The Bottineau courant. (Bottineau, Bottineau County, N.D.) 1895-1929, 1919-06-26


New lndustfieo and Low lntoR.
cot Rates impossible With
out Central Bank.
Despite the fact that Z large man.
Der Of the bankers OF The state ars
supporting the law providing for the
Bank Of North Dakota and have made
application for the bonds to bs issued
to supply its capital, a number OF
newspapers are filled with /. v. A.
literature which pretends to find fault
with the law and to fear that It viii
not do for the banks and the farm
ers what 1t proposes to do. No voter
should be deludsd by such propa-
ganda, which Is entirely political in
its nature and which hopes to beat
the law, not because It is a bad law,
but because by It's defeat they might
claim a purely political advantage.
Bank 10 Essential.
House Bill No. 1e, which creates
the Bank Of North Dakota, Is another
law whose ratification IL essential to
the success Of the Nonpartisan league
program.
Banking Is the foundation Of all in
dustry and it would b impossible to.
conduct the, terminal elevator, home
building association and other st9te
enterprises without the Bank of North
Dakota. II the state industries were
privately financed, they would be do
pendent upon Twin City banking in
situations controlled by the same in
terests which profit by the exploitation
Of North Dakota and oppose the farm
ers' program. Naturally, Twin City
banks controlled by the Minneapolis
Chamber Of Commerce would try to
cripple the state-owned utilities Of
North Dakota and they could do this
very effectively by %curtailing cash and
credit at critical periods.
Woth the Bank Of North Dakota In
operation, however, the people Of this
state r Independent Of hostile out
side %fnanciers and the state-owned
terminal elevator and flour mill sys-
TEN always will be sure Of sufficient
money to move the crops, to encour
age BODYBUILDING, to develop our lig-
mite resources, and to finance all legi-
Innate business and agricultural un-
dertakings.
Bank Now Organized. -
The Bank Of North Dakota was or
ganized last month and will aid the
financing Of this years harvest. It's
managers and other employees have
been appointed and its regulations
drawn after consultation between the
Industrial Commission and the leading
bankers of the state. Arrangements
also have been started to have the
Bank Of North Dakota affiliate and CO.
operate with the Federal Reserve
Banking system. \.
Bankers and business men are
agreed the state law is q sound, con-
structive measure that will be Of in
estimable value in promoting the agri-
cultural and industrial development Of
North Dakota. The Bank Of North
Dakota combines the best features of
the Federal Reserve Banks and the
Federal Reserve system stabilized the
banking business Of the United States,
mobilized credit In times Of emergency
and provided for more elastic cur
rency. The Bank Of North Dakota
will do the same thing for the TOO
private banks Of this state. The Fed
eral Farm Loan act has enabled hun
dreds Of thousands Of farmers to Dor
row money for longtime periods at
easy terms. The Bank Of North Da-
kota will offer the same advantages
to the farmers Of this state.
Keeps the Money In State.
The Bank Of North Dakota will ect
% q clearing house and reserve for
the 100 private banks throughout the
state This will facilitate business
and transfer 20 North Dakota many
millions Of dollars now carried BY
North Dakota banks In the vaults Of
the great financial institutions OF Min.
neapolis.
It II estimated that approximately
e20.000,0N will b transferred from
Minneapolis 70 North Dakota. This
viii add an average Of 100000 To- The
banking resources Of every county Of
the state. The result Win b . reduc.
don In the lAts Of interest
Farmers q North Dakota aov pay
On average Of ~ psrcsnt intseses "a
GONE oS0o.Oo0.@ q farm mortgages.
! otA9 words, tho taSmesv a THU
rate ars paying 92o6a8,m every
ysaR n interest charges on real Dotatl
loans Hset 6 this interest goes b
loan and tns1faAco conce1nD locnted
suitable To STATE.
The Aaok q North Dakota vu d
a. 6spodtory u al public funds and
these public funds viii Be used tol
public purposes. They viii b care,
fully safs-guardsd 80 there 10 no pos.
ability Of loss.
The capital Of the Bank Of North
Dakota ID to consist Of $2.O00,O00, dc.
rived from the sale Of bonds issued Al
5 percent. Conservative bankers agree
--~-AVy