2772. Corning State Savings Bank (Corning, IA)

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: savings bank
Start Date: February 15, 1904
Location: Corning, Iowa (40.990, -94.741)

Metadata

Model: gpt-5-mini
Short Digest: 465757bef1dd09c7

Response Measures

None

Description

Contemporary articles describe a steady run that drained the bank and discovery of bad loans; the bank closed (suspended) Feb 15, 1904 and a receiver was appointed. The president (F. L. La Rue) later committed suicide (Mar 4, 1904). Receiver paid dividends in later years. Classified as run -> suspension -> permanent closure/receivership.

Events (3)

1. February 15, 1904 Run

Cause: Bank Specific Adverse Info
Cause Details: Steady withdrawals combined with realization of bad loans and dwindling reserves (also local crop hail and flood drains on deposits and local unrest).
Measures: Attempts mentioned to finance the institution and assessment of stockholders; hope to reopen if freshly financed.
Newspaper Excerpt: The closing of the institution was the result of a steady run, ... that has drained the resources of the bank so that business was necessarily suspended.
Source: newspapers

2. February 15, 1904 Suspension

Cause: Bank Specific Adverse Info
Cause Details: Bank suspended after resources were drained by withdrawals and bad loans left assets insufficient to meet demands.
Newspaper Excerpt: The Corning Savings bank ... was closed yesterday because of a shortage of funds.
Source: newspapers

3. March 4, 1904 Receivership

Newspaper Excerpt: Frank L. Larue, president of the Corning State Savings Bank, now in the hands of a receiver, shot and killed himself this afternoon.
Source: newspapers

Newspaper Articles (21)

1. February 18, 1904 Ottumwa Tri-Weekly Courier Ottumwa, IA

Article from Ottumwa Tri-Weekly Courier, February 18, 1904

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CORNING BANK FAILS SAVINGS INSTITUTION FORCED TO CLOSE DOORS ON ACCOUNT OF LACK OF FUNDS. Depositors, Will, It is Said, be Paid in Full and the Bank May be Freshly Financed and Re-Opened for Business After a Few Weeks. Creston, Feb. 16.-(Special.)- The Corning Savings bank, located at Corning, in Adams county, was closed yesterday because of a shortage of funds. It is stated that the depositors will be paid in full and it is hoped that the bank will again be able to resume business in a few weeks. The closing of the institution was the result of a steady run, not sensational not excited, but one that has drained the resources of the bank so that business was necessarily suspended. Then too, it is said that bad loans upon which nothing could be realized were made and these had a bad effect upon the bank's finances. F. L. La Rue, the president of the bank, is an old resident of Corning and has always enjoyed the confidence of the people. Even now there is no hint at any crooked work on the part of the bank's officers and there is no excitement as the result of the failure of the institution. Causes of Failure. The causes leading up to the closing of the doors are many. In the last two or three years numerous Adams county people have gone to Montana, Missouri and other places and have drawn their surplus cash from the local banks and it is generally conceded that the majority of these were patrons of the savings bank. The people who purchased their farms also drew a great amount from the banks. Then this summer the hail storm destroyed the corn crop in a large portion of the county and on the heels of this disaster came the flood of August and the drain for the payment of corn shipped in has been another serious drain on the bank To head all these disasters there has been a certain personal fight for a long time or rather talk, that was bad. This has created an unrest that has been detrimental to the banking business of the town and created a suspicion and uneasiness in the minds of the people. May Reopen Soon. It is generally thought that all the depositors will be paid in full. In fact there is a movement on foot to finance the institution and the doors may open on the proposed scheme. Parties interested in the bank have said the depositors will be paid in full. It is true that the bank has some bad paper but with the assessment of the stockholders and the realization on the good paper there can be but a little, if any loss. Pella Bank Not Failure. Pella, Feb. 16.- (Special) - The assignment of the Pella Savings bank is due to a misunderstanding and is not considered in the nature of a failure. The elder Vanderploeg, who is worth in the neighborhood of a quarter of a million dollars, some time ago agreed to advance $20,000 capital, providing his son, W. G. Vanderploeg was made cashier, succeeding Herman Riepold, Riepold resigned and Vanderploeg took charge of the bank as treasurer. When the time came for the advance-

