4934. Carroll County Loan, Trust & Savings Company (Flora, IN)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
trust
Start Date
October 1, 1927*
Location
Flora, Indiana (40.546, -86.523)

Metadata

Model
gpt-5-mini
Short Digest
deaf0eef8fc6d306

Response Measures

None

Description

Newspaper accounts (Oct 13-14, 1927) report a 'quiet run' of withdrawals prompting the state banking department to close the bank; a receiver was placed in charge. OCR corrected minor spacing and punctuation in the bank name. Cause attributed to rumors about suits and related adverse publicity; the bank did not reopen and receiver was appointed, so classification is run → suspension → closure.

Events (3)

1. October 1, 1927* Run
Cause
Rumor Or Misinformation
Cause Details
Depositors withdrew funds due to rumors about suits pending against the bank or related parties, described as a 'quiet run.'
Measures
Officials negotiated loans and considered pledging collateral to meet withdrawals (state department did not approve pledging).
Newspaper Excerpt
There had been a 'quiet run' on the bank for some time by depositors withdrawing their funds from the institution because of rumors regarding certain suits
Source
newspapers
2. October 13, 1927 Receivership
Newspaper Excerpt
the Flora Commission Company, which is now in the hands of receiver. The Carroll County Loan, Trust and Savings Company ... its records are said to show deposits aggregating $500,000.
Source
newspapers
3. October 13, 1927 Suspension
Cause
Bank Specific Adverse Info
Cause Details
State banking department closed the bank after continued withdrawals tied to lawsuits and overdrawn stock buyers; officials feared further pledging of collateral to meet demands.
Newspaper Excerpt
Depositors ... will not 'lose a penny' as the result of the closing of that institution yesterday morning, Thomas D. Barr, deputy state banking commissioner, said
Source
newspapers

Newspaper Articles (3)

Article from The Indianapolis Star, October 14, 1927

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Article Text

SAYS "QUIET RUN" CAUSED CLOSING OF FLORA STATE BANK [Special to The Indianapolis Star.] FLORA Ind., Oct. 13.-Depositors of the Carroll County Loan, Trust and Savings Company will not lose penny as the result of the closing of that institution this Thomas D. Barr, deputy state banking commis"There had been too many withdrawals, in the opinion of the state banking department. There had been quiet run on the bank for some time depositors their funds from the institution because certain suits which are courts of Indiana, Mr. Barr said. "In order meet the demands made on the institution's resources, officials of the bank were foreed negotiate loans. By continuing this Carroll County Loan. Trust and Savings Company would have had pledge its collateral the state department, seeking to protect all parties concorned, did not approve such The deputy commissioner continued his statement by declaring that the bank closed the that certain stock buyers had overdrawn their and also because the transactions recently made by the Flora Commission Company. which Is now in the hands of ceiver. The Carroll County Loan. Trust and has capital stock of $50,000. Its records are said to show deposits aggregating $500,000. Officers are Charles Smith. president: Elias Patty. cashier: G. D. Vorhees. president and H. Eaton, assistant secretary-treas-


Article from The Tipton Daily Tribune, October 14, 1927

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Article Text

FLORA BANK CLOSED. To Many Withdrawals Cause State Department to Act. Flora, Ind., Oct. 14.-Depositors of the Carroll County Loan, Trust and Savings Company will not "lose a penny" as the result of the closing of that institution yesterday morning, Thomas D. Barr, deputy state banking commissioner, said last night. "There has been too many withdrawals in the opinion of the state banking department. There had been a 'quiet run' on the bank for some time by depositors withdrawing their funds from the institution because of rumors regarding certain suits which are now up in various courts of Indiana," Mr. Barr said: "In order to meet the demands made on the institution's resources, officials of the bank were forced to negotiate loans. By continuing this process, the Carroll County Loan, Trust and Savings Company would have had to pledge its best collateral and the state banking department, seeking to protect all parties concerned, did not approve of such a step." Mr. Barr said that he had "faith" in the institution's resources and he confidently expects that all depositors


Article from Journal and Courier, March 23, 1928

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Article Text

FEW CANDIDATES YET IN CARROLL Aspirants Slow to FileDelphi News-Trustee Host to Camden Team. [Special to Journal and Courler] DELPHI, Ind., March 23.-Candidates slow filing for Carrol county offices this spring. Morris Ayers of Delphi has announced as candidate for sheriff on the democrat ticket and Fletcher Metsker, from Monroe township, has filed for county recorder on the democrat ticket. John W. Kerlin has filed as precinct commitfor the second precinct in Rock Creek township. WILLS PROBATED. Three wills were probated Wed. nesday in the Carroll circuit court. The will of Mrs. James Riley leaves her entire estate to her husband, James D. Riley. The will of Mrs. Josephine Schermerhorn leaves property in Delphi to Mrs. Josephine S. Fry and Katherine Brackenridge, her two daughters. Her stock in the Carroll County Abstract company she leaves to her son, Reed Schermerhorn; the remainder of property is to be divided equally between her three children. Reed Schermerhorn executor. The will of Mrs. Mary Artist, $10 to her son Virgil; all of her household goods to her daughter, Violet Kasten, and the rest of the estate to be divided equally between her children, Earl, Irvin and Alva Artist, and Violet Kasten. The Citizens' bank of Delphi was named executor. William H. Guthrie has filed suit in the Carroll court against T. Williams et al, asking for foreclosure of a mortgage and for appointment of receiver for the property known as the Commercial hotel in Flora. Suit on promisory note demanding $485 has been filed by the Flora State bank, receiver for the Carroll county Loan, Trust and Savings Co., at Flora, against Albert Flora. The next meeting of the Delphi Chamber of Commerce has been announced for Thursday, April 5. Election officers other business of importance will be transacted. John Smock, son of Mr. and Mrs. Ed Smock, of Delphi, student at Indiana university, has just been awarded an varsity sweater, for his splendid showing in track athletics at the university this winter. He won first in the 440-yard dash in a meet between Ohio and Indiana state universities weeks ago. Mrs. Susan Little is at the home of her daughter, Mrs. Henry Cree, near Rockfield, where she is recovering from a broken rib which she received several days ago when she fell through the barn floor at the farm of Harold Cree. TO DELPHI SOON. William Mullin, of near Burrows, newly appointed Carroll county road superintendent, held public sale of his farming stock Tuesday, and will move shortly to the John Mears property in Delphi. Mr. and Mrs. Mears will move to their farm near Delphi. Walter Cheesman, 12-year old son of Mr. and Mrs. Ed Chees man, has been seriously 111 with pneumonia at his home in Delphi. Miss Margaret Cottrell, has been nursing Miss Laura Griffith, has returned to Lafayette. Mr. and Mrs. Carl Reed have moved to Indianapolis where Mr. Reed has accepted position as salesman with the Watkins Medical company. Mr. and Mrs. Charles Wood, who have been in California for several months, returned Wednesday to Delphi. A. daughter was born March 17 to Mr. and Mrs. Evan Sanderson, north of Delphi. County Assessor Orvil Shock is suffering from a severe injury to his leg which he received when he fell on board while working around his home several days ago HOSTS TO TEAM. Trustee and Mrs. Virgil Sink of Jackson township, entertained the Camden basketball team and Coach McPherson at dinner at their home, Wednesday evening. Mrs. Dean Balser entertained the ladies of the Ockley U. B. church at lunch Thursday at her home in Madison township. Rev. and Mrs. L. E. Knox of Delphi, are at Kokomo where they were called by the death of the latter's mother, Mrs. Boswell, who died at the home of her daughter there. Mrs. Boswell was 85 years of age.