Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-07-08
Brinton Case Expected
Is GO To Jury Today
Continued From Page


so misappropriated that funds have
do AZ charged BY Mr.. Brinton III lis
testimony ana if they did 90 do Ii
5is your duty I find in accordance
Herewith that these institutions have
so been abused. that fundk have been
so misapproprtated: that funds haze
been embezzled as scharged; thatsapub-
lie monies Of the state OF NorthgDa4
kota have been used by subterfuge
and evasion ofElaw to finance these
iinstitutions.ssthe National Nonpartisan3
league and It's allied and associated
banks, Institutions and dummy cor
porations In amount practically
equal to the whole amount leaned
and deposited by the Bank of North
Dakota with the ScandinayiansAmer-
lean bank SssIf all these things be true,
as shown ny the evidence in this case,
tits youTsduty to find the sdefendant,
j.. w. Brinton, not guilty: I
I Before proceeding with an analysts
of the evidence and an explanation
of what the hundred and odd exhibits
and documents in this case show,sI de-
sire to show very brieflysto you what
the evidence proves. 3Sa@taS
what Evidence, shows.
The evidence shows. most OF It
without CONTRADICTIONS:
That the Observation-Disclosures
bank was purchased by Hastings.
That it was used to, make loans to
the league and its dummy corpora.
tons.
That it made hundreds of thou
sands Of dollars of loans in violation
of law. s.
That there was a policy agreed up:
on that the Bank of North Dakota
would loan and deposit money in the
northumberland bank; that
this bank was controlled by the exec.
utive committee ofSthe league; that
this policy was agreed upon between
Lemke, Townley and Cathro.
That this policy was carried out
and hundreds of thousands of dollars
loaned and deposited In the scandin-
avian-American bank in pursuance OF
the policy; that Brinton told Cover
nor Frazier that the bank would be
wrecked by that policy; that{it was
wrecked by 1T; that the governor%paid
no attention to Brinton's letter. tell
ing him Of criminal misrnanagement
of the Bank Of North Dakota; that
not only were the abuses complained
of by Brinton proved beyond ques-
this trial are 1000 worse than Brin-
ton saidsthey were; that II is a fair
inference that the governor knew OF
1.-The policy and allowed it to continue.
That Lemke and Townley were par
ties to this criminal policy, and ben.
eficiaries of&it. 55s sA
That j. r. Waters was opposed tc
this policy resulting int4the. contro-
versy testified to by Brinton. That
he tried to secure the assistance. OF
the governor in stopping the abuses
That .Lemke was present on oneYoc
casion when Waters tried to interest
the governor in the matter; that
Lemke's only comment when asked
by the governor.about it was Wa
!, tiers is unduly. exercised; that Lemke
and Lofthus were in charge of the
Observation-Disclosures bank; thai
Lofthus did receive a check drawn
against an account with no honey tt
pay the check; that 1t nevertheless
was reported to the supreme court as
paid by Lofthus and Lemke was at.
torney in the case in which that was
done. That Lemke knew of thu
check fraud. That ATownley did say
to Brinton, 'Cathro has agreed to sal
with u.s.; that Cathro did sail with
Townley and his crew of hungry pc.
litical pirates. That there vas a con.
%ftroversy over the sailing orders; that
Waters cancelled his shipping arti.
cles and refused to sail further Will
the ship of state when they hove il
sight of the doors of the penitentjary
That harbor. safe as ft&may be. die
not appeal to Waters and he quit the
ship for good. That after Waters re.
fused to obey the orders of Captain
Townley. the captain continued hi;
conference with Cathro.A after Water.
left and Cathro sailed" He violated
all known legal regulations for sail,
inpIthe shin of state and his "a nfai r
was no piker but continued to trim
the sheets while the wind was fair
and their motto was S::Sail on. Of
Ship Of State, sail ONT" And so the,
sailed, until they boxed the binnaclt
and busted the compass. Waters ii
the hold yelling. "She's. springing (
leak!" Brinton in the crows mes
with prophetic eye shouting Break
ers ahoy!' while the ships carpente,
plank after plank from the goos
ships hull to build himself a MIC
little private yacht Oh lot 4 of Erskin'
addition to Fargo.
The following facts stand undis
puted:
That the OBSERVATION-DISCLOSURES
Bank of Fargo was owned partly b.
ia J.. Hastings. the League exchange
F. B. Wood as trustee and other,
connected with the Nonpartisal
That the scandinavian-America,
bank Of Fargo did unload hundreds o
thousands of dollars to the Nonparti
san league INK It's associated enter
prices and companies.
That between the months of Apri
land September, 1919, these loans wer,