The Bismarck Tribune Newspaper, February 9, 1921, Page 1

The Weather FAIR “AND. WARMER DAY, FEB. Last Edition % 1921 eS JANS ARE AUTHORIZED FOR SPATE INDUSTRIES WITHIN. ~~ LASTTEN DAYS, IMISSHOWN House Investigating Committee Continues Inquiry Into Places Where Money of Bank of North Dakota is Placed—Deposits' Outside State Average Over $5,00C,000 for Long Period and | Reacon is Given—Money in Quizzed as fo “League Operations.” Closed Banks is Shown—-Brinton i) . . : State industries are continuing to borrow money from the Bank of: North Dakota, ac cording to evidence, adduced today in the hearing of the house committee, inquiring igto them. Loans were author late as January 28, 1921, recor produced at the hearing show. These loans now authorized total $1,135,000. d by the Industrial Commission Is of the Industrial Commission, Although sev- eral weeks ago the Industrial Commission stopped work on stat industries Decause, it was said, heavy withdrawals were being | made from the Bank of North treasurers, new loans have been author Dakota by p: olities 1 sub-d on zed singe to take up existing indebtedness of the millrand elevator association and ‘the Frome Builders association. Among the other facts with regard to the bank, which are looked upon by crities as tending to show critical conditions and HOUSE, SENATE | “DISAGREE UPON LICENSE BILL House Committee Would Abolish Department; Senate Would. Enlarge It |ANTI-I.W.W. BILLUP) ‘Criminal Syndicalism Bill Goés ' to Third Reading After Discussion A ‘conflict on the state pool hall licensing department looms in legislature between the senate and the house, as the result of action taken by the house late yesterday i amending senate. bill Ng. 18., The senate bill _re-enacted' the law, and provided for. five inspectors in the department at $2,500 a year in- stead of three, at a lower salary, and broadened the scope of the depart- ment somewhat. The house adopted the report of ‘the state affairs committee which would abolish the inspectors entire- the” lack of proper management, were: Redeposits in closed banks total “the bank’s own records; which does not include loans, which pre- vious reports have, placed upwards of $800,000. , ly, and Ha eae the enforcement of 520,906.52, according to laws and licensing of pool hails, dance halls, etc., hack to the munici- tpalities. If the house passed the meabure with this amendment, as in- Of the profits of tle Bank of North Dakota, since organiza- dicated by its action, it will stand tion, $188529.12 coniesfrom interest coupons on bonds issued act opposed ‘to the senate alti- bt a we oanity 3 «k for whie Onev ac 4 yoWAS @X Mae. : for the bank’s capital tock for which no money actually was ex- “Wien the state affairs committe: changed. reported to the house there was «| Past due loans as of Dee. 3 totalled $1,405,488. reprding majority and minority report, the Ta- | 32. to the bank’s records. ; : J axpenses of operating bank from: May 1, 1919 to Dee. 3, 1920, as shown by the Bishop, to be $288,543.15. Average deposits outside’ o' hetter than ‘Counsel for the committee announc- ed today that Mr. [Lemke had stipulat- ed*that the Bishop, Brissman & Com- ‘pany andit was substantially correct. By reason of this agreement it-will not ‘be necessary to produce many rec- ords, Leaks Detailed. The Waae being made to, state in-; dustries were fully gone into by: the reading of minutes of. the Industrial | Commission by H. A. Paddock, secre” tary, called as a witness, and ques- tioned by Attorney Murphy. The record of authorization of advances by-the Bank of North Dakota to industries, showing a total of $1,135,000 as read by Fad, dock, showed: April 9, 1920—Advance of not over $100,000 to Home Builders Nov. 13, 1920—Not over $115,- 000 to Home Builders. Dec. 16, 1920—Minutes said pre- vious item should read $125,000. ° ‘ Jan, 28, 192i—Resolution offered by/Mr. Lemke in Ipdustrial Com: mission and carried, authorised not more than $60,000 to Home Builders ‘to complete houses un- der construction. Sept. 29, 1919—Mill and Elevat- or association authorized to issue interim receipts not over $50,000. Jyly 7, 1920—Further credit of $100,000 authorized. Aug. 14, 1920--Further credit for Grand Forké mill construction of $200,000 authorized. Noy. 13, 192 redit up to $300,000 authorized, on account Grand Forks mill. Jan, 28, 1921—Authorization fe. Grand Forks mill work to-$200.