The Bismarck Tribune Newspaper, October 15, 1919, Page 2

JAPAN BUILDING EMPIRE THAT WILL ASSATL AMERICA AND PROVE WORLD MENACE, DECLARES SENATOR LODGE Republican Leader Pictures Problems Which Gigantic Far-Eastern Monarchy Projected, He Believes, by Nippon Will Present to Western Civilization—Declares Island Kingdom Steeped in Germanism—Predicts Exploitation of China and Her People. Washington, Oct. 13.—Japan is building a far eastern empire which will become a “peril to America” and “threaten the safety of the world,” Senator Lodge of Massachusetts, republican leader, declared today in the senate in urging adoption of his amendment to the peace treaty under which German right Shantung would yéturn to China instead of being awarded to Japan Steadily and relentlessly Japan is gaining control in China, Senator Lodge said, and he predicted th e would use China’s vast manpower to endanger the ssf American and Europe. Japan was charged by Senator Lodge with “breaking innum- erable pledges,” regarding her course in China and Korea, with violating the “open door policy by destroying foreign commerce in Manchuria and Korea.” Her fundamental policy, he said, had been “Steady, relentless aiming to ultimate control of the vast popula- tion and Great territory of China.” STEEPED IN GERMAN IDE! AS | = “As it has been in the past so} {counts to pad the reserve; that false . J statements were being made. it will besa the piace ms reaaay That the banking department had been tipping off the dates on which “Japan is steeped in ~German | examination would take place and giv- ideas and regards war as an in- ing - instructions as to how to evade the dustry. She means to exploit | “That two bank examiners, one the China and build herself up until olfest in appointive service in North she becomes a power formidable ated to the banking board to all the world. She w vill use ul- judgment after a careful i timately the pra & ed manpower of Cc tary purposes, just has and Austria armies the r 000,000 SI opposed to G to promot quest. of both ent without reference xcess loan, and recom- that it should be closed. the facts! b and tumult of un- ns contained in the{ of the relators, these are} of directors oe the | of a masked accountant; | not controverted by the re- nor will they be in a single ar, yet it is in speaking of this | h the foregoing only | h spots, that the direc- make their solemn d office: Hee, | | | i | L t But the co would menace are own, and unless bank is in good fi- ang upon which the red to bray at the in- Rs Bes ers of the banking maintain a very sted upon taking this in the Pacific the ae in hand, the epitaphs of rob- when the United States will take ae thieves, puvglars and crooks.” the place of France in another} Invalidity of Post-Dated Checks great war to preserve civiliza-| Turning to the matter of post-dated tion.” hecks, Assistant Attorney General eets said: Under the statute of Y Seriee ge iNorth Dakota, as well as under the| i |great weight of authority, to post-j Townley, Fighting With Back to|date an instrament which’ otherwise | would be a check h the effect of, Wall, Uses Same Ammunition} making it a bill of exetenees a | ; ae z t is perfectly clear from a study in Attack on Political Enemy jot our statutes, which were presented : |for the court’s consideration, said the (Continued from Page One) assistant attorney general, that a against the methods of P. E. Halldor- | check, Post dated or otherwise, ehicl saa ars 3 is accepted by the payee ceases to be ae mn stg the:bank, he gave 0/2 check and is a bill of exchange, and bond at all, his isa fair, indication) that the maker and endorsers are re- he gaye no) mon oath that the Seandi-} * the right-of-way. | | ee Ta half of the banking board. He has pre- him, not kill ‘him. GARY, Ind.