18763. City Savings Fund & Trust Company (Lancaster, PA)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
trust company
Start Date
January 21, 1905
Location
Lancaster, Pennsylvania (40.038, -76.306)

Metadata

Model
gpt-5-mini
Short Digest
9fbd4669

Response Measures

Full suspension

Other: Receiver appointed and large judgments/confessions of judgment by directors; later charges of embezzlement against officers.

Description

Multiple articles (Jan 21–25, 1905) report a 'quiet run' that had continued for months and that depositors' alarm forced the company to post a suspension/closing notice on Jan 21, 1905. The failure was later shown to involve large related-party loans and apparent self-dealing by officers (receiver reports and embezzlement charges later in 1905). Receiver appointed in Feb 1905. Episode: run led to suspension and permanent closure with receiver.

Events (3)
1. January 21, 1905 Run
Cause
Rumor Or Misinformation
Cause Details
A quiet run and general alarm among depositors that intensified after the sudden death of President Charles H. Locher and circulating rumors of impending failure.
Measures
Directors posted notice of closing/suspension on doors; announced intention to pay debts in full.
Newspaper Excerpt
There has been a quiet run on the bank for several months which became more pronounced after the sudden death of the president, Charles H. Locher, last fall.
Source
newspapers
2. January 21, 1905 Suspension
Cause
Rumor Or Misinformation
Cause Details
Alarm of depositors and intensified withdrawals during the week made closing imperative; notice of suspension/closing was posted on Jan. 21, 1905; capital and deposit figures reported in news dispatches confirm suspension was driven by depositor alarm following the run and rumors of failure.
Newspaper Excerpt
The City Savings Fund and Trust Company failed to open today. The directors of this company have decided to close its business. They feel confident all debts will be paid in full.
Source
newspapers
3. February 22, 1905 Receivership
Newspaper Excerpt
Judge Hassler, at Lancaster, has appointed City Controller J. Harry Rathfon permanent receiver of the defunct City Saving Fund & Trust Company.
Source
newspapers

Newspaper Articles (21)
1. January 21, 1905 Santa Fe New Mexican Santa Fe., Santa Fe, NM
Article from Santa Fe New Mexican, January 21, 1905

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BIG BANK GOES TO THE WALL Lancaster, Pa., Jan. 21.-The city Saving Fund and Trust Company failed to open today. At the time of its organization in 1902, its resources were announced as $1,146,000. The directors say they are confident that all debts will be paid in full. The closing of the bank was due to a quiet run that has been in progress for several months and that became more pronounced after the sudden death of the president, Charles H. Locher, last fall. At the last published statement the deposits were $1,139,000.

2. January 21, 1905 The Fargo Forum and Daily Republican Fargo, ND
Article from The Fargo Forum and Daily Republican, January 21, 1905

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SAVINGS BANK HAS DECIDED TO CLOSE Lancaster, Pa., Jan. 21.-Notice was posted on the doors of the City Saving Fund & Trust Co. today stating the directors decided to close its business and that all debts would be paid in full. There has been a run on the institution for some time.

3. January 21, 1905 The Roswell Daily Record Roswell, NM
Article from The Roswell Daily Record, January 21, 1905

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TRUST COMPANY FAILED. Directors are Confident All Debts Will Be Paid in Full. Lancaster, Pa., Jan. 21.-The City Savings Fund and Trust Company failed to open today. At the time of its organization in 1902 its resources were announced as $1,145,000. The directors say they are confident that all debts will be paid in full. The closing of the bank was due to a quiet run that has been going on for several months, and which became more pronounced after the sud den death of President Charles H. Locher last fall. At the last published statement the deposits were $1,139, 000.

4. January 21, 1905 Waterbury Evening Democrat Waterbury, CT
Article from Waterbury Evening Democrat, January 21, 1905

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DOORS CLOSED. Lancaster Trust Company Hopes To Ee Able To Pay Its Debts in Full. Lancaster. Pa, Jan 21.-The following notice was posted on the doors of the City Savings Fund and Trust Co to-day: "The directors of this company have decided to close its business. They feel confident all debts will be paid in full." The company was organized in 1902 with a capital stock of $130,000. Rumors of the impending failure have been rife for several months. At the time of the organization the resources were announced as $1,146,342. Prior to that time the business was conducted as a private banking institution under the name of D. P. Locher & Son. The last statement of the company on June 4, 1904, gave the resources at $1,488,657. the principal items of which were commercial and other paper to the amount of $812,851, time loans upon collateral $358.068, and stocks and bonds $214.183. The cash on hand at that time was $18.362. The deposits amounted to $1,139,571. There has been a quiet run on the bank for several months which became more pronounced after the death of its former president. Charles H. Locher, last fall. To-day it was said that the alarm of the depositors during the present week made the closing of the bank imperative.

