History of Lake, Porter, and LaPorte, 1927County history published by the Historians' Association . . . .

Source Citation:
Cannon, Thomas H., H. H. Loring, and Charles J. Robb. 1927. History of the Lake and Calumet Region of Indiana, Embracing the Counties of Lake, Porter and LaPorte: An Historical Account of Its People and Its Progress from the Earliest Times to the Present. Volume I.  Indianapolis, Indiana: Historians' Association. 840 p.

HISTORY OF THE LAKE AND CALUMET REGION OF INDIANA 

CHAPTER XXIV.

BANKS AND BANKING.

LAPORTE COUNTY BANKS -- MICHIGAN CITY -- LAPORTE -- HANNA -- UNION MILLS -- WESTVILLE -- WANATAH -- LACROSSE -- ROLLING PRAIRIE -- PORTER COUNTY BANKS -- VALPARAISO -- CHESTERTON -- PORTER -- KOUTS -- LAKE COUNTY BANKS -- CROWN POINT -- DYER -- HOBART -- EAST CHICAGO -- INDIANA HARBOR -- WHITING -- THE RILEY GROUP OF BANKS -- SMITH, BADER BANKING INSTITUTIONS -- LOWELL -- HAMMOND BANKS -- HAMMOND'S LARGEST BANKING INSTITUTION -- GARY BANKS -- BUILDING AND LOAN ASSOCIATIONS.

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While the Territorial Legislature chartered the Bank of Madison and Bank of Vincennes in 1814, yet organized banking business in the State of Indiana may be said to have its foundation in the State Bank of Indiana, the charter of which was approved on the 28th of January, 1834. The central organization was in Indianapolis and its charter made provision for thirteen branches, the state to own one-half of the stock in each branch and the other half being carefully distributed among responsible local business men where the branches were established.

LAPORTE COUNTY BANKS.

There was great necessity for the establishment of a reliable banking institution in Michigan City as an aid to the purchasers of wheat and other products and to promote the exchange of commodities for cash in this growing center of trade and commerce and the State Bank of Indiana established its thirteenth branch in Michigan City in 1839, it being the first organized bank in the Lake Region. The first officers of the Michigan City branch were William Clark, president; D. G. Collamer, cashier, and Samuel Gordon, teller and clerk. The directors were Joseph Orr, Jacob Early, Ezekiel Morrison, Hiram Wheeler, Amzi Clark, John B. Niles, Jeremiah Hitchcock and A. P. Andrew, Jr. The bank was unquestionably of great value to the community although it was soon charged with favoritism in the making of loans and that many stockholders were larger borrowers than their stock interest permitted. That there was some grounds for this accusation is certain as the local directors were early reprimanded for indiscretion in this direction by the officials of the main bank in Indianapolis. However, the bank prospered and outside of occasional larger loans to directors and officials than should be permitted, the bank appears to

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have been otherwise carefully managed. Dividends varying from 8 to 12 per cent were paid for many years and the profits steadily increased. In 1856 when the charter expired there was a profit of 19 per cent. The branch was liquidated in 1858 and the stock retired at par with a small surplus. In 1853 the Bank of Indiana was established in Michigan City with a capital stock of $50,000 with C. B. Blair as president and W. W. Higgins as cashier. This bank went into voluntary liquidation in 1860. The Bank of Thomas Wadsworth was established in 1854 with a capital of $50,000. This was a “wild cat” bank founded upon credit and paper money and as its notes sank below par in 1855 it went into liquidation and paid 91 cents on the dollar on its liabilities. The Bank of Indiana was succeeded by C. B. Blair’s banking house, which was founded in 1860, and in 1861 Mr. Blair was elected president of the State Bank of Indiana in LaPorte. His banking house in Michigan City went out of existence in 1873 after the First National Bank had become firmly established in Michigan City.

FIRST NATIONAL BANK, MICHIGAN CITY — The modern system of banking in Michigan City had its origin when Walter Vail came to Michigan City from LaPorte on April 12, 1873, and organized the First National Bank of Michigan City with a capital of $50,000 and until his death in 1911 he was one of the most important factors in the financial life of the city. Mr. Vail was of Quaker parentage and was born in LaPorte, Indiana, in 1846. While attending Earlham College he answered the call for volunteers, enlisting while under age in the army and later joining the navy, serving as assistant paymaster of the Gulf Squadron under Farragut. He became an employee of the First National Bank of LaPorte, Indiana, on his return from service and having mastered the methods and machinery in the banking business, established the First National Bank of Michigan City as above stated. The bank purchased the D. J. Baldwin lot and building at 203 Franklin Street and began business on the second floor of their newly acquired property. Mr. Vail had associated with him as the first board of directors H. H. Walker, W. G. Peck, Jr., J. R. Winterbotham, D. E. Case, William Schoenemann, A. R. Colborn and John J. Winterbotham. Mr. Walker was elected president and Mr. Schoenemann vice president and Mr. Vail cashier. Mr. Walker was succeeded by George Aimes as president in 1879 and in 1890 Mr. Aimes was succeeded by C. E. DeWolfe. In 1895 Mr. Vail was elected president and served until his death in 1911. At Mr. Vail’s death J. F. Kriedler, who was acting as cashier for fifteen years, was elected president and in 1916 was succeeded by William W. Vail, son of the founder. In 1878 the bank removed to the Odd Fellow’s Building, 301 Franklin Street, and these spacious and well located quarters served the bank until 1903, when the growing demands

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of the business requiring additional room, the bank was moved to the Leeds Building, 401 Franklin Street. In October, 1920, the institution was again moved to its newly completed home at 515 Franklin Street. The institution has always been a strong commercial bank, carrying ample cash and secondary resources so that from the day it was founded it has met all its demands and paid all its checks in cash and has never passed a dividend. It has a capital stock of $125,000 and in a recent statement it had a surplus and undivided profits of $166,345.55. Its resources were $2,361,075.81 and deposits of $1,956,873.50. It has had a long and honorable career as a banking institution and its officials have enjoyed the confidence of the citizens of Michigan City to a marked degree and it has been a great aid in developing the growth of the city.

THE MICHIGAN CITY TRUST AND SAVINGS BANK was organized by Walter Vail in 1903, occupying the rooms vacated by the First National Bank. The first officers were Walter Vail, president; Robert P. Zorn, first vice president; A. J. Henry, second vice president, and G. T. Vail, son of the founder, secretary and treasurer. Mr. Vail was also president of the First National Bank and remained president until his death in 1911, when he was succeeded by his son, G. T. Vail, who still retains the position. Mr. D. A. Gutgsell was elected secretary and treasurer to succeed the new president, G. T. Vail, and has continnued to hold the position. Mr. Zorn and Mr. Henry retained their positions as first and second vice presidents of the institution since it was founded. The present board of directors are H. L. Crumpacker, W. B. Manny, J. L. Staufer, A. C. Heitschmidt, L. N. Kramer, G. T. Vail, A. J. Henry, J. B. Rogers and R. P. Zorn. In the intervening years two other men have served on the board of directors, Judge J. F. Gallaher and John Finske. As would be expected of a Vail banking institution it has been most successfully conducted and a recent statement shows resources of $1,356,486.15.

CITIZENS BANK, MICHIGAN CITY — Under the Indiana Law of 1873, authorizing the organization of state banks, the Citizens Bank of Michigan City was incorporated on May 1, 1888. It was founded by W. B. Hutchinson and C. E. Arnt, who were respectively the first president and vice president with Charles E. Arnt as cashier. The original board of directors were W. B. Hutchinson, Phillip Zorn, Minnie Leeds, Michael Romel, Otto Klopsch, James Murdock, John C. Pitsch, Walter O. Leeds, Anton Finske and Christopher Roeske. Mr. Finske died before the bank was open for business and all of the original directors are now deceased. The Citizens Bank started business at 311 Franklin Street and issued its first statement on July 10, 1888, the deposits being $39,132.27. In 1913 the bank removed to its present modern bank building at the corner of Fifth and Franklin streets. The new building has the most modern vault equip-

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ment, having 186 safety boxes protected by a ten ton steel door and also installation of burglar equipment. In a recent statement it had resources of $3,301,597.68. The present officers are Charles E. Arnt, president; A. G. Tillotson, vice president; Albert C. Weiler, cashier, and George E. Baker, assistant cashier. The present directors are Charles E. Arnt, Albert C. Weiler, Moe A. Cushman, A. G. Tillotson, Henry A. Schwager, Henry W. Gielow, John J. Glasscott, William Miller and G. S. Van Deusen.

MERCHANTS’ NATIONAL BANK, MICHIGAN CITY — Another enterprising progressive banking institution in Michigan City is the Merchants National Bank, which was organized in 1909, with Alexander A. Boyd, president; Cornelius R. Collins, vice president, and Fred N. Smith, cashier. Mr. Boyd has been president of the institution since it was founded, but many of the original board of directors have passed away. Robert F. Garrettson, one of the original members of the board, is now vice president and Clyde L. Taylor is cashier. From the start the bank has been a popular institution, its deposits the first year being $300,000. Its capital stock is $100,000 and the surplus and undivided profits are nearly $75,000. Its total resources are about $1,400,000 and its deposits $1,150,000. Its new modern fire proof building has safety deposit vaults in the basement with every modern improvement for safety and with banking rooms on the first floor and offices on the mezzanine and second floors. The banking room is equipped with five cages of two teller’s windows each. The building is a handsome structure, the outside being a gray terra cotta and the floors are terrazo art metal designed with Botticino marble throughout. The bank anticipates doing business in the new bank building early in 1927.

PEOPLE’S STATE BANK, MICHIGAN CITY — The latest financial institution in Michigan City is the People’s State Bank, with a capital stock of $100,000 and a surplus of $10,000. Hugo P. Peppen is president and Elias W. David cashier. In a recent statement it showed total resources of $334,176.62.

BANK OF A. P. ANDREWS, LAPORTE — The necessity for good banking facilities was early recognized in LaPorte and in April, 1839, a loan company was formed with a capital stock of $200,000, but there is no record of it engaging in active business and for a number of years the people of LaPorte depended upon the Michigan City branch of the State Bank of Indiana for banking conveniences. In December, 1869, the private banking house of A. P. Andrews, Jr., & Son, was organized and it later took out a state bank charter and has always been a carefully managed and flourishing banking institution, having now behind it fifty-eight years of success. In a recent statement it had resources of $3,445,867.

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FIRST TRUST AND SAVINGS BANK, LAPORTE — This bank was originally organized as a branch of the State Bank of Indiana in the latter part of 1856 and began business on January 2, 1857. When the charter of the Indiana State Bank was about to expire in 1859 the bank was taken over by some citizens of LaPorte and operated as a private institution under the name of Hall, Weaver & Company. In May, 1905, the bank was incorporated and assumed its old name of the Bank of the State of Indiana, but the name was changed in February, 1925, to the First Trust & Savings Bank. In December, 1912, the controlling interest in the institution was purchased by Herbert W. Fox, Edward F. Michael and William A. Martin, who were prominent citizens of LaPorte, and in February, 1913, they joined with the stockholders of the First National Bank of LaPorte so that the same stockholders now own both institutions. In a recent statement the bank had total resources of $2,589,102.14, and deposits of more than $2,000,000. The present officials are Herbert W. Fox, president; Frank J. Pitner, vice president; Harry McCormick, secretary and treasurer, and Loren G. Schumm, assistant secretary and treasurer. The board of directors are Herbert W. Fox, Royal R. Ingersoll, William A. Martin, F. H. Morrison, Frank J. Pitner, Emmit Scott, W. E. Taylor, Charles I\. Warren and A. H. Berger.

FIRST NATIONAL BANK OF LAPORTE — This bank was one of the early banks organized under the National Banking Law and it has grown to be a very large banking institution, having resources in June, 1926, of $3,080,595.52, and deposits of $2,640,492.90. The first president was Ezekiel Morrison and the first cashier was his son, Robert S. Morrison. The present officers are Herbert W. Fox, president; Frank J. Pitner, vice president; C. W. Isenbarger, vice president, and M. E. Siljestrom, cashier. The directors are the same as the First Trust & Savings Bank above mentioned.

