5998. La Grange County Trust Company (Lagrange, IN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
trust company
Start Date
August 1, 1931*
Location
Lagrange, Indiana (41.642, -85.417)

Metadata

Model
gpt-5-mini
Short Digest
96a68f4b

Response Measures

None

Description

Contemporary articles report the LaGrange County Trust Company closed (suspended) in August 1931 after an examination by the state banking department and allegations of insolvency/embezzlement against officers. A receiver was appointed in November 1931 and the bank was being liquidated; no contemporaneous article describes a depositor run prior to suspension. Classified as suspension -> permanent closure with receiver appointed.

Events (3)

1. August 1, 1931* Suspension
Cause
Bank Specific Adverse Info
Cause Details
Closed after state banking department examination; officers indicted for embezzlement, allegations the bank was insolvent when accepting deposits in August 1931.
Newspaper Excerpt
The bank suspended several weeks ago
Source
newspapers
2. November 8, 1931 Other
Newspaper Excerpt
Attorney James M. Ogden today filed ... for the Lagrange County Trust Company. closed for liquidation last August after an examination by the state banking depart-
Source
newspapers
3. November 21, 1931 Receivership
Newspaper Excerpt
Frank Dunten, Lagrange attorney, was named receiver for the defunct Lagrange County Trust Company by Judge Clyde Carlin here Friday.
Source
newspapers

Newspaper Articles (10)

Article from Garrett Clipper, October 1, 1931

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AUBURN LAWYER ACTSATLAGRANGE Grand Jury Conducting Investigation LaGrange, Ind., Sept. probe by the grand jury of charges that been made against Prosecutor Ralph Foster expected to be the next phase of the controversy has raged the official. The grand jury, in recess today, Tuesday and the belief that the prosecutor charges to be gone into is strengthened by Judge Clyde Carlin has appointed two special prosecutors. Several persons have made threats to file affidavits charging the prosecutor with taking money from liquor runners. When these allegations became town talk about three weeks ago, Foster ridiculed them and said an effort was being made to keep him from ordering probe of the LaGrange County Trust company, three of whom were indicted last week by the grand jury. Foster, who was acquitted Friday Angola on charge of issuing fraudulent check, has now won his first two tilts in the factional fight which has split the town. Evidence produced showing that an leged fraudulent check given by Foster George Brattin, the Brattin Motor Sales Agency, had been sold to Howard W. Mountz of Garrett, an attorney for the LaGrange County Trust company Foster, who accused in another fraudulent check case filed in justice court at Elkhart, will appear this charge October 30. His hearing scheduled for today, but by agreement of his attorneys and the prosecutor at Elkhart, the case was postponed. No date had been set today for the of the three dicted bank officials. They are E1mer Grady, president; State Senator Rollo Walter, secretarytreasurer, and his brother, Burritt Walter, vice-president. Warrants were served on the three Saturday and they were released on bonds Grady is charged with embezzlement in one indictment. Rollo Walter is named in five one charging forgery and four charging embezzlement. Burritt Walter is named in four one charging and three charging negotiation of false loans. After their arrest by John Luttman the three went to the office of County Clerk H. Plank and posted personal bonds for their release Grady bond of $5,000; Rollo Walter, $22,000, and Walter, $4,500. The specific charge against Grady that he accepted deposits Saturday, August the last day the bank was open, when he knew the institution was insolvent. The deposits were made by Ivan Barkman in the amount of $300 and RobFrutig, $96. B. Walter is charged with drawing check on the account of himand Bert Shultz, tenant his farm, in the sum of This overdraft and was dated May 1931. Another charge is that on 1931 he drew check for on the account of Walter and Walter. The charges connection with these transactions are and making false loans. The embezzlement indictments against Rollo Walter are based allegations that he, as agent, sold bonds August 1931 for Edith Sears in the amount of $300 and sold bonds amounting to $2,700 for Mrs. Sears' father, Reed: that August 1931 he collected acting as agent for Anna Maria Hettler; that he accepted four deposits August 8, knowing the bank insolvent. These were made by John Yoder, LaGrange store, $22: Frank Olds, and Clarence Grate, $180. He also alleged to have forged on August 1930 promissory note for $200 against Amandus Miller. The embezzlement counts all are based on the allegations they accepted deposits and made collections knowing the bank was insolvent. This is known as banker's or statutory LaGrange, Ind., Sept. official inquiry into the charges that have been made against Prosecutor Ralph Foster was instituted by


