davidaulloa/AmericanStories huggingface dataset:
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
FARMER TELLS
STORY OF BEING
TARRED BY MOB
Alleged Relations With An
other Mans Wife Cause
For Trouble.
(Herald Special Service)


Watford City, N. D.. Oct 24.-Au-
thorities of Mckenzie county today
began investigation of a story told by
Charles Pesheck. a pioneer rancher
and farmer, that he had been attacked
by twenty masked men, spirited to a
secluded spot, stripped of his clothes
and smeared with tar.
According to Pesheck. he was taken
from the home OF H. O. Arnegard and
grutally treated in an attempt to make
him confess to alleged relations with
Mrs. Arnegard with whom he was SIT
ting at table when the mob burst in
and seized him. Pasheck told L. M.
Burkey, states attorney, that the mob
put a rope around his neck and pull
ed him over the top of a car until he
was unconscious.
Shows Bruists.
Pesheck showed numerous bruises
about his face and body and has
large black and blue welt around his
neck.
He told authorities he could name
some IS persons Of the mob, 4but In
vestigation at this time has not devel-
oped any corroborative testimony and
no arrests have been made.
H. o.. ArneeaEd, husband of the
woman, WAS away from home at the
been mysteriously called to Arnegard
by a. telephone message. Pesheck
told the states attorney that he went
to the Arnegard place for some chick
ems.
The woman claims that the mask
fell from the face of one OF the mem
bers of the mob and that she recog-
nized him, but it is reported that this
person has accounted for his where
abouts at the time the assault was
committed, and this has only served
to deepen the mystery.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
REARCUlNENT OF
RAIL RATECASE
DEC. 50RDERED
North Dakota Case to Test
Transportation Act to
Come Up Jan. 8.

Washington, Oct. 24.-The supreme
court today ordered the re-argument
of the Wisconsin rail rate case De-
cember 5. This case involves consti-
tutionality Of the transportation act
of 1920.
Chief Justice Taft announced that
the court would hear on January 3
arguments in the case brought by the
state Of North Dakota also to test the
conStitutionality of the act.
Cannot Recover Taxes
Persons paying federal taxes under
protest cannot bring proceedings to
recover such taxes against successor
Of the collector to whom the taxes
were paid. the supreme court held to-
day in deciding case brought by the
Indiana Steel company.
Appeal Denied.
The supreme court today declined
to consider an appeal brought by
Hector II. Elwell, city editor of a
Chicago newspaper, convicted of con-
tempt Of court for refusing to identify
for the federal grand jury the person
who wrote a certain article printed in
his newspaper. Elwell appealed on
the ground that he could not be COM
PEELED to give testimony which might
incriminate himself
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
FINAL LEGAL I
QUlBBLE now
EEXHAUSTED
Commitment Papers Will
Probably Be Issued in
Next 10 Days.
GILBERT INCLUDED
IN THE DECISION
Speeches During the War
Brought Conviction by
Jury of Farmers.

Washington, Oct. 24.-The
supreme court refused today
to review the conviction un-
der Minnesota laws of A. c.
Townley, president of the
National Nonparisan league,
and Joseph Gilbert, manager
Of Tits organization depart
rnent!A -
The refusal of the court to
consider the case was stated
by Chief Justice Taft who
gave no explanation. 1t was
one Of numerous cases in
which the ceurt-today refused
to permit. anssappeal.
! The Indictment on which
Townley and Gilbert were
convicted charged that they
opposed military enlistmeilts,
urged that the government
benot assisted in carrying on
the war, or in the sale of lib
erty bonds, claiming the
bonds were not safe invest
lnent because "the United
States soon would be bank
rupt."
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
Less Than Half Million
Men to WQlkOlIt If II. R.
Strike is Staged Oct. 80
Interest Collected on Farm
Mortgages Due to Treasurer
illegally Held BY Bank of N. D.
(Herald Special Service.)

