The Oakes times. [volume] (Oakes, N.D.) 1906-current, 1919-10-23

to have resulted from the re- .
cent action Of congress in re- .
peal!ng the daylight saving act. .
In answer to numerous inquir-
les officials have pointed out .
that clocks may not, be turned =
q back until the last Sunday Of
October, or Oct. 26th, at 8 q. m. =
ss.s 4
CAPITAL NEWS LETTER
Sent out weekly by Earle II. Tostsvin,
Secretary North Dakota Press !
Association
Bismarck, Oct. 23.-The supreme
court tomorrow will receive from the
attorney general additional afldavits
bearing upon alleged insolvency Of
the Scandinavfan-American Bank of
Fargo, as requested by the court, fol-
lowing it's original hearing ON the
matter last week.
At this hearing William Lemke,
representing the bank whose doors
were closed by the state banking
board several weeks ago, presented
several a1iidavits in which an &C.
countant whom the bank had hired,
the state banking examiner and other
interested parties made oath that the
bank waa solvent; that everything
was lovely, and that President Hagen
and Cashier Sherman were one Of the
finest little pairs Of bankers In the
state Of North Dakota.
Assistant Attorney General Sheets.
representing the state for Attorney
General LANCER. objected to the su-
,preme courts attempting to deter
mine the question Of the banks SOL
.vency from these afadavits. He in.
sisted that the state should have an
opportunity to put the men who made
these afadavits on the stand and to
question them and cross examine
them :as means 6f determining how
they arrived at their conclusion.
Attorney William Lemke of the .la-
tional Nonpartisan League, appearing
for Hagen and Sherman and the
hank, objected to the taking Of oral
testimony, insisted thxx his ahidavits
were I'LL the court need consider. and
that It should decide the case right
o1 thss bAt p1 NE strength Of these
andavits: dissolve the temporary re.
csivership and reopen ths bank.
It is we'll known that Mr.. LANCER
wants to examine come i've or six
men under oath. There are men who
will not make. an, a1Iidavit, but who
will tell the truth in their subpoena.
SO that he is especially anxious to
get Roy NJ. Halliday. ]. R. waters and
A. G. Townley and some others who
hesitate in betraying the farmers Of
North Dakota on the witness stand !.
He also wants to find out how Town
ley came to promise Hagen half =
million dollars deposits; how Halli-
day tipped of the bank before the
examiners were due. It is also said
that LANCER has dozens Of letters that
will make some real reading for the
farmers Of North Dakota. I:
| Attorney Lemke, Tor the league,
admitted that the Brinton newspaper
trust loans were excessive. He Of
fered no apology, however, for the
fact that the Brinton combine had
succeeded in borrowing from the
league bank at Fargo almost twice as
much as 1t was legally entitled to
under any legitimate Interpretation Of
the banking laws Of this state and
that these, grossly excessive loans
were poorly secured. II secured at all.
He said they should be thrown out.
and Lemke further admitted that
there were other loans which should
be ditched. He also confessed that
President Hagen and Cashier Sherman
who had borrowed literally Of the
bank funds, had violated a regulation
Of the state banking board, but he as
sured the court that all the board
could do in this instance was to ex-
act small fine. He showed there must
have been some good foundation for
the banking boards attack on the
excessive loans to the league organi.
cations because, he said, the Consum.
ers' United Stores Co. had. reduced,
during the receivership. its indebted.
ness to the bank by taking up $4,000
Of the original loan Of $4,000.
The state. through Assistant Attor-
ney General Sheets, attacked the ac'
tivities of State Examiner Lofthus on
behalf of the Scandinavian:Americau
Bank, Of which the. court had made
him temporary receiver. and he re
ferred to the examiner % . smoke
barrage behind which the bank and ita
officials had stalked into the supreme
court Of this state to ntigate theil
private ventures. +.
one effect Of the suprsme court or
der requiring further afndavits from
the state was TO. delay the dnal decis
ion Of the Fargo hank matter until af
ter TownIey's "messs: meeting Oct
21st. In which Townley hoped to in
duce farmers to put up sufficient
Efunds to save the institution which h
has ali, tho time insisted 10 solvent
Just Why there should be- ~. mucl
fuss about putting up moaek 70 savl
1 solvent institution - not s&plained
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