Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-06-28
MOST STORE co.
STOCK OWNED BY
LEMKE, CHARGE

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CONTINUED from page ~
e your once and, ask you about
q. But 1 didn't n4ndl. any Of the
the business? I never carried out any
papers or anything like that, OF, closed
any deals to your knowledge?
A.. No, str.,I couldn,tfEay 70.
Q. Mr.. LAmke was the. man who did
that as far az you know and Mr.. Pad
kdock some times?
Ayes, sir.
that you acted in these matters
A. Undoubtedly.
IBy staf Corresponden4)
Honday Heartn9.
Bismarck. N. D., June 77.-rAn
wa a tough day for the leaders q the
Nonparttsan league who are prose.
outing J. W. Brtnton on a charge Of
perjury.
The testimony Of the states W.
witnesses furnished strong circum-
stantial evidence to indicate that
Brinton. told the truth In his state
ment before the investigating COM
ndttee of the house Of representatives
last winter to the eftect-that It was
the policy Of the Bank Of North d.
kota to supply the Scandinavian
American Bank Of Fargo with funds
70 loan to other Nonpart1sen league
enterprises. -
BY cross examination, Of Nels J.
Brevtg, assistant cashier OF the Scan
dtnavtan-Auaertcan Bank Of Fargo,
Arthur LeSueur, attorney for Hrnton
made Brevig admit that
Rrevtg's Admission
On Aug. 70, 1919, one month
altar the Bank of North Dakota
had been opened. the scandtnav1-
received redepoette Of public
money amounting to about $685.
This money sheaped" raaoert-
ally in making loans to League
enterprises which early in Octo-
Der. 1919, totalled about $3.50 600,
/. although part OF these loans
wer made prior to the opening Of
the Bank Of North Dakota.
These loans were made on &C
comlnodat4on notes in order that
of the Scandinavian American
bank that the law, which pro-
hibits loantng to any person or
corporation more than is per
cent Of the banks capital had
been violated. \.
The League Exchange, F. 3.
Wood and his family. and Porter
Kimball own 212 Of the 500
\ shares outstanding In the Scan
'dinavian-Amerfcan hank.
Questioned BY Lesueur
C.. Mr.. Lesueur: why did those 81
dividua!s sign those notes when tn.
a~n4sx ,nA AHkA~EAA "a TIA - YS~ttAt
. stores Co.? You didn't rely on then
to pay them, dtd you. as being you,
main security or anything like that
A. Mr.. H-ev.g: Well, I couldn't an
swer that; I didn't have anything t
do with that part Of It.
6. Don't you know as a matte,
Of fact that there s a law in the stat
8 Of North Dakota that provides a !!roi
to loans which shall be made to an.
: one individual or concern 20,
know that?
9. AS a cashier Of a bank? A. Ye
! Q. Now is it not true, al, We wan
! sign those notes 30 that it will appea.
! on these books that the law had no
been violated when in fact those cor
: porations- got all Of. these credit
amounting to thousands and Thousand
Of dollars Of excess loans. isn't tina
= true?
= A. I suppose It Is
One of the most striking features o
Brevig's testimony vas his admission
relative to the accommodation pa
--ipers. The official transcript Of thi
follows:
Banks Minutes onoted
! Another interesting feature Of tn
afternoon canfe~ when Mr.. Lesueu:
forced Mr.. Bfevig to read from thu
Official minutes of a meeting Of tn
directors Of the Scandidavian-Anneri
) can bank held On. July 2S. 1919 /!
( which the directors instructed II. J
Hagen, president, to arrange Tor tn
%rediscount Of $350,0o0 worth Of pape
Of the N~onpartisan league and othe
League enterprises with the Bank Q
North Dakota, and also voted tina
. since the league had better facilit!e
for floating its paper the amount t
be carried by the scandinavtan-Anner
lean bank be limited to $4,000
!, The court session was filed Will
: sensations. practically all Of them be
ing furnished by the testimony Of tn
: states own witness under Mr.. LIE
sueur's, c-oss examination.
This began during the morning
session when Mr.. Lesuecr forced
NJ. B.evtg, who had been put
on the witness stand by the state
to identity the records OF b
OBSERVATION-DISCLOSURES hank, 30
, ed,nit that m :Jplv % 1050. fhe