The sun., 1919-10-06
NON-PARTISAN
LEAGUE FIGHTS
TO REOPEN BANK
Its Existence i'm North Da.
kOta Threatened by Ac-
tiOn at Fargo.
GOVERNOR MAKES APPEAL
Charges Plot Against Farmers
Other Officials Allege
Justification of Reports.
Special Despatch to THE Sun.


FARGO, n. D., Oct. 5--A fight to the
finish in the courts of North Dakota
to reopen the Scandinavian American
Bank of Fargo, closed last Thursday
by anti-Administration members of
the State Banking Board, will be
started this week, according to Lead
ers of the Non-Partisan League, who
are in Fargo to-day.
Along with gaining control of the
State government during the past
three years the Non-Partisan League
Las obtained the upper hand in the
courts of North Dakota, from the Su-
preme Court down. Non-Partisan
League headquarters in Fargo an
rounced to-day that action will be
Supreme Court to have the State
Banking Boards action declaring the
local farmers bank insolvent nulli-
fed with the view of opening the in
stitution before the last of this week
A. c. Townley. president of the Ma
tional Non-Partisan League, arrived in
Fargo early to-day from a trip through
North Dakota and expressed himself
as confident that the bank would be
reopened and would become one of the
strongest banking houses of the State.
TownIey Sees Conspiracy.
''Well beat them in this fight just as
we have in every other fight since the
league started" said Mr.. Townley. THE
closing of the bank Is just another at
tempt by our political enemies to ruin
the farmers, this time through their
pocketbooks. and it can't be done"
Following a conference at league
headquarters this afternoon, which was
attended by Mr.. Townley, other league
officials and officers and directors of the
NEUTRALITY-SUSPICIOUS. Bank, William
Lemke a Fargo lawyer, who has been
called the brains of the Non-Partisan
League" left for Bismarck. the State
capital, to begin the legal battle for re-
opening the bank and to put a stone in
the path of the Banking Boards alleged
activities to close other farmer banks of
the State said to be heavily loaded with
farmers notes and post-dated checks.
Gov. Lynn ]. Frazier who is a mem
her of the State Banking Board and
who was overruled in the late bank clos
ing action by the other two Banking
Board members, Attorney General Will
lam LANCER and Secretary of State Tom
Hall, issued a statement to the people
OF North Dakota last night calling the
Langer-Hall move an effort to wreck
and destroy all farmers organizations"
The Governor termed the attack on
the bank a violation OF "the rules of
Justice and "move against the laws
Of the State" He assured the people
that he would do everything in his power
10 rectify the unnecessary embarrass-
ment of the bank"
Bank Omcers Arrested.
Late yesterday the president and the
cashier of the Scandinavian-Americ
Bank, ]. II. Hagen and c. ]. Sherman.
were arrested on complaint of p. e.
Halderson, temporary receiver Of the
bank, charged with making false state
ments and reports TO the examiners.
Both furnished bonds for $1,000 and
were released.
Mr. Hagen said to-day that as yet
he has not been informed as to the
charges against him.
I'VE have never had a more pros
porous year than the past year ami
since we have cooperated with the
farmers movement in North Dakota our
bank has grown to be the second largest
banking institution in Fargo" he con-
tnued. 81 will spare no expense in Il
fight TO reopen the bank and save our
stockholders and directors from loss"
Since the bank has been closed much
has been said relative to the value of
farmers pcst-dated checks and notes.
The majority members of the Stat"
Banking Board and friends Of theirs
declare the checks are worthless, but
friends Of the league claim they are
worth par
Officers of the Scandinavian Ameri-
can Bank say they have taken the post
dated checks at SO per cent. of their
par value and that all notes held are
we'll secured. This is the time of the