Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-07-06
Object OF State In Question
ing Brinton Is To Attempt
To Show That Defendant
Had Too Little knowledge
OF. Events To Reach Con-
clusions.
(By Stan Correspondent )

Bismarck, N. D., July 6.-Lack OF
any new developments OF interest
characterized this mornings session Of
the Burleigh county district court in
the trial of J. w. Brinton on a charge
of perjury.
The cross examination Of Brinton,
which was begun Tuesday afternoon
torney general, continued throughout
the morning and will be resumed
when the court reconvenes this after
noon. If the cross examination is
completed during the afternoon ses-
sion, j. r. Waters, former manager Of
the Bank of North Dakota, will prob
ably be put on the witness stand by
the defense.
Weeks Object.
Weeks object in his cross examina-
ton seems to ;be largely to show that
Brinton had too little knowledge Of
the events referred to in his testimony
to reach the conclusions which he
swore to regarding them. This was
especially evident in his questions re-
garding the various subsidiary cor
porations Of the National Nonpartisan
league in which the prosecutors. at
tempted to trap the defendant into
admissions that he had no real means
of knowing that they were dummy
organiza tions as he had claimed Ef-
testimony by the suggestion that he
had in some cases misused the funds
Of the league enterprises with which
he was associated, although no actual
charge to tat effect was made by the
prosecutor. There were several sharp
clashes between Weeks and ,Brinton
during the course of the morning.
y; Followed Instructions.
In answer to Weeks questions,
Brlnton went in some detail into the
transaction at the Scandinavian.Am-
erican bank Of Fargo when he alleged
that he gave worthless check to take
up note Of the Uniteds States Sisal
Trust, the transaction having been
! made, he claimed, at the suggestion
Of o. E.LeftAns, -sViisfam Eamke and
M. w. Thatch er. .2. n Il, -
In giving his testimony today.
! Brinton.. explained, that, the susgestion
was first made by Lofthus, who, after
. consulting with Lemke, assured shin
that it would be all right. The check
was drawn on a Minneapolis bank,
. Brlnton said, because Lofthus feared
that if a check on a Fargo bank was
Drawn, it's worthless character would
become known almost immediately
There was also considerable question
| ing as to just what H. A. Paddock was
| doing in the Scandinavian-Americ
bank OF Fargo at the time Brinton
canned ne was put in charge Of that
| institution by A. C. Townley.
During the hearing Tuesday after
noon. previous to the beginning Of
Brlnton'S cross examination, two re-
ports on the condition of the Scandi-
| navlan-American bank of Fargo were
| placed. in evidence by the defense to
snow what changes took place in the
amount OF the loans made by the in
st1tatlon TO league enterprises at the
time the Bank of North Dakota was
opened.
TUESDAYS Session.
7(By Staff Correspondent
Bismarck. n. D.. July I5.-On
March 81. 1919, the Scandinay-
ian-American Bank of Fargo had
loaned to the Nonpartisan
League and Consumers United
Stores Co. approximately $780,
600.
On September s. 1919, the
loans made to these two organ
fzations by the Scandinavian
American bank had increased to
$323.7S9 and a new Nonpartisan
league organization. The Pub
fishers National Service Bureau.
had received an additional loan
OF $47.952 making a total of
! $s71,741 loaned by the bank to
these three league corporations.
the two dates mentioned or on
July 2S. 1919, to be exact. the
Bank of North Dakota had open.
cd for business, and on Septem-
Der 8. 1919, its deposit with the
! Scandinavian American Bank OF
Fargo approximated $251 200.
F., Shown by Reports.
These facts were established this
afternoon in the trial of J. W. Brin-
otn on charge of perjurp when two
reports of the examination of the
Scandinavian-America bank were
| introduced in evidence by the defense.
! The reports were from the records
of the state examiners office.
Moreover, the report of September
| 8 showed that other lines of league
credits had been added by the Scam
| dinavian-American bank during the
period between the two examinations
or about the time the Bank of North
Dakota was organized, and began it's
deposits. in the Fargo bank. As q
result on September s. 1919, the
loans Of the Scandinavian-Americ
bank to the Nonpartisan league and
It's subsidiary corporations totalled
approximately $4s7,0oo.
These facts, proved by the records
were cited by Brinton as justification
for his contention that the Nonparti-
san league and its kindred organiza-
tions were financed by the Bank OF
North Dakota through the Scandi-
navian-American Bank OF Fargo.
Reports Made by Halldorson.
Both the reports just quoted were
made by P. o. Halldcrson, fornser
deputy state bank examiner. and
their contents make up a strong In
dictment OF the policy pursued BY tse
Observation-Disclosures Bank Of Far
Continued on Page 81