BANKING IN NORTH MANCHESTER
By Lindy Lybarger, April 12, 1993 Presentation to North
Manchester Historical Society
The Indiana Lawrence Bank &
Trust Company of North Manchester came about in 1929 as the
consolidation of two banks in existence in the town prior to
that time – The Lawrence National Bank and The Indiana State
What became The Lawrence National Bank
was started as The Eel River Valley Bank by George Lawrence
in 1882. Mr. Lawrence was the merchant prince of North
Manchester, and the bank occupied rooms adjoining his store.
March 30, 1886, it was chartered as The Lawrence National
Bank with a capital of $50,000, later increased to $100,000.
Mr. Lawrence was the first president; Augustus C. Mills,
vice president; James H. Mills, cashier. Directors were
George W. Lawrence, August C. Mills, Elizabeth H. Mills,
Jennie C. Lawrence, and James H. Mills. August C. Mills
became president in 1894, John M. Curtner in 1896, Carey E.
Cowgill in 1897, John M. Curtner in 1900, John M. Domer in
1922, J.H. Miller in 1929. Vice Presidents at various
periods were John M. Curtner, John W. Domer, Charles S. Haas
and J.H. Miller. James H. Mills resigned as cashier, his
place being taken by Dayton C. Harter in 1897, followed in
turn by John H. Mills in 1889, Clement L. Arthur in 1904,
Reuben C. Hollinger in 1906, George W. Shively in 1912, J.W.
Dewey with J.H. Miller in 1919, J.W. Dewey in 1929. Dewey
resigned and was followed by Harry Brand in April of 1929.
Mildred Heeter entered the Lawrence Bank in 1919, and in
1925 became assistant cashier, which position she held until
the consolidation, retaining the title of assistant cashier
in the new institution.
The second bank was the Indiana State
Bank organized in 1901 with a capital stock of $25,000. The
organization was formed with Dr. W.H. Shaffer as president;
S.S. Ulrey, vice president; J.C. Gochenour, cashier; Ed
Rudig, assistant cashier. Directors were S.S. Ulrey, Daniel
Urschel, J.C. Gochenour, R.T. Adams, D. W.H. Shaffer. At the
close of the first year, Mr. Gochenour resigned as cashier,
his place being taken by A.I. Urschel, who served in that
capacity until 1946 when he was replaced by Mildred Heeter,
and became vice president. A.A. Ulrey became president on
the resignation of Dr. W.H. Shaffer in 1904 and served until
his death in 1924, when Calvin Ulrey became president. He
was followed by L.D. Ikenberry who gave place to A.I.
Urschel. Mr. Ikenberry became Chairman of the Board. This
bank was first capitalized at $25,000, $12,500 paid in,
later increased to $50,000, and in 1922 to $100,000.
In 1913 a third bank, the Union Trust
Company, was organized by Marion Adams, George Garber, John
W. Domer, John Curtner, Aaron A. Ulrey, Adam I. Urschel,
Donald C. Ginther, and Lewis P. Urschel, to handle trust
funds and other business that did not fit well into either
of the other banks. Consequently, between 1913 and 1929
there were three different banks in North Manchester.
Due to economic conditions in 1929, it
seemed advisable to consolidate, and The Lawrence Bank and
The Indiana State Bank became the present Indiana Lawrence
Bank & Trust Company. Personnel from each bank joined the
consolidation. Signers of the Articles of Incorporation were
Robert S. Martin, Adam I. Urschel, George D. Balsbaugh,
Alvin L. Ulrey, Calvin Ulrey, Lewis P. Urschel, Joe H.
Miller, L.D. Eikenberry, Harmon Naber, and John W. Dewey.
The new bank opened in the former Indiana State Bank
building on the south side of Main Street September 3, 1929,
with $70,000 deposited the first day. Capital stock was set
at $125,000 to be divided into 1,250 shares of $100 par
value. Officers of the new bank were Calvin Ulrey,
president; Alvin L. Ulrey, vice president; Joe H. Miller,
vice president; and A.I. Urschel, cashier.
Because of changing laws and
conditions, the Union Trust no longer had reason for being,
so in 1932 it merged with the Indiana Lawrence Bank. Most of
the founders of the Union Trust were also directors of one
or the other of the two former banks, so the merger was
The original officers in charge at
consolidation in 1929 remained essentially the same until
1935 when L.D. Ikenberry replaced Calvin Ulrey as president.
