8256. First National Bank (Warren, MA)

View Charter #11567 on SPMC

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
11567
Charter Number
11567
Start Date
February 20, 1923
Location
Warren, Massachusetts (42.213, -72.191)

Metadata

Model
gpt-5-mini
Short Digest
e929744b

Response Measures

None

Receivership Details

Depositor recovery rate
67.0%
Date receivership started
1923-02-23
Date receivership terminated
1928-04-26
OCC cause of failure
Fraud
Share of assets assessed as good
86.7%
Share of assets assessed as doubtful
11.9%
Share of assets assessed as worthless
1.4%

Description

The bank was looted of about $212-213k in securities by Joseph B. Marcino (with others implicated). The theft rendered the bank insolvent and it closed in February 1923; a national bank examiner was appointed receiver and the institution remained in receivership and was described as 'wrecked' in subsequent reports. No contemporaneous reports of depositor runs are given — cause is bank-specific adverse information (theft/embezzlement).

Events (5)
1. December 31, 1919 Chartered
Source
historical_nic
2. February 20, 1923 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Theft/embezzlement of approximately $212,000-$213,000 in bonds by Joseph B. Marcino and associates, and disappearance of the bank president; made bank insolvent and led to closure.
Newspaper Excerpt
First National bank which closed February 20 last, when its president, Frank L. Taylor disappeared
Source
newspapers
3. February 23, 1923 Receivership
Source
historical_nic
4. February 24, 1923 Receivership
Newspaper Excerpt
National Bank Examiner N. S. Bean today was appointed temporary receiver of the bank by Comptroller of the Currency Crissinger.
Source
newspapers
5. July 13, 1923 Other
Newspaper Excerpt
Announcement ... that a first dividend at the rate of 40 per cent upon proved claims would be paid by the comptroller of the currency as soon as the schedule and checks can be compared ... the First National bank which closed February 20 last
Source
newspapers

Newspaper Articles (11)
1. February 23, 1923 New Britain Herald New Britain, CT
Article from New Britain Herald, February 23, 1923

Click image to open full size in new tab

Article Text

WARREN RESIDENTS ARE LOSERS IN BANK CRASH Individual Losses to Depositors in Savings Dept. Expected to Run as High as $2,000. Warren, Mass., Feb. 23.-Residents of this town face heavy losses as depositors or as stockholders in the First National bank here through the theft of $213,000 of its securities. Bank Examiner Howard W. Black resumed today the work of checking up the bank's affairs, still declining to say what conditions had been found. Chief Examiner N. S. Jean similarly has maintained reticence. The bank conducted both savings and commercial departments and individual losses to depositors in the former will run as high as $2,000. In the latter the town's account of about $9,000 is believed to be among the largest.

2. February 25, 1923 The Birmingham Age-Herald Birmingham, AL
Article from The Birmingham Age-Herald, February 25, 1923

Click image to open full size in new tab

Article Text

WESTERN PONZI IS STILL IN COUNTRY, OFFICIALS THINK Wrecker of Warren Bank Believed to Be Seeking Safety in Canada-Father-inLaw Held BOSTON, Feb. 24 Canada. rather than Mexico, is the flight objective of Joseph B. Marcino, the barberbanker in Chicago who is sought as the wrecker of the First National bank of Warren and several other institutions, in the opinion of federal officials here. These authorities expressed the belief today, however, that Marcino was still his this country. A wide canvass of the places in which he might have obtained a passport between the time that he is alleged to have cleared out the vaults of the Warren bank of its $213,000 in bonds. and sold them in Buffalo, convinced them that he had not salled for South America as reported. either from a Mexican port or from this country. Marcino is now definitely accepted by the federal authorities as the master hand in the Warren bank wrecking, officials said. They have dropped the charge of embezzlement against Frank L. Taylor, the $50-aweek president of the Warren bank who was given his job by Marcino. and let that charge stand in a warrant against Marcino. The warrant on which Taylor will be brought here from Chicago for trial will charge misapplication of the bank's funds. the contention being that he allowed Marcino access to the vaults in which the bonds were kept. National Bank Examiner N. S. Bean today was appointed temporary receiver of the bank by Comptroller of the Currency Crissinger. Bean spent the day in consultation here with United States Attorney J. V. Sullivan, These officials will have charge of the prosecution of Taylor and of Abraham Goldman. fatherin.law of Marcino and principal stockholder in the Warren bank. who was arrested at Chicago today. Government agents have located practically all the missing bonds, it was announced. GOLDMAN ARRESTED CHICAGO, Feb. 24.-Abraham Goldman, father-in-law of Joseph Marcino, missing barber-banker, who gained control of the Niagara Insurance company of Buffalo and other financial institutions. and then dropped out of ght after operations believed to have resulted in losses to others of a half million dollars. was arrested today. He was taken on a warrant sworn out here in connection with the alleged embezziement by Marcino and others of $213.000 from the First National bank of Warren. Mass

