4351. Cooperative Society of America (Chicago, IL)

Bank Information

Episode Type
Suspension → Closure
Bank Type
private
Start Date
October 7, 1921
Location
Chicago, Illinois (41.850, -87.650)

Metadata

Model
gpt-5-mini
Short Digest
30ff91ee

Response Measures

None

Description

The Cooperative Society of America (a cooperative concern, not a commercial bank) was adjudged bankrupt and the Central Trust Company of Chicago was appointed receiver (Oct 7, 1921). There is no mention of a depositor run or a temporary suspension/reopening — this is a closure/receivership. I classify this as suspension_closure (suspension/closure with receiver appointed).

Events (3)
1. October 7, 1921 Receivership
Newspaper Excerpt
The Cooperative Society of America was adjudged bankrupt and the Central Trust Company of Chicago was appointed its receiver by Federal Judge Evan A. Evans.
Source
newspapers
2. October 14, 1921 Other
Newspaper Excerpt
Harrison M. Parker ... turned over the $2,100,000 'mysteriously missing' assets of the company to the receivers in bankruptcy.
Source
newspapers
3. December 17, 1921 Other
Newspaper Excerpt
Preliminary report filed ... Ninety thousand people ... invested $28,632,089.46 ... only $16 in the treasury of that concern to show for their money, according to a preliminary report filed in the United States Court to-day by the Central Trust Company of Illinois, receiver.
Source
newspapers

Newspaper Articles (10)
1. October 7, 1921 Evening Star Washington, DC
Article from Evening Star, October 7, 1921

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Article Text

CO-OPERATIVE SOCIETY ADJUDGED BANKRUPT Involuntary Petition Filed Year Ago Against $10,000,000 Concern With Chicago Headquarters. By the Associated Press. CHICAGO, October 7.-The Cooperative Society of America was adjudged bankrupt and the Central Trust Company of Chicago was appointed its receiver by Federal Judge Evan A. Evans. The involuntary petition in bankruptcy was filed a year age by creditors of the company. The society was supposed to be a $10,000,000 concern. It owned real estate in the Chicago downtown section and numerous dairies and farms in Wisconsin and Iowa. Testimony in the bankruptcy proceedings was that it had more than $1,000,000 worth of groceries stored in Chicago warehouses. Judge Evans in making his decision characterized the society as. "visionary" and termed the Great Western Securities Company, which sold stock for the society, "a perpetrator of frauds."

2. October 10, 1921 Indiana Daily Times Indianapolis, IN
Article from Indiana Daily Times, October 10, 1921

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Article Text

COOPERATIVE SOCIETY UNDER FEDERAL QUIZ Bankruptcy Proceedings to Be Filed in Every DistrictParker Hurls Defi. CHICAGO Oct. 10.-Authorities today announced they would file bankruptcy proceedings against the Cooperative Society of America in every Federal Dtstrict where the organization is in operation. This follows action of Federal Judge E. A. Evans, in appointing the Central Trust Company of Chicago receivers for the company which owns several bakeries, groceries, a life insurance company and other business. Harrison Parker, sponsor of the company, said his organization was solvent and "dared" the Central Trust Company to seize hi soffice records. "They won't do it," he said. "Because they know we could recover every bit of property the bank owns." Search was made by authorities for bond amounting to $2,000,000, which according to charges, have been hidden by Parker. Parker denied this. Federal authorities said the stock in all the subsidiaries of the cooperative society have been turned over to Parker's wife and Charles C. Higgins. Authorities stated that Higgins is a bankrupt Col. umbus (Ohio) grocer and not a millionare as Parker said.