- 000. } Take Up, Overdraits. The policy as obtained by the wit- ness upon questioning’ was that the bank advanced the money and the au- thorizations, took care of overdrafts, and gutstanding checks. Mr. Paddock read a list of notes given by the Mill and Elevator asso- ciation and the Home Builders. They totaled $1,135,000, showing all the money authorized had been taken by the industries. The rate of interest | shown was 6 percent, and the notes were All demand notes. Inquiry as to the persons in charge of the industries broyght the answer that, on Nov. secretary of the Industrial Commis- sion, in charge of the Drake mil, and 5,000,000 from Noy. 13 the Industrial Com- | mission placed W. A. Anderson, then ' Brissman report, held correct, f state in other banks averaged 15, 1919 to June 3, 1920, EEE OLN BUCO ES BAN AGAINST FUND TRANSER URGED BY BOND | Ward County Senator Intro-; | duces Bill. Curbing Practice | ». of State Bank 'RE-ESTABLISHES PENALTY Baird Wants Capital Punish-| ment—Minimum Wage Act for Teachers | Transfer of funds from one account | to another by the state hank is made illegal in a bill introduced into the senate by Senator Bond of /Ward. county. This is one of a group of bills which he has offered _ relating to the management of the state bank and farmy land toans. The state bank has been much crit- icised for its policy of shifting the money around and this was one of the things objected to by the state bank- ers committee. Attorney General! Langer, while a member of the indus- triaf commission, refused to vote for any of these transfers, questioning their legality. _ Restores Penalty. Another bill which has created con- siderable interest is Senator Baird's offering which would restore capital punishment. This has been a much debated question before the legisla- tures of most of the. states, which, like North Dakota, have abolished the death penalty. Minimum wages for teachers are | provided in a bill introduced potters | day by ‘Byrne and Storstad. It grad: ithe teachers according to their oe perience and training and places the lowest amount of salary which may be, paid at $810 for the first grade and up to $1,400 as a minimum for the highest grade’ ~ a « Requires Bond. Séhator Liederbach’s _ bill priating $175,000 for the Missouri , viver bridge was one of the bills passed yesterday. Others required dependent majority favoring the amendment and the minority of Non- partisans standing for the bill as it! passed the senate. The majority re- port was, adopted. During a session of the house com- mittee of the whole house bill No 100, ‘the criminal syndicalism bili, aimed at sabotage and criminal syn- dicalism, was advanced to third read- ing with amendments, Lawful -Labor Acts. ned at the 1. W. W. and similar organizations. Roy John- | som asked that the bill be amended , to include a statement tifdt the act was not intended to affect " legiti- | mate activities of organized labor, saying that representatives of organ- ized labor asked this assurance. | There was some difference of opin- | ‘ion on the point. Representative Del Paterson sug- gested that this would be class leg-| islation, and suggested that the pro- vision specifically mentioning organ- ized labor be stricken out and that 'the words “any persons or persons” being inserted. Representative John- son said that ‘the words with refer- ence to organized labor were meant y to express the Intent of the leg- ture, and remove any miscon- struction of the measure. - ; Speaker Twitchell said that there wasn’t any camouflage about the measure, that it “was a measure against sabotage and syndicalism as practiced by the I. W. W." The amendment reietring to labor ‘unions remained in the bill, 54 to 38 i Many New Bills. Sixteen new bills were introduced | , before the time limit expired, the house being in recess until 2 p. to permit introduction of bills and reading of bills presented the day before. - Among them were measures repeal- | ing the $15 tax on attorneys, a con-| current resolution for a constitution- | al amendment making the term of of- fice of supreme court judges ten years, a bill creating the office of | county assessor, a non-party electioa bill, amendments to the grain inspe tion act, measures designed to aid \\the farm bureau plan of pooling grain for sale, and a measure rédraft- laws~ of the) ai ing the co-operative state. ‘ZAP YOUNG MAN BURNS T0 DEATH IN HOUSE FIRE apPto-_Charred Remains Found by Boy Sunday Morning Lying on that no change had since been made, attorneys collecting money to pay a} Cot Mr. Paddock assuming Anderson’s du- ! license fee and file'a $2,000 bond, cre- | ties the first of the year. jated a public health commission an1| Zap, Feb, No information’ uss Since the illness of R. B. Blake- | permitted consuls to act as adminis-' peen found which gives a slu2 as to trators of estates when the heirs are | what started the fire in ; foreigners. more, manager of the Home Builders, which Adam | J. B, Adams is in charge. . f Mrs. Roy ‘Chapman Andrews SI ARCH FOR ADAM TO COST $250,000 By BE. M. THIERRY. : New York, Feb. 9. ~Mrs. Roy Chap- man Andrews is out to. snap a_pic- ture of Adam! Or at least temossilized remains | of prehistoric man--or perhaps the | missing link! Mrs. Andrews will be ithe only wo- man in the $250,000 expedition of nine’ scientists who will leave Feb. 22 to-explore China and Central Asia. Her husband, a noted explorer, will leud the