The Bismarck Tribune Newspaper, October 14, 1930, Page 2

SS kp PCE UNE SERERES SEED OE OSEPREEPER PILE 7 CREEPERS EERE EEE? seeeres eeeengs ttereeee r State Bonding Fund Ha 8,000 OFFICIALS NOW! OUT OUR WAY CARRIED ON ROLL OF} SURETY DEPARTMENT Manager Tunell in Annual Re- port Favors Investing in N. D. Securities BIG LOSS IN FAILED BANKS Of $150,979.78 Net, Books Show $92,885 Vanished in That Way, $72,124 Defaults Gross income to the state bonding fund during its 12-year period of operation totals $578,679.55, according to a report made by F. E. Tunell, manager of the fund, to S A. Olsness, commissioner of insurance. The report, as of December 31, 1929, shows the total assets or saving to the fund to be $314,731.70. Of this sum $276,969.50 constitutes the surplus, and $37,762.20 a reserve for unearned premiums. “This saving to the fund amounts to 54.2 per cent of the gross income,” Mr. Tunell said in his report. “In- deed this must be acknowledged as a remarkable showing when one con- siders the financial adversities which the fund has outlived.” The gross income is derived from collections of premiums on bonds of public officials and employes aided by interest on the accumulated sur- Plus. Premiums are charged at the rate of 25 cents per $100 in bonds per year, or $2.50 for each $1,000 bond for one year, the report says. Treasurer Carries Fund Officials bonded by the state bond, ing fund now number approximately 8,000, the largest percentage of the bonds in force ranging in amounts from $500 to $5,000, according to the report. Collections are made by the bond- ing department and deposited with the state treasurer, who carries the funds on deposit with the Bank of North Dakota. The fund, with the exception of the amount needed for current expenses and payment of losses, is placed on time deposit at the rate of 3 per cent per year, the report States. “The interest income now totals $49,882.11 received and $3,069.87 ac- crued,” Mr. Tunell says in the re- port. The interest income, he said, is constantly increasing and in 1929 excéeded $8,000. “Your manager believes,” Mr. Tunell's comment continues, “that the surplus of the fund should be in- vested in bonds of the state of North Dakota, thereby increasing the inter- est income several thousand dollars tach year and in no way jeopardizing the security of the fund” Banks and Losses The largest source of expense shown in the report are losses, which total $150,979.78. “This sum represents the net losses, recoveries having been made to the amount of $15,954 58, thus re- ducing the amount of net losses,” the report states. “The total losses paid are in the sum of $176,934.36. Of this sum $77,- 124.69 is chargeable to defaults, $6,924.28 to negligence and $92,885.- 39 to funds lost in closed banks. “During the early years of the de- partment, when banks were closing in rapid succession, an enormous num- r of the claims were presented on account of public funds tied up in closed banks. For the past few years, the department has required strict conformity with the depository law, and with the comparatively few number of bank failures recently, it is expected that the fund will not suf- fer any large amount of losses from this source in the future. “There have been many claims pre- sented to the department on account of defaults and embezzlements and it appears that a more thorough sys- tem of auditing the accounts of trea- surers should be provided. Some of the shortages run for a number of years before being discovered. During the past few years, many prosecutions have been made and many prison sen- tences imposed on account of embez- zlements by public officials. The cure for this class of crime seems to lle in direction of more complete ac- counting. The electors of the various subdivisions could do much to rem- edy the evil by choosing men to handle the public funds who are known to be financially responsible. Claims Too Costly “Several claims are now pending on embezzlement charges which have not yet been fully investigated, and it appears that the fund will suffer sev- eral thousand dollars losses on ac- count of such claims. “Disputes arising under claims of- ten necessitate several inspections and investigations and in many cases liti- gation is necessary in order to deter- mine the