22530. German Exchange Bank (Chilton, WI)

Bank Information

Episode Type
Suspension → Closure
Bank Type
private
Start Date
July 19, 1901
Location
Chilton, Wisconsin (44.029, -88.163)

Metadata

Model
gpt-5-mini
Short Digest
2a720e63

Response Measures

None

Description

No newspaper account describes a depositor run. State bank examiner found the institution insolvent and closed it; a receiver was subsequently appointed. Causes cited are injudicious loans and insolvency (large unsecured loans to H. Zeck & Co.).

Events (2)
1. July 19, 1901 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Examiner found insolvency due to injudicious loans (large loans to H. Zeck & Co. and other unsecured assets); liabilities far exceeded realizable assets; examiner ordered closure.
Newspaper Excerpt
Chilton, Wis., July 18.-The German Exchange bank of Chilton ... was closed today by order of State Bank Examiner E. I. Kidd, of Madison, who has been making an examination of the condition of the institution
Source
newspapers
2. July 25, 1901 Receivership
Newspaper Excerpt
Judge Clementson ... has appointed R. F. Connell, of Calumet county, receiver for the German Exchange bank, of Chilton. The bond is $500,000.
Source
newspapers

Newspaper Articles (14)
1. July 19, 1901 The Topeka State Journal Topeka, KS
Article from The Topeka State Journal, July 19, 1901

Click image to open full size in new tab

Article Text

INJUDICIOUS LOANS. Call For a Receiver For a Bank at Chilton, Wisconsin. Oshkosh, Wis., July 19.-AttorneyGeneral Hill has made application for the appointment of a receiver for the German Exchange bank of Chilton, Calumet county, Wisconsin. The application was made upon the report and demand of State Bank Examiner Kidd, who has just concluded an examination of the affairs of the bank. The liabilities of the institution are placed by Mr. Kidd at $600,000; the net assets will not exceed $400. The German Exchange bank is a private concern and is owned by Theodore and Henry Kersten. The capital stock of the bank is only $50,000, but it had deposits, most of them on certificates, amounting to $620,000. The money be-

2. July 20, 1901 Bismarck Daily Tribune Bismarck, ND
Article from Bismarck Daily Tribune, July 20, 1901

Click image to open full size in new tab

Article Text

LIABILITIES OF OVER $600,000. German Exchange Bank of Chilton, Wis., Forced to Suspend. Oshkosh, Wis., July 20.-Before Judge Burnell of the circuit court Attorney General Hicks made application for the appointment of a receiver for the German Exchange bank of Chilton, Calumet county, Wis. The application was made on the report and demand of State Bank Examiner Kidd, who has just concluded an examination of the affairs of the bank. The liabilities of the institution are placed by Mr. Kidd at $600,000; the net assets not to exceed $400,000. The German Exchange bank is a private concern and is owned by Thecdore and Henry Kersten. The former has been prominent in Democratic politics in the state and in German soclety.

3. July 25, 1901 Rock Island Argus Rock Island, IL
Article from Rock Island Argus, July 25, 1901

Click image to open full size in new tab

Article Text

Receiver for the Bank at Chilton. Oshkosh. Wis.. July 25.-Judge Clementson. of the circuit court, has appointed R. F. Connell, of Calumet county. receiver for the German Ex change bank, of Chilton. The bond is $500,000.

