The Oakes times. [volume] (Oakes, N.D.) 1906-current, 1919-05-08
TOWNLEY..LEMkE
SHARED IN PROFITS
FORCED TO REPLACE s15,o2e eY
STATE OFFICIALS
Is It Any Wonder the Nonpartisan
Leaders Are Now Planning to Get
Hall and LANCER?

Bismarck. May ga c. Townley
and William Lemke of the Nonparti
san League shared in the division OF
the profit reaped by the organization
of the American Exchange bank of
Valley City. according to the state
ments OF Thomas Allan Box made to
H. c. Aamoth, testified to by Mr..
Aamoth before the banking board
Mr.. Aamoth. in revealing to the
banking board the text of a conversa
tion he had with Box at the time the
organization of the state bank and
sale of the national bank was perfect
ed. said that BOx's statement devel
oped from Mr.. Aamoth's observation
that $4,000 profit. which was be-
seemed pretty strong.
1t was then. in explanation of the
huge profit, said Mr. Aamoth to the
banking board yesterday. that Mr..
Box explained that it wasn't much of
a profit for any individual as 1t had
to be divided four ways. as "Townley
and Lemke have to get their share"
The profit. originally $35.026. re-
duced to $4,000 when Attorney Cen
eral LANCER and Secretary of State
Thomas Hall forced the operators to
replace $15,O26 that had been taken
from the assets of the national bank
while it was in the control of the
Box Hastings combination. according
TO the Box statement to Aamoth, was
divided four ways.
To obtain $15.O26 additional profit
with the deal and Of which portion Of
the profit the farmers who purchased
stock In the state bank knew nothing
until the facts were forced out by
LANCER and Hall before the banking
board, the price at which the national
creased by that sum over the price
that, 1t was sold by the stockholders
of the national bank to the state bank
promoters. .-~ -
Mr.. Aamoth testified that repeated
attempts were made by j J. Hastings
to have him, Aamoth. aid them in
covering up the $15.O26 additional
profits; but that he declined to do so.
The Aamoth testimony is the most
sensational development of case
that already has attracted state wide
attention because Of the manner in
which 1t has brought to light the
marvellous workings of the financial
ring at the head Of the nonpartisan
league.
More developments, however, are in
store, for Attorney General LANCER
announced this afternoon that he
would make public the entire record
in the Valley City bank case. "be-
cause of the lying newspaper reports
that have been published by the in
terests identified with the deal, and
who seem so anxious to discredit pub.
lie officials who have done their duty
in the enforcement of the banking
laws. We have saved the farmers
$15,026 in this deal, and when any
newspaper sets out to villify officials
who have brought this about, and
have protected the people from ex.
ploiters. it is time to do business and
show the people of the state just
what happened at Valley City. The
record will disclose the status of the
case, and we will most certainly give
it to the people of North Dakota"
said Mr.. LANCER this afternoon.
1.-The banking board yesterday
granted the American Exchange bank
the right to merge with it the assets
Of the American National bank, on
my own notion" said Mr.. LANCER in
the statement made public today.
This step was taken as result of
the fact that we have forced the re-
placement of $15.026 that was illeg-
ally taken from the assets of the ma
tional bank: it was taken after we
forced the making good of certain
notes sfgned by Box. Hastings. the
Federal Development Company and
the Consumers United Stores Com
pany, found in the assets of the state
bank, and after certain other matters
had been taken care of in accordance
with demands that we have made.
GAS for the Valley City transaction.
l have determined to make the whole
record public. because Of the lying
reports which have been published in
certain papers that are more interest
ed in dtscrediting certain state Of.
ficials. than they are in the protection
of the people Of the state from .un-
scrupulous bank operators, and Who
seem more interested in the protec-
tfon OF such operators than they are
in the enforcement Of the laws q the
stste." - b.. ......:.s.. !. .tt,,A
Dr. W \. STOREY. .eye s.spseiall.1,
viii make hiS next visit to Oakes
xay 18th omee at Homo Hotel