PEOPLE’S TRUST AND SAVINGS BANK, LAPORTE — This banking institution was organized on August 26, 1912, with a capital stock of $100,000, and the deposits the first day exceeded $100,000. On August 26, 1913, it had resources of $596,249.39 and deposits of $467,612.54. In a recent statement its total resources were $1,456,017.83, and deposits of $1,267,471.90. The first board of directors was composed of George L. McLane, E. J. Lonn, William J. Vogt, J. J. Guenther, Dr. O. L. Sutherland, John W. Park, C. H. Johnon, H. W. Sallwasser, G. J. Bader, Fred Henoch and W. L. Miller. Since the organization of the bank J. W. Park and William J. Vogt have died and C. H. Johnson moved to California. Their places on the board of directors have been taken by C. A. Simon, Earl Rowley and H. H. Keller. George L. McLane has been president, E. J. Lonn vice presi-

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dent and H. H. Keller secretary and treasurer since the institution was founded. Mr. H. H. Peglo is assistant secretary.

LAPORTE SAVINGS BANK— LAPORTE LOAN AND TRUST COMPANY — This bank was organized in 1871 and on September 20 in that year opened its doors for business in a little room on a side street. Without a dollar of capital or deposits and with apparently limited opportunities for growth it commenced business under far different auspices from those usually surrounding the opening of present day new financial institutions. It was established however upon a solid foundation under the Indiana Savings Bank Law enacted in 1869 at a time when banking was not the safe and sound system it is today. Its purpose was to give the people a bank for their savings that would be as safe and as strong as law could make it. Upon this strong footing it prospered year by year until it now ranks as one of the strongest banking institutions in Indiana. How little the opportunity appeared for a quick growth of a savings institution like the LaPorte Savings Bank may be obtained by referring to the following article taken from its original set of by-laws: “The bank will be open for business, holidays and public days excepted, on Wednesday and Saturday of each week from two to six o’clock P. M. No sums of money will be received for deposit less than 5c.” As the advantage of the institution became generally known to the citizens of LaPorte the deposits steadily increased, although its great success dates from 1884, when it was reorganized and Benajah Stanton was made president and J. W. Crumpacker cashier. Mr. Crumpacker had a thorough knowledge of banking, a keen judgment of values and investments best suited for savings banks and the institution was very fortunate in obtaining his services at that period. It is one of only five mutual savings banks in the State of Indiana operating under a law which is based upon the mutual savings banking laws of New York, Massachusetts and other eastern states. Its business is restricted to savings banking only and it is owned by its depositors, not by stockholders. Its depositors receive all the earnings of the bank excepting the expense of management and the money carried to surplus account as required by law. Its affairs are administered by a board of seven trustees corresponding to the board of directors of a stock bank and with the usual officers. The first board of trustees were John Sutherland, Benajah Stanton, H. D. Morrison, J. W. Ridgway, Frederick W. Baumgardner, Sidney S. Sabin and Nathan Bartlett. Mr. Sutherland was the first president and Jacob H. Vining was first cashier. The present trustees and officers are as follows: Othie Way, president; John Sievert, first vice president; O. E. Replogle, second vice president; K. M. Andrew, third vice president; E. C. Mueller, assistant cashier; J. M. Hannun, L. B. Weaver

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and C. E. Price. The dividends for 1925 distributed to depositors were $80,000 and the total dividends to depositors since 1871 have been $1,690,000. At present it has a surplus account of $260,000 to guard against possible loss and insure the safety of the savings of the depositors. It owns its own banking house and a small amount of other real estate. On June 1, 1926, it had cash resources of $680,000, consisting of $333,000 of United States Liberty Bonds, the balance being cash on hand and due from banks. The larger part of its savings fund is invested in first mortgages on improved real estate and it also makes investments in bonds and school warrants of unquestioned value. Its total resources on June 1, 1926, were $2,449,996.20, and its deposits $2,181,220.95. In 1917 it acquired its present location and extensive alterations and improvements were made to the building when purchased. In the spring of 1926 many needed alterations and changes were made in the bank building to provide facilities for the constantly increasing business of the bank and its associated institution, the LaPorte Loan and Trust Company, the latter being organized in 1917. In view of the fact that the business of the LaPorte Savings Bank is restricted by law to savings banking only and in order to fully serve patrons of the institution, including those who require commercial as well as savings facilities, the two institutions together offer patrons every banking facility which can be found in any progressive modern bank. The LaPorte Loan and Trust Company began business with a capital of $35,000, but now represents an investment of $100,000 in capital, surplus and undivided profits. On January 1, 1926, it had total resources of $1,052,886.10 and deposits of $705,185.41. The officers and directors of the LaPorte Loan and Trust Company are the same as the LaPorte Savings Bank, and are leading citizens of LaPorte and enjoy the highest confidence of the people of that city.

FARMERS AND MERCHANTS BANK, HANNA — This is a private institution offering banking facilities to the citizens of Hanna and vicinity. T. H. Richardson is president and George D. Larrimore is cashier. It is reported to have had resources on December 31, 1926, of $212,802.22.

UNION STATE BANK, UNION MILLS — This bank was organized by a group of Union Mills business men in the spring of 1917 and opened for business on June 30 of that year with a capital of $15,000. M. G. Freeman was president, Othie Way, vice president, and C. E. Price cashier. The directors were W. G. Freeman, Othie Way, W. A. Canfield, R. B. Short, W. E. Loomis, D. II. Wakeman and A. W. Nelson. The deposits at the end of the first year amounted to $44,696.38 and as the business of the institution steadily increased it was incorporated under the name of the Union State Bank in July, 1921, and the capital of the bank increased to $25,000. The officers at present are the same as when the bank was

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organized with the addition of Luella Tatman as assistant cashier, the only change in the board of directors being J. B. Lloyd and C. E. Price, who have replaced R. B. Short and D. H. Wakeman. The bank is in a flourishing condition and does a large business considering the size of the community it serves. In a recent statement the bank had total resources of $269,000 and deposits of $232,252.63. Its capital, surplus and undivided profits amount to $36,936.72. Mr. Way, the vice president, is also president of the LaPorte Savings Bank and the LaPorte Loan and Trust Company and is one of the leading financial factors in LaPorte County.

STATE BANK OF WESTVILLE, WESTVILLE — The local banking institution which offers banking facilities to the citizens of Westville is the State Bank of Westville, which has a capital of $25,000 and surplus and undivided profits of $2,900. It was founded by Lewis R. Cass in 1908, as a private bank with $10,000 capital and incorporated as a state bank in 1925. The present officers are Lewis R. Cass, president; J. S. Recktenwall, cashier; Elvin J. Link, vice president; Lewis C. Snyder and Fred J. Warlike, directors. A recent statement shows deposits of $159,000 and total resources of nearly $200,000.

THE WANATAH STATE BANK, WANATAH — This banking institution was organized by Valparaiso and local business men, its early officials being H. H. Loring, president, a prominent factor in Porter County banking circles and former judge of the Porter County Circuit Court; J. N. O. Seib and J. J. Horn, vice presidents; Paul Nuppnau, cashier, and Charles D. Jones, assistant cashier. The bank has enjoyed a substantial growth. On May 1, 1916, it had total resources of $190,199.99 and in a recent statement its total resources amounted to $618,616.98. The present officers are William E. Richman, president; John G. Wiesjahn, vice president; Julius G. Richman, cashier, and Anna W. Lawrence, assistant cashier.

CITIZENS STATE BANK OF LACROSSE — This institution has a capitalization of $25,000 with surplus and undivided profits of $24,211.72. On December 18, 1926, its total resources were $327,503.07. The bank was organized in April, 1909, by C. W. Isenbarger, of Richmond, Indiana, and Dan Hecker, of Lynn, Indiana, who had as associates some of the leading citizens of LaCrosse. The first officers and directors were George C. Cook, president; C. H. Tuesberg, vice president; W. F. Rosenbaum, Dan Hecker, B. F. Jones, William Cook, J. M. Adams, Sr. C. W. Isenbarger was cashier. The present officers are George C. Cook, president; John Adams, Sr., vice president; P. N. Isenbarger, cashier; L. M. Younggreen, assistant cashier; Iva Vergin, bookkeeper. The directors are George C. Cook, John Adams, Sr., C. W. Isenbarger, John Menne, H. H. Jones, L. B. Dewey and Emil Reinke.

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PEOPLES BANK, ROLLINGS PRAIRIE — This organization is not an incorporated institution and in a recent statement was reported to have total resources of $177,348.99. The officers are Elmer E. Reese, president, and Phillip H. Teete, cashier.

PORTER COUNTY BANKS.

The first bank in Porter County was a private institution conducted by Franklin W. and Hubbard Hunt, who were early settlers of Valparaiso and engaged in the mercantile business for a number of years, retiring in 1855 when they opened the banking house. In 1856 Hubbard Hunt withdrew but the business was continued by Franklin W., for a number of years and then liquidated, the owner retiring from active business.

VALPARAISO NATIONAL BANK — FIRST TRUST COMPANY — After national banks were authorized by law the First National Bank of Valparaiso was organized with $50,000 capital. Levi A. Cass was president and M. L. McClelland cashier. In addition to the president the board of directors consisted of Thomas S. Stanfield, Joseph Pierce, W. C. Talcott, S. W. Smith, B. F. Schenck and A. V. Bartholomew. The bank opened for business on November 30, 1863, and it is said the first depositor was Mrs. Mary F. Brown. In 1882 the bank was reorganized as the First National Bank of Porter County with the capital stock increased to $100,000. In March, 1902, the bank was again reorganized under the name of the Valparaiso National Bank. In 1908 C. W. Benton, who was vice president, was chosen president. Mr. Benton enjoys to a marked degree the confidence of the citizens of Valparaiso and vicinity and his able and enlightened management has been an important factor in the success of the institution. In 1871 the old bank building was erected and served the institution until 1924, when the present beautiful modern banking building was constructed. The main banking room entrance has large massive doors and the interior has a most inviting appearance. The tile floor, handsomely decorated walls and ceiling, marble check counters in the center and on either side the ornamental cages of the bank and trust company, Italian marble wainscoting around the walls and counters, are of the most appealing character. The safety deposit vault is strictly modern and the ten ton vault door is the latest word in protective construction. The arrangement of the interior of the institution indicates that great care was given to provide every facility and convenience for the patrons of the institution and for the private meetings of the officials. Over the vault is a mezzanine floor of large size comfortably furnished, the use of which is free to the patrons of the bank and for meetings of official bodies of the various clubs and civil societies of the city. A section of the banking floor is devoted to the business of the First Trust Company

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of Valparaiso, which was organized in 1906 and is closely affiliated with the Valparaiso National Bank, Mr. Benton being president of both institutions. The Valparaiso National Bank has resources of more than $1,500,000 and its capital, surplus and undivided profits amount to $175,000. The First Trust Company had total resources, in a recent statement, of $1,026,084.90 and has a capital stock and undivided profits of nearly $100,000. The combined resources of the institutions make them important factors in the financial life of Porter County.