4. July 25, 1901 The Washburn Times Washburn, WI
Article from The Washburn Times, July 25, 1901

Click image to open full size in new tab

Article Text

Chilton Bank Fails. Chilton, Wis., July 18.-The German Exchange bank of Chilton, of which Theodore Kersten, well known in Democratic politics and conspicuous as one of the leading gold Democrats of this part of the state is president, was closed today by order of State Bank Examiner E. I. Kidd, of Madison, who has been making an examination of the condition of the institution since the latter part of May and who arrived here last evening to attend to winding up the affairs of the bank. The liabilities are given by Mr. Kidd as about $600,000. The net assets aggregate $350,000 to $400,000. and will not exceed 70 per cent of the liabilities. The cash on hand at the present time is $145,000, while a week ago it was up to $175,000. The bank was a private copartnership enterprise, organized by Kersten Brothers in 1875, with a capital stock of $50,000. The president is Theodore Kersten and the cashier Henry Kersten, both men of high standing in the community. The assets of the bank are derived most entirely from local deposits of farmers in the surrounding country. The bulk of the deposits, about $570,000, is in time certificates, the balance, some $46,000, being subject to call of depositors. The bank has loaned a great part of this money to H. Zeck & Co., operators of a large sawmill and manufacturing plant at Crevitz, Wis., in the upper part of Marinette county. Zeck & Co., owned 15,000 or 20,000 acres of land, which was devoted to a Polish colonization venture. The loans to Zeck & Co., aggregate $360,000, only part of which is considered protected by good security. When State Bank Examiner Kidd made his finding at the close of banking hours Wednesday he immediately notified Attorney General E. R. Hicks of the insolvency of the institution. Thereupon the attorney general made application to Judge G. W. Burnell, of Oshkosh, of the Third judicial circuit district, in which Calumet is located, for a receiver. The arguments for the application will be heard Saturday at 2 p. m. at Oshkosh. An Oshkosh man, it is said, is likely to be recommended for the receivership. Until last winter the statutes of the state simply authorized the state bank examiner to examine banks and if they were found shaky to notify the bank officials to remedy matters. If they failed to heed his warning within thirty days all he could do was to publish in the newspapers the conditions he found. He could not close the bank. If a bank could get ready money to allay the suspicions of depositors when they applied for their holdings the banker was enabled to keep the institution going right in the face of the state examiner's report, even though the bank was in an insolvent condition. Last winter, however, the legis-

5. July 25, 1901 Wood County Reporter Wisconsin Rapids, WI
Article from Wood County Reporter, July 25, 1901

Click image to open full size in new tab

Article Text

CHILTON BANK CLOSES. German Exchange in Charge of Deputy Examiner. Chilton, Wis., July 19.-The German Exchange bank of this city has been closed. Deputy Bank Examiner Bartz is now in charge of the institution. A receiver has been applied for. Theodore Kersten is president and Henry Kersten cashier. The capital stock is $50,000. Oshkosh, July 19.-Before Judge Burnell, in the circuit court yesterday, Attorney General Hicks made application for the appointment of a receiver for the German Exchange bank at Chilton. The application was made upon the report of State Bank Examiner Kidd, who just concluded an examination of the affairs of the bank. The liabilities of the institution are placed by Kidd at $600,000. The net assets will not exceed $400,000. The concerns deposits of $620,000 belong mostly to farmers and laboring people. Injudicious loans are stated to be the cause of the embarrassment.