expedition. It has been or- ganized by the American museum of natural higtory and will make collec- tions for the museum and for the Chinese government. “lm going as the official photo- grapher,” said Mrs. Andre’ “rm going wherever the men go—in des- ert, in mountains and jungles. Per- haps we'll find the Garden of Eden! “Wouldn't it be exciting to dig up the fossils of Adam and Eve!” Mrs. Andrews. who’ is little slender, laughed. On Other Explorations, Mrs. Andrews has beef in Central Asia before, on exploring trips with her husband. And she points to sci entific research that indicates — this section offers. the best paleontologi- cal proof that it was the cradle of the human race. “And also it was the center from, which came many of the animals found in other parts of the world added Mrs. Andrews. “A sort of orig- inal menag Prof. Andrews is a: zoologist and will specialize in the prehistoric a imal hunt. But there will be paleo: tologists, archaeologists and vario LEGISLATORS DENY SELVES ! 5150 “EXTRA” Legistators. wont get $159 exe pense ‘noney tor attendance at the 17th Isgislative assembly. The house late yesterday killed the senate measure to appropri- ate $25,000 and allow $150-as ex- pense money to every legislator. There was a strong feeling among many members, who say that .it costs more than. their $5 ary io liye, here, tht ought ‘to pass, but > of the ha he. lieved that no actioh ought to be and other “ologists” with the expedition. “Thrills? You bet there will thrills!” exclaimed Mrs. Andrews. } “Not all the time, of course: will operate from a base sheadquar- térs at Pekin. “But we~ willbe out) in wild country most of the time.” and barbarians in’ southern » China/! along the borders of ‘Tibet, and in Mongolia and Turkestan. “Over in Pekin,” she said, ‘every- body is scared’ stiff‘ when you sug- gest a trip into the interior. Far more than we are over here. “wry, America is teeming with people who want to go along. We have had more than 3,000 applica- tions—from men, , Women and chil- dren. “Everybody from.17 to 76 seems tc want to help us find the missing link!” Cover Much Territory. Wives of other scientists with the expedition will make the trip as far “is Pekin. But they will remain there, while Mrs. Andrews goes out armed with a camera. will divide into groups in order ‘c cover as much territory as possible. The expedition will continue five years. “I expect to have plenty of adven- tures,” says Mrs. Andrews, “but not the kind you read about in novels or see in movies. I'll be just as safe. and feel quite as comfortable, as in a New York hotel.” Airplanes and motor cars will be used by ‘the expedition as well as camels, horses and mules, in its quest for Adam. ‘PASS WINSLOW PAYMENT BILE Washington, Feb, 9.—-The Winslow bill authorizing partial payments to anty act was passed by the senate. The senate naval ‘committee voted to report against adoption of Borah reso- lution against naval building. RAISE RATES IN MICHIGAN Washington, (Feb, 9.—State passen- ger and freight rates in Michigan were ordered today by the interstate com- merce commission to be raised to same rate as interstate commerce. the railroads under the federal guar- | OFF TO SNAPSHOT ADAM! 'SINN FIENERS TAKE STATION Dublin, Feb. 9—One hundred armed’ Sinn. Fieners gained. control of the night and held it over an hours train was derailed by unknown per- sons who placed boulders on the track vut there were no casualties. SHERIFF FAILS 10 EXECUTE | LA. MURDERER Legal Standing of Lennie Eaton, Negro, Before Attorney General FORGOT HIS DATE Official Says in Press of Busi-| ness He Forgot Hanging _ Scheduled Barton Rouge, La. Feb. 9. Eaton, the man the sheriff forgot to} hang, may be dead legally. Attorney General Coco admitted today he did: not know. “| put the negro to death. Great Northern railway station last | FISCAL POLIOY CHANGE MAY BE _ PROPOSED SOON | Informal Conferences of Legis. lators Bringing Situation Near a Head Al COMPROMISE POSSIBLE |Situation With Respect to Fi- nancing State Industries Brings New Attitude ‘ | A way out of the financial dif- ficulties now besetting the state |industries of North Dakota is jbeing sought by some of the ‘leading figures in the legislature. | Before the ‘session is ended, a program of legislation may be jevolved from discussions and in- Lennie | formal conferences that will radically change the present financial policy of the state. The situation was brought forcibly Sherift wrote the governor that ir!