Ligonier National Bank, Ligonier, PA (Charter 13432)

The National Bank of Ligonier Building ca1910s. The building was later used by the Ligonier National Bank and The First National Bank in Ligonier. Courtesy Adam Stroup

Ligonier National Bank, Ligonier, PA (Chartered 1930 - Liquidated 1933)

Town History

The Ligonier National Bank building on Market Street/PA-711. It was also home to the National Bank of Ligonier prior to the 1930 consolidation of banking interests. Courtesy of Google Maps ca2021

Ligonier is a borough in Westmoreland County, Pennsylvania. The population was 1,573 at the 2010 census. Ligonier was settled in the 1760s. The borough is well known for nearby Idlewild Park (est. 1878), one of the oldest amusement parks in the country, and nearby Seven Springs Mountain Resort.

In 1758, when British forces launched a major campaign to remove French forces from the forks of the Ohio, now Pittsburgh, this spot on Loyalhanna Creek was the site of their westernmost camp before reaching the Ohio. The British maintained a large army, a virtual moving city of 6,000 people, that temporarily made Ligonier the second-most populated spot in Pennsylvania, second only to Philadelphia. Fort Ligonier was named after John Ligonier a British noble of French origin who held the rank of Field Marshal in the British Army. Eventually, the name of the settlement that grew up around the fort was shortened to Ligonier.

In 1817, the Philadelphia-Pittsburgh Turnpike was completed, a gravel road that was the precursor to today's US Route 30. Fort Ligonier was a logical place for travelers to break their journey, and with such commercial opportunities in mind, a local resident named John Ramsay (sometimes spelled Ramsey) laid out the street plan, including the space now known as the Diamond. He initially called the town Ramseytown, later changed to Wellington (after the Duke of Wellington), and finally the name was changed to Ligonier. On April 10, 1834, Ligonier was incorporated as a borough.

Ligonier had four National Banks chartered during the Bank Note Era, and all four of those banks issued National Bank Notes.

Bank History

Organized Feb 20, 1930
Chartered Feb 28, 1930
Succeeded 6281,6832 and assumed circulation of both
Liquidated Feb 24, 1933
Succeeded by 13658 (First National Bank, Ligonier, PA)
Circulation assumed by 13658 (First National Bank, Ligonier, PA)

The Ligonier National Bank was organized early in 1930, taking over the assets of the National Bank of Ligonier and the First National Bank of Ligonier. George C. Frank was president of the National Bank of Ligonier when the reorganization took place, retaining the same position in the new institution.

On November 16, 1932, George C. Frank former president of the Ligonier National Bank, was indicted on 19 counts by a Grand Jury in United States District Court at Pittsburgh. He was charged with embezzlement of $118,000 in Liberty bonds and misapplication of funds amounting to $35,100. According to the indictments, the alleged embezzlements began May 8, 1930 with $20,000 of the bank's bonds, ending on April 1, 1932 with $5,000 more missing. A reported robbery of the bank of $50,000 in negotiable bonds, on April 12, 1932 during a meeting of the board resulted in the investigation that discovered the alleged shortage. Frank was president of the board then and was succeeded by C.S. Marvel early in June. Officials of the Mellbank Corporation, owner of the Ligonier National Bank, said the loss would have been much higher if the bank's policy had not been to keep most of its securities in the Mellon National Bank of Pittsburgh, Pennsylvania.

In January 1933, the following officers and directors were elected: C.S. Marvel, president; C.G. Gonder, first vice president and cashier; R.B. Weaver, second vice president; T.O. Seaton, assistant cashier; and directors were: L.R. Schmertz, Dr. J.W. Barkley, Jacob E. Keffer, H.S. Lohr, R.B. Weaver, Lemon Byers, James M. Davis, C.G. Gonder, H.E. Marker, H.J. Phillippi, L.B. Weller, L.W. Darr, and C.S. Marvel.

On January 13, 1933, The Comptroller of the Currency chartered the First National Bank in Ligonier, Ligonier, Pennsylvania, with capital of $100,000 to succeed the Ligonier National Bank. In view of the situation, the directors and officers of the Ligonier National Bank and the Mellbank Corporation organized the new institution capitalized at $100,000 and an additional $100,000 in surplus. With such assets the confidence in the bank was thought to be assured. The Mellon family have been interested in this community with strong personal ties with the people of the Ligonier Valley for a long time. The officers were R.B. Weaver, chairman of the board; C.S. Marvel president; C.G. Gonder, vice president and cashier; T.O. Seaton, assistant cashier.

G.C. Frank went on trial March 1, 1933 in Pittsburgh Federal Court, before Judge Nelson McVicar. James L. Marsh, assistant U.S. Attorney was in charge of the prosecution and attorneys Howard Whitehead and Charles C. Crowell were in charge of the defense. The case went to the jury on March 15, 1933. The jury returned guilty verdicts on nine counts of embezzlement, the amount involved was $65,000 in bonds and securities. The defense asked for a new trial which was subsequently turned down by Judge McVicar. Frank faced a maximum of five years on each count and a heavy fine; he was free on bond as a date for sentence wasn't set.

On April 21, 1933, George Clifford Frank was sentenced by Judge McVicar to serve three years in a federal penitentiary. After sentencing he was placed in custody of the United States Marshal. On October 2, 1933, Frank filed a petition for bankruptcy in Federal Court, listing liabilities totaling $1,147,764.03 and assets of $228,312.12.

Official Bank Title(s)

1: Ligonier National Bank, Ligonier, PA

Bank Note Types Issued

1929 Type 1 $20 bank note with printed signatures of R.S. Keffer, Cashier and G.C. Frank, President. Courtesy of Heritage Auctions, www.ha.com

A total of $264,000 in National Bank Notes was issued by this bank between 1930 and 1933. This consisted of a total of 32,820 notes (No large size and 32,820 small size notes).

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

Series/Type	Sheet/Denoms	Serial#s	Sheet Comments
1929 Type 1	6x5	1 - 3260
1929 Type 1	6x10	1 - 1650
1929 Type 1	6x20	1 - 560

Bank Presidents and Cashiers

Bank Presidents and Cashiers during the National Bank Note Era (1930 - 1933):

Presidents:

Cashiers:

Other Bank Note Signers

There are currently no known Vice President or Assistant Cashier bank note signers for this bank.

Wiki Links

Sources

Ligonier, PA, Wikipedia, https://en.wikipedia.org/wiki/Ligonier,_Pennsylvania
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://bbdata.banknotehistory.com
The Pittsburgh Press, Pittsburgh, Pennsylvania, Sat., 27 Aug 1932.
The Ligonier Echo, Ligonier, PA, Wed., Nov. 23, 1932.
The Ligonier Echo, Ligonier, PA, Wed., Jan. 11, 1933.
The Philadelphia Inquirer, Philadelphia, PA, Sat., Jan. 14, 1933.
Latrobe Bulletin, Latrobe, PA, Mon., Jan. 16, 1933.
Latrobe Bulletin, Latrobe, PA, Thu., Mar. 2, 1933.
Pittsburgh Sun-Telegraph, Pittsburgh, PA, Wed., Mar. 15, 1933.
The Clarion Democrat, Clarion, PA, Thu., Mar. 23, 1933.
The Pittsburgh Press, Pittsburgh, PA, Mon. Apr. 17, 1933.
The Evening Standard, Uniontown, PA, Fri., Apr. 21, 1933.