liability of the fund. These investigations and law suits require considerable expense, which is un- avoidable under the many claims. ‘This expense is charged to operating but is directly caused by claims for losses and might be properly charged to losses. The expense of inspections, investigations and legal defenses dur- ing the period of operation amounts to $17,383.04, but the savings to the fund through such defenses amount to many times the cost. A Tisks in excess of $25,000 are re-insured with the Northern and Dakota Trust company of Fargo. The fund assumes the first $25,000 of the risk and re-insures the balance. Dur- ing the period of operation the fund has paid the sum of $48,540.25, and it 4s significant to note that the re- insuring company has not been called ‘upon to pay a single claim under this arrangement. The cost of this re- insurance is $2 per $1,000 per year, and the premium charge appears to be excessive for the hazard involved. “The total operating cost to the de- partment for the period ending De- ember 31, 1929, is $64,427 28.” The report shows that the total operating expense of the fund is 11.2 Per cent of the gross income, which ds in excess of the maximum of 10 per - cent provided in the state bonding “As previously stated,” the report Continues, “it has been found neces- (nore No son / Wewd, dow, TAINT HERE! I THouGHT i; & SHORE I SEEN ["HAWG Laic” T i BEEN AFEEUN HERE, SOMETIME | THROUGH MY MATIRESS FER Lesste Nnow,/A HULL YEAR, BUT WHERE DID I |-THERS NO GUN PoT THET GON oO! MINE?, gg A RATTLER Gor UNOER DE KITCHIN STOVE ~ GIT A SIXSHOOTER. L IT IN UNSER THET WAS AST WINTER- THAR = 11S I THOT SHORE By Williams I VKuow MINE & ‘ROOND | HERE SOMMERS] * BUT-— WAIT NOW -LET ME, THINK WHER L LAST Sten MY GON. A Onn, TRWILLAME, (©1990 BY NEA SERVICE, INC. Article No. 24 By WM. E. MCKENNEY (Secretary American Bridge League) When holding four of your part- ner’s suit and the bidding indicates that one of your opponents is apt to be out of that suit, and your hand holds a four-card suit headed by the ace, the ace should be led and a look taken at the dummy before leading partner's suit, If partner gives an encouraging card, the suit opened should be continued. NORTH Hale WEST 3-8-3 EAST S—19.8. 0-05 S—A-K 42 C—K-0-7-2 10-7« H—-5-2 5:3 D—A-10- 4-7-4 76 D—K-1-8 c—9-5 SOUTH—DEALER C—8-3 S—None H—A-K-10-9-6 D—9-4-3 C—A-J-10-6-4 The Bidding When holding two suits of equal length and both biddable, the higher ranking suit should be bid first, therefore South starts the contract- with one heart, West passes, i North bids two hearts. This shows at least four trump, or three to one of the three top honors and requests the bidding to be kept open. East bids two spades, South now shows his other suit by bidding three clubs. West goes three spades, North goes |four hearts, East bids four spades jand South bids five hearts which closes the contracting. The Play West, who has the opening lead, should not open his partner's suit as most likely one of the opponents is out. It would be better for him to Jay down the ace of diamonds and take a look at the dummy. Dummy jPlays the deuce, East the eight spot, jdeclarer following with the three. West should continue with the dia- monds, leading the ten spot, dummy plays small, East wins the trick with the jack and then leads the king of diamonds, which holds the trick. His next lead is the king of spades, which the declarer trumps. The de- clarefhas the rest of the tricks, If West were to’ have opened spades, the declarer would have trumped the first round, swung two rounds of trump, picking up his op- ;Ponents’ trump and then staried his/| club suit. On the fifth club a dia- jmond would have been discarded in dummy and the declarer would have made his contract of five hearts. By opening the ace of diamonds, West has defeated the declarer's con- tract one trick. (Copyright, 1930, NEA Service, Inc.) sary to expend large amounts for investigations and legal counsel con- cerning claims for losses, and if this expense were charged to losses, the operating cost would then be con- siderably less than ten per cent of the gross income.” ae | Baldwin ; : By FLORENCE BORNER o—s> Kargeori Buchner of Selfridge was here Friday. Mr. Buchner is in. the Pool hall business. at Selfridge. Mrs. C. V. Anderson