Article from Anderson Daily Bulletin, October 17, 1931

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JACKSON COX EXPIRED FRIDAY LAGRANGE BANKERS FACE CHARGE Jackson Marion Cox, restdent this city for several years, expired yesterday at his residence, 2116 Jackson street, following illness of complications. The deceased, who was born came to Anderson in 1902, operated grocery store west Second street for several years. Recently he senight watchman the Bickett Rubber Products CorSurviving are three sons. Edward Cox Earl Cox. of Anderson, Ray Cox, Marion: daughter. Mrs. Bert Currie, Anderson, and The body removed to the Earl mortuary. Funeral will be conductSunday at 1:30 famresidence and burial will be Pendleton. MRS. EMMA SIMPSON widow Wilford Simpson, Civil War veteran, expired at today. following long home her daughter, Mrs. John Rinker, Rural Route She had resident this vicinity practically all her Surviving three daughters, Mary Cass, Mrs. Minnie Mrs. John Rinker, all of one son, George Simp. will be conductthe Rinker Monday with Polhemus, Daleville, charge. Interment will at Pendleton. FUNERAL SERVICES Funeral services William Fiers, 74, former Anderson dent. died Thursday Indianapolis, will conducted Sunday the Waltz funeral home. Interment will be Maplewood Cemetery. The body will removed from the home of Orville to the Walts establishSunday morning. The body John Robert of Elizabeth, died Thursday at the daughter, W. Onkstreet, shipped yesterday to Elizabeth, where services and burial to take place today. Lagrange, Ind., Oct. Another was written today the bitter factional fight started by investigation of closing subsequent liquidation of the Lagrange County Trust Company. Elmer Grady, president agent vice-president, were liquor charges filed against Foster two ers bonds of $1,000. davits filed against Grady and Walters charged them with having of liquor on Sept. 18. The affidavit charges the liquor purchased from Hayes, an leged Fort Wayne. bank and Foster have been conflict for several weeks. Foster began of the bank's failure and its liquidation. to Attorney General M. Ogden Foster's removal from office. Foster charges his removal sought his activity in the bank investigation. The grand jury later returned Indictments against Grady, Walter Walter's State Rollo Walter, connection with the trust failure. Foster facing fraudulent check charges filed against him in Elkhart and He also was indicted recently on liquor charge.


Article from The Indianapolis Star, November 8, 1931

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BANK RECEIVER SOUGHT. LAGRANGE, Ind. Nov paper. Attorney James M. Ogden today filed Lagrange 40 Rolls $1.00 Circuit for County 20 Rolls 59c Trust Company. closed for liquidalast August after an examinaby the state banking depart-


Article from The Indianapolis Times, November 21, 1931

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BANK RECEIVER CHOSEN LaGrange Attorney Will Close Up Trust Company Affairs. By United Press LAGRANGE, Ind., Nov. 21.Frank Dunten, Lagrange attorney, was named receiver for the defunct Lagrange County Trust Company by Judge Clyde Carlin here Friday. E. O. Grady, former president of the institution, had been liquidating agent since the bank was closed. Judge Carlin said Dunten was named to the post because of his efficient work as receiver for other banks. Rollo N. Walter, state senator, indicted on embezzlement charges following closing of the bank, is expected to go on trial Dec. 16. B. S. Walter, vice-president of the institution, and Grady are accused in similar indictments.


Article from The Indianapolis Times, November 21, 1931

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BANK RECEIVER CHOSEN LaGrange Attorney Will Close Up Trust Company Affairs. Frank Dunten, named receiver for the defunct Lagrange County Trust Company Judge Clyde Carlin here Friday Grady, former president the institution, had been liquidatagent since the bank was closed. Judge Carlin said Dunten was named the post of his efficient work as receiver for other banks. Rollo N. Walter, state senator, indicted on embezzlement charges following closing of the bank, pected go trial Dec. Walter, the institution, Grady are accused in similar indictments


Article from Steuben Republican, November 25, 1931

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APPOINTED OF COMPANY Frank of appointed of the LaGrange County Trust Company. on application of state banking department, last Friday Mr Dunten filed bond 1st has been set as the final date claims The bank suspended several weeks ago Grange with but one bank


