State Bank of Indiana. The State Bank of Indiana occupies a notable place in the financial
history of the United States. It was practically a state institution, the state owning one-half of its
capital stock and appointing its president and four of its seven directors. The State Bank was a
supervisory institution. It did not itself carry on banking operations; the actual banking business
was conducted by seventeen branch banks. The State Bank had a monopoly of banking and the
right to issue notes in the state of Indiana; by law no other banking corporation was to be created
or permitted in the state.