The Ward County independent. [volume] (Minot, Ward County, N.D.) 1902-1965, 1921-03-03

The most sensational testimony We
heard in the legislative hearing wa.
given Saturday morning by James
Waters, former manager of the Bank
of North Dakota. Immediately after
concluding his two hours Of testi.
mony, Mr.. Waters, who has until re-
Gently been in a hospital, tainted and
was carried out of the room.
Mr. Waters made the most sensa-
sional and important disclosures by
far that have been made since the
hearing began. He alleges that j. j.
Hastings had informed him that Hast
ings had secured $50,OO0OO of Ger
man money for the Nonpartisan
league just about the time the United
States entered the war.
Waters alleges that VIM. Lemke,
referring to the Scandinavian Ameri-
can Bank of Fargo, remarked, "By
God, we viii! keep that bank open if
it takes every dollar of public funds
in the state of North Dakota"
Waters also alleges that +. r. Pol
lard admitted graft in connection with
the purchase of supplies for the Home
Builders Association. The legislative
committee passed a resolution re-
questing the heads of firms with
which the Home Builders Association
did business to come to Bismarck and
tell the committee if there had been
any graft. Waters testimony is so
sensational and important the hide
pendent publishes a portion of it as
follows:
Bismarck, Feb. 26.-J. r. Waters
testified under oath before the house
audit committee today that J. J. Hast
ings told him he had secured $4,000
of German money for the Nonpartisan
League about the time the United
States entered the war.
The official transcript of Mr.. Wat
ers' testimony on this point follows:
By Mr.. Sullivan: Well, tell us what
the conversation was.
A. Well, Mr.. Hastings and Mr.. |
Townley were both here and talked to
me about - l will call him Jack -
about Jack going to New York to sell
bonds
@. Mr. Townley and Mr.. Hastings? |
A. Yes, sir
Q. Now continue the conversation.
A. And | said to Mr.. Hastings, I |
have nothing to do with the sale of
bonds. Mr.. Cathro handles the bonds !
and any arrangements you made with |
him, of course, will be satisfactory
with me. But | said: "Jack, you
are not going to be able to sell these |
bonds at this time through any of the
regular channels or any of the reg
ular bond houses, because it is quite
evident that they are not going to
buy these bonds,". and he said to me:
Il don't expect to sell these bonds
through the regular channels" he
said, 81 am going down there and
place these bonds with this bunch of
radicals that Governor Frazier has
been down there talking to, and I
nave a very good friend down there,
a Mr.. Podgenstecker, from whom we
got $4,000 of German money"
Q. He said what?
a. From whom we got $50 900 of
German money
q. When?
A. About the time we were going
10 war.
Q: Let's get this straight, jim. He
said that he was going down to see
this man Podgenstecker from whom
ne had gotten $4,000?
4. That is what he told me.
y, Did he ever tell you that he had
seen Podgenstecker?
A. Yes, sir.
@. What did he say about it?
A. Well, he said he was a wealthy
paper manufacturer, and then he went {
down there at the time the league was I
practically broke and that he met with
bunch OF these people at a dinner ]
ana gave them talk on the aims and !
purposes Of the Nonpartisan league,
ana that they needed financing, and
ne SAID at this dinner there were sew I
era that signltied their willingness !
10 give financial. assistance. but that !