1940: Terre Haute Explodes

By C. Collins
It was said “the flames shot more than one hundred feet into the air, lighting up the entire south section of the city.”[1] This was the scene of the Commercial Solvents Corporation as it burned on October 4, 1940 in Terre Haute, Indiana.

            What exactly happened that fateful night at the Commercial Solvents Plant? It all begins with the first of three explosions. This first explosion was the largest. It was the result of a small conversion still exploding.[2] The explosion was so powerful that “It shook the city and the violence of the disturbance burst windows more than a quarter mile from the twenty acre factory plot.”[3]Following the original explosion within fifteen minutes were two smaller explosions.[4] What’s truly amazing about this is not the explosion itself. It is the way in which the people reacted and how swift that reaction was. Minutes following the first explosion all gas mains in the immediate area were disabled by the gas company.[5] Along with the gas company were the local firefighters and the National Guard. “As firemen began to bring the blaze under control 100 national guardsmen appeared to help keep the crowd behind firelines.”[6] This was necessary due to the high number of on lookers, 45,000[7], that had gathered.  Ironically enough it began to drizzle, but only after the firemen had gotten the real threats of the fire under control.[8] The explosion did attempt to claim three lives, but in the end claimed one. Tom Sanky was his name and he worked in the area in which the explosion occurred, the derivative plant.[9] He was fifty years of age and was thought to be burned to death.[10] The other two men, Joe and Jim Roman were slightly injured and transported to St. Antony’s Hospital for treatment.[11] The president of the Commercial Solvents Corporation at that time, Theodore P. Walker, announced that at the time of the explosion the company was not involved with any government contracts.[12] This did not make a difference though. In Indianapolis, Earl J. Winn who was the head of the FBI office in Indianapolis was sent to Terre Haute.[13]
            Why would the FBI feel the need to investigate what appeared to most as an accident? It isn’t uncommon for factories to have instances like that of the Terre Haute plant every so often. The Indianapolis office of the FBI had an interesting start. The Indianapolis branch can be traced back to 1924 when E.L. Osborne was in charge and only employed five special agents.[14] Then things took a turn for the worse. Just five years later the office was closed, but was later reopened in 1934.[15] The branch really took on a different role, like most, as the United States entered World War II. The agents were tasked with things like monitoring “enemy aliens”, providing plant security surveys for manufacturers, and identifying saboteurs.[16] This explains why the branch would send Winn to investigate an explosion at the Commercial Solvents Corporation. The Commercial Solvents Corporation produced solvents that could be used in explosives. With the United States entering World War II it is likely they would begin getting contracts from the government. The FBI was investigating the company as much as it was searching for the “enemy”. This distinction is important because it shows the Company was in good standing legally.
             The Commercial Solvents Corporation can be traced back to Terre Haute as early as 1917, when it was using fermentation to convert grain into solvents.[17] Near the end of World War I the company was established officially in 1919.[18] What made Terre Haute the ideal location for this company? The land available allowed for the “convenient translation of new processes from laboratory and pilot plant to full scale production.”[19] Terre Haute was also in “the heart of the corn belt and near a plentiful supply of coal and water.”[20]The Commercial Solvents Company dealt with two major areas of chemical technology. First, was high-pressure synthesis chemistry which used natural gas as the primary raw material.[21] Second, was fermentation chemistry which used agricultural materials as the primary raw material.[22] The fermentation process that they were utilizing was that of Dr. Chaim Weizman. Dr. Weizman was approached by the British military because they wanted him to develop a better quality acetone to be used as a solvent for high explosives.[23]The result was the fermentation process that the Commercial Solvents Corporation would go on to use in their production.
