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Bank Come of Shenandoah Out of Arrest of Read May Reorganization
Other Members of Family, Who Have Opposed Giving Property, Said to Be in Tractable
INTIMATED ANNOUNCEMENT MAY BE MADE WITHIN
SHORT TIME.
IRONY IN ELBERT'S CASE
Man Now Facing State and Federal Charges Has Been One of Most Liberal In Offers to Deposi- tors of Closed Bank. else say them. And had their private and Ia., Oct. their bank of the arrest of Elbert believe lot of the papers Read, the president of the bank really closed First National bank, on They fighters, they the both state and federal charges they after them.' during the past week, may What half in come reorganization of the like know institution or, at least, an addi- "what happened between tion to the assets of the bank evening the Read visited the way of voluntarily surrendered property of the Read former visit when he family, is said here by per- Not sons in touch with the situa- makes difference but o'clock Elbert Read tion. former director the bank, The two charges, one of cannot pubwhich carries maximum pun- lic this time, after having ishment of life imprisonment in sketched plan for organizing bank, which the the penitentiary, are serving to the best cause members of the family, ever who controlled the First Nadirector tional bank, to realize the ser- Sunday evening the iousness of the situation, and to National organization than any time consider giving up their legally since closed Examiner exempt thing at Wilson last May. And which they balked before, it is director said. the the "reasonable during negotiations last Elbert Read, it is said here, spring attempts has favored ever since the ing made the bank was closed, last May, and whom all sides had confidence. at one time offered to give up Monday morning this director all his property, including his came his office hopeful that home, for the bank, but his reorganization might be effected. brother, Henry. father, E. But before could communtand brother-in-law, Edson other Interested parties told that derland, have opposed it. Now been arrested charge Elbert facing the penibreaking entering old are mellowing, bank stealing private it papers. The director tore up reorganization sketch and tossed It was intimated by persons the waste in touch with the Reads that What persons touch the public might be situation here believe that made soon. after making his proposition Faces Life Term. the director Read talked Elbert Read the Ed. Henry, Henry mundson hospital Council Bluffs dissuaded him from plan. trouble treatment, unde Henry, on charge of breaking the bank, and entering bank building. posed times any "giving maximum punishment of life by the family toward imprisonment, and federal reorganization opposed charge misuse funds. the family's charge out not legally responsible alleged the First Na- to the tional and taking tin All Praise Libert's Wife. containing papers belonged The This Elbert grand meets Read, but his Read said his bank, his funds. federal charge best they explain probably scribed in the words of the informa- pened. These persons say of him and his wife: The complaint, which "Elbert Read has been the the family has by the Spurway, section 5209 plan, but has other alleges members the family. And committed April 1926, and one person pure The complaint that April 1926, Elbert Read said here, by responsible bank situation, Shenandoah, "intent that Read the one injure the member blocked by Elbert for bank John misapply organization. He what man certain moneys said bank in called check contest. Henry the Dunnegan the bank because signed Read, Iowa sonal account Elbert Read with through fault the Read family. amount and crediting and therefore Reads should showing the property other than that payment two notes Grove legally the bank. And truth and fact said because has Read had authority draw posed proposals Elbert check the said Dunnegan family throw assets in an Construction company no author- "pull out This, despite place said amount to his per- the fact that Henry owns credit and said deposited his father, had not paid, and did Elbert. father, rather out touch affairs, the ledger said bank be swayed by rather than making Elbert, Edson Grove head Maxted (sold department Michigan State company which entry versity Sunderland hold tended show notes sold that the bank entitled company, when truth in fact the Read company family said And the the scrap beElbert Read did the Reads and on May over papers in the bank: $7,000 the for me that, intent although to know bank, check approve amount Dunnegan bank, But, placing the Reads They amount credit that many the papers unauthorized to draw said the theirs, and and they going to arrest week of Elbert them. before has Read, Shenandoah banker, both state and federal growing "But doesn't the receiver management the First them papers? Surely they National bank this place calls wouldn't scrapping for the papers tention anew the activities of the unless they had some kind of Reads during the past claim to them.' century. spent Shen- How Loans Were Entangled. andoah your explained: brought out great many tell you. Elbert Read had things about this remarkable family, bounded, unlimited faith souththings not easily apparent western Iowa farm land and Shenheat present prejudice for andoah estate. He persuaded against the Reads, whose bank men buy land that they wouldn't the hands the receiver purchasing themthought being accused selves. And he made them from bad citizenship to, in the case scattered through the enterprises Elbert, misuse middlewest. While managing entering bank. There with Henry cashier, ing the bank, publicly defend the all for he knew what attitude the the past back all that paper. summer, but easy to find older "But the time when land and came residents with the realty dropped, the men members the family for years are whom Elbert bank willing, quoted there That money pay. bitter against the Reads) "analyze situation." that paper. finding Can't Understand "No." You see how Elbert One summed up: "The many those papers belong to him, the Read ran and wants them man's town for long that they went on: simply can't stand bank "Elbert's not long make money. the mistake the would end. His the Read of others. But closed kept to That's Mind his misyou, that. I'm telling know from just years him and Henry Scrapper. This great deal on pugnacity Henry, the cashier. simply doesn't up, even when best judgment Then illustration told of the incident Henry opposed Congregational church joining the evangelistic He kept the church out, president of the school board, tried to the speakthe high voted down. four one, by the board. This after closing the bank, when would have sought public popularity, man pointed Henry didn't them. He tried every means possible evangelistic services, going extent evangelist from rostrum. Some the Shenanof different kind which must been pitiful. That came when examiasked the Iowa turn desk his the that the old gentleman that band recall mingpride, and night 1907 that the Trust York had closed its doors and realized meant, stable, hired team, and drove Page Fremont routed officials from their beds, and to them this ultimatum: "Banks are going begin closing But money under and get I'm going for the banks of these two counties. There's excuse any bank in Fremont Page county doors. matter what closing kind there And. panic tries bust single damned official in officially and privately." The man good as his old word. not bank two failed. 85 years old, and But now and the didn't the before. his faith high for son, the So, the "Old Read" and ruled for That's the the has done cusing during recent hard times the Mergers Failed. The entangled relation the affairs Read family and the members the First bank, affairs prevented possible of the First National bank and National spring. Each when the proposition made the Reads put before the the other directors of who lived Shenandoah had been active in business there and years said: looks all right. But the "That have their private bank Reads entangled know business assuming the Their judgment way true, for, said, the proved Reads the Receiver Spurway. When Spurway last May expect to stay more addition to the two criminal In Read, civil in federal court, the against the brought the the bank, Reads, Henry Gwynn. But explain Sheets, Field and should be judge told by the controlled the bank. the receiver suing for alleged excess claims the permitted much the way loans in the legal amount. He ceived order preventing the other from disposing property until the been tried, but order later dissolved. But the suit still pending on its merits. Receiver Spurway now zona he was called to testify court. loans. Spurway is the type of man
Sometimes the loan was bigger than the allowed, which case Elbert carried part the loan himself, when equity got down low enough switched over the Bank. There were dozens of such cases, first, second third mortgages, financial contracts and And he has financial finger in nearly everything in Shenandoah and was in dozen
