The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1911-06-15
Dakota Trust CO. Official
Makes An Explanation

care not which, he purchased grain
from number Of farmers giving them
No. northern grade for it all and
which when sold in Minneapolis proved
to be No. 3, No. and rejected grades.
This much the chairman of the COM
mission admits in his interview That
these poor farmers, whom he is seek
4 Ing to assiduously help knew that
the grade they were delivering was
not the grade they were receiving
credit for, is substantiated by their
own personal admissions, the testi-
mony OF the managers of other ele-
Vators In Turtle Lake to whom they
onered the grain and who refused to
accept at as No. i and a certain banker
IN Turtle Lake, who told a represen-
tative Of this company when at Tur-
tie Lake, that he personally examined
such grain and knew and so told
these men that they were acting fraud
ulently when they knowingly delivered
such wheat to the said KittIer and
took such grading. These men were
nearly all Of q Russian neighborhood
near there. They We're all friends
OF the grain merchant. Some were
endorsers Of his paper. Some had gone
to him urging him to go in the bust
ness knowing their ability to take
advantage Of him in the sale of wheat
and were helping, aiding and assist
Ing CD him in the grain business.
We believe that a grain check is
no better than any other negotiable in
strument, worth only what 1t can be
proven TO be worth. That we were
entitled to the defenses against the
same just as we would be to the de-
lenses against a fraudulently issued
note, check or receipt. Believing that
1t is just as fraudulent for the farm
er who knowingly takes advantage of
man In grain transaction to insist
on his check being paid for more than
ne knows 1t is really worth, we re-
fused to pay more than the actual loss
suffered by these men.
Furthermore the checks outstanding
at the time of this mans default fex-
cept in one or two cases) were but
the final deliveries of the season
during which they had been hauling
In No and rejected wheat and get
ting real money as for No. / wheat
which shows that when the whole
seasons deliveries are taken into con-
sloeratlon that these men. Except in
one case) have not only received pay
ment IN fun for the wheat they de-
iivered but in most cases have been
greatly overpail for the grade of
wheat they were actually delivering.
Such was the position taken by this
company In settling this loss.
The matter would have been AMIGA
bly, settled but for a certain person in
Turtle Lake who had loaned more
money on one of these checks than
we were offering to pay. DisgruntIed.
ne took 1t up with the Commission.
who thereupon called a meeting IN
turtle Lake without notice TO this
company so that they could appear
and cross-examine these men. and
thereupon proceeded to hear their
whole side of the case and decide thai
this company should pay these men
100 cents on the dollar as No. / wheat
simply because the tickets called for
that amount and grade, and not con-
stderlng the equities or defenses this
company might have to these tickets.
AT a subsequent meeting in Fargo
1t was shown the commission bv ar-
tual sales sheets of the Minnesota
commission houses that this merchant
did not during the season of 1910 de-
liver to them any No. wheat also
all the other testimony above men
toned, but they saw mt TO disregard
the same and issued an order that
within thirty days this company must
settle in full FOR these Fraudulent
checks. This we refused to do ana
still SO refuse and will continue II 40
SO until a court Of competent iuris-
diction tells us we have to pay loss
we can prove the men never suffered
1t that asking too much?
Contrary to the procedure express
~ laid down in the code as to how
the commission shall enforce its Or
ders, namely by a petition in the dis
trict court before which we can ali be
heard and submit our testimony. this
commission under the leadership az its
chairman proceeded to issue an order
last week for us to appear before then,
and show cause why all our bonds
written to cover other warehouses; IN
the state should not be cancelled and
those of another company substituted
This in view of the fact that no de-
fault has occurred under any Of them
There is no shortage claimed: also
that all those bonds are written IN the
exact form furnished this company N
1903 and which same bonds have been
submitted to and now stand approved
~ this same commission.
"And now for the unusual. ilIeeal
and absolutely unreasonable order Of
this self-constituted law making COM
mission In addition to the above or
der the commission $,.rfho~ 1919. =
that the secretary notify and require
each OF above named elevators or
warehouses (being all we have bond
ed) to have ready on said date of
June "a new bonds or undertakings
satisfactory to this commission to take
the place Of the said Dakota Trust
Co.'s bonds in event they are then or
dered cancelled by this commission
Tn view of the fact that this conn
pany Is surety on most OF the large
elevator companies bonds in Minuea-
polls and Duluth and that Others are
trying to procure the business YOU can
see what black eye and Impairment
Of our business such a procedure IN
wolves. The big stick Is like
feather compared to such illegal meth
DDS. DO you wonder that any self
respecting body Of men resist such
methods?
Now the Dakota Trust Co. seeks
no favors OF this commission, but we
do insist that they abandon their high
handed methods and take the proceed
ure laid down IN the laws Of North
Dakota to enforce their orders, nance
ly any competent district court we
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