The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1919-12-29
LEAGUE BANKERS
MIXED UP IN NEW
NEBRASKA N ESS
Charge Made That North DakO-
Ia Methods Accounted For
Big Failure


Lincoln, Neb., Dec 29-BerOre COM
Ing to Nebraska to face q charge of
unlaWfnlly converting and embe2zling
funds OF the Farmers State bank at
Halsey, Neb.. OF which he is president
r. NJ. Ridlngs Of Minneapolis made a
special trip to Bismarck, N. D., to see
}. K. Waters, manager of the Bank Of
North Dakota, in the hope of getting
financial aid to help him out of his
difficulties.
Ridings was accompanied on the
journey by II. d. Haggerty and A. D..
Touzalin, the latter Nebraska banl.
examiner, who went to the twin cities
10 days ago for the express purpose
OF forcing a down by the bank
president.
Gone With Governor
The trip failed of its purpose, as
Waters was out of town. When the
trio got to Bismarck and learned that
Waters had gone to Beach, they i'm
mediately took another train for that
place. Waters, however, had left Beach
when they arrived, and they were told
he had gone with Governor Frazier to
Hot Springs resort in Wyoming.
They returned to Bismarck and went
to see another officer of the Bank Of
North Dakota. When the matter was
put up to him he replied: mo, money
is scarce, and | cannot DO anything
for you while Jim is away" They
also called on several Bismarck bank
ers but failed to get the money they
were after. y
Ridings was allowed week to
square up the alleged $2S,50O shortage
of the Halsey bank. He failed to do
so. and was thereupon given his
choice of coming to Nebraska without
a requisition, or waiting until one
could be issued. He came voluntarily,
arriving here Christmas night with
two Nebraska officers, and going to
Halsey last night to have the warrant
served upon him there.
A bond for $4,000 was made out
in Minneapolis before Ridings and his
companions started for Lincoln. 1t is
signed by Haggerty and another man.
Confident Of Help
That Ridings expected to secure
financial aid at Bismarck to be used
in squaring his accounts at Halsey is
indicated by this statement in a let
ter he wrote from Minneapolis to Sec
retary Hart Of the Nebraska banking
bureau:
"Mr. Touzain went to North Da-
kota with us to see friend who, If
he had been at home, would have as
sisted in the entire amount. Unfortu-
nately he was absent"
The banking bureau has learned that
several of the $1,000 certificates Of
deposit which Rdings had the Halsey
bank issue to him were peddled out by
Minneapolis men to banks at Albert
Lea, Mimi; Plymouth and Nora
Springs, Ia, and Fort Worth, Texas.
These banks will be left holding the
sack if, as Secretary Hart claims, the
certificates are held to be void because
fraudulently issued
An attempt was made to get $4,000
from an Omaha bank by drawing on
another bank at Philadelphia, Mo-, but
the latter institution repudiated the
draft.
Fargo Concern
Besides issuing $2S,50O in certifi-
Gates of deposit to Ridings, the Hal
sey bank loaned $1,000, its legal limit,
to the Great Western Live Stock COM
pany of Fargo. in which he is inter-
ested,i and other loans Of the same
amount to his brother, to Haggerty
and his brother, to H. J. Hjort, to w.
II. Reck, and to r. N. Jewell. Jewell
lives at Plymouth, la. The others are
Minneapolis men, with North Dakota
connections.
Altogether, more than $4,000 was
loaned in this manner, part of which
probably will be recovered.
NEWS TO ME. SAYS WATERS
II never knew there was such &
bank" said Major J. r. Waters, man
ager Of the Bank of North Dakota,
when approached today with regard to
| the troubles of the Farmers State
| Bank of Halsey. Ncb.. with which the
name Of Mr.. Waters has been connect
ed in press reports. II had no more
| than a speaking acquaintance with
Ridings," he continued, referring to f
NJ. Rulings of Minneapolis, president 0!
the Nebraska bank. "If Rulings came
to Bismarck at any time to see me.
never knew Of it., and L have not beer
away at any time to Hot Springs witt
Governor Frazier as reported. tn
only way in which can explain th'
connection of my name with this affa1l
would he through the possible use o
an old letterhead OI, the H. -. Hagert.
Continued on Page Two)