FARMERS STATE BANK, VALPARAISO — In November, 1874, Joseph Gardner started a savings bank which in the fall of 1878 was incorporated as the Farmers National Bank. It began business on February 1, 1879, with a capital stock of $50,000. George Gardner was the first president and on his death in 1907 his son, W. H. Gardner, was elected to the position, retiring in 1918 when Charles L. Jeffrey of the Bank of Chesterton was elected president and still holds the position. Mr. Jeffrey has been a foremost figure in the business life of Chesterton and Valparaiso for many years and prominently identified with every progressive movement in the interest of both communities and the great confidence which he enjoys in the business life of Valparaiso has added greatly to the bank’s prestige. Under his management *it is one of the soundest progressive financial institutions in the city. Shortly after Mr. Jeffrey became president of the institution it was decided to convert it into a state bank, which was carried into effect on March 2, 1919, since which time the institution has been known as the Farmers State Bank. A conflagration in February, 1926, destroyed the old quarters of the bank and it is now temporarily located on the northwest corner of the Public Square. A new bank building is now under construction on the northeast corner of the Public Square which the bank expects to occupy in May, 1927. A fine testimonial of the resourcefulness of the directing heads of this bank is demonstrated in the fact that although the fire utterly destroyed the institution, they re-opened one day later equipped to serve their patrons in their temporary location. The officers and directors are Charles L. Jeffrey, president; P. W. Clifford, first vice president; W. G. Windle, second vice president; A. A. Hughart, cashier; A. W. Cowdrey, assistant cashier, and Lewis G. Horn, director. In a recent statement the bank had total resources of $1,147,869.70.

CITIZENS SAVINGS & TRUST COMPANY, VALPARAISO — Another growing financial institution in the city of Valparaiso is the Citizens Savings and Trust Company. Its founders and first directors were W. J. Henry, president; C. E. Fifield, vice president; H. L. Arnold, vice president; G. A. Shauer, secretary; J. B. Dilley, I. Dillingham, F. W. Alpen and E. J. Gardner, cashier. The deposits for the first year were $150,000 and are

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now approximately $525,000. The capital stock is $50,000 and the surplus and undivided profits are $22,710.52. The bank has total resources of $602,171.08. The present officers are F. W. Alpen, president; William Wischel, vice president; Morgan Porch, treasurer; J. W. Whitaker, secretary, and E. J. Gardner, cashier. Other officials are Dr. A. O. Dobbins, J. O. Shauer and J. W. Kuehl, directors.

STATE BANK OF VALPARAISO — THRIFT TRUST COMPANY — Before the organization of the State Bank of Valparaiso in 1889 there was no Porter County financial corporation making loans on Porter County real estate. Individuals and foreign corporations furnished service of this class to borrowers. The need of a Porter County bank, authorized to loan money on Porter County farms, caused William E. Pinney and some associates to organize the State Bank of Valparaiso, with a capital stock of $35,000. “Porter County money for Porter County business” was from the beginning and still is the slogan of the institution. Mr. Pinney, who was its first president, was reared on the line dividing Porter and LaPorte counties. He had a comprehensive knowledge of Porter County real estate and its value as security for loans, and through this knowledge his institution filled a long felt want in the community. From its organization the bank has steadfastly led in making mortgage loans on Porter County real estate as well as doing a local commercial banking business. Its original capital of $35,000 was increased to $50,000 in 1903 and to $100,000 in 1920, the last increase in capitalization to accommodate Porter County interests in larger loans by reason of higher prices. In order to furnish Porter County the best banking facilities obtainable, the original bank building was replaced in 1903 by a new fireproof building equipped with the best banking equipment and equal to the best construction obtainable in the largest cities of the country. The cash vault and the safety deposit vault are each constructed of eighteen inch walls of solid concrete reinforced with steel, making the same as resistable to attacks of burglars as human ingenuity could. To this was added on the inside three separate layers of the hardest chrome steel then known to the trade, and which it would be difficult now to obtain. This “$teel Crete” armor mat vault construction is the same type used by the United States Government in the construction of Federal Reserve Bank vaults. Two sets of large massive steel doors close the entrance to the cash vault and are equipped with triple timed and combination locks protected by the latest improved electric burglar holdup alarm system. At the time this modern bank building was constructed there were but few of its type in any of the smaller cities and it stands as a monument to the vision, wisdom and faith of Mr. Pinney and his associates in the banking business and today but few institutions of any financial strength are without a modern bank building. Safety

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first and service next has been constantly kept in mind by the bank since its origin and the institution has been noted for the considerate treatment it has accorded its customers. The bank conducts a bond department where the choicest selection of highest grade bonds are bought and sold. The president of the bank, Judge H. H. Loring, carefully investigates the bond market with the special aim to purchase for Porter County people only such bonds as he regards as would be safe. The best evidence of his care in this direction is the fact that no customer of the bank had ever



suffered a loss on any bond purchased from it. Like his predecessor, Mr. Pinney, Judge Loring’s great knowledge in regard to the proper requirements to be met in the issuing of bonds is an added safeguard in the purchase of these securities. In 1903, at the time of the erection of the new State Bank building, neither a state bank nor a national bank was authorized to act as trustee, administrator, executor, guardian or receiver in court proceedings and thrift was not encouraged among young people by paying interest on savings accounts. To furnish this service,

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Mr. Pinney and his associates in 1908 organized the Thrift Trust Company with a capital of $25,000, the stockholders and officers being the same as the State Bank of Valparaiso, and established the Thrift Trust Company in the State Bank Building. Mr. Pinney dignified the new organization by giving it a name full of meaning and in business transactions and service the State Bank of Valparaiso and the Thrift Trust Company are one organization. On December 1, 1926, the capital and surplus of the State Bank was $138,000 and of the Thrift Trust Company $62,000. The assets of the State Bank on the same day were $1,367,732 and the assets of the Thrift Trust Company were $932,000, making the combined assets of the two financial organizations on December 1, 1926, $2,299,732. The largest individual item of assets of each institution is secured by Porter County real estate. The growth and usefulness of these two financial corporations, operating as one in the interest of serving the public, may largely be attributed to their executive management centered in the president and cashier. William E. Pinney served as president from 1889 to 1912, when he was succeeded by H. H. Loring, well known throughout Porter County for financial and legal ability, honesty and fair dealing, and they have been a great asset to the bank. Paul Nuppnau, cashier, has likewise been a great magnet in drawing business to the bank and is constantly consulted in financial matters and especially on careful and conservative investments. The officers and directors of both institutions are H. H. Loring, president, former judge of the Circuit Court; Peter J. Horn, John W. Sieb, vice presidents; Paul Nuppnau, cashier; Charles E. Foster, Robert B. Wark and Mark L. Dickover. Clinton Jones is assistant cashier and Paul R. Nuppnau is teller.

CHESTERTON BANK, CHESTERTON — This bank as a private institution was organized in 1890 by Joseph Gardner and George C. Morgan. Mr. Gardner continued the business after Mr. Morgan died in 1894, but sold his interest to Charles L. Jeffrey in 1902. The bank was then reorganized, the capital increased from $10,000 to $25,000, and Mr. Jeffrey was elected president; J. H. Ameling vice president and E. L. Morgan cashier, and they still retain their positions. The bank renders excellent service to the citizens of Chesterton and vicinity and its officers are prominent factors in the business life of Porter County. The institution has had a remarkable growth and in a recent statement the total resources of the bank were $1,295,279.83, a wonderful showing considering the size of Chesterton. It is chartered as a state bank.

CITIZENS BANK, HEBRON — The Citizens Bank was first organized in 1890 with Robert J. Dwiggins, president; Jay Dwiggins, vice president, and J. W. Moss, cashier. Through a combination of unfortunate circumstances, the officials were obliged to turn over the bank and its assets to

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three trustees on July 3, 1893, for the settlement of the affairs of the institution. William Sweney, William Fisher and M. J. Brown were appointed trustees and in November, 1894, they sold the property of the bank to William Fisher, one of the trustees. The trustees paid the depositors 95 per cent of their deposits and later Mr. Dwiggins from his own personal funds paid the depositors the remaining 5 per cent, so there was no loss to any of the depositors. Mr. Fisher reorganized the bank with a capital of $10,000 and he was elected president; Miss Ida E. Fisher, cashier, and J. J. Nichols, assistant cashier. In November, 1907, it became a state bank with a capital stock of $25,000 and the same officers with the addition of H. H. Bryant as vice president. In April, 1913, the capital stock was increased to $50,000 and in 1917 George C. Gregg became president following the death of Mr. Fisher. The present officers are George C. Gregg, president; M. C. Bryant, vice president; C. J. Hobbs, cashier, and Lyell S. Bryant, assistant cashier. The present directors are George C. Gregg, Henry Hogan, M. C. Bryant, Thomas Turner and Olo E. Nichols. In a recent statement the bank showed total resources of $406,959.14. It renders excellent service in the community which it serves.

FIRST STATE BANK OF PORTER, PORTER — This institution having a capital stock of $25,000 was organized in 1920 with E. A. Wilson, president; John E. Kemp, vice president; C. W. Wright, cashier, and H. L. Arnold, chairman of the board of directors. It is engaged in a general banking and insurance business and is authorized to act as administrator, guardian and trustee and maintains a savings department, giving 4 per cent interest on time deposits. The bank occupies a modern brick structure equipped with fire and burglar proof system and modern fire and burglar proof vaults. The State Bank furnishes excellent banking facilities to Porter citizens and in a recent statement shows total resources of $357,365.76.

PORTER COUNTY STATE BANK, KOUTS — The Bank of Kouts, which had been doing business for some years, went into the hands of a receiver early in 1909 and as a banking institution was essential to the needs of this important farming section, the Porter County Bank was organized, the building of the Bank of Kouts purchased and the institution commenced business on July 31, 1909. Its business has steadily grown and a recent statement shows total resources of $222,299.54, a capital stock of $25,000, and surplus and undivided profits of $8,200. R. H. McCormich is president and Charles H. Cannon, cashier.

LAKE COUNTY BANKS.

Organized banking in Lake County had its origin in the establishment of the First National Bank of Crown Point in 1874. Judge M. L. Bundy,

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George Hazard and William C. Murphy of New Castle associated with John Brown, Judge Burge, James H. Luther, William W. Cheshire and David Turner were the founders of the institution. Mr. Burge was elected president, William C. Murphy vice president, and A. E. Bundy, cashier. The bank opened for business on September 9, 1874, the first day’s deposits being $2,177.97. The capital stock of the institution was $50,000, only $5,000 of which was owned by the Crown Point stockholders. During the first year its principal correspondent and depository bank in Chicago closed its doors with a resulting loss and within a short time two other Chicago institutions with which the bank carried its reserve also failed, the combined loss amounting to about one-half of the capital stock of the institution. A reorganization was had and David Turner, father of A. Murray Turner, the well known Hammond Banker, was made president on January 1, 1875, and for seven years he gave the bank his entire time and attention and laid that firm foundation upon which has been built the wonderful record of development which has been the history of the bank since that period. In 1882 John Brown became president and for more than forty years the bank grew and prospered under his management. He was the soul of honor and integrity and not only enjoyed the great respect of the citizens of Crown Point but his integrity and character and his loveable qualities endeared him to the members of the banking fraternity who in 1913 tendered him a great reception as the dean of Lake County banks. Attending the reception were representatives of twenty-nine banks in the county as well as representatives from Chicago institutions. A. Murray Turner, president of the First National Bank of Hammond and son of David Turner, Mr. Brown’s predecessor as president of the First National Bank of Crown Point, presided at the banquet and tendered to his life long friend and his father’s early associate, a great tribute of respect to his talents and integrity and his admirable human qualities. Other tributes to Mr. Brown’s work as a man and a banker and the great service rendered by Mr. Brown and his bank to the community of Crown Point were given by August Blum of the First National Bank of Chicago. Daniel Norman of the Continental Bank of the same city, Judge E. C. Fields, vice president of the Monon Railroad, and by Hon. John B. Peterson, of Crown Point. In the chapter on noted pioneers of Lake County will be found some reminiscences by Mr. Brown of his early days in the pioneer community of Crown Point. After the death of Mr. Brown, which occurred November 19, 1924, he was succeeded by his son, Neil Brown. A recent statement shows the bank to have a capital and surplus of $100,000, and total resources of $1,754,503.66.

COMMERCIAL BANK, CROWN POINT — This financial institution was incorporated in January, 1895, with a capital of $60,000. The officers were

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Samuel A. Barr, president; Walter L. Allman, cashier; Henry P. Swartz, John Black, David A. Root, and George N. Eder. The deposits the first year were $53,854.93. The present officers and directors are John B. Peterson, president; Martin P. Howkinson, vice president; Peter A. Hine, cashier; Fred A. Barr, assistant cashier; James C. Gibbs, George J. Schlemmer, and Adrian L. Courtright. According to a recent statement the Commercial Bank has a capital, surplus and undivided profits of $115,315.77, and total resources of $780,563.43.