Bismarck, N. D.. Oct M-The Bank of North Dakota ap-
parenty has illegally collected interest payments of farmers
mortgages which have passed Of the banks hands into
of the treasurer.
The bank has illegally retained this money and has caused
many farmers to be asked twice pay the interest due
This became known when the TODAY
receiving replies which he mailed required
by law who had given farm loan mortgages the
Bank of North Dakota which mortgages had been
him for the issuance of bonds Three indignant farmers
in that they had made payments follows One paid $40 in
third paid $3.50 in September No credit the mortgages had
ever been given to these people
BANK WAS HARD UP.
The money, paid during the when the bank
hard for funds and registering checks illegally
retained by the bank instead of be applied the purpose for
which it paid, and is illegally held by the bank
No funds have been turned to the state by
the Bank Of North Dakota No notice of the has
given and the gvers of the mortgages faced with the
necessity Of clearing the matter causing considerable
fusion &%Is
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24

At time when the Bank Of North
Dakota was supposed to be making
every effort to get its funds out of the
private banks Of the state in order to
pay it's own legitimate obligations, it
was as a matter of fact doubling its
deposits in two other Nonpartisan
league banks of Cass county. which
were unable to pay their obligations
to the Bank of North Dakota. and
were known to be in bad shape. one
Of which subsequently failed.
The public records indicate that the
Bank of North Dakota through the
Scandinavian-Americ and other in
stitutions furnished the funds for the
financing of league banks by "deserv-
ing leaguers," often on very poor So
curtty.
All League Banks Favored.
In summing up this policy by the
Bank Of North Dakota it may be
pointed out that out of about $1,000
900 Of deposits and loans distributed
by the Bank OF North Dakota among
some 100 banks of the state nearly
100000 was concentrated in the
hands of some forty league banks.
Largely as result of this policy ST.
250.0o0 Of the public funds of the
state were tied up in closed banks.
This also resulted in the Bank
Of North Dakota being unable for
"A months to pay large number of
the checks leglttmatcly drawn
against it, to pay hail insurance,
and other warrants for funds
urgently needed by the people of
the state.
Thus it deliberately sacrificed the
interests OF the, state as a whole to
the interests of the Nonpartisan
league and its friends.
In making farm loans the Bank of
North Dakota has. In a large. num-
ber Of cases, loaned money in excess
of the assessed value of the land
InortEased as security for the loan.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
Proved Facts In Connection witt,
Bank OF North Dakota Show That
League Officials Deserve Recall

This has resulted in payments being
these loans. In other words the land
is being sold" to the state. in many
cases by deserving leaguers."
q Bond Sale.
The Bank of North Dakota after
vainly attempting for many months
to sell the state bonds, has finally en-
tered into a contract for the sale OF
these bonds at heavy discount. This
is the first time in the history of the
state that North Dakota bonds have
brought less than par. This is due to
the financial mismanagement of the
states affairs, which has taken away
the confidence OF investors.
This bond sale such as it Is thas
been accomplished only at an i'm
and other expenses of selling $2,100,-
900 worth of bonds having been be-
tween 100000 and $250.000.
Misrespresented Facts.
Deliberate attempts to deceive the
people Of the state in regard to thi,
bond sale, and other matters in con-
nection with the operation of the
bank have been made in the official
bulletins of the bank issued monthly
by F. w. Cathro, manager.
These are only a few high lights
showing how the Bank of North Da-
kota has been operated under the
present industrial commission. con-
sisting of Lynn J. Frazier, William
Lemke and j. N. Eagan.
Every charge made has been
or can be proved by public rec
or1ls or sworn testimony, in most
cases furnished by members or
friends of the state administra-
ton.
And II is largely on the basis
OF these proven facts that the
Herald urges the recall from Of
flee of Lynn j. Frazier, William
Lemke. and J. n. Hagan.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
Big sum WILL
BE SAVED N. D.
BY RATE CUT
Farm and Traffic Experts
Say Saving Will Be Over
Million Dollars.

Fargo, Oct. 24.-North Dako-
ia farmers will save more than
ono million dollars by the re1uc-
tiDn of freight rates on wheat,
hay and coarse grains, announce
cd by the interstate commerce
commission Saturday, local farm
and traffic experts predicted to-.
day. The cut will mean q reduc-
tion of from 8 to 8 cents per hum
dred from North Dakota points to
Minneapolis, Duluth. and even q
greater saving to Chicago.
While approximately 60 per
cent of North Dakota wheat has
been sold, there remains IS mill
lion bushels which will be affect
ed by the reduction, according to
Usher L. Burdick of the North
Dakota branch of the United
States Grain Growers. He said
II the farmers can hold their
wheat until the order goes into
effect, this will mean q saving Of
nearly a million dollars on wheat
nlOvA t'''s ~ r." ,l-..=
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
Must Serve Sentence.