            Terre Haute went through quite the battle to become the industrious city that it did. Terre Haute was a city that spanned the Wabash River and faced a similar problem many cities of the time faced and that was corruption[24]. “The city faced twenty years of sin that was later followed by a reform under the mayor Vernon Mcmillan.”[25] Terre Haute benefitted from this reform because it was made an economic asset due to its strong city government.[26] A major leader outside of the mayor in this reform was Anton Hulman Jr.. His family, were the owners of a wholesale food corporation making him an heir to a multimillion dollar company.[27] Both Hulman and Mayor Mcmillan wanted to entice more business to set up shop in Terre Haute. The only issue was that the labor relations in Terre Haute had a bad history.  In one instance, in 1936, the National Guard had to break-up armed gangs.[28]There were three requisites: labor-industry cooperation, improved facilities, and air facilities, that Terre Haute met and the Commercial Solvents Corporation found these enticing.[29] The result of this was the Commercial Solvents Company adding a penicillin wing to its old properties located in Terre Haute.[30] “The Commercial Solvents Company was the first to mass produce penicillin and to put it into crystalline form permitting its shipment in bulk without refrigeration.”[31] The company was also able to survive the depression relatively unscathed. This was done due to its “patent monopoly on the production of butyl and ethyl alcohol and with the repeal of prohibition, by going into making whiskey for wholesale buyers.”[32] This is significant for the company because in 1924 the Company had to shut down two plants. The plants in Peoria, Illinois and Terre Haute, Indiana stopped production completely.[33] The company was suffering from a two million pound surplus of butanol.[34] The purpose of shutting down the plants was to allow shipments to catch up with production in order to rid company of the surplus.[35]
            Who was facing the brute force of all these obstacles? That would be Theodore P. Walker. Theodore P. Walker was the president of the Commercial Solvents Corporation at the time of the explosion. He was described as “one of those colorful individuals who had been to all sorts of interesting places and done the unusual. For example, after college he spent some ten years in the Philippines with the constabulary.”[36] How does someone who seemed to avoid settling down settle down? Well for a woman of course. Theodore P. Walker also went by Major Walker and while he was over in Europe during World War I he met his wife, a French Grand Opera Star.[37] After the war and back in the United States Maj. Walker was looking to settle down. In 1922 he went to Terre Haute and was placed in a department of the Commercial Solvents Corporation that was border line along the red.[38] It wasn’t long after he was there that this department that was along the red was turning a profit.[39] Due to his success at turning this department around, he was sent to the Commercial Solvents Plant in Peoria, Illinois.[40] Three years after this Maj. Walker was the vice president of the Commercial Solvents Corporation.[41] In 1938 on March 31, Maj. Walker was elected president of the Commercial Solvents Corporation.[42]
            In his time as president Maj. Walker showed much enthusiasm in his job. Right from the start he was aggressive with pushing the company forward. The first act of his aggressive approach was making two additions to the board of directors. These additions were Samuel M. Greer and Linus C. Coggan. [43] One of the first areas of attack was industrial alcohol. Commercial Solvents Company became one of the second largest producers by bringing in the Rossville alcohol properties and the American Distilling Co..[44] The company was also beginning to work hard in developing its spirit and whiskey beverages.[45] This benefitted Terre Haute because the distillery located there was ordered to produce on a full operating basis.[46] That following year, 1939, Maj. Walker and the Commercial Solvents Company were in the process of developing new techniques. This technique was a new way of “applying lacquer finishes developed in commercial solvents laboratories has strengthened the position of these solvent using coatings.”[47] This aggressiveness was nothing new for Maj. Walker. For example in 1934 he went up against the Mid-West Council of Agriculture and Business. Maj. Walker was fed up because at the time the “liquor industry accepted the corn alcohol provision because it wished to cooperate with the AAA, Agricultural Adjustment Act, in helping the corn-belt farmer.”[48] This wasn’t seen as much of an issue at the time because the liquor industry did not want bad blood with a group that had voters with the power to strongly influence prohibition.[49] The only problem was the behavior that followed. Following the signing of the code proposed the AAA allowed the use of liquor to contain blackstrap alcohol.[50] As a result, the purpose of Maj. Walker’s meeting, Commercial Solvents Corporation stopped production and had millions of gallons of alcohol made from the grain that was not being sold because of the competition of blackstrap liquor.[51] Maj. Walker’s theory was that this sudden betrayal was the work of two banking houses in New York that had an interest in Cuban sugar, thus they had something to gain from the blackstrap market.[52]
            In 1946 the Commercial Solvents Company suffered another explosion. The origin of this explosion was unknown. At the time of this explosion Maynard Wheeler was the Vice President and the general manager of the plant.[53] He said “twelve employees were in the building when the explosion occurred 4:45 a.m.”[54] Following the explosion a fire ignited, but was tamed after two hours.[55] Out of the twelve employees in the building seven made it out unharmed, but five were injured.[56] This event occurred near the end of Maj. Walker’s time as president of the Commercial Solvents Company. On December 1, 1947 Henry E. Perry, vice president of company, was elected president of the Commercial Solvents Company.[57] Maj. Walker was not finished with the company though. He became chairman of the board for the Commercial Solvents Corporation.[58] Perry did not hold the position of president for very long. At 8:20 A.M. on March 15, 1950 Perry suffered a fainting spell.[59] This fainting spell occurred while he was in the process of opening a window in his office.[60] “He fell to a second story abutment in the rear of the building and was killed instantly.”[61] In 1922 Perry joined the Commercial Solvents Corporation and went on to become the vice president and director of organization in 1946.[62]
            Though the explosion rocked the town for one night that seems to be the only influence it had on Terre Haute. The Commercial Solvents Corporation remained in the town and continued to flourish. There was not much to be found on the one and only victim of the explosion Thomas Sanky. In the end this disaster seemed to be treated as one of the unfortunate events of working in a factory.