Clayton Ulrey became a director in 1937. Ikenberry continued
as president until 1946, when he became Chairman of the
Board, and A.I. Urschel moved into the presidency. That same
year Robert M. Stauffer became a director, and Arden Strauss
joined the Board in 1948. Harold Urschel and Robert Hoover
were added to the Board in 1956, and Lewis P. Urschel became
Chairman of the Board. Dale Strickler joined ILB circa 1952;
Lindy in 1956; Jerry in 1958.
January 1, 1959, Dale Strickler assumed
the presidency of the bank. Robert Stauffer became Chairman
of the Board in 1960. 1960 also saw a recapitalization in
which each share of $100 par value stock was exchanged for
10 shares of $10 par value stock, making 12,500 shares of
the new stock outstanding. In 1961 a 10% stock dividend was
approved, which increased the shares outstanding from 12,500
Throughout most of the bank’s history,
it had been essentially a two-family bank ownership – the
Urshel’s and the Ulrey’s. 1962 marked the first offer of new
stock to the community. The same year saw the decision to
guild a new bank on the southwest corner of Market and
Second Streets, where it is located today. Richard G. Frantz
joined the Board in 1963, and the move was made to the new
bank building on November 11 of that year.
Again, in 1965 a one-for-two stock
dividend was declared, bringing shares outstanding to
30,000. In 1966 David Yeatter was elected a director. There
was another stock split of one-for-three, bringing the
shares outstanding to 40,000. Also, 2,000 shares of new
stock were created for the newly established stock-option
Upon the retirement of Dale Strickler,
Robert Hoover became president of the bank in 1969. Orville
Chamberlain joined the Board in 1970. Another stock split of
one-for-four brought the total shares outstanding to 52,500
in 1971. 2,000 new shares for stock options brought the
figure to 54,500 in 1972. 1972 also was the year Dale
Strickler retired from the Board, and Stephen Heckman, Lindy
Lybarger, and Jerry Moore were elected. Arden Strauss
retired from active to advisory capacity service on the
Richard G. Frantz became Chairman of
the Board in 1974, R.M. Stauffer became honorary Chairman,
and Dick Shoemaker was elected to the Board. This was also
the year that a one-for-one stock dividend was approved,
making the authorized shares 109,000. Plans for an extensive
addition to the bank were drawn up, and work began in 1974.
Open house was observed October 1, 1975.
1976 saw David Grandstaff and Raymond
Kauffman appointed to the Board. Also, a branch bank was
opened May 12, 1976, at State Road 114 West and Heeter
Street in North Manchester to better serve our customers.
Eldon E. Fahs was named to the Board in
1979, upon retirement of David Yeatter. Shareholders
approved a one-for-ten stock dividend, increasing the shares
of stock to 122,100.
Paul Snyder retired from active to
advisory capacity service on the Board in 1980, and Dannie
Wible was named to the Board.
Loan officer Phil Ruble resigned
February 18, 1978, to take a position in California. A Third
Stock Option Plan was approved February 13 which would
increase capital shares by $20,000 for authorized issuance
of 2,000 shares of bank stock at a par value of $10 to be
effective April 1, 1978. This would increase the Bank’s
authorized shares from 109,000 to 111,000. Donald M. Strauss
was named to the Board of Directors February 15, 1978.
Robert Hoover retired as president of the Bank, and Lindy
Lybarger was named president July 17, 1978. Michael
McFarland was employed June 5, 1978, as installment loan
officer; Larry Brubaker joined the staff November 6 as
assistant loan officer. LeeAnna Hoover resigned as loan
officer, Lee Davis resigned as senior loan officer to take a
position with a local real estate firm, and David B. Yeatter
resigned from the Board of Directors effective December 31.
Deposits at year-end 1978 totaled $45,976,920. D. Arden
Strauss, honorary director, died November 14, 1978.