—With martial law proclaimed in Gary as the re-! sult of steel strike disturbances, N. S. soldiers are patrolling the! streets. The upper picture shows a machine gun mounted on a touring car for hasty movement to any part of the city, while below is a riot squad of two in motorcycle and side car which always gets What the Scandi- pared a voluminous brief, in which the navian-American bank needs is home-' yarious technical aspects of the caso opathic treatment. It has been sub- | ¢ will be argued. | jected to an allopathic course.” POST-DATED CHECKS. This afternoon’s argument may Townley will play his big card—and if he fails, say those who are watch-} termine for North Dakota the validity, ; a i i oreo) Sate of post-dated checks as collateral. ing his game, his last card —at Fargo Much of the security given by the 02 October 21, when he hups to as- ‘Townley organization for the more semble a great mass meeting of league than$400,000 which they borrowed from farmers to whom will be addressed an the Scandinavian-American bank was @Ppeal for money with which to make Said by the examiners to be in the form good the league’s post-dated chezks\ of post-dated che The banking and notes which haye, bank examiners | board ordered this collateral repl: allege, been put up as collateral for} BISMARCK DAILY TRIBUNE Jago. Whether this ammunition has r fneeting next week is expected to show, jer counties where Townley has been crs to his éause more than three y tained its “authority” the Fargo mass In. Kidder, Grant, Wililams and oth- almost impregnable, farmers are, it‘is sald, showing a disposition té@ call Mr. Townley’s attention to the fact that he is responsible for the election of: the © officials whom he Now brands corrupt. They are more and more m- clined to speak‘ out in meeting and re- mind their leader that, it? was his en- , held 108,352,000 pounds. The 872 stor: CHRISTIANS IN EAST SUFFER Dector Harton, Back From Asia Minor, sa» Rel Hardships of Deported 5 eda ‘ Shlontki.—Rev. “James Leyi Barton, president of the American :commission for relief in the near East and secre- tary general of the Amertean board of commissioners for foreign: mfssions, hag just arrived In Sifoniki to visit the missionary schools after 2 journey ‘of more than 5,000 miles. in Turkey, Asia Minor, Armenia. and Mesopo- tamia. On his arrival Doctor Barton sald: “TJ found ‘the ‘Christian populations in an extremely deplorable condition. Hundreds. of thousands of persons, who had been deported from their homes found ‘themselves at Various points in Turkey forced to live on charity. “Phe American commission for re- lief, in entire ‘collaboration with the Greek and Armenian committees is do- ing everything possikle to maintain the lives of the unfortunates.” PRODUCE STORAGE INCREASES Reports for This Year Show Gain of 40,000,000 Pounds in. Butter, 1,378,000 Cases in Eggs. Washington.—targe increases in the amounts of butter and eggs in cold storage this year, over totals. a year ago, were reported by the agricultural department. There were 302 storages which re: ported In-1918 holding stocks of 68, 202,000 pounds of butter, while the sane storages on July 15 this year ages reportlig eggs on July 15 this year, held 7,670,000 cases, against 6, 292,000 cases a year ago. Stocks of frozen and cured ftéh in dorsement, toa very large extent at least, which made “Attorney General | Langer, State Auditor Kositzky “an: Secretary of State Hall the biggest yote-getters on the Nonpartisan league} ticket two times running. Mr. Townley says that “the tools of) farmers’ ‘organization. ‘smash — the ;They’ve tried to wreck the Scandina- 'ylan-American bank because it- helped ,the farmers’ organization.” Lettérs made public this, week fror the files of the’ Scandinavian-Ameri- can bank, apparently written by Presi- dent Hagen and Cashier Sherman to Mr. Townley, would indicate that they, yery definitely held him responsible | for “a dangerous period” which brought} them “fear of embarrassment and dis-| grace.” FARMERS ARE BITTER. Mr, Townley says Mr.. Langer’s at- tempt isn’t going to succeed. He savs; he knows how the farmers feel, because he’s been out among them. ‘They ‘have never been more bitter in their anger against'the tools of big business than they are today. Their ranks more Solid than they haye ever {hat fact will be demonstrated to all the Avorld when the farmers meet .in |Fargo on the 2ist.” OTHER REPORTS, Reports contrarywise come from over the state. There is a story of an informal gathering of league farmers’ at Wahpeton which talked over the Fargo bank deal ani decided that where there was so mtich smoke there tmight be some fire. It is said they storage showed ‘a decrease on July 15 big business in this state are trying to| . , the sum of + 0£:$82.046.79 was held-as security for of business methods which were Pussy sued and is a fair sample of the valid- ity of the charges made by the relators | that the assets of the Scandinav American bank were heing dissipated. Attacking the affidavits presented by the relators to the effect that the bank | was wrecked by political opponents; | that postdated checks were valuable; | that Liberty bonds are selling below par, Sheets “Of all the ailida that have been presented to this cour the one of Myron W.. Thatcher, sel?