22771. State Bank (Milwaukee, WI)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
August 1, 1906*
Location
Milwaukee, Wisconsin (43.039, -87.906)

Metadata

Model
gpt-5-mini
Short Digest
b881ed9f

Response Measures

None

Description

Newspapers report discovery of large embezzlement by cashier Stensland, immediate closing of the State Bank (closed Aug 6, 1906) and appointment of a receiver; depositor lines and anguish reported but the closure was driven by embezzlement (bank-specific adverse info). Receiver paid 20% and further distributions were promised. OCR errors in articles corrected (e.g., 'Stensland', 'Milwaukee, W. Avenue State Bank').

Events (3)

1. August 1, 1906* Other
Newspaper Excerpt
A long line of depositors was waiting ... when the bank was closed; greeted with groans and threats; great suffering and anguish among depositors was reported in the section where the bank is located.
Source
newspapers
2. August 6, 1906 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Discovery of large embezzlement/forgeries by cashier Stensland; bogus mortgages and forged notes amounting to over $1,000,000; bank closed immediately when discovered.
Newspaper Excerpt
The closing of Bank, the doors of which occurred anguish, on Au gust 6
Source
newspapers
3. September 3, 1906 Receivership
Newspaper Excerpt
A receiver appointed by the courts ... Twenty per cent to depositors has been paid and further payments will be made in a short time. Receiver appointed by the courts depositors has ... paid 20 per cent to the savings depositors . . . . The receiver ... (Evening Star / Los Angeles Herald coverage Sept. 3-4, 1906).
Source
newspapers

Newspaper Articles (3)

Article from The Bon Homme County Independent, August 9, 1906

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Article Text

INC Three Milli ing Pe Dep WARRAN 1 tilwaukeo A After Pol A Chicago, 4 S Milwaukee This been looted amoun < the found, of clear It is and by the the pres tro O self, Paul Chicago, Au nue State ba the downtown wors. following Son. W. 1 I Henry tank, is as embezzlen him. missi t I statement gainst State Bank to abouts of the 1 an s without re The unknown first in t 1 the appearance ice revent olicemen, department anticip who 1 ficially that ank had abso Run A The suspicios roused by sigi 3 front of th time large nur coney In the canded their d an assumed t out the turbu welled by the News of the By and soon : he vicinity W rs. The Milwual has organized 4 arpius and the capital who to given be is sto pre add 1900,000, the in la aid. ear in in St. St a ent va resent efalcation tensland Reports President is for the 50.00 is is alleged were wot or initution has - see. It is sa


Article from Evening Star, September 3, 1906

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Article Text

that sent to the Metropole Hotel in mail city from Tangier. for $5,000 Reward for been Capture. offered reward of $5,000 had and since his deA arrest of Stensland, detectives had the from Chicago for many him. Dispatches parture been received on the hunt almost daily that from the all fugitive parts were world, declaring three days ago it of the been seen, and much only positiveness that his had declared with in Brazil and days. that was had been seen matter of a few cashier of arrest he was only Hering, a formerly Bank, learned Henry Milwaukee W. Avenue of the State arrest of said Stensland that alive, the early and he was expressed in surprised the day expressing his that pleasure. Stensland his belief suicide He had that before been the He man taken permitting would himself have . committed that when to be the captured. trial that of he Stens- (Heralso declared on it would Stensland and land had came been a dupe of financial tions. suffered ing) through his show manipula- had least,' Hering Highly Pleased. the "I am highly "It pleased, simply to means say hearing that and my said will be cleared I had no part name Hering. be shown that at the was carried in that it will of the bank, which have been by all the load of that on the looting Stensland. carry So far. I ignominy Stensland com- and pelled to and I hope shoulder now his share. will be compelled said that indicate that Hering anything to him but said instead of suffering. said further to abroad, to Stensland part had never he intended was to going go to the return northern in a short do not know," been who is said the could which time. that woman this "I country he information and have would said Hering, personal led to "who to callers, have the argiven the Stensland had whether many they called on personal rest. but I never office matters knew of the or on state's the business." attorney name of the all the ar- information At the regarding had indirectly announced caused that woman who It was Olsen had since rest was State's refused. Attorney of Stensland. used on of "Olsen." was anxembarking Assistant the son the pursuit that the he name was posed Stensland, as declaring his "father." Stensland who ious by to overtake just ahead of effort him. to As conceal his traveling made no not difficult. trail apparently the following Caused was Much Anguish. Failure the Milwaukee The closing of Bank, the doors which of occurred anguish, on suf- AuAvenue State caused more similar event gust 6, and probably trouble than any It was followed in fering the several west in suicides. many Stensland years. Several lived people a were fast driven by to insanity. money recklessly, another speculated made life, spent and in one $1,000,000 way and of the money of wildly. with about crash came. deaway the bank than before 22,000 the families and the had failure money them. came posited More crushing in the blow bank. to of the the majority depositors of had were in as The a vast majority the maney they they had the wage-earn represented bank able to and save from all the that earnings of note been years. fled northward, "condition leaving a of the Stensland in which the forth, and the son, to his was son, meagerly set Hering. who was at that to bank believing that also Cashier out of the city, 'President of blame time was for the the American trouble, consulted Trust and Savings offiPotter Bank. examination by the and bank the bank A hasty immediately followed, It was then found cers was closed at once. had for years notes, plundered the that Stensland by means of forged embezziejuggling the ment bank and of bogus the mortgages. books, left by direct Stensland found A safety of $1,003,000, in in his the amount items, ranging notes memorandum private of 200 deposit vault each, showed made that amount up of more from than $1,000 part to forgeries. $15,000 The sunk prowere for the transactions of real estate is popularly was fond in ceeds of money the most fluctuations. who thought had Part been to have the of bank's to Cashier Hering, had also the automobile himself gone horses and who surrendered default who is now of in $68,000. has later, to the amount was implicated race of fever. ball and Hering, that he jail has in asserted in the al- At ways denied of the bank, but Stensland. wrecking that he was the the failure dupe of of the bank the deposits the time aggregated of Cent $4,100,000. Paid Depositors. Twenty receiver Per appointed by the courts depositors has The 20 per cent to the will savings be made in a and paid further payments yet problematical how deshort time. ultimately It is be paid to the receivmuch will but it is asserted by time the receive positors, ers the The that greater news the of part depositors the of arrest their of will money. of the in Stensland city excitement. in which was his received bank line is located of depositors was in in the section with great front of A long