In January, 1979, Richard K. Wheeler
joined the staff as the new trust officer. Eldon E. Fahs was
named to the Board of Directors. New officer titles for the
year were Donald Koeneman, vice president and senior loan
officer; Michael McFarland, farm loan officer; and Larry
Brubaker, assistant loan officer. Jerry Ashton joined the
staff March 5, 1979, as installment loan officer. L. Harold
Urschel, director for over 23 years, died June 12, 1979. He
had been elected to the Board in January, 1956. Shareholders
approved a 1-for-10 stock dividend with record date of March
23, 1979, increasing the shares of stock to 122,100. A
stockholder base of 400 people owned the 122,100 shares of
Indiana Lawrence Bank stock. Hubbard & Associates were hired
by the Bank to make a market research survey. Deposits at
year-end totaled $47,724,311. Marjorie Stands retired from
the Bank in 1979.
1980 officer title changes were as
follows: Michael McFarland, assistant vice president and
farm loan officer; Jerry Ashton, installment loan officer;
Francis Badertscher, assistant operations officer; and Joyce
Clark, loan operations officer. Dan Wible was named to the
Board of Directors after the retirement of Paul Snyder as a
member of the Board. Branch hours were extended to 9:00
p.m., making the hours Monday through Friday from 9 to 9,
and Saturday from 9 to 1. Senior loan officer Donald
Koeneman terminated employment on December 31, 1980.
Deposits at year-end 1980 totaled $51,922,833.
Hilton Swain was hired as vice
president and senior loan officer in January, 1981. Officer
promotions for 1981: Larry Brubaker, loan officer; Keith
Ring, loan officer; and Francis Badertscher, operations
officer. In May, 1981, the Board decided to proceed toward
forming a one-bank holding company. ILB Financial Corp. was
approved as the OBHC name. Also, construction began on the
branch expansion to a full-service branch. Deposits at
year-end totaled $56,204,347.
Officer promotions for 1982 were Beulah
Wolfe as assistant cashier and branch manager, and Janet
(Susie) Snep as assistant auditor. The one-bank holding
company was approved by the stockholders at the annual
meeting held April 21, 1982, and was approved by the Federal
Reserve, becoming official on June 22, 1982. Application was
filed with the IDFI for mini-branches at Estelle Peabody
Memorial Home and Timbercrest Retirement Home.
ILB celebrated its 100th
anniversary the week of May 10 through May 14 (1982), with
open house Friday, May 14, from 5 to 8 p.m., with
refreshments served in the community room to the public.
Redecorating of the main lobby and lobby offices was done to
prepare for the celebration. The actual anniversary date was
March 15, with the original bank opening March 15, 1882. The
full-service branch on 114 West was completed June 1, 1982.
Wednesday, October 20, 1982, marked the opening of the
branch at Timbercrest Retirement Home, with Joyce Clark as
manager. Hours were from 9-11 a.m. five days a week.
Deposits at year-end 1982 totaled $62,239,000. Dividend paid
in 1982 was 75 cents in June and 80 cents in December,
totaling $1.55 for the year.
The ILB branch at Peabody Retirement
Community opened with Joyce Clark as manager on January 12,
1983, with hours from 1-3 p.m. five days per week.
August 12, 1983, Indiana Lawrence Bank
and State Exchange Bank of Roann agreed in principle on a
plan to combine their two banks. Application was made to the
DFI and FDIC for a merger of the two banks. Upon mutual
agreement by both parties, the plans to merge were
discontinued in January, 1984. Dividends paid in 1983 were
80 cents in June and 85 cents in December, totaling $1.65
for the year. Officer title changes for 1983 were: Grover
Archer, senior vice president and cashier; Paul House,
senior vice president and controller; Hilton Swain, senior
vice president and senior loan officer; Mike McFarland, vice
president and farm loan officer; Charles Thompson, vice
president and auditor; Richard Wheeler, vice president and
trust officer; Joy Amiss, assistant vice president and
operations officer; Jerry Ashton, assistant vice president
and mortgage loan officer; Isabelle Carey, assistant vice
president and customer services officer; Keith Ring,
assistant vice president and installment loan officer;
Vivian Weller, assistant vice president and savings officer;
Larry Brubaker, credit review officer; Barbara Davis,
At the annual meeting on April 17,
1984, the directors and officers were reappointed to service
for 1984. In April, 1984, Richard Wheeler turned in his
resignation as trust officer, and Robert Cheatham was hired
as assistant vice president and trust officer, beginning
employment June 2, 1984. In July Fran Brainard was named
marketing and advertising officer. Charles Thompson resigned
in September, and Janet (Susie) Snep was named auditor.
