4368. Peoples Savings Bank & Trust Company (Moline, IL)

Bank Information

Episode Type
Run Only
Bank Type
trust
Start Date
March 14, 1931
Location
Moline, Illinois (41.507, -90.515)

Metadata

Model
gpt-5-mini
Short Digest
10c3fadd2ba7cf6c

Response Measures

None

Description

Multiple contemporaneous articles (March 1931) report an admitted embezzlement by cashier Robert C. Shallberg (~$1,000,000) that triggered a threatened/mild run. The run was halted by Deere & Co. and funds flown in by a Chicago banker; the bank continued normal business and did not suspend. OCR variations of the cashier's name (Shallberg/Schallberg) corrected.

Events (1)
1. March 14, 1931 Run
Cause
Bank Specific Adverse Info
Cause Details
Admitted embezzlement/defalcation by cashier Robert C. Shallberg (~$1,000,000), much taken from Deere & Co.'s account.
Measures
Deere & Co. and certain directors/stockholders covered the shortage; Fred J. Greenebaum (Chicago banker) flew two deliveries of $500,000 each to Moline to meet withdrawals and restore confidence.
Newspaper Excerpt
A mild run on the bank after the defalcation became known was halted by the statement that all losses had been made good. A half million dollars in cash was brought to the bank by plane from Chicago to meet any emergency.
Source
newspapers

Newspaper Articles (8)
1. March 17, 1931 The St. Louis Star and Times St. Louis, MO
Article from The St. Louis Star and Times, March 17, 1931

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Article Text

ADMITS STEALING OVER MILLION TO BUY REAL ESTATE Moline, III., Cashier Confesses Manipulating Bank Accounts for lears. MOLINE, ILL., March 17.-(By I. N. Peculations amounting to $1,108,050 were charged today to Robert C. Shallberg, vice president and cashier of the Peoples Savings Bank and Trust Company according to a joint statement issued by officers of the bank and of Deere and Company. Shallberg has admitted the defalcations effected through manipulation of the Deere Company's account for several years The amount was not made public until issuance of the Doore Company's statement, which said: "The shortage has been made good in full by Deere & Co. and by certain directors and stockholders of each institution Shallberg admitted taking the money to invest in real estate in several cities, according to the police. A mild run on the bank after the defalcation became known was halted by the statement that all losses had been made good. A half million dollars in cash was brought to the bank by plane from Chicago to meet any emergency.

2. March 18, 1931 Herald and Review Decatur, IL
Article from Herald and Review, March 18, 1931

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Article Text

Moline Banker Million Short; Run Is Averted MOLINE, March accounts of Robert Schallberg, and cashier of People's Savings Bank and Trust Co., Moline, total bank examiners said Tuesday. Shallberg was being held in the county together with Clifford B. Johnson. note and Leslie general who under arrest sories. mild run on the bank was stopped Deere Co., large depositor whose Shallberg alleged to have manipulated placed checks in the bank covering the full of the shortfund $500,000 in cash flown from Chicago by airplane and the run halted Shallberg, in statement after his said he kept duplicate books to deceive bank examiners. He said to have admitted that the defalcations have been ing for period of several years while in real estate Moline, and Kansas City

3. March 26, 1931 Wausau Daily Herald Wausau, WI
Article from Wausau Daily Herald, March 26, 1931

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Article Text

Flying Banker of Chicago Halts Run On Bank at Moline Makes Two Trips Carrying Half-Million Dollars Each Journey Chicago, March 26.-(P)-A flying banker halted a recent run on the People's Savings Bank and Trust company of Moline. Fred J. Greenebaum, vice president of the Central Trust company of Illinois, it was disclosed today, made two flights to Moline, carrying $500,000 each trip, to*avert a crisis after Robert C. Shallberg, cashier of the People's bank, allegedly embezzled approximately $1,000,000. The trips were made on Saturday March 14, and Monday, March 16. Soon after the shortage in the bank was made good by Deere and company from 'whose account the million was embezzled. Greenbaum was asked to send half a million to the Moline bank by airmail, but the mail had gone. He collected that amount in currency, called two police squad cars, hurried to Sky Harbor airport and climbed into his own plane, taking along the airport manager, Paul Meng, and delivered the half million to the Moline bank an hour and twenty minutes later.

