Evening star., 1923-03-12
BANK EXAMINERS
SUSPECT BIG PLOT
Logan Bank Probe Unc0vers
Startling Facts-Slx Small
Institutions Involved.
SEE s600,000 SHORTAGE
Vice President Missing-Former
Model Admits Dead President Her
Financial Counselor"
SEE S600,0O0 SHORTAGE
By the Associated Press.

By the Associated Press.
CHICAGO, March 12-While the
Logan Square Trust and Savings
Bank. closed Friday after the finding
of the body Of its president. Fred w.
Popp, remained shut today, reports
Indicated state bank examiners had
obtained information which caused
their investigation to be extended.
They declined official comment. but
unofficial reports placed a possible
shortage as high as 100000.
Plans to REOPEN the bank today
were abandoned and instead six ad-
ditional bank examiners were ex-
pected here from Springfield to assist
on the banks paper.
Consolidation Is Seen.
There is a reorganization and
consolidation in the air, and that's
about the only way in which the
bank can open and continue to do
business and save the money of the
depositiors," said H S. Savage, chief
bank examiner Private investiga-
tors reported that David Wiedemann.
jr., vice president of the bank and
son of the president of the FIRST
National Bank of Harvey, ILL.,, was
away from his home here with his
wife and child. An attorney for Mr..
Wiedemann. said he knew his clients
whereabouts, but declined to disclose
it. He said Wiedemann was assist
ing in every way to straighten out
the Logan Square Banks affairs.
Bank Examiner Savage commented
on the absence of Mr.. Weidemann as
one of the difficulties met in making
survey of the bank.
Six small banks outside Chicago,
n n
ton, were reported involved as vic
tins in what was described as q
scheme to place worthless paper in
the banks and withdraw negotiable
securities and cash.
Much Forged Paper.
Commenting on the possibility of
bankers associations going to the
Hausmann of the Noel State Bank
said: "a considerable amount of
forged paper already has come to
light. The bankers do not feel it
the banks affairs, particularly In
view of the fact that the bank was
not member of the association or
Of the clearing house"
The name Of Josephine Bacon. an
operatic student and former model,
was brought into the investigation.
She said Mr.. Popp had been her
friend and financial counselor and
that on two occasions their aCqualnt-
ance had brought protest from Mrs.
Popp.
Forced to Resign.
David Wiedemann, ST., last night as
serted his son han not run away, but
said his sons financial condition was
not good. Mr. Wiedemann, sr, was
quoted: 1T is true that my son is not
right now in good financial shape.
He was a director and stockholder in
our bank at Harvey, but was forced
to resign at the request OF the state
bank examiner because he borrowed
too heavily upon his bank stock"
Explaining that the Logan Square
Trust and Savings Bank had never
borrowed from or loaned funds to
the First National Bank of Harvey,
Mr. Wiedemann said: Fred w. Popp,
sr, owed our bank $4,000 personally
and the Lower California Fisheries
Company (partly owned by the Popp
family) also owed US $4,000. These
debts we were ordered to wipe off
our books by the state bank ex-
aminer."
Paul w. Popp, son of the dead bank
president, and David Wfedemann, jr.,
owe the Harvey bank $4,000 and
$500, respectively, Mr.. Wiedemann.
sr., said. while he is indebted to the
Logan Square Bank to the extent of
$4,000
All doubt that Mr.. Popp had not
committed suicide was reported re-
moved by a coroners investigation,
although the inquest was continued.