5. January 21, 1905 Alexandria Gazette Alexandria, VA
Article from Alexandria Gazette, January 21, 1905

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TELEGIAPHIC BREVITIES. The City Saving Fund and Trust Company a Lancaster, Pa., has suspended. I had a paid up capital of $160,000. Deposits are situeted at $1,200,000 Just before the trial of Charles T. Tucker, charged with the murder of Miss Msbel Page, was resumed today in Boston counsel for the defense announced that the prisoner would not take the witness stand. The defense later rested and the taking of testimony in the rebuttal by the government was then begun. The Pennsylvania ferryboats Chicago and Washington sollided in the North river, at New York, this morning. The Chicago rammed the Washington, and ripped up the men's cabin. The Chicago was not damaged but there was great excitement and almost a panie among the passengers. Women fainted and men grabbed life preservers. There were few passengers on the Washington. Police Captain Bernard J. Ward was given a verdict of $4,000 in Baltimore this morning against Mrs. Isaac E. Emerson, wife of Mr. Emerson, the millionaire maker of bromo seltzer. Ward sued for ten thousand dollars for slander because when Mrs. Emerson's chaffeur was arrested, for fast driving in Druid Hill Park, she called him a liar, and thief. Two other policemen have $10,000 suits against Mrs. Emerson on the same charge.

6. January 21, 1905 The Seattle Star Seattle, WA
Article from The Seattle Star, January 21, 1905

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LANCASTER, Pa., Jan. 21.-The City, Savings Fund & Trust company suspended today. The capital is $150,000 and deposits are estimated at $1,200,000.

7. January 21, 1905 The Topeka State Journal Topeka, KS
Article from The Topeka State Journal, January 21, 1905

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Trust Company Suspends. Lancaster, Pa., Jan. 21.-The City Saving Fund and Trust company of this city today posted on its doors a notice of suspension.

8. January 22, 1905 The Salt Lake Herald Salt Lake City, UT
Article from The Salt Lake Herald, January 22, 1905

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DEPOSITORS ALARMED. Lancaster, Pa., Trust Company Compelled to Close. Lancaster, Pa., Jan. 21.-The following notice was posted on the doors of the City Savings Fund & Trust company today: "The directors of this company have decided to close its business. They feel confident all debts will be paid in full." The company was organized in 1902 with a capital stock of $150,000. Prior to that time the business was conducted as a private banking institution under the name of D. P. Locher & Son. The last published statement, in June last, gave the resources as $1,488,658; deposits, $1,139,571. There has been a quiet run on the bank for several months, which became more pronounced after the sudden death of its former president, Charles H. Locher, last fall. Today it was stated that the alarm of the depositors during the present week made the closing of the bank imperative.

9. January 22, 1905 The San Francisco Call San Francisco, CA
Article from The San Francisco Call, January 22, 1905

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ALARM OF DEPOSITORS CAUSES BANK FAILURE Suspension Notice Posted on the Doors of a Lancaster Financial Concern. LANCASTER, Pa., Jan 21.-The following notice was posted on the doors of the City Savings Fund and Trust Company to-day: "The directors of this company have decided to close its business. They feel confident all debts will be paid in full." The company was organized in 1902 with a capital stock of $150,000. Prior to that time the business was conducted as a private banking institution under the name of D. P. Locher & Son. It was stated that the alarm of the depositors during the present week made the closing of the bank imperative.