Deposits at year-end 1984 totaled $73,592,770, with assets
at $81,391,429. Dividends paid during 1984 were 85 cents in
June and 90 cents in December, totaling $1.75. A substantial
increase in the provision for loan losses resulted in a net
loss of $503,343 in 1984 primarily due to the uncertainty in
the agricultural sector. At the end of the 1984 Francis
Badertscher, assistant operations officer, retired, as did
Vivian Weller, assistant vice president and savings officer.
For 1985, Pat Wake was named head
teller, and Robert Cheatham was named vice president and
trust officer. Hilton Swain was terminated as senior vice
president and senior loan officer. In January, Lindy
Lybarger announced he was stepping down as president when a
replacement could be found, but that he would remain on the
Board and as an officer of the bank.
In June, 1985, Terry R. Carpenter was
named new president of Indiana Lawrence Bank and ILB
Financial Corp. He began officially June 17, 1985. Lindy
Lybarger was given the title of senior vice president and
assistant trust officer. Lindy remained on the Board of
Directors, and Terry Carpenter was appointed to the Board.
Deposits at year-end 1985 totaled
$75,981,842, with assets of $87,005,065 and loans of
$46,034,474. Dividends paid during 1985 amounted to $1.80,
with 90 cents paid in June and December. Louise Williams
retired as employee benefits officer December 31, 1985.
1986 saw the addition of Brian Jackson
to the Loan Department as assistant vice president and loan
officer, working in farm and consumer loans. Keith Ring and
Larry Brubaker resigned from the bank in April, and Tom
VanBuskirk and Charles Green were hired, Tom as credit
review officer, and Charles as a management trainee. On May
5 Michael Parker began employment to replace Keith Ring as
assistant vice president and consumer loan officer. The
annual ILB financial Corp. shareholders meeting was held
April 16, 1986, in the ILB Community Room at 5:30 p.m., with
approximately 45 in attendance. Richard G. Frantz announced
his resignation as Chairman of the Board at the meeting, and
Donald M. Strauss was elected new chairman of the Board at a
special meeting of the Board following the shareholders
meeting to serve as Chairman of both ILB and ILB Financial
Construction began in May, 1986, on
remodeling to move the Bookkeeping and auditing Departments
to the lower level of the building. In May Grover Archer and
Mike McFarland resigned from the Bank. Robert Cheatham
announced his resignation as vice president and trust
officer. Joy Amiss was promoted to vice president and
operations officer to assume some of the duties vacated by
Grover Archer. Due to the large loan loss reserves, it was
voted by the Board at the May meeting to not pay a June
dividend for 1986. On June 2 Eric Smith joined the staff of
the Bank as senior vice president and chief lending officer.
Shortly after being nominated as the
new Chairman of the Board at the April, 1986, organizational
meeting Donald Strauss suffered a heart attack. Due to his
health problems he asked to be replaced; and at the June 9,
1986, regular meeting of the Board of Directors David
Grandstaff was appointed the new Chairman of the Board of
both Indiana Lawrence Bank and ILB Financial Corp. In June,
1986, Annette Beck was named administrative assistant in the
Loan Department. Bonnie Fear was hired as ag loan specialist
At the September, 1986, Board meeting
Willard Anderson, who joined the Bank in August, was named
assistant vice president and trust officer. Brian Jackson
was promoted to vice president and agricultural loan
officer, and Annette Beck was named consumer loan officer.
Lindy Lybarger retired from Indiana Lawrence Bank and
resigned from the Boards effective October 14, 1986, after
30 years with ILB. Thomas Frantz joined the Bank November
22, 1986, as senior vice president and cashier. At the
December 15, 1986, Board meeting Bonnie Fear was named
agricultural loan officer.
Deposits at year-end 1986 totaled
$78,271,121, with assets of $87,038,643 and loans of
$37,994,221. The Corporation had a net loss for the year of
$1,515,137 due to loan losses.
Effective February 21, 1987, the Bank
put into effect new hours, with extended hours each day,
opening Thursday afternoon, and closing the main office on
Saturday. At the Annual Shareholders meeting in April an
Amendment to the Articles of Incorporation was approved
increasing the Company’s authorized common stock from
200,000 to 300,000 shares. At the organizational meeting of
the Bank on April 15, 1987, Mike Parker was promoted to vice
president and consumer loan officer. Robert Hoover retired
from the Boards effective April 13, 1987, and was bestowed
the title of Director Emeritus. In June Joy Amiss resigned
her position at Indiana Lawrence Bank.