6. July 26, 1901 Marshall County Independent Plymouth, IN
Article from Marshall County Independent, July 26, 1901

Click image to open full size in new tab

Article Text

MINOR EVENTS OF THE WEEK Items of General Interest Told in Paragraphs. COMPLETE NEWS SUMMARY. Record of Vappenings of Much or Little Importance from All Parts of the Clvlized World-Incidents. Enterprises, Accidents, Verdicts. Crimes and Wars. First clash in the great conflict occurred at McKeesport, Pa., and was caused by reported attempts of employers to import nonunion workers. Cardinal Martinelli, representing the pope, dedicated St. Jos phat's Roman Catholic church in Milwaukee, the ceremonies being witnessed by 4,000 people. Closing meetings of the Epworth League convention at San Francisco were attended with great enthusiasm. Many delegates started homeward. Heat Sunday reached 103 degrees at Chicago's official thermometer and 118 degrees on the street level, all former records being broken. Two deaths and several prostrations. Heat record broken throughout the corn belt. German Exchange bank of Chilton, Wis., may pay creditors 50 per cent cash lost in bad loans to two concerns which were allowed to borrow without limit Kansas temperance women destroyed a tent saloon at Eldorado and a policy shop at Leavenworth. Fort Scott saloons enjoined by court. Arthur McLaughlin and Effie Tipton eloped at New Ross. Ind. Girl's father chased them ten miles. Postoffice at Mier, Ind., abolished, releasing Postmaster A. L. Fox, who repeatedly attempted to resign. Eighteen incendiary fires last month at Mattoon, Ill., destroyed property worth $2,400,000. Burning ship sighted off Greenland, Mich., but no signs of wreckage could be found. Epworth league convention at San Francisco held sessions at the pavilion and at the Alhambra Theater. Many addresses made. Man and woman arrested at Worcester. Mass., charged with attempt to extort $8,000 from Millionaire C. S. Barton. Rabbi Frey of Wabash Ind., declares he has invented a car that will travel 300 miles an hour over sea or land. Governor Durbin, in letter to State Department. denied story that Italian Consul was refused admission to hospital at Peru, Ind., where injured Italians were cared for. Union molders in several cities offered aid to the Chicago strikers. All hope of compromise in steel strike was ended by declaration of J. Pierpont Morgan upholding combine's stand Arbitration board gave up attempt to secure a conference. President Shaffer still confident of victory. Letters found in Steyn's captured baggage reveal the desperate plight of the Boers. Ammunition nearly gone, threatened by a famine, and the force in the field disrupted by desertions. Arnesti Z. Gomez, who claimed to be a grandson of General Gomez, committed suicide in the Midway of the Buffalo exposition after trying to kill proprietor of "Streets of Mexico." International Epworth League convention opened at San Francisco with delegates present from all parts of the world. Welcomed by governor and mayor. German Exchange Bank of Chilton, Wis., failed. with liabilities of $600,000 and $400,000 assets. Receiver asked by the attorney general. War between the sugar trust and the beet sugar manufacturers of California is about to open. Tolstoi passed crisis in his sickness and is out of danger. P. E. Paulen of Chicago committed suicide by hanging himself with strap used by daughter for her school books St. Louis man went to sleep in barrel of tar and had to be chopped out. Scattering rains in the droughtstricken corn belt check the work of destruction, but drenching floods are needed to save the remnants of the crop. W. R. Miller, station agent of the Metropolitan Elevated road, shot and severely wounded in fight with holdup men, who robbed Hoyne avenue station at Chicago. The village park at Allegan, Mich., recently purchased by the council, has been renamed Pingree Park in honor of the late ex-governor. Robert McKee. a school teacher, was drowned in Big Muddy river near Murphysboro, III.. while swimming. His companion, Elmer Warson, had a narrow escape from death in trying to save the former. President Shaffer charges the steel combine is using its $200,000,000 reserve fund to sustain the market and thus hurt the strike cause. Federation of Labor promises the strikers $500,000 weekly. Mayor Jones of Toledo fined $5 and costs for contempt of court. Alexander Bush, postmaster at Mills, New Mexico, has been arrested, charged with embezzling postal funds. Ethel Fitch and Annie Gunn were drowned in the Mahoning river at Youngstown, Ohio. The little girls were in bathing and went beyond their depth. Martin Dewitt was seriously burned and his wife probably fatally by the explosion of gasoline at Grand Rapids, Mich. They were exterminating bedbugs with gasoline, and the explosion came when they brought a lamp into the room. August M. Chenidlin, 75 years old, was crushed to death at St. Paul, Minn., by the wheels of a fire engine.

7. July 26, 1901 The Pioneer Express Pembina, ND
Article from The Pioneer Express, July 26, 1901

Click image to open full size in new tab

Article Text

BANK CLOSES ITS DOORS. German Exchange Bank of Chilton, Wis., Forced to Suspend. Oshkosh, Wis., July 19.-Before Judge Burnell of the circuit court yesterday, Attorney General Hicks made application for the appointment of a receiver for the German Exchange Bank of Chilton, Calumet county. The application was made on the report and demand of State Bank Examiner Kidd,. who has just concluded an examination of the affairs of the bank. The liabilities of the institution are placed by Mr. Kidd at $60,000; the net assets not to exceed $40,000.

