Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1935-02-28
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trust company would be required to
subscribe for stock equal to per
cent of it's paid up capital stock and
surplus. National banks would be
allowed to subscribe.
In addition to taking deposits from
the state and it's local subdivisions.
the bank would be authorized to take
deposits from banks. trust companies,
savings banks, building and loan as
sociationS and credit unions, organ
lied under the state laws.
Calls for Bond Issue.
The bill provides for the issuance
of $4,000, 900 in bonds by the state to
be used for the purchase of stock in
the central bank, which would be
governed by a board of seven direc-
tors.
Governor Olson, In his inaugural
message. pointed out that the CEN
trail bank would act in the same
capacity toward the Independent banks
of Minnesota as the Federal Reserve
bank of the United States acts to-
would not only provide a means for
financing and refinancing the obliga-
tions of the state, but would also tend
to liberalize credit"
The bank would be limited in it's
investments to securities of the United
States government, the state and its
political subdivisions. 1t would be
permitted to lend money to depositors
upon such securities only.
For Income Tax Boost.
Senator j. v. Weber of Slayton, one
of the leading conservatives of the
upper house, has introduced a bill
to increase the rates of the state
income tax. The proceeds from the
tax would continue to go to the
schools. The proposed increases.
which Senator Weber estimates would
increase the revenue of the state by
about 100000, are as follows:
First $1,000, from one per cent to
one and one-quarter per cent; $4,000,
from one and one-quarter per cent to
one and one-half per cent; $4,000,
from one and one-half to one and
three quarters; $4,000. from one and
three-quarters to two per cent; $4,000,
from two to two and one-half per
cent; $4,000, from two and one-half
per cent to three per cent; $1,000,
from three per cent to three and one
half per cent; $4,000, from three and
one-half to four and one-half per cent;
$4,000. from four to five and one-half
per cent; $4,000, from four and one
half to six and one-half and the re-
mainder from five to eight per cent.
A bill similar to one which was
defeated in the 1888 Legislature has
been introduced by Senators B. G.
Novak. and George H. Siegel of st.
Paul, and Walter H. Wolfe of Mime
apolis. 1t would place the burden
of proof in telephone rate-fixing cases
upon the telephone companies, instead
of on the state, as under the present
law. The bill would empower the
state Railroad and Warehouse COM
mission to collect a one per cent levy
on the gross earnings of the phone
to pay in part for rate in
John H. Bosch of Atwater, head of
the Minnesota Farm Holiday Associa-
tion, is leading a fight to bring the
mortgage moratorium extension bill
out Of the Senate Judiciary commit
tee, where it has lain since it was
passed by the House some weeks ago.
The moratorium act paSSed in 1914
expires next May 1. However, farm
contracts expire on March 1, and
therefore courts in granting farm
extensions under the
have granted them only
until March 1 of this year. Therefore,
unless the Legislature extends the
act before March 1, many
farms will be subject to foreclosure