- styled publie accountant, stands out ke a paste diamond, Thee swears positively that he is an able accountant, then he proceeds to swear ] ely as an accountant that, BAS. HIS’) KNOWLEDGE | UPON ‘THE INFORMATION AND, BELIEF OF P. R, SHERMAN, the} Scandinayian-American bank is /soi-|] mt; that no one could possibly be- e the bank was insolvent. He has nostatments of facts and presented them to this court. with conclusions of his own that are made for no other! purpose than to delude and to deceive. He isa phony accountant.” Sheets. declares the facts to be that when it was closed the Scandinavian- American had loaned more than xcessive amount to but twe That postdated checks estimated inj 74,854.10 and scatter small denomination notes in the ¢ timated sum of $554,3( 3 were held] as collateral for more ‘than $318,S24, Joaned to to borrowers ; That one-half of these postdated checks and notes so pledged as eei- lateral were not in the possess the bank, but in the possession of the debtor ; That the only person having any knowledge of those fignres was not ‘an officer. or employe of the bank, but a clerk’ in. the employ of the consumers’ United Stores Co. and: the ‘National | Nonpartisan league, '%*ho were the bor- rowers } That bank stock which constitutes in this state but a second:lien in the ‘sum | more than its market yalue in loans; “THAT ITS LEGAL RESERVE] WAS MORP THAN $400,000 LESS THAN NOTHING? “That its cash ¥ésérye. was. $70,000 below the requirements of law. “THAT EVEN BEFORE OCTOBER PAPER BECAME DUE THER WAS IN ‘THD BANK MORW THAN $169,- 943,89. OF PAST DUE LOANS. : , -“Dhat furniture and fixtures. were carried at over $17,000 more: than! they: were actually worth and at $2000, more than ‘thé Jaw permits banks to’ carry furniture, fe fixtures and bank- ing house comb: « “That $104,515. ) of paper past due was in’ the hands sot lawyers (not banks) for collec “THAT BAD EBTS wouLD RE- SULT IN A TOTAL LOSS OF MORE lieved from all responsibility, and if’ ¢ient and it also directed all of the matured it becomes a certified check.’ state banks in North Dakota to purge “As diligent search as limited time themselves of this form of collateral. would permit has not revealed a single ‘The supreme court, in its three-to-two bank aggregating almost half + mnillion, If there is not the turn-out of farme! which Townley is hoping for and pleau- ing for;-or if the farmers, after hey turned out, decline to shel} out, THAN ae at “WITHOUT REF- ERENCE TO? A SINGLE ‘EXCESS | Examizer P; ITEM. thé examination upon which the bank-|memiber ofthe bench this morning may } ing board’s action was ‘based, is also|be prophetic: ‘When a patient is sick,” | “That directors . were authorizing and the Cie i ie |instance, either in this country or in! England, where post-dated checks \have been considered -negotiable in- struments and proper collateral secur- ity for credit. It is not a negotiable instrument until presented for accep-' tance and accepted. Prior to that! time, so far as the third party is con- cerned, it may not be enforced as j against the payee and is but an evi- of an obligation—it is not even! ract. “We challenge the plaintiffs in this! action to indicate a single instance in English or American jurisprudenc where courts have sustained post- dated checks as negotiable: instru- ments, or where any banking regu- latory law or body has recognized | | post-dated checks as a proper collat- al upon which to base credit. ‘If post-dated checks may be nego- jtiated for fifty cents on the dollar, jthen indeed has thé millenium come} for the man who has not the security upon which credit is based. Does the Weary Willie or the I. W. W. in a jungle outside: of a North Dakota town need money, all he needs do is to} secure a number of post- dated checks, | deposit them as colateral in a bank and secure