motored to Mandan Friday where she is taking @n advanced course in scenic art painting under the direction of Mrs. O. H. Peterson. Claude Funden of Mandan was here Thursday on a business mission. Mrs. Christ Hilken of Ecklund vis- ited friends in town Sunday and also attended church services at the Luth- eran church, Mr. and Mrs. Fredolen Rupp mo- tored to Bismarck Friday afternoon after their daughter, Frances who at- tends high school in Bismarck and who spent the week-end at home. Marie Huber of Bismarck, candidate for county superintendent, was here Friday. Kenneth Bjorenson of Minot was hhere the fore part of the week on’a business mission. Mrs. Carl Schultz and son Fritz of Arnold visited relatives in town Sun- day afternoon. Noel Borner has returned home from a few days’ visit with relatives near Turtle Lake. Lundin Bros. are holding an auc-} tion sale at their home southeast of here Tuesday. C. O. Lindbergh of Bismarck was a recent caller in town. Mr. and Mrs. Pete Anderson an- nounce the birth of a daughaer at the family home Saturday. Julius Meyer left on the train Pri- day afternoon for the Twin Cities, where he shipped a carload of hogs. Hogue brothers who have been renting the McGillis farm south of Baldwin are holding an auction sale of their farm property Friday of this week. Miss Laura Rupp has re:urned home from the Yellowstone National Park, where she has been spending the summer acting as nurse at the Park hospital. Edward Lenihan and Miss Helen Strandemo surprised their many friends by being quietly married in Bismarck, Wednesday. They will make their home on a farm near Baldwin. William Gilbertson has returned jhome from Washburn where he has been acting as relief agent on the section crew the past few weeks. A number in this community are complaining of colds and other minor ailments due to the changeable weather. 1 Threshing operations are at aj standstill with lots of threshing still to be done on account of wet weather. Court Exonerates Back Seat Drivers Washington, Oct.’ 14—(4)—Three cases in which defendants claimed \“back seat drivers” had been injured |because they had not warned auto- mobile drivers were refused review Monday by the supreme court. Cecile S. Cole was accused by the Spokane, Portland and Seattle rail- road of Washington on contributory negligence because she did not warn @ driver cf an approaching train. A’ $22,000 judgment was returned against the railrcad in lower courts, The Erie railroad contended Charles Stewart hed been negligent in not warning a truck driver with whom he was riding before a train struck the vehicle in Cleveland. Stewart also was awarded damages against the railroad in lower courts. ‘The third case was brought by the United Can company from &t. Louis with the claim that Mrs. Theodor ‘Ryan was injured through her own negligence when she failed to tell the river of machine’in the back seat of which she was riding that a truck ‘was approaching. Man Returns Home to Interrupt Own Funeral Atlantic City, Oct. 14—Robert J. if TENE AEEL F e a News Notes from | | Baldwin’s School SS eee Miss Madge Runey visited school Wednesday. Our teacher, Mrs. Haibeck, secured a traveling library for the school while in Bismarck last week-end, The books have been circulating rapidly so. she will try to get another library soon. Every pupil in school is taking up the State Reading Circle work. Louise Engelman visited school ‘Thursday. Some creditable drawings involving line shadowing have been made by the art classes in the upper grades. Improvement in penmanship is no- ticeable in some of the pupil's work. Theodore Haibeck, Bismarck, visit- ed the school this week. Little Florence Engelman had the misfortune to break the large bone of her wrist. when she fell or jumped from the swinging rings last Tuesday noon, Mr. Gehrke took her to Bis- marck immediately after the acci- dent, where she had the injured wrist attended to. The flag pole broke Tuesday eve- ning while the flag was being low- ered. The salute and pledge of al- legiance to the flag is a daily feature of our general exercises. - Mrs. Haibeck examined the Indian earth lodge at the capitol last Satur- day. The school was interested in her description of it, supplementing the study of Our State, Indians of North Dakota, and