2. March 5, 1904 The Indianapolis Journal Indianapolis, IN

Article from The Indianapolis Journal, March 5, 1904

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SUICIDE OF PRESIDENT OF A FAILED BANK Frank L. Larue Locks Himself in Bathroom and Ends Life with Bullet. SIOUX CITY, Ia., March 4.-Frank L. Larue, president of the Corning State Savings Bank, now in the hands of a receiver, shot and killed himself this afternoon. The savings bank closed its doors Feb. 1 and its affairs were found to be badly tangled. The strain and worry of the weeks prephysically and mentally, and he had been ceding the failure had affected Larue both confined to the house for ten days or more. This afternoon he locked himself in the bathroom and shot himself in the temple, death being instantaneous. He had long been one of the leading business men of Corning.

3. March 5, 1904 Perth Amboy Evening News Perth Amboy, NJ

Article from Perth Amboy Evening News, March 5, 1904

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Corning Cashier Shot Himself. SIOUX CITY, Ia., March 5.--Frank L. La Rue, president of the Corning State Savings bank, now in the hands of a receiver, has shot and killed himself. The savings bank closed its doors Feb. 15, and its affairs were found to be badly tangled. The strain and worry preceding the failure had affected Mr. La Rue both physically and mentally, and he had been confined to the house for ten days or more. He had long been one of the leading business men of Corning.

4. March 5, 1904 The Birmingham Age-Herald Birmingham, AL

Article from The Birmingham Age-Herald, March 5, 1904

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Bank President Kills Himself. Sioux City, Ia., March 4.-Frank L. Larue, president of the Corning State Savings bank, now in the hands of a receiver, shot and kined himself this evening. The savings bank closed its doors February 15, and its affairs were found to be badly tangled. The strain and worry of the weeks preceding the failure had affected Larue both physically and mentally, and he had been confined to the house for ten days or more.

5. March 5, 1904 The Times Dispatch Richmond, VA

Article from The Times Dispatch, March 5, 1904

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TAKES HIS LIFE BECAUSE OF WORRY President of a Closed Sioux City Bank Is Driven to Suicide. (By Associated Press.) SIOUX CITY, IOWA, March 4.-Frank L. Larue, president of the Corning State Savings Bank, now in the hands of a recelver, shot and killed himself this afternoon. The savings bank closed its doors February 15th, and its affairs were found to be badly tangled. The strain and worry preceding a failure had affected Mr. Larue both physically and mentally, and he had been confined to the house for ten days or more. This afternoon he locked himself in the bath room and shot himself in the temple, death being instantaneous, Ho had long been one of the leading business men of Corning.

6. March 5, 1904 The Savannah Morning News Savannah, GA

Article from The Savannah Morning News, March 5, 1904

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BANK PRESIDENT KILLED HIMSELF. LaRue Put a Bullet Through His Head at Corning, Ia. Sioux City, Ia., March 4.-Frank L. LaRue, president of the Corning State Savings Bank, now in the hands of a receiver, shot and killed himself this afternoon. The savings bank closed its doors Feb. 15 and its affairs were found to be badly tangled. The strain and worry preceding a failure had affected Mr. LaRue both physically and mentally, and he had been confined to the house for ten days or more. This afternoon he locked himself in the bathroom and shot himself in the temple, death being instantaneous. He had long been one of the leading business men of Corning.

