Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-02-16
CATHR0 ADMITS HASTINGS WAS
PAID COMMISSION FOR THE SALE
OF BONDS WHICH HE NEVER SOLD
Letter Produced By Brinton
Declares Entry Made Re-
garding $500 Paid Hast
ings Was Destroyed;
Lofthus' Testimony Gives
More Light On Policy Fol-
lowed To "Shoot To Other
Banks
(By staff Corrcspondcnt.)


Bismarck, n. D.. Feb. 16.-lm-
no,-tant nnints trtlav in the nrobc
.,- - - -. Ds,..
OF the Bank OF North DAKOTA
were:
Evidence introduced tending to
show that a large rOrtion of the
capital of the Peoples State
hank of Icith. which closed
Tuesday and in which j. I. Ca
~ the chief Stockholders. came
North Dakota vim the Scandina-
yian-American hank OF Fargo.
N NJ, C.+,,, ,,,.,..o, -. III,
p.. VI Nnr4;, ~ nait".. va x.,as .n
@ 1s.,io, y. =. .S'o.,.,.,o., @ Iii, %to
s....S su III ~ ". Wna,o.e rs t,,o
sS s..I Pu =. ,.,.,.a1... - S ~, :,1,o ." ....io
~ s'oSx s,a.in,. ~ ,ona,. NV ~ so,S
"a U19 M pn...tn ~n ,o ,s.'. s t,,o
w. aI. n ~ -. .e,Ht ., tt,o
SA I;rai r... E...n ,i,,a.;.., ~ ~! s,.o,utna
=. sM Ae' III u.n 80 .
wne ~ 49, ts..- ....ls us.. srS
W. wcA nsp .'e. nt.s, o., -. "o.ae,,,ant
,ss' aiMe' r1,s,,sc r 49, r.i-e ~ e'A ~ - - TT
W*a Wu 1.O..Ho, .a ~ = -
t.s.s .eAsu caS OS ~ -. .1.n ~ na..,n,,
OOtssn uMt, aulus ~ - ~. ,s..~ -.
Mas Vls1' s1sa4.s.s' ss.e...S Lt.1 Js ,.,Soso .,,o
,8ueHo = s.s..,s e. ~. SS,a,,.1.,,.o
spseHse a!1y' nse.ni .cf sss,,t ~ F'. .Ssn M
facts i1stifie11.
Inffhus' testimony sheds fur
ti,er light on tho stshOOt II to-
oNl,es, tanks nrlicv.n .&
Letter from the former transit
,rana o,or NJ tho Rank Of North
DaLotn charges (hthro or ,Jo-''
hnnnsen destrnyed original cnt:.y,
ON the, Hastiney transaction and
sntstitutod another.
bismarck. N. D.. Feb, 16,-With :
ca nitalization Of 500. 600 and carryinf
stnck notes of $4,000. the People
state bank of Leith. N. d.. obtained
loans Of some s14.537 on certificate,
of deposit from three of the stock
holders. from the Scandinav Am
ar;can hank of Fargo which in tur1
nlaced those certificates in the Banl
- Nor+h Dakota as mart of the Sc
c,,r;tv for q larger loan which il OBJ
tained from the state institution.
Th;s vas brouaht ont today at tn
bearinp held nv .thc house audit com
rnittee in The testimony of o. E. Loft
hms state examiner. and examiner O
+he records If tho state bank as con
tained in tho audit rcnort of the Ban]
~ North Dakota and other report
anu 'eeoiuSi Su, .. 1.
:. 49,. 49,,
ms nens .nas ~ .;.n ''n1 c ~ a, 80, T
,nls a.nou"l ~ .,le .apA... "a D.. -
pank was pul w pS tne e;,,;,, ~
Nor.h DahoA aleeI .a,.. nan o,aons ~ =
ucen put ~ W .nc oun, naan;aed
Inc t1me tne oank was ~ orsaili"7u 7o
.; l. . Saaia'' I ,o.'nerS l har 'eas ~ % nf th
IN ths se',ase. a.iu ~" i'i.'nn.' e: 49,
poaro OF auiainls.rat'on - oHe VI -.
cnleL s.oeAn9lu Ia ,r,ae,, -. az "
"nlch vas cioseu Auesuas; . ..r
Mr. L0sthus aiso lestlneu ..:o: .nat ,>4.
f. Haldorson at the time OF his eS
animation Of the bank had neen re
moved by the directors OF the pan
and placed by them Il. with othe
friendly banks.
They evidently followed the N
Junction TO shoot 10 tne otne
banks, remarked Attorney >. r. SUI
livan. who was conducting the ques
tioning.
Some OF the most sensatonai yes
timony OF the day came out IN con
nection with payments OF Ss,ooo mao
70 =. D. ',ss. hH W. w r.+hro in ~
testimony tuesday afternoon befor
the senate COMMITTEES.
''i' = ~
Brinton Produces Letter.
Tn this connection. J. w. Brin-
ton prociuccd a Letter from A. f.
SNYDER, formerly transit manager
nf the Rank OF North Dakota, now
snvsser ~ Ser s sneakinr Of % the nayment
of a draft for $500 made by Mr..
Hastings, said: II absolutely