3877. Security Bank (Wesley, IA)

Bank Information

Episode Type
Suspension → Closure
Bank Type
private
Start Date
May 25, 1911
Location
Wesley, Iowa (43.088, -93.990)

Metadata

Model
gpt-5-mini
Short Digest
ebc4acc2

Response Measures

None

Description

The Security Bank (Wesley, IA) closed and passed to a receiver in late May 1911 due to inability to liquidate heavy land investments in North Dakota. No run is mentioned in the articles; receivership was later formalized with E. J. Gilmore appointed in July. Dates inferred from newspaper publication dates (closure said to occur yesterday).

Events (2)
1. May 25, 1911 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Heavy speculation and investments in North Dakota lands; unable to turn realty holdings into cash, prompting closure and receivership.
Newspaper Excerpt
The Security Bank, a private institution of this town, closed its doors at noon yesterday and passed into the hands of a receiver.
Source
newspapers
2. July 14, 1911 Receivership
Newspaper Excerpt
The depositors of the Security Bank met at Algona Wednesday to appoint a receiver... Mr. E. J. Gilmore ... was appointed.
Source
newspapers

Newspaper Articles (3)
1. May 26, 1911 Evening Times-Republican Marshalltown, IA
Article from Evening Times-Republican, May 26, 1911

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Article Text

PRIVATE INSTITUTION IN HANDS OF RECEIVER FOR BENEFIT OF CREDITORS, TOO MUCH SPECULATION IN NORTHERN LANDS Unable to: Turn Realty Holdings Into Cash and Owners Close Doors-Creditore Will Receive 75 Cents on Dollary/and Perhaps More-Bank Capitalized at $25,000. Special to Times-Republican. Wesley, May 26.-The Security Bank, a private institution of this town, closed its doors at noon yesterday and passed into the hands of a receiver. The bank has been investing quite heavily in North Dakota lands, and being unable to turn its holdings into cash, the receivership was decided upon in order to protect the depositors. The owners are confident they will be able to realize 75 cents on the dollar for the creditors, if not more. The Security Bank was founded in 1893. George B. Hall was president and Louis H Rasmussen cashier. The capital was $25,000. and surplus $2,300. and according to the statement on Jan. 1 the deposits were $162,000, the resources $189,000.

2. May 30, 1911 Bismarck Daily Tribune Bismarck, ND
Article from Bismarck Daily Tribune, May 30, 1911

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Article Text

IOWA BANK CLOSES DOORS WESLEY, Ia., May 30.-The Secur ity bank, a private institution of this town, closed its doors yesterday and passed into the hands of a receiver. The bank was founded in 1893. George B. Hall was president and Louis H. Rasmussen, cashier. The capita! was $25,000, deposits $162,000, and resources $189,000.

3. July 14, 1911 Evening Times-Republican Marshalltown, IA
Article from Evening Times-Republican, July 14, 1911

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Article Text

BANK RECEIVER CHOSEN. E. J. Gilmore in Charge of Affairs of Defunot Security Bank of Wesley. Special to Times-Republican. Wesley, July 14.-The depositors of the Security Bank met at Algona Wednesday to appoint a receiver. Mr. E. J. Gilmore and L. J. Dickinson were candidates and the former received the most votes and was appointed. It will be some time before the exact amount of debts the bank owes will be known. At present it looks as the the bank will pay about 50 cents or 75 centa on the dollar. Mesers. Hall and Rasmusson have filed voluntary petitions in bankruptcy and another meeting will be called in about a month. Most of the depositors are satisfied with the receiver, and that he will straighten things up as quick as It can be done.