7. March 5, 1904 The Cairo Bulletin Cairo, IL

Article from The Cairo Bulletin, March 5, 1904

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SHOT IN THE TEMPLE or Bank President Worried Over Affairs of Institution Committed Suicide. Sioux City, Iowa. March I.-Frank L. Larue, president of the Corning State Savings bank now in the hands of a receiver shot and killed himself this evening. The savings bank closed its doors February 15 and its affairs were found to be badly tangled. The strain and worry of the weeks preceding the failure had affected Larue both phys ically and mentally and he had been confined to the house for ten days 01 more. This afternoon he locked himself in the bathroom and shot himself in the temple, death being instantaneous. He had long been one of the leading business men of Corning

8. March 5, 1904 The San Francisco Call San Francisco, CA

Article from The San Francisco Call, March 5, 1904

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ENDS TROUBLES WITH A BULLET President of a Bank, Now in the Hands of a Receiver, Shoots and Kills Himself AFFAIRS ARE MUDDLED Strain and Worry Preceding Failure Affect the Official and Weaken His Mind SIOUX CITY, Iowa, March 4.Frank L. Larue, president of the Corning Savings Bank, now in the hands of a receiver, shot and killed himself to-day. The savings bank closed its doors on February 15 and its affairs were found badly tangled. The strain and worry of the weeks preceding the failure had affected Larue both physically and mentally and he had been confined to the house for ten days or more.

9. March 5, 1904 The Salt Lake Herald Salt Lake City, UT

Article from The Salt Lake Herald, March 5, 1904

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SUICIDE OF IOWA BANK PRESIDENT Sioux City, Ia., March 1.-Fiank L. Larue, president of the Corning Savings bank, now in the hands of a receiver, shot and killed himself this afternoon. The savings bank closed its doors on Feb. 15 and its affairs were found badly tangled. The strain and worry of the weeks preceding the failure had affected Larue both physically and mentally, and he had been confined to /the house for ten days or more.

10. March 5, 1904 Waterbury Evening Democrat Waterbury, CT

Article from Waterbury Evening Democrat, March 5, 1904

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Corning Cashier Shot Himself. SIOUX CITY, Ia., March 5.-Frank L. La Rue, president of the Corning State Savings bank. now in the hands of a receiver, has shot and killed himself. The savings bank closed its doors Feb. 15, and its affairs were found to be badly tangled. The strain and worry preceding the failure had affected Mr. La Rue both physically and mentally, and he had been confined to the house for ten days or more. He had long been. one of the leading business men of Corning.

11. March 5, 1904 The Topeka State Journal Topeka, KS

Article from The Topeka State Journal, March 5, 1904

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BRIEF TELEGRAMS. Berlin, March 5.-The situation in the Balkins is improving and the suspicions of the powers, which had been aroused by the reported Bulgarian armaments have been set at rest by the assurances of the government at Sofia. Panama, March 5.-A bill prohibiting the further immigration of Chinese, Syrians and Turks has been passed by the national assembly and now requires only the signature of the president and then a promulgation within three days to become a law. It will go into effect 30 days later. Aden, March 5-Convoyed by the auxiliary cruiser Buffalo, the United States torpedo flotilla bound for the Philippines, arrived here yesterday evening after a smooth passage. Rome, March -Archbishop Guidi, apostolic delegate in the Philippines has informed the vatican that he intends to convoke, on St. Peter's day, June 29, an ecclesiastical national Filipino council to establish rules for the Catholic hierarchy in the archipelago. Berlin, March 5.-Princess Alice of Bourbon, the divorced wife of Prince Frederick of Schonburg-Waldenburg, has joined the Russian Red Cross and started for the camps in the far east. Guthrie, Okla., March 5.-Specials from Indian Territory tell of fierce wind and numerous fires on Wednesday night. Ardmore, I. T., reports property loss of $70,000 by the fire in the country nearby. No loss of life is reported from Indian Territory. Indianapolis, Ind., March 5.-The Republican state committee called the state convention for April 26 and 27 at Indianapolis. Resolutions were adopted endorsing President Roosevelt. Sioux City, Iowa, March 5.-Frank L. LaRue, president of the Corning Savings bank now in the hands of a receiver, has shot and killed himself. The Savings bank closed its doors on February 15 and its affairs were found badly tangled. Quincy, Ill., March 5.-Henry Francis Joseph Ricker, president Ricker National bank, died today, aged 82 years. His estate is valued at $2,000,000. Pittsburg, March 5-The Standard Oil company has cut the price of petroleum three cents a barrel on all high grades and two cents on the lower grades.