PEOPLES STATE BANK, CROWN POINT — The Peoples State Bank of Crown Point was incorporated on September 29, 1904, with thirty-three shareholders, the largest individual shareholder having sixty-five shares, and the smallest five shares. The founders were Henry Aulwurn, Michael Grimmer and Joseph Wilson, all citizens of Crown Point. The first directors were Michael Grimmer, J. H. Love, T. S. Fancher, Joseph Wilson, Cyrus Smith, Frederick K. Siegmund and William Cochran. The first officers were Michael Grimmer, president; T. S. Fancher, vice president; and Henry Aulwurn, cashier. The present officers are J. J. Steeb, president; William G. Woods, vice president; M. C. Kerr, cashier; and Roy C. Fagen, assistant cashier. On January 1, 1906, the deposits were $49,058.39, and the total resources of the bank were $112,716.88. In a recent statement the bank had deposits of $1,348,794.90, and total resources of $1,518,588.99. Its capital, surplus and undivided profits were $121,794.09. As the above statements show, the Peoples State Bank has enjoyed a consistent growth year by year and attests the great confidence enjoyed by President Steeb and his associates in Crown Point and vicinity. It does a very large commercial business and the great courtesy and consideration which have always been shown by the bank officials to the merchants and business men have made it a very popular institution in the commercial life of the community.

FIRST NATIONAL BANK, DYER — This popular banking institution in southern Lake County was organized in 1903 by Henry L. Keilman and August W. Stommel, who have been respectively president and cashier since the bank was organized. Associated with Mi\ Keilman and Mr. Stommel at the organization of the bank were H. Batterman, John L. Keilman, John A. Kimmit and William F. Keilman. William N. Getler was assistant cashier, which position he still retains. The deposits, which were $19,346 the first year had increased to $438,032.59 on December 31, 1926. The capital stock of the bank in $25,000, and the surplus and undivided profits were $25,992.77. The total resources in a recent statement were $522,385.98. The present board of directors are Henry L. Keilman, John A. Kimmit, Ferd Kalvelage, August W. Stommel and Peter H. Smith.

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AMERICAN TRUST AND SAVING BANK, HOBART — This Hobart banking institution was founded by J. C. Cavender in 1912 and does a general banking business, giving special attention to commercial banking. It maintains a savings department and also trust department, and its bank building is equipped with modern safety deposit and burglar-proof vaults. Its capital is $30,000, and it has a surplus and undivided profits of $10,188.79. It is in excellent financial condition, as shown in a recent statement, having deposits of $467,929.43, and total resources of $537,118.22. The officers and directors are John Gruel, president; H. F. Cavender, first vice president; M. W. Brown, second vice president; W. F. MacPhearson, cashier; and Hazel L. Cavender, assistant cashier.

THE FIRST STATE BANK, HOBART — This very successful banking institution was organized in 1899, with a capital of $25,000, and with George Stoecker, president; P. P. Gordon, vice president; and J. C. Cavender, cashier. Mr. Stoecker, Doctor Gordon and Seward Lightner filled the office of president until the year 1912, and during this same period Mr. Cavender was cashier. In 1912, N. P. Banks was elected president, and Frank H. Davis cashier, and they still retain their official positions. C. E. Smith was elected vice president in 1912, and at his death was succeeded by W. O. Halsted, who in turn was succeeded by A. E. Halsted. When Mr. Banks assumed the office of president in 1912, the bank had total resources of $251,027.54, with deposits of $219,863.25, and on March 3, 1927, the bank had total deposits of $947,692.56, and total resources of $1,118,902.60, a remarkable increase in deposits and resources considering the size of Hobart, which has had two additional banking institutions, and some citizens do their banking business in Gary. On July 1, 1925, the bank increased its capital stock 100 per cent and it is in excellent financial condition. In 1923 the bank building was remodeled into a strictly modern institution, now having a handsome stone front and the interior rebuilt, redecorated and with every convenience for the transaction of business. Robert Harper and L. E. Maxwell are directors of the institution in addition to the present officers above mentioned. As the growth of the institution shows, the officials have long enjoyed the confidence of the citizens of Hobart, and the able management of Mr. Banks, his integrity and character, have been a great asset to the institution, which is one of the few banks in a small community in Indiana having such large deposits and resources.

EAST CHICAGO, INDIANA HARBOR, AND WHITING BANKS.

FIRST CALUMET TRUST AND SAVINGS BANK, EAST CHICAGO — The Riley group of banks in East Chicago and Indiana Harbor, consisting of the First Calumet Trust and Savings Bank, the United States National Bank,

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the First National Bank and the First Trust and Savings Bank, had their origin back in 1909, when Walter J. Riley, then an East Chicago lawyer, who had gained his law diploma by going to night school, assumed the management of the newly organized First Calumet Trust and Savings Bank. The institution was a small one, the staff consisting of Colonel Riley and two employes. The bank had a capital stock of $50,000, with quarters in a small storeroom on Chicago Avenue, near the Indiana Harbor Belt Railroad. When Colonel Riley assumed the management he told the directors and stockholders that he would not touch a cent of salary until he had made the bank surplus equal to its capital and he would continue to earn his living as a lawyer and real estate salesman. Today the capital of the First Calumet Trust and Savings Bank is $200,000, or four times the amount when Colonel Riley assumed the management of the institution. It is now located in one of the most beautiful bank buildings in Northwestern Indiana, a splendid specimen of architectural beauty and a corresponding interior with beautiful marble and bronze appointments. On January 3, 1927, it had deposits of $1,610,486.83, and total resources of $2,049,730.09. The officers are Walter J. Riley, president; Alfred Jones, assistant to the president; C. A. Westberg, vice president; Samuel W. Ogden, vice president; D. A. Cray, vice president; E. L. Steck, vice president ; and C. H. Eagar, cashier.

THE UNITED STATES NATIONAL BANK — In 1914 Colonel Riley organized and became president of the First State Trust and Savings Bank at Indiana Harbor. It had a capital of $50,000 and was projected in a year of great depression. Colonel Riley was unable to induce anyone to become a stockholder in the institution, but having faith in the future of the community, he established the bank and in a year or two had plenty of applicants for the stock. Starting with a capital of $50,000 and original deposits of $10,290.76, the bank on January 3, 1927, had a capital, surplus and undivided profits of approximately $262,000, and deposits of $1,811,460.59, with total resources of $2,372,762.07. The first officers and directors were Walter J. Riley, president; C. A. Westberg, vice president: John Carroll, secretary and treasurer. The first directors were Frank Callahan, John Carroll, Bradford D. L. Glazebrook, Walter J. Riley, Henry C. Rutledge, and C. A. Westberg. In December, 1921, the bank was nationalized and the name changed to the United States National Bank. In the fall of 1926 the bank started the erection of a new seven-story home on the original site, and when completed it will be the largest structure in the City of East Chicago and costing in excess of $500,000, not including banking equipment. The basement will be the safety deposit department, and the first and second floors will be utilized for the general business of the bank. The upper floors will be used for offices and other

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purposes. The present officers are Walter J. Riley, president; Alfred Jones, assistant to the president; C. A. Westberg, vice president; D. A. Cray, vice president; J. S. Walkowiak, vice president; George March, cashier; Albert Steck, assistant cashier. The present directors are D. A. Cray, Theodore F. Heim, Charles M. Reed, Walter J. Riley, J. S. Walkowiak, and C. A. Westberg.

THE FIRST NATIONAL BANK — THE FIRST TRUST AND SAVINGS BANK — The Riley banking organization in 1918 acquired the First National Bank and the First Trust and Savings Bank. The First National Bank was organized February 2, 1903, as the Lake County State Bank. The founders were James H. Eckels, John A. Spoor, Robert E. Tod, William W. Tracy, Potter Palmer Jr., Albert DeWolf Erskine, Jarvis Hunt, Fred R. Hamlin, George W. Lewis, Silas H. Strawn, and Everett Rich. The officers were Albert DeWolf Erskine, president; Potter Palmer, Jr., vice president and cashier. The original capital of the bank was $50,000, and the deposits the first year were $111,021.39. On February 8, 1905, the bank was nationalized and the name changed to the First National Bank of East Chicago. Under the Riley management the bank has made great progress and has become one of the strongest institutions in East Chicago. The original capital of $50,000 has been increased to a capital and surplus of $240,000 on January 3, 1927, and it has deposits of $1,413,578.15, and total resources of $2,021,346.54. The present officers are Walter J. Riley, president; Alfred Jones, assistant to the president; C. A. Westberg, vice president; D. A. Cray, vice president; W. L. Spencer, vice president; James A. Dalton, cashier. The directors are Walter J. Riley, C. A. Westberg, D. A. Cray, W. L. Spencer, John J. Block, Charles M. Reed, and W. R. Diamond. The First Trust and Savings Bank was founded in 1916, has prospered greatly under the Riley management and has enjoyed a substantial growth in the past few years. It had on January 3, 1927, a capital and surplus of $125,000, with deposits of $402,004.23, and total resources of $541,084.76. The officers and directors are the same as the First National Bank. The combined capital, surplus and undivided profits of the Riley banks is $866,575.25. Since organization the capital of the First National has been increased 100 per cent, the First Trust and Savings 100 per cent, the First Calumet Trust and Savings 300 per cent, and the United States National 100 per cent, and these increases in capital stock were made from earned surpluses and undivided profits. The total deposits of the Riley banking institutions are $5,237,529.80, and total resources of $6,984,923.46.

Identified with the Riley group of banks since their formation or acquisition is Carl A. Westberg, vice president of the four banking institutions. Not only is Mr. Westberg prominent as a banker, but he has been for many years a leader in the business life of the community. He is vice president

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and treasurer of the East Chicago Land Company and has been one of the most important factors in the industrial development of the East Chicago, Indiana Harbor, and Whiting territory. Extended reference to Colonel Riley and Mr. Westberg’s activities will be found in Biographical Volume, No. II.

INDIANA HARBOR NATIONAL BANK — Two great leaders in the financial life of the East Chicago, Indiana Harbor, and Whiting section of the Calumet Region are Gallus J. Bader and Fred J. Smith. They were the founders of some of the strongest financial institutions in this district and their banking activities extended into other fields. The group of banks with which they are now identified in capital and resources share with the Riley group of banks as dominant factors in the banking activities of the district. Both men were born in LaPorte County, Indiana, of pioneer parents, and when young men established a bakery and restaurant business in Whiting as partners, and in the years which followed have been working together harmoniously and achieved great things in unison. Retiring from the restaurant business, they developed many of the earlier subdivisions to Whiting, East Chicago and Hammond, and are still actively engaged in the development of real estate with Henry S. Davidson of Whiting. They founded the First National Bank of Whiting, Mr. Bader serving as its first president, and Mr. Smith as his successor. They later organized the First Trust and Savings Bank of Whiting, of which Mr. Smith served as the first president. By purchase in 1906 they acquired the First National Bank of East Chicago, which they later disposed of, and it is now one of the Riley group of banks. They also purchased the Indiana Harbor State Bank, which was nationalized under the name of the Indiana Harbor National Bank and is now the largest bank in the East Chicago-Indiana Harbor section of the district. They also organized the First Trust and Savings Bank of Whiting, which served as an adjunct to the First National Bank in Whiting. In 1906 they organized the First State Bank of Tolleston, which is now a part of Gary, and it is approximately correct to say that this was the first bank in Gary. This was followed by the formation of the International State Savings Bank in Gary and the Peoples Trust and Savings Bank of LaPorte, which is one of the strongest institutions in that city. In 1909, in connection with John R. Farovid, control of the Citizens State Bank of Indiana Harbor was secured and the bank reorganized under the name of the Citizens Trust and Savings Bank, in which institution Messrs. Smith and Bader were directors. At present they are actively interested in the Indiana Harbor National Bank, the First National Bank of Whiting, and the First Trust and Savings Bank of Whiting. Mr. Bader is president of the Indiana Harbor National Bank, and Mr. Smith is president of the First

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National Bank and the First Trust and Savings Bank of Whiting. A comprehensive history of the lives of Mr. Bader and Mr. Smith will be found in Biographical Volume, No. II. The Indiana Harbor National Bank was one of the institutions founded in the early history of the region by Albert DeWolf Erskine, who at that time was secretary and general manager of the East Chicago Company and was associated with Potter Palmer, Jr., of Chicago. The bank on December 31, 1926, had a capital of $200,000 and a surplus and earned profits of $102,724.86. The deposits were $2,549,663.61, and the total resources were $2,857,519.16. The officers of the Indiana Harbor National Bank are Gallus J. Bader, president; Fred J. Smith, J. G. Allen and C. W. Bader, vice presidents; George M. Witt, cashier; E. L. Markey and D. L. Mitchell, assistant cashiers.

