7381. Deposit Bank (Midway, KY)

Bank Information

Episode Type
Run → Suspension → Closure
Bank Type
state
Start Date
March 27, 1896
Location
Midway, Kentucky (38.151, -84.683)

Metadata

Model
gpt-5-mini
Short Digest
5b18e089

Response Measures

Full suspension

Other: Bank was assigned to a director (assignment/receivership).

Description

Multiple contemporary papers report that depositors made a run (late March 1896) after discovery/allegations of large embezzlements by the cashier and assistant cashier; the bank 'assigned' to a director (i.e., placed in assignment/receivership) and later grand-jury indictments followed. No reopening is mentioned — treated as permanent closure/assignment.

Events (3)

1. March 27, 1896 Receivership
Newspaper Excerpt
has assigned to John Wise, one of the directors.
Source
newspapers
2. March 27, 1896 Run
Cause
Bank Specific Adverse Info
Cause Details
Depositors ran after discovery/allegations that the cashier and assistant cashier embezzled large sums (reports vary $20,000–70,000).
Measures
None reported (depositors ran and directors decided to assign the bank).
Newspaper Excerpt
the depositors have been making such a run on the bank the directors decided to assign.
Source
newspapers
3. March 27, 1896 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Bank was assigned (suspended/placed into assignment) after embezzlement by cashier and assistant cashier was alleged and depositors ran.
Newspaper Excerpt
has assigned to John Wise, one of the directors.
Source
newspapers

Newspaper Articles (10)

Article from The Indianapolis Journal, March 28, 1896

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Article Text

Business Embarrassments. VERSAILLES, Ky., March 27.-The Deposit Bank of Midway, whose cashier, William Shipp, and assistant cashier, Charles W. Stone, are alleged to have embezzied nearly $30,000 of its funds, has assigned to John Wise, one of the directors. It was announced Tuesday that the bank would be reorganized and continue in business, but the depositors have been making such a run on the bank the directors decided to assign. The full amount of Shipp's and Stone's shortage is not yet known. Both men hold large sums of money as executors and guardians of various people. LOUISVILLE, March 27.-The Louisville Veneer Mills Company, one of the largest concerns of the kind in the South, assigned to-day. Liabilities, about $30,000. The assets consist of a plant covering fifteen acres, erected twelve years ago, at a cost of $90,000, and a large stock of goods.


Article from The Evening Herald, March 28, 1896

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Article Text

Bank Ruined by Dishonest Cashiers. VERSAILLES, Ky., March 28.-The Deposit bank of Midway, whose cashier, W. M. Shipp, and assistant cashier, Charles W. Stone, are alleged to have embezzled nearly $30,000 of its funds, has assigned to John Weiss, one of the directors. The full amount of the shortage is not yet known.


Article from The Madison Daily Leader, March 30, 1896

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Article Text

Bank Forced to Assign. VERSAILLES, Ky., March 30.-The Deposit bank of Midway. whose cashier, William Schipp, and assistant cashier, Charles Stone, are alleged to have embezzled nearly $20,000 of its funds, assigned to John Wise, one of the directors.


