The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1925-01-13
FORFEIT LAND
T0N.D. THROUGH
LOAN DEFAULTS
State Becomes Absolute Own.
er Of l3 Parcels of Land
BY Foreclosure
DELINQUENCY SHOWN
Principal and Interest De-
linquent on Real Estate
Loans $464.OOO

The state Of North Dakota is now
the absolute owner of l3 parcels of
farm land, and unless the former
owners take steps" for its redemption
will shortly become the owner of $50
more tracts. as result Of default
cd payments of principal and inter
est on farm loans made by the. Bank
of North Dakota.
The cost Of this land to the state
has thus far been $945,498.77 The
face of the original loans thereon
totalled $749,652 The additional
cost is represented by interest. legal
fees etc.
These facts are brought out in
the audit of the Bank of North Da-
kOta. made by Temple Brissman and
Co.. which has just been presented
to the state industrial commission.
Loans In II Months
There were 2.OO7 loans amounting
in value to $5,225, ,45O closed by the
farm loan department of the Bank of
North Dakota in the II months be-
tween Nov. 7, 1923 and October Is,
1924 according to the audit. This
represents more than one third of
the total number and amount of the
loans made through the Bank of
North Dakota since its establishment
in 1919. The total number of loans
made since the foundation Of the
bank is 5,447 and the total amount.
SlG,932,75O.
On the principal of these loans
$23S, 1852 had been repaid -on Octo-
Der IS. 1924. while the amount of
the principal payments which were
delinquent was $l35,175. This had
been reduced to $lO3,OO3 on Novem-
Der 30, 1924, As days later, showing
a large amount of liquidation as a
result of the moving of the crop.
These figures however do not in
clude loans on which the department
has foreclosed and obtained either
a sheriff's deed or certificate Of sale.
The former amount to $4,000, and
the latter to $7O4,80O. Figuring all
loans on which foreclosure proceed
ings have been instituted or carried
through as due in full, the discre-
pancy between actual amount of un-
paid principal, and the unpaid prin-
cipal not yet due is $l.OO6,2l9.
Foreclosures COMPLETED
Foreclosure has been completed,
and sheriff's deeds secured on pro-
perty put up as security for l3 loans
amounting to $46,9OO. This proper
ty is now held by the state. Includ- !
ing the principal of the loans, ac-
crued interest, legal costs etc. it has
cost the state 5S,S9O.7S. The income
from this investment has thus far
amounted to 1870. of which $1OO was
derived from rental of farm in |
Burleigh county and the balance
from payment made after title had |
passed.
Foreclosure proceedings have also
been pushed through and a sheriff's |
certificate Of sale obtained on the |
property securing 1870 more loans
which amounted to $7O4 800. Ac-';
,rued interest, and legal costs has !
soosted the cost of this property to |
the state to $3.50, ,595.99.
Foreclosure proceedings are now
pending on 30 more loans total
ing $123,4O0.
Of the 223 loans on which fore
closure proceedings have been COM
oleted or instituted, 166 belong to ,
Series" All Of which were made .
lnder the Frazier administration.
There was large liquidation. Of ,
delinquent interest between Octo-
Der IS, and November 80 last, the
'ecord shows, this item being reduc-
ID from $471,4l4 to $362, ,496 during
hat period.
Collections Made
Collections by the farm loan de-
'artment during the II months per-
cd covered by the audit totalled
;486,272 The cost of running the
arm loan collection department for
he same period was $13,82O. This
'ost exceeded it's administration al
owance by $3.50 which is charged
Is a loss against the department.
The total operating expense of the
arm loan department for the per-
cd was S9,5Aa.42, and the net loss,
Continued on page three)
NJ