FIRST NATIONAL BANK, WHITING — As above explained, this institution was founded by Messrs. Smith and Bader with a capital of 850,000. In 1920 the capital stock was increased to $100,000, with a surplus of 825,000. A recent statement showed the capital stock to be $100,000, and a surplus of $66,455, with deposits of $1,553,373.52, and total resources of $2,080,409.77. The present officers are Fred J. Smith, president; John M. Thiele, vice president and cashier; W. E. Warwick, vice president; A. H. Scholz and Lonis Walsko, assistant cashiers. The directors are Clarence W. Bader, vice president of the Calumet Supply Company, Gary; Gallus J. Bader, Martin Hausler, R. E. Humphrey, manager of the Whiting plant of the Standard Oil Company; Fred J. Smith, Walter H. Smith, Julius Szudzinski, John M. Thiele, and W. E. Warwick, vice president and general manager of the Standard Oil Company of Indiana.

FIRST TRUST AND SAVINGS BANK OF WHITING — This bank was organized by Messrs. Smith and Bader in June, 1915, with Fred J. Smith, Gallus J. Bader, John M. Thiel, James Gill, John Schaub, Martin Hausler, Joseph Tapajua, and John Klen as directors. During the first year the deposits were $32,279.35. A recent statement showed deposits of $374,462.62. The capital, surplus and undivided profits were $84,854.80, and the total resources were $1,233,467.42. The First Trust and Savings Bank does a very large business in first mortgage securities. The present directors are Fred J. Smith, Gallus J. Bader, John M. Thiele, John W. Durick, William Curtis, Martin Hausler, Russel F. Smith, and N. E. Miller.

CITIZENS TRUST AND SAVINGS BANK, EAST CHICAGO — On March 2, 1908, several financiers from Chicago came to Indiana Harbor and organized a banking institution under the name of the Citizens State Bank. Under date of June 12, 1909, John R. Farovid, with other influential business men of the Calumet District, purchased control of the bank and it was reorganized under the name of the Citizens Trust and Savings

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Bank, and Mr. Farovid was elected president, and J. A. Carlson cashier. The directors under the reorganization were Monroe R. Schock, Gallus J. Bader, Fred J. Smith and Everett E. Dubbs. On May 14, 1908, shortly after the opening of the bank, the deposits amounted to approximately $14,000, but under Mr. Farovid’s able management the institution grew and prospered, and on December 31, 1926, the deposits were $752,083.24, and the bank had total resources of $860,725.02. The bank is in a sound and healthy condition, having a capital stock of $50,000 and undivided profits of $58,482.09. Mr. Farovid, who had served as president since the reorganization and who had achieved such great success as directing head of the institution, recently retired from the presidency to become chairman of the board of directors, and he was succeeded as president by Charles P. Parker, Jr., who was formerly vice president and secretary.

AMERICAN STATE BANK, EAST CHICAGO — This institution was founded by Hazel K. Groves in 1917. Mr. Groves began his career with the Republic Iron and Steel Company, afterwards becoming superintendent of the plant. Later he served with the Fort Worth Iron and Steel Company of Fort Worth, Texas, and as an auditor for the Wise Steel Company. In 1911 he entered the service of the East Chicago bank and later was instrumental in organizing the Northern Indiana Finance Company, and is president of the American Building, Loan and Savings Association, a very progressive growing institution. Believing the growth of the city warranted another institution, he founded the state bank as above stated. The first directors of the institution were William P. Graver, treasurer of the Graver Corporation; Albert Pack, president of the Hubbard Steel Foundries Company; Joseph W. Dunsing, Abe Ottenheimer, John Bochnowski, and Mr. Groves. The first officers were H. K. Groves, president; Albert Pack, first vice president; William F. Graver, second vice president; and Joseph W. Dunsing, cashier. Being under able management from the start, the bank has progressed steadily since its formation. The deposits the first year were $332,042.71, and on December 18, 1926, were $596,363.47. The capital stock is $50,000, and the surplus and undivided profits on December 18, 1926, were $32,752.34, with total resources of $713,553.03. The present board of directors consists of Abe Ottenheimer, Joseph W. Dunsing, E. T. Higgins, Joseph G. Ibach, Jr., and H. K. Groves. Mr. Groves still retains the presidency, although he was recently elected treasurer of Lake County. Abe Ottenheimer is vice president, and Joseph W. Dunsing cashier.

INDIANA STATE BANK, EAST CHICAGO — The youngest banking institution in East Chicago is the Indiana State Bank, located at Indiana Harbor. It was founded by Michael E. Kozacik, Jr., who was elected president of the institution; John Manta, Jr., cashier; Phillip Kleinman and Stanley

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Raczkowski, vice presidents; Michael Havran, James Kirrin, and John H. Fetterhoff, who are still officers and directors of the institution. Mr. Kozacik is the son of Michael Kozacik, hardware merchant in Whiting and president of the American Trust and Savings Bank of that city. He early became associated with the Bank of Whiting, and in 1913 joined the First National Bank of Gary. A year later he became assistant cashier of the First Trust and Savings Bank of Indiana Harbor, subsequently becoming cashier. In August, 1920, in association with his father and others, he organized the American Trust and Savings Bank of Whiting and became its cashier. He therefore brought to the Indiana State Bank a wealth of experience and training and under his able direction the bank is making rapid strides forward. The bank opened for business on June 28, 1924, and the deposits the first day were $60,000. In less than three years the deposits have increased to more than $400,000. The original capital was $50,000, with a surplus of $10,000. The capital has remained the same, but the surplus has increased $10,000 in the short period in which the bank has been organized. Under the progressive management of Mr. Kozacik it seems destined to a leading position among the East Chicago banking institutions.

PEOPLES STATE BANK, EAST CHICAGO — This financial institution was organized by John Bochnowski, Thomas S. Gozdecki, Joseph Wadas, Matt Dombkowski, Albert P. Lesniak, Jerry Bujwit, and Leo F. Herod. Mr. Bochnowski was elected president; Mr. Herod, vice president; and Mr. Gozdecki, cashier. The present directors are John Bochnowski, Leo E. Herod, Joseph E. Krzywinski, Joseph Wadas, Michael Dywan, Andrew Zdrojewski, Michael S. Zolkos, Matt Dombkowski, and Jerry Bujwit. On December 31, 1926, the bank had a capital of $50,000, and surplus of $41,402.06. The deposits were $421,566.09, and total resources of $514,468.15.

THE EAST CHICAGO STATE BANK, EAST CHICAGO — One of the sound progressive financial institutions in East Chicago is the East Chicago State Bank, John K. Reppa being president, and C. H. Newman cashier. Mr. Reppa began his career as a professor of mathematics in Austria. His first banking experience was with the First National Bank of Whiting, and later with the First National Bank of East Chicago. Later he became teller in the newly organized bank—the Citizens State Bank—which became the Citizens Trust and Savings Bank of East Chicago. He remained there until he accepted a position as cashier of the First Calumet Trust and Savings Bank when it was organized in 1909. He organized the Twin City Building and Loan Association, one of the soundest institutions of its kind in the Calumet Region, and in 1920 organized the First Securities Company. His wide experience and knowledge of every depart-

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ment of banking has been an extremely valuable asset to the East Chicago State Bank and he enjoys the confidence of the citizens to a marked degree. In a recent statement the East Chicago State Bank had a capital of $50,000, and surplus and undivided profits of $56,000. Its total resources were $942,875.43.

BANK OF WHITING, WHITING — The name of Henry Schrage will always be associated with the early history of banking in the East Chicago-Whiting section of the Calumet District. Mr. Schrage came to Whiting at the close of the Civil war and established a general store and also served as postmaster. In 1895 he organized the Bank of Whiting, serving as president for many years, and later was associated in the establishment of a bank in East Chicago, serving that institution for a short time as president also. His sons became early identified with him in his growing banking institution in Whiting, Walter E. Schrage later becoming president, and Henry Schrage chairman of the board of directors. The prominence of Henry Schrage in the development of Whiting and the great confidence in his honesty and integrity enjoyed by him in the growing city was reflected in the remarkable growth of the Bank of Whiting, and this confidence in the institution under his management has been shared by his sons, who have been conspicuous in the business life of the city as well as giving close attention to the affairs of the steadily growing bank. In addition to being president of the Bank of Whiting, Walter E. Schrage is a director of the Bankers Trust Company of Gary and the Northern Indiana Finance Company. Henry Schrage is the present mayor of Whiting. In a recent statement the Bank of Whiting had a capital of $100,000, surplus and undivided profits of $140,011.09, and deposits of $3,239,274.70, with total resources of $3,479,285.79. The able and progressive management of the institution under its founder, which it continues to enjoy under the sons, has made the Bank of Whiting the largest institution in the East Chicago-Whiting section of the Calumet District.

CENTRAL STATE BANK, WHITING — This bank was organized in 1917, and has made steady progress from its formation. John H. Fetterhoff, the president of the institution, is a former judge of the Whiting City Court, and when just out of school was chosen as assistant cashier of a bank in Halifax, Pennsylvania. He has always been a student of banking, and in addition to serving as president of the Central State Bank he is also a director in the Indiana State Bank of Indiana Harbor. The bank has a capital of $50,000, and the surplus and undivided profits are $25,000 additional. In a recent statement it showed deposits of $543,686, and total resources of $574,712.02. The officers are J. H. Fetterhoff, president; O. E. Meek, vice president; A. D. Baker, cashier; J. S. Hruskovich, assistant cashier. The directors are J. S. Bradac, H. F. Eggers, J. H. Fetterhoff,

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C. A. Hellwig, O. E. Meek, J. J. Nejdl, William Seliger, William E. Vater, and A. Winsberg.

AMERICAN TRUST AND SAVINGS BANK, WHITING — This institution was organized in 1920, its deposits the opening day, August 19th, being $54,737.45, and year by year it has grown in the confidence of the citizens of Whiting, as shown in a recent report where its deposits had increased to $605,090.81. The same report showed a capital stock of S50.000, and surplus and undivided profits of $26,734.27. The total resources were S681,825.08. The founders of the institution were Michael Kozacik, Roy E. Green, John Solapski, Joseph Tapajua, John Klen, Julius Gregorovick, and Michael E. Kozacik, Jr., the latter being now president of the Indiana State Bank in East Chicago. The present officers are Michael Kozacik, president; Roy E. Green, vice president; John Solapski, cashier: Steven J. Kozacik and Frank J. Kowalski, assistant cashiers.

Some other citizens who are factors of importance in the financial life of this section of the Calumet District are John Pora, who has been intimately associated with the life of Indiana Harbor since he began work there as an employe of the steel mills. John Pora has wide prestige among the foreign population, and especially the Roumanian residents of this section. He founded the John Pora Company in 1908, the business being largely in foreign exchange, and represents the Slovenska Banka of Zchecko-Slovakia, the Banco Commerciale, Italienne Trust Company of New York, the Banka Albina of Sibiu, Roumania, and other foreign institutions.