Z ST. Paul. Mimi, Oct. 24.--Arthur
9E. Townley. president OF the National
$Sonpartisan league. together with
~ oseph Gilbert. former state organic
Ger Of the league. must serve q sent
9ence of 80 days in the jackson coun-
sty (Minn.) Jail, as their last avenue
sof appeal was closed by refusal of the
federal supreme court to review their
ftase.
s. Townley and Gilbert were convict
led in July. 1919, of conspiracy to en-
3a.ourage disloyalty during the war in
Eviolation of state law. The charge
sag gainst them was based on speeches
san league in jackson and other
Minnesota counties. Their tria! lasted
$three weeks.
E Motions for new trial were de-
MED in July, 1920. by District Judge
II. G.. Dean. who heard the case. The
then appealed to the su :
$preme court, which denied their ap-
peal. and the case then was carried
Ito the highest court in the land.
# Gilbert Now in Jail.
$@ Gilbert, prior to his conviction in
jackson county, was found guilty by
the Goodhue county .(Minn.) district
court of violation of the state espion-
age act, and, after exhausting all ave-
5nues of appeal, went to Jail in Red
Wing last February to serve a sent
ence of one year. Ii ss5a ..Y At
Further Procedure.
j8g# Today's action by the federal 'su :
Spreme court will be communicated by
mail to the state supreme court,
which in turn will remand the case
To the. jackson county district court,
where commitment papers will fbe
served for Townley and Gilbert. This
means it probably would be a week
f0r ten days before the papers could
be issued. Townley would start service
At once. under ordinary procedure,
while Gilbert would complete his
fGoodhue county Jail sentence and
Then go to the Jackson jail.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
BRINTON READY, TO
DfBAFE EifEBE ERRAcH ="
4. AT. FARGO TONIGHT

Herald Special Scrvice.)
Fargo. N. D., Oct. 24.-Tfere
viii he a warm time in Fargo to-
night.
Some time ago A. A. Lieder-
bach. state chairman Of the Nom
partisan league, issued chal-
lenge for a debate on the Bank of
North Dakota.
Today j. w. Brinton, who is
scheduled to speak at Fargo to-
night, announced that he would
accept Mr.. Licderbach's challenge
and would debate with the league
chief tonight.
Whether or not Mr.. Lieder-
bach will go through with his def
Is not known. but If he does it Is
pretty generally expected that
the fur will fly.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
'T|AXON SMALL.
INCOMES IS UP
h. BEFORE !: SENATE
Senator Gerry Favors Fifty
Per cent Cut in Present
Assessment.

Washington, Oct. 24.-The senate,
having voted to reduce the amount
Of taxes to be paid after 1922 by in
dividuals having net incomes ranging
from $4,000 to $1.000.000 or more,
had before 1t today the question of
cutting down the taxes on those whose
net incomes are $4,000 or less.
A reduction of so per cent for this
class Of taxpayer is sponsored by SEN
ator Gerry, Democrat Rhode Island,
with the approval and support of the
other Democrats of the senate com-
mittees The proposed cut would be
IN addition to the slight reduction
which would result from the COM
mittee recommendation that this claau
of taxpayers who are heads Of fam.
lilies be granted an increased exemp-
tion Of $500.
Plans Further Reductions.
Senator Gerry not only would re-
lieye these taxpayers, but also would
have further reductions made in the
taxes to be paid by all individuals
Specifically, his amendment to the
pending revision bill would fix the
normal income rates at 2 per cent on
the first 5000 of income, 4 per cent
on the second $1,000: 6 per cent on
the third 5000, and per cent on all
over. $4,000. The present normal
rate is 8 per cent on all over $4,000,
and 4 per cent on the amount Of the
income below $4,000. The commit
tee has promised that these rates be
retained. z
Taken Up Saturday.
The Gerry amendment was taken
up Saturday after the senate had
adopted by an Overwhelming vote, the
compromise income Eurtax plan. with
the maximum rate Of so per cent but
a vote on it was deferred at tlie re-
quest Of Senator Lodge of Massaehu-
sets, the Republican leader. Senator
Lodge explained that he wanted to
obtain official data from the treasury
as to the exact amount OF revenue
that would be lost through the pro-
posed change and the amount that
would be received from the Gerry plan
to tax gasoline, retain some of the So
called luxury taxes and increase the
proposed tax. on corporations.
y Meantime, leaders on both sides OF
the chamber are seeking to marshal
their full forces for the coming Tx
revisions fight by summoning back 10
Washington the more than score Of
senator's majority of the Republi-
cans--who have been absent during
consideration of the revenue measure.
Z ~ A -
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24