Article from Los Angeles Herald, September 4, 1906

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Article Text

BANKER NOW IN CUSTODY one. page the east ascertained that bank he had Africa. $12,000 he would two of Continued left deposited it for from It a was trip that to in a await declarate coast he had and helleving decided to in the this of of Tangier, return A the dispatch the Tribune arrest soon him there. edition of that the a matter of hours was regular morning declared would be only later a that special taken Stensland and four issued declaring into custody. edition fugitive had been Name of Olsen be the his of Goes Under period and interveninatens- arrest name his was learned tween land During has been flight Norway. going under It he the had figured of October in his the month from there all before P. Olsen spending arrest that and of ordered on Islands, he had hotel in the Canary to London the as Metropole for his going mail sent from to $5000 Tangier. had been and offered since detec- his that A reward city of of Stensland many him. arrest from Chicago humani for cashier the departure been on the formerly bank, tives had State in day his Stensland he was Henry the Milwaukee W. Herinavenue expressurprised of the pleas- arrest that He said been that the before ure. of of learned early had and belief taken, suicide although man Steressing stensland committed De captured. the trial permitting would have declared himself to that it when would show of of He stensland alsond Hering, came had suffered off been through a dupe his Stensland that he, manipul and ipulations. had said that him Stensland to innancial further anything to go abroad, Hering Henever said intended to was going and had dicate that instead he that of this he country but northern that part short time. the would return Not in a Know said Woman Hering, "who Does know,' who is said "I do not could have information been which many the woman given the Stensland had knew personal they to have arrest, I never afcalled led to the callers, but on personal attorney whether business. the state's the name fairs or the on office of regarding indirectly At information who had It was name caused announced of all the woman the arrest that had, Assistant was since refused. posed mbarking State's as At- the by on Olsen Stensland used "Olsen, that he who Stensla overtake him. to the son sland, of declaring of his the "father," As Stensland was conceal anx- was ious to ahead made of no effort was not diffof traveling apparem the following arrest cult. his trail particulars of the He British was taken postcustody He the Stensland Later were while in had the alighted steamer but and into in Tangler. from the postofAce orwarding to office short time before came to of his mail the Oldenberg direct the forwa of Paul miles Olsen south- the to under the name four hundred he entered Assistof Tangier. recognized. who at Morga postoffice west dor, he Attorney was As Olsen, nized arrest. by Attorney Healy ant State's placed him noon under State's message Assistant once Just before received State's the following Attorney Olsen department? immediately gier. State's from in Imperative What Tangier: is that through delay they state cable minister instructions Barbour at TanAttorney Dineen Governor directonce at the Assistantle once and up promising the papers to Mr. forward Bar- be to the ed prepared that at once, to Washington, followwashington. message the name bour them at then state sent department the State's at Attorney to Tangler Paul O. wanted singing Healy: Mr. Gummere Stensland, at fugitive forgery Chi- and hold Notify banker, My immediate assistant, for instruc- Harry casezzlement. your Amperative. Olsen, cabled are Failure tions to History minister Bank doors of of the Mil- on closing which The State of bank, the more anguish occurred and the similar was waukee 6, caused event followed in ber trouble August than many any years. suicide It and insanity. a numwest in cases of driven to life, spent by several of people lived were a nother speculated fast made bank's wildly away way or of the More in one $1,000. crash dea and with money about before families the had came. money the failure money 22.000 bank and to the majorwho posited than in crushin the blow were wage in earn- the came of depositors, money they that had they had ers, bank ity and represe presented the to save all from the of earnings the bank able failure The of been years. time of the cent 100.000. to the At the aggregat per paythe deposits has paid 20 and short further time receiver savings will depositors be made arrest in a of of Stensland the city ments The received news of in the the is section located with depositors great was which his bank A long line bank of waiting was money when it was in itement. in front of the the greeted with their and threats. courts to was made groans a and and all for sign the cheers, Today closed, being it was And a judge Judge to Pond located the state being attorney papers. and when case promised informed to was the finally Importance of immediately. of the start for Chicago