Laurel E. Lundquist has also been making strides in banking circles. Former cashier of the Citizens Trust and Savings Bank, he is now vice president of the East Chicago State Bank.

Julius Friedman, with banking connections outside the district, has through these connections brought much money in the way of investments into the development of Indiana Harbor, Whiting and East Chicago. He directed the attention of several Chicago banks to the value and safety of first mortgage bonds in this section, and through him they have been large investors in these securities, thereby giving great impetus to the financial development of East Chicago, Indiana Harbor and Whiting.

THE LOWELL BANKS — Lowell has two strong banking institutions, both of them national banks. The Lowell National Bank was founded in 1903, with F. E. Nelson, president; G. B. Bailey, vice president; and P. A. Berg, cashier. Mr. Bailey was elected president in 1903, and he and Mr. Berg still retain their official positions. The original capital of the bank was $25,000, which was increased to $50,000 in 1909. In a recent statement it had a capital of $50,000, and surplus and undivided profits of $59,500.

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The First National Bank is the more recent organization, with Albert Foster, president, and S. A. Brownell, cashier. The bank has a capital of $50,000, and a surplus and undivided profits of $60,000.

HAMMOND BANKS.

FIRST TRUST AND SAVINGS BANK, HAMMOND — The largest and most important banking institution in Northwestern Indiana is the result of marvelous growth and various consolidations and a progressive farseeing management. Marcus M. Towle organized the First National Bank of Hammond in 1886, and it was the first institution organized in that city under Government supervision. It grew slowly and in September, 1901, only had total deposits of $168,000, with a capital of $50,000, and surplus and undivided profits of $30,000. At this time A. Murray Turner, who had been a power in the politics of Lake County for years, and with great business ability as his record has demonstrated, with some associates purchased the controlling interest, and Mr. Turner became president. W. C. Belman, who had been superintendent of schools in North Township, was made cashier, and under their management the bank grew to be a powerful institution. Notwithstanding the organization of many other banks with the industrial growth of Hammond, the First National grew and prospered and for years was the leading banking institution in that section of the Calumet District. On January 2, 1909, the First National Bank purchased the Commercial Bank, which had been organized by Thomas Hammond and others in 1892. From time to time it had increased its capital to care for the demands for large sums of money by the growing industrial plants, and after the absorption of the Commercial Bank had a capitalization of $250,000, deposits of $1,400,000, and total assets of $1,800,000. On October 16, 1902, Peter W. Meyn, one of the most popular business men in Hammond, and who had built up a large insurance business, organized the Lake County Savings and Trust Company. The progressive business methods which Mr. Meyn had shown in the development of his insurance business were manifest as a banker and he soon became a potent figure in Hammond financial circles. A few years ago the First National Bank absorbed the Lake County Savings and Trust Company, and the First National Bank was later purchased by the First Trust and Savings Bank. At the time of the consolidation the resources of the First National Bank were $5,338,810.30, and of the First Trust and Savings Bank $3,664,473.70. A recent statement shows the capital stock of the First Trust and Savings Bank as $500,000, a surplus of $250,000, and undivided profits of $204,671.87. The deposits were $6,904,909.85, and total resources of $8,379,941.61. In addition to its excellent facilities for

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every branch of modern banking, the institution through its large capital, undivided profits and surplus, amounting to nearly $1,000,000, is in a wonderful position to care for the financial needs of the large industrial and business interests of the constantly growing Calumet District. The officers are A. M. Turner, chairman of board; Peter W. Meyn, president; W. C. Belman, David T. Emery, W. H. Rippe and Julius H. Meyn, vice presidents; Charles H. Wolters, secretary-treasurer; John A. Rippe, John Meyn, Walter E. Meyn, assistant secretary-treasurer; and C. A. Etling, auditor. The directors are J. F. Beckman, J. N. Beckman, W. C. Belman, S. Betz, David T. Emery, J. E. Fitzgerald, Charles S. Fletcher, George Hannauer, Carl Kaufmann, Albert Maack, Peter W. Meyn, J. H. Meyn, William H. Rippe, Charles L. Surprise, A. M. Turner, and Joseph Weis.

MAYWOOD TRUST AND SAVINGS BANK, HAMMOND — This institution has a capitalization of $50,000, and surplus and undivided profits of $8,800. A recent statement shows the total resources to be $319,324.59. The officers are J. C. Paxton, president, and S. R. Gillmore, secretary-treasurer.

CITIZENS NATIONAL BANK — The Citizens National Bank was founded by George M. Eder as the Citizens German National Bank, with a capital of $100,000, on May 2, 1906. The first directors were George M. Eder, William D. Weis, C. C. Smith, Louis Laterach, Louis Roth, Charles H. Friedrich, and Henry M. Plaster. In 1917 the name was changed to the Citizens National Bank and at the present time it is the only national bank in Hammond. The bank has been well managed and is a very successful institution. Its present capital is $100,000, and a recent statement shows a surplus and undivided profits of $115,000. The total resources of the institution are more than $2,000,000. The present officers are J. C. Paxton, president; C. E. Bauer, vice president; P. H. Fedder, cashier. In addition to the above officials the following are directors: H. E. Sharrer, Dr. R. O. Ostrowski, W. G. Paxton, A. H. Tapper, and Leo Wolf.

HAMMOND TRUST AND SAVINGS BANK — The Hammond Trust and Savings Bank was organized in May, 1907, by Frank Hammond, F. Richard Schaaf, and Adam R. Ebert. The first officers were Adam R. Ebert, president; Fred R. Mott, vice president; and Frank Hammond, secretary and treasurer. The deposits the first year were $75,000, and in the past twenty years since organization the bank has made steady progress, as shown in a recent statement wherein its deposits were $1,200,461.49. The statement showed its capital stock at $100,000, with surplus and undivided profits of $118,489.06, with total resources of $1,610,965.12. It has been ably managed since organization, and is one of the sound, substantial banking institutions in Hammond.

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PEOPLE’S COOPERATIVE STATE BANK, HAMMOND — This institution is the outgrowth of the People’s State Bank, which was organized on November 3, 1920, with a capital of $30,000. Joseph G. Ibach was elected president; A. J. Marko, the founder of the institution, vice president and cashier; and D. E. Gavit, assistant cashier. In addition to Messrs. Ibach and Marko, O. O. Melton, H. A. Kellner and E. J. Pillischer were directors. At the end of the first year it was reorganized with the Brotherhood of Locomotive Engineers’ Cooperative National Bank of Cleveland, Ohio, as a labor bank. The name was changed to the People’s Cooperative State Bank, the capital increased to $50,000 and the system changed, so that the stockholders’ dividend was limited to 10 per cent. Interest on savings was increased to 4 per cent, and the profits were shared with the savings depositors. In 1926 the Brotherhood’s interest was purchased and the capital stock increased to $100,000. The growth of the institution has been remarkable. The deposits the first year were $100,000, and on December 29, 1922, two years after organization, they were $491,788.68. Two years later, on December 31, 1924, they had increased to $1,353,258.64, and in December, 1926, they were $1,775,345.99, a phenomenal record for six years and showing the great confidence enjoyed by Mr. Marko and his associates among the business men and working people of Hammond. The total resources of the institution on December 18, 1926, were $2,004,116.40. In addition to its capital stock of $100,000, the bank has a surplus fund of more than $25,000. The present officials are J. G. Ibach, president; R. H. Harrington, first vice president; H. C. Gabler, second vice president; A. J. Marko, cashier; and D. E. Gavit, assistant cashier. The directors are J. G. Ibach, A. J. Marko, H. C. Gabler, R. H. Harrington, J. Stinson, P. Kilduff, M. McPherson, Dr. A. Lloyd, W. Ryan, W. Williams, and H. Kellner. Mr. Marko has demonstrated remarkable ability as an organizer and banker and is also president of the People’s Building Loan and Savings Association, which was organized in 1920, with a capital stock of $100,000, and now has a capitalization of $1,000,000, nearly $600,000 of which is issued.

AMERICAN TRUST AND SAVINGS BANK, HAMMOND — This strong banking institution opened for business July 15, 1911, and the first officers were O. A. Krinbill, president; C. H. Mayer, vice president; E. S. Emerine, secretary and treasurer. The first directors were George Kussmaul, William herkner, William Wolters, F. A. Bunde, Edward Simon, Paul B. Lipinski, Peter Liesenfelt, Henry Bieker, George Drackert, W. J. McAleer, Daniel Brown, John C. Lavene and Emil Minas. The capital stock was $100,000, and at the close of the first year the deposits were about $250,000. On January 1, 1916, the bank was reorganized, A. J. Swanson becoming president; Daniel Brown, vice president; H. O. Reissig, secre-

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tary and treasurer, who with the following were directors: Emil Minas, George B. Sheerer, Anton H. Tapper, and Carl Bauer. Since the reorganization the bank has made great progress and at the present time is a million-dollar institution. It recently purchased some valuable real estate and remodeled the building thereon into an up-to-date banking room. On December 31, 1926, the bank had a capital of $100,000, with surplus and undivided profits amounting to $104,747.97. Its deposits were $809,190.94, and its total resources were $1,013,938.91.

NORTHERN TRUST AND SAVINGS BANK, HAMMOND — This institution was founded by Paul B. Lipinski, and the first officers were George B. Sheerer, president; Romuald O. Ostrowski, vice president; Paul B. Lipinski, secretary and treasurer. The directors were George B. Sheerer, Romuald O. Ostrowski, Paul B. Lipinski, Theodore Borowiak, Joseph Kolanko, Otto Frankowski, Frank Rich wine, T. E. Bell, and Peter Buezkowski. The capital stock was $25,000, and the deposits the first year were $33,151.37. At present the capital stock is $25,000, and surplus and undivided profits amount to $22,495.72. On December 18, 1926, the deposits were $279,501.69, and the total resources were $342,747.41. The present officers are Paul B. Lipinski, president; R. O. Ostrowski, vice president; B. Salik, secretary and treasurer. The present directors are Paul B. Lipinski, R. O. Ostrowski, Boleslaw Salik, George B. Sheerer, Frank Rich wine, Barney Surdyk and Joseph Kolanko.

STATE BANK AT HAMMOND — This institution has a capital stock of $25,000, with a surplus and undivided profits of $25,000 additional. In a recent statement its total resources were given as $438,935.41. Anton H. Tapper is president, and Theodore Moor cashier.

GARY BANKS.

FIRST NATIONAL BANK, GARY — This great banking institution was founded by Thomas T. Snell on October 4, 1906, and its organization was almost coincident with the foundation of the city itself. John W. Fieldhouse was the first president, Walter S. Hazelton was vice president, and Thomas T. Snell cashier. The first directors were Thomas T. Snell, Walter S. Hazelton, Ernest C. Simpson, John W. Fieldhouse and Charles E. Frank. From its first year the bank has had one uninterrupted career of success. Its initial capital of $25,000 has been subject to regular increases with the growth of the institution until it is now $250,000, with a surplus of $250,000 additional and undivided profits of $119,426.31. Its original deposits of $110,754.64 has grown to approximately $5,000,000, and it is today one of the strongest banking institutions in Northwestern Indiana. On December 31, 1926, its total

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resources were $5,752,705.42, and it is constantly increasing in public confidence. In the early history of the institution it was ably managed and it was a great aid to business men in the rapid growth and development of the city. Its officials have always shown the most helpful spirit, cooperation and consideration towards its patrons and as a result the good will it has earned in the business community is a most valuable asset to the institution. A few years ago Ferdinand Richard Schaaf, who had been making banking history in Hammond, obtained the control of the First National Bank by purchasing a majority of the stock, thus placing Mr. Schaaf in a dominant position in the financial affairs of Northwestern Indiana. He came to the First National Bank with a wide experience in banking and the increasing success of the institution under his management is a tribute to his great business and executive ability. Mr. Schaaf is a former postmaster of Hammond, subsequently becoming vice president of the East Chicago Bank. At a later period he organized the Farmers and Merchants Bank of Highland, and afterwards became president of the Citizens National Bank of Hammond. While serving with the latter institution he organized the Hammond Savings and Trust Company, and at this period his great ability as a financier became widely recognized in Northern Indiana. In the F. R. Schaaf Company, Financiers, which was organized a few years ago, Mr. Schaaf was a director, and he was the moving spirit in the organization of the Bankers Trust Company in 1921, which has become an outstanding institution in Northwestern Indiana. He also organized the Indiana Bankers Finance Company, of which he is now the president. Notwithstanding these many and varied activities, he devotes most of his time to furthering the progress of the First National Bank. The officers of the First National Bank are F. Richard Schaaf, president; Leo Wolf, vice president; E. C. Simpson, cashier; C. R. Brown, T. J. Burke, and T. M. Kitchen, assistant cashiers.