4. March 26, 1931 The Times Streator, IL
Article from The Times, March 26, 1931

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Article Text

Stops Run On Moline Bank With Million Dollars. MOLINE, III, March 26. The People's Savings Bank and Trust Company was doing normal business today after a threatened run on the bank was met with $1,000,000 in currency rushed here in an airplane flown by Fred J. Greenebaum, Chicago banker. News of $1,000,000 embezzlement confessed by Robert C. Schallberg, vice president of the

5. March 26, 1931 The Gazette Cedar Rapids, IA
Article from The Gazette, March 26, 1931

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Article Text

Million Dollars Sent By Air Mail Saves Moline Bank The People's Savings bank and Trust company was doing a normal business today after a threatened run on the bank was met with $1,000,000 in currency rushed here in an airplane flown by Fred J. Greenbaum, Chicago banker. News of a $1,000,000 embezzlement confessed by Robert C. Schallberg, vice-president of the People's bank, started the flurry on March 14 Bank examiners refused to allow the institution to open its doors unless extra money was available to stem the rush of depositors Greenebaum was appealed to in Chicago. He withdrew $500,000 from his bank's vaults, put a pistol in his pocket and took off from Sky Harbor airport in fast training plane. himself at the controls. He arrived in one hour and 20 minutes in time to beat the depositors to the bank Later another run was feared and again Greenebaum brought $500,000 here in his airplane Bank officials announced that the public's confidence has been re-

6. March 26, 1931 JG-TC: Journal Gazette and Times-Courier Mattoon, IL
Article from JG-TC: Journal Gazette and Times-Courier, March 26, 1931

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Article Text

PLANE TAKES Moline, March People's Savings Bank and Trust Company was doing normal basis today after threatened run on the bank was met with $1,000,000 in currency rushed here in an airplane flown by Fred J. Greenebaum, Chicago banker. News of $1,000,000 embezzlement confessed by Robert Schallberg, vice president of the People's Bank started the flurry on March 14. Bank examiners refused to allow the institution to open its doors unless extra available to stem the rush of depositors. Greenebaum was appealed to in Chicago. He withdrew $500,000 from his bank's vaults, put pistol in his pocket and took off from Sky Harbor airport in fast training plane, himself the controls He arrived in one hour and 20 minutes in time to beat the depositors to the bank. Later another run was feared and again Greenebaum brought $500,000 here in his airplane. Bank officials announced that the public's confidence has been restored.

7. March 26, 1931 The Minneapolis Journal Minneapolis, MN
Article from The Minneapolis Journal, March 26, 1931

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Article Text

Million Goes by Air To Halt Run on Bank Chicago, March fly ing banker halted recent run on the People's Savings Bank and Trust Company of Moline. Fred Greenbaum, vicepresident of the Central Trust Company of Illinois, it was diclosed, today, made to Robert cashier of the People bank $1,000,000 The shortage in the bank was made good by Deere & Co.,* from whose account the money was embezzled.

8. March 27, 1931 Two Rivers Reporter Two Rivers, WI
Article from Two Rivers Reporter, March 27, 1931

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Article Text

Flying Banker Prevents Run On Large Bank CHICAGO, A flying banker halted recent run on the People's Savings Bank and Trust Company of Moline. Fred J. Greenebaum, vice president of the Central Trust Company of IIIInois, it was disclosed Thurs. made two flights to Moline carrying $500,000 each trip, to avert crisis after Robert C. Shallberg, cashier of the People's Bank allegedly embezzled approximately $1.The trips were made on Saturday, Mar. 14, and Mar. Soon after the shortage in the bank was made good by Deere and Company from whose account the million was