[1] “Terre Haute is Rocked by Plant Blast," Valparaiso Vidette Messenger, October 5, 1940, 14 edition
[2] “Chemicals Explode at Plant in Indiana” New York Times, October 5, 1940
[3] “Terre Haut is Rocked by Plant Blast”, 2.
[4] “Terre Haute is Rocked by Plant Blast”, 2.
[5] “Terre Haute is Rocked by Plant Blast”, 2.
[6] “Terre Haute is Rocked by Plant Blast”, 2.
[7] “Terre Haute is Rocked by Plant Blast”, 2.
[8] “Terre Haute is Rocked by Plant Blast”, 2.
[9] “Terre Haute is Rocked by Plant Blast”, 2.
[10] “Terre Haute Is Rocked by Plant Blast”,2
[11] “Terre Haute Is Rocked by Plant Blast”,2
[12] "Chemical Plant Blast Kills One; FBI Investigates" The Washington Post, October 5, 1940.
[13] "Chemical Plant Blast Kills One; FBI Investigates"
[15] “A Brief History” FBI
[16] “A Brief History” FBI
[17] "Commercial Solvents Corp." Harvard Business School Baker Library.
[18] “Commercial Solvents Corp." Harvard Business School Baker Library.
[19] “Commercial Solvents Corp." Harvard Business School Baker Library.
[20] "Industrial Terre Haute: Commercial Solvents Corporation" Terre Haute Saturday Spectator, October 11, 1952
[21] “Commercial Solvents Corp.” Harvard Business School Baker Livrary
[22] “Commercial Solvents Corp." Harvard Business School Baker Library.
[23] “Industrial Terre Haute: Commercial Solvents Corporation”
[24] “Triumph in Terre Haute” Kiplinger Magazine: The Changing Times, February 1947
[25] “Triumph in Terre Haute”
[26] “Triumph in Terre Haute”
[27] “Triumph in Terre Haute”
[28] “Triumph in Terre Haute”
[29] “Triumph in Terre Haute”
[30] “Triumph in Terre Haute”
[31]  Charles Grutzner.“Commercial Solvents, Formed in World War I, Soared, Then Wavered” New York Times, June 14, 1962.
[32] Charles Grutzner, “Commercial Solvents”
[33] "Commercial Solvents Shuts Down Plants" Wall Street Journal (New York), August 8, 1924.
[34] “Commercial Solvents Shuts Down Plants”
[35] “Commercial Solvents Shuts Down Plants”
[36] "Industrial Terre Haute: Commercial Solvents Corporation" 13
[37] “Industrial Terre Haute” 13.
[38] “Industrial Terre Haute” 13
[39] “Industrial Terre Haute” 13
[40] “Industrial Terre Haute” 13
[41] “Industrial Terre Haute” 13
[42] "Heads Commercial Solvents" New York Times, April 1, 1938.
[43] "Agressive Policy Is Inaugurated By Solvents Corp." Wall Street Journal, August 12, 1938.
[44] "Agressive Policy Is Inaugurated By Solvents Corp."
[45] "Agressive Policy Is Inaugurated By Solvents Corp. "
[46] "Agressive Policy Is Inaugurated By Solvents Corp. "
[47] "Prospects for Solvents: T.P. Walker Sees New Products and Processes Widening Market” New York Times,  January 3, 1939.
[48] "A Trust, But No Brain" Chicago Daily Tribune, March 19, 1934.
[49] “A Trust, But No Brain”
[50] “A Trust, But No Brain”
[51] “A Trust, But No Brain”
[52] “A Trust, But No Brain”
[53] “5 Injured in Mystery Blast at Terre Haute” Chicago Daily Tribune, August 3, 1946.
[54] “5 Injured in Mystery Blast at Terre Haute”
[55] “5 Injured in Mystery Blast at Terre Haute”
[56] “5 Injured in Mystery Blast at Terre Haute”
[57] "Elected to Presidency of Commercial Solvents” New York Times, December 2, 1947
[58] "Elected to Presidency of Commercial Solvents”
[59] "H.E Perry, Corporation Head, Killed in Fall from HIs 14th Floor Office in Midtown" New York Times, March 16, 1950.
[60] “H.E Perry, Corporation Head, Killed in Fall from His 14th Floor Office in Midtown”
[61] “H.E Perry, Corporation Head, Killed in Fall from His 14th Floor Office in Midtown”
[62] “H.E Perry, Corporation Head, Killed in Fall from His 14th Floor Office in Midtown”