The Hope pioneer. [volume] (Hope, N.D.) 1882-1964, 1919-10-16
the promptness and vigor with which
1t is pushed for collection.
n. e. kNAACK LINE.


This loan consists Of seven notes
ranging from $4,000 to $4,000 and on
all of which the only security that
the bank holds is the name of the
maker. The notes aggregate $4,000
and are those of u broker frc,n
Hartley. Ia. who has been connected
with Mr.. Hagerty, whose obligation
has been discussed. and who tinan-
condition as Mr. Hagerty and his
obligation, except that MIR. Knaack
is dead.
This loan went into the bank ut
the same time the Hagerty loan was
placed and is ven more financially
disreputable than the Hagerty line.
II. E. Knaack was II member OF a
coterie Of fast and loose brokers and
who, at the time of his death, was
possessed Of no tangible assets what
excepting Il tabled policy of
insurance in the sum OF 5000, 900. 1t
is known that if this policy existed
1t is in the courts being held VI by
the companies for one reason or
another. This loan is considered in
same class with the Haserty deal.
NO. 8 LOAN.
The No. 8 loan amounts to s22.-
200 and there is no collateral for
the same. The security behind this
loan depends upon the signature Of
the company and the personal in
dorsement of it's officers who are
financially dependable men. This
a is of course excessive, both in
law and for the purpose Of good
banking. 1t is undoubtedly valuable
in all respects and the men who
are behind this company will make
good every dollar loaned when call
ed upon but the loan itself is en-
tirely too large.
NO. 9 LOAN.
This line OF credit consists of l3
notes ranging in amounts from SIS
to $4,000 and aggregating s26,S61.j0.
AS security for this loan the bank
holds u chattel mortgage on 1859
sheep in the county of Wilkin, state
Of Minnesota. 1t also holds a sec
ond mortgage. with a prior incum-
brance of $4,000 at least, on GAO
acres, the land being situated in
Clay county.
The security for this loan is n
tirely inadequate, consisting Of chat
tells and secondary liens. It's vali:e
depends largely upon the prompt
ness with which it is brought to a
settlement. 1t is outside Of The
banks territory as are many other
Of the loans made by the bank AMI
here discussed. and is difficult to
watch and is in all respects a dam
gerous loan for the bank to handle.
.. A. M. GRosvENoR DEAL.
This line consists Of nine notes
ranging from a memo. unsigned 40
tation in the sum Of $3.50 to IA S10,-
600 note and aggregating in all the
total of $29,426.33. This deal came
into the bank in the late spring or
of Thomas Allan Box and j. H. Has.
tings. Mrs. A. NJ. Grosvenor is a
oma who lives at Casselton and
vas prior TO that time Il very veal
thy widow. For this lien of credit
the bank holds several second mort
cages as security for the larger por-
ton Of the line extended. There IL
a prior incumbrance. however. ahead
of all the bank security for this
loan of something around $40, 00A,
held by liens on eight quarter sec
tons OF land and a valuable piec-
Of city property.
This loan is entirely too large and
it is very questionable whether it
will ever pay out in full. 1t was
extended without any regard as to
the collateral behind it and is a fair
illustration of much of the random
banking done by this institution.
PORTER kiMBALL LINE.
This line of credit consists of four
notes amounting in all to s15,066.57.
This consists of two notes signed
by the Peoples Coal company a5-
gregating ~$7.S91.77 and two notes
signed by the National B~riquetting
company aggregatinS s7.174.sO. Al!
OF these notes are Endorsed by Por-
ter Kimball and j. w. Deemy, the
owners and officers of the two COM
panies.
The above line is excessive. is
without security Of any kind and is
wholly unjustiied by the worth CT
the company or its officers. This
loan is extremely poor and has been
ordered out repeatedly both by the
banking department and the direc-
tors. Both Of these concerns have
heavy obligations with other banks
in this state and are failing to NEE.
them.
NO. IL LOAN.
No. - line Of credit consists Of
tWo SS OO0 potcs cirpcd h,, n oor-