Little Falls herald. [volume] (Little Falls, Morrison County, Minn.) 1889-1950, 1912-02-02

gave as $lO, 218.2 "a. a 1900 draft is.
sueo to the Bowlus bank by the Royal
ton State hank. against q reserve it js
supposed to have. had IN the Merchants
National hank Of st. Paul, and which
was protested by the st Paul bark On
August 5th. and returned to the
Bow lus institution, Mr.. Aiiiard
claimed should not be figured in the
assets of the BoWlus hank as was done.
That notes on which interest bad
been paid in advance were not worth
their face value at the time OF the
baaks CLOSING, was held by thes bank
examiner
The bank is charged with having on
and 1urin9 the ,.mo1ths immodlatplY
proceeding that date engaged in the
buying and selling Of farm impls.
ments, which ls contrary to the bank
ing law of the state; also with hav-
ing taken Western Granite 60. bonds
for leans aexregating s.. 600. which Is
another violation. as il could lawfully
loan to any one person but Is per cent
81, 600 respectively or 81, $50.
resources of the bank to be $S8 $50. 88.
of which cash on hand was 81 6O7. 81
and reserves in other banks 81. 1873: %,
with, liabilities Of like amount; but
the bank examiner figures showed re-
sources of $59, 69S. So cash on hand and
reserves in other hanks being given as
the same as the books show, and the
liabilities az $69. Sl2. so, showing q
loss to depositors of SO, 219 "a. The
loss to stockholders is figured at
80, 747.54, making total loss of $40,
966. 6.78.
In his report he also stated that
about 500 could be realized under the
double liability corporation law,
which holds Stockholders for a period
Of one year after they have disposed of
their stock, from some of the stock-
holders but that about $4,000 more
could be collected from others. The
former stockholders liable under the
double liability law ars: A. A. Bar
ton, 30 shares Minnie Barton, 4; Vim
cent Scbw ientrk. 5 shares; Frank
Armstrong, 2 shares John A. Barton,
4 shares; q. H. aavill, SO shares. The
present stockholders are: Mary Arm
strong 1; y. II. Havill, 20; 81. J.
Schwartz, 20; Lillian Chadwick, Il;
OudSs IL XnO00OuS q
Schwsrz. II; Henry A. Schwartz, IL;
John D. McD D1ugall, IL. Shares were
of a par value of 800 each, and the
stockholders are held responslble for
tnat amount for each share held by
them.
knute 81. Gunderson testified as to de-
posting 500 IN the bank O. August 4,
1911: John McDougall, cashier Of the
First State Bank Of Bowlus. as to the
condition of the bank; G. c.. Dragoo AZ
to note of his held by the bank, claim
ing that he was good for the face
value; q. /. Brenwab], a bank ex-
aminer, as to the condition the bank
was found when he examined 1t: and
John P. Rau, county auditor of
Stearns county, as to tax assessments
Of property, the proprietors of which
had notes in the Bow lus bank, OF, were
officers or stockholders of the bank.
A. A. Barton. former cashier OF
the Bowlus institution. was the star
witness for the state yesterday after.
noon. He testltied that he had severed
his connections with o. H. BaviN and
the bank on December 20. 1910, when
he saw that the president of the hank
refused to heed the warning OF tre
state bank examiner to take up loans
made to o. II. Havill, snm $945. "a, to
NJ. HI. Havill, sum of $500, and an
excess of about 81, 500 on q loan of
81, 600 to the Western Granite company
of St Cloud. He stated that IN q talk
with M1. Havill he told him that he
wanted to buy Mr.. Havill's stock or
sell his own 70 him in the interest OF
safety to, himsen as he did not care 10
face q charge that might soma him %
The. penitsntlary. Relative 90 Western
GraDite company bonds. Barton testi: