Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-06-30

attempted the big Jobs OF white
washing the Bank OF North Dakota,
Bill SLemke, r. w. Cathro, and In fact
wore, well stick" button except
Waters and Brinton for whom black
paint was used.
that time Henry was chief wetid-
or Of the brush. He appeared indis-
as star witness, attorney,
secretary of the Industrial Commits
sion, and general master Of ceremon-
les. and in general was the Lord High
and everything else.
How Henry appears to have been
cutting quite a swath in the banking
world. At any rate the minutes of
the Scandinavian american Bank
show that the directors thereof saw
fit to elect him a member OF their
August body. Also the stock book was
made out in his name.
But the late lamented c. Julius
Caeser had nothing on Henry when he
refused the crown thus offered to him.
Reason Not Revealed.
At least the aforementioned Mr..
Brevtg says that Henry never qualified
or took his seat on the board, and that
the stock certificate made out In his
name was never issued to him.
The reason for Henry's peculiar
modesty along this line was not ex-
planned. 1t is worthy Of note, how
ever, that when he himself gave his
ing he swore that he had never held
any position in the Fargo bank.
There was no explanation Of what
became of the stock certificate orig
inally intended for MIR. Paddock, but
another certificate bearing the same
number, was, according to Mr.. Bre-
Wig. and the records Of the Scandi-
navian-Arnerican bank delivered to a
Mrs. Ole Nelson Of Abercrombie.
Then there was that Caselton bank,
The Peoples State, which will be re-
was alleged to have loaned a needy
friend 5000 on a building that had
burned up some time before the loan
was made. It's financial methods
were again in the limelight. @
Mr.. Brevig was made to tell how on
two occasions at least worthy breth-
rem had borrowed none from the
Observation-Disclosures bank to buy
stock in the Peoples State Of Cassel-
ton. had put up the shares thus pur-
chased as security for the loan. and
JOW lIc dI6V UoAh LII SuIu, lldu
shot this collateral on to the Bank of
North Dakota, for rediscount thus
making the Bank of North Dakota, in
fact if not in law the actual purchaser
of the shares.
Said Peoples State bank which is
now closed was one of the 80 friendly
banks which figured 80 prominently
in the redeposits accounts of the Bank
Of North Dakota and which divided
honors with the Scandinavian-Aineri-
can of Fargo when 1t came to receiv-
ing favors from the state institution,
so far as Cass county was concerned,
at least.
This was all duly shown from the
Fargo banks records this afternoon.
Too Much for Brevig.
The banking methods of the Scandi-
nav1an-American bank came in for
some discussion. and here even Mr..
Brevig, the assistant cashier Of that
institution, who had testified that he
had over 20 years of banking expert.
ence, had to draw the line.
I'm your experience did o ever see
such banking methods used except In
the case of this bank. the Scandinavia.
an-Amertcan and these parties? de.
manded Mr.. LeSueur, referring to the
relations of the Scandinavian-Ameri
can bank with the various league en-.
terprises, with their endless details o.
renewals and kiting Of notes, redis,
counts, etc.
NO." replied the witness.
Toward the close of Mr.. Brevig',
testimony, Judge w. L. Nuessle tool
a hand in the examination in the efforr
to unravel the complicated wab of en-,
dorsements, certificates Of deposit
ETC., which made up the relations o,
the Observation-Disclosures bank ant
the Ransom County Farmers Bank O.
Lisbon, one of the Associated banks
with which close relations were main
tanned. He succeeded in making tn,
situation slightly clearer to the jury.
No Evidence SO Far.
Attempts by Attorney LeSueur
to delve into the charge of EN-
bezzaement now faced by F. G.
Heaton. an assistant cashier OF the
Scandinavian American bank were
shut off by Judge Nuessle. who
stated in his ruling that such tes-
timony at this time was unneces-
sary for the a that the state
SO far had failed t produce any
evidence to disprove the charge
made by Brinton that embezzle-
ment had taken place In the Far
go institution I'm connection with
the pubic moneys Of tho state.
He pointed out that in a perjury cas-
such as this it was for tn,
state to assume the burden Of provin)
that no such e~mbezzlement had beef
committed.
F. w. Cathro was again on tn,
stand this afternoon, having been re
called by the state. So far as coult
be judged by the average observer, h,
added little If anything to the facts al
ready brought out. but succeeded II
clouding the issues to some extent.
Mr.. Cathro was still on the stant
when the court adjourned until Thurs
day morning.
During the morning session Their,
was little testimony Of a sensations
nature forthcoming. the state attempt
ing to show by mean of the record
IF the Scandinavian-American banl
that most Of the loans made to tn,
league enterprises after the Bank o
North Dakota entered the field wer,
in the nature OF renewals.
ADMINISTRATION
CONDEMNED In =
VIGOROUS TERM.
Continued From Page H.
United States is the greatest huma,
achievement in history. II you want +,
clear concept of the constitution, &,
United States is the greatest human