The Glasgow courier. [volume] (Glasgow, Mont.) 1913-current, 1920-08-13

an INSTITUTION III WHICH di puUiN
funds in the state are by law required
to be deposited and in which som'
$685. OO, 900 of public funds have il
pursuance o" law been deposited.
Being a public institution, and hand
ling such an immense volume of the
peoples money, it is not surprising
that the public should desire some in.
formation concerning its affairs. II
is far more surprising to the average
citizen that the officers in charge OF
the bank, who are on the states pay
roll and theoretically at least the ser.
wants of the public, should keep the
public in the dark concerning its pro-
gram.
Just now there is a good deal of
speculation concerning the purpose for
which the bank officials borrowed in
Chicago a million dollars, giving ST.
zoo, 900 of bank be- y as security and
paying z per cent interest. What has
been done with the $4,000, 900 is not
stated, but a recent statement of the
bank informs US that farm loans a.
mounted to only s~2,759,3s5 and that on
July Is the bank had in cash on hand
and due from banks the sum of SIP
3O2,359.
If there was any good reason. with
so much cash available, for borrow
ing a million dollars and paying so
high a rate of interest, that reaso is
being so closely guarded that the state
auditor and the attorney general have
no knowledge thereof, and it is not be-
lieved that the state treasurer can
throw any light on the subject. As
to the secretary of state-well, it does
not officially concern him anyway.
Assistant Attorney General Frank
E. Packard, former tax commissioner
and one of the best posted men in the
state on matters of taxation and fin
ance, has addressed to w. A. Ander-
son, secretary of the industrial com
mission, a request for information on
this subject, in part as follows:
According to Bulletin No. 7, series
of 1920, the Bank of North Dakota had
at the close of business on July Is,
1920, "cash and due from banks" S12,-
~302,385.33. Just why the state should
be borrowing money at this time and
paying z per CEN interest in view Of
this statement of cash on hand, is but
one of the mysteries which surround
the entire administration of this
unique institution.
Referring to the condensed state
ment of the condition of the bank on
July Is, there are a number Of inter-
esting things revealed rather by sug-
gestion than by actual statement. 1t
is to be noted that of all the money
this institution had handled, only ST.
7~59,385,30 has gone to pay mortgages
upon farm lands. One item of $685.
1882 is labeled "bills receivable, re-
discounts, and public transfers." 1t
would be highly interesting to know
how much of this large sum of money
is actually in bills receivable and re-
discounts and how much in public trans
fers. Why lump three such impor-
tant items? Can it be that the bank
management has anything to cover
up?
If it is a fair question, Mr.. Ander-
son, how much of this $2,895, 575.92
consists of funds which have been
loaned to favorite elevator PROPOSE
tions? If l were compelled to guess
l would guess that $4,000 900 would
be included under the caption of pub
lie transfers.
Another interesting thing about
this condensed statement is the item
of s12,302,385.33 under the caption
"cash and due from banks. Now,
Mr.. Anderson, how much of this is
cash and huw much due from banks,
and from what is it due? In view of
the fact that repeated calls by the
state bank have been made upon the
banks of North Dakota in which pub
lie funds were deposited, it would be
interesting to know how much of this
large sum of money is deposited in
the banks of North Dakota. l have
talked with a very large number of
bankers recently from whose banks
all public funds have been withdrawn
This appears to be the general con-
dition throughout the state.
1t would also be interesting to know
how much of the public funds of this
state are deposited in the banks Of
New York, Chicago and the Twin CT
ties. Is it ten millions as has been
charged, or is it six million or fou,
million? The public would be really
interested in this information if il
could be had.
And, Mr.. Anderson, does the Bank Of
North Dakota keep any considerable
sum Of money outside the state? II
does not do a commercial business anC
clears little if any paper except the
warrants of the state and it's politica.
subdivisions and these could be readil,
cleared within the state. Why, wher
we need the money so badly in NORTH
Dakota, does the peoples bank" so.
called, keep millions of dollars on de.