrangement with my wife before died." said, this respect that given Judge Stanley Struble the liability hearing several ago. In this agreement, bought some stock placed Miss Meyerose and Miss Hynes, his office, make distribution daughter, Mary, who had just shares my daughter, Ruth, 100 my my practice," Martha, had about 400 shares. "Did you time because these dominate Morris asked. Following death of Meiners named select They selected Flanagan the middle May. but did reins until the before the bank closed. Time Bank Explained. Dorger time to the 1930, when May, his son never active Vice Presideclared. Dorger he suggested that Holmes down letter herty regarding Shafer's count, in order that offense given customer. overheard witness, heard Dorger Holmes day can't that way, have to do this he Dorger said he first learned of the Account, second mortgage account the when Elmer Johanigman. then Cashier, "confessed" in office. Johanigman charged taking from and ferred following trial which the jury disagreed. Before that time, Dorger said, knew the "M. predecessor, the Account, which was used similarly, bank "Some signed checks the 'M. to take out the bank Dorger "Meiners and talked someone liquidate Boring selected matters for the Federal Finance came back from one my trips, Meiners His word knew absolutely nothing about the account.' Dorger also testified knew nothabout the Meiners Account" "Herbert Trustee Account." He had nothing do with closing out "Boring never the books that account gave directions connection closing, said. Before father took the stand yesterday, Clarence Dorger finished his after being stand since last Friday Clarence said Wedding present when the various Wedding loans were but that not know Wedding himself was getting the money on them. Dorger Shafer's loans Amplifying this he said they substantially' that $120,000 the last May Other during and the had $75,000 when the bank closed, he said Stock Deals In Question. An made that stocks him originated with but Dorger denied hundred shares brought his attention. various names" brokers' He said the first time he had heard some the names. He identified stocks his name maiden name The said, "by mistake.' Dorger never bought stock himself bought the added. bought and livered He lost the stock deals cited the He admitted that bought some stocks from him and that Tillar the Shafer account. He asked Assistant cutor Louis Schneider that $4,935 his loan First National Bank, from the "John H. Meiners Trustee until after indicted, said. He had not repaid that account the bank, Dorger said that since his indicthad found checks issued through the "Meiners Trustee him and his firm. never them,' Schneider he received checks $3,607 for his firm, from that account, about which previously had testified nothing until after the failed. "Checks coming from the the time and don't know Dorger By "the little black Meiners, in which kept records that account, Dorger identified and explained some the checks. Some them, said, second loans then developed that the little black book Meiners found in Dorger's office vaults. was cabinet there, Dorger said. don't know how got he testified The state tried unsuccessfully locate this book the time grand hearing and charged that removed from Meiners body day died the bank and bethe Coroner arrived. Dividend Statement Revised. On redirect Dorger his day beHe that each before Presreported Board of Directhat sufficient profit charge off furniture and fixtures, losses and declare the dividends this report the dividends were declared, Dorger denied that the surplus and capital the any time and that time the "declared out surplus.' He denied Brewster's testimony any such "impaircapital. Dorger said he out of the city June, and knew nothing Shafer that month.


Article from The Cincinnati Enquirer, November 19, 1930

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Provident Bank raise whatever found if any, The biggest shortage mentioned Monday morning said. o'clock Monday morning Holmes, gone New York, telephoned him from State Banking Department offices lumbus Why don't you down need you badly. the only the figures. He couldn't do any thing with stopped here He Mr. Ambrose, the head the department, the telephone. the could and told him hours. hours. He the bank open and they o'clock that afternoon Banks. called Dorger from the Hotel Gibasked him Gray said, first. come an Edward Schorr. Commerce: Gray and several of men there. They telephoned Lahr, who sat on the conferConference On Until O'Clock. talked Dorger said. "Nobody any the Shafer About Holmes said the amount about asked the $92,000 in the Bank Holmes found the that bank certificates tificates Shafer had not right Shafer had failed produce the $100,000. "The purpose of Mr. Van Lahr's presence get the auditors with taking the Negotiations had been with him month before for merger the Provident. conference the Provident Bank that night Dorger said. made that collateral the was impossibility the collateral open bank. said put up my share, but raise the money I'll deed you anyone Vine Street propbroke down equity $140,000. He said, open the real There nothing left We signed the and home. That was o'clock Tuesday morn- Dorger Gives Life History. Before going into the various matters Dorger answered merous formal nature. He he years and started work when years old clerk the Shillito Company, while he studied admitted the 1887, United 20 years. He married years Dorger had owned some stock the Cosmopolitan its Freeman Avenue. He became director 12 years ago. Since then the bank quadrupled resources, its greatest expansion ing under management of John Dorger for 35 years. He the bank years after its organization, President 1924. kept away from the bank most the He from 1923 and never in the bank 1929, for meeting.' He attended only 12 13 directors' meetings the He years. excused all Committee his health. Since drawn from the practice leaving that his son, trouble him away from the city much the time. Official Post In Bank Relinquished. He relinquished Vice Presidency the 1930 favor his no attention until his son became 111. He the Presidency again request the Direcpending the recovery of his son. Dorger asked what directions he affairs. 