| before Nonpartisan leaddrs in the the press of civil and criminal mat- Senate with the introduction by Sen- ters he utterly forgot on Feb. 4 to | ator Bond of; some, bills affecting the He has no! policy of the Bank of North Dakota. nis prisoner on| The lowering deposits of the bank, the fact that the industries are almost at a standstill and the necessity of | pouring more money into them if they matter are to be continued has brought many warrant to execute any other day. To Attorney General, The governor turned the ‘over to Attorney General Coco, who , legislators to the position that a new be) Among the terrors will be bandits The scientists |° i I is raking the law books over for pre- | cedent. i The attorney general issued a statement today declaring that from! investigation of the Eaton case as it, member of the board of pardons, he believed that the negro should not be hung. He added that if he had known that the date of the execution had been set he would have called the governor's attention to a request for! |a commutation of sentence by the sheriff, who had said to hang the ne-| ,8ro would have been a travesty on | justice. Self Defense Held. “My investigation showed that the | killing of the white man was done in | For .wej a fracas,” he said. SITUATIONIN. NORTH DAKOTA WILL CLEAR UP McDowell: Says Co-Operation and Thrift Will. Remedy Financial Situation MEETINGS URGES Reserve Bank Director Wants| Farmers and Business Men / to Gather Fargo, Feb, 9.—Co-operation and situation in ‘North Dakota, Wesley; MoDowell, director of the federal re-| serve bank in the state, today told hardware dealers of North Dakota gathered here for the twenty-fifth an-| nual convention late yesterday. Is Optimistic. At the’ same time he advocated a program of conservative credit, and liquidation on deb\s as possible.! Among factors which will improve sit- uation are. Growing realization among the peo- ple of need for retrenchment. Farmers are well provided for feed. Cheaper labor and feed will lower costs of putting in crops. , Stock in Good Shape, The mild winter has left stock in| splendid condition. He advocated a series of meetings | throughout the state between business | men and.farmers to promote feeling of | co-operation. “MIXER? | JS IN DEMAND. Syracuse, Feb. 9- i Mit- chell, cadet boxer who is earning his | ¥ j , is denied by the bank officials. thrift will rapidly clear up the financial | \ policy must be evolved. The Bank of North Dakota faces the necessity of paying heavy obliga- tions in the near futur. It has a loan of $1,000,000 due March 15, the school aid of about, $220,000 becomes paya- ble in March, and demands are now being made on the sinking funds by school. districts and other subdivis- ions in the state. There have been reports that a receiver would be asked | for the bank soort Th¢ opponents of the bank policy declare the bank is insolvent. -This The | prol ‘oblem presented is that of finding “liquid” assets sufficient to take care of the financial obligations and of de- velopments, | Evidence produced in, the house in- |.vestigation has shown that advances from the Bank of North Dakota have been, made in the last few days to the Home Byilders and the mill and ele- vator association to care for gver- drafts or other obligations. Unless the Bank of, North Dakota can marshal money the Grand Forks mill can not be completed. The ban! is trying to do this through sale ef bonds, Efforts to dispose of the %6.- 200,000 in big lots in the east have not been successful Thegbank now is of- fering them in sml lots, and is making a drive to sell them. The in- dustries, however, call for great sums of money One leading financial authority in the state has told Nonpartisan lead- ‘| ers that the dnly way to sell the bonds is to scrap the present plan and is- \sue them as an obligation of the state |ns a whole, not as obligations of a | particular industry This authority | declared the state’s“tredit was unim- | paired and that North Dakota, be- ~ | cause she has, not suffered an infla- | tion and deflation of land, values, is in a sound position At the start of the legislature an | effort was made to have a conference | committee work on the situation This | failed, ‘and it wag expected that noth- ing would be done However, today | there were many legislators, some of j whom have! been active in seeking counsel and in trying to evolve a suc- cessful plan, who take the position ; that something must be’ done in the remaining weeks of the legislature. | For this reason it may be that a pro- | gram will come from one side or an- | other attempt made to get together |on a compromise plan. | Colonel C. B. Little of Bismarck, ; was called before one of the league ‘ecnferences and asked to express his | opinion as to the manner in which the | situation could be met. He told them ‘frankly that there was no other way than to liquidate the bank. | A. C, Townley, president of the ‘league, it is reported at another. con- |ference, urged the adoption of the | Fompromise plan and the liquidation |of the bank. He said that the banks | of the state were not bitterly opposed |to the state bank but that the out- way through school with his fists-| side bankers were and that h e- consid. is getting many challenges. Among | ered it 4 visable to take this oid the challengers are Harlem Eddy |" yy. ibis