The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1911-08-12
EARLY BANKING
IN NORTH DAKOTA
SOME OF THE EXPERIENCES OF
EARLY DAYS TOLD AT MEET.
ING or THE EoUALIzA-
TON BOARD.

Bismarck, N. D., Aug. 12.-No one
would ever suspect from their atti
tude towards each other that there Is
political differences OF a pronounced
character between the members Of the
state board of equalization.
These gentlemen appear like a han
py family in their official relations
their whole aim seeming to be to do
exact Justice to all in the fixing Of
property assessments. Always good
humored, the board members a. odd
times find much sport in Joking each
other.
The other day, during lulI in the
proceedings the question OF banking
came up.
You ought to be familiar with this
subject" said Superintendent of Ag-
riculture Gilbreath. turning to State
Treasurer Olson. having had expert
ence in the banking business"
Not T." answered the guardian Of
the state finances. Il never owned a
dollars worth of bank stock In NV
life" which seemed to be a revelation
to the other board members who re-
garded the big treasurer as the
banker of the company.
mo, sirl' declared Mr.. Olson. the
nearest ever came to being a banker
was many years ago when / loaned
my note to a company Of gentlemen
who were organizing a bank and had
to show a certain amount Of assets
to secure a charter. After the bank
was organized my note was returned
to me without interest. / may add
this happened many years ago when
even I did not consider my note worth
anything"
When the laugh died down, and
banks being in mind, Governor Burke
told of a unique experience of his own.
many years ago in a certain northern
town where he then lived.
In early days in Dakota banks
were not very substantial institu-
tions," said the governor. To Illus
trate, he told an experience he had.
There were two banks In our
town." he said. "and neither were
very strong. One afternoon q banker
came into my office and declared he
would have to raise $50 before A
o'clock that evening.
Well why don't you get Il out Of
your own bank?' / asked him. He
made this explanation. We lack that
much of having any money on hand.
The other bank has a draft on US If
$50 for collection and IL it is not cared
for before the banks close 1t will be
protested and we cannot stand that
II was dumfounded," said the gov
ernor.
but you raised the money for him,
didn't your" asked State Auditor
Brightbill.
"Oh, yes, answered the chief ex-
ecutive of North Dakota, Il did not
have the money so I just went down
and borrowed 1t from the other bank
While on the subject. Attorney
General Miller told Of an experience
he once had.
care to bother about borrowing ii so
II concluded to hawk $500 mortgage
7 held against a quarter section of
land. The mortgage was drawing s
per cent and was paying 10 so 1
aimed to sell the thing and save 2
per cent. The mortgage had two
years to run SO took 1t to money
bags in the town who had a lot OF
cash in the bank yielding him only 4
per cent. Here" / said to him, sis
a $500 mortgage earning per cent.
The bank is paying you and you can
double the profits In your investment
The fellow said he did not think the
security was as good as the bank
AL right told him, I Will prove to
you that 1t is. and this / proceeded to
do by going down to the bank where
he had his money and borrowed the
$500. Returning. I shook the bills In
his face There's the money you had
In the bank. told him, and what Sc
curity has the bank for it now, and
what security have YOU It frighten-
ed the fellow and think changed his
mind somewhat On the security Of
banks Ia those days. CT course that
was long time ago when $500 look
ed bigger to me than the state house
does today
State Auditor Brightbill then told
OF circumstance In little town
where the trains reached 1t only two
or three times week. The farmers
came in. sold their products. gathered
up what money there was ia che town
bank, the merchants checking out all
the available cash and there was no
way to get any in until the train ar
rived. The bankers canvassed the
4 town and borrowed all the money to
be had in order to be able to meet
the exigencies should another farm
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