The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1918-11-25
TRUSTEE CALLS
ON TO " NLEY TO.
PAY Sl3,322.62
FOR CREDITORS
Francis Murphy Charges
Story of 1000 Loan
From Coates False
BIC BANKRUPTCY
CASE NEAR END
Demand Made Today For
Moneys Paid Pownley
by League

That Pres. A. c.. Town1ey of the
Nonpartisan league did. not make a
proper accounting Of $1,000 cash
item revealed by the accounts of the
National Nonpartisan league as hay
ing been paid to him, and which he
testified Saturday afternoon rep
resented a loan made to him for the
league by David c.. Coates, presi-
dent of the National party, was
charged in federal court this morn
ing by Francis Murphy of Minot,
counsel. for e. B. McCutcheon,
trustee in charge Of the Townley
bankruptcy case.
Mr.. Murphy charged that MI.
Townley had told the court a ridicu-
lous story when he testified late
Saturday that $1,000 disclosed on the
Nonpartisan league accounts as hav-
ing been paid to A. G. Townley, in
fact represented the repayment to
Mr.. Coates Of $1,000 that he, Coates.
had loaned to the league with the ex-
press understanding that his name
should never be identified with the
transaction, Mr.. ToWnley testify1ng
that it would be damaging to Mr.
Coates BUSINESS relations If 1t be-
come known that he was financially
interested in the success Of the Nom
partisan league movement.
aMr. Coates was openly and no
toriously Identified with the, Nonpar-
tisan league said Mr.. Murphy. and
he charged that testimony tending
to show that Coates would suffer
damage by reason Of it becoming
known that he had loaned $1,000 to
the league was untrue.
Ask $13y322.62
The question was raised when Mr.
Murphy made the demand that the
BANKRUPT be required to deliver over
to the trustee property and moneys
aggregating $13,322.62 which he con-
tended Mr.. Townley had failed to
account for
The, $1,000 item, uncovered by the
examination of the Nonpartisan
league books and entered in form of
seven notes drawn in favor of A. e..
Townieyf and signed by ToWnley.
himself for the league. Mr.. Murphy
contended. had net been accounted
for. as the witnesses statement tilaIl
ii was a loan from Mr.. Coates could
not be accented as a sound and true
explanation. This is one OF the
items making up the money and
goods the counsel for the ToWntey
creditors insist should be turned
over to the trustee.
No Third Party
Judge Amidon suggested the pos
sibility that Mr.. Coates was han
ding the $1,000 for some third party,
Attorney Murphy, however, calling
attention to the fact that there is
nothing inths testimony to warrant
such belief, for Mr.. ToWnley had
testified that it was Coates money,
and that no third party had been
brought to light by the extended
questioning OF Mr.. Townley in the
court Saturday afternoon.
Many Items Are Covered.
After John j. Hastings, a former
bookkeeper OF the league, now vice
president OF the Scandinavian Amer
Jean bank of Fargo, had testified that
he held no interests OF any nature
whatsoever for Mr.. Townley. and
that he had no understanding Of any
kind whatsoever with Mr.. Towniey
relative to financial or property mat
tiers, Attorney Murphy presented the
demands of the trustee for the con-
sideration of the court.
The items demanded are:
In cash, $393.30, accounted for by
Mr.. Townley in his schedule of as
sets.
In cash, s14.20, accounted for as
having in his possession when he
filed the bankruptcy petition.
"A gun, valued at $40, scheduled in
his assets.
A share of stock in the League Ex-
change, valued at $100, listed in the
schedule of assets.
In cash, $700. representing unpaid
salary and expense accounts with
the Nonpartisan league and the Nom
Mr.. Town1ey when he fled his petit
ton in bankruptcy.
In cash, $1,000, covered by the
Townley notes, which the trustee
contends have not been accounted
for.
In cash, $2,S49-95, paid by the Nom
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