views, declare lead- Kelly, Delaney and Rocky Kan-! ors did not meet with the approval sna. | Lapp was burned to death Saturday lof most of the league senators and Johannsen Called. A, Johannsen, director) of quits of the bank, was placed on the stangeby Mr. Murphy. total to Dec. 3 was given as §359,- 235.64 and in banks closed since that time, \$166,270,90,' or a total of $520,- 506.52. This, it was explained, applied only ee an aren ania night. J | iLapp’s body was found by a young), ; ‘boy Sunday morning. i | It is alleged that Lapp and two ‘com- When disc: ee his remains were oe { still on the cot, with only the skele-| | ton left. ‘ | (He was 32 years old ang was farm- | Senate bill 81, prov’ i, providing for an ee ‘He was 22 years old and was a farm- taken by the legislators for them- Ives, even though they. attend ‘ Bismarck at a fina omy crew” in the ti hopelessly lost on a viva voce vote. Representatives Boyd introduced a olution calling for The senate investigation committee was ‘to hold its first hearing on the ate industries before the senate ag ‘SENATE PROBERS HOLD FIRST Attorney-General Lemke will pear both in the role of attorney and ap-4 representatives and there appeared ‘to be a feeling at the meeting that | his decision had been reachd largely because of the effect on his work in ‘He was asked to give a statement panions had been drinking, “home The measure had’ passed. the s' s. showing the redeposits in. closed 4 brew” and that the men left Lapp ly- Gune maihe ‘Tittle spot ”, hut orOnc nthe league senator floor lead- } bonks a ot Dee 3, fan ant ee ing on a sot a a summer kitchen at) step runnin against HEARING ON FLOOR TODAY ers, it is reported, was the first to Z anks closed since thal ime. he about 10 P. follow the league president. He lock- ed horns immediately. He said that the farmers of North Dakota wanted to fight through to the last ditch for their program. , Mr. Townley replied that it would (Continued on Page 3) Dropriation ot $200,000 its a stale er, living five miles southwest of os al amendment to fix pay of lege | a whole at 4 o'clock this afternoon. witness before the committee. ThE he better to savespart of the program SAW BLAZE AT sanae today Ai vote of 59 to 62. (MA AY CHANGE | islators af $10 per day. — J. W. Brinton was summoned as the | Committee decided to go into the! than to jeopardize all of. it. The majority of the ,appropriations iThe senate state afinirs com- | witness of the- afternoon. conduct of the officers of the Bank) Others then got the floor, but Town- Hera perer of ‘North Dakota, and the Industrial ley insisted on’ talking much of the ELEVEN, HE SAYS M. T. Mossbrucker rucker declares that he saw the blaze on the roof of Reservoir No. 1 of the Bismarck water works at 11. o’clock Tnesday evening, while on his way to Mandan. He did, notjreal- ize then, however, that it was anything committee recommenied Indefinite | JTS RULERS, postponement, while the league minor- | ity recommended that the appropria-! Munich, Bavaria. ria. Feb. 9.—Opposition | tion be cut to $25,000 and a coal mine | to the disarming 6f the Bavarian civil- ‘be leased for experiment purposes and jan guard may render the retirement if it proved profitable to go ahead lat-' of/ the Bavarian government_neces- er on a larger project. | sary. North Bavarian Socialists | | threaten to, break with Europe if the! Mittee proposed the legislators Teceiye $1000 for each sessicn, LINEN MILLS ON FULL TIME Feb. 9.—Four of the Di Tasaic, N. The committee hell a meeting in | the Bank of North Dakota offices last | night, with E. G. Lee, accountant of Bishop, Brissman and company, oa the stand to explain the audit of the | bank. The committee decided to ‘summon accountants Smith and Ault+ | many who examined the Home Build- ers asso ion, and Mr. Bishop to Commission members. Senator Baker said that Lemke would be called as; witness, and moved that he be per- mitted to employ counsel when ne- cessary. Senator Murphy suggested H.. A. 1 Paddocky secretary of the Industrial Commission, act as attorney. Pad- time, which caused another league | floor leader cf the senate to get up and ' suggest that the league president re- frain from debate so as to give the members of the legislature an oppor- tunity to express themselves as they best knew the sentiment among their constituents. ibut a little brush or rubbish fire. It is’ said that a murder in Eng-! government. persists in preventing | largest linen mills which had he E = : { b, The fire will not affect the water | land, about 978, started the custom of Berlin government carrying out the! running only three or four d :| appear with the working papers of | dock sa id he had too much work in No vols was akeh on the proposi- ‘ Week, resumed full time today. ithe audit of the three industries. his office. 1 Continued on Page $) service any. - s drinking to one’s health, | agreement withthe Allies at Spar.