Marion National Bank, Marion, OH (Charter 6308)

Needed: a contemporary postcard or photo of the bank.

Marion National Bank, Marion, OH (Chartered 1902 - Receivership 1931)

Town History

Marion is a city in and the county seat of Marion County, Ohio. The municipality is located in north-central Ohio, approximately 50 miles north of Columbus.

The population was 36,837 at the 2010 census, and is estimated to be 35,883 in 2019. It is the largest city in Marion County and is also part of the larger Columbus–Marion–Zanesville, OH Combined Statistical Area, which has 2,481,525 people according to the US Census 2017 estimate. President Warren G. Harding, a former owner of the Marion Star, was a resident of Marion for much of his adult life and is buried at Harding Tomb.

Marion was laid out in 1822, and is named in honor of General Francis Marion. It was incorporated as a village by the Legislature of Ohio in its 1829-1830 session. The city and its development were closely related to industrialist Edward Huber and his extensive business interests. The Huber Revolving Hay Rake revolutionized farming and the basic design is still in use today. In 1875 the Huber Manufacturing Company was formed and was in the business of manufacturing and selling agricultural implements and machinery.

Marion had four National Banks chartered during the Bank Note Era, and all four of those banks issued National Bank Notes. Marion also had one Obsolete Bank that issued Obsolete Bank Notes during the Obsolete Bank Note Era (1782-1866).

Bank History

Organized June 12, 1902
Chartered June 17, 1902
Opened for business July 1, 1902
Succeeded Farmers and Mechanics Banking Co.
Receivership December 24, 1931

The Marion National Bank opened for business on July 1, 1902. It succeeded the business of The Farmers & Mechanics Bank. The Marion National Bank officials were the same as those of the Farmers and Mechanics Bank, namely E. Huber president, T.J. McMurray, vice president; H.B. Hane, vice president and cashier. The directors were Edward Huber, George W. King, T.J. McMurray, Henry Strelitz, D.H. Harvey, Henry B. Hane, and J.G. Leffler. The capital was $200,000 and there was a cash surplus of $40,000.

Mr. Hane told the Marion Star that the change to a national charter had been contemplated for some time and had the enthusiastic support of the directors and stockholders. The liberal changes in national bank laws made the change inviting. The old name was considered too long and seemed to be a class title, so Marion National Bank was chosen as being broad enough to cover all Marion and Marion county interests. The privilege of issuing bank notes, guaranteed by government bonds, would further advertise the city through their circulation.

On July 25, 1902, The Marion National Bank received its new currency: $16,000 in fives and $34,000 in tens and twenties. It was noted that the bills were of the latest issue and great improvement on the old brown-backed national bank bills, the fronts being clearer and the backs a beautiful green. The number range was 1 to 800 for fives with the head of Harrison and the tens had a range from 1 to 680 with the head of McKinley. Cashier Hane discovered that the medallion on the backs of the fives was the same as that which graced the backs of the ones issued by the First National Bank of Marion back in 1865 of which his father, J.J. Hane was cashier. Mr. Hane showed a one of the First National Bank and a one, a three, and a five issued by the Bank of Marion which were also signed by his father as cashier.

In January 1903, the stockholders re-elected the same board of directors except S.E. Barlow replaced D.H. Harvey. The officers remained the same except H.W. Culbertson was made an assistant cashier. In May, the directors tendered the assistant cashier position to John E. Waddell of the firm of Waddell & Knapp and he accepted. This was necessary due to the illness of Harry W. Culbertson who suffered a stroke just a few weeks earlier.

In January 1904, stockholders elected the same board of directors except Oswald Wollenweber replaced S.E. Barlow.

In January 1930, officers and directors of the bank were H.B. Hane, president; J.G. Leffler, vice president; F.A. Humber vice president; E.J. Lee, vice president; H.W. Hane, cashier; H.J. Merchant and D.F. Dominy, assistant cashiers; H.B. Hane, B.R. Prichard, W.N. Harder, F.A. Huber, J.G. Leffler, W.L. Warner, John J. Hane, and C.F. LaMarche, directors. At the close of business on March 27, 1930, the bank reported as resources Loans and discounts $1,372,264.33, U.S. Government securities $207,500, banking house $170,000 etc., against liabilities of $200,000 capital stock, Surplus $100,000, Circulating notes $200,000 and demand deposits of 1,055,506.77, balancing at $2,263,421.16.

In August 1930, The McMurry Sulky Co. property valued at $36,000 became the bank's property. The company was one of three racing sulky manufacturers in the U.S. and was in the hands of the receiver.

On Nov. 7, 1930, Miss Hazel Louise Fles, 23, Marion, who pleaded guilty in federal court in Toledo to misappropriating $3,600 from the Marion National Bank while she was an employee, was sentenced to a year and a day in the women's industrial reformatory at Alderson, West Virginia. Federal Judge George P. Hahn said he would recommend a parole.