12. March 10, 1904 Audubon County Journal Exira, IA

Article from Audubon County Journal, March 10, 1904

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Banker LaRue Shoots Himself. Sioux City, March 5.-Frank L. LaRue, president of the Corning State Savings bank, now in the hands of a receiver, shot and killed himself. The savings bank closed its doors on Feb. 15, and its affairs were found badly tangled. The strain and worry of the weeks preceding the failure had affected LaRue, both physically and mentally, and he had been confined to his house for ten days or more. He locked himself in the bathroom and shot himself in the temple. He had long been a leading man of Corning. Call Iowa Prihibition Convention. Ames, Ia., March 9.-The call for the Prohibition state convention has been issued by Chairman Elwell of Ames. The Iowa state convention of delegates from the Prohibition party will be held in Boone May 25. The call issued specifies the number of delegates from the ninety-nine counties as 684. The convention will be held for the purpose of nominating a candidate for secretary of state, auditor, clerk and reporter of supreme court. Besides the Prohibition state convention there will be held on the same date a meeting of the Prohibition alliance.

13. March 11, 1904 The Penn's Grove Record Penns Grove, NJ

Article from The Penn's Grove Record, March 11, 1904

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Bank President a Suicide. Frank L. La Rue, President of the Corning (Iowa) State Savings Bank, now in the hands of a receiver, shot and killed himself.

14. March 11, 1904 Oakes Republican Oakes, ND

Article from Oakes Republican, March 11, 1904

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BULLET TO END WORRY. AND President of Bank Which Closed Kills Himself. Sioux City, Iowa, March 6.-Frank L. Larue, president of the Corning State Savings bank, now in the hands of a receiver, shot and killed himself yesterday afternoon. The savings bank closed its doors Feb. 15 and its affairs were found to be badly tangled. The strain and worry of the weeks preceding the failure had affected Larue both physically and mentally, and he had been confined to the house ten days or more.