Article from Union County Courier, April 2, 1896

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Article Text

announced it is believed the use of metallic currency is imminent. The proposed reform consists in coining new gold pieces exactly corresponding in value to the present paper trouble." PARIS-Minister of foreign affairs, Berthelot, has resigned on account of ill health. GEORGETOWN, Texas.-Matt Moody, a negro, was hanged in the presence of 4,000 people, for the murder of Andrew Pickrell. PITTSBURG-At the wire nail manufacturers' association meeting in New York the price of wire nails was advanced 15 cents per keg. Cut nails will follow in the same ratio. VERSAILLES, Ky.-The deposit bank of Midway, whose cashier, Mr. Stone, was alleged to have embezzled nearly $30,000 of its funds, has assigned to John Wise, one of the directors. LONDON-The Chronicle says it will still hear of negotiations for the purchase of Delagoa Bay by Great Britain are afoot and King Humbert will arbitrate the price to be paid in spite of denials made in behalf of the government in parliment. LIMA. Peru - The government has notified the diplomatic corps that all claims against Peru arising out of the recent civil war must be presented within 30 days. ANSONIA, Conn.-Fire destroyed the $20,000 Germania hall, a brick block. The janitor, Henry Erben, fell from an upper landing head foremost and was fatally injured. JOHANNESBURG. - President Kruger will not go to England. Boer feeling is running high against the reform leaders, whose position will be critical in the event of further friction. LONDON. - Mark Twain has com pletely recovered his health and he sailed from Bombay for Mauritius and Cape Town. He has sold the copyright of a new work for 850,000. PATERSON, N. J.--Maj. Edward Leslie, a well known inventor, committed suicide by taking morphine. His wife and family: are in Canada. A suit growing out of infringement of patent was recently decided against Leslie, and this made him melancholy. HAVANA. - The column of troops commanded by Col. Pauvia has been engaged with insurgent cavalry numbering about 1,000 men, under the leadership of Lacret at the plantation of San Joaquin. The Spanish cavalry charged the enemy and the latter retreated leaving 15 killed. WASHINGTON. - All United States mails for the Bahama islands after April 8 will be sent from New York alone. Part of the service during the past winter months has been performed by a contract with the steamer Northumberland, plying between Nassau, N. P., and Palm Beach, Fla., but the arrangement terminates on the day mentioned. NEW YORK.-A verdict was returned in favor of the plaintiff for $129,240 in a suit tried before Justice Freedman in which Baring, Magoun & Co., of London, sued L. Waterbury & Co., brokers, to recover £25,000 with interest, loaned by the plaintiff on Dec. 21, 1892. Bonds and securities were given the loan, but the defendant refused to pay on the ground that the loan was on behalf of the National Cordage syndicate, which had failed. BROOKLYN. Edward King, the well known author and correspondent is dead. SAN FRANCISCO. - Three hundred Chinese were blown to atoms by the explosion of a magazine at Fort Kiang, China. According to advices by steamer the disaster was the work of mutinous soldiers. SPRINGFIELD, Ill.-Albert Batterton, a young man of Athens was shot and killed by City Marshal Trent in that city while burglarizing a restaurant. PANA, Ills. - Ddward S. Davis exmayor of this city and a prominent commission merchant committed suicide by shooting himself with a revolver. Cause of financial trouble. CHICAGO-Trans-Missouri lines have refused to grant the 1 cent a mile rate to the G. A. R. encampment. ROME-The senate by a vote of 109 to 6, has adopted the 140,000,000 lire credit asked for by the government for contemplated operations in Africa. CHICAGO. - Miss Frances E. Willard authorizes the statement that the national convention of the W. C. T. U. for 1896 will be held in St. Louis. MILWAUKEE. - The families owning two of the largest breweries in Milwaukee were united last night, when Miss Ida Uihlein become the wife of Frederick Pabst, Jr. HAVANA.-An expedition, supposed to be from the steamer Bermuda, has landed between Guantanamo and Santiago de Cuba, in che province of the latter name. GRAND FORKS, N. D.-W. P. Alsip, of this city, was awarded the government contract for 2,500,000 brick at the Rosebud Indian agenoy. EAST GRAND FORKS, Minn.-A man named Smith Wheeler was found dead in a saloon. The officials hint at foul play and will hold an inquest. Acute


Article from Great Falls Weekly Tribune, April 3, 1896

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Article Text

Bank Assigns. VERSAILES, Ky., March 27.-The Deposit bank of Midway, whose cashier, William Schipp, and assistant cashier, Charles Stone, are alleged to have embezzled nearly $30,000 of the funds, has assigned to John Wise, one of the direc tors.


Article from Chicago Eagle, April 4, 1896

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Article Text

Depositors Run on the Bank. The shortage of William Shipp and Charles W. Stone, cashier and assistant cashier of the Deposit Bank at Midway, Ky., has grown to $60,000. Friday the depositors made a run on the bank and forced it into an assignment. Shipp and Stone are still at their homes.