others. The agriculture class is observing and making drawings showing differ- ent stages of plant growth. The whole class now are tin can farmers {and are interested in the outcome of | theix crops. Mrs. Roop gave some: plants to the school which will help to make the room more homelike and cheerful as well as furnish specimens for nature study. Mrs, Haibeck enjoyed a visit Thurs- day evening from Vernice Bjelland, Hazel and Mable Anderson, Doris, Susan, and Mary Poole. A little excitement was caused at school Thursday afternoon when some of the children noticed a smoky odor as of burning wood. A hurried search did not reveal thesource of the disturbance but proved that it must be somewhere in the building. While teacher and pupils continued to search a call was sent for Mr. Poole, as the janitor could not be located. Before Mr. Poole arrived the fire was discovered in an ash can in the fur- nace room where some one had thrown some waste paper on top of the ashes. Even had the fire not been discovered it could have done no harm but it caused enough of a scare to be a good lesson in safety and fire prevention. Monday evening after school the Young Citizens’ League committee on patriotism met and appointed the fol- lowing members to carry out the du- ties of this committee: custodian of the flag, George Poole;' librarian, Doris Poole; blackboard and) eraser cleaners, William Gehrke and Rich- ard Anderson; looking after the gen- eral appearance of the room, Emma White. The physical training committee had their meeting Tuesday evening with Chairman Norman Fricke in charge. Harry Engelman, Earl Buch- holtz, Vernice Bjelland, and Lavyrl ‘Williams were appointed playground Supervisors for October. 13 Missouri Slope Students Members. Of University Band Grand Forks, N. D., Oct. 14—Thir- teen Missouri Slope youths are in- cluded in the 85 who were chosen members of the University of North Dakota bank by Director John E. Howard. Greer, 65, left his home and didn’t show up for a week. When he re- turned he surprised the family and received @ surprise himself. For the family was all ready to bury him. His family becoming worried about him, tried to find him. Three of his grandsons identified the body of a heat victim as his, and had his fu- neral ready to commence when Greer entered, _ Thomas A. Edison has five chil- dren, three by his first marriage and two hy his second. we ‘They are: Clarinet—Earl Barbour, Washburn, and Leonard Kremenetsky, Tuttle. Saxaphone—Elmer Klipstein, Me- noken. ‘Trumpet—Thomas Boutrous, Bis- marck; James MtCormick, New Sal- Jem: Eugene McKusker, Velva; John Risan, Parshall; John Schmidt, Good- rich; Harry» Sherman, Steele; and Ralph Wenzel, Ashley. | Tromoone—Donald Waechter, Glen Ullin, and Net! York, Bismarck + London’s name was once Hill by I the Poot. FRONT AVE. PAVING WILL COST $79,500; BONDS 10 BE ISSUED City Commission Decides to Stop Garb: = Hauling Nov. 1. Milk Supply is Clearing Paving of Front avenue is expect- ed to cost $79,500, according to esti- mates made by City Engineer T. R Atkinson and submitted to the city eommission’ Monday evening. This will be assessed against abutting Property and in part paid by an ap- proximate 10 per cent share assumed by the stk ‘The Sretlenty. hte already been go! ler way by the Haggart Construction company. Commissioner Paul Wachter intro- duced a resolution and ordinance dealing with the. contract and the estimate. The ordinance pravided for a levy to pay the city’s share of the improvement, statéd as 87,400, and the resolution provided for the issue and sale of improvement dis- trict bonds to the amount of $79,500. The Haggart company will market these and the city, will get par and accrued interest. Garbage Hauling Ends Nov. 1 A bond in the amount of $74,500 for maintaining the paving in condition for five years and removing any de- fects which may’ develop was sub- mitted by the contracting company and approved and accepted. The commission gave authorization for the laying of stub sidewalks to Properties on the avenue where no such stubs already exist. The commission decided to discon- THE BISMARCK TRIBUNE, TUESDAY, OCTOBER 14, 1930 s $314,731.70 Put Away in 12-Years’ Savings. } . fae the hauling of garbage Novem- ri. The monthly dairy and water re- Port of E. W