15. September 8, 1904 Audubon Republican Audubon, IA

Article from Audubon Republican, September 8, 1904

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NOTES FROM THE CAPITAL Des Moines, Sept. 2. 1904. The question of whether or not Sarah Kuhn, now serving a life sentence for the murder of her crippled husband in Keokuk county, shall participate in his estate is before the supreme court. Mrs. Kuhn's statement of her claim on the estate has been filed in the supreme court. She is appellant in the case, her father in-law having won in the lower court. The estate consists of the life insurance which her husband left and the small estate he had accumulated by cobbling shoes, possibly $1,500. Iowa coal is to be tested by the government of the United States for the purpose of determining its rela tive value for the production of steam for the manufacture of coke and for other commercial purposes of very great importance. Already leading mine operators have been asked tc participate in the tests which are about to begin at St. Louis. Each is asked to donate a car load of coal Mine operators who are interested it the proposed tests have been asked to notify the state geologist, Frank A Wilder at the State university at Iowa City, and he will consult with them in person. About 100 feet under the surface or Polk county is a forest, and in the forest the bones of animals, possibly of human beings. At least that is the case at Enterprise, about twelve miles northeast of Des Moines, on the Iowa Falls Short Line. Parts of this forest are now in the office of the state mine inspector at the capitol The trees from which the pieces were cut were about a foot in diameter and floriculturists and chemists are now engaged in figuring out, scienti fically, what kind of wood it is. In this work they have the aid of In spector Ed. Sweeney, in whose territory the find was made. Superintend ent R. J. Shawhan of the Deer Creek Coal Mining company. found the for est. It was located about 100 feet be neath the surface. There are 759 automobile licenses out from the office of the secretary of state. Five of these, however were issued to non-residents who were exhibiting automobiles on the state fair ground recently. Another ten were re-registered. Under the law, a dealer in autos must have : registered number for each one, and this is true whether he be a non resident or not. It is also one of the wise provisions of the law that every man who purchases a machine al ready registered must put up another dollar and get a brand new number. Actually. therefore, but 769 automo biles are doing business in Iowa, for it is believed that practically every one is registered. It is supposed that they represent an investment of not less than $1,000 each. Nearly a million of dollars may be said to be tied up in horseless carriages in this state. Another complication growing OLD of the Corning bank failure and the suicide of Frank La Rue has made its appearance in the Polk county court in the suit of Harry T. Blackburn, vice president and cashier of the Iowa Na tional bank of Des Moines, against the Aetna Life Insurance company to recover on a policy on the life of La Rue to the amount of $2,000, which was assigned by the deceased banker to Blackburn before his death. Mr. Blackburn's bank was interested somewhat in the failure of the Corning bank, but was secured to some extent by the assignment of the La Rue life insurance policy. The assign ment was all made in good form but on the death of Mr. La Rue the Aetna insurance company refused to pay the the policy, basing its refusal on the fact that La Rue had committed suicide. On the other hand, however Mr. Blackburn insists that he is not held by the suicide of the banker and that the policy is good in his hands even though there is a question as LC the manner of Mr. La Rue's death. Commissioner Lincoln will begin the planting of fish in Iowa waters about the middle of the month. The car is now in the shops at Dubuque and will be ready about September 11 for the resumption of this work. The fish will be placed where none have gone before, except the great lakes into which each year a carload, each is planted. Game fish, only, of course are used for this. The United States is aiding the Iowa department in this work to some extent. Last year. the govern ment distributed 5,000,000 fish to the waters of Iowa. This work is directed from the fish hatchery at Manchester R. S. Johnson is superintendent in charge. But the government has adopted the Iowa plan of securing a supply of fish. It has a boat on the Mississippi gathering the fish. This scheme was devised by Commissioner Lincoln and has been taken over by the govern ment, which no longer depends on the hatchery for its supply for general "It is a very bad form for a person to make a spectacular display of his wealth." "Yes," answered Senator Sor ghum; and in politics it's worse than that. Star. It's in judicious."-Washington Mr. Sport-"Ethel, I'll bet you a

16. September 9, 1904 Iowa State Bystander Des Moines, IA

Article from Iowa State Bystander, September 9, 1904

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NOTES FROM THE CAPITAL Des Moines, Sept. 7. 1904 There are 759 automobile licenses out from the office of the secretary of state. Five of these, however, were issued to non-residents who were exhibiting automobiles on the state fair ground recently. Another ten were re-registered. Under the law, a dealer in autos must have a registered number for each one, and this is true whether he be a nonresident or not. It is also one of the wise provisions of the law that every man who purchases a machine already registered must put up another dollar and get a brand new number. Actually, therefore, but 769 automo biles are doing business in Iowa, for it is believed that practically every one is registered. It is supposed that they represent an investment of not less than $1,000 each. Nearly a million of dollars may be said to be tied up in horseless carriages in this state. Another complication growing out of the Corning bank failure and the suicide of Frank La Rue has made its appearance in the Polk county court In the suit of Harry T. Blackburn, vicepresident and cashier of the Iowa National bank of Des Moines, against the Aetna Life Insurance company to recover on a policy on the life of La Rue to the amount of $2,000, which was assigned by the deceased banker to Blackburn before his death. Mr. Blackburn's bank was interested somewhat in the failure of the Corning bank, but was secured to some extent by the assignment of the La Rue life insurance policy. The assignment was all made in good form. but on the death of Mr. La Rue the Aetna insurance company refused to pay the the policy, basing its refusal on the fact that La Rue had committed suicide. On the other hand, however, Mr. Blackburn insists that he is not held by the suicide of the banker and that the policy is good in his hands even though there is a question as to the manner of Mr. La Rue's death. Commissioner Lincoln will begin the planting of fish in Iowa waters about the middle of the month. The car is now in the shops at Dubuque and will be ready about September 15 for the resumption of this work. The fish will be placed where none have gone before, except the great lakes, into which each year a carload, each, is planted. Game fish, only, of course, are used for this. The United States is aiding the Iowa department in this work tc some extent. Last year, the govern. ment distributed 5,000,000 fish to the waters of Iowa. This work is directed from the fish hatchery at Manchester R. S. Johnson is superintendent in charge. But the government has adopted the Iowa plan of securing a supply of fish. It has a boat on the Mississippi gathering the fish. This scheme was devised by Commissioner Lincoln and has been taken over by the govern. ment, which no longer depends on the hatchery for its supply for general distribution. Two new industries are in course of establishment at the state institution at Eldora. They are printing and wood working. Superintendent Drake is now engaged in buying the machinero for the printing establishment and the wood working machinery bids are in the hands of the board of control. They wll not be opened for a day or two, or until the bidders all have an opportunity. The Eldora band has just been equipped with new band instruments, throughout, at a cost of several hundred dollars. These instruments were supposed to be here for the state fair SO that the boys might then have them to use. Ole Hura, an inmate of the city jail, was assaulted and unmercifully beaten by three of the other prisoners who had been incarcerated on the charge of drunoenness. Pat Crowe, Walter McNealy and John Hammock fell upon him without any apparent cause than to vent their spite and left him in an almost senseless condition on the floor before the attention of Jailer Willis was called to the squabble. The Des Moines police have been notified to look out for a deserter who has escaped from Fort Des Moines. John Burdy is the soldier who deserted. He is described as being 5 feet 10 inches in height, with light brown hair and a short turned-up nose. The army officers have asked for assistance in the search, but as yet no one answering to the description has been found. The state board of control has pur. chased about ten tons of liver, fourteen tons of sausage and about six tons of bologna for the institutes under its management. This went along with the nearly 150 tons of fresh beef and the nearly seven tons of ham. The contracts let by the board of control were for meat requisitioned by superintendents of the respective institutions. They cover the supply for the last quarter of the present year. Agar & Co., of Des Moines got all of the ham, bacon, sausage, bologna, pork dried beef and mess pork contracts for all of the state institutions. The board was especially pleased with the samples submitted by the Agars. The beef liver and mutton contracts went to Armour, swift and Cudahy. Customer-"The last fish I had from you didn't seem very fresh. Fish Dealer-"Well, mum, 'ow can you ex pect fresh fish to come out o' sait water?"-New Yorker. "I don't want poverty, an' I don't want riches," says Brother Dickey; "all I wants is plenty political cam paigns an' canderdates runnin de year