3. February 26, 1923 New Britain Herald New Britain, CT
Article from New Britain Herald, February 26, 1923

Click image to open full size in new tab

Article Text

MASS. FEDERAL GRAND JURY TO HEAR OF WARREN CASE Authorities Have Much Information Concerning the Operations of Taylor and Others Warren, Mass., Feb. 26.-A special session of the federal grand jury was summoned today to meet on Thursday to consider the evidence obtained by federal officials in connection with the closing of the First National Bank of Warren. This course was decided upon after a conference between Assistant United States Attorney Sullivan and Bank Examiner N. S. Bean, who is temporary receiver of the bank. What evidence they had in hand for presentation to the grand jury was not disclosed, but it was understood that Mr. Bean had obtained considerable information as to the operations of President Frank L. Taylor of the bank, Joseph B. Marcino and Abraham Goldman, in connection with the affairs of the institution. Taylor and Goldman are under arrest in Chicago and it is expected that Taylor will be brought here for arraignment within a day or two. Marcino, for whom a warrant has been issued, has not been located. Mr. Bean said that he was going to Baltimore and Washington on business connected with his appointment as receiver but did not state the nature of his errand. Mr. Sullivan and a C United States Attorney Harris plan to J go to Chicago later and have asked W the Chicago authorities to defer action in Goldman's case until after their a arrival. o

4. May 2, 1923 New Britain Herald New Britain, CT
Article from New Britain Herald, May 2, 1923

Click image to open full size in new tab

Article Text

Warren Bank Can Sue to Recover Money Stolen Buffalo, May :-A supreme court decision here today will permit the receiver for the First National Bank of Warren. Mass., to sue for the recovery of $212,000 of the bank's funds Involved in the crash of the Ningara Life Insurance Co. The New York state insurance department and the commission which took over the policies and reserve fund of the NIagara Life will be defendants.

5. July 13, 1923 New Britain Herald New Britain, CT
Article from New Britain Herald, July 13, 1923

Click image to open full size in new tab

Article Text

OFFER 40 PER CENT All Proved Claims of Warren Bank Will Receive This Initial Dividend, Comptroller Announces. Warren, Mass., July 13.-Announcement was made today by James E. Farrell, receiver of the First National bank which closed February 20 last, when its president, Frank L. Taylor disappeared, that a first dividend at the rate of 40 per cent upon proved claims would be paid by the comptroller of the currency as soon as the schedule and checks can be compared at the comptroller's office and the books returned to the receiver. Taylor was arrested in Chicago for complicity in the looting of the bank of securities valued at $213,000 in which Joseph B. Marcino, barber banker, still sought internationally, is said to have been the leading spirit.

6. August 28, 1923 San Antonio Light San Antonio, TX
Article from San Antonio Light, August 28, 1923

Click image to open full size in new tab

Article Text

company, which went out of business. Later he organized the Roma Investment company and Commonwealth Insurance company, then with others obtained control of numerous small banks in Iowa and Illinois. He was indicted in connection with the failure of some of these institutions but. jumped his bail. He married a daughter of Abraham Goldman, wealthy Chicagoan, and then, with the aid of capital said to have been furnished by his father-inlaw, transferred his operations to the East, where he purchased an interest in the Farmers and Merchants bank of Philadelphia, which failed, and then in the Niagara Life Insurance company of Buffalo, which went into receivership. Going to Warren, Mass., he succeeded, with Goldman's aid, in gaining control of the First National bank of Warren. Frank L. Taylor, a Chicago clerk and former railroad brakeman, was installed as head of the institution. Marcino disappeared last February along with bonds held by the bank valued at $213,000. At about the same time Taylor vanished from Warren. Taylor was arrested in Chicago, where, he asserted, he came to notify Goldman that his son-in-law had left with the bank's resources. Goldman and Taylor declared they knew nothing of Marcino's flight with the bonds but Taylor is now serving a year's prison sentence for his part in the affair.