THE BANKERS TRUST COMPANY of which Mr. Schaaf is president, has never handled deposits, only public funds, and was primarily organized for the purpose of making mortgage loans, selling bonds and investments, insurance, and handling a general trust business. As would be expected in looking over the list of officers which follow, the Bankers Trust Company has had a great career of success in the few years since it was organized. Its capital stock is $300,000, and its surplus and profits on December 31, 1926, was $146,432.07. Its total resources were $892,160.25. E. C. Simpson, cashier of the First National Bank, is also secretary-treasurer of the Bankers Trust Company, and the directors in addition to Mr. Schaaf and Mr. Simpson are J. E. Fraas, W. E. Schrage, E. G. Seip, who are vice presidents of the institution, and James A. Hemenway, Hazel K. Groves, Anton H. Tapper, and W. E. Schmidt.

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NATIONAL BANK OF AMERICAN, GARY — This strong financial institution was founded in 1917 by W. A. Wirt, C. E. Wirt and C. R. Kuss, who were respectively president, vice president and cashier of the institution. In addition to the above officials, C. V. Ridgely, Samuel Miller and Harry Hall were directors. Mr. Wirt has remained president since the origin of the bank, which has enjoyed signal success under his management, being now one of the leading financial institutions in the Calumet Region. Its large deposits and resources show the confidence enjoyed by the institution among the citizens of Gary, and considering the few years since it was organized, it is a striking example of success among banking institutions. The bank has a capital of $100,000, and a surplus of $45,000, with resources of more than $2,000,000.

GARY STATE BANK — This is one of the oldest banking institutions in Gary, being organized by some of the officials of the United States Steel Corporation as a depository of the steel mills and allied corporations. Henry G. Hay, Jr., whose father was assistant treasurer of the United States Steel Company for many years, was president of the institution until a few years ago, when he resigned to become president of the Commercial Trust Company. Mr. Hay was succeeded by L. W. McNamee, former auditor of the Gary Works of the Illinois Steel Company and of the Gary Land Company, and president of the Gary Heat, Light and Water Company. Mr. McNamee brought to the institution a broad business experience and enjoys the confidence of the citizens of Gary to a marked degree, having been active in the business life of the city since he came to Gary in 1909. The bank opened for business on March 4, 190S, the original board of directors consisting of Henry G. Hay Jr., Robert W. Campbell, Gilbert R. Call, William Beye, and Robert M. Cutting. As above stated, Mr. Hay was president, Mr. Call being vice president, and Mr. Campbell cashier. The bank started with a capital of $100,000, and the deposits the first year were $169,212.80, and the total resources were $270,023.55. The growth of the institution has been on a par with the growth of the industries in Gary, the bank on December 31, 1926, having total resources of $4,335,424.70. The original capitalization of $100,000 has been increased to $200,000, and the bank has a surplus of $200,000, and undivided profits of $181,574.44. The original deposits of $169,212.80 had increased to $3,753,850.26 on December 31, 1926, and the bank at present is the second largest in Gary, being exceeded only by the First National Bank. The officials associated with President McNamee at the present time are J. B. Bailey, cashier, and P. H. West and A. D. Milteer, assistant cashiers. The present board of directors are J. B. Bailey, A. F. Banks, E. J. Buffington, W. P. Gleason, H. G. Hay, K. K. Knapp, L. W. McNamee, P. W. Seyl and G. G. Thorp.

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SOUTH SIDE TRUST AND SAVINGS BANK, GARY — This important financial institution was founded in 1910 by C. O. Holmes and L. P. Kuss, and they have been active in the organization since it was founded. The first officers were T. W. Englehart, president; W. A. Cain and M. M. Winter, vice presidents; and C. O. Holmes, secretary-treasurer. The first directors were W. A. Cain, T. W. Englehart, William Feder, E. C. Simpson, T. T. Snell, M. M. Winter, H. J. Carr, L. P. Kuss, and C. O. Holmes. Mr. Holmes, one of the founders of the institution, and who later became president, has achieved several niches in the historical annals of the Steel City. He is a pioneer of Gary, being among the very first to arrive at the birth of the city, was elected clerk when it was incorporated as a town, and in 1909 headed the group that organized the Calumet Trust and Savings Bank, which later was consolidated with the First Trust and Savings Bank. At the time he was chosen president of that institution lie was but twenty-five years of age and the youngest bank president serving in Indiana. He has always been a conspicuous figure in the business life of Gary and organized the Mutual Savings and Loan Association, which has stock in force of nearly $2,000,000, and which had the distinction of making more loans on residence property in the year 1925 than any other building and loan institution in Gary. The South Side Trust and Savings Bank began business with a capital of $25,000 in a small storeroom at 1036 Broadway, and Mr. Holmes’ faith and conviction that in a few years the bank would find itself in the center of the city has been justified. The original capital of $25,000 was increased to $50,000 in 1911, and later to $75,000. In January, 1925, the capital was increased to $100,000, and with the growth of the city south on Broadway the business of the bank constantly increased. The deposits of $52,007.38 at the end of the year 1910, the first year in the bank’s history, has been increased to approximately $1,300,000, and the total resources to approximately $1,500,000. The present officers are C. E. Holmes, president; William Feder and L. P. Kuss, vice presidents; G. P. Smith, secretary and treasurer, and R. H. Rhoades and Marguerite Walsh as his assistants. The confidence of the officials in their location and in the future growth of Gary determined them to erect the handsome, modern bank building in which the institution does business, and which was completed in February, 1926. The new structure, including site, cost $200,000, and provides on the main floor a large, well appointed banking room and complete vault facilities with safety deposit boxes. The directors’ room is located on the balcony floor, with ample space provided for special equipment for transit, bookkeeping and clearing house operations. On the second floor are twenty-two splendid office rooms with high rental value.

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THE AMERICAN STATE BANK, GARY — Another financial institution in the City of Gary organized only a few years ago and which has had a remarkable career of success is the American State Bank, now a million-dollar institution. The bank was organized in April, 1918; Walter Lewandowski was its first president; August J. Pelka, first vice president; and Charles R. Lewinski, cashier. The first directors were Anton Kosiba, Julius Koladzinski, Charles R. Lewinski, Walter Fabianski, Valentine Pisarski, Walter Lewandowski, and August J. Pelka. The original capital was $25,000, which has since been increased to $50,000, with a surplus and undivided profits of $50,000 additional. It has deposits of more than $1,000,000, and total resources of $1,100,000, is in a sound, prosperous condition, and has been paying 15 per cent dividend annually to its stockholders, besides building up the substantial surplus mentioned. The present officers are T. H. Grabowski, president; Frank Migas, August J. Pelka, Valentine Pisarski, vice presidents; Albert DeFries, vice president and cashier; William F. Liska, John D. Pichiotino, and Helen Martin, assistant cashiers. James R. Phelps is auditor. Domenico Perrotta is manager of the foreign exchange department, and Myrtle W. Montgomery manager of the insurance department. The present directors are Frank J. Tittle, August J. Pelka, Walter Lewandowski, Albert DeFries, Domenico Perrotta, Frank Migas, Valentine Pisarski, and T. H. Grabowski. Mr. Grabowski, who has been president for some time, found success in his profession as a lawyer before entering the field of banking. His advent into the life of Gary in 1916 was in the practice of law, and subsequently he organized the American State Bank, first serving as its attorney before becoming its president. He ranks high among the members of the legal profession and the growth of the bank is a tribute to his able and progressive management.

GARY TRUST AND SAVINGS BANK — This institution is one of the oldest in Gary, being organized in December, 1909, with a capital stock of $25,000. The first officers were A. F. Knotts, president; T. E. Knotts, vice president; and Hoy D. Davis, secretary-treasurer. In May, 1912, the bank was consolidated with the Security State Bank under the name of the Gary Trust and Savings Bank, and the capital was increased to $50,000. In May, 1921, the bank was consolidated with the International Trust and Savings Bank, retaining its old name, and the capital increased to $100,000. The deposits the first year, which were approximately $148,000, had in December, 1926, increased to $1,500,000, and in addition to the capital stock of $100,000 the bank has surplus and undivided profits of $88,925.36. The present officers are Harry L. Arnold, president; Herman L. Conter and L. Goodman, vice presidents; Sadie Atkinson, secretary; Bernard T. Lemster, cashier; Ida Kline and B. Becker, assistant

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cashiers. The directors are Harry L. Arnold, H. L. Conter, B. T. Lemster, L. Goodman, H. C. English, R. B. Bradford, and E. A. Wilson. Mr. Arnold, who has been president since the last reorganization, is exceptionally well fitted for the presidency of a large and growing financial institution such as the Gary Trust and Savings Bank. He has had years of preparation, being a former state bank commissioner of Indiana and a state insurance commissioner prior to his coming to Gary, and the bank has been signally successful under his management.

GLEN PARK STATE BANK — The Glen Park State Bank is one of the newer banking institutions in the City of Gary and renders service more particularly to the Glen Park section of Gary. It began business November 11, 1922, with T. J. Porter, M. D. Heiny, G. O. Verplank, W. J. Schrocder, J. M. Brown, and W. P. Patterson as directors. Mr. Heiny was president, and Theodore II. Dauer cashier. The deposits the first day were $18,000, and six months after organization the deposits were $78,596.50. On December 31, 1925, the deposits were $274,007.54, and on December 31, 1926, were $344,867.95. The bank has a capital of $25,000, and the surplus and undivided profits on December 31, 1926, were approximately $10,000 additional. The total resources of the bank were $394,304.97. Mr. Heiny and Mr. Dauer still retain their respective positions as president and cashier, and G. O. Verplank, C. W. Prott and T. M. Porter are vice presidents, and J. Palansky assistant cashier. The present directors are M. D. Heiny, G. O. Verplank, J. R. Lane, T. M. Porter, Charles W. Prott, W. J. Schroeder, Theodore H. Dauer, O. L. Wildermuth, and J. Palansky.

PEOPLE’S STATE BANK, GARY — The People’s State Bank of Gary, Indiana, was founded July 6, 1921, by Michael A. Kliott, Thomas J. Hurley, Edward H. Milgram, Samuel H. Milgram,. John B. Radigan, Jacob G. Hepp, and M. B. Mehilovich, Michael A. Kliott being the first president, Thomas J. Hurley and M. B. Mehilovich vice presidents, and Ray R. Hemingway cashier. The first directors were the above mentioned officials and Jacob G. Hepp, Samuel H. Milgram, John B. Radigan, and Edward H. Milgram. The present officers are the same as when organized with the exception of the cashier, Robert Prass now holding that position. The directors are the same with the exception of Mr. Hemingway, who severed his connection with the institution to become vice president and cashier of the Gary Labor Bank. The bank has made the most substantial progress since its organization. Its officials are leading business men who in a large measure enjoy the confidence of the citizens of Gary. On December 31, 1925, it had deposits of approximately $610,000, and total resources of $688,345.89. Its capital stock is $50,000, and its surplus and undivided profits $11,913.93.