10. January 22, 1905 The Saint Paul Globe Saint Paul, MN
Article from The Saint Paul Globe, January 22, 1905

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News Condensed Washington, D. C.-William J.-Bryan called on President Roosevelt at the White house and was received cordially. Berlin-The strike of coal miners still spreads, but no serious disturbances are reported. The subject was debated in the reichstag. New York-Blood poisoning, caused by the pinch of a lobster's claws, has caused the death of Otto Zimmerman, a chef in a big Harlem restaurant, Lancaster, Pa.-The City Savings Fund and Trust company has gone out of business after sustaining a run. The directors say they expect to pay in full. Lynedoch, Ont.-John Charlton, former member of parliament, lies in a critical condition, having suffered another stroke of paralysis. This is the second attack in a few months. Paris-The body of Louise Michel, the revolutionary agitator who died at Marseilles, has been brought here. The funeral will take place today with an anarchist demonstration. New York-Dr. Livingston Farrand, professor of anthropology at Columbia university, has been named as head of the national association for the study and prevention of tuberculosis. / Paris-Mr. Nixon's auto boat Gregory has been entered in the Toulon-Algiers auto boat race, which appears to settle the destination of the vessel, which heretofore has caused comment. St. Louis-The bronze bust of Emperor William II., which was one of the features of Germany's exhibit at the world's fair, will be formally presented to this city Jan. 27, the emperor's birthday anniversary. Washington-The president has directed the appointment of a joint board of army and naval officers to consider the advisability of the introduction of the study of

11. January 22, 1905 The Saint Paul Globe Saint Paul, MN
Article from The Saint Paul Globe, January 22, 1905

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Lancaster, Pa.-The City Savings Fund and Trust company has gone out of business after sustaining a run. The directors say they expect to pay in full.

12. January 22, 1905 New-York Tribune New York, NY
Article from New-York Tribune, January 22, 1905

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PENNSYLVANIA BANK CLOSES. A Quiet Run on Lancaster Trust Company Had Continued for Months. Lancaster, Penn., Jan. 21.-The following notice was posted on the doors of the City Savings Fund and Trust Company to-day: The directors of this company have decided to close Its business. They feel confident all debts will be paid in full. The company was organized in 1902 with $150,000 capital. Rumors of the impending failure have been rife for several months At the time of the organization the resources were announced as $1. 146,342 Prior to that time the business was conducted as a private banking institution under the name of D. P. Locher & Son. The last published statement of the company, on June 4. 1904. gave the resources at $1,488,637. The cash on hand at that time was $18.362. The deposits amounted to $1,189,571. There has been a quiet run on the bank for several months. which became more pronounced after the sudden death of its former president. Charles H. Locher, last fall.

13. January 23, 1905 The Madison Daily Leader Madison, SD
Article from The Madison Daily Leader, January 23, 1905

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TRUST COMPANY SUSPENDS. Notice Posted on Doors of Lancaster (Pa.) Institution. Lancaster, Pa., Jan. 23.-The following notice was posted on the doors of the City Saving Fund and Trust company during the day: "The directors of this company have decided to close its business. They feel confident all debts will be paid in full." The company was organized in 1902 with a capital of $150,000. Rumors of the impending failure have been rife for several months. At the time of the organization the resources were announced as $1,146,342. Prior to that time the business was conducted as a private banking institution under the name of D. P. Locher & Son.

14. January 25, 1905 East Oregonian : E.O Pendleton, OR
Article from East Oregonian : E.O, January 25, 1905

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The City Savings Fund and Trust company, of Lancaster, Pa., has suspended. The capital is $150,000. Deposits are estimated at $1,200,000.

15. February 17, 1905 Evening Journal Wilmington, DE
Article from Evening Journal, February 17, 1905

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Judgments imponded Bank. Lancaster, Pa., Feb. 17.-The state filed a judgment bond for $65,000 against the directors of the suspended City Savings Fund and Trust Company. The state had $45,000 on deposit when the bank closed. H. D. Bausman, one of the directors, confessed the judgment in favor of his wife for $14,073.52, and one in favor of his son for $1500. Two additional judgments were filed to the amount of $2100.

