Brown County MN Archives History - Books .....Banks And Banking 1916 ************************************************ Copyright. All rights reserved. http://www.usgwarchives.net/copyright.htm http://www.usgwarchives.net/mn/mnfiles.htm ************************************************ File contributed for use in USGenWeb Archives by: Joy Fisher http://www.genrecords.net/emailregistry/vols/00001.html#0000031 November 21, 2014, 8:42 pm Book Title: History Of Brown County, See Below CHAPTER XIV BANKS AND BANKING. Brown county now (1916) has seventeen banks in successful operation. The first attempt at banking in New Ulm was either in the fall of 1858 or the spring of 1859. This was styled the Central Bank, a small private concern that did not long survive, and its history is hidden beneath the shifting dust of time. The oldest bank now in existence in Brown county is the Brown County Bank, now forty-seven years in operation. At first there was little or no demand for banking houses here. The sturdy pioneer must first give years of toil and self-sacrifice at tilling the virgin soil before a capitalist could be induced to open a bank. This county, with all Minnesota, had a slight taste of the "beauties" of old fashioned banking laws—their " shin-plaster " and "red-dog" money made from paper with an ink "promise to pay" printed in fancy colors on its face, but seldom had anything of a material value to back or secure the payment of the obligation, at par value, but was subject to the whims of a day and at one time might be valued at one hundred cents on the dollar and in a week's time cut to forty ,oi" fifty cents, and in many cases became absolute lv worthless. But the banking system of the United States and of Minnesota—state and national systems—have come to a state of perfection and security that few ever question. It is stated, and perhaps on good authority, that Brown county has a larger banking interest today than any rural county in the commonwealth. Its deposits are certainly large. PRESENT BANKS. In the spring of 1916 there were in this county the following banking institutions: Brown County Bank, New Ulm, with a capital of $40,000; Citizens Bank of New Ulm, with a capital of $100,000; State Bank of New Ulm, with a capital of $40,000; Farmers and Merchants Bank of New Ulm, capital, $50,000; State Bank of Cobden, with a capital of $10,000; First National Bank of Sleepy Eye, capital, $53,000; Farmers and Merchants State Bank of Sleepy Eye, capital, $25,000; State Bank of Sleepy Eye, capital, $25,000; First National Bank of Springfield, capital, $35,000; State Bank of Springfield, with a capital of $35,000; State Bank of Comfrey, with a capital of $25,000; Farmers State Bank of Comfrey, with a capital of $15,000; State Bank of Hanska, with a capital of $20,000; Security State Bank of Hanska, with a capital of $26,000; State Bank of Essig, with a capital of $10,000; State Bank of Evan, with a capital of $10,000. Total capitalization of $519,000. The reports show that in April, 1916, these hanks had a combined amount in deposits of nearly seven million dollars ($6,716,442.) This is equal to about three hundred and thirty-six dollars to each man, woman and child within Brown county. BROWN COUNTY BANK. The Brown County Bank, at New Ulm, was established in 1869. A brick building was erected in 1870, costing fourteen thousand dollars. It is a private institution and had for its founders many of the early settlers. It became of great benefit to the community. It now has a capital of forty thousand dollars, with a surplus and undivided profits of fifty-one thousand eight hundred dollars, and the recent records show deposits amounting to $345,114.62. A general banking business is transacted. The present officers are: L. A. Fritsche, president; A. Steinhauser, vice-president; Emil G. Hage, second vice-president; L. B. Krook, cashier; Th. J. Snilsberg, assistant cashier. The present board of directors is composed as follows: August C. Dahl, L. A. Fritsche, Franz Niemann, A. Steinhauser, Alfred J. Vogel, George B. Weiser, Emil G. Hage. At the close of business, on March 7, 1916, their books showed resources and liabilities amounting to $425,556.39. They were then carrying deposits to the amount of over three hundred and seventy-five thousand dollars. Its present stockholders include the following well-known citizens: Jennie V. Wagner, J. L. Schoch, E. G. Koch, L. A. Fritsche, George B. Weiser, A. J. Vogel, A. Steinhauser, Ernst Wicherski, August Dahl, A. B. Vogel, J. H. Vogel, G. F. Reineke, Frand Nieman, Caroline Frenzel, Adam Epper, A. P. Boock, Emil G. Hage, Mrs. O. C Strickler, Martin Bieraugel, Ida Bobleter, H. W. Rieke. It is now the oldest banking house in Brown county and has aided many a man and woman to surmount the difficulties encountered in early times when money was scarce and the condition of affairs, both within and without Brown county, was anything but prosperous. The pioneer has a warm spot in his heart for favors once had at this bank. As the city and country have developed other banks have entered the field, but the standing of this old financial concern has never been questioned and has gradually won for itself many new patrons whose trust has never been betrayed by those in charge of this bank. CITIZENS' STATE BANK OF NEW ULM. The Citizens' State Bank of New Ulm, located at 105-107 North Minnesota street, was established in 1875, as the Citizens' National Bank, with M. Mullen as president and John C. Rudolph as cashier. The first board of directors was as follow: J. H. Vajen, C. B. Tyler, E. G. Koch, Theodore Crone, Henry Keller, Charles Wagner and M. Mullen. The Citizens' National Bank continued in business until in the year 1883, at which time it was changed to a private bank and conducted as such until 1908, when it was converted into a state bank, incorporated under the state banking laws and its capital increased to one hundred thousand dollars. Mr. Mullen continued as its president from the first organization up to his death, in 1910. He was succeeded by A. W. Bingham, who served one year and was followed by Charles Silverson, who was president for the year 1911 and until his death, in 1912. The officers at present are: O. M. Olsen, president; Charles Vogtel, vice-president; F. H. Krook, cashier; P. J. Soukup, assistant cashier; W. E. Engelbert, assistant cashier. The board of directors is now composed of the following: John Henle, W. E. Koch, O. M. Olsen, F. H. Retzlaff, N. Henningsen, Charles Vogtel, George Marti. The present capital is one hundred thousand dollars, with a surplus and undivided profits of seventy thousand dollars. The recent reports show deposits amounting to one million, eight hundred thousand dollars. In 1914 a magnificent bank building was erected at a cost of forty thousand dollars. The prosperity of this banking concern may be seen by reference to these figures showing the deposits since 1876, date of the original organization: 1876, $25,000; 1880, $66,000; 1885, $140,000; 1890, $244,000; 1895, $223,000; 1900, $524,000; 1905, $864,000; 1910, $1,069,000; 1911, $1,122,000; 1912, $1,465,000; 1914, $1,836,000; present resources and liabilities, $1,968,702.02. The funds of this bank have been carefully handled and accounted for during all these years since 1876 by the following men, serving as cashiers: John C. Rudolph was the first cashier and continued until he resigned in 1892, and was succeeded by W. E. Seiter, who served until 1899, when he became second vice-president, which office he filled until 1903; W. H. Koch followed as cashier in 1899 and filled the office till 1913, when he was succeeded by E. H. Krook, present cashier. This bank has had the confidence of the people through good and adverse financial times. The character of the men behind it has been as good as its gold and silver securities. The county is proud of this bank in its new and beautiful banking house on Minnesota street. STATE BANK OE NEW ULM, The State Bank of New TJlm was established on August 1, 1901, its first officers being: Joseph A. Eskstein, president; H. D. Beussmann, vice-president; Fred Pfaender, cashier. Its first capital was forty thousand dollars, same as it has today. The present surplus is ten thousand dollars and the records show the recent amount in deposits is over four hundred and sixty-two thousand dollars. A general banking business is carried on under strictly modem banking methods. The bank owns its own building and is in shape to handle any banking business that may come to its counters. The officers in 1936 are: John Buschers, president; Henry P. Bastian, vice-president; Edward A. Stoll, cashier; P. Kitzberger, assistant cashier. The present board of directors are: John Buschers, Henry P. Bastian, Fred J. Backer, Ferdinand Crone, J. O. Ochs, Dr. C. C. Strickler, Charles H. Stuebe. The statement issued by this bank on March 7, 1916, showed deposits amounting to over four hundred and sixty-two thousand dollars; loans and discounts, almost three hundred and seventy-eight thousand dollars, with a total for its resources and liabilities of $518,077.75. FARMERS' AND MERCHANTS' STATE BANK. The Farmers' and Merchants' State Bank of New Ulm, the last bank to be started in the city, was organized on April 21, 1914, with about one hundred and twenty local people, mostly farmers residing within a few miles of the city, together with many of the merchants and other bust ness men of the place. The first officers chosen were as follow: Fred Aufderheide, president; Christ J. Rennike. vice-president; Arthur L. Boock, cashier; Albert J. Man-derfield, assistant cashier; directors, C. A. Stolz, William A. Gluth, Andreas Buhl, F. Wellner, Isidor Haas. The present (1916) officers are: Fred Aufderheide, president; Charles A. Stolz, vice-president; L. Boock, cashier; Albert A. Manderfield, Dr. J. P. Groff, Andreas Buhl, F. Wellner, Isidor Haas, directors. The first and present capital is fifty thousand dollars. In March, this year, the deposits amounted to $267,167.10, and there was a surplus and undivided profits of ten thousand dollars. The building owned and occupied by the bank cost twenty-five thousand dollars. It affords ample facilities for safety deposit boxes. The March 14, 1916, statement issued to the public by this concern gave the resources and liabilities as being $327,249. FIRST NATIONAL BANK OF SLEEPY EYE. The First National Bank of Sleepy Bye is the one bearing the government number of 9,387, and was organized as a private bank in 1882 and nationalized in 1902. It was formed by C. D. Griffith and W. W. Smith on a capital of fifteen thousand dollars. Its present capital is twenty-five thousand dollars. Its present officers are: C. D. Griffith, president; W. W. Smith, cashier; C. T. Jaffray, vice-president; H. C. Demeier, assistant cashier. At the close of business March 7. 1916, the books of this bank showed: Resources and liabilities, seven hundred and thirty thousand, two hundred and forty-one dollars and eight} nine cents. Amount of deposits was over six hundred and fifty-two thousand dollars, while the loans and discounts amounted to over four hundred thousand dollars. It owns its own banking building, valued at twelve thousand dollars. The capital and surplus, with undivided profits, amounts to fifty-three thousand dollars. This bank is a United States depository as well as depository for the postal savings funds. It is also one of the seventeen hundred banks out of the seventy-fire hundred national banks that belong to the "Roll of Honor Bank" list, which means that it possesses surplus and profits in excess of its capital, thus giving tangible evidence of strength and security. STATE BANK of SLEEPY EYE. The State Bank of Sleepy Eye was organized as a private bank in 1880, and incorporated in 1891. It was founded by F. H. Dyckman and Hans Mo. It was first conducted with a capital of fifteen thousand dollars, but upon its incorporation to a state bank it was increased to twenty-five thousand dollars. It now has a capital of fifty thousand dollars, including tire surplus and undivided profits. The March 7 call in 1916 showed deposits to the amount of $536,275.76. A bank building was erected in 1880, but the present fine structure was erected in 1914, at a cost of twenty thousand dollars. It is built of Bedford sandstone from Indiana. The original officers were: F. H. Dyckman and S. D. Scudder, but when it was incorporated they were: F. H. Dyckman, president, and Hans Mo, cashier. The officers at this time are: Hans Mo, president; Edward F. Berkner, vice-president; J. A. Herzog, cashier; E. P. Schmitz, assistant cashier. To get back to an earlier date in the banking house that the present State Bank succeeded, it should be stated that in 1880 S. D. Scudder established a small private bank at Steeply Eye, in company with the late F. H. Dyckman, who made the gift of the present magnificent public library to the city of Sleepy Eye. A few years later Mr. Scudder withdrew from the bank and O. W. Hagen and still later Hans Mo became interested in the bank. It was in 1891 that the bank was incorporated as a state bank, with Mr. Dyckman and the latter two gentlemen as the incorporators. In 1913 Mr. Hagen and Mrs. Dyckman sold their stock to a new organization, made up of Messrs. Mo and Ed. Berkner and about twenty farmers and business men, making it one of the strongest concerns in Brown county. During the somewhat eventful years of 1910-11, when misfortune overtook the Milling Company, the bank suffered heavy losses and as a result their business fell off one-half, but the many friends of the old State Bank never lost confidence in its ability to make good, and from October 1, 1912, to October, 1915, the total resources rose from one hundred and ninety-five thousand dollars to more than a half million dollars ($545,119.76). FIRST NATIONAL BANK OF SPRINGFIELD. The First National Bank of Springfield was established in 1906, with a twenty-five thousand dollar capital. It succeeded to the old Citizens Bank of Springfield. It now enjoys ten thousand dollars in surplus and profits, and has deposits amounting to three hundred and forty thousand dollars. It is not now known who the first officers were. The present officers are: J. S. Watson, president; C. H. Asch, cashier; L. C. Potter, vice-president, with others making up the board of directors, in the person of Messrs. A. G. Anderson and F. J. Sheffield. The affairs of this bank are conducted with business dispatch and the institution stands high in the part of Brown county in which it mostly operates in general banking transactions. STATE BANK OF SPRINGFIELD. The State Bank of Springfield was organized in 1891, and carries the bank number of 152 for Minnesota state banks. It was organized by Messrs. William G. Frank, H. Bendixen, J P. Schmid, Fred Crone, John Lind, Jacob Klossner, Jr., A. C. Ochs and others. Its first and present capital stock is thirty-five thousand dollars. The first officers were: Wolf Schmid, president; H. Bendixen, vice-president; William Frank, cashier. The present officers are: William Frank, president; J. C. Bothenburg, vice-president; E. L. Nippolt, cashier; M. J. Foy, assistant cashier. In 1900 a substantial bank building was constructed at a cost of ten thousand dollars. The great fire of 1899 swept the bank away entirely. The present surplus and profits is fifteen thousand dollars. Recent statements show this bank to have had deposits amounting to $711,000. Its resources and liabilities, according to their statement March 7, 1916, was $758,397.37. Amount of reserve on hand, over one hundred and eighty-eight thousand dollars, where but fifty-one thousand is legally required. The deposits have been, by years, as follow: 1896, $41,000; 1901, $89,000; 1906, $204,000; 1911, $512,000; 1916, $711,000. The directors managing the affairs of this bank in the spring of 1916 were: M. Leher, H. Bendixen, A. C. Ochs, George P. Forster, William G. Frank, Adolph Altermatt, J. C. Rothenburg. FARMERS' STATE BANK OF COMFREY. The Farmers' State Bank of Comfrey was organized on September 1, 1910, by J. H. Dickman, on a fifteen thousand dollar capital, same as it runs under today. Its first officers were: J. H. Dickman, president; A. M. Bradbury, assistant cashier; G. W. Schaffer, cashier; C. F. Schweiger, vice-president. The officers at this date are: J. H. Dickman, president; A. M. Bradbury, vice-president; G. W. Schaffer, cashier; C. H. Bradbury, Jr., assistant cashier. The board of directors are as follow: J. H. Dickman, A. M. Bradbury, Emil Atermatt, August Klein, C. F. Schweiger, P. G. Quarnstrom. This concern now operates under resources and liabilities amounting to over two hundred and fifty-five thousand dollars. They have a surplus of sixteen thousand dollars, and had in March, 1916, deposits amounting to two hundred and twenty thousand dollars. A bank building was erected in the autumn of 1914 costing fourteen thousand dollars. It is a two-story building and the second floor is used for opera hall purposes and is fifty by seventy feet. FARMERS' AND MERCHANTS' STATE BANK. The Farmers' and Merchants' State Bank at Sleepy Eye was established November 17, 1904, with first officers as follow: E. P. Berwand, president; George w. Somerville, vice-president; William Brust, cashier. The same officers hold today, with the addition of John Cutting, vicepresident, in place of Mr. Somerville, and A. D. Berwand is assistant cashier. The capital of this bank is twenty-five thousand dollars. The surplus has accumulated to the amount of nine thousand, dollars. Recent reports on the condition of the bank shows they had on deposit in March, 1916, the amount of $526,500. A bank building was erected in 1904 costing ten thousand, two hundred dollars. The present board of directors who keep watch over the affairs of the bank are as follow: E. p. Berwand, John Cutting, Edward Nelson, H. Hillsheim, William Brust, Christ Johnson, Charles P. Black. These men are all well known to the bank's patrons and only allow strict modern banking principles to obtain in the management of this concern. STATE BANK OF HANSKA. The State Bank of Hanska was established on September 19, 1902, by Anton O. Ouren, and it had for its first set of officers: Anton O. Ouren, Clement Halvorson, Joseph A. Eckstein, Nels Erickson, Albert O. Amundson, Fred Pfaender and Nels J. Ouren. It started with a fifteen thousand dollar capital, but has been increased to twenty thousand dollars, and has a surplus and profits of twelve thousand dollars. In March, 1916, the amount on deposit was two hundred and forty-five thousand dollars. Its resources and liabilities amount to two hundred and seventy-five thousand dollars. In 1902 a good banking business house was erected at a cost of thirty-five thousand dollars. A general commercial banking business is here transacted on banking principles of the up-to-date type. The officers of this concern are now (1916): Anton O. Ouren, president; Nels Erickson, vice-president; Henry Anderson, cashier; Ole Berrum, assistant cashier. The directorship is composed as follow: Anton O. Ouren, Hans H. Ulen, Peter J. Blien, Nels Erickson, Albert O. Amundson, Albert G. Anderson, Silver Rolstad. SECURITY STATE BANK OF HANSKA. The Security State Bank of Hanska was organized by Iver Stone, C. I. Stone, Elef Bjerteson, Einar Toenberg, Emil G. Hage, Erick Hagenstande, Silver Hage and George S. Hage, May 22, 1906. It now has a capital, surplus and undivided profit of $26,000, having started with a twenty thousand dollar capital. In the month of March, 1916, it had deposits amounting to one hundred and seven thousand dollars. A fine bank building is to be erected this season. The first officers were as follow: Iver Stone, president; Elef Bjertson, vice-president; Emil G. Hage, cashier. The officers at this date are: George S. Hage, president; Iver Stone, vice-president; E. O. Lund, cashier; Clifford Helling, assistant cashier. The directors are now: George S. Hage, Iver Stone, E. O. Lund, Siver Hage, Ener Thorson, B. L. Bjertson, E. I. Hagestande. These men are all well-known citizens of the county, and the community has the utmost confidence in their integrity and business ability. STATE BANK OF ESSIG. The State Bank of Essig was established on May 5, 1910, by Emil G. Hage on a ten-thousand-dollar capital, same as it has today. The original officers and directors were as follow: Louis Spelbrink, Henry Mueller, W. C. Heimann, H. J. Albrecht, Herman Schroeder, Emil G. Hage, Eugene A. Pfefferle and John C. Seibenbrunner. The resources and liabilities are at present $107,405.76. The last report gives the deposits as being upwards of ninety-five thousand dollars. The last statement gives the amount of surplus and profits as twenty-one hundred and sixty-two dollars. When the bank was established its stockholders built a good building, which still serves. In April, 1916, the following were officers and directors: Louis Spelbrink, W. C. Heiman, H. J. Albrecht, John Gareis, Emil C. Hage, August C. Hage, E. E. Spelbrink. FIRST STATE BANK OF COMFREY. The First State Bank of Comfrey was established in 1899 by Oscar Erickson, on a capital of fifteen thousand dollars, which has been increased to twenty-five thousand dollars. The original officers of this bank were: Oscar Erickson, president; A. M. Bradbury, vice-president; Eugene Fernholz, cashier. The present officers are: J. V. Klein, president; C. E. Armstrong, vice-president; H. D. Reed, cashier; L. E. Armstrong, assistant