Oglesby State Bank - Oglesby, IL

Bank Information

Episode Type: Suspension → Closure
Bank Type: state
Start Date: December 1, 1932*
Location: Oglesby, Illinois (41.295, -89.060)

Metadata

Model: gpt-5-mini
Short Digest: cce7c9ed

Response Measures

None

Description

Article states the bank was closed in December 1932 and a receiver (Fred W. Sauer) is bringing suits in March 1934 to collect on bonds for embezzlement by officers. Closure appears permanent with receiver and criminal prosecution for embezzlement — no run is mentioned.

Events (2)

1. December 1, 1932* Suspension

Cause: Bank Specific Adverse Info
Cause Details: Bank closed following allegations/discovery of embezzlement by president, cashier and teller prior to closure; criminal prosecutions followed and a receiver appointed.
Newspaper Excerpt: the bank was closed in December, 1932.
Source: newspapers

2. March 2, 1934 Receivership

Newspaper Excerpt: Suits ... were started ... by Fred W. Sauer, the bank receiver., and The alleged embezzlement ... said to have taken place prior to the time the bank was closed in December, 1932. (The Times, 1934-03-02).
Source: newspapers

Newspaper Articles (1)

1. March 2, 1934 The Times Streator, IL

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Article Text

FILE SUIT TO COLLECT BONDS FORMER OGLESBY BANKERS NOW IN PRISON ARE DEFENDANTS IN ACTION. Suits on bonds to collect approximately $25,000 alleged to have been embezzled by Raimund Radeke, Lester B. Koons and Howard M. Salisbury former president, cashier and teller, respectively, of the Oglesby State Bank were started in the circuit court at Ottawa today by Fred W. Sauer, the bank receiver. The alleged embezzlement Is said to have taken place prior to the time the bank was closed in December, 1932. Radeke and Koons are now servIng terms in the Illinois state penitentiary at Joliet. Salisbury has not been brought to trial, although be was indicted with the other officers. George V. B. Weeks, attorney for the bank, represents Sauer in his action. The suits are brought jointly against the American Surety Company, which furnished the bonds for Radeke, Koons and Salisbury, and the three defendants. The Koons suit was brought to collect on a $10,000 bond. The bill charges that Koons embezzled $11,247.75 from the bank. The Salibury suit was brought to collect on a $7,000 bond. It is alleged that Salisbury embezz!ed $245 from the bank. The Radeke suit was brought to collect on a $10,000 bond. If is claimed Radeke embezzled $18,049.59 from the bank.