16. February 22, 1905 The Fulton County News McConnellsburg, PA
Article from The Fulton County News, February 22, 1905

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THE KEYSTONE STATE Latest News of Pennsylvania Told in Short Order. In court, at West Chester, a jury awarded $825 to Mrs. Ellen M. Kennedy, wife of James G. Kennedy, a merchant of Coatsville, in a suit brought against the Pennsylvania Railroad Company to recover $4000 damages for injuries which Mrs. Kennedy sustained in Broad Street Station, Philadelphia, on the night of October 24, 1904, when she was jostled, thrown down and trampled by a party of young men, said to be students, who had gathered at the station to welcome back a football team. Mrs. Kennedy received injuries to her back and other portions of her body. Her attorneys declared the company was negligent in permitting the assemblage of the students and their disorderly conduct. For the defense it was contended that all reasonable precautions had been taken for the protection of the patrons of the road. Judge Hassler, at Lancaster, has appointed City Controller J. Harry Rathfon permanent receiver of the defunct City Saving Fund & Trust Company. The City Finance Committee decided to notify the directors of the company, who are on the city bond that they must confess judgment to the city for $75,000, payable immediately, or involuntary bankruptcy proceedings would be instituted. The directors confessed judgment in the sum named, but made it payable on October 1, 1905, and the city refused to accept this. A conference of the authorities was held but no definite action was taken. At a meeting of the directors they jointly confessed collateral judgments aggregating $417,307.15 to protect all the creditors. The largest individual judgment was that of Robert E. Locher, a brother of the late president, Charles H. Locher, being for $107,000. Among the letters received by the Board of Pardons in behalf of Mrs. Kate Edwards is one from a woman in Chicago, who asks that the life of the murderess be spared. Five cents worth of postage stamps are inclosed in the note. The writer says she understands hat Mrs. Edwards is very fond of ice cream soda and asks that one be purchased for her. The request and stamps have been forwarded to Reading. Burgess C. H. Pennypacker and James E. McFarlan, of West Chester, while on their way to a public sale at the Vance farm, near Guthrieville, were upset in a huge snow drift in the highway. As Burgess Pennypacker was not wearmg his high hat, that noted headgear !scaped injury, and no serious damage resulted, save that snow got into the tars and whiskers of the two travelers. Mrs. Charles Blanning, who resides in the East End, was shot in the neck by Ernest S. Looringer. Looringer was arrested and at the hearing it was testified that Mrs. Blanning and Miss Carrie Butler were returning to the former's home when Looringer followed and tried to get into the house. The women became frightened and left the house Looringer ran after them and overtook them about fifty feet from the house, when, it is alleged, he threw Mrs. Blanning to the ground and shot her, causing a deep wound in the young woman's neck. After the shooting Looringer assisted in carrying the wounded woman to her home and himself went for the physician. He was at her bedside when arrested. He admits doing the shooting, but refuses to discuss the matter. The feature of the meeting of the Associated Health Authorities and Sanitarians of Pennsylvania at Harrisburg, was a general discussion on the subject of tuberculosis, which was participated in by Dr. Leonard Pearson, of the University of Pennsylvania, State veterinarian, who dealt with the subject of legislative measures in relation to the disease in animals; Dr. Charles J. Hat field, on "Infection;" Dr. Joseph Walsh on "The Necessity of Early Diagnosis:"

17. March 17, 1905 Perrysburg Journal Perrysburg, OH
Article from Perrysburg Journal, March 17, 1905

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Happenings of the Last Five Days Narrated in Few Words as Possible. DOMESTIC AND FOREIGN Items Arranged for the Readers In This Busy World So that They Can Digest the Contents in a Few Minutes. CONGRESSIONAL. After a session of seven minutes out on of the senate adjourned late respect the 9th to the memory of the Senator Bate. The only legislative business was trans- in in the senate on the 10th Bate, relation acted to the death of Senator service Tennessee, whose funeral in the was of held in the senate chamber afternoon. senate on the 13th spent its Do- enThe time in discussion of the San tire treaty, in executive session. devoted mingo the 14th the senate of the all On time to the consideration of San its Domingo treaty and the confirmation of appointments. 4,000 Chinese are practically Most of Nearly in San Francisco. northern them starving are employed in the fisheries. Vineland, N. J., the plant Co. of was the At Candy Manufacturing loss of destroyed Sagel by fire, entailing a $50,000. main line of the Baltimore bridge & The is tied up as a result of a W. Ohio out just east of Grafton, both Va. washing Through trains are held on sides. The new boys high school in Phila- than built at a cost of more fire and $1,500,000, delphia was damaged by $150,000. water to the extent of about hoistseven men were being While the carriage in the Clear Spring rope ed colliery in at West Pittston, Pa., the to the and the men were hurled All killed. broke bottom, a distance of 250 feet. were bill to establish the whipping the The wife beaters failed in post for house of the Michigan legis- favor There were 45 votes requires it and 37 against, but it of lature. lower measure. in 51 votes to pass the the A terrible explosion occurred in Vale, Cambrian colliery at Clydach to 30 Wales. It is feared that 20 miners have beeen killed. In a decision handed down the by the suConnecticut supreme court declaring perior court is upheld in Philo S. the sealed letter in the of Bennett that will containing a bequest not a $50,000 to William J. Bryan is part of the Bennett will. Joseph Jobst, driver of a brewery comshot his wife and then Ind. The wagon, mittted suicide at Fort Wayne, woman will live. She had applied for divorce. No a flood since 1888 has wrought Mor- the done by high waters at & damage W. Va. The Baltimore Kingwood gantown, Ohio and Morgantown & railroads were both paralyzed. The Marion county, Ind., grand jury the has been investigating legiswhich of bribery made in the A. Balature charge against ex-Senator indictment O. has returned an unknown. against ker him. Baker's whereabouts are steamer James C. Wallace, launched the The largest steamer ever Lorain, second lake use, was launched at for of the American Shipbuild- the ing O., yards Co. The boat was built for Acme Steamship Co. At Morgantown, W. Va., the county has issued an order requiring and assessors court to tax all leases for and oil also personal property, gas ordered as the prosecuting attorney of five to suit for the recovery method years' bring taxes based upon this of taxation. Mrs. Nancy Kelly, the oldest white Baltiwoman in Maryland, is dead oldest at livaged 107 years. Her daughter 63. ing more, son is 72 and her youngest Robbers set fire to a warehouse to- at and the structure, Muncy, with Pa., the stores of Jacob two Per gether Lewis Smith & Sons and total and dwellings were destroyed. The loss The is first $50,000. movement in the occurred big ice at Kittanning, Pa., about gorge recently, when the mass moved A frame feet and then stopped. river bridge 1,500 spanning the Allegheny above Cowanshannoe, a few miles at was moved and rendered ice. useless Kittanning, by the movement of the people are missing. Two The missionary board of the United from in Christ has dropped WilBrethren rolls of the church Daniel F. was berforce, the a native African, who brought to this country as a child and by after being educated was returned misboard to his old tribe as a board the It is charged by the stonary. that after a service of 25 years as has a missionary the negro minister been lured back to heathenism. Shilling & Co., private bankers The of Columbiana, O., hav assigned. and liabilities are not given, assets but the proprietors declare they expect to dollar for dollar. Two pay persons were probably fatally miracinjured, a number of others had prop. ulous escapes and considerable was wrecked by an explosion from of natural erty gas a short distance Erie, Pa. The appraisers of the City Savings Pa., and Trust Co., of Lancaster, toFund filed their report, placing the have assets of the defunct institution at $950,000. $759,378 tal and the liabillities at about

18. November 1, 1905 The Star Reynoldsville, PA
Article from The Star, November 1, 1905

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As a result of an accident at the Franklin plate mill at Johnstown, operations there will be suspended for about two weeks and 300 skilled workmen thrown out of employment. The accident was caused by a break in the machinery. The mill was rushed with orders, many of which were for armor plate. Deputy Attorney General F. W. Fleitz furnished State Highway Commissioner J. W. Hunter with an opinion that the State funds may be used to put the historic old National Cumberland road in good condition and make such permanent repairs as may be necessary in connection with the specific appropriation made by the last Legislature for that purpose. The receiver of the defunct City Savings and Trust Company of Lancaster filed his first account with the court. It show a balance for distribution of $237,491.05. The liabilities of the bank were $900,000 and the State had a deposit therein of $45,000. While picking apples from a tree near the old stone house at Puckety church, Westmoreland county, Frank Sterling, 50 years old, a Bohemian, was thrown to the ground by the breaking of a limb and died from his injuries. He leaves a wife and four children. Fire originating simultaneously in three places in the central part of the borough of Ridgway, destroyed the opera house, the finest in this section, the loss on the building amounting to $60,000. Two barns were also destroyed. There is unmistakable evidence of incendiarism. Andrew Conoghan, 25 years old, of Crabtree, was killed on the Pennsylvania railroad, near Beatty. Henry Hays of Hempfield township was killed in the Radebaugh tunnel. He was 50 years old, and is survived by his wife and three sons. Paul Donato, 20 years old, of Ludwick, was killed on the Radebaugh branch. Three masked men robbed the residence of Mrs. Margaret Wheeler and her sister, Mrs. J. M. Donaldson, at Henderson, Mercer county, after beating the women. The robbers missed $350. William Nesbit, 63 years old, was found dead in the office of Mayor E. W. Blackburn, of Latrobe. Mr. Nesbit formerly lived in Pittsburg and leaves a wife and daughter. A. G. Wilson, 50 years old, a retired farmer of near Hookstown, was killed by a train at Economy. Rev. Dr. R. M. Russell, pastor of the Sixth United Presbyterian Church, Pittsburg, has accepted the presidency of Westminster college at New Wilmington, and will leave his present congregation early in the spring. Jesse B. Sipes of Jeannette, died in the hospital in Greensburg from an overdose of laudanum. He was 46 years old and leaves a wife and several children. Miss Louise, daughter of Mrs. Jennie Kennedy, of New Brighton, was seriously burned, her clothes catching fire from a gas burner.

