The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1919-04-19
LANCER TO SHOW
UP T0NNLEY IN.
RAW BA n K DEAL
Attorney General Declares He
Will Make Interesting
Evidence Public
ORGAN CROWS TOO SOON
Courier News Cackle Of Yester-
day Spurs Member of Bank
ing Board to Action
ORGAN CROWS TOO SOON


the leagues bank operations lin Val
Icy City, made by Townley's daily or
gan at Fargo yesterday, Attorney Gen
eral William LANCER has announced
his intention of making public at the
earliest possible moment full tran.
script Of the proceedings Of the blue
sky commission in. this matter =:
The testimony 81 aJck Hastings,
Townleys financial secretary, and
formerly vice president of the Ameri.
can Exchange bank Of Valley City, the
league institution; of President VIII,
liam Olson, de-facto head of this bank !;
Of Deputy Bank Examiner Haldorsop
and Of Cashier H. G. Aamoth of the
American National bank, which was
taken over BY TQNnley. has. been
much sought for w the press oit North
Dakota, but has been withhold by j. Il.
Waters, secretary of the state bank
ing board.
1t has been understood that Secre-
tary Waters was within his rights in
taking this stand, inasmuch as the
records Of this commission are open,
under the banking laws Of the state,
only to those personally concerned
Direct charges, however, have been
made against Attorney General Ian.
ger which he feels make this investi.
CATION, its causes and its revelations,
matter of public concern, and he in
tends, he declared today, to give to
the press q record which is expected
to create q sensation in league cir
cles
Interesting Record.
This record, 1t Is alleged, will show
that President Olson at the instance
Of Hastings, Or Thomas Allan Box, an.
other financial agent of Townley's or
others, signed checks or certificates
or notes for amounts which he could
not recall for purposes Of which
he was not c0gnizant. twill show, it
is alleged, that Hastings and Box put
into the bank their personal notes for
amounts which the banking commits
sion would not accept. It will show
that the sCgnsumers United, Stores
Co, benefited from similar notes
which the blue sky commits sion re-
jected. S,s 3f3<S 337 q
1T will show, it is alleged. that
Thomas Allan Box, according, to the
testimony of H. G.. Aamoth, under
oath, admitted that when Hastings
and Box charged the farmers of
Earnes county commission of 20
per cent ON the stock they bought
they took more than a legitimate
profit. but that this commission had
to be split four ways Townley and
William Lemke. a director of the Ma.
tional Nonpartigan league and chair.
man of the North Dakota Republican
state central. committee. receivinp
their share. H. viii show. IL is alleged
that the contract ia the farmers al
Barnes county for sala of tho ma ior,tv
stock OF the American National hank
which they took over. was kited more
than 315. 900. which profit the al,ankine
commission, reauireda Hastings to re.
store to thu now bank. and that Hast.
ings or Box requested that Aamoth;
cashier, Il and GRADY nresident ri the
national hank keen this tact "under
their hat, becausa the "a rmers might
get sore. n .thev knew" - =
It will be shown. II ia alleged. that
tho caDital of the now hank for which
the farmers had paid to hexin' with .
commission Of 20 ner rent 3 mn can.
italiz.tinn ~ seoO flOo WAS ,mn.ired
316.O(>O and some dollars and cents.
and that before. the state hank exam.
iner would annrove the cnnsolidatio},
he required that this imnairmant he
made IN, and that Mr. Hastines ef al
did return this ann to the Imericar'
Exchange state bank. and that the
banking commission wonld not accent
Mr. Hastinrs' statement for this fact
until tha cashier 81 the American Ey.
change hank wired his CONFIRMATION !
fownlav' W.. Hen.
r. win he shown. il IL alleged that
tNlessrs. Hastines and Rox went tn
Valley city to effect this reorraniza.
ton at the reuuest Of M. Townley
and that thew freunenflv conferred
with MI. Townly durinr the process
OF reorxania ztion. ana that Mr. Town.
r,s,s.ssas. 10y va :. y. times cosnlzant 0 tne
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