Article from The Topeka Journal, November 26, 1931

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Eden School Notes Several times this fall we have played our "last" outdoor game of base ball. Last week we met and defeated the te am from the Voder school wh ch had beaten the Shipshewana team. But it now looks as if the happy days on the diamond W re over. However, we are prepared for more outdoor games with a new soccer ball. and we have a safe retreat for rainy days in the spacious gymnas um ROOM FOUR The fifth and sixth grades are working on their part of the Thanksgiving program which will be given the day before Thanksgiving. We have finished our flag project. We have made a picture of a boy, girl and a of each of the important countries of the world. Last week our attendance was perfect; this week we had three ab senses Out of the 43 in our room 33 have neither been absent nor tardy this year. ROOM 1 We have twenty-three girls and boys that have perfect attendance. Forty of us have received above 70 per cent in our Health Contest The Pro-phy lac-tic Tooth Brush Co., sent us pictures to color. A1ma Irene Troyer won the prize for the best picture. Mrs Wm. Pence and Barbara visited our Jom last week. Samuel ist, Wilma Miller, Elis Miller. Josephine Graber, Orva Miller, Victor Graber, Delbert Lantz, Viola Mast. Betty Gloor, Vernon Beachy and Richard Shel- about The Eskimos We fear we shall have rouble keeping the snow es from melting Since Lick Frost killed our flow ers we are making yarn flowers LaGrange Bank Receiver Named Frank J Dunten, for 40 years a practicing attorney of LaGrange and former receiver for the Mong State Bank. was appoint di receiver of the LaGrange County Trust Company, Friday. E O. Grady, former president of the institution had been liquidating agent since the bank was closed. Judge Clyde Carlin said Dunten was named to the post Lecruse of his efficient work as receiver for other closed banks. Rolio N Walter, state senator. in licted on embezzlement charges following closing of the bank, is expected to go on trial December 16, B. S. Walter, vice-president, and Grady were named in similar indictments. Topeka Mennonite Church Sunday will beour home coming day. Those who attended last ear will certainly want to attend again this year. Sunday School will be held at the regular hour 9:30 and the morning home coming service at, 10:30. Sermon will be delivered by Prof. I. R. Detweiler from Bluffton, Ohio. A fellowship dinner in the basement at the noon hour. A few short talks and musical numbers constitute the short program in the afternoon. Come and enjoy the day and help make it a success. EARL Salzman, Pastor. Card of Thanks We wish to acknowledge in sincere Thanks to the Menuonite and Baptist Aids. Also to the neighbors and friends who helped during and after the fire. It has been ap preciated very much. Mr. and Mrs. Harry Miller and Family. Don't miss hearing Lawrence Tibbitt in his greatest picture. at Crystal next Sunday, Monday and Tuesday.


Article from Anderson Daily Bulletin, April 29, 1932

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EIGHT WITNESSES IN TRIAL Lagrange, Ind., April Just how many of the 700 persons who had obligations the Lagrange County Trust Company the day closed Aug. 1931, will called testify had not been announced today as attorneys continued their efforts to convict State Sen. Rollo Walter, formerly secretary and treasurer the institution, of charge banker's embezzlement. Eight such witnesses were called yesterday to testify about their ligations. The state attempted show the disappearance note for $1,000 and obtained denial from the man whose name appeared that he had signed The note, bearing the name Ross W. Seller, receipted by Grady, former president of the bank when be appointed liquidating agent after the bank's closing. State's attorneys said when the grand jury met in November investigate the affairs of the institution, the note had disappeared. Seller, school teacher, denied he ever had signed such note and his Mr. and Mrs. Seller, parents, corroborated his testimony.


Article from Anderson Daily Bulletin, May 12, 1932

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IN TRIAL Lagrange, Ind., May prosecuting state Sen. Rollo Walter charge of banker's indicated that today would present evidence concerning securities held by the Lagrange County Trust Company. which Walter was and treasurer, before was closed Aug. Walter, absent day from the because illness, was in yesterday Frank for the institution, continued on witness stand throughout identifying notes held by the bank when it closed its doors. Duten testined one of three notes signed by Bert Iivon the Walter, father the and former of the bank, for secured by chattel mortthirty shoats eight tone, Duten said, was listed among the assets of the bank. to show Walter posits the bank when he institution to be


Article from Steuben Republican, November 2, 1932

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AGAINST WALTER Denied plea in abatement aimed members the grand jury which indicted him embezzlement, Burrit Walter of former vice-president of the Grange County Trust company, later motion quash the indictments. He will not escape trial the charges, however, prosecutAttorney Wood announced mediately that affidavits will be filed replace the quashed bond was set for each of the cases, the bond being in four two His attorneys signed the bonds. along of his indicted LaGrange county grand jury last month. charges the outgrowth of the failure the LaGrange County Trust company August rulings today were by Special Judge James Elkhart. who was named to preside afchange of venue county The turned to LaGrange county for start Must Appear Nov. 10 In his plea Walter said that members the grand jury which indicted Henry Bir Charles Minnich, had been witnesses for state trial cerning the bank The Judge ruled that grand jury could have prevThe motion followed and sustained. The bonds Walter appear in court November and Prosecutor Wood announced that affidavits would be filed on before that date. The an the by fund raised by residents in the of condennow operated there the Gordon Walter agent for the contributors.