the money. Or if it is de- sired to purchase a f. rm, a collection 1of post-dated checks secures the mon} y for purchasing it. }, “If such a rule prevails in this state, ° every get-rich- quick artist in’ the country will appear in North Dako! ta and will launch his enterprise, since post-dated checks are the easiest thing in the world to secure— except signatures to a petition. * * The ‘result will be a deterioration in; tredit—wild-cat. banking, and. that which has inevitably followed wild-cat jbanking, depreciation in values, de- rangement of legitimate business, and in the end-a sobering up which will cost the innocent bystander as well as the credulous ‘many million dollars.” Sheets concluded with a plea that the petition of the relators “be in all things dismissed.” | BANK CASE UP TODAY. Late today the Scandinavian-Amer- jean bank case will be’ argued in ‘su- ipreme court. This tribunal will be asked by William Lemke represénting the ; Scandinavian-American bank . and State Examiner Lofthus, to make pei- manent its temporary ‘injunction re- Straining the state banking board and Attorney General Langer and Secre- tary of State Hall-as Individuals, as state officials and‘ 4s’ members: of the, pee board from further probing into’ the affairs of the Fargo bank which the banking board ordered closed ten days ago. Assistant) Attorney Genéral Albért BE, Sheets, who acted for the bankiag board in thé Seandinayihn-Amerioaa matter}: and who with Deputy State ‘4. Halldorson,: who made ere kiting redis-|undér an injauction, will appear fit.be-)he said, “we send for a doctor to cure ifor the ion granting Lemk a temporary | injunction reversed this action, on th? part of the banking board and restrain- x ed it from enforcing its order directing | sert those who lay claim to some polit- state banks to throw out post-datcd ical acumen. And when Townley’s star check collateral, One of the inter /Sinks in North Dakota the v pha of the hearing probably will be| hich it has shed over adjoining states the evidence and argument introduced | in the northwest, assert these prognos- in behalf of the bauking board as to! ticatots, will be swallowed up in the the validity of post-dated che | gloom. = £ yy know 5 THREE A ROW. {will do. if it j The state banking board was hand-|powntey, 1 ed three wallops right in a row by the a) panger and “his gang, upreme court in connection with the dent Townley twic elected on hig Not Fargo bank matter. artisan leagne ticket to the state of- temporary writ with its ‘Hands off the fino. whieh they now hold. “They've Scandinavian-American bank” injun| seen the ¢éo: riven from tion. Whis order directed the banking) rricg by the s. They've board to turn over to the Examiner O-' soon a free pre <¢ in North Dakota, FE, Lofthus, whom the court appointed! ’ang now they see the state fast slip- as temporary receiver, any records of ping from the grasp of the Twin City ute ndina meriean baal jankers and auillers and clevator men. which which might be in the board’s 7 hands. ‘Then the supreme nied Attorney ral Langer’s inpt of millions of dollar modification of / this order | and millers and elevator men who live which would permit him to retain cer-| fain records which he held essential to} the successful prosecution of offi whom he held responsible for th dition of the bank. Next the sup court, by the same three-to-two der ion asin the previous instances, d: clined on motion of the attorney gi eral to direct Judge Cole of the Fil judicial district: in Fargo, ‘in /wh dourt the banking board had begun ant action for the appointment of a perma- | nent receiver for the Scandinavian-| American bank, to retain “jurisdiction | and proceed witli the hearing of this | matter, which y set for Monday. THREE-IN-ONE. | Therefore today’s hearing before; the supreme court will decide three im- portant is: First, whether the. State banking board did ' exceed its powers and usurp the prerogatives ot the state examiner in declaring fhe Scandinavian-American bank insolvent, | closing its doors and placing a tempor-; ary recelver in charge; second, ‘wheth- er the banking board may. regain pos- Session of certain evidences of irregu- larities which it claims to have found: in ‘the, bank’s files, and which it ae! legeg are assential to the ‘prosecution | of President Hagan and Cashier, Sher- man on charges of making talge ex- hibits ‘to tle deputy state “examiners, | anid third. whether the banking board is to have power to enforce its order invalidating post-dated checks, and, in- sisting that the Scandinavian-Americi: throw out the large amount of secuti- ties of this nature which it is alleged to hold, proceed in district court’ with the board’s petition for the appoint- | ment of a permanent recéiver and fhe deposing of the present management of the Scandinavian. American bank: “BK-PARTD STATEMENT. An ex-parte statement made by a: ig Will be up for Mr. Townley, so what the organization s slot pra shed He Mr. kota will cease to pay the old tribut ing no ne s” talk is the same lin of redsoning that he used in conyert- » whom Presi- |} His | night. CASBHY’S Thursday night, are now on sale at Harris News Stand with Security which it regarded suffi- loans from the Scandinavian-American | picked a partial ticket for the cam- paign @ year hence, and that “Bill” Langer heads that ticket as governor }and that they would send Secretar, of State Hall to the United’ States sehate to succéed Gronna and would retain Karl Kositzky in-hig present post as state auditor and “watchdog of the treasury.” :| Senator McCumber’s Remarks Before Senate on Shantung Amendments to Peace Treaty (Coftinned From Page One) ich drew fire from Senator Reed of yuri and Jed eventually! to appeals to the chair to strike out the language. Some of Senator -McCumber's — re- marks upon what he classed as recent demonstration of friendship for G2"- many by senators were declared wy parliamentary. TO VOTE LATE 'TODAY A vote by the senate late today om the Shantung amendment to the peace | x two longer, and North Da-| treaty was-planned by republic leaders with acquiescence, it was said, of the rly to bankeys | democrat Dancing at Patterson ‘Hall to- Ruby Ladies’ Orchestra. The gpen-hearth — process” in. steel Cling almajority ofNorth Dakota*farm- | manufacture bean’ in 1871: of 4 per.cent, as compared with:a: year. ago, present holdings including 58; 994,000: pounds of frozen. fish, 29,147,- 000 pounds of cured herring and 6, 822,000’ pounds of mild cured salmon. ‘Order your Winter Suit or Overcoat now. We guarantee satisfac- tion. EAGLE, Tailors, Hatters and Cleaners. Phone 58. i SS ee, ROOMS WANTED Those having svate rooms for rent oti Oct.'15-16 call 577.—Adv WEDNESDAY, OCT. 15, 1919.” ES es | Offenders “Fined” to Save; They Get So, They Like It In the police courts of New York state it is).getting to bea common practice to sentence minor offenders to a term. of saving, and in- Syracuse last year $5,000 was invested in this, way in war savings stamps, all.later rettitned to‘ the ‘ten or used to help their families. At Niagara Falls, when David Broderick was placed on ‘probation six months ago-and ordered to. give ‘ the probation offices $12 @ week for war savings stmps, he com- plained bitterly., At the end of six months he received $230.50 worth of jstamps, aud hé volun- tarlly placed himSeb? on indef- inite probation; pisomising to Dring in $10 a week to -continue H his savings investment. : Deerentna 100 Bet erasserdnOe-0H0® TIED TOGETHER, TRY. TO DIE Aesdrgrareauteegnoe 0-108 0-88-8808 See eee eee Buddhist Superstition. Believed to Have Inspired the Act of Eleven Koreans. ‘ Seoul, Korea —An extracardinary at- ‘tempt of eleven Koreans to commit suicide by tying themselves together with a rope and then jumping over- board is. reported from the treaty port of Chemulpo, about twenty-tiye miles southwest of Seoul. The incident occurred on a ferry- boat running between Chemailpo and a nearby island, The boat wa: stopped and all were picked un but thine were dead. The‘nct is believed to. have been in- spired by Buddhist superstition, ‘ Nothing in Names. - Los. Angeles—There’s' nothing {0 names in the speeders’ court. Justice Harlan G. Palmer fined Dr. Harlap Palmer $25 for going too fast. _ Water in the Gulf Stream some- times reaches almost to boiling point. Tribune Want Ads bring results. =—————SSSSS Go aye ks eae ee Pe No other test equals the test of continued _ confidence. Buyers of Furs, Pelts, Wool, Hidés & Junk Tanners of Furs, Coats, Robes: & Leather Write for price list and catalogue. 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