Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1920-01-07

"
dunn and initiative. He spoke Of Lem
ke's pamphlet and campaign speeches
Of Governor Frazier, Informing the
people that they should have a right
to pass upon measures which they
considered Objectionable. ,He told
how the voters were informed that
1000 petitioners for a referendum
could hold up a bill until the people
had q chance to pass upon it. When
b legislature convened two months
after election, Townley found that he
lacked one member in the house, and
the. league started'a contest. LANCER
declared. to unseat Weber and seat
Riba. This contest succeeded, and It
gave the league the two-thirds vote
necessary to pass the emergency.
clause. The speaker said that some
objected to passing emergency claus
es because they wanted to give the
people an opportunity to pass upon
the bills, but Towpley declared that
the farmers Of the state didn't know
what they wanted" and hc wanted.
the emergency clauses and got them:
AAAAAS kAOASduu oh udluIVS H. COulU
bring on a referendum election. the
speaker said, but. Townley declared
they could not get that many signers.
After the legislature adjourned"
LANCER said, twenty-five, men. prac-
dcally every one OF them from OUT
side the state, left Bismarck to go
through North Dakota and tel, the
people not to sign referendum petit
tons. Instead of urging an oppor-
tunity for the people to pas upon the
bills, as 'Lemke and Frazier and other
league leaders had promised, these
speakers urged them not to. sign the
petitions. And what ~happcncd?,
There were $4,000 signers. and an
election was called. And L am proud
myself and others went out and OPP
posed the infamous printing bill and
7 the board Of administration bill"
T. Valley City Bank Deal.
The speaker then plunged into an
expose Of the Valley City bank affair
! which, he said, caused the real break
with Townley. The latter had. not
made very loud objections to Iangcr's
actions till he began blocking him in
his financial deals. He spoke of the
Vaccinations Of Thomas Allen Box
and J.: J. Hastings, in organizing
banks. First, they worked with Por-
ter Kimball, and organized a bank at
Htllsboro, for which they received S.
900 commission; one>at Hatton, for
/ which they received $1,000, and one
at Grand Forks. for which they re.
ceived $500. At this stage Kimball,,
he said, was ousted. and to pIacate
him they gave him control of. a mine
at.Kenmare. Box and Hastings then
went to Knox and organised a bank
at s$2.000; to Leith, and organized one
at $4,000; to Casse1ton, and organized
n at $4,000, and to various other
places, where they received larke com :
missions. The banking board, i, the
speaker said, didn't like their activi-
ties. but under the law could do moth
ing. Then, came the Valley City deaf.
HASTINGS and Box went to that city
and in less than a week, .aftefNs, a
meeting with the farmers, sold s20Os;s
Q worth of stock for a new bank. for
which they received $4,000 in COM
mission. They, them held another
meeting with the farmers. he said,
and explained that there already were
four banks in Valley City and that
before a fifth was organized the
farmers should make an attempt to
buy one of the others It was de-
cided to do so, he said, and Hastings
and Box. went to the American Ma
tional bank and closed a deal for the
purchase of that institution for ap-
proximately- $146,000. The contract
was made in triplicate. the speaker
and Mr.. Aamoth, for the bank, and
by. VIM. Olson, J. ]. Hastings and
Louis N%oltirnier for the farmers. The
farmers, then, were informed, Mr..
LANCER said, that the bank had been
purchased for $1,000 difference
OF $~lb,02s:9l in the actual price paid.
This made an additional $4,000 prof.
\ ~. 70. D@--@-I - go
4 q were. not, satisfied with this, SO
IN less h a week they had taken
out $a6.375 on notes, N signed by
Boz, one by Hastings and several by
the Federal Development company.
Their came the request to amalga.
Mate the banks. When the requcsI
was made to the banking board, Gov.
ernor FRAZIER. LANCER said, held that
the transaction had been all right, but
Hall and the attorney general objec.
: ted. declaring they wanted to pu'
VIM. Olson on the stand. Olson, whcr
I examined, he said he didn't know how
J much had been paid for. the bank
|, Hastings and Box then were called
back from q trip to Florida and wer,
examined by the board.
Hastings testified, LANCER said, thu
he was sent to Valley City by A.. G
Townley and that he wa to report t,
! Townley. His Instructions, he tcsti
fled, yer to see that the league al
ways kept control Of over so per cen
. of the stock.
Wanted Contract Changed.
AAmoth testified that after the ban
was sold Box asked him to change En-,
Eeontract to read 1852, 900 Instead o
&a46.000., Aamoth said that he tol,
Box that he thought they were max
ing enough profit, but that Biz re-
Piled that It had to be split four way
THAT TownIey and, Lemke got tibet
share. too.
Before the banks were allowed /,
amalgarpats, LANCER and Hall force,
Box ana Hastings to make the note
good. -
'.Townlsy 0zne 70 me;stasn..
said IAneeR, ..iend 1aye mo- tl,o
same talk tlaatXhc raves he farm.
eng u the ahAke-60Wn meeting in
Fargo. H0 0ad thAt tho .faFnaeey
movetnent .wAs big one and
shoNd not b6 ilrpoded. But /
saAd 10 yONnleY then and / ay 70
81 yoa now fhA6 n the farmers
II mOvU1ncnt h&nOt ~ 0pagh TO
Mcceed ulfhoat tfoAb8ne thelaFm-
Il es,itha wAoss ~ bse3er that II
LAngsr told how waters Wa sum
u m0ne1t to Fargo. WherS he met Town