For nearly three months past the
Herald has published daily articles
setting forth the facts with regard to
the present state administration,
which in Its opinion make the recall
Of the three chief members of this
administration not only desirable but
necessary in the interests of honest,
efficient government for the state.
I During the next few days it will
summarize as briefly as possible the
chief points of this indictment.
As has been repeatedly pointed
u ont, Lynn j. Frazier, William
Lemke and j. N. Hagan have alb
solute authority over the Bank Of
North Dakota, and arc responsi-
bic for the way 1t is conducted
and the policies which It may
pursue. Therefore these three
men are directly responsible for
the following facts in connection
with the Bank Of North Dakota.
How Bank Was Run.
The Bank Of North Dakota has
been conducted primarily for: the
benefit Of the Nonpartisan league and
its friends; proof of this Is furnished
by the following facts:
scandinavian American Bank.
Nearly one-half million of dollars
were given by the Bank OF North Da-
kota in deposits and loans to the
Scandinavian-Americ bank of Far
go. This was more than was given to
all the other banks OF Cass county
combined. The Scandinayian-Ameri-
can bank OF Fargo was known to be
insolvent. but the controlling interest
therein was owned by the league ex-
change and other allies of the Non
partisan league. and the bank had
made large loans to the league the
Consumers Stores Co. and other
league enterprises This money was
frozen UP in the Scandinavian -AIneri-
can bank when II was closed. s
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
H|AT'T0N BANK
I. AGAIN ! CLOSED | !! ] J!
:. = ts 7l 4, ~. fI7 TT q 5s, = ~
Peoples State suspends
Business For Second
Time Within Year. : /s.s
(HcraId Special Service. }

TIatton, N. D., Oct 24.-The
Peoples State bank of Hatton closed
It's doors last Saturday for, the second
time during the last year. y
The bank was closed by the officers,
who notified the department of the
state examiner of their action. A rep
resentative Of the examiners depart
rment arrived today to look over the
situation.
The Peoples State bank Of Hatton
was one Of the League banks which
were especially favored with deposits
from the Bank Of North Dakota. It's
capital and surplus was $57,500. 1t
closed early in 1921 but was reopened
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
TO ATTEND CONFERENCE.

~ st, Paul. Mimi, Oct. 24.-O. P. b.
Jacobson, chairman Of the railroad
ahd warehouse commission, will leave
tonight for Duluth to attend the Du-
luth Superior port development con-
gross r. A. Wildes. state superin-
tendent Of mines and H. j.. Hughes.
director of markets, are attending the
today. #
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24

some four months later. Since re-
opening. however, it is understood to
have done little business.
The closing Saturday is understood
to have been due largely to string
ency of funds, caused by taxes COM
| ing dli0 .tr a. -a ~
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
Hungary Notified.

London, Oct. 24-(By the Asso-
ciated Press) The British govern
ment has notified the Hungarian gov-
eminent that the latter must take all
possible steps for the expulsion OF
former Emperor Charles from Hun
gary, it was learned this afternoon.
3 Instructions have been sent by the
government here to Baron Hardinge.
the British Ambassador In Paris. to
arrange q meeting. of the co4ncil OF
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
THREE FIRES REPORTED.

m 77TI1ItEEg FIXES REPURTED.
n st. Paul, Mimi, Oct. 24.-Three
grass fires are burning in the Moose
Lake district, according to reports
from Ranger Perry Swedburg to w.
n Cox, state forester. "A peat fire also
lis burning in the Aitkin district. An
other peat fre In the Red Lake dis
trict has been extinguished. The sit.
uation, however. Is not serious.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
THREE-F0URTHS
OF WORKERS ARE.
AGAINST STRIKE
Remaining 6 Unions Stand
Firm in Demands For
Settlement"
Labor Board Optimistic and
Believe Crisis Can Be
Averted. -
tBy The Associated Press