3. October 14, 1921 Indiana Daily Times Indianapolis, IN
Article from Indiana Daily Times, October 14, 1921

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Article Text

PARKER GIVES UP SECURITIES Only $18,000 in Liberty Bonds Out of $2,100,000 Cooperative Society Assets. CHICAGO, Oct. 14.-Harrison M. Parker, guiding genius of the Cooperative Society of America, today turned over the $2,100,000 "mysteriously missing" assets of the company to the receivers in bankruptcy. The millions, thought to be of Liberty bonds, proved to be mostly notes and capital accounts. There was only $18,000 in Liberty bonds. They were placed in the hands of Julius Moses, attorney for the Central Trust Company, receivers. Parker deplored the "attacks" he said are being made on the organization he founded. "No other business could have withstood the attacks made on the Cooperative Society," he declared. "Yet, we are able to withstand them." "Loyal members," of the "cooperative" are planning a big mass meeting Sunday.

4. October 14, 1921 Clearwater Republican Orofino, ID
Article from Clearwater Republican, October 14, 1921

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Article Text

BIG CONCERN BANKRUPT Cooperative Society of America De. clared Visionary by Judge. CHICAGO-The Cooperative Society of America was adjudged bankrupt and the Central Trust company of Chicago has been appointed its receiver by Federal Judge Evan A. Evans. Judge Evans' decision closed litigation lasting more than a year. The involuntary petition in bankruptcy was filed a year ago by creditors of the company. The society was supposed , to be a $10,000,000 concern. It owned real estate in the Chicago downtown section and numerous dairies and farms in Wisconsin and Iowa. Testimony in the bankruptcy proceedings was that it had more than $1,000,000 worth of groceries stored in Chicago warehouses. Judge Evans in making his decision characterized the society as "visionary" and termed the Great Western Securities company, which sold stock for the society, "a perpetrator of frauds."

5. October 15, 1921 The Morning Tulsa Daily World Tulsa, OK
Article from The Morning Tulsa Daily World, October 15, 1921

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Article Text

CO-OP HEAD GIVES IN Surrenders Package Supposed to Contain $2,100,000 in Securities to Receivers. CHICAGO, Oct. 14.-Harris M. Parker, guiding genius of the Cooperative Society of America, turned over today the $2,100,000 "mysteriously" missing assets of the comparty to the receivers in bankruptcy. The millions, thought of as liberty bonds, proved to be mostly notes and capital accounts. There was only $18,000 in liberty bonds. They were placed in the hands of Julius Moses. attorney for the Central Trust company, receivers for the Yanks. Parker deplored the "attacks" he said are being made on the organization he founded. "No other business could have withstood the attacks that have been made on the Co-operative society," he said, "yet we are able to withstand them." "Loyal members" of the Co-op are planning a big mass meeting Sunday.

6. October 18, 1921 Grand Forks Herald Grand Forks, ND
Article from Grand Forks Herald, October 18, 1921

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Article Text

Mrs. Harrison Parker Volunteers Return To Chicago When Needed Chicago, Oct. 17.-Mrs. Harrison Parker, wife of the head of the Cooperative Society of America who have been adjudged temporarily bankrupt and who is said to posses negotiable assets of the society variously estimated to be worth from one to two million dollars, today telegraphed from Toronto. engaging counsel to represent her in the bankruptcy proceedings now going on and volunteering to return here when her counsel advised it. Mrs. Parkers' whereabouts have not been known publicly for several weeks, today's telegram being the first word from her since Federal Judge Evan A. Evans placed the society in the hands of temporary receiver. Harrison Parker was taken before Judge Evans today in an attempt to force him to answer certain questions concerning the society's affairs, but Judge Evans sent the case back to the referee in bankruptey saying he did not think it advisable to interfere.

7. December 18, 1921 The New York Herald New York, NY
Article from The New York Herald, December 18, 1921

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Article Text

90,000 PEOPLE HAVE $16 LEFT OF $28,332,089 Report of Cooperative Society of America Filed. Special Dispatch to THE NEW YORK HERALD CHICAGO, Dec. 17.-Ninety thousand people who subscribed $28,632,089.46 to the Cooperative Society of America have only $16 in the treasury of that concern to show for their money if the transactions of Harrison W. Parker, head of the society, are to stand, according to a preliminary report filed in the United States Court to-day by the Central Trust Company of Illinois, receiver for the enterprise. The report accuses Parker of false testimony under oath during the proceedings to discover assets for the thousands of subscribers in his concern. Parker's wife, Mrs. Edith Stubbs Parker, and Charles O. Siggins, a near relative, neither of whom paid anything for their stock, are the chief beneficiaries of Parker's deals by reason of their ownership of the Great Western Securities Corporation, the report says.