The bank failed to open on Monday, December 14, 1931. Following the discovery of what were suspected to be defalcations on the part of H.W. "Bud" Hane, cashier, the Marion National Bank at 125 east Center Street was taken over by the comptroller of the currency for liquidation at the request of the board of directors. H.B. Hane, president of the bank and father of the cashier, said his son resigned as an officer of the bank and left the city the previous week and his whereabouts were unknown. The cashier was under a surety bond of $25,000. H.B. Dresler of Mansfield, national bank examiner, took charge of the bank on Tuesday, December 15. He said at the end of the audit a receiver would be appointed and liquidation would be carried out as speedily as possible and in an effort to protect the interests of all depositors. Tue., Dec. 15, 1931.

On February 15, 1932, former Ohio State University track star Henry W. Hane was arrested with 54 cents in his possession and was charged with embezzling $90,000. By September 1932, C.A. Jones, Marion National Bank receiver, announced a second distribution of 15% to depositors following the first dividend back in May of 25%.

A divorce was granted to Mrs. Christine Hane from Henry W. "Bud" Hane in a Cincinnati court in January 1933. She and Hane were married in Columbus in 1924. Hane was sentenced to prison in federal court at Toledo when he pleaded guilty to embezzling funds from the Marion National Bank to meet stock market losses. He was given a seven-year sentence in October, 1932.

Official Bank Title(s)

1: The Marion National Bank, Marion, OH

Bank Note Types Issued

1902 Red Seal $5 bank note with serial number 1 and pen signatures of H.W. Culbertson, Assistant Cashier and H.B. Hane, Vice President. Courtesy of Heritage Auctions, www.ha.com

1902 Red Seal $10 bank note with serial number 1 and pen signatures of H.B. Hane, Cashier and E. Huber, President. Courtesy of Heritage Auctions, www.ha.com

1902 Red Seal $5 bank note with pen signatures of E.J. Lee, Assistant Cashier and J.E. Waddell, President. Courtesy of Heritage Auctions, www.ha.com

1929 Type 1 $5 bank note with printed signatures of H.W. Hane, Cashier and H.B. Hane, President. This note is an example of a repaired right serial number that was hand-paged with its number after it had received production numbering as observed for the left number. Courtesy of Cody R.

A total of $3,254,070 in National Bank Notes was issued by this bank between 1902 and 1931. This consisted of a total of 404,802 notes (356,880 large size and 47,922 small size notes).

This bank issued the following Types and Denominations of bank notes:

Series/Type	Sheet/Denoms	Serial#s	Sheet Comments
1902 Red Seal	4x5	1 - 6000
1902 Red Seal	3x10-20	1 - 4800
1902 Date Back	4x5	1 - 12750
1902 Date Back	3x10-20	1 - 9500
1902 Plain Back	4x5	12751 - 47011
1902 Plain Back	3x10-20	9501 - 31409
1929 Type 1	6x5	1 - 4700
1929 Type 1	6x10	1 - 2534
1929 Type 1	6x20	1 - 753

Bank Presidents and Cashiers

Bank Presidents and Cashiers during the National Bank Note Era (1902 - 1931):

Presidents:

Cashiers:

Other Bank Note Signers

H.B. Hane signed notes as Vice President.
Harry W. Culbertson, Assistant Cashier 1902-1903
E.J. Lee signed notes as Assistant Cashier.

Wiki Links

Sources

Marion, OH, on Wikipedia
Don C. Kelly, National Bank Notes, A Guide with Prices. 6th Edition (Oxford, OH: The Paper Money Institute, 2008).
Dean Oakes and John Hickman, Standard Catalog of National Bank Notes. 2nd Edition (Iola, WI: Krause Publications, 1990).
Banks & Bankers Historical Database (1782-1935), https://spmc.org/bank-note-history-project
The Marion Star, Marion, OH, Fri., June 13, 1902.
The Marion Star, Marion, OH, Tue., July 1, 1902.
The Marion Star, Marion, OH, Fri., July 25, 1902.
The Marion Star, Marion, OH, Wed., Jan. 14, 1903.
The Marion Star, Marion, OH, Mon., May 11, 1903.
The Marion Star, Marion, OH, Wed., Jan. 13, 1904.
The Marion Star, Marion, OH, Wed., Jan. 15, 1930.
The Marion Star, Marion, OH, Fri., Apr. 4, 1930.
The Evening Review, East Liverpool, OH, Tue., Aug. 19, 1930.
The Evening Independent, Massillon, OH, Fri., Nov. 7, 1930.
The Cincinnati Post, Cincinnati, OH, Tue., Feb. 16, 1932.
The Evening Independent, Massillon, OH, Fri., Sep. 16, 1932.
The Sandusky Register, Sandusky, OH, Sun., Apr. 10, 1932.
The Marion Star, Marion, OH, Wed., Jan. 4, 1933.