The Glenwood post. (Glenwood Springs, Colo.) 1897-current, 1921-02-05
HARD BLOW FOR
NoApART|sAN LEAGUE

| Vic VI tne narueSC blows STRUCK AT
Non Partisan league management of
state affairs, and an argument which
opponest of the league say will be used
against the organization propaganda
IN Colorado, is an audit just completed
by Bishop, Brissman g. Co., ut the direc
tion of the North Dakota state house of
representatives, of the three principal
state enterprises undertaken by North
Dakota in the last two years under pro-
visions passed by the Non-Partisan
league majority in the legislature two
years ago.
Gross mismanagement and careless
handling of the people, money are the
two outstanding facts disclosed Ly the
| figures, without comment attached.
The report shows, in one instance,
that the Bank of North Dakota ad-
vanced $7,s16.s2 to Frederick A. Pike,
NonPartisan league attorney, before
the state industrial commission, which
had employed him, had authorized pay
ment. The commission finally ordered
$7,716.72 paid him, and accordingly the
record shows an overdraft of 500 still
due from Mr.. Pike.
| This is only minor instance of mis-
management, however, in the affairs
of the bank, the North Dakota Home
Builders Association at Bismarck, the
North Dakota Mill and Elevator asso-
citation at Drake, and the workmen S
compensation bureau at Bismarck shown
by the audit.
Regarding the Bank Of North Dako-
ia, the audit shows it has deposits in
the Scandinavian American Bank at
Fargo Of $22S,974.71; and loans to this
bank and other liabilities total $780,
974 II, making this banks total obi
cation to the state bank $444, 127 AZ.
The state bank has loaned $3.50, 900
to the North Dakota Building and loan
Association, 1925, 900 to the North Da-
kota Home Builders Association, e.
| ~. " tuc luuuotihdi SoihmAcotoiJ
1917 ,1ss.SS land on deposit) to thirty
two banks that have closed, and mas
borrowed 100000 from the Merch-
ants Loan & Trust Company, Chicago,
and secured the amount with 100000
of state bonds, due on March 81 next,
in addition to advancing the $7,s16.S2
to Pike.
The bank has established n system of
farm loan payments, over 30-year Pc
Rod, which results in only three-fourths
of the whole loan being paid at the end
of that period, requiring the borrower
to pay $263.6O for each $1,000 borrowed
in the last year of the 30-year amoriza-
ton period. More than half of tine
first payments due on land loans were
unpaid on the date of the audit, Or $685.
O74 was due and $1s,353 had not been
paid.
A single bank with $4,000 capital
held deposits on the state bank total
ing $4,000. The state bank. also had
deposited 1907 800 in various banks for
the purpose of taking up farm loans,
approved by the bank but not com
pleted-this being in addition to ST.
$4,000 in loans fully completed and in
force.
OF $2,407 ,645.25 due from banks, 81 :
LAT ,607.35 was listed as past due on
December 8, the date the audit was be.
gun, it is shown. OF $105,722 loaned
To elevators, packing companies and in
dividuals on warehouse receipts, $65, 1873
was past due.
Records of the Homebuilders' Associa-
toin were declared to be deficient and
incomplete, with no cost system to show
the cost of individual building projects
and an adequate accounting system, tho
authorized to be installed on April Z
1920, not put into effect until December
3 last.
Construction expenditures of this as
ISOLATION We're listed at $31l 1852, the
audit shows. No contracts covering
purchase of residences were on file, the
building operations had been under way
many months and many houses had beer
sold and some were occupied. There
were not on file any mortgages of any
kind affecting property being sold:
A total of $57,9s5.52 had been ex
pended, according to the records OF
checks issued, but there were 10 in
voices in support of the accounts. A
bond of $4,000 required of the manager
had expired on July IS, 1920, but hat
not been renewed.
The audit showed that operation
have cost $376, 699Os, financed by loan
from the state bank, by using direc
ANN nnN L.. 80