Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1893-06-02
Of Milwaukee SuSpends and Posts
a Notice on Its Doors.
A BIG BLUFF GAME THAT FAILED.
An Empty Safe, Surrounded by
Policemen With Drawn Clubs
and Revolvers, Shipped From
Chicago, and Alleged to Con-
tain $500, 900 in Gold, Failed
to Establish Confidence Among
the Shrewder Depositors.


1905 o'clock this morning. At that
hour the following notice was tacKed to
the front door of the institutions:
"Owing to the failure of our efforts to re,
organize the bank and to the oonunual
withdrawal of deposits, we have thought II
best for the interest Of all depositors ana
stockholders TO close the bank.
[SignedI "PLANKINToN BANK"
The bank opened as usual at 10
o'clock this morning for business. AT
1905 VIM. Plankinton, the Vice Presi-
dent, appeared on the scene and almost
simultaneously the notice OF suspension
was posted.
There has been no run on the bank OF
late. Since the scare of two weeks ago.
however, the large depositors have been
steadily withdrawing their accounts
from the Plankinton and transferring
them to other banks. Many accounts
had been withdrawn through the me-
dunn Of the Milwaukee Clearing House.
The suspensiaR~is largely due to the
failure Of f. A. LappeR q Co., ana the
Lappen Furniture Company two weeks
ago, with liabilities that Will prooGoiy
amount to three quarters OF a nlaltlon
when the worst is known. The Lap
pen firms, so far as claims have been
recorded, owes the Plankinton bank
S2l9. 900, and this sum is due on Lap
pens personal netes, which are consid-
cred practically valueless. The Lappen
inventory shows that the estimated
value of the latter's stock. to be $685.
8S8. But the stock will not bring a
sum anywhere approaching this figure,
and ahead OF the Plankinton bank
claims are others amounting to over
S1OO,o00 The outlook for the Plank
inton is therefore not favorable.
How Lappen succeeded in placing the
Plankinton Bank In the position in
which it finds itself is a mystery. He
securey loan after loan OF $4,000 each
from the bank, even after common
rumor said Lappen was not wholly
sound. There are many sensational
stories in circulation regarding this
matter, but none that can be verified
The facts will doubtless come out now,
and will form an interesting story.
The Piankinton Bank was the pet pro-
iect OF the late John Plankinton, the
millionaire pork packer and hotel owner
who died two years ago. 1t was organ
ized In 1887, and Mr.. Plankinton was
its first president. The capital
stock was 100000. On the death
of Mr., Pankinton, T. L. Day, who
was then Vice President, became
President and VIM. PlankintOn, son and
heir OF the dead millionaire, assumed
the Office of Vice President. VIM. II.
Momsen is Cashier. 1t was through
President Day, it is said, that Lappen
had his principal dealings. Day was to
have retired shortly IN favor OF an In
diana man. At one time it was said
that Phil Armour, the Chicago packer,
was interested in the Plankinton Bank,
and with great show q huge safe was
sent from Chicago accompanied oy an
armed guard, and was escorted to the
bank by a dozen policemen carrying
drawn revolvers and clubs. 1t was then
said that Mr.. Armour had sent 5000, 600
In gold to the assistance OF the bank.
Mr.. Armour denied the story, but the
move restored confidence and stopped
the run. The heavy depositors were
not deceived, and for two weeks they
have been withdrawing their funds.
The principal depositors are small firms
and individuals.
The condition OF the bank at the
hour of the suspension cannot be learn
ed. 1t is believed that the showing
will not be satisfactory one. VIM.
Planklnton, Vice President, said he
could not tell how the bank stood or
what would be done. Among bankers
and business men, the opinion prevails
that Mr.. PIankinton will personally see
that all claims are paid in order 10 clear
his fathers connection with the failure.
The news OF the suspension spread
quickly, ana in a few minutes after he
posting of a notice large crowd of peo-
pie, many of them depositors, hasteneo
TO the bank to verify the rumors. They
were met with the notice OF suspension,
which was written in large letters In
crayon upon a half sheet OF manila pa
per. The doors were securely locked
and no amount Of knocking or urging
caused them to open. The suspension
was not only a surprise TO the public,
but was in the nature Of surprise to
the bank working force. The question
of reorganiztion had been practically
settled, and as late as last night 1t was
understood by those interested that
the new deal would 20 through. Local
capitalists, George Brumder and John
Prizlaff, were to become identified with
the new institution, and it was expect
ed to complete and announce the deal
this morning. Shortly before ten
o'clock VIM. Plankington walked into
the bank and stated that nothing fur
ther could be done and that the bank
would close its doors. In explanation,
a few minutes later, Mr.. Plankington
said:
ave have decided to close our doors.
The fact is they were after US faster
than we could get in our funds TO pay
them, and we have thought it the best
thing to do to suspend business for the
present. A notice to that effect Will De
posted in few minutes"
Fred 7. Day. President OF the Plank
inton Bank this afternoon made per-
sonal assignment. George n. Hiswell,
United States Marshal is named as as
signee. His bond was S900,0 900.
Just besore the Lappen failure, the
sight and time deposits amounted TO
81, OOO, 900 In round figures. This
money of course. in regular order OF
banking business. was scattered about
in loans OF ali amounts of dates. The
Plankinton's principal correspondence
abroad was with the National Bank Of
the Republic and the United States Ma
tional Bank of New York and the
Continental National OF Chicago. The
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