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MID-CITY BANK — SECOND MID-CITY BANK — It will be noted that a number of the outstanding financiers of Gary are self-made men and in a number of instances were pioneers of Gary, and with only energy, business ability and foresight for capital. Louis H. Glueck is truly representative of this type. He came to Gary in 1907 as a realtor, subsequently taking a prominent part in the development of that portion of Gary south of the railroad track. He had already achieved great success in his realty operations when he entered the banking field. He organized the Mid-City Bank in July, 1920, serving as president since its organization. In January, 1924, he organized a companion financial institution known as the Second Mid-City Bank, of which he is also president. Notable as was his success in the development of real estate, his success as a banker has made him a prominent figure in the financial life of Gary. In six years he has made the Mid-City State Bank one of the million-dollar banking institutions, having total resources of approximately $1,100,000, and a capital and surplus of $140,000. The Second Mid-City State Bank has a capital of $25,000, and although only organized about two years, its surplus and undivided profits are approximately $10,000 and it has total resources of approximately $240,000. F. H. Huber is cashier of the Mid-City State Bank, and R. F. Huber cashier of the Second Mid-City Bank.

FIRST STATE BANK OF TOLLESTON, GARY — One of the first, if not the first, banking institutions within the present limits of Gary is the First State Bank of Tolleston, which was organized in 1906 by Gallus J. Bader and Fred J. Smith, prominent East Chicago bankers, the control of the institution later passing to new interests. Rendering service particularly to the Tolleston section of Gary, it has grown with the development of that division of the city and has become an institution of considerable size and of great value to the community it serves. It has a capital of $50,000, and surplus and undivided profits of approximately $25,000. with total resources of about $650,000. Chester J. Dunn is president, and Paul A. Borman cashier. The bank is in excellent financial condition and is a well managed, progressive institution which seems destined to be a financial factor of considerable importance, as Tolleston is one of the fastest growing sections in the city.

GARY LABOR BANK, GARY — The newest banking institution in the City of Gary is the Gary Labor Bank, which began business October 24, 1925, 85 per cent of its capital of $50,000 being owned by organized labor. Its growth is almost sensational, having deposits on December 31, 1926, fourteen months after it began business, of $480,444.98, and total resources of $577,430.08. In addition to its capital of $50,000, it had surplus and undivided profits of $11,345.59. James J. Nejdl, for many years state senator from the Gary district, is president of the institution; Ray R.

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Hemingway, vice president and cashier; C. E. Rolf, assistant cashier. The directors are F. H. Detrick, J. Gold, J. J. Nejdl, R. E. Riester, C. E. Rolf, F. Ruther, and R. R. Hemingway.

BUILDING AND LOAN ASSOCIATIONS

While the history of building and loan associations began about seventy years ago, there was a society in Philadelphia in 1831 which issued a certain number of shares for a specified period, and when they reached their par value, the association went out of existence. This association was followed by similar “terminating” societies in the large Eastern cities and in the South, and after the Civil war the movement spread to the Middle West, the general form shifting from terminating to serial, then to permanent, with details of organization varying in different states. The period of great growth was between 1880 and 1897. Pennsylvania has long been the leader in the building and loan association movement, and today has three times as many associations as any other state and much larger total assets. Ohio’s membership of 2,000,000 is the largest number in any state, but the number of organizations are only about one-third of Pennsylvania’s total. New Jersey is second in number of associations and third in total membership and assets. Massachusetts is fourth in assets, Illinois fifth, and New York sixth. In 1926 there were 12,800 local building and loan associations in the country, and a membership of 11,275,000 persons, and assets of $6,280,000,000. It has been carefully estimated that in 1925, 450,000 American homes were financed by building and loan associations, which lent a total of about $1,600,000,000 for such construction. On October 1, 1926, Indiana had 402 building and loan associations, with a total capitalization of $699,940,000, total stock in force $509,590,051, and total assets of $51,101,921. During the year ending October 1, 1926, the increase in capital stock was $98,605,000, in assets $29,491,383, and stock in force $92,915,851. There are 247,992 investing members and 129,291 borrowing members, or a total of 377,283, an increase the past year of 37,128. Indianapolis has the distinction of having the largest building and loan association in the world, the Railroadmen’s Building and Savings Association, with its present capitalization of $126,000,000, and assets of over $48,000,000, with 65,000 opened accounts. There are in the Lake and Calumet Region fifty-one building and loan associations in active operation, of which number Porter County has two, LaPorte County seven, and Lake County forty-two. The Porter County institutions are located at Chesterton and Valparaiso, and in LaPorte County, LaPorte has two associations, and Michigan City five. In Lake County, Gary has fourteen, Hammond ten, East Chicago seven, Indiana Harbor four, Whiting four, while Griffith, Highland and Crown

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Point have one each. It would be natural with the wonderful industrial growth of the Calumet Region that there would be a large number of building and loan associations in that section, Lake County having more than any other county in Indiana with the exception of Marion County. The total capitalization of Lake County associations is $47,700,000, stock in force $37,962,374, and assets of $17,411,611. LaPorte County associations have a capital of $5,450,000, stock in force $3,519,500, and assets of $1,559,566. Porter County’s two institutions have a capital of $5,100,000, and loan associations in Lake, LaPorte and Porter counties appears on opposite page.

Lack of space prevents a comprehensive story on all of the associations and the great aid they have been in the development of the Lake and Calumet District. Brief mention, however, is made of the most important of the associations and their officials.

MICHIGAN CITY — The Michigan City Loan and Building Association is an important financial factor in the city. It has been established for many years, having been organized in 1885, and is a well managed institution. The officers are E. F. Behan, president; Henry Schroeder, vice president; George B. Johnson, secretary and treasurer; and B. F. Veal, assistant secretary.

VALPARAISO — One of the most important building and loan associations in Northwestern Indiana is the Valparaiso Building, Loan Fund and Savings Association of Valparaiso. It has had a long and successful career, having been organized in 1887, and has been a potent factor in the development of the city. It ranks among the very best managed associations in the State of Indiana. The present officers are B. H. Kinne, president; A. Banister, vice president; C. W. Benton, treasurer, and Mark L. Dickover, secretary.

HAMMOND — The Mutual Savings and Loan Association of Hammond is one of the most important institutions in Lake County. It was organized in 1914 and has had a remarkable growth. The present officers are Leo Wolf, president; J. S. Blackmun, secretary; Albert Fischer, treasurer, and George H. Sherrer, attorney.

The Hammond Building and Loan Association is the oldest association in Lake County, having been organized in 1888. W. C. Belman, the well known Hammond banker, was elected president in a few months after the organization was founded and has continuously held the position. As would be expected it is a sound, well managed institution as its important officials are officers of the First Trust and Savings Bank, the largest banking institution in Northwestern Indiana. The officers are W. C. Belman, president; Joseph W. Weis, vice president; A. W. Fedder, secretary;

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Charles H. Wolter, assistant secretary; Peter W. Meyn, treasurer, and Jesse E. Wilson, attorney.

Another important association in Hammond is the Home Building, Loan and Savings Association, which was organized in 1896, and has had a very substantial growth in the past ten years. The officers are M. Rothchild, president; O. A. Krimball, vice president; J. W. Northland, attorney, and J. E. Wolf, secretary-treasurer.

Other growing institutions are the First Polish Building and Loan Association and the Calumet Building and Loan Association. Merritt D. Metz is president, Harry W. Margenau, vice president; John C. Dunning, secretary, and Glen S. Smith, treasurer of the Reliance Savings and Loan Association. The officers of the First Polish Building and Loan Association are Barney N. Surdyk, president; Joseph Kaczor, vice president; Walter Kaptur, secretary, and Leonard Tarnogrodzki, treasurer. The Calumet Building and Loan Association officers are A. E. Wilcox, president; Otto Knoerzer, vice president; Frank Hammond, treasurer, and Fern F. Palmer, secretary.

One of the newer associations in Hammond which is making rapid strides is the Peoples Building, Loan and Savings Association. A. J. Marko is president; William A. Williams, vice president; Herman A. Kellner, treasurer, and James K. Stinson, attorney. This institution enjoys close business relations with the Peoples Cooperative Bank.

EAST CHICAGO AND INDIANA HARBOR — This section of the Calumet Region has some fast growing building, loan and savings associations, among them being the Twin City Savings and Loan Association, organized in 1914, whose officers are Alexander G. Schlieker, president; William C. Huber and Henry Pitzele, vice presidents; J. Kalman Reppa, secretary and Charles Nasson, treasurer.

The Peoples Building and Loan Association is a well established institution, having been organized in 1910. Its present officers are John Bochnowski, president; Leo E. Herod, vice president; A. P. Lesmerk, secretary, and Joseph Wadas, treasurer.

The American Building, Loan and Savings Association was organized in 1920. It enjoys close business relations with the American State Bank and has excellent management. The president is H. K. Groves, vice presidents, Louis K. Tsaros and Leo Bonaventura; secretary, Harry C. Miller; treasurer, E. L. Reid.

The State Building and Loan Association has been organized since 1914. The present officers are Walter J. Riley, president; J. S. Walkowiak, vice president and treasurer, and George March, secretary. It is in excellent condition and under the management of the Riley group of financiers it seems destined for a great future.

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GARY — The steel city has some fast growing and excellently managed building and loan associations. Among the important ones are the following :

The Federal Savings and Loan Association, organized in 1919. The present officers are Walter Lewandowsky, president; Dominico Perrotta, August J. Pelka and Peter Pisarski, vice presidents; Albert DeFries, secretary-treasurer, and T. H. Grabowski, attorney.

The Albert Wachowski Savings and Loan Association was organized in 1911. The present officers are John Jndozejewski, president, and Z. S. Albrecht, secretary.

The Mutual Building and Loan Association was organized in 1916. The president is C. O. Holmes, William Feder, vice president; Ralph F. Thoades, secretary; G. P. Smith, treasurer, and Louis D. Kuss, attorney. This association is strongly identified with the South Side Trust and Savings Company, a leading banking institution in Gary.

The Mid-City Building, Savings and Loan Association was organized in 1918, and enjoys the most excellent management and is a very fast growing institution. The officers are Louis H. Glueck, president; John R. Lane, J. Ralph Snyder and Richard Glueck, vice presidents, and Anna Grabiel, secretary-treasurer. The members of the board of directors in addition to the above officials are Robert M. Davis, F. Richard Schaff, C. H. Maloney, Frank Maillis, Sam H. Singer and Leslie R. Bain.

NAVIGATION OF
HISTORY OF THE LAKE AND CALUMET REGION OF INDIANA

FOREWARD
AN APPRECIATION
CONTENTS
CHAPTER I - Geology and Topography
CHAPTER II - The Mound Builders
CHAPTER III - Days of Indian Occupancy
CHAPTER IV - Early Explorations 
CHAPTER V - Border Warfare
CHAPTER VI - Lake and Calumet Region Becomes Part of United States
CHAPTER VII - After Wayne and Greenville - Tecumseh and the Prophet
CHAPTER VIII - Indian Peace
CHAPTER IX - Early Settlements and Pioneers - County Organization
CHAPTER X - Townships - Towns - Villages
CHAPTER XI - Pioneer Life
CHAPTER XII - The Lake Michigan Marshes
CHAPTER XIII - Agriculture and Livestock
CHAPTER XIV - Military Annals
CHAPTER XV - The Lake and Calumet Region in the World War
CHAPTER XVI - The Newspapers
CHAPTER XVII - The Medical Profession
CHAPTER XVIII - The Bench and Bar in the Lake and Calumet Region
CHAPTER XIX - Churches
CHAPTER XX - Schools
CHAPTER XXI - Libraries
CHAPTER XXII - Social Life
CHAPTER XXIII - The Dunes of Northwestern Indiana
CHAPTER XXIV - Banks and Banking
CHAPTER XXV - Transportation and Waterways
CHAPTER XXVI - Cities
CHAPTER XXVII - Industrial Development
CHAPTER XXVIII - Chambers of Commerce

Transcribed by Steven R. Shook, December 2022

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