The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-05-19
Lllt1dOff-Bick11ell
Are Standing Pat
STATE BOND FUND
CLAIMS $@,951.19
FR0MMANDANBANK
Asserts Zimmerman Shortages
Were Made As Banker,
Not As Treasurer

Not As Treasurer
A claim for $e4,951.lo against tn
closed Farmers State Bank Of Man
dan has been filed by Harold Hopton
representing the state bonding fun,
and also the city Of Mandan, on til,
ground that the bank Is liable TO
some Of the funds ]. A. Zimmerman
former Mandan city treasurer, is al
legged to have embezzled from tn
city.
The claimants reserved the RICH
to file additional claims for losse
that may subsequently be discovered
Hopton claims that Zimmerman
as cashier Of the bank, unlawful,
and without due authority, set VI
charges against the account" Of tn
city. He bases the claim on tn,
theory that the funds taken by Tim
norman were from the citys accoun
in the bank and that the bank i
liable to the city for the shortages.
At the same time Hopton, In {
letter to G. D. Cooley, president o.
the Mandan city commission, Offered
the city $40 ,963o3, plus accrued in.
terest, in settlement Of the claim!
against the bonding fund.
Claims Total 95,9O7.95
Claims have been filed against thu
state bonding fund by the city O.
Mandan for $126,736.47, of which
$95, 907. 95 is set out as shortages, ans
$50, 1891 80 accrued interest at six pc,
cent to May l. Zimmerman is serv.
ing q prison term for embezzlemen
Of city funds.
Various factors are involved in tn.
claims made by the city against tn,
bonding fund. The bonding depart
ment claims that an audit made b,
the state examiner In June, 1928, dis.
closed information which, it Is al.
legged, abrogated the contract be.
tween the city and the state bond.
ing fund.
Mandan city officials, however, ir
notifying the bonding fund of thu
shortages last November said thai
the state examiners report disclosed
items aggregating more than $780,
600 had been paid, for which there
were no warrants, bonds or coupons
on file. some of these items having
evidently been credited on bank debit
slips, and some for which no debit
slips were available, SO that 1t was
impossible to segregate the specific
items claimed to have been paid"
Some Items Lost
Some Of these items were claimed
to have been lost and 1t seemed i'm
possible to do anything at that time
but to accept the story of the officials
inaSmuch as many thousands of dol
lars Of paid special assessment war
rants, bonds and coupons were found
filed In the auditors office without
having been marked paid" or can
celled," G. D. Cooley, president Of the
city commission, said in his notice
to the bonding fund. Attention also
was called that the destruction of
the city hall by fire few weeks prior
to the audit made 1t possible that the
items had been lost or mislaid. Cooley
said In view Of the circumstances city
officials could only wait to see If any
items claimed to have been paid were
again presented for payment.
Hopton is Offering a settlement in
behalf Of the bonding department,
said 1t was made on the assumption
the bonds issued by the state are con-
tinuing where an official succeeds
himself in office, and that the annual
premium merely extends the term of
the bond rather than creating a new
contract; that the city would be
stopped to recover any defaults which
occurred more than six years before
commencing suit.
File Claim With Baird :.
The claim against the closed Farm
ers State Bank Of Mandan was filed
with Baird as receiver Of the bank,
the Northern and Dakota Trust Co.,
Fargo, which issued corporate sure
ty bond for 1880, and E. A. Ripley,
A. o. Henderson, H. w. Lanterman,
Plus Zueger, r. J. Zander, all of Man.
dan, and M. Grewer, Bismarck, said
to have given personal surety bond
for $4,000.
The claim sets out that under date
Of November 6, 1881, the city Of Man.
dan, as beneficiary under the bonds,
had on deposit in the bank $64,94l 10
and that all Of said sum is now, or
should be, shown to the credit Of the
said beneficiary on the records of the
said principal bank.
G. D. Cooley, president Of the Man.
dan city commission, said the city
acquiesed in Joining the bonding fund
In making claim against the closed
Farmers State Bank of Mandan for
shortages In the accounts Of former
City Treasurer j. A. Zimmerman with
the understanding that this would not
prejudice the claims of the city
against the state bonding fund.
TWO MEETS SCHEDULED
HIGH school track and field ynaots