Ecklund, bacteriologist, stated that the milk now being de- livered in the city by dairy farmers is of @ splendid quality from the point of bacteriological tests. Only one dairy supply ran into the million of bacteria in September, and this was @ new source of supply, said the re- port, which immediate tests brought into line with the bacterial limit. Some traces of chlorination were noticeable in the water during the month, as a result of increased use of the treatment, due to colon bacilli showing up in the raw water from the river. The report was ordered Published as a legal advertisement. City to Lay Water Mains L. E. Smith, of 800 Mandan, asked for investigation of his tax notice, as it seemed out of poportion to the lev- ies on his neighbors. M_M. Ruder asked for the licensed. privilege of conducting auction sales of used furniture. He was informed the license would be $5 a day. ter of a basement stairway into his new building at Broadway and Fifth, now about to be erected. He wunted an alley entry, but the width of the alley would not permit that conces- sion. A stairway will be constructed on the Broadway side. Solomon Nicola adjusted the mat- | infectior BLUE RIDGE CAMP ‘NURSES’ HOOVERS BACK 10 HEALTH President and Members of Fam- ily Use ‘Back to Nature’ Plan When Ill Washington.— (?)—The president, Mrs, Hoover and their family turn to natural remedies when ill, both by in-| Clination and by advice of the White! House physician, ‘The quiet of the president’s camp in | the Blue Ridge mountains has min- istered tothe health of Mrs. Hoover 4nd Allan. It is now serving as a sani-/ tarium retreat for Herbert, the older son, who has contracted a tubercular mn. Dr. Joel T. Boone, the president's} physician, believes that the high al- titude of the mountain camp, coupled | with its complete isolation from noise and confusion, will help effect a cure for him just as for his mother and| brother. | No bids appearing for the laying of 25 and 26, as advertised for, it was moved that the city water depart- ment do the work. An ordinance creating these water districts was in- toduced on first reading by Commis- sioner Wachter. MOTT STUDENT HONORED Grand Forks, N. D., Oct. 14.—J. Francis Ulmer, Mott, is one of five students named to the student ad- visory council at the University of North Dakota by E. K. Smiley, dean of men. “CLEAR EVIDENCE Says L. Je HOROWITZ water mains in districts 23 and 24 and | p’ Cool green lanes, long shadows pur- ling the distant slopes, are a com- plete contract to the steady string of automobiles which madly circles the White House night and day. The president “builded better than he knew” when he erected this wood- land camp within three hours’ ride of the capital. Affairs of state have kept him in Washington through the hot months, and the camp has provided grateful retreat every week-end. Last summer Allan Hoover spent several weeks there while suffering from 4 stomach ailment. Simple food, outdoor tramps and fresh air put him in trim. Last spring Mrs. Hoover, worn by constant hand-shaking and entertain- ing and unable to walk about because of a sprained back, sought the restful stillness of the Rapidan. She spent ale most two months there and came back radiant, walking with a buoyant ste= Now she has returned to the mou tains—this time With Herbert Jr. / Since the birth of the auto indus- try about 40 different makes of pas- senger cars have been built in Amer- ica and placed on the market. Stop that first sniffle! Just put Mistol up your nose with the special Mistol dropper. Clear your head. Relieve inflammation. Use Mistol now and nip your cold in the bud. It’s the modern method to relieve colds. Get a bottle today and play Misto ©. PAT. OFF. Made by the Makers of Nujol Builders of the new Waldorf-Astoria Hotel, the Woolworth Building, the Paramount Building, the Equitable Building, New York; the General Motors Building in Detroit, the Palmer House in Chicago. “When modern enterprise joins hands with sure-footed experience, success becomes a certainty. The fusion of these two important factors has given Thompson-Starrett over abillion dollars worth of activ- ity in thirty years. It is inter- esting to note the application of this same principle in your business. 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