Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-03-02


MARCH 3, lsal,
that contains ray resssra,sen~ ssa he1
said, II am worry shcat thSS JtsA, vs.
have always eNs along MSceN" on
words I that erect,
l5caRs - So, tsAWk.
q. Now, do you know whether or
nor up to the time you lett YOU hSN
made any loans TO the &snasnsNsSs>
American bank
A. 1 am not pcsssscc~&shSre wSS
a loan made-weN. on that aSS we
were al Fargo. 1 got some SeStiEe
Gates OF deposits on MSnks over the
state that were correspondent SNnSs
OF the Scandtnavtsn-A ntessesm, ~
had Mr., Sherman endorse sheM -
the Bank OF North DAKOTA, ana as~
piled them OIL believe, Il rensens>
Der correctly, THAI that was anrlssSs
as n loan 50 as to cut down the
amount of public deposits, Sas II =
la very small amount compared WITH
what the 6eposisS were I think II
was around ;wensS~tsve or thirty
thousand dollars bus that Is not real
clear in my mind Sass how that VA
handled.
9. As you remember, it was sins-
ply a question OF gessfaS cos for
cutting down the aepc<assee
A. Yes, sir, and II a loan were
made, that would be h loan, THAT
was the only losn that was made.
9. The money that was IN Il
ScandinaviaH-Amerscan hank haa
been substantially all nu; in there As
redeposi;sc
A. Yes. sir.
9. And not as lcanss I,
A. Yes, sir.
9. Well. row., do you know q ses-
low by the name a. J. j. AaS'ingsS
A. Yes, sir,
@. We have had some testimony
up here. Mr.. Waters, on tho stand,
! concerning Ny. ]. J. Hastings sTiH
down to New York in connection with
the sale of some bonds
A. Yes, sir.
9. Did you evcr talk with Hastings
about his trip
A. I did.
G. Well. tell US what that oonvcs-
sation wase
A. Well, Mr.. Hastings and Mr.,
Townley were both here n talked &c
me about Will call him Jack
about Jack going 10 New OH 10 sci.
bonds.
Q. Mr.. Townley and M-, Hastings.
A. Yes, sir.
@. Now continue the conversation .
The german Money.
A. And I said to Mr.. Hastings
have nothing to do with h Sale
~ ~ H~-R- NJ. AVHN-1 AonF1oc
the bonds and any arrangements
you make with him. Of course,
win be satisfactory with me But
I said. Jack, you arc mol EotnE to
be able to sell thcsc bonds II this
time through any OF h regular
channels or any al h regular
bond houses. hec1nsc ii Is quito
evident that they are not going TO
buy these bonds. And he said 10
me. Il don't expccx 10 SCH these
bonds through h regular chan
DclS" He said, Il an going down
there and place these bonds with
this bunch Of radicals thai GoveT-
nor Frazier has bccn down there
talking to, and l have n cry
good friend down there"
Mr.. Pascnsteche-"
Mr.. Sullivan: Wait = minute, how
do you spell thar
A. I don't know, / think P-o-d-E-
e-n-s-t-e~c-k-e~N'from. whom. we
got $4,000 of German money"
@. He said what"
A. Prom whom we got $50. 900 Of
German money"
@. When?
A. About the time we were going
into war.
@. Let's get that straight. Jim
He said that he was going down I see
this man Pasenstecher. from whom
We had gotten So, 1000?
A. That is what he told me.
9. Did he ever tell o that he
A Yes. sir.
@. What did he say about it?
A. Well. he said that he was 8
wealthy paper manufacturer and tina,
he ven dONn there n the time tllt
League was practically broke and me-
with q bunch of these people at q
dinner, and gave them a talk on the
aims and purposes of the NonparGsar
league, and that they needed financ.
ing. and he said at this dinner there
were several that signified their will.
but that Mr.. Pa~Ecnslecher told then
to ~ mind. that he would attend
to that, and the next day he came tc
Mr.. Hastings hotel and. they. com.
pleted the arrangements and that thu
money Was sen to a bank in St. Paul
believe it VAS the American Ex.
change bank. Mr.. Hastings told mt
50 much about it that I can't remem.
Der 1t all at this time.
Q. Hastings said some money had
been e out?
A. Yes. sir.
@. The mex day?
A. Wee R
Q. And hat was the fellow tina
Hastings was going to see. as he said
about the sale of the bonds7
A. Yes. sir.
Failed to Sell Bonds.
@. Do you know whether he eve
saw him. did he ever say whether O
not he saw him?
A. Yes. I talked to Mr.. Hasting,
after he came back, one time in Far
go, and he said conditions ha,
changed SO that these fellows wer
pretty hard pressed financially. an,
he couldn't do anything with them.
Trip to Florida.
@. Well. coming back to your tri,
down to Florida. Mr.. Waters, Will
you were down there. did you see MI
McAneney?
A. Yes, sir.
@. You remember about when tina
was when you saw him?
A. 1t was the latter part of March
l think.
@. And what did Mr.. McAnene
say to you when he got down there
=. A. 1 had a message from Mr.. Nc
Aneney from Chicago, saying he wa
going t be there and about VIVA
morning he would arrive. and natural
" I was very much exercised over III
matter. l couldn't think what wa
sure there must be something wron
and couldn't think what it could b,
Land had Thought somethin1 ha