Olyphant Bank - Olyphant, PA

Episode Information

Episode Type: Suspension → Closure
Start Date: June 17, 1935
Location: Olyphant, Pennsylvania (41.468, -75.603)
Bank Type: state
Routing Number: 60-0516

Metadata

Episode ID
Bank ID
City ID: 421199251

Model: gpt-5-mini
Short Digest

Notes

Closure tied to investor Bosak's cross-defaults and subsequent criminal indictments.

Events (1)

1. June 17, 1935 Suspension

Cause: Bank Specific Adverse Info
Cause Details: Cross-fire demands tied to loans collateralized with Bosak's Bank of Europe stock and indictments for embezzlement of principal investor and officers.
Newspaper Excerpt: the Olyphant Bank, Olyphant, ... met the same fate.
Source: newspapers

Newspaper Articles (1)

1. June 17, 1935 The Tribune Scranton, PA

Article Text

Bank Closes Doors

The immediate demand for cash to meet withdrawals was being met by other institutions on loans until several banking houses, holding Mr. Bosak's Bank of Europe stock as collateral on other loans, demanded additional collateral or immediate redemption of the notes. The cross-fire demand of both depositors and banking houses was too great. The Bank of Europe had to close its doors.

In rapid succession the other banking institutions in which Mr. Bosak was the outstanding investor, the Bosak State Bank, this city; the Olyphant Bank, Olyphant, and the Liberty Bank, Wilkes-Barre, met the same fate.

Depositors committees organized and demanded criminal prosecution. Mr. Bosak, his son, Michael Jr.; his nephew, Edward; other relatives and officers of the local bank were indicted on charges of embezzlement, conversion, violation of banking laws and kindred offenses.

In April, 1933, Edward was placed on trial and acquitted of two charges of embezzlement. Saturday's verdict marked the end of four of the charges and the probable end of the prosecution of the Bosaks.