The Failure of Penn Square Bank - July 5, 1982

The collapse of Penn Square Bank was one of the benchmark events for the economic "Bust" Oklahoma went though in the 80's.

Penn Square Bank was a large commercial bank located in the Penn Square Mall in Oklahoma City. The bank made its name in high-risk energy loans during the late 1970s and early 1980s Oklahoma and Texas oil boom. As a result, primarily, of irresponsible lending practices, Penn Square Bank failed during July of 1982. Ranks as one of the Federal Deposit Insurance Corporation's (FDIC's) most publicized, most difficult, and most colorful bank resolutions.

— Wikipedia

Read more about Penn Square Bank at Wikipedia

For more history in what caused the Bust, read 1980s oil glut

Image: "Although reports said depositors would not have to line up to get their money, that's exactly what many did the next morning after Penn Square Bank was closed and declared insolvent." [Oklahoman Archive Photo]

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