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Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, February 02, 1921, Image 1

Image and text provided by State Historical Society of North Dakota

Persistent link: https://chroniclingamerica.loc.gov/lccn/sn85042414/1921-02-02/ed-1/seq-1/

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E E N I N
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16, NO.
REPORT FOUOWS
LINES OF AUDIT
FORMERLY MADE
Drake Mill is Shown in Re
port to Have Lost Large
Sum of Money.
Almost Million Dollars Are
Shown to be Tied ,Up in
•. Mill at Grand Forks.
(By StafC Correspondent.)
Bismarck, N. D., Feb. 2.—Ail ex
amination of the report of the state
industrial commission on the state in
dustries which was filed Tuesday,
shows that in many respects it is-a
complete corroboration of the report
made last week by Bishop Brissman
& Co. The industrial commission re
4 port was" prepared with the help ot
the Equitable Audit company, a con
corn in which tl\e Jeague members
have always professed the gveatest
confidence, while it has been fre
ciuently charged that ttie audit report
prepared by Bishop Efrissman & Co.
was being made for political propa
ganda purposes.
EVEN WORSE.
The. fact Is, however., tliat tn
some rcspocts tlic showing made
by tb6 industrlefe in tlic commis
sion's own report is worse tlian
the one shown by Bishop Brlss
nian audit. The Drake mill, for
cxam]lc, in tlic commission's re
port is shown to have lost over
$17,000, while no statement of
its gains or losses was included
In the audit previonsly made. Iu
the rei»rt filed Tuesday. Gov
ernor Lynn J. Frailer, Attorney
General William Ijemke and J.
X. Hawaii.*' commissioner of agri
culttirc and labors practically ad
mit the facts alleged iu tlie pre
vious report regarding the loans
and deposits in closed banks,
and in addition admit that tlie
Drake mill suffered losses that
more than a million dollars is
tied up in loans to the state in-,
dustries, with work suspended on
all of them with the exception of
tlie Drakc mill, an4 admit that.
$260,000 has been poured1 ittto the
ii«du»4Vie^ from the state.- b^nk
sineo December 3. the date of tlie
Bishop BrlKsman .& Cto". report.
The indlMtHal Wltimisslon, report ..
is silent as fo the records, or
lark of records of, the Home
Building association, and makes
no statement of' profits or losses
for tliat' organisation.
The Gniiul lrks Mill.
Included in the report of the indus
trial commission is a statement of the
expenses of the Mill and Elevator as
sociation at Grand Forks, in connec
li.on with the erection of the new
plant there.
It shows expenditures as follows:
Materials for construction of the
(Jraiul Forks mill and elevator, $515,
lal?or, $250,493 sundry con
nets. $108,619.11 advances on ma
r-.-ial. $17,4.79.11 spiir track,1 $13.-
SO
1oth6r miscellaneous expenses
liiinpr the expt'ncUtui'es in Grand
I-'orks up to $007.?85.18.
In connection with the Drake mill
:lu statement shows that during that
calendar vear the plant manufactured
•'5.r.68 barrels of flour and used*
wheat that cost $259,028.37. The
j.mn by the state bank to the Mill and
Klevatorj assoc!fl.tlon is now $850,000.
The Bank.
i'he section of the report dealing
v.
it li the Bank of, North Dakota gives
li i:ii!s 'concerning the banks in which
•'ip state money is rfcdepos:ted or con
',-ruing' the banks which have re
•ivpd loans. The report of the bank
uorutlons'is based on the assumption
tirougliout that every transaction
during the 18 months of its existence
100 p«jr cent pure and that no
i.sses whatever have been placed. The
report contains an attack on the
vorth Dakota-Bankers' association in
fTinnectJon wfth the passage of tlie
initiated Ijaws regarding the Bank of
North Dakota. It is also charged th&t
a liovcott against the sale of North
I ako'.a bonds is being carried on by
outside of the
4-7
iVfo? the
if
•'H
Sate
1,1
.« i. «Via liv
however, the only one of the indus
