The New York herald., 1920-12-28
Bank Of North Dakota,
Bossed by League, Forced
Receiverships.
HAD LOST AT POLLS
Voters Ended Monopoly
Which Gave Control of
Funds to State.
SMALLER BANKS CAUGHT
Could Not Meet Demands
Since Farmers Held Wheat
and Did Not Pay Notes.

speolai Despatch to THE NEW York HnEAI.p.
BISMARCK, ". D., Dec. 27.--One OF
the most effective ways Of curing
dog OF fieas is to starve the dog--pro-
vided you feel certain that you're not
going to miss the dog afterward. At
any rate the dog and the fieas become
utterly useless to one another there
after, and while the dog may be per-
fectly satisfied. as eventually he be-
comes wholly noncognizant OF things
post dating his last meal, the fieas
may feel a trifie impotent for period
until they can establish themselves
upon another dog.
This. in a manner of speaking, is
the way a considerable portion OF
North Dakota is viewing the financial
status of that commonwealth just now.
Inasmuch as the parable would lilsen
it's dog to the Bank of North Dakota
no offence must be taken by any per-
sons who think they find themselves
in the position Of the aforementioned
f1eas. AS a matter of truth the heas
are not represented by persons, but
ideas.
To make a brief summary OF the
principal causes why twenty-seven
banks--two of them national banks
have failed in North Dakota since
November 2, it here is necessary to
say that the Independent Voters AS
sociation of this State decided that just
so long as Arthur Townley and Will
lam Lemlxe. head and shoulders of the
Non Partisan League movement tstill
known as movement despite the fact
that the motion is up instead Of for
ward) controlled the Bank Of North
Dakota, North Dakota was going no
where that anybody else was going
and therefore might just as well quit
for a while. And it must be under
stood that the Bank OF North Dakota,
as conceived by Messrs. Townley and
LemIxe. was the exclusive recipient of
all public moneys.
All Supported Non-Partisan
Thus the Non-Partsan League had
@NoTln DdHold Dy tHr iHS fS>~~--
of North Dakota paid the State. county.
township or municipal treasures per
cent on all moneys thus taken In and
then lent it to State and national banks
at per cent Some day it will be pos
sible to tell folks what became OF the
per cent profit received by the bank. 1t
also will be possible to let the public
know how much of this per cent. Mr..
Townley's Non-Partisan League received
for campaign purposes and whether the
State of North Dakota was or was not
supporting a political party with its own
public funds.
1t may turn out that North Dakota
rejoiced in "a situation where every tax
payer. no matter how he voted or what
his political opinions may have been, was
supporting the Non-Partisan League
where the Non-Partisan League had
legislated itself into a position where
even its bitterest enemies helped sup
port it.
However, that would be but col
lateral condition. although Immediately
germane to the question in discussion
that OF the failing hanks of North
Dakota. To repeat, twenty-seven banks
have put up their shutters and draped a
paddock on the outside of all doors since
November in North Dakota. The lat
est Of these the First Farmers Bank of
Minot, closed its doors yesterday. Funda-
mentally. the decision of the farmers to
let their grain and other crops rot in
the field and grow mouldy in the bins
rather than accept a cent less than the
prices they knew they couldn't get in a
falling market brought to pass a lam
entable condition.
They demanded, for instance, $3.50 a
bushel for their wheat. The big millers
said 1t was impossible; that prices were
falling, that everybody was losing money
and that the farmers would have to
stand their share of the losses. That's
too brief and possibly slightly unfair
summary of the wheat situation, but
there's no room here for more.
Sonator-elect Iadd proposes to tell the |
United states all about IL the moment he |
assumes the seat about to he vacated by |
Senator Gronna. whom he defeated. AL
ready he has written volumes upon The |
true situation.
But the bank debaclc was prccipitated |
by the tremendous wallop the voters of |
North Dakota bestowed upon the Town |
ley-Lemke bank on November 2, which |
day was devoted by America to voting. !
on the face OF Il tho Non-Partisan
Leagues Industrial programme. which |
depended to n vast extent upon the sue |
cess or failure Of the Townley financial |
scheme, was a good thing. II was revo- |
hitionary and gave It's enemies ample |
opportunity to set up the dread cry of |
socialism"
But II was not socialism. and II did |
promise much needed relief for the |
farmer. and the farmer is North Dakota.
Bowever, the Bank OF North Dakota,
being the Townley financial scheme. be- |
came an arbitrary despot, far moe re-
dictionary and intoIerant than the most |
conservative Of banks In the hated realm
OF big biz" to use n favorite political |
upthet of the league spellbinders.
II became hated. as do all tyrants, and
by the same token II received the usual |
swift and effective dose of the axe. IL |
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fs.sS