Article from The Morning News, June 6, 1896

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Article Text

TWO BANK EMPLOYES INDICTED. Larceny and False Swearing Among Their Offenses. Versailles, Ky., June 4.-The grand jury investigation of the Deposit Bank of Midway, Ky., scandal, resulted in eight indictments being brought against exCashier William Shipp and ex-Bookkeeper Charles Stone, charging larceny, embezzlement, swearing to false statements and making false entiries. Both men have been among the most honored citizens of Kentucky. Shipp was mayor of the city, and both are elders in a church. When the Deposit Bank suspended and they were charged with embezzling $70,000, it created a tremendcus sensation.


Article from Birmingham State Herald, June 6, 1896

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Article Text

INDICTED EIGHT TIMES. The Ex-Cashier and Ex-Bookkeeper of the Deposit Bank, Midway, Ky. Versailles, Ky., June 5.-The grand jury investigation of the Deposit bank of Midway, Ky., South Carolina, Kentucky, and Alabama, resulted in eight indictments being brought against Ex-Cashier William Schipp and Ex-Bookkeeper Charles C. Stone, charging larceny, embezzlement, swearing to false statements and making false entries. Both men have been among the best honored citizens of Kentucky. Schipp was mayor of the city and both are elders in a church. When the Deposit suspended and they were charged with embezzling $70,000 it created a tremendous sensation.


Article from Richmond Dispatch, June 6, 1896

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Article Text

# Indictment of Bank Officers. VERSAILLES, KY., June 5.-The grand jury investigation of the Deposit Bank, of Midway, Ky., scandal has resulted in eight indictments against Cashier William Shipp and ex-Book-keeper Charles Stone, charging larceny, embezzlement, swearing to false statements, and making false entries. Both men have been among the most honored citizens of Kentucky, When the Deposit Bank suspended, and they were charged with embezzling $70,000, it created a tremendous sensation.


Article from Goldsboro Weekly Argus, June 11, 1896

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Article Text

Indianapolis, Iud., June 3.The Administration Democrats have about given up the fight. The result in Kentucky, followed on the heels of the action of the primaries in Illinois, has proved the last straw. The back of the golden calf has been broken and it now looks as if Indiana's delegation to Chicago will be a solid silver one. The silver men have always estimated a half-and-half result in this State, but all indications are that the State Convention will be overwhelmingly for silver. Fifty-six counties have elected delegates to the State Convention. Of these fifty four, that is all except two haye instructed their delegates for silver. They have sent strong silver men to the convention and adopted rings ing silver resolutions. It is believed now that there will not be 100 gold standard advocates in the State Convention. The American line steamer St. Paul, from Southampton, has made a new record for the westward voyage for the big liners. Until yesterday. the record was with the New York, of the same line- 6 days,7 hours, 14 minutes. The St. Paul's time is 6 days, 5 hours, 28 minutes. Versailles, Ky., June 5.--The grand jury investigation of the Deposit Bank of Midway, Ky., scandal resulted in eight indicts ments being brought against exCashier William Shipp and exBookkeeper Chas. Stone, charging laceny, embezzlement, swearing to false statements and making false entries. Both men have been among the most honored citizens of Kentucky. Shipp was mayor of the city, and both are elders in a church. When the De posit suspended and they were charged with embezzling $70,000, it created a tremendous sensas tion. Congressman Mahany of New York is the author of a bill- to enlarge the locks of the Erie Canal so that torpedo boats may be able to reach the great lakes from the Atlantic seaboard. By the treaty of 1817 both England and the United States are allows ed to keep only a single warship each on the lakes; but Canada has so enlarged the Welland Canal that formidable vessels o war can be despatched through British waters for the destruction of our border cities. Mr. Mahany's bill provides against that danger, and if passed, as it should be, it will break one strong link in the chain of cirs cumvallation which England has drawn around the boundaries of the United States.