Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-05-21
F]ootings Dropped $76s, SOB
in Last Month, Latest
Report Shows.
ONLY 40 BANKS NOW
. HAVE PUBLIC FUNDS
More Money Given State
/, Institutions by Overdrafts
and Transfers.

e Apparently it Is to be close race
to decide whether the Bank of North
Dakota is to be liquidated by the In
dependent Industrial commission un
der the initiated law which will be
passed at the recall election in Mo-
vember, or whether it will automati-
cally liquidate itself before that time.
This Is made more apparent than
ever by the statement of the bank
for the close of business on May IA
which has just been issued. j.
The statement shows that the foot
ings of the bank on that date were
$12,116,sS2.27, drop of $76S,5o3
within a month. and $5,35S,273 less
than the footings on Dec. IS, 1920.
In other words the bank has been
going through an involuntary process
of liquidation at the rate of about one
million dollars per month.
Several items in the banks latest
statement are significant.
Moro Money for Industries.
In the first place it. will be noted
that during the last month the item
of loans to public institutions and
departments has increased $4,000
from the state and public corporations
have jumped from $155,27s.6c to
$197,327.64. This last apparently rep
resents overdrafts that the various
state industries have been permitted to
make according to the usual custom
of the Industrial commission. This
means that aA total of $51,7s9 has been
poured into these industries during
the last month.
Removed from Private Banks.
OF equal significance is the state
ment of the amount due to the Bank
OF North Dakota from the other banks
,f @$h do, t1I4
deposits of the public funds.
ON May 16 the Bank of North Da-
kota had $2.sS1,351.6O deposited in
40 North Dakota banks. while on
April 16 it had $3,474,s59.29 re-
deposited in 573 banks Of the state.
More than 100 banks have therefore
had all public funds withdrawn dur
ing the last month and the re-deposita
have dropped over 100000.
Since December Is hast the re-
deposits of public funds have been
entirely withdrawn from ss5 banks of
Y the state, ana Nave dropped ST.
617.13S, or, more thanIs50 per cent,
this In spite Of the statement Of r. w.
Cathro, manager of the Bank of North
Dakota that the inability Of his in
+; stitutions to pay it's obligations was
to meet demands for payment OF re-
deposits. Il
statement at this time showing
what banks still retain state funds
would be Of interest.
The bank had only $31,S51.43 in
cash on hand and cash items the
statement shows. n
Public Deposits Drop.
Public deposits from county. city
township and school treasurers fell
off nearly 100000 during the month
while the deposits Of sinking funds
fell off over 100000. There was ar
increase in the deposits Of state funds
of some $4,000. @
Registered checks still remain un.
raid to the amount OF $93.770.sO. and
there is n contingent fund of $685..
474.66 for the payment of state treas.
urers' registered checks.
No explanation is given for the in
crease in individual deposits from
I s247,O37 to s610.269. Bank officials
deny that this represents payment.
on state bonds which have not ye1
been issued.
F,olewirg is the Bank of NORTH
Dakota's statement for May IA: