In 2011 Thomas S. Laird along with John J. Baumiller established Midwest Bancshares Inc., a bank holding company. Midwest Bancshares Inc. acquired Security State Bank, Tyndall SD, and purchased Dakota Heritage State Bank, Chancellor SD. Thomas S. Laird is CEO of Midwest Bancshares Inc. and John J. Baumiller serves as president of Midwest Bancshares Inc.
With the merging of these two banks brings the opportunity to service more customers in southeastern South Dakota with convenient services, friendly personal service and hometown pride. We look forward to exceeding your banking expectations at either one of our convenient locations.
Security State Bank – Tyndall
Security State Bank of Tyndall SD was granted its charter on November 1, 1932. The original officers were W.Z. Sharp, President; (Sioux Falls); Anton Chastka, Vice President (Tyndall); and Byron R. Laird, Cashier (Tyndall). The original board of directors was the listed officers and included F.H. Hollister (Sioux Falls); F.M. Scoblic (Tyndall); and M.F. Schmitt (Tyndall).
The original bank location was the former Security Bank building located north of the present location. In 1934, Security State Bank moved to the current location when it purchased the former First National Bank building located at 1600 Main St in Tyndall, South Dakota.
Security State Bank is a third generation, family owned bank. Byron R. Laird helped start the bank in 1932. Byron R. Laird and his son Donald B. Laird purchased controlling interest in Security State Bank in 1949 with Byron R. Laird serving as President and Donald B. Laird as Vice President & Cashier. Byron R. Laird served as president until his passing in 1952. Donald B. Laird was acting president from 1952 to 1994. Donald B. Laird’s son Thomas S. Laird began working at Security State Bank in 1972 and has served as president from 1994 to present time.
Security State Bank has seen many changes over the years and with these changes the bank has grown and expanded. In 1965 and again in 1992 the bank underwent a remodel that has the bank currently at 5600 square feet. The most recent remodel in 1992 brought the bank the opportunity to provide their customers convenient services such as drive-up, mail drop and handicap accessibility.
Security State Bank – Chancellor
Security State Bank has been serving the financial needs of the Chancellor Community since 1904. The Bank was originally chartered as Chancellor State Bank and first opened for business June 1, 1904. The Bank was organized by a number of local businessmen with an initial Capital Investment of $6,000 total from nine shareholders. The original shareholders were: Wessel Heeran, F.G. Meier, E.F. Hofmeister, E.C. Hofmeister, B.C. Jacobs, A.B. Jacobs, A.R. Berens and John Bloem.
The original bank charter enjoyed many years and a number of shareholders and certainly had a flavor of “community” owned, with many local last names that exit in our community today. On or about April of 1944, Mr. V.L. (Vern) Gotthelf joined the Bank and orchestrated a sale of Chancellor State Bank to a new group of shareholders in November of 1944, of which he was one and presided as Cashier. (Five Sellers – Seventy Buyers). At that time Gotthelf was the largest shareholder (6.5%) and remained with the Bank for many years.
In July of 1944, the Bank had Assets of $445,850 and Capital of $38,578, with Earnings of $2,009.96 through July 1st. Fred Kortemeyer served as President. In December of 1973, the Directors met to discuss and approve the Sale of the Bank to Merlyn Sommervold and Roger McKellips. In early 1974, Sommervold and McKellips were elected to the Board of Directors, as the Bank ownership changed. At that time, Sommervold and McKellips owned 94% of the Bank. The Bank at that time had assets of $3,045,020 with Capital of $332,230 and Earnings of -$17,021. Gotthelf remained as President / Director of the Bank until retirement in April of 1975. The new bank building which currently serves as the Bank location was erected last 1974 and opened in 1975. Merlyn and Sherran Sommervold operated the Bank until 2011, upon their retirement. The Bank was $42 million in Assets.
In December of 2011, Dakota Heritage State Bank was sold to Midwest Bancshares, Inc., based in Tyndall, South Dakota. Midwest Bancshares, Inc. is comprised of Thomas S. Laird, John J. Baumiller and other closely related parties related to the Bank. The Bank was merged and renamed Security State Bank in October of 2012. The merger of the two banks created a $75 million one bank system for Midwest.
Security State Bank – Heron Lake, Minnesota
Security State Bank has been serving the financial needs of the Heron Lake (Minnesota) needs since 1953. The Bank was originally chartered as Heron Lake State Bank and first opened for business June 1, 1953. The Bank was organized by the Lloyd family (B.W.), originating from the Fulda, Minnesota community. The First National Bank of Heron Lake had a terrible fire, destroying everything. The Lloyd family purchased the remaining assets of the Bank and started Heron Lake State Bank. The Banks original Capital was $50,000. Heron Lake State Bank built a new Bank building in 1954 and was the home of the Bank until 1994. The original Directors of the Bank were: B.W. Lloyd, S.C Dahl, A.D. Sontag, Ole Olson and Clarence Meixner. The Lloyd Family owned 85% of the shares outstanding. 1993 a group of ten Heron Lake Farmers and Businessmen purchased Heron Lake State Bank and Heron Lake Agency from the Lloyd’s, led by President, Robert Gunther. The shareholder base was a compilation of Bank Customers and lifelong residents of the Heron Lake and surrounding communities.
In 2006, John J. Baumiller and Minnesota Bancshares, Inc. purchased the Bank and Agency. The Bank was renamed to Commercial Bank of Minnesota and Agency to Risk Management Partners. Baumiller served as President / C.E.O. In May of 2013, Commercial Bank and Risk Management were purchased by Thomas S. Laird, John J. Baumiller and Midwest Bancshares, Inc and has since been merged into Security State Bank. The Agency remains Risk Management Partners.