9525. First National Bank (Clarkfield, MN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
national
Bank ID
6448
Charter Number
6448
Start Date
April 1, 1918*
Location
Clarkfield, Minnesota (44.791, -95.809)

Metadata

Model
gpt-5-mini
Short Digest
07cca2f0

Response Measures

None

Receivership Details

Depositor recovery rate
93.0%
Date receivership started
1917-09-25
Date receivership terminated
1922-06-30
OCC cause of failure
Fraud
Share of assets assessed as good
45.3%
Share of assets assessed as doubtful
49.9%
Share of assets assessed as worthless
4.8%

Description

The First National Bank of Clarkfield is referred to as 'defunct' with a receiver (Paul C. Keyes) already appointed and litigation to recover on bonds tied to embezzlement/looting by former cashier George J. Piersol. No articles describe a depositor run or a reopening; the bank is in receivership and thus treated as permanently closed.

Events (4)

1. October 3, 1902 Chartered
Source
historical_nic
2. September 25, 1917 Receivership
Source
historical_nic
3. April 1, 1918* Receivership
Newspaper Excerpt
Paul C. Keyes, the plaintiff, is the receiver of that bank. ... suit of Paul Keyes, as receiver, against Peter Anderson and George J. Piersol, before a jury. ... the defunct First National bank of Clarkfield, Minn., was taken out of the hands of the jury by Judge Wilbur F. Booth and a verdict was directed.
Source
newspapers
4. April 26, 1918 Other
Newspaper Excerpt
This suit grew out of the looting of the bank by the former cashier George J. Piersol, now serving a sentence at Fort Leavenworth.
Source
newspapers

Newspaper Articles (3)

Article from The Mankato Free Press, April 26, 1918

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Article Text

WESTROM IS INDICTED FEDERAL JURY ACTION Alleged That He Made False Claim For Exemption OTHER TRUE BILLSFOUND Avert Clements Charged With Failure to Register; Civil Case Trial Federal court is still in session in Mankato. All the afternoon session of the federal court yesterday was taken up C. in the trial of the suit of Paul Keyes, as receiver, against Peter Anderson and George J. Piersol, before a jury. This was a civil action growing out of the speculations for which George J. Piersol, former cashier of the First, is National bank of Clarkfield, Minn., now serving a sentence at Fort Leavenworth. Paul C. Keyes, the plaintiff, is the receiver of that bank. Peter Ander- this of Clarkfield is a director of bankrupt son bank and also vice president. The receiver was suing on a bond in given by Anderson and Piersol the 1917, guaranteeing the assets instance of bank. This was done at the critthe bank examiner, who had the of icised the assets, and insisted on bond. The total amount that the receiver bond tn recover under this 75. As from Piersol, the was gotten sought $66.579 nothing whole against could judg- An- be would have to rest far as he could defense was tha+ it was derson, ment The as meet agreed bond it. between the parties that the should not be delivered, until it was signed hv all of the directors of other the signatures of the were not and bank. directors there The obtained Whethwas any such agreement were whether er the bond was valid questions involved in this trial. J. N Johnson of Carby was attor- Hartfor the receiver and Ole wick nev of Granite Falls and C. A. Fos- for nes of Montevideo were attorneys the defense. to the close of vesterdav after- had Un session. no indictments noon's returned by the grand jury. This been body consists of the following: H. R. Adams. Madison Lake M. S. Avoca: Dick Peters, Truman: Rath. FY. Wiborg Macdia: L. W.Steele. Canby: F Monterev Andrew onverson. G. W. Michael Holleran. Ellsworth: Roth. Worthington: Max Herrlinger. Cranada: R. H Jones. G. Dovray: Tamps Gordon FILeworth: John Johnson Hadley Edward Caster. Wa- A. Vincent Malonev. Waseca: E Bowen aeca Kangmanzi: Cuv S. McElmore: William Doran. MadArthu". Take: Frank Palmer. Steenv F. Eve: ison Harrv S. Pheffer. Blue Earth: James Kramer Minnesota Lake. Rates O'Connell, N Twin Lake F. W. Menkato; Paul J. McGuigean, Mapleton. Anderson On Witness Stand. Peter Anderson was himself on the witness stand this morning, in the trial of the suit brought to enforce collection on the bond guaranteeing Nathe assets of the defunct First tional bank of Clarkfield. Mr. Anderson was asked to estimate what he he himself was now worth and thought it was between ten and fifteen thousand dollars. The grand jury made its report Six at 11 a. m., and was discharged. indictments were returned. Harry Walter Westrom charge of St. of was indicted on the of James filing false statements in support claim for exemption. He pleaded and the case was his not guilty trial. ordered order- bond The court to of $2,500. the in the custody of the remain ed in the for sum defendant furnished. marshal, such bond should be Ewald of Clements, on the charge was until Martin indicted arraigned, of failing Minn., to He was not and but Avert register. is in custody Gibbon. under bond. Minn., Clements of of also indicted on the charge failure was to register. He likewise was already under bond and was not arraigned. Sam Martgage Alex Gillanders and Frank Cain, all of Spencer, Iowa, with taking liquor from into Iowa, fhe Minnesota were charged latter and being Cain dry state. Gillanders a Martgage seemed unthe a pleaded able to comprehend guilty. charge entered and for plea of not guilty was him and the case ordered for trial. The court required $500 bail in each of the three cases.


