The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1919-11-07
Eastern Press DeIves Deeply
into .Nonpartisan League Ac-
tivities Preceding the Fargo
Bank Failure.

udt tue IdlluIt Oh the NOHpdIt 1Sdn
controlled Scandinavian American
Bank of Fargo, North Dakota, created
no little stir, even in sections of the
country where league propaganda and
efforts to perfect workable organiza-
tons are being made, is evidenced by
the large amount of space being given
that strange banking catastrophe by
eastern ewspapers and publications.
Typical of the space being given the
bank failure and the general inclina-
ton to rehash the history of the
league since its conception is the fol-
lowing story, reprinted from the cur
rent issue of The Literary Digest.
Whoever heard of people giving
three cheers and throwing up their
hats over bank failure? Yet that's
what we are told lot of North Da-
kota folks did the other day when the
Observation-Disclosures Bank of Fargo
blew up, with shortage of over a
million dollars. There are two rea-
sons for the jubilation, we are in
formed by Edwin c. Hill in the New
York Sun" One is that the deposit
tors won't lose cent, something rare
IN connection with bank failures. Of
course, the deficit has to be made I'D.
but under the laws of North Dakota
the state has to make good in such
cases. So it will only increase the
state debt and add little to the taxes.
But who worries about few dollars
more in taxes these days? 1t seems
however, that the main reason many
people of North Dakota not only re-
train from weeping and crashing their
teeth, but are positively joyful, is that
they regard this bank failure as the
beginning of the end of the Socialistic
scheme for the government of North
Dakota, which was conceived in the
brain of Arthur c. Townley and under
his direction spread all over the state
in connection with the organization of
his Nonpartisan league. One gathers
that the Townley scheme, which is
said to be the most pretentious So
cialistic program that ever afflicted a
whole section of the United States"
Is not working out as its originator
said it would.
The Observation-Disclosures Bank of
Fargo Is referred to as the financial
cornerstone and the clearing house"
of the Nonpartisan league. Il is also
called the "Townley bank" inasmuch
as Townley is said to have controlled
It by virtue of his absolute control of
the league. On the other hand, ac-
cording to recent issue of THE Nom
partisan Leader" est. Paul., the organ
OF the league, that organization has
now established its own bank, known
as the Bank of North Dakota. We
are told that it was begun six months
ago, received its first deposits July
u, and is already flourishing. Coming
back however, to Mr.. Hills account of
the Observation-Disclosures Bank of
Fargo we read as follows regarding
the relation OF that institution to the
league:
All Had Finger in Pie.
Every Townley dream. drew sight
draftes on the Scandinavian-Ameri
Bank of Fargo. Every Townley
dreamer who needed ready cash SEEM
ed to have the right to take what he
needed and leave behind merely a per-
sonal promise to pay some time in
the future. If Townley's chain of
farmers store needed quick cash
somebody went to the bank and was
obliged. If Townley's propaganda or
CARNATIONS wanted more money with
which to flood the northwest with
Socialistic doctrine somebody drew
check on the Scandinavian-American
II Townley's string of country news
,apers got hard up somebody was at
he Fargo bank by the time the cashier
lad the safe open. When the roof
seconded to the blue sky of North
Dakota on the second day of October
he amazed bank examiners of the |
state discovered that the liabilities
to 81 600, 847.43."
The Fargo bank failure has been the
subject of much newspaper comment.
'ome of which leads one to the re-
lection that there is side to the |
tory not touched upon by Mr.. Hill |
| Thus, we are admonished by "Thc |
State Journal" (Lincoln, Neb.):
AS with most matters in contro-
'ersy in North Dakota, a suspension |
If judgment is called for in connection
With the closing at Fargo of what is
lnown as the Nonpartisan league
'ank. This was state bank. A ma
ority of the banking board which or
Tered the bank closed is hostile to the
Sonpartisan league. Governor Frazier
nd the league spokesman say the ac-
ion is politics purely. Their oppo-
lents say the bank is rotton. Who
,nows? Partisan bitterness has
cached such pitch in North Dakota
hat it is incautious to take at par the Il
'iews of either side"
The Other Side.
And the Fargo Courier-News,"
which is a Nonpartisan daily, sheds
his light on the situation from a
eague standpoint:
No one for a moment would assert
hat all transactions of the farmers
anks are such that one can take I'M
Irrigated pride in them. There were
oubtless many things in the conduct
the business of the Scandinavian
american bank that should have been
rdered otherwise. The thing that
as angered the farmers in this pres
Mt fight is not that they object to
ny legitimate measures taken to make
leir banks observe all banking rules
nd Iawc Thau fhaf looa T..