Bank of Thornton (Thornton, IA)

Episode Information

Episode UID
2138260291277
Episode Type
Suspension → Closure
Bank Type
private
Bank ID
213826029 hash
Start Date
May 10, 1906
Location
Thornton, Iowa (42.945, -93.385)

Metadata

Model
gpt-5-mini (chosen from majority vote of a three-model LLM ensemble)
Short Digest
89d47782e7a75e0a

Response Measures

None

Description

May 10, 1906 assignment to an assignee indicates failure/closure rather than a temporary suspension.

Events (2)
1. May 10, 1906 Receivership
Newspaper Excerpt
made an assignment today to G. E. Downing, of Mason City, for the benefit of the creditors.
Source
newspapers
2. May 10, 1906 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Endorsement of notes and speculative losses on land (and cattle) produced a shortage forcing assignment/suspension of business.
Newspaper Excerpt
The Bank of Thornton, a co-partnership ... made an assignment today to G. E. Downing, of Mason City, for the benefit of the creditors.
Source
newspapers

Newspaper Articles (4)
1. May 10, 1906 Evening Times-Republican Marshalltown, IA
Article from Evening Times-Republican, May 10, 1906

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Article Text

Endorsement of Notes and Land Speculation Forces Bank to Make Assignment ABOUT LIABILITIES $12,000 Estimated That the Assets Will Be Sufficient to Pay All DepositorsAnother Bank Opened at Thornton by Mason City Parties-Two Killed in Boiler Explosion. Special to Times-Republican. Mason City, May 10. The Bank of Thornton, a co-partnership existing between J. D. Barlow and G. L. Esler, made an assignment today to G. E. Downing, of Mason City, for the benefit of the creditors. The liabilities are given as $12,000 and the assets, it is claimed, will cover the losses of deposItors. The City National Bank of this city held collateral paper against the farmers in the vicinity of Thornton and is amply protected. Speculation in land is said to have been the cause of the shortage. Another firm plans to open for business immediately. Barlow has run a private bank at Thornton since the town started. Ehlers came from Plymouth two years ago. Both are turning in personal property to the assignee and the total assets is expected to pay out the creditors. Endorsement of notes by Barlow, which were sold and not met by the makers made the bank holders and relief was not forthcoming from correspondents in time to save them. W. G. C. Bagley, assistant cashier of the First National of Mason City, opened a new bank there this morning. It is expected that Barlow and Ehlers will get on their feet again.

2. December 17, 1906 Evening Times-Republican Marshalltown, IA
Article from Evening Times-Republican, December 17, 1906

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Article Text

THORN. ON BANKERS INDICTED Two Officials Charged With Embezzlement and Fraud. Special to Times-Republican. Mason City, Dec. 17.-The grand jury last Saturday night concluded its investigations of the failure of the bank at Thornton. The grand jury reported three indictments. Two are against J. D. Barlow, president, for embezzlement and fraudulent banking; one against Fred Ehlers. Jr., the cashier. for fraudulent banking. Speculation in lands and cattle is alleged to have been the cause of suspension of business. Cashier Ehlers is the son of Banker Ehlers an old and respected resident of Cerro Gordo county, and for years president of the Bank of Plymouth. He is about 25 years old. Barlow is said to be in New Mexico, but his friends say that he will return to face the charges without further trouble. The court set the time for arraignment for January 2.

3. December 17, 1906 The Minneapolis Journal Minneapolis, MN
Article from The Minneapolis Journal, December 17, 1906

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Article Text

BANKERS INDICTED Barlow and Young Ehlers of Thornton, Iowa, Bank Face Prosecution. Special to The Journal. Mason, City, Iowa, Dec. 17.-The grand jury has reported three indictments against officials of the Bank of Thornton, two more against J. D. Barlow, president, for embezzlement and fraudulent banking, and one against Fred Ehlers, Jr., cashier, for fraudulent banking. Speculation in lands and cattle is alleged to be the cause of the suspension. Cashier Ehlers is a son of Banker Ehlers. an old and respected resident of the county and for years president of the bank of Plymouth. He is about 25 years old. Barlow is reported to be in New Mexico. Friends say he will return to face the charges. The court set the arraignment for Jan. 2.

4. September 7, 1907 Evening Times-Republican Marshalltown, IA
Article from Evening Times-Republican, September 7, 1907

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Article Text

CERRO GORDO DISTRICT COURT. Nearly 100 Cases Filed, Some of Them of Considerable Interest. Special to Times-Republican. Mason City, Sept. 7.-Nearly a hundred cases have been filed in the district court the past week, which, with other business left over from last term, will make the coming September term, probably one of the longest and busiest of any terms in many years. Court convenes September 16, with Judge C. P. Smith on the bench, and preparations are being made for as rapid work as possible. While the cases are more or less of a minor character, there are a few which will create considerable interest. Mrs. Belle Londergan, wife of Con Londergan, one of the principals in the cases against the Bank of Thornton, has filed suit asking for a full accounting of the proceeds of what is known as the Londergan farm, assigned to J. D. Barlow. president of the defunct bank prior to his assignment. She alleges to have purchased the farm for $13,500 in 1901 and to have paid $500 down and given notes for the balance, that later that year this farm was assigned to Barlow, but