The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-08-08
WILDCAT SCHEMES
BLAMED FOR WRECK
Continued From First Page.

today, as soon as J. E. Fetzer, receiver
for the wrecked bank, checks up on the
mortgages and notes given by hun
dreds Of INVESTORS who hung onto the
'bubble". let loose by the missing
bank president. ~, 49,.
A slump in value at this time, which
is feared will come, would cause much
suffering and loss to owners. 1t has
been learned that loans have been made
on houses in that subdivision up to
within 80 per cent of the top-notch
value. The cash came from the saw
ings Of depositors Of the suspended
Depositors Haunt Wreck.
Scores Of houses were constructed in
the subdivision. which were declared
at the time to be too expensive for the
character Of the section. Loan houses
were told at the time that if they did
Stensland stood ready to furnish the
money, and at a low rate Of interest.
Today a woebegone crowd Of depos-
itors continued to crowd around the
bank. AS on previous days, the unfor-
Inmates, mostly working people, came
early and seemed determined to remain
indefinitely. Police were on hand to
repress any tendency toward disorder.
"Dumnnes'' Used?
Information about the long list of
forgeries--with detailed confederation
was obtained late yesterday after
| noon from source Of unimpeachable
authority. The informant saw the mem
orandum Of forgeries, memorandum
notes and other fictitious paper. which
the fugitive president and cashier left
behind them. = =.
The: thefts consist of nearly 200
items, ranging from $1,000 to $4,000
! each. The names forged are those of
| directors and stockholders in the bank
and Of persons associated with Stems
land in other business ventures. Some
dummy names are there, too.
vicepresident Arrested. " !
If the entire amount Of 1908, 900 is
wholly of forgery, of course no part OF
it can be recovered. This discrepancy
alone will mean the loss to each depos-
itor of one-fourth Of his savings. It Is
furthermore feared that Stensland may
have taken with him in his flight q
large supply of the bank g cash,
the qh dns MMaes s
ban k, and son Of Paul 8. stensiand, thu
fugitive head Of the institution, fol
whose arrest a warrant has been issued
has been arrested.
. Sister Faees.
Following the arrest Of the vicepresi
dent search was begun for his sister
Mrs. Inga Stensland Sandberg, who, il
is believed, can throw some light OF
the mystery of her fathers where
abouts. Up to today she was an in
structor in the musical department o:
the University Of Wisconsin, at Madi
son, but when her whereabouts becam'
known she left. Friends have attempt
ed to locate her, but their efforts hav'
been unavailing. =,
| Theodore Stensland was released o.
bond Of $4,000, signed by Jaco1
KArn, former state g attorney.
The charge against young Stenslant
is the same as that against his fugi
tive father-accepting deposits when h
knew the bank to be insolvent. .,
Alleges Bank Laws Violated.
+ The complaint is sworn to by J. Phi,
lips ,Straub, a liquor dealer at 5S3 Mi
waukee avenue. Mr.. Straub claims tina
he deposited $3.50 in the bank Saturda
morning and that. as an officer of tn
institution, Theodore Stensland kne>
at the time that it was insolvent.
That the shortage in the defunct il
stitution' s, assets Is growing hourly
& e. G. 5 Jones' IN IN s seearine
warrant for the arrest of Presiden
Paul Stensland. Tho he declared tina
it was the business Of the directors t
secure this paper, he found the cond
,, tions in the institution such today the
he refused to wait for action on thej
part.