4140. Home Trust & Savings Bank (Elgin, IL)

Bank Information

Episode Type
Run Only
Bank Type
trust
Start Date
January 27, 1926
Location
Elgin, Illinois (42.037, -88.281)

Metadata

Model
gpt-5-mini
Short Digest
b25cc7060b4b1dcb

Response Measures

None

Description

1926 Chicago Tribune article reports a light run on Home Trust & Savings Bank in Elgin on 1926-01-27 caused by false rumors about losses related to the Rippberger crash and local realty irregularities. No suspension or closing is mentioned. A 1934 article merely references a bank officer in testimony and does not contradict the 1926 event.

Events (1)
1. January 27, 1926 Run
Cause
Rumor Or Misinformation
Cause Details
False rumors that the bank lost heavily in the Rippberger crash and irregularities in local realty/loan business prompted widespread withdrawals totaling over $150,000.
Measures
Bank officials publicly denied involvement; Federal Reserve governor stated local banks were sound and Fed stands ready to assist if necessary.
Newspaper Excerpt
FALSE RUMORS CAUSE RUN ON BANK IN ELGIN ... False rumors that the bank lost heavily in the Rippberger crash were blamed by the bank officials for the withdrawal by hundreds of persons of deposits said to total more than $150,000.
Source
newspapers

Newspaper Articles (2)
1. January 27, 1926 Chicago Tribune Chicago, IL
Article from Chicago Tribune, January 27, 1926

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Article Text

FALSE RUMORS CAUSE RUN ON BANK IN ELGIN light run on the Home Trust and Sav. ings bank here today was attributed A Furnished to suspicion aroused by the recent financial crash of the Charles RippApartment Hotel berger company and the later irregularities reported in the realty and loan 7100 South Shore Drive business of Clark Van Housen. False rumors that the bank lost heavily in Quick I. C. transporthe Rippberger crash were blamed by the bank officials for the withdrawal tation, homelike and by hundreds of persons of deposits said refined atmosphere to tal more than $150,000. M. M. Cloudand excellent table man, a director, said that the institu dhote meals have tion was not involved in any of the recent Elgin financial failures. brought us many satJ. D. McDougal of Chicago, gov. isfied guests. A few ernor of the Federal Reserve bank. stated that the Elgin banks are in at reasonable rates. the best of condition. The Federal Reserve bank stands ready to assist South Shore 8700 cheerfully the Home Trust and Savings bank, or any other Elgin bank, if necessary, he declared.

2. March 24, 1934 The True Republican Sycamore, IL
Article from The True Republican, March 24, 1934

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Article Text

Butke Shortage Case in Kane Co. Again in Airing Attorneys for the estate of the late Fred Butke, auditor of Kane county, Tuesday appeared before the judicary board of the Kane county board of supervisors and made an offer to turn over $50,000 in bonds in settlement of the $76,000 shortage found in the auditor's accounts after he had committed suicide in a Chicago hotel room in May, 1931. The bonds, although they have a par value of $50,000 are actually worth $16,000 on the market at the present time, according to Roy Mead, assistant received of the Home Trust and Savings Bank, of Elgn, who was called to testify before the committee. The bonds are now held by the Chicago Title and Trust company with which Butke established a trust fund for hs wife before he committed suicide. The meeting of the judiciary committee was held behind closed doors. On a tour of Alaska the college basketball team of Fairbanks won 16 out of 18 games. Only Norge has Rollator refrigerAdvertise in The True Republican ation. tf