Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-03-01

30. ~ . time when MI. Waters was
sick I'm q hospital and without the
never. was deputy bank examiner. and
that he had nothing whatever to- do
With the criticism or advice in regard
TO the affairs Of banking IN any way;
that the letter written by him under
date of June 10, 1918,.was not advance
Information to the Scandinavian
American bank as to when the exam
liner would be there, as the Examiners
mad already worked ~ leastgtwo days
In the Observation-Disclosures bank
At time he wrote this letter; fur
ther affiant sayeth not. Signed:
Roy NJ, Halliday.
Subscribed and sworn to before me
this sE7th day Of November. 1919.
H.. George Thompson.
Notary Public, BurleiSh County,
(Seal)"
q. Mr.. Waters, did you write any
OF the scandinavia american banks
condition prior to the time it was adj
mttted under the Guaranty Fund Com
mission Act?
A. I wrote 4 letter of. criticism on
the day51 met with the Guaranty Fund
Commission and we went over the ex.
aminer's report and decided on mat
tiers that had to be cleaned up in tho
bank, before they could be, admitted,
and I dictated that letter Of criticism
myself. :
9. That letter Of. criticism, as I
remember it, criticised the bank pref
ty severely? n
A. Yes, sir. 4.
q. You'knew what the banks con
dition was at that time? u
A. Yes sir. -. T.
- n ~ lr~n~x xA~-> -~-A
many things in It that required a sub
stantial fixing before It would qualify
under that law?
A. Yes, sir.
g. You don't have a copy of that
a. No. that would be in the ex-
aminer's offiie. !,
9. IN MI. Lofthus' office?
a Yes, probably under the Guar
ence, or, it may be under the CORE
spondence OF the examiner under let
tiers Of criticism.
@: Have you some, evidence that
will substantiate the position that you
took in connection with you criticism
Of that bank?
A. I have. >
9. Have you got those with you?
A. I have-two statements from
two members Of the commission.
o. Who were the members of the
commission? 81,
A. o. S. Hanson. Of Grand Forks
and B. j. Schoregge of williston. i
Q. Mr.. Hanson was a member Of
the commission?
A." Yes. sir, and. president of the
Northwestern National Bank.
Der OF h commission at that time?
A.. Yes, sir, and vice president OF
the Williams County State bank.
q. And these two statements you
have just handed me. Exhibits 12z
and 12s, are the statements you. refer
A. Yes. sir;-1 got those statement.
to refute MI. LAnger's charges Of adj
vance information.
.Hanson's Letter. f.
EXHIBIT 17z. m
state Of North North Dakota, Coun.
ty OF Grand Forks-ss. +,
20. s. Hanson, being duly sworn,
on oath deposes and q that he wai
a member Of the Guaranty Fund Com.
mission. during the time OF admission
OF all. banks admitted under said law
land that at no time was the Scandi-
navian-AmericA An bank Of Fargo refus.
ed admission, and that he was pres.
tent at a. meeting Of the c6intnissior
when tho matter Of advising tht
Scandinavian American Bank as tt
rh4t WaAapecessary. for them to do tc
n comply with the r~equiremeiftsf Of The
commission for admission under said
law. = +,
That said board did not order Wa.
tiers to write them a stringent letter;
that said Waters wrote the letter Of
criticism Of his own free will and sub
mitted same to them for their con.
~sideration, as was the procedure in al
other cases, and asked the commission
II they wished to add anything, ant
the commission agreed hat the letter
was all right, and that they did no
desire to add anything more to it.
t"Affiant further says that during
Mr.. Waters service as state examiner
/ he never found him trying to hamper
the work Of the commission in an,
way, and that he always aided an
7 assisted the commission in every wa,
I possible; that affiant further says tina
{ he has. had a number Of years expert
) ence in the banking business, an.
state examiner, he also -c%onsidere,
: Mr.. Waters a capable and eff1cien
examiner In with the best interest
Of the banking fraternity at heart q
all time.
81 o. s. Hanson, .
III Member of Guaranty Fund Com
mission" pr
Il Schoregge's Letter
81 EXHIBIT 133. 2
state Of North Dakota, County q
81 Williams-ss.
III B. ]. SchoregEe being first dull
sworn on oath deposes and says, tina
he was a member Of the Guarant
Fund commission during the time q
4 admission Of all banks admitted unde
4 said law, and that at no time Wa
the Scandinavian -American Bank q
Fargo refused admission. and that aft
ant together with Mr.. Haldorson an
Mr.. Bennington were at work examin
ing said bank to ascertain its condi
tion; previous to its admission unde
49, 1918; and that he was present q
a member of said commission at
meeting Of the commission when tn
matter of advising the Scandinavian
american Bank. of Fargo as to whs
was necessary for them to do to com
ply with h requirements of tn
board for admission under the Guar
anty law.
That. r. Waters was present. whe
the report Of examination was cor
sidered. that he assisted in suggea
tions rs to what paper should be elm
mated, and that said commission di
moi. order Waters to write this bank
stringent letter; that said Water
wrote lthe letter of, criticism OF III
own frAe will, and submitted the san
Gsked IL the commission wished I
add anything, and the commissio
agreed that the letter was Ill righ
and did not d~eSiresto add anything.t