17. December 28, 1904 The Montgomery Advertiser Montgomery, AL

Article from The Montgomery Advertiser, December 28, 1904

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TEN BANKERS SUICIDE IOWA'S RECORD YEAR WITH FORTY FAILURES AND $12,000,000 LOSS. Many of Them Caused by Drop in Cattie Prices-Faced by Rula and Dishonor, Half a Score of Officials Committed Suicide. Some of the Iowa Banks That Failed. Buck Grove-H. S. Green's private bank. Dow City-H. S. Green's private bank. Grinnell-Citizens' National Bank. Waverly-German-American Loan and Trust Company. Pisgah-Bank of Pisgah, private. Curlew-Bank of Curlew. private. Little Sloux-Little Sloux Bank, private. Gaza -Bank of Gaza, private. Tiffin Corn Exchange Bank, private. Emerson-Farmers' Bank, private. Sheldon-Sheldon State Bank. Germania-State Bank. Ireton-Bank of Ireton, private. Colfax-Bank of Colfax, private. Royal-Bank of Royal, private. Ireton-F. H. McKeever's bank, private. Providence-O. E. Miller's Bank, prsvate. Linn Grove-H. W. Main's Bank, private. St. Charles-Citizens' Bank, private. Victor-Iowa County Bank. private. Mount Ayr-Citizens' Bank, private. Stgourney-Sigourney Savings Bank. Holstein-E. McCuteheon's Bank. Corning-Corning Savings Bank. Pella-People's Savings Bank. Coin-Bank of Coin. Garden Grove-Farmers' Bank, private. Maquoketa-Exchange Bank, private. Pleasanton-Royal-Richardson Bank. private. Dixon-Bank of Dixon, private. New Liberty-New Liberty Savings Birmingham-E. D. Skinner's private Bank. Imogene-Citizens' Bank, private. bank. Olin-Bank of Olin, private. Des Moines Special to N. Y. World. An unprecedented record of disaster among Iowa banks will be disclosed by a report now being prepared at the State Auditor's office for 1904. Culminating last week with the closing of the savings bank in Dedham this is the startling record: Ten bank cashiers dead by suicide. Forty banks wrecked and their surplus squandered. Twelve millions of dollars lost to depositors. In two instances bank officers have absconded with funds, thus accounting for the failure, but the remarkable number of failures due to similar circumstances has aroused the curiosity of the whole State to ascertain the cause. These are the suicides of the year due to bank failures, so far as the State officials know: H. C. Spencer and his son, cashier. and assistant cashier of the Grinnell National Bank. George D. Wood, cashier of the Bank of Colfax, Ia. Charles Wood, cashier of the Citizens Bank of St. Charles. F. L. LaRue, cashier of the Corning State Bank. G. D. Utterback, cashier of the Sigourney Savings Bank. H. W. Main, cashier of the Linn Grove Bank. Cashier of the Lone Tree Bank. Two other suicides early in the year, whose names are not recalled by the attaches of the State Auditor's office. Tragedy Follows Tragedy. It is only within the past few days that the State has become aware of the magnitude of the disaster and the tragedies attending them, many of the failures having been kept quiet. Not until the two suicides in quick succession at Lone Tree and Linn! Grove, and the failure of the Sheldon State Bank, with losses amounting to many thousands, created a State-wide sensation was general attention attracted to the seriour condition of affairs. The failure of the bank at Colfax, the National Bank at Storm Lake and the bank at Sigourney. with the suicide of the cashier, added to the sensation. The sulcide of Cashier Utterback of the Sigourney Bank, was followed by the discovery of extensive forgeries which he had perpetrated to cover up a shortage which had been running for

18. September 7, 1905 The Leon Reporter Leon, IA

Article from The Leon Reporter, September 7, 1905

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An order was signed by Judge H. M. Towner, this week, granting the receiver of the Corning State Savings bank to pay a third dividend of 10 per cent to the depositors of the defunct institution and Mr. Andrews is now busily engaged in writing the checks. It requires $14,980 to pay a dividend of 10 per cent and after declaring the dividend the receiver had just $12 on hands. The distribution of nearly $15,000 will be quite a sum for those who were so unfortunate as to be doing business with the bank at the time of the failure. This dividend all goes to the depositors and none of it to those who only established a general claim against the bank. It is thought, by those who are familiar with the situation, that there will be another dividend of 10 per cent and quite probably still another for a less amount. If everything works to the best advantage of the defunct institution it is possible the fifth dividend will be for 10 per cent, but it cannot be depended upon. The depositors will have to be content with from 40 to 50 per cent and to get that amount they were fortunate enough in getting certain legal points sustained, not only by the lower court, but by the supreme court. The receiver says the Carbon mill is one of the most difficult assets he has to realW ize on. The bank has a claim for about S $1,500 against it and it is the intention to sell the same at "piece meals." Corning Free Press. n, Piles may be your trouble. Antiseptic Piles Cones will cure you. We sell them. 50c. box W. C. Stempel &;Co.