8. August 1, 1901 Wood County Reporter Wisconsin Rapids, WI
Article from Wood County Reporter, August 1, 1901

Click image to open full size in new tab

Article Text

Domestic. Chicago July wheat, 703/4c. Wool trust began a war on prices to get control of the market. Richard L. Sprague was appointed consul to Gibraltar. Two ranchmen killed 300 rattlesnakes near Interior, S. D. Detroit celebrated the anniversary of Cadillac's landing there 200 years ago. Professor E. W. Abbott of Butler university was drowned near Indianapolis. The northern half of Barron island was given to La Crosse, for park purposes. J. Pierpont Morgan was given complete control of the Northern Pacific railroad. The anti-ticket scalping law of New York state was declared unconstitutional. A well flowing 100 barrels of oil per hour is reported from Sunnybrook, Ky. The Sisseton Indians will receive $100,000 from their trust fund at an early day. R. A. Connell was appointed receiver of the German Exchange bank at Chilton, Wis. A mob at Elkins, W. Va., lynched a negro who had mortally wounded the chief of police. The bodies of six men, seemingly victims of a blizzard, were found on a Klondike trail. Jesse Phillips, the negro who killed Lucius Reed, near Cleveland, Miss., was lynched. The sun's rays concentrated by plate glass windows started an $80,000 fire at Sioux City. Ex-Judge J. W. Champlin of the Michigan supreme court died at Grand Rapids. The Younger brothers are to work as salesmen for a Minnesota gravestone manufacturer. A deplorable condition of affairs exists in El Reno, Okla., as a result of the rush for land. Twelve fires occurred in Minneapolis, one of which destroyed the old Theatre Comique. Kansas City republicans are planning to organize the state in the interest of Roosevelt for president in 1904. The Grand Rapids lodge won the prize for the best display of the Elks' parade at Milwaukee. Mrs. Carrie Nation has been sentenced to 30 days' imprisonment for raiding a Topeka joint. A man who leaped from the Brooklyn bridge was killed by a steamboat passing directly beneath. Mrs. Annie Silliman, a society woman, is running a dairy and milk route at Vineland, N. J. Thomas L. Leedon, a pioneer carpet manufacturer of Philadelphia, is dead, aged 73 years. The Iowa corn crop will amount to over fourteen million bushels if no further damage is done. Reports received by the department of agriculturel indicate that Russian crops are failing. An operation on the stomach of a New Jersey farmer relieved him of a frog five inches in length. A stretch of country 30 miles square is to be used at Fort Riley, Kans., for military maneuvers. It is said the city of Chicago faces bankruptcy because it is conducted under an antiquated charter.

9. August 1, 1901 Northern Wisconsin Advertiser Wabeno, WI
Article from Northern Wisconsin Advertiser, August 1, 1901

Click image to open full size in new tab

Article Text

Domestic. Chicago July wheat, 70%c. Wool trust began a war on prices to get control of the market. Richard L. Sprague was appointed consul to Gibraltar. Two ranchmen killed 300 rattlesnakes near Interior, S. D. Detroit celebrated the anniversary of Cadillac's landing there 200 years ago. Professor E. W. Abbott of Butler university was drowned near Indianapolis. The northern half of Barron island was given to La Crosse, for park purposes. J. Pierpont Morgan was given complete control of the Northern Pacific railroad. The anti-ticket scalping law of New York state was declared unconstitutional. A vell flowing 100 barrels of oil per hour is reported from Sunnybrook, Ky. The Sisseton Indians will receive $100,000 from their trust fund at an early day. R. A. Connell was appointed receiver of the German Exchange bank at Chilton, Wis. A mob at Elkins, W. Va., lynched a negro who had mortally wounded the chief of police. The bodies of six men, seemingly victims of a blizzard, were found on a Klondike trail. Jesse Phillips, the negro who killed Lucius Reed, near Cleveland. Miss., was lynched. The sun's rays concentrated by plate glass windows started an $80,000 fire at Sioux City. Ex-Judge J. W. Champlin of the Michigan supreme court died at Grand Rapids. The Younger brothers are to work as salesmen for a Minnesota gravestone manufacturer. A deplorable condition of affairs exists in El Reno, Okla., as a result of the rush for land. Twelve fires occurred in Minneapolis, one of which destroyed the old Theatre Comique. Kansas City republicans are planning to organize the state in the

