State Bank - Virginia, MN

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: state
Start Date: April 1, 1927*
Location: Virginia, Minnesota (47.523, -92.537)

Metadata

Model: gpt-5-mini
Short Digest: a9184cd3

Response Measures

Full suspension, Books examined

Other: Commissioner of Banks took possession and is liquidating assets.

Description

Article (Duluth News Tribune, 1927-04-06) reports a run triggered by the arrest of the cashier (forgery), the commissioner of banks took possession and is liquidating the institution. Sequence: run → commissioner possession (suspension) → liquidation/closure (receivership).

Events (3)

1. April 1, 1927* Run

Cause: Bank Specific Adverse Info
Cause Details: Run triggered by the arrest of cashier John Adelsich on forgery and obstruction charges, prompting depositor panic.
Measures: None described aside from subsequent commissioner intervention; depositors withdrew funds prompting closure.
Newspaper Excerpt: The run on the bank caused when John Adelsich, 32, former cashier, was arrested.
Source: newspapers

2. April 5, 1927 Suspension

Cause: Government Action
Cause Details: Commissioner of banks took possession and closed the bank; action followed the run and arrest of the cashier.
Newspaper Excerpt: A. J. Viegel, commissioner of banks of Minnesota, Tuesday took possession of the business and property of the State bank of Virginia, which closed days ago following on the bank.
Source: newspapers

3. April 6, 1927 Receivership

Newspaper Excerpt: The commissioner is liquidating assets of the institution.
Source: newspapers

Newspaper Articles (1)

1. April 6, 1927 The Duluth News Tribune Duluth, MN

Article from The Duluth News Tribune, April 6, 1927

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Article Text

ADELSICH ASKS VENUE CHANGE Former Virginia Cashier Seeks Hibbing or Duluth Trial. Virginia. April (Special.) Contending that present conditions prevent fair trial the case, attorneys for John Adelsich, 32. former cashier of the Merchants State bank, this morning petitioned for change of venue the criminal actions brought against their client. Adelsich faces charge of forgery the third degree obstruction of proper bank examination. He arrested several weeks in Hibbing and now at liberty on bonds of $2,000. When arraigned before Judge Edward Freeman district court this morning, Adelsich entered pleas of not guilty on both counts. Trial Set for April 18. Affidavits will be filed in support of the motion change of venue, made T. H. Strizich, attorney for Adelsich. Assistant Philip asked the court to Monday, April 18, as the date for trial. Stizich would have the trial held in Hibbing or Duluth. A. J. Viegel, commissioner of banks of Minnesota, Tuesday took possession of the business and property of the State bank of Virginia, which closed days ago following on the bank. commissioner is liquidating assets of the institution. The run on the bank caused when John Adelsich, 32, former cashier, was arrested.