The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1915-11-18
BRISTOL BANK .LOSS
MAYREACH S 100000
EXAMINERS BEL Itv,
The Bank IF Bu1'er,
South Dakota, Aysv
Involved
CASHIER is MISSING
Speculation in Grain Market
Believed to be- Cause of
REGULATIONS.

Bristol, S. D.,-After spending al
entire day in checking over the af
fairs of the First National bank O
this city, which Monday was placed
in the hands of the national bank ex
aminer, Thomas P. Campbell, officials
4 of the bank state that shortage.
amounting to $4,000 have alread,
been unearthcd, and it is believed
that this figure will be nearly doubled
before the examination has been
completed. &
AS the result Of the5failure of the
local bank, the Farmefs State bank
of Butler Tuesday wassclosed by the
state banking department, Deputy
Examiner G.. J. Landon of Water
town arriving there andRaking charge
of the institution. &
Butler Bank HE'D
The Farmers State Fix of Butler
was closely allied witt the local in
stitution which has been closed.
Torgus Strandness, cashier of the
local bank, who is believed to have
caused the shortage here, is presi-
dent of the Butler institution, while
his son, Ted Strandness, is the cash
ier.
Torgus Strandness has been mis-
sing for two weeks and his where
abouts are unknown. 1t is alleged
that there has been systematic loot
ing of the bank funds for the past
ten years. The examination of the
hanks hanks accounts has dot been con-
Condition of Bristol Bank
banks condition September 1: Cap
ital. s25,o00; surplus and profits,
$4,000; circulation, s-5.000; indi-
vidual deposits, s225,OOO; banks
deposits, 5000; loans and dis
counts, s2OO,000; United States
bonds, 900; state and municipal
bonds. $45,0"o: due in bank, $4,000;
cash and e. c--e, $4,000.
The Bristc ~ < was member of
TIE Minneaia is reserve bank, and is
the first national bank in South Da-
keta to go into an examiners hands
in many years. The First National
bank of Chicago. the Northwest Ma
tional and the First and Security Ma
tjonal of Minneapolis and the FIRST
National of ST. Paul, are correspon-
dents.
Speculations Cause Downfall
From what could be learned here
today, it is believed that speculations
on the board of trade in wheat were
the cause of the alleged downfall Of
Torgus Strandness. 1t is claimed
that he played the markets heavily
for several years, losing vast sums of
money in margins, which money it is
claimed he took from the bank in
the constant hopes of making a big
cleaning and Strengthening up his
accounts again.
1t is claimed here that Strandness'
Shortcomings were not unkpown to
the officers of the bank, who are said
to have been cognizant of Irregular
tiles last July following an examina-
ton OF the bank.
1t is stated that since that time
strandness has been turning in every
penny he could get his hands in
an effort to square accounts with
the institution.
1T is stated that the principal short
ages have been made by false entries
CT certificates of deposit. 1t is alleg-
cd that in one instance a certificate
of deposit was issued to a customer
for $4,000 and the banks books
made to show but $500 having been
turned in to the banks cash account.
1t is alleged that the s55,OOO short
age unearthed here today was practi-
caily all due to similar false entries.
1t is claimed that in one instance
a customer left $4,000 with the cash
ior without even taking a certificate
CT deposit or a receipt. and that none
OF this amount was placed to his cred
il.
The Farmers state bank of Butler,
which was closed Tuesday morning
by the state banking department be-
cause of the connections between
that and the local concern, was but
small affair, being capitalized at
but $4,000, of which $1,000 was held
by the Strandhess family, $4,000 by
Torgus Strandness, $1,500 by Ted
strandness and $500 by another son.
That banks deposits aggregated
about 100000 and its loans and dis
counts amounted to about $4,000
short of that figure.