10. August 6, 1901 Wausau Pilot Wausau, WI
Article from Wausau Pilot, August 6, 1901

Click image to open full size in new tab

Article Text

temno tran weir river while bathing. A young farmer named Yorkshire Hazel Green was run over *and killed near Buneombe by a Northwester freight train. Prof. W. A. Henry of the Agricultura College estimates that the damage Wisconsin crops by drouth is not than $15,000,000. S. C. Davis, a farmer residing a miles from La Crosse, shot a 300-pound cub bear while the animal was attempt ing to get into the house through a win dow. The infant daughter of Mr. and Mrs Charles Shea died in Eau Claire from the effects of drinking kerosene. The father and mother were away visiting. and the child had been left in charge of Paul Verheyden, a farmer of Snamico aged 25 years. was instantly killed by lightning while seated on the doorster of his house between his mother and young sister. The two women were only stunned. A prairie bull snake, 54 inches long white with brown spots, was found curled up on the doorstep of Alexander Dean's residence on Fourth avenue, Claire. by a lady who was about to on Mrs. Dean. Thomas Prickett of Oconto attempted to board a train at Pembine OH the Mil waukee road and was thrown under the ears. One leg and an arm were crushed He cannot live. Prickett is 26 years age and single. In the Circuit Court R. A. Connell Charleston was appointed receiver of German Exchange Bank of Chilton, accordance with petitions of George Phil Tips and 426 other creditors, interested to the extent of $334,000. William G. Bruce has been appointed receiver for the King-Cramer Company printers and engravers of Milwaukee The liabilities are said to exceed $40. 000. The principal asset is the printing plant, valued at $30,000. The Omaha Railroad will be extended east from Spring Valley, a distance of twenty miles, this fall to some timbet owned by Starr of Eau Claire; who helping to pay for the road. It will not go near any other town. Charles La Pearl, who has been hand ling the snukes in a street show at Milwaukee. was bitten by a rattlesnake and is in a precarious condition. This the second time La Pearl has been bitten within a month by a rattler. Joseph Yorkshire, a young farmer liv. ing at Hazel Green. was struck and killed by a freight train. while attempting to drive across the tracks of the Chicago and Northwestern Railway at Buncombe One horse was also killed and the buggy demolished. While frescoing the ceiling of the Ger man Methodist Church in Sheboygan Hugo Kress and William Schulz fel with the scaffolding twenty-six feet low. One of Kress' legs was broken and the other man was badly bruised. Kress is 32 years old and has a family. As a result of the coroner's inquest Patrick Haley, Bradley Mills and Ar thur Murphy were placed under arrest charged with complicity in the murder of Thomas Davis, who was found dead in an alley in Stevens Point. Investigation proved that the old man had been subjected to the most horrible torture fore being left for dead by his assailants The testimony adduced was of a most volting nature and it is hard to believe that savages-to say nothing of civilized human beings-could have perpetrated the atrocities practiced upon Davis and which resulted in his death. While Peter Isaacson was out on his farm near Phillips, mowing hay he was shot through his left side, the bullet pass ing through one rib and coming out near the backbone and going within one inch of his heart. Isaacson fell when shot and no one came to where he was. As half walked he able be

11. August 7, 1901 Rock Island Argus Rock Island, IL
Article from Rock Island Argus, August 7, 1901

Click image to open full size in new tab

Article Text

The Chilton, Wis., Bank. Chilton, Wis., Aug. 7.-At a mass meeting of the creditors of the German Exchange bank, R. F. Connell, receiver of the bank, presented his report showing the total liabilities to be $646,349 and assets about the same. Of the latter over $365,000 is unsecured.

12. August 7, 1901 The Saint Paul Globe Saint Paul, MN
Article from The Saint Paul Globe, August 7, 1901

Click image to open full size in new tab

Article Text

CHILTON BANK SUSPENSION. | Application in Federal Court to Have Receiver Superseded. CHILTON, Wis., Aug. 6.-At a mass meeting of the creditors of the German Exchange bank, R. F. Connell, receiver of the bank, presented his report. The report shows the total liabilities to be $646,349 and assets about the same amount. of the latter over $365,000 is unsecured. The meeting was held to consider Kersten's offer of 75 cents on the dollar in settlement. The meeting was very turbulent. Attorneys for the receiver and the bankers spoke of the bank's affairs. Kersten's attorney claimed that Receiver Connell undervalued a large part of the bank's assets, which statement was refuted by the receiver's attorney. Theodore Kersten refused to speak and was jeered out of the hall. Another meeting will be held as soon as the United States court hands down its decision in the bankruptcy matter. Application was made to Judge Seaman, in the United States court today, for the immediate appointment of a receiver for the Chilton bank, to supersede Receiver Richard F. Connell, who was appointed by the state court. The court was also asked for an injunctional order to restrain Receiver Connell from disposing of the assets of the bank and directing him to surrender the assets of the Kerstens to the receiver of the United States court. A full hearing has been set for Aug. 16.

