The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1917-10-27
Get 5000 From League and
800 For Directing Edi-
torial Policies of Papers
DECLINES TO TELL
WHERE COIN BANKED
Hearing in Bankruptcy
Case at Bismarck Brings
Sharp Clashes

nan InaL ne COulQ 90 so Win perfect
safety, Pres. A. G. Townley of the
Nonpartisan league, appearing ia
bankruptcy before Referee II. +. o.
Hare Friday afternoon declined to
give the name Of the bank or banks
where the league war chest is stor-
ed.
He also declared he knew nothing
about the approximate amount col
lected by the league since it's
organization Il know no more about
that than any average citizen" said
Mr.. Townley. THE average citizen
understands that you testified recent
ly that the league collected over a
million" suggested Francis Murphy
of Minot, appearing for the credi-
tors. .g.. -.
''That statement" said Manahan,
els clear evidence of the political
nature of this inquiry. Mr.. Town
ley's hearing before the Minnesota
public safety commission was purely
political"
President Townley reiterated time
and again that the only money he
has received from the league, directly
or indirectly, is his salary of 5000 per
month for the personal use Of him
self and his family and his expenses;
that he has no interest in any busi-
u
or indirectly connected with the
league. .....
The Nonpartisan Leader Co. he
stated is a co-partnership between
A. J. Fox and Ed. Wood, a son of F.
B. Wood. No one else, he stated,
has any interest in it. This CO.
partnership publishes The Leader
and The Courier News and pays Mr..
Townley 500 the month for direct
ing the editorial policy of these
publications. He denied having any
interest direct or indirect, approx
mate or prospective in The Nom
partisan Leader, or that he had any
promise of any future gain. He adj
mitted having received his salary of
800 per month as editorial super
visor from the date The Leader was
launched. No profits from eitheE The
Courier-News or Nonpartisan Lead
er, he asserted, had ever been paid
over to him, and there existed no
understanding that they ever will be.
The engraving company, he stated,
belongs to the same layout" and he
disclaimed any interest in it.
The Equitable Audit Co. OF st.
Paul came in for investigation, and
Townley testified that it was en-
ployed merely to audit league books,
and that he held no interest in the
corporation. ...
That his sole and only income or
hope of income or financial gain here
or hereafter derived from the Nom
partisan league or any Of its agen-
cies is 5000 per month and expenses
derived from the league Tor which he
acts In the capacity Of director of or
ganization and field work. and 800
the month from A. J.. Fix and Ed
S -
the Nonpartisan Leader and The
Fargo Courier News, for directing
the editorial policy Of these publica-
tons was the important testimony
given by A. G. Townley in his testi-
mony.
Guarding League Secrets.
The afternoons most important
development was a determined effort
on the part OF former Congressman
James Manahan OF Minnesota, who
stated he appeared to represent the
membership of the league, and Of
William Lemke. appearing for Town
ley, to prevent any disclosures as to
the organization Of the league, its
management, the funds collected, how
collected and how. where and when
expended. o..
Il expected you to cry politics
whenever touched upon a vital
point. said former Assistant Attor-
ney General Francis Murphy Of Minot,
appearing for Townley's creditors,
when Manahan and Lemke had re-
peatedly endeavored to keep out of
the record any illusions to the
amount Of money which might have
passed through the hands of Presi-
dent Townley.
Townlsy's Testimony.
nvsfm al
lows: II reside at Fargo, part of the
time in ST. Paul. Business, directing
work Of organization national Non
partisan league. League lis voluntary
association. At this point Manahan
advised that he appeared for the
NonpaTtisan league and that the af-
fairs of that organization were not a,
proper subject for inquiry in this
hearing and that he objected to any
inquiries as to the business or Rman-
agement of the league or its activi-
ties political or otherwise" Murphy
objected to Manahan's appearance
unless the league was considered a
party to the bankruptcy proceedings
The creditors whom represent are
only seeking to ascertain whether the
bankrupt has any assets not shown
in the schedules in this or any other
organization he has connections
with, said Murphy. I'VE are not
inquiring into the political affairs Of
the league. We are looking for mon
ey". Manahan withdrew his objec-
tion.
Head Of League.
Townley: II am the head of the
organization; conduct it in a general
way There il a committee that has
charge OF the financial affairs. / am
- ha#
Mammalian objected to reply to ques-
ton as to number OF members on
that committee. Objection overruled,
Townley: Each state organiza-
ton has an executive committee of
five. and the national organization
three. am a member of the nation
al organization" After hesitating to
state whether he was q member Of
the state committee, Townley said
''The league was organized in North
Dakota about three years ago. was
president and a member Of the execu-
tive committee in this state. have
remained 50 up to the present time.
i have no other business aside from
the management Of the National
Nonpartisan league and haven't had
since its organization.
II and my brother, @. 8. TOwnley,
were partners when the debts sched-
uled. This partnership exists no
longer except in relation to the BUSH
ness we now are trying to close. We
have q sort Of interest in $4,000 acres
IN Mckenzie county. Should that in
teFest prove sufficiently valuable to
pay of contracts which we assigned
10 original holders OF the land-the
Northern Pacific railway, Schusser
brothers. Of Eigin. ILL., and their as
aociates, the partnership would still
exist with respect to any interest
which might accrue to us. The land
Is out OF our pos I.ssion. We have
no equity IN It. unless some freak OF
fortune. the discovery Of OF, Tor IN