The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1916-10-21
50 BOOKS
#r
ENTERED
IN CASE
Tremendous Grist of Ex-
hibits in Improvement.
Company Prosecution
TELLSOF Cash DISTRIBUTION
Witness Contends That COZ
Went to Solicitor, 40%
to General Fund

Nearly fifty exhibits have now been
admitted as evidence or identified pre-
paratory to admission in the case of
the United States versus E. A. Wilson
and r. M. Farmer, commonly known
as the North Dakota Improvement
case.
The work of the court yesterday aft
ernoon and this forenoon was taken
up almost exclusively in the identifi-
cation Of exhibits, which are expected
to play q large part in the case Of the
government against the defendants.
Most of the nearly fifty exhibits are
books containing as high as 500 pages
each, some others being letter press
books used in the keeping of copies of
letters written. Some literature was
identified as having been mailed out
Ivy the employees of the North Dakota
Improvement Co., under direction of
the officers and these copies are ex-
pected to play a considerable part in
the attempt Of the government to show
that the defendants used the mails to
defraud the public as is charged in
the indictment of the two men.
-stenographer on Stand.
Mrs. A. G. Granson of Minneapolis,
formerly employed as stenographer
for the North Dakota Improvement
CO., was the principal witness on the
stand for the government this morn
- ing. Mrs. Granson identified the letter
press books and some Of the literature,
which she stated she had assisted in
preparing for the mails.
Mrs. Granson also testified as to the
North Dakota Improvement Co., the
Timber Investment Co., and the Fargo
Bond & Loan Co., using the same
vault in the Improvement building,
after that building was completed, ahd
the three companies moved into the
same building. On crosssexamination,
Mrs Granson stated that there was
only one vault on the first floor. |
Another witness on the stand this
morning was e. A. Erickson, a farm
err, of Sherbrooke, who identified let
ters he said had been sent to him by
officers of the North Dakota Improve
rnent Co. Mr.. Erickson stated that he
had $1,000 contract with the North
Dakota Improvement Co., and that he
had paid $400 on this contract. He
also testified that he had purchased
$500 worth of the Timber Invest
ment Co, stock and had paid $400 on
this stock. ...E
Where the Money Went.
Walter Thompson, expert account
ant who was employed at intervals by
the Improvement company, occupied
the SIanu the greater part Oh the t1Tn6
yesterday afternoon, identifying books
that he had kept.
1t was brought out by Mr. Thomp-
sons testimony that of the money re-
ceived from contract holders, 60 per
cent went to the agents of the COM
pany, and 40 per cent was put to the
general expenses of the company, some
being used for general expenses, and
some used to pay dividends, IL per
cent having been declared in some
years. The books showed, as brought
out by Mr.. Thompson, that for a large
part of the time the liability of the
company exceeded it's resources after
the 40 per cent Of premiums on con-
tracts were deducted, it being the con-
tention of the district attorney that a
proper reserve was not created by the
company according to the plan ad-
vertised by it.
Shortly after noon today court was
adjourned to 10 o'clock Monday morn
ing.
While more rapid progress will be
made in the case after all the exhibits
OF the government are in, it is expect
ed that the case cannot possibly be
finished before the latter part Of next
week.