Morris tribune., 1919-10-17


fered and in the meantime there is
much fear and speculation as to the
future. The Townley forces say the
whole thing is politics and have in
voked the aid of the courts to the
extent that official interference with
both the Observation-Disclosures
Bank and the State Bank of North
Dakota has been temporarily sus-
pended. Politics or no politics,
however, the disclosures have shaken
the Flickertail state to the very core
and while the awakening is a rude
one it is having its good effects. 1t
means the end of Socialistic finance
in North Dakota.
If the Nonpartisan Lague secures
control of Minnesota one of the prom
ised Townley reforms is a duplicate
of the official state bank of North
Dakota and already those in control
of the League are gloating over the
vast fund that will fall into their
hands if their dream is realized. It
reads like a fairy tale: Permanent
School Fund, $28,884,576.38; Perm
anentr University Fund, $685.
57O.4O; Internal Improvement Land
Fund, $2,9O5,8O9.99 and State
Swamp Land Fund, $6,365, 862.91;
total $39,941,819.6 Add to this,
annual receipts of over $35, 100000
topped off with about $15O,OOO, 1000
representing county collections in the
shape of taxes and other lines Of
revenue and the grand total ap-
proaches a sum so vast that Townley
and his satalites must fairly shrek
with delight when they think of it.
Under the North Dakota state bank
ing act all is grist that comes to those
in charge. Tt is the official deposit
tory for all state and county funds
which those in authority redeposit in
Nonpartisan League controlled and
favored private banks.
Minnesota has no official state
bank similar to the Townley created
institution in North Dakota. The
state treasurer is it's official banker
and state money in his possession is
so hedged about by law and official
regulation that loss is practically i'm
possible There can be no loaning
on pOstdated checks or other doubt
full collateral as in the case of the
Flickertail state institutions. No
socialistic ideas are PERMITTED to in
trude. Only the soundest of f1nan-
cial methods are allowed. This has
been the rule and the law for more
than fifty years of statehood and
Providence helping, it will continue
so. AS to the states banking system,
none approach it in completeness or
soundness of policy. To amend or
enact new banking legislation calls
for a greater majority than that re-
quired to adopt any other kind Of
legislation and as result wild cat
ting is at a minimum. In conse
quence, Minnesota banks enjoy the
confidence of the financial world.
Quoting the head of one of Min
nesota's largest and most influential
state banks, the North Dakota bank
ing act is beautiful in theory. 1t is
Socialistic dream and on paper is
most attractive. It's chief and most
fatal defect, however, is its adapt
ability to the Vaccinations of the
designing politician or group of poll
ticians and if support for this claim
is wanted it is found in the present
crash of authority attending the ex-
posture of the 1oaning activities of
the northumberland Bank Of
Fargo. While the Nonpartisan
League is virtually in control in
North Dakota, quite number of
those in authority are not inclined
to bend the knee as Townley directs
and the new idea in banking is one