Chicago, Oct. 24-The threat
ened railroad strike, if it takes
place as scheduled, will be limit
ed to 475,O00 train service en-
.ployes, switchmen and telegraph
.ers.
This became certain today
when the signal men followed the
example of nine other Standard
unions and voted to remain a
work. By their decision 1,525,0c
railroad employees are on recor>
against the strike.
Apparently undisturbed by the
decision of more than three.
fourths OF all the railroad men
not to join them in the proposed
strike, chiefs of the six unions
who have. announced their inten-
ton Of quitting work, today re
iterated; their stand that only "a
ssatisfactorN settlement, can
s4xeft thesWalkout.
The United States labor board
which has Summoned i 400 union
leaders and presidents of les
5railnodas to a meeting here We'd
nesday, is optimistic, however
and in statement todap ex-
pressed the belief that the strike
can be averted.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
REGULATIONS FOR
USE OF BEER AND
WINE TO BE ISSUED

Washington, Oct. 24.-Regulations
covering the beer and wine for medi-
cal purposes will be issued imm ediate-
ly by the treasury Secretary Mellon
announced today.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24

(By The Associated Press.)
Chicago, Oct. 24.-The Brotherhood
Of Railroad Signal Men of America
will not join the brotherhoods and
yswitchmen in their contemplated
strike. President D. w. Helt announc-
ed today. 4
The brotherhood's $1,000 members
were instructed today to remain at
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
PASS STREET CAR FRANCHISE.

DeS MOlneSI iowa, UCt. Z4.-Tne
city council passed the proposed
street car franchise on third reading
at noon today and service will be re-
sumed on all lines before 4 o'clock
this afternoon. Motor buses which
have taken the place OF street cars
since August 3 will not be disturbed
today but probably win be re-routed
people for vote al, a special election,
to be held about November "a.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
Not in Budanest

Budapest Oct. 24.-(By the
Associated Preas.) - Hungarian
!, goyesnment forces, fighting
7 against tho attempt 81 former
Asmpesor Charles to regain the
! throne, have won pronounced
s.sRucce1ae. ..--@saeJninst x the Carfisa
forces, II was announced i'm re-
ports to the government early to-
day. The rcpoetR stated that the
town Of Raab had been renptur-
cd and that the CAFlists were be-
ing attacked in the rear.
This, attack, it was stated, was be-
ing led by Baron Pronay. at the head
of the West Hungarian Insurgents,
who had hurried to the governments
aid
Other reports show that hand gren-
ade fighting had begun after mid
night near Torbagy. 30 miles from
Budapest
Government circles were greatly
heartened by the news Of the recap.
ture OF Raab and that Of the opera
ton of Baron Pronay.
The foregoing dispatch, filed by
The Associated Press correspondent
in Budapest early this morning, in
dicates that up to that time at least,
former Emperor Charles had not en-
w;+h - ~, 80 80 sas -
.,,cc.ss w.s ha;nr se - Le ~,
luaoe W Icy ni1n
A''A '''e = ul1s 81 1"n eopl'~t'
v;.,+. p.-,
"
Vienna Oct. 24.-General Hese-
dues, commanding forces supporting
former Emperor Charles. visited Pre-
mier Bethlen of Hungary yesterday
He later negotiated with the Hunsari,
an government in the presence of the
British commission at Budapest, ana
then returned to Budoar about IT
miles away. a BUDAPEST dispatch says.
"A minister sent by the government
to Raab to inform Charles the en-
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
THE WEATHER.

Minnesota: Partly cloudy and
somewhat unsettled tonight and
Tuesday; probably rain In south
portion t Tuesday; not much
change In temperature.
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24

CONTINUED on page 13.) !
Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-10-24
FORCES
RETREAT BEFORE
THE HUNCARlANS
Dispatches this Morning In
dicate That Ex-E1nperor
Is Not in Budapest.
Truce Being Prepared to
Prevent Further Blood
shed, Reports Say.
Troops Defeated.

Budapest, Oct. 24.-(By the
Associated Press. .l-The army Of
former Emperor Charles, which
was marching ON Budapest for
the restoration of the ex-mon-
arch, was defeated with heavy
losses by Hungarian government
forces RtTata Tovaros, IS miles
west of Budapest this morning.
The Cariist forces have fallen
back to Koznofn. IS miles north
forces 1T Tata Tovaroe, IS miles
suit by the government troops Is
continuing.
Wauwatosa news. [volume] (Wauwatosa, Wis.) 1900-1948, 1921-08-12
INTERMIsSION.

5. The Kiss Waltz--Arditi.
6. The Ghost Dance Salisbury.
z. American Patrol -Meacham.
8. Coronation March--Mayerbeer.