Deposits at year-end 1987 totaled
$73,545,708, assets $80,873,694, and net loans $34,485,829.
Net income for the year totaled $390,013.
At the Annual Shareholders Meeting in
April the following officer promotions and title changes
were announced: Paul R. House, Executive Vice President and
Chief Financial Officer; Eric Smith, Executive Vice
President and Chief Lending Officer; Bonnie Fear, Assistant
Vice President and Agricultural Loan Officer; Janet (Susie)
Snep, Assistant Vice President and Operations Officer; Tom
Van Buskirk, Assistant Vice President, Auditor, and Credit
Review Officer; and Joyce Clark, Assistant Cashier and
Branch Manager. Tom VanBuskirk resigned on July 8, 1988.
On December 17, 1988, ILB financial
Corp. announced an agreement to affiliate with the First
Financial Bancorp of Monroe, Ohio. The Plan and Agreement of
Merger was signed by ILB Financial Corp. and First Financial
Bancorp on February 21, 1989. Under the terms of the
agreement, ILB Financial Corp. shareholders will receive two
shares of First Financial Bancorp common stock for each
share of ILB Financial Corp. common stock held.
Assets at year-end 1988 were
$85,296,851, deposits $76,618,991, and loans $35,950,873.
Net income for 1988 totaled $704,468, an 80.44% increase
At a special meeting of shareholders of
ILB Financial Corp. held July 26, 1989, necessary approval
was given to finalize a merger agreement with First
Financial Bancorp of Hamilton, Ohio.
Effective August 1, 1989, Bonnie Fear
was named Vice President and Agricultural Loan Officer.
Brian Jackson resigned from the bank effective August 4.
On August 31, 1989, the merger of ILB
Financial Corp. into First Financial Bancorp was completed.
Official merger ceremonies were held at the Radisson Hotel
in Muncie, Indiana. Shareholders of ILB Financial Corp.
exchanged each share of their stock for two shares of First
Financial Bancorp stock in the transaction.
The annual shareholders meeting of
Indiana Lawrence Bank was held September 18, 1989. The
following new officer titles were established: Brenda Crook,
Assistant Operations Officer and Head Bookkeeper; Nancy
Fisher, Assistant Cashier; Joyce Tschantz, Assistant
Cashier; and Tim Hamann, Auditor. The directors named to the
Board were Terry R. Carpenter, Eldon E. Fahs, David D.
Grandstaff, Stephen P. Heckman, Raymond Kauffman, and Dannie
On October 1, 1989, Steve Hammer joined
Indiana Lawrence Bank as Vice President, Trust Officer, and
Trust Department manager.
Assets at year-end 1989 totaled
$90,118,668; deposits, $78,716,673; net loans, $44,936,453;
and net income, $965,315 (20% increase).
Charles Green was promoted to Marketing
and Training Officer effective January 15, 1990. Willard
Anderson, AVP & Trust Officer, resigned effective April 30,
The annual meeting of Indiana Lawrence
Bank was held April 16, 1990, with the six directors
retained on the Board. No officer changes were made. On
December 3, 1990 new hours were set: drive-ups open at 8:00
a.m., and both lobbies open at 8:30, loan department open
until 5:00 each day, and the main office lobby open on
Friday until 5:00. At 12/31/90 assets totaled $90,954,000,
and deposits totaled $80,696,000.
The annual meeting of Indiana Lawrence
Bank was held April 15, 1991, with no changes in directors
or officers. Mike Parker left the employ of the bank July
12, 1991, and Charles Green July 31, 1991. In July hours
were expanded at the main office to 4:30 p.m. Monday through
Friday. Thom Frantz resigned his position as senior vice
president and cashier November 4, 1991. Assets at year-end
1991 were $89,443,000, loans $44,571,000, and deposits
The annual meeting of Indiana Lawrence
Bank was held April 13, 1992, with the six directors
retained on the Board. Paul House was named Cashier, and
Matt Eckert was given the title of Assistant Cashier and
Loan Officer. Tim Hamann was named Compliance Officer. At
the Board meeting held September 14, 1992 William F. Earle
was elected to the Board, increasing the number of directors
to seven. At year-end 1992 assets totaled $87,133,000, loans
$45,667,000, and deposits $76,834,000.