13. September 26, 1901 The Saint Paul Globe Saint Paul, MN
Article from The Saint Paul Globe, September 26, 1901

Click image to open full size in new tab

Article Text

CHILTON'S BANK FAILURE. State Court Receiver Can't Hear Referee in Bankruptcy. CHILTON, Wis., Sept. 25.-John C. Kleist, recently appointed trustee in bankruptcy in the matter of the failure of the German Exchange bank of this city, has not yet obtained possession of the bank property. R. F. Connell, the receiver appointed by the state court, will continue to hold possession until the circuit court passes upon the case and decides the federal court can intervene.

14. January 18, 1902 Watertown Republican Watertown, WI
Article from Watertown Republican, January 18, 1902

Click image to open full size in new tab

Article Text

Miscellaneous. Three new cases of smallpox have been discovered in Madison since Sunday. John Sommerville, a farmer of New Haven, was killed in a runaway Tuesday. Mrs. William Knapton died at her home in Marshall Monday, aged 74 years. The Masonic lodge of La Crosse will probably build a Masonic temple in that city. Benjamin C. Keig, who murdered his wife and then cut his own throat, died in a hospital at Madison Tuesday night. A curfew ordinance was passed by the city council of Madison last Friday The mayor voted on a tie and the law was passed, Charles Larson, of Manitowoe, was instantly killed while at work on a farm. A tree which he was cutting fell on him. He was 17 years old. The state superintendent of schools has appointed George W. Taylor superintendent of schools of Kenosha county vice William Griffith, resigned. William Schultz fell thirty feet from a building at Beloit Friday fracturing his skull and receiving other injuries. His recovery is doubtful. The three-year-old son of Mrs. Mary Baldwin of Appleton died in a hack Friday on the way to a hospital. The child was ill with pneumonia. H.S. Miller's private bank at Prescott, which was closed by the state bank ex: aminer last August, reopened Monday. The depositors received 80 per cent. Fire Monday morning destroyed the country home of Nicholas Thomas at Somers, Kenosha county. The loss will reach $3000, partly covered by insurance. Julius W. Schmidt. of Burkhardt, shot his wife three times Monday night and then shot himself through the right temple. Schmidt will die but his wife will recover. H. P. Bird, a well known lumberman of Wausaukee, is erecting a library building at Wausaukee which will cost $1000. One room will be especially fitted up for lumber jacks. Work was completed Monday on the Wisconsin river lock improvement at the head of the canal in Portage. The work was commenced last October and cost many of thousands of dollars. Charles Schabow, a farmer living near Appleton, was killed Friday. He was removing the blocking from under a barn which had been raised and the barn dropped to the ground crushing Schabow almost beyond recognition. At a special meeting of the Calumet county board held last week Friday the county treasurer was released from liability for the loss of county funds on deposit in the German Exchange bank of Chilton, which failed last summer. In a hurry to start a fire in a kitchen range Gertie Lomsted, a servant in the home of Frank Redfield at Racine. poured kerosene on the coal. There was a smoldering fire below and an explosion followed and the girls's hands, arms, face, neck and head were terribly burned. Christian Werner, a well known fatmer of the town of Ottawa, Wankesha county, was killed Tuesday morning and his son George seriously injured by being run down by a train on the Northwestern road. They were crossing the track on a load of hay. Both horses were killed. Francis R. Hyland of Stoughton, a junior law student at the state university at Madison was taken ill with the smallpox in his boarding house Sunday afternoon. Eight other students in the house have been same supposed placed to under have quarantine. Hyland is contracted the disease while at Stoughton a few days ago.