Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1922-03-30

~ E n. CIV - 80 4ELN
plodon IN the part OF W. s.. Lauder.
Townley's leading attorney. who eff
fervesced Violently for several minutes,
during which he declared that there
weref sinister Influences back of the
prosecution Of his client and that tho
prosecution vas part Of. a plot to
bring him into court on q charge Of
perjury In connection with his testd-
mony given during his bankruptcy
Trial Called FAFcc.
Il have practiced law Tor A years
and I never saw such . farce shout
ed MI. Lauder at the topyof his voice.
Il agree with you there" interjected
Attorney General FSveinbjorn John
O from across the attorneys table.
This row came shortly before "a
brief c Inc when the hearing
was resumed the 1irst testimony
which had been given during the
afternoon was given by J. w. Brinton.
jections on the part Of the defense,
however, and comparatively little
ground wasncovered, - 8S
Under . ruling made by Judge A. +.
Colo earlier iii tho afternoon the state
was limited at this time in its ex-
animation OF Brinton to showing the
status Of the United States Sisal Trust
at the time J..J. Hastings committed
his alleged embezzlement by obtain
American bank of Fargo Of which he
was vice president, and giving the
bank a note signed by the Sisal Trust
with himself as trustee.
Judges Position.
In making this ruling Judge Cole
took the position that the state had
MT Hyofs 0ofo hlSuh n1 th1 frok that nv
e~mbezzlement had actually taken
place and that testimony tending to
show that the Sisal Trust was not &C
tually in existence at the time
Hastings affixed it's name to the note
would be relevant in connection with
this point.
.. Questioned along this line, Brinton
stated that the Sisal Trust was no
actually formed until April Z, 1919,
20, 1919, the date on which Hastings
is alleged to have given the note. !
Organization papers of the concern
and other documents in ~conneotien
herewith were accepted by Judge
Cole as exhibits this afternoon.
At the time that Brinton took
charge of the Sisal Trust in March,
1919. its only property consisted of a
Ford automobile. a typewriter, some
minor Office fixtures and small sum
Of money in a Miami bank, the wit
ness testified. This was before the
organization of the trust was COM
pleted. The organization owned NO
real estate. whatever at that time.
Rrinton said, although this was. sub
sequent to the giving Of the Sisal
Trust note by Hastings.
Mr.. Lauder stepped in at this point
with a demand that Mr.. Brinton tell
who were concerned in this organiza-
ton. As this was one of the points
vainly trying to introduce testimony
for the last two days his challenge
was promptly accepted.
Those In On Deal.
Questioned on his point, Brinton
said hat the men who took part in
the Sisal Trust promotion were first
A.. C. Townley and Ernest Lundeen,
the latter a Florida man, and later
J. J.. Hastings and Thomas Allen Box
came into the deal.
J.. r., Waters and Brinton came into
ting affair in March, 1919, Brinton
said, and about the time the organi-
zation was completed in April Of the
same year, Leslie Simpson, of Dickin-
son who was present in the court
room as one of Townley's attorneys,
was taken IN.
This practically completed Brinton's
direct testimony for the afternoon,
the state reserving the right to recall
him later on.
The barrage Of objections which
the defense has put down since the
beginning of the hearing was in fun
force this afternoon.
An effort to find some method of
expediting the case, made early in the
afternoon, resulted in mainly an hour
and a half of argument which cul-
minated in the explosion by Mr..
Lauder already described.
Judge Cole had ruled out testimony
tending to show Townley's connection
with the Sisal Trust. taking the posi-
ton that this was inadmissible until
the state had shown that the crime
of ~embezzlement had been committed
in connection with the transaction
between Hastings and the Scandinavia
an American bank. This. he held,
had not yet been done. .a
"a JOhnSon's Attitude. :
Attorney General Sveinbjorn John
son and Assistant Attorney General
George Schafer maintained that they
had already done this by showing
that the loan made by Hastings,