Article from The Mankato Free Press, May 3, 1918

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Article Text

Quartet That Was Rounded Up In the South State SENT OVER BY COURT End of the April Term of United States Tribunal Late Yesterday From Friday's Daily. Sooner than had been expected, the term of the federal district court at Mankato came to a close yesterday afternoon. The suit of Paul C. Keyes as receiver against Peter Anderson and George J. Piersol, involving the affairs of the defunct First National bank of Clarkfield, Minn., was taken out of the hands of the jury by Judge Wilbur F. Booth and a verdict was directed. The court was then ready to try Harry W. Westrom of St. James, indicted on the charge of filing false statements in support of his claim for exemption. It had not been expected, however, that the case would be reached that day and Westrom had gone to St. James. The judge said he did not wish to detain the jurors and the court officers until the next day, SO he continued the case over to the next term. Court Directed Verdict. While the court directed a verdict for the plaintiff, the receiver of the bank, in the civil suit, the amount was SO small, $770.14, that it amount ed virtually to a victory for the defense. Peter Anderson, dire or of this bank, has signed a bond to guarantee the assets of the bank, and the court held that this bond was good But the amount that the court held to be real assets of the bank was cut down to such an extent that it left Anderson only the above comparatively small sum to pay. The forged notes in the hands of the bank the court held were not assets at all These amounted to something like $50,000. Moreover, the notes that had been paid before the bonds were signed were held to be out of existence as assets. This suit grew out of the looting of the bank by the former cashier George J. Piersol, now serving a sentence at Fort Leavenworth. Given Short Sentence. All three of the men from Spencer Iowa, who were indicted on the charge of carrying liquor into the dry state of Iowa from Minnesota, were again before the court and received thei sentences, each to serve, forty-five days in the Blue Earth county jail The judge remarked that it was no torious that many people had beer taking liquor from Minnesota into both Iowa and South Dakota. He die not consider that fines would do ii such cases and he imposed the prison sentences without granting the op tion of fines. The men were San Martgage, Alex Gillanders and Franl Cain. Martgage changed his plea from not guilty to guilty. The judge questioned each by him self. The men admitted having : little liquor on the person, but no one would make any statement to ac count for the fourteen quarts o whisky that , were found in thei auto. Arrest of Liquor Carriers. County Attorney Herbert Nicholas Deputy Sheriff M. B. Dunn and Mar shal John Nagel of Jackson made big haul of alleged bootleggers Tues day, and today four of them are il jail at Mankato, in the custody o federal officers, says The Fairmon Sentinel. Two are behind the bar at Jackson. The cases are said to be the mos flagrant discovered in Southern Min nesota in years. Two automobil loads of liquor were confiscated. Four men were arrested on th Iowa line after the drunken drive had run off the road the car turnin over twice. None of the four oc e cupants was hurt, although all wer plunged into a pool of water. Driver Found in Haymow. me Alex Gillanders driver of the


Article from The Mankato Free Press, April 30, 1920

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Article Text

FEDERAL COURT CASES Actions That Will Be Tried in That Tribunal, Beginning on The Morrow. The following is a list of the cases on the civil calendar for the April term of the United States District court, which convenes at this city April 27. It is generally understood that the term will be a short one, owing to the fact that many of the cases will be continued over to the October term. The cases are: John Carter vs. Iver Barthovde, John Meintz vs. L. D. Long, et al, Chicago, Minneapolis & Omaha Railway Company vs. J. W. Niesz, Bonnie Olsen vs. Ole Olsen and Frieda Olsen, N. P. S. Miller vs. S. B. Duea, Henry McKoen, Barney Mooney, and John Gray. Paul Keys as receiver of the First National Bank of Clarkfield Minnesota. vs. Peter Anderson and George Piersol. Farmers Elevator of Sleepy Eye vs. Chicago and Northwestern Railway Company and the Chicago, Minneapolis and Omaha Railway Company. John P. Galbraith as trustee in bankruptcy of the estate of Louis O. Larson, bankrupt. vs. State Bank of Wood Lake. John P. Galbraith as trustee in bankruptcy of Louis O. Larson vs. Clarkfield State Bank. John P. Galbraith as trustee in bankruptcy of the estate of Louis O. Larson bankrupt, vs. First National bank of Cottonwood. John P. Galbraith as trustee in bankrutcy of the estate of Louis O. Larson, bankrupt, vs. Citizens State bank of Wood Lake. John P. Galbraith as trustee in bankruptcy of the estate of Jacob W. Johannes vs. Nicollet State bank.