7. November 7, 1923 Daily Kennebec Journal Augusta, ME
Article from Daily Kennebec Journal, November 7, 1923

Click image to open full size in new tab

Article Text

File Suit $5000 to Recover Percent Assessed Bank Capital Worcester. Mass., Nov. 6.-James E. Farrell, receiver for the wrecked First National Bank of Warren, filed in superior court today suits of $15,000 each against William J. Thayer and Edward F. Fletcher and $5000 against Howard W. Cowee, all of Worcester, to recover a 100 per cent. assessment on their holdings of the bank's capital. The stock involved was sold by the Worcester man to Frank L. Taylor, Joseph B. Marcino and Abraham Goldman, who are charged with wrecking the bank, within 60 days of the bank's insolvency and the receiver claims the Worcester men are liable under the United States laws.

8. December 5, 1923 Daily Kennebec Journal Augusta, ME
Article from Daily Kennebec Journal, December 5, 1923

Click image to open full size in new tab

Article Text

Receiver of Defunct Warren Bank Seeks Payment on Stock Boston. Dec. 4-James -E. Farrell, receiver for the wrecked First National. bank of Warren, today filed suit in the United States district court against three Worcester residents seeking to enforce payment of a 100 percent assessment on the capital stock of the Warren bank. The defendants are Edward F. Fletcher, Howard W. Cowee, and William J. Thayer. Joseph B. Marcino and Frank L. Taylor, who controlled the bank at the time of the crash, following disappearance of $200,000 in securities from the vaults, are now serving prison terms. In the declaration Farrell stated that Fletcher's share of the liability is $2700 and interest, alleging that he had transferred on January 23 his holdings in the capital stock to Abraham Goldman of Chicago. The latter is unable to meet the assessment, it is said. leaving Fletcher still liable. Receiver Farrell stated that Cowe transferred his holdings of 115 shares to Taylor and 18 shares to Goldman. Cowe is sued for $13,300 and Thayer for $10,000. Thayer is alleged to have transferred 80 shares to Edward Goldman of Chicago and 28 shares to Abraham Goldman. Abraham Goldman is under arrest but out on bail in Chicago awaiting court action in connection with the wrecking of the bank.

9. February 11, 1924 New Britain Herald New Britain, CT
Article from New Britain Herald, February 11, 1924

Click image to open full size in new tab

Article Text

# DENY $39,000 CLAIM Warren First National Bank Cannot Recover This Sum From The Niagara Life Insurance Company. Buffalo, Feb. 11.—A claim of the receivers of the First National bank of Warren, Mass., for $39,000 against the Niagara Life Insurance Co., of this city was disallowed by Justice O'Malley in the supreme court today. The claim covered the value of bonds alleged to have been taken by Joseph B. Marcino, former head of the bank and controlling power behind the insurance company.

