East Nelson was chosen as the first county seat, but residents could not agree on a suitable location for the courthouse.
An angry mob stormed the courthouse and demanded that the sheriff release the man to their custody.
The sheriff agreed and the man was hanged from a tree on the northwest corner of the courthouse lawn.
Deal & Ginsel were selected as architects and H. B. Walters of Danville, Illinois was appointed contractor.
From about 1907 to 1930, the courthouse was home to the Moultrie County Farmers' Institute, a popular three-day educational meeting co-sponsored by the University of Illinois College of Agriculture.