cashier. The present (1916) directors are: J. V. Klein, C. A. Blom, Oscar Thor, Emil Swanbeck and C. E. Armstrong. A two-story bank building was erected in 1907 at a cost of $8,500. The record showed in March, 1916, that this bank had resources and liabilities of two hundred and eighty-four thousand dollars; surplus and undivided profits amounting to sixty-three hundred and ninety-nine dollars and on deposit two hundred and fifty-two thousand, seven hundred and thirty dollars. This institution is a great help to the farmers and dealers in the vicinity and in the village of Comfrey. STATE BANK OF EVAN. The State Bank of Evan was organized on July 1, 1904, with officers as follow: W. W. Smith, president; Jens Mikaelsen, vice-president; F. A. Ruenitz, cashier. The bank was started on a capital of ten thousand dollars, same as it has today. Its recent reports show deposits amounting to one hundred and twenty-five thousand dollars, with a surplus and undivided profits of ten thousand dollars. A general banking business is successfully transacted by this concern. In 1908 it erected its present banking building—a neat brick structure costing six thousand dollars. The officers of this bank in the month of April, 1916, are: W. W. Smith, president; Christ Mogensen, vice-president; William G. McPhee, cashier; the directors are W. W. Smith, C. D. Griffith, Christ Mogensen, Jans Mikaelsen William G. McPhee. STATE BANK OF COBDEN. The State Bank of Cob den was organized in August, 1904, by Hans Mo, O. W. Hagen, A. C. Von Hagen, A. Newdall, Claus Memert, H. Altematt and others. Its first and present capital is ten thousand dollars. The first officers of this banking concern were: Hans Mo, president; O. W. Hagen, vice-president; O. A. Drews, cashier. The officers now having charge (1916) are: Hens Mo, president; C. H. Asch, vice-president; A. J. Goblirsch, cashier. The directors are A. G. Anderson, Hans Mo, Louis Bloemke, Thomas Peterson, C. G. Asch. A general banking business is transacted, and loans on improved farms made. They had in May, 1916, the amount of seventy-eight thousand dollars on deposit. The surplus is now two thousand dollars. They own the building in which the bank is conducted. At the close of the year 1915 their statement published disclosed these figures: Resources, $76,475.23. Of this amount they had loans and discounts, $62,777.86; over-drafts, $919.25; bank building and fixtures, $1,750, and several lesser items, making the total named. At that date the same amount in liabilities was divided as follow: Capital stock, $10,000; surplus, $1,500; undivided profits, net, $1,512.40; total deposits, $63,462.83. STATE BOND AND MORTGAGE COMPANY. This is one of the enterprises having its headquarters at New Ulm. It is yet in its infancy, but from present showing bids fair to become a great enterprise. It is now less than two years old and has made a wonderful showing. Since September, 1914, there have been over one million dollars' worth of farm mortgages and bonds disposed of by its salesmen. This is a company incorporated under the laws of Minnesota in 1914, with a capital of one hundred thousand dollars. The stock is held by many of the best-known business factors in New Ulm. It also carries an extensive insurance branch. The mortgage department has clients in many states in the Union, cared for by twelve expert salesmen. The 1916 board of directors is composed of the following men: F. Crone, Charles Vogtel, A. J. Vogtel, J. A. Ochs, Dr. G. B. Weiser and T. H. Schonlau. The directors re-elected all the old officers, as follow: F. Crone, president; Charles Vogtel and J. A. Ochs, vice-presidents; A. J. Vogel, treasurer; T. H. Schonlau, secretary; A. P. Penkert, assistant secretary; C. G. Stevenson, sales manager, and H. N. Somsen, counsel. Additional Comments: Extracted from: HISTORY OF BROWN COUNTY MINNESOTA ITS PEOPLE, INDUSTRIES AND INSTITUTIONS L. A. FRITSCHE. M. D. Editor With Biographical Sketches of Representative Citizens and Genealogical Records of Many of the Old Families VOLUME I B. F. BOWEN & COMPANY, Inc. Indianapolis, Indiana File at: http://files.usgwarchives.net/mn/brown/history/1916/historyo/banksand55gms.txt This file has been created by a form at http://www.genrecords.org/mnfiles/ File size: 26.1 Kb