10. June 23, 1925 The Buffalo News Buffalo, NY
Article from The Buffalo News, June 23, 1925

Click image to open full size in new tab

Article Text

NEWS ARTICLES HELP BANK TO Offered In Evidence, They Influence Federal Court Decision Returning Money to Institution Looted By Marsino, Life Insurance Wrecker. The First National bank of Warren. Mass. looted by Joseph B. Marsino in Mebruary. 1923, at the same time that Marsino was wrecking the Niagara Life Insurance company of Buffalo, will recover This amount is proceeds from the sale of bonds the bank his last effort to bolster up the local insurance The money is returned under decision of Judge Frank Cooper in Federal at Albany Evidence furnished by the Eye. ning News articles, Mar transactions and the collapse of the Niagara Life company. was responsible for Judge Cooper's decision in favor of the bank receiver against the state superintendent of insurance and the Metropolitan Life Insurance pany, which took over Niagara Life's affairs. Evan Hollister of Locke. Babcock, Spratt & Hollister attorneys for the bank receiver. said Monday Hinges on Fowler Denial The case hinged the denial of Clarence deputy state torney general and attorney for the superintendent of insurance that the or his NelB. Hadley. had that the bonds were stolen from the Warren bank Hadley advised that the bonds be sold and the proceeds used to stave off the Niagara Life company's collapse, Mr. Hollister said The court held that the weight of evidence was against Fowler's plea of ignorance of the was also contended that as the state insurance department advised the sale and turned over the proceeds to the Metropoltan company goold faith, without that the bonds were stolen. the bank could not recover the funds. "This defense was broken down, in its relation to the Metropolitan company, Mr Hollister sa editions of the Buffalo producing Evening of February 21, 22 and 23, which articles stating that bonds had been stolen by Marsino from the Warren bank. that some of them had been sold Buffalo, and the proceeds turned over to Niagar Life company. The court order over the company's assets Mtropolitan pany was issued February 24, and the contract was signed the same day "Meanwhile the New York papers had also carried accounts, Marsino's of the bonds, that was held that the Metropolitan pany must have known in advance of the nature of the transaction. could not prove that received the proceeds the sale notice of the theft, as the law of negotiable requires. Most Complete in News. "Editons of several Buffalo and New York newspapers submitted in the but the Evening case, News the complete accounts of the Niagara Life collapse and provided the best Joseph B. Marsino fled to Mexico after wrecking the insurance company and the several other banks He was late in nine year sentence in the federal penItentiary at Atlanta, Ga., for theft from national bank.

11. June 24, 1925 The Buffalo News Buffalo, NY
Article from The Buffalo News, June 24, 1925

Click image to open full size in new tab

Article Text

NEWS ARTICLES HELP BANK TO Offered In Evidence, They Influence Federal Court Decision Returning Money to Institution Looted By Marsino, Life Insurance Wrecker. The First National bank of Warren. Mass. looted by Joseph B. Marsino in February. 1923, at the same time that Marsino was wrecking the Niagara Life Insurance company Buffalo, will recover 130.08 This amount is proceeds from the sale of bonds from the bank in his last effort to bolster up the company The local insurance money returned under decision of Judge Frank Cooper in Federal court Albany Evidence furnished by the Evening News articles, Marsino's transactions and the collapse of the Niagara Life company was responsible for Judge largely Cooper's decision favor of the bank receiver and against the state of insurance and the Metropolitan Life Insurance company, which over the Niagara Life's affairs, Evan Hollister attorneys for the bank receiver. said Monday. Hinges on Fowler Denial. The case hinged on the denial of Clarence C. Fowler, deputy state torney general and atterney for the superintendent of insurance. that the superintendent or his deputy, NelB. had that the son bonds were stolen from the Warren bank when Hadley advised that the bonds be sold and the proceeds used to stave off the Life company's collapse, Mr. Hollister said. The court held that the of evidence plea of ignorance the theft contended that as the was also state insurance department advised the sale and turned over the proceeds to the Metropoltan goold without knowledge that the bonds were stolen, the Warren bank could not recover the funds. "This defense was broken down. in its relation the Metropolitan company, Hollister producing the Buffalo Evening February 22 and 1923, which contained articles stating that bonds had been stolen by Marsino from the Warren bank. that some of them had been sold in Buffalo, the turned over to Niagar Life company The court order over the company's assets to the Mtropolitan company was issued February 24, and the contract was signed the same day the New York papers had also accounts, Marsino's theft of the bonds. so that it was held that the Metropolitan company must have known in advance of the nature of the transaction. It could not prove that the proceeds the sale without notice the theft, as the law of negotiable requires. Most Complete in News. "Editons of several Buffalo and New York were submit ted in the case, but the Evening News contained the complete accounts of the Niagara Life collapse and provided the best Joseph B. fled to Mexico after the company and the and several other banks. He was arrested late in August, 1923. and is now serving nine in the federal penitentiary at Atlanta, Ga., for theft from national bank