7998. City Bank (Dowagiac, MI)

Bank Information

Episode Type
Suspension โ†’ Closure
Bank Type
private
Start Date
February 6, 1908
Location
Dowagiac, Michigan (41.984, -86.109)

Metadata

Model
gpt-5-mini
Short Digest
96af838d091051f1

Response Measures

None

Description

The City Bank (operating as Lyle, Gage & Co.) suspended/quit business in early February 1908 and did not resume. Articles report large withdrawals by President Frank W. Lyle (Feb 6) and insolvency; petitions for a receiver/bankruptcy follow. No article describes a depositor run; cause appears to be bank-specific adverse actions/insolvency. OCR corrected 'refunct' to 'defunct' and dates inferred from article chronology (bank closed Saturday Feb 8, 1908).

Events (4)

1. February 6, 1908 Other
Newspaper Excerpt
The notes are dated Feb. 6...That Frank W. Lyle drew $29,000, and his son...$4,000, from the defunct City bank two days before the institution closed, is the charge made ... The notes are dated Feb. 6, and the bank closed Saturday, Feb. 8.
Source
newspapers
2. February 8, 1908 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Large withdrawals by president (Frank W. Lyle withdrew $29,000 and his son $4,000 on Feb 6); bank insolvent and unable to meet liabilities.
Newspaper Excerpt
That Frank W. Lyle drew $29,000...the bank closed Saturday, Feb. 8.
Source
newspapers
3. February 14, 1908 Other
Newspaper Excerpt
DOWAGIAC BANK FAILS Institution One of Oldest in This Part of State-No Reasons Assigned. The city bank of Dowagiac, otherwise the Lyle, Gage & Co, quit business yesterday.
Source
newspapers
4. February 21, 1908 Receivership
Newspaper Excerpt
A petition has been filed with Referee in Bankruptcy Briggs, of Kalamazoo, for a receiver for the closed City bank. A hearing will be held Saturday and a meeting of the creditors will also be held there the same day.
Source
newspapers

Newspaper Articles (8)

Article from The True Northerner, February 14, 1908

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Article Text

DOWAGIAC BANK FAILS Institution One of Oldest in This Part of State-No Reasons Assigned. The city bank of Dowagiac, otherwise the Lyle, Gage & Co, quit business yesterday. No reason for the suspension is given out. The city bank is one of the oldest institutions in this part of the state. It was for many years a state bank, but about four years ago liquidated from under the state organization. At that time it was capitalized at 350,000. The Lyle, Gage & Co. was formed when the bank liquidated. The officers are: President, Frank W. Lyle: vice-president Ira B. Gage; cashier, L. R. Lyle.


Article from The Detroit Times, February 17, 1908

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Article Text

BELIEVE FRANK LYLE IN CHICAGO SUBURB DOWAGIAC, Mich., Feb. 17.-Frank W. Lyle, president of the City bank of Dowagiac, which suspended a week ago, is believed to be in Englewood, Chicago. No efforts have been made by the authorities to trace him as It is admitted that so far no incriminating circumstances in regard to the closing of the institution have been revealed. Pros.-Atty. Bresnahan was informed that President Lyle had left the Michigan Central train, which took him out of Dowagiac, Sunday, at the Englewood "station. The subpenas on Levi Lyle and Oliver Lyle, cousins of Frank W. Lyle, who reside in Decatur, will probably be served today. It is expected that a receiver will be appointed this week.


Article from The Detroit Times, February 19, 1908

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Article Text

DREW $29,000 JUST BEFORE BANK CRASH KALAMAZOO, Mich., Feb. 19.-That Frank W. Lyle drew $29,000, and his son, Leon R. Lyle, $4,000, from the refunct City bank of Dowagiac two days before the institution closed, is the charge made since notes listed in the schedule of assets and liabilities, which have been referred to Referee in Bankruptcy H. C. Briggs, of Kalamazoo, have been found. The notes are dated Feb. 6, and the bank closed Saturday, Feb. 8. Attorneys interested in the case charge that the two items were responsible for the closing of the bank at the preser time and state that It cannot pay more than 40 cents on the dollar. The schedules show the liabilities of the bank to be $270,686.78, all of which came from about 800 depositors, but few accounts running over $1,000.


Article from The Detroit Times, February 21, 1908

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Article Text

CAN'T PROSECUTE BANKER LYLE DOWAGIAC, Mich., Feb. 21.-A petition has been filed with Referee in Bankruptcy Briggs, of Kalamazoo, for a receiver for the closed City bank. A hearing will eb held Saturday and a meeting of the creditors will also be held there the same day. A trustee will be elected at the meeting. Otis Biglow, of Dowagiac, or C. H. Kimmerle, of Cassopolis, will be chosen. Mrs. Ida Jones, widow of Mayor Jones, charges that a $1,000 draft she asked to be forwarded to Samuel Jones, of Denver, Col., was never sent, though bank officers promised to do so after she complained. 'I have gone over the evidence we have at the present time and I fail to see where we can make charges against President Lyle," says Attorney Charles Sweet, who represents a number of depositors. "Mr. Lyle was a smart business man."


Article from The Diamond Drill, February 29, 1908

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Article Text

Echo of a Bank Failure. Dowaglac, Mich., Feb. 24.-Charles and Michael Tobeas, proprietors of the Chicago Fair, one of the largest gener. al stores in this section, have filed a $13,000trust mortgage running to Chas. E. Sweet, of Dowagiac, and E. J. Dufty, of Detroit, for the benefit of creditors. The firm's difficulty is attributed to poor collections and slack trade resulting from the recent failure of the City bank.


