Morris tribune. [volume] (Morris, Minn.) 1880-2000, 1920-05-28
FARMERS HEAR TRUTH
ABOUT BANK OF N. D.
Some 400 Turn Out to Hear Four
Minute Speaker at Theatres
Sunday Evening

There was such a heavy attend
ance at the local theatres on Sunday
evening that three shows were run,
one at the Orpheum and two at the
Strand. Farmers from far and near
attended to the number of about 400,
having been attracted by the notice
that E. H. Kopplin, fOur-minute
speaker of the Minnesota Sound Gov
eminent Association, would give one
of his snappy and convincing talks
Mr. Kopplin spoke at all three shows.
The new banking system as in
augurated by A. G. Townley in North
Dakota, is threatening to curtall the
future prosperity of the state, SAID
Mr., KOpplin. The truths of his talk
were ably supported through the mo-
ton film THE Peoples Money,
shown following his address.
The speaker, in giving brief re-
sume of the workings of the North
Dakota State Bank, described us
effect on the public from various
angles.
The bank was organized, and
opened at Bismarck, North Dakota
under the fotation of a $2,OOO,OOO
bond issue.
"And the curious thing about
these 100000 bonds is, that 10
all public knowledge none of them
have been sold outside of the bank,
and good United States currency is
being issued against them" said Mr..
Kopplin.
In other words, the bank bought
it's own bonds, paid nothing for them,
and deposited them in its own bank
to draw money against. 1t was the
promotion of a bank operating with
no capital.
The speaker explained in detail
that these bonds are not saleable out
side of the state because no one will
basis. And further, North Dakota
buy them except on a prohibitive
citizens will not buy them because
the investment is considered too
hazardous. Even officials of the
Nonpartisan League stay clear OF the
bank when it comes to putting their
own money into it, or that of the
ment for December Is shows:
individuals accounts ---------- $297.25
Certificates of deposit - II, 5000
Total ---.------------$ 11 ,89425
This paltry sum represents the
leagues contribution, if it can be
claimed as such.
eff the Nonpartisan League with
it's millions of dollars of annual in
come from the Northwest farmers,
does not stand behind a bank of it's
own origin, then Mr.. Farmer, there
must be something radically wrong
with the system and operation of
that bank" said the speaker.
Where then does the bank get
it's money!" asked Mr.. Kopplin.
with the Townley machine in full
control it was an easy matter to en-
act legislation compelling the de-
post of all state, county, municipal
and school funds in the state bank,
which in North Dakota amounts to
more than 100000"
with one sweeping rule these
public funds that have hitherto been
deposited pro rata in the local banks
are now deposited in the state bank,
and are issuable only from that in
stitution.
In addition the North Dakota
Bank law provides that:
"The Bank of North Dakota may
transfer funds to other departments,
institutions, utilities, industries, en-
terprises or business projects of the
state"
There is no limit to the amount
that may be transferred. There are
no protecting provisions and no Sc
curity," said the speaker.
I'm other words, Mr.. Farmer, if
you lived in North Dakota, Townley
would be using your local funds for
financing any of his wild schemes
that he sees fit, and to promote the
State Bank of North Dakota. Your
little district school house would be
forgotten and your children's educa-
ton must necessarily be neglected.
The local banker who was always
your friend in times of financial dis
tress can no longer tide you over I'M
til tax funds are collected, because
he no longer handles any of the pub
lie funds
Mr.. Kopplin explained that ex-
perience has proved that it is next
to impossible to get the funds from
the state bank that properly belong
to the local community, because the
money is no longer there, having
been spent for new state enterprises
This chaotic condition has reacted
on all other forms of loans through
the local banker. In the past the
local banker has been the one haven
to which the farmer turned for fin
ancial aid following a period of poor
orODc Tho 1ooo1 harIzor IN, -oo&