8. December 18, 1921 Albuquerque Morning Journal Albuquerque, NM
Article from Albuquerque Morning Journal, December 18, 1921

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Article Text

$16 REMAINS OF MILLIONS PAID INTO A SOCIETY (By The Associated Press.) Chicago, Dec. 17.-Sixteen dollars is all that remains of over $28,000,000 invested in the Cooperative Society of America by ninety thousand persons, according to a preliminary report filed today by the Central Trust company of Illinois, appointed receiver. The report, made after two months investigation, also says that the society is indebted to the Great Western Securities corporation in the sum of $1,758,478.20 on its promisory notes. After reciting other alleged irregularities, the receiver asked more time to study the affairs of various concerns connected with the society before submitting a solution of the tangled finances. The report accuses H. W. Parker, head of the cooperative society of giving false testimony under oath and cites alleged instances in substantiation. Parker's wife, Mrs. Edith Stubbs Parker and Charles C. Higgins, a relative, are the chief beneficiaries of Parker's deals by reason of their ownership of the Western Securities corporation, fiscal agent for the society, the report asserts.

9. December 20, 1921 The New York Herald New York, NY
Article from The New York Herald, December 20, 1921

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Article Text

$11,000,000 PAID IN; ONLY $16 REMAINS CooperativeSocietyTroubles Involve Welfare of 90,000 Small Investors. WASTE IS CHARGED Promoter Spends $20,000 to Further Own Candidacy for Governor. SECURITIES ARE MISSING Federal Subpona Out for Wife of Chief Trustee and Who Holds Bonds. Special Dispatch to THE NEW YORK HERALD CHICAGO, Dec. 19.-Ninety thousand men and women-mechanics, clerks, widows, all of the great middle class invested $28,332,089 in the Cooperative Society of America within the last three years. Upward of $11,000,000 was paid in, the remainder to be paid in installments averaging approximately $1 a week. The Central Trust Company, appointed receiver by Federal Judge Evans, filed a preliminary report yesterday in the United States District Court that the society. the original project, had free assets of only $16 and in addition owed $1,758,478 to the Great Western Securities Company, its fiscal agent.

10. December 22, 1921 Baraboo Weekly News Baraboo, WI
Article from Baraboo Weekly News, December 22, 1921

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Article Text

ONLY $16 LEFT WITH PARKER RECEIVER SAYS Manipulation of $11,337,965.94 of the assets of the Cooperative Society of America to the point where there is but $16 in the bank and, in addition, a debt of $1,758,478.20 which the trustees of the society are obligated to pay, an apparent shortage of $13,096,428.15 was alleged at Chicago in a report submitted to Federal Judge Evans of Baraboo by the Central Trust company, receivers. Charges that Harrison Parker deliberately perjured himself in his testimony before the hearing in bankrupted were made in the report. It was alleged that through his power as a trustee of the society he had signed away, through various debentures an other proceedings, virtually every dollar which the trust had received through the sale of its $28,332,089.46 in certificates. Wife Controls Cash The majority of the $11,000,000 or more in cash received is declared in the report to have been placed under the control of Mrs. Edith S. Parker, Parker's wife and Charles C. Higgins a relative, through the formation of various concerns in which they held the majority of tsock-said stock costing them nothing. So tangle dare the affairs of the Cooperative and its various subsidiaries that even after two months of investigation the receiver was constrained to ask for more time in order to uncover. what he said he believes will be further sensational revelations concerning the activities of the concern.