13486. Pierce State Bank (Pierce, NE)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
March 1, 1930*
Location
Pierce, Nebraska (42.199, -97.527)

Metadata

Model
gpt-5-mini
Short Digest
852ae0c7

Response Measures

None

Description

Articles (March 27, 1930) discuss the failure/closure of the Pierce State Bank, appointment of a receiver, and criminal prosecution of Frank Pilger for false entries and misuse of estate funds deposited at the bank. No article mentions a depositor run; evidence points to bank-specific malfeasance and insolvency leading to suspension and receivership.

Events (2)

1. March 1, 1930* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank failed after misuse of Vinson estate funds, overdrafts and questionable bookkeeping by Frank Pilger; insolvency revealed leading to closure/receiver appointment
Newspaper Excerpt
hearing ... connected with the failure of the Pierce State Bank. ... Receiver given leave to file general denial instanter
Source
newspapers
2. March 27, 1930 Receivership
Newspaper Excerpt
Judge H. Stewart ... held hearing number connected with the failure of the Pierce State Bank. ... Receiver given five days from this date in which to plead. ... Receiver given leave to file general denial instanter to claim and petition intervention of Frank Pilger, executor the estate Geo. Vinson, deceased and State Nebraska Frank Pilger, of the defunct Pierce State ... charged with making false entries in the books of the bank the greater part of the forenoon ... testimony ... that Mr. Pilger deposited money in the bank in his own name ... funds from the Vinson were used to relieve his depleted account.
Source
newspapers

Newspaper Articles (2)

Article from Pierce County Call, March 27, 1930

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Article Text

Nebraska OCCUPIES ATTENTION OF JUDGE AND JURY SINCE DAY MORNING The jury term of the district court Pierce county convened at Pierce Monday morning with Judge Stewart on the bench. As had been announced for several weeks, the first case was the State Nebraska Frank Pilger, of the defunct Pierce State The greater part of the forenoon was in securing jury and to the spent surprise the jury securmany and sworn in at ten minutes of charged with making false entries in the books of the bank and the funds the Geo Vinson estate. The afternoon was taken amining witness for the State. Richard Synovec, living west of Pierce, the first witness for the State. He swore that he leased portion of the land belonging to the Vinson from Mr. Pilger, who was executor of the same. The rent was cured by notes that Mr. Synovec swore that he paid when due or fore. Geo. Vinson also swore that she leased land of Mr. Pilger ecutor of the above estate and paid him the rent when due. County Judge identified the records his office the probating of the estate. There some controversy over the notice of Final Proof the estate. seems that this notice ready for but Judge the publication of the the request of some attorneys. As brought out the testimony that there was money the Vinson estate, the attorneys for the state next traced the the Pierce State Bank. Deibler the cashier, stated that Mr. Pilger deposited money in the bank his own name. That part of the was deposited to the Investment Co. later transferred back to the bank. It also bought out that the general fund of the city, also the fund, were kited through the Pierce and forth from the Investment to the Pierce State some of the listeners this case is was of frenzied finance. Mr. Deibler case seemed to be willing witness. He testified that he had nothing to do the handling of the Vinson Mr. Pilger looked after that and everything was his ger's) handwriting. Mr. Deibler was the witness stand part of Monafternoon and about all of Tuesday day forenoon. On cross examination brought out that Mr. Deibler first became vice president of the bank and later cashier. Several months before the bank was closed bought controlling interest. The Pierce Investment Co. was organized the sale of land. He bought the for stock on time and gave notes land the Investment for It brought out in this the stock. that Mr. Pilger's account testimony overdrawn times and the funds from the Vinson were used relieve his depleted account. Buckendahl and EdMessrs. Scheips, who were employees the Peirce State Bank for several and to the time of the closyears of bank, also gave testimony which corroborated the testimony Deibler. rested about the middle The State afternoon and the defense the introduce evidence. Before started to Free moved that the court Mr. the defendant, Pilger, had not their State Stewart declined This Judge the trial proceeded. Pilger and was the first witness put on defense. that stand by the Pilger kept account book how much he owed the and knew executor of the Vinson estate bank had to admit that he used the but of this the confunds the heirs or judge of the sent bate court. He could give no good reason why he opened account the bank in the Vinson estate weeks before the Pierce State Bank closed. Attorney Stalmasoffer the state had Mr. Pilger about all the time he water examining him. Staley, Deibler and Muffly called torney rebuttal by the state. Both sides rested about four o'clock and arguments were made before the jury. County Attorney the and effective logical address. This (Thursday) Attorneys Barnhart speak for Pilger Attorney Stalmaster will close for the state. has been hotly contested both sides. County Atterney Beech examined the men their qualifications for jury service, Stalmaster, Attorney


Article from Pierce County Call, March 27, 1930

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Article Text

ACTS ON SEVERAL OF THEM AT SESSION LAST WEEK Judge H. Stewart was up from Norfolk last Wednesday and Thursand held hearing number connected with the failure of the Pierce State Bank. Other tions were heard and decided. lowing list of cases acted upon: State Nebraska VS. Pierce State Bank: Claimant Cagle given leave to amend his petition. ClaimFrank Pilger, of the estate Francis Letitia Lucas, given leave file petition in intervention instanter. Receiver given leave to file general denial instanter to claim and petition intervention of Frank Pilexecutor the estate Geo. Vinson, deceased. Claim Star Vinson, administrator, allowed agreement preferred claim the amount of Court finds for claimant City Pierce that there balance of on deposit in the bank the credit of said city. Claim allowed claim having priority as deposit. Finding for claimant Cagle against said claimentitled to the amount against obligations owing by said Cagle to Pierce State Bank thereof forth in signed journal entry. Judgment on finding. Leave granted Theil to make Peoples State Bank of Waukegan, Illinois, claimant with him in petition and amend same interlineation. Finding for claimant Frank Koehler guardian, against receiver claim allowed as claim having preference in the of $182 and general claim in amount of $3,138.01. Security State Bank of Osmond Hannah Bahr: On application decree set aside and case settled. Rouse Garleff: Dismissed plaintiff at plaintiff's cost. Robertson Garleff: Dismissed by plaintiff at plaintiff's cost. City National Bank of Lincoln VS. Pierce State Bank: Receiver given five days from this date in which to plead. The jury term of district court convened at Pierce Monday morning.