'None whatNot being bookkeeper, he knew nothing the said. only the books that came the their the general ledger the accounts in the genledger. He asked about the "general items" "items counts, handled irregularities charged knew there such the bank," Dorger said. "every estate loan bank made by We left that entirely because of The latter part the answer stricken out. Understudy Appointed. John became Vice President the belief he would become of selected by committee understudy Dorger said. that had talked about alleged impairbank's testified witness. He denied that Brewster the had $300,000 bad loans. On the contrary, Dorger examiner June, 1929, following examination books, Board Directors the splendid bond count and said the account better most the banks Ohio. He loans, report formal report charged off $10,000 in notified the before the formal did you the bank, Morris asked. "None Dorger denied that he had loan for He said among Directors that any Director it immediately to the other His the Cosmostarted with shares. He added these from time until he had 800 and the bank closed. made distribution of stock among my children, under arrangement my wife before died." said, testimony respect that given fore Judge Stanley Struble the stockholders' liability hearing several this he bought stock and the names Miss Edna Meyerose Miss Hynes, his make distribution daughter, Mary, who had just shares to my daughter Ruth, shares my get practice,' Martha, had about 400 you any time because these the Morris asked. the death of Meiners named select President. They the middle but the the bank closed. Time At Bank Explained. Dorger said he time bank from when Vice his active Vice PresiDorger suggested that Holmes down herty Co. Shafer's count, offense given was bank's conversation was state witness, heard Dorger tell Holmes the bank. can't that have do this Dorger said he first learned the second mortaccount the when Elmer then in man was charged with taking from account and received ferred following trial in which the jury disagreed. Before that time, Dorger said, he its the Jo-Mein Account, which was used similarly, the "Some signed checks the gested take out the bank it," Dorger "Meiners and talked over and wanted someone liquidate Mrs. Boring selected because similar matters for the Federal Finance Committee. came back from one my Meiners said account guaranteed. never asked who guaranteed word enough. knew absolutely nothing about the account.' Dorger testified he knew nothabout "John Meiners Account" "Herbert DorHe had nothing closing out the "Boring the books that account and connection with Before father took the stand yesterday, finished after being stand since last Clarence said Wedding present made that he that Wedding himself the money Dorger Shafer's loans called Amplifying this they paid they reduced from $120,000 the time went Ashehis health last May Other loans during the total had $75,000 when closed. Stock Deals In Question. An attempt show that stocks held by him originated Shafer but Dorger denied this. hundred were brought his attention. various "street names" brokers' He the first had heard the names. He identified stocks his name the name of his wife. The was used mistake.' Dorger he never bought stock himself under the market. bought over added. "every bought and livered He the stock deals cited He admitted Tillar, bought some stocks from him and that Tillar was the Shafer He asked by Louis true that the paid $4,935 loan National the "John H. Meiners Trustee Account.' didn't know until after indicted," Dorger said. He had account the bank, Dorger said that since his indictment had found several checks issued through "Meiners Trustee Account" and his law firm. never them, Schneider asked he received for for his firm, from account, testified nothing until after the bank failed. coming from the bank the time and don't know Dorger "the little black Meiners, kept records of that account, and the checks. Some them, said, lated loans. developed that the little black Meiners was found in Dorger's office was cabinet there, Dorger said. don't know how got there," The state tried unsuccessfully locate this book the time jury and charged from Meiners' the day died the bank and fore the Coroner arrived. Dividend Statement Revised. On Dorger his of the day fore He said that each before ident Board of Directors that sufficient profit charge and fixtures, pay losses and declare the this report the dividends were clared, denied that the surplus capital the any and that time 'declared out surplus. He denied Brewster's mony any such "impaircapital. Dorger said he out of the during June. and nothing the Shafer checks that month.