Article from The Yale Expositor, June 26, 1908

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Article Text

# MICHIGAN ITEMS. Prosecutor Powers, of Grand Rapids, put the lid on baseball pools and betting. Howard McManamy, laborer, 42, was stricken with the heat and died in the patrol wagon while being taken to the police station. There were no bidders for the Detroit, Flint & Saginaw railway at the time scheduled for the sale and it was adjourned to June 25. George S. Gillespie, aged 18, son of the chief dispatcher of the Grand Trunk, has passed the final examination for admission to the naval academy. Only four graduated this year from the American Medical Missionary college at Battle Creek, but each had an average of 100 per cent in the examinations. D. P. Markey, supreme commander of the Maccabees of the World, received a valuable gold watch, charm and chain, as a gift from the Maccabees of West Virginia. Treasurer J. E. Howard reported at the meeting of the trustees of Kalamazoo college that the endowment was now $433,932.51, greater than that of any other Michigan college. Frightened by lightning, Richard Hoodless, Waterford township farmer, was stricken by apoplexy as he entered the barn of his son-in-law, Wm. Stevens, and died shortly afterward. While watching the ascension of an elevator in a Grand Rapids building, Maurice Wells, 14-year-old newsboy, was struck on the head by one of the descending weights and instantly killed. Chester Brown, who lived high on funds sent by his father, who supposed he was attending the U. of M., left for his home in Mexico. His father settled for the bad checks passed by Brown. Rev. James M. Shank, pastor of an M. E. church in the upper peninsula, has been appointed chaplain of the Jackson prison, succeeding Rev. E. D. Rundell, who resigned two months ago to go to a local church. Brig. Gen. Albert Hartsuff, a veteran army man who has made his home in Detroit since his retirement from active service in 1900, dropped dead Monday morning just as he entered the home of his daughter, Mrs. L. S. Trowbridge. U. of M. regents authorized the building committee to draw up plans for the new chemical building. Prof. G. Wrentmore was granted a year's leave of absence to take the position of superintendent of buildings in the Philippines. The bail of Ira B. Gage, former vice president of the Dowagiac City bank, held in Cadillac jail for three months on several charges connected with the bank's failure, was reduced from $19,500 to $8,000 by Judge North, of Calhoun county. Melvin A. Root, the aged spiritualist who shot himself on the steps of a Buffalo crematory, but recovered, has left Bay City to live in Tidioute, Pa. His property is in the hands of a receiver because of legal difficulties with his attorneys. Judge Miner has dismissed the application of Leonard Crouse and Geo. Smithdall, of Morrice, for a permanent injunction to prevent the village from causing its underground drain to empty into a surface drain that traverses their farms. Three years ago five Charlotte boys, Louis Goldsmith, Robert Sears, Egbert Griffin, Byron Stockwell and Frank Spencer, enlisted in the army and were sent to separate barracks. On their way home last week all accidentally met in the Grand Trunk depot. Attorneys for Edward Parks, who is on trial in Grand Rapids for manslaughter, are trying to secure a jury composed of base ball fans. Park is accused of throwing a beer bottle during a game, striking William Haverkamp on the head and causing his death. George, the 9-months-old son of George Russell, of Traverse City, found a bottle of permanganate of potash, and tried to drink the contents, with the result that he will lose his tongue. None of the fluid got into his stomach but his mouth was terribly burned. Charles Bradley, 50, laborer, was drowned while fishing just below the dam of the Shiawassee Light & Power Co., at Shiawasseetown, Thursday, afternoon. His decoy minnow caught in some weeds and wading out to loosen it, he stepped into a deep hole and was drowned. In view of the recent trouble over the alleged fraudulent school census at Ionia, Supt. of Public Instruction L. L. Wright, suggests that some other means of distributing the primary school interest fund should be adopted, He says that the present system is conducive to fraud. Fatally injured by a train, James D. Delaney, roadmaster of the East Jordan & Southeastern railroad, expressed a wish to see his wife and 4-day-old baby before he died. He was placed on a special train, but lost consciousness before his home was reached and died there. A combined hurricane and cyclone which wandered over the entire lake region Friday afternoon, struck Detroit at 4:40 o'clock and plowed a path through the city from east to west. Thousands of dollars of damage was effected but fortunately no one was


Article from The Detroit Times, February 15, 1916

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Article Text

CASHIER FREE AFTER 8 YEARS CASSOPOLIS, Mich., Feb. 15.(Special)-Ira B. Gage, one of the officers of the City bank of Dowagiae, which closed its doors eight years ago and precipitated a financial panic throughout Cass county and southwestern Michigan, was made a free man in circuit court when Judge L. B. Desvoignes dismissed the charge against him and released the bond under which he had been held to appear in court. This action followed a recent decision of the supreme court in which it was shown that Judge Desvoignes had erred in refusing a change of venue in the case, on a motion made at the time by Attorney James H. Kinnane, of Dowagiae, who then represented Gage.


Article from South Bend News-Times, February 16, 1916

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EX-BANKER IS FREED Ira B. Gage Released From Charges Eight Years Ago. News-Times Special Service: CASSOPOLIS, Feb. 16.-Ira B. Gage, one of the officers of the city bank of Dowagiac, which closed its doors eight years ago and precipitated a financial panic throughout Cass county and southwestern Michigan, was made a free man in circuit court when Judge L. B. Des Voignes dismissed the charges against him and released the bond under which he has been held to appear in court. This action followed a recent decision of the supreme court in which it was shown that Judge Des Voignes had erred in refusing a change of venue in the case on a motion made at the time by Atty. James H. Kinnane of Dowagjac, who then represented Gage. The latter after the motion to dismiss the case had been granted, said that for the first time in eight years he had felt like a free man, as the charges, which he said were untrue, had hung over him for that length of time. The former Dowagiac banker is now cashier in a bath house in Chicago, a position that pays him barely enough to live on.