19. November 24, 1905 New-York Tribune New York, NY
Article from New-York Tribune, November 24, 1905

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HEAVY LOSSES TO DIRECTORS. Receiver Says They and One Family Had Half of Trust Company's Funds. Lancaster, Penn. Nov. 23.-J. Harry Rathfon, receiver of the City Trust and Savings Fund Company. which suspended business last January. today made public the report of the expert accountant who has been employed upon the books of the institution. It shows that, while an affidavit was filed upon the institution of the company that 10 per cent of the capital stock had been paid in, this was not a fact. The expert devotes a large part of his report to the purchases of bonds and securities by C. H. Locher, president of the bank, now dead, and his sale to trust estates in which he was interested. The figures given show that Locher bought the bonds at one price and simultaneously charged the estates a higher price. It is further shown that when the company failed the Locher family and directors owed $632,801 37, which was considerably over one-half of the total loans, and more than two and a half times as much as the capital stock, surplus and profits.

20. November 24, 1905 Evening Star Washington, DC
Article from Evening Star, November 24, 1905

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Grain, Provisions and Cotton Markets. CHICAGO, November 24.-Grain: Low. Close. Open. High. Wheat-Dec 83% 84½ 831/8-1/4 83%-7/3 86% May 87% 87-1/3 861/2-5/8 Corn-Dee 44 44½ 44% 44½ 44 May 44 43% 43½ Oats-Dec 29% 29% 291/4 29½ 32 May 32 31% 31%-% CHICAGO, November 24.-Provisions: Low. Open. Close. High. Pork-Jan 12.80 18.00 12.80 12.90 Lard-Jan 6.90 6.92 6.90 6.90 Ribs-Jan 6.62 6.65 6.60 6.65 NEW YORK, November 24.-Cotton: Low. Open. High. 2:30. December 11.18 11.21 11.13 11.17 11.38 11.44 January 11.34 11.39 March 11.62 11.69 11.60 11.57 11.74 May 11.79 11.68 11.70 Trust Company Looted by Officers. J. Harry Rathfon, receiver of the City Trust and Savings Fund Company, which suspended business last January, at Lancaster, Pa. made public the report of the expert accountant who has been employed upon the books of the institution. It shows that while an affidavit was filed upon the institution of the company that 10 per cent of the capital stock had been paid in, this was not a fact. The expert devotes a large part of his report to the purchases of bonds and securities by C. H. Locher, president of the bank, now deceased, and his sale to trust estates in which he was interested. The figures given show that Locher bought the bonds at one price and simultaneously charged the estates a higher price. It is further shown that when the company failed the Locher family and directors owed $632,801.37, which was considerably over one-half of the total loans and more than two and a half times as much as the capital stock, surplus and profits.

21. July 20, 1906 Milford Chronicle Milford, DE
Article from Milford Chronicle, July 20, 1906

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CHARGED WITH EMBEZZLEMENT Warrant Issued For David Locher, President of Defunct Trust Co. Lancaster, Pa., July 17.-A warrant was issued by Alderman Moser, of this city, for David R. Locher, of Philadelphia, on a charge of embez zlement. The accused succeeded his father, the late C. H. Locher, as president of the City Trust company, of this city, in October, 1904. Three months later the institution failed owing depositors $1,000,000. The prosecutor in this suit, John eit, of Columbia, alleges that three days before the bank closed its doors he deposited $900, and he claims that at that time Locher knew that the bank was insolvent. An officer left for Philadelphia to serve the warrant. D. R. Locher has frequently stated on the witness stand that he did not know the bank was insolvent until the night before it failed. He is well known in financial circles in Phila delphia and was treasurer and receiver of the Eastern Milling and Ex. port company of that city.