19. April 8, 1908 Evening Times-Republican Marshalltown, IA

Article from Evening Times-Republican, April 8, 1908

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Supreme Court Gives Decision of Importance to All Banking Houses MUST PAY FOR BAD PAPER SOLD Savings Institutions Held Liable to Other Banks for Face of Forged Documents Sold as Good - Lower Court of Adams County Is Reversed. Special to Times-Republican. Des Moines, April 8.-In a suit against the Corning Savings bank, which went defunct some years ago thru the forgery of its president, La Rue, the Iowa National bank of Des Moines today won in a decision before the supreme court in a suit of vast importance, in which it is held that savings banks can be held liable for the commercial paper which they sell to other banks. In the district court of Adams county the reverse was held. The supreme court reverses this. The bank thru its president, La Rue, sold paper to the Iowa National of Des Moines. Some of this was later disclosed to have been forged. The statutes give savings banks the right to buy and sell commercial paper, but another statute prohibits, in that they can incur no liabilities other than to their depositors. The receiver of the bank contended that the bank could not be held liable under this latter section. The supreme court holds that the two sections are parts of the same chapter and are to be interpreted together, and that a bank could not buy and sell without incurring the liability. Had the court sustained the Adams county district court, big banks would have been prevented from further buying of commercial paper of savings banks.

20. April 16, 1908 Missouri Valley Times Missouri Valley, IA

Article from Missouri Valley Times, April 16, 1908

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# GUARANTEE GOES # WITH BANK PAPER Supreme Court Holds Banks Must Guarantee the Paper Sold to Other Banks. Des Moines, Ia., April 10. In a suit against the Corning Savings bank which became defunct some years ago through the forgery of its president Larue, the Iowa National Bank of Des Moines today won in a decision before the supreme court in a suit of vast importance in which it is held that the several banks be held liable for the commercial paper which they sell to other banks. In the district court of Adams county the reverse was held. The supreme court reverses this. The bank, through its president, Larue, sold paper to the Iowa National of Des Moines and some of this was later disclosed to have been forged. The statutes gave savings banks authority to buy and sell commercial paper, but another statute provides that they can incur no liabilities other than to their depositors. The receiver for the bank contended that the bank could not be held liable under this latter section. The supreme court holds that the two sections are parts of the same chapter and are to be interpreted together, and that a bank could not buy and sell without incurring the liability. Had the court sustained the Adams county district court the big banks would have been prevented from further buying commercial paper from savings banks.

21. July 9, 1908 The Leon Reporter Leon, IA

Article from The Leon Reporter, July 9, 1908

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The Sioux City platform is one that all democrats and many republicans can endorse. The platform calls for a law creating a bank deposit guarantee fund that will prevent depositors losing their hard earned dollars they have placed in the banks. Had we such a law a few years ago hundreds of people of Adams county would today rejoice because it would have saved them from loss by the failure of the Corning State Savings bank. Oklahoma has the new law and it is working to the satisfaction of all. The plan was suggested by W. J. Bryan a number of years ago, but little attention was paid to the recommendation at the time. The recent panic and the renewed suggestion of Mr. Bryan and satisfactory test given the law by the new democratic state of Oklahoma has made the proposed law very popular. The democrats of the state propose to try and get such a law passed by the coming legislature. Some of the bankers are contending that it will place the unscrupulous banker in the same pot with the banker who conducts a legitimate business. But how is the public to know who is a safe banker? All people put their money in the bank with the expectation of getting it on demand, but do they always do it? No. It has only been a few months since cash was very scarce in this county and wholsale houses were asking their customers all over the country to make their remittances in cash because the city banks refused to pay cash. Give us a guarantee law. Then the people will be safe with their deposits in any bank. The clever banker will get the business and the banker with a boil on his liver may have to quit, but the depositor will be safe, boil or no boil.—Corning Free Press.