6000. Lagrange State Bank (Lagrange, IN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
state
Start Date
January 4, 1928
Location
Lagrange, Indiana (41.642, -85.417)

Metadata

Model
gpt-5-mini
Short Digest
e8e090fa

Response Measures

None

Description

Newspaper articles report the failure of the Lagrange State Bank and subsequent criminal charges (forged notes, conspiracy). No articles describe depositor runs or reopening; this appears to be a failure/suspension tied to bank-specific malfeasance. Dates of suspension/closure are not specified in the clips.

Events (3)

1. January 4, 1928 Other
Newspaper Excerpt
Walb has been indicted in connection the failure of the LaGrange bank. of which he formerly was an officer, and was announced his intention to resign as republican state chairman will quit post next week
Source
newspapers
2. April 26, 1928 Other
Newspaper Excerpt
the failure Lagrange, Ind., State Bank... Weaver's attorney announced... they wished to withdraw their not guilty plea and allow Weaver plead guilty to the government charges... Weaver told... how he and placed forged notes in the bank, made false entries in the bank ledgers
Source
newspapers
3. * Suspension
Cause
Bank Specific Adverse Info
Cause Details
Failure tied to alleged forgeries, forged notes and conspiracies by bank officers (embezzlement/false entries) implicated in the bank's collapse.
Newspaper Excerpt
Walb has been indicted in connection the failure of the LaGrange bank. of which he formerly was an officer
Source
newspapers

Newspaper Articles (2)

Article from Evansville Courier and Press, January 4, 1928

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Article Text

WATSON REVEALS WALB WILL QUIT POST NEXT WEEK Senator to Return to Indianapolis for Republican Committee Parley INDIANAPOLIS, Jan. Before tonight for Washington Senator James E. Watson announced that he would return to Indianapolis week to attend meeting of the state mittee time the of Clyde A. Walb will be received. It was believed that two plans of received attention conferences which Senator Watson had with members the state committee other leaders. The election outstanding not with the committee serve temporary chairman until the reorganization in May believed to be one of the plans while the other would permit Lawrence Cartwright, Eighth district chairman man of the to serve acting May CHAIRMAN INDICTED The leaders began casting about for the name of strong republican place in the chairman's chair May. Henry Marshall, of Lafayette, an active republican editor and party leader for many years, has been suggested the place, was Marshall, declared he nothing of his being for the and added that he planning to leave next week for four or five weeks' vacation in Florida Walb has been indicted in connection the failure of the LaGrange bank. of which he formerly was an officer, and was announced his intention to resign as republican state chairman.


Article from The Tribune, April 26, 1928

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Article Text

STAND, DENIES WEAVER'S Former Republican State Chairman lestifies Today in Own Behalf, Contradicts Other DEFENSE BREAK COMPLETE Co-defendant, Former President of of Lagrange Bank, Implicates Walh. By United Ft. Wayne, Ind., ing in his own defense, Clyde Walb, Republican state chairman, today denied charges conspiracy to violate the national banking laws preferred in connection with the failure Lagrange, Ind., State Bank. Walb said he became a the bank in 1919 and that had taken part in any in the handling of the bank's Walb's testimony was contrast to Valentine ver former of who until of Walb. The former republician state chairman admitted preparing note which was allegedly signed by Emi Thewes and Neil Johnson. Johnson and Thewes on witness stand this week had signed the note and said they in Florida at the time it was drawn up. "They signed the note before they went to Florida" Walb today The government charges of the failure of the Lagrange, ana State Bank, of which Weavers president, and Walb dent. The trial took dramatic turn yesterday afternoon when Weaver's attorney announced suddenly that they wished to withdraw their not guilty plea and allow Weaver piead guilty to the government charges. The United States district attorney accepted the plea and then few minutes later, the stand as prosecution witness. On the witness stand, Weaver told, without any plea for mercy, how he and "placed forged notes in the bank, made false tries in the bank ledgers" otherwise allegedly violated the law. He said the alleged forgeries were committed so that he and Walb could "obtain money for use other institutions" in which the were interested. Another witness considered damaging to Walb's defense was Silas Weaver, brother of the former bank