if which has shown a profit is the
Pan Is' -of North Dakota, for which a
profit-of $175.998.5ris claimed.
From this an! admitted loss of $17,
r,6X 31 by the Drake mill, and expense
iiem of $15,000 incurred by the Home
liuilding Association and an expense
item of $11,814,35 for the industrial
conin%is!iion along with a charge of
S15.089.09 for the Mill and Elevator
Association is deducted, leaving a net
pro'fi'fc
ot
$116,427.75 claimed.
A further investigation of this prof
it however, gives some interesting re
sults
In the first place among the assets
•ire listed $0,227,040.44 redeposited in
banks ,of the st^te. .Included In this
nuin, however, was $492^846.05 which
was
deposited I in banks which have
been closed. This amount is listed At
its face value. .i
Likewise ainong the loans the re
ports admit that $296,638.64 is the
,-imount of loans-to banks now closed.
It is .contended that this also may be
listed at its face value.
This makes a total pf $789,474.64
deposits in, and loans' to closed banks
on December 31, 1920, the date of
making the report. This is an even
worse showing than that made-in the
audit report prepared by Bishop,
Brissman & Go. oh /December 3' when
the
loans
to, and deposits in. closed
banks amounted to $680,711.89.
.v..' Bills Receivable Past Doe.
':v: A6cording to the report of tbe
state industrial commission on
December Sf, tbe bills receivable
of tbo Bank of North Dakota
Wtk
Bismarck, N.
D.,
Feb.
2.—Annual
I report of th« Nprth DakoU lndustrlal
oohimlsBioh 9» tbe Condition of the
state- industries wras presented yester
day'
to the governor as the law re-
^(Continued on Page S.)
My
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& i*
if
A-:-,:'
N:"v:
Tlie orders for self protection
were issued as the result of the
shooting of several policeman.
WISCMNMAY
GIVE TITLE TO
LAND TRACTS
Land Originally Proposed
For CanaPNever Used
For That Purpose.'
Madison, Wis., Feb. 2.—The state
of Wisconsin will give legal title to
thousands of acres of land along a
seventy mile strip between Greenbay
and Portage if the legislature concurs
in a resolution favorably appproved
yesterday evening by :iie assembly
judiciary 'committee
Many of the farms affected have
If the Gamper resolution passes the
state will endeafo'r to clear up these
titles.
One. plan for a short session of the
legislature failed yesterday when the
judiciary committee voted indefinite
postponement of Assemblyman Gran
dirieu's resolution for a recess from
April 30 to%anuary 11, 1922.
The Joint finance committee ap
proved Assemblyman Olson's bill to
appropriate $27,000 to pay claims for
cattle destroyed by the department of
agriculture in eradicating tuberculo
sis. The appropriation of $100,000
made for that purpose two years ago
has been exhausted with a number of
claims isemair\ing unpaid.
Assemblyman Higgin's joint resolu
tion invitlpg 'the people of Michigan
to annex the'upper peninsula to Wis
consin and jnemorializing congress to
support the plan, will be given a hear
ing before the state affairs committee
today. With all other ^projects to me
morialize congress it appears doomed
to face heafvy opposition.
The first of the education measures.
Senator Kleist's bill to increase the
minimum salary of teachers from $75
to $100 a month, is on the senate edu-
cational committee's
heading today.
V/» .•*" i'
iV', ,v-
calendar for
REWARD FOR THONE
OPERATORS PLANNED
Los Angeles. Cal., Feb. £.—A pub
lic fund has been started for the four
telephone operators who located a
call which led" to the arrest of the
two kidnappers of Mrs. Gladys With
he
linanc al interests crell and l»6r rescue Monday after a
The report claims a profit of
$116,-
$20,000 ransom had been demanded
Industries during but not paid. Mayor M. P. Snyder
Tho'lS months they have been in oper- pledged $25 as the first contribution.
ion Tccording to its-own statement This is in addition to 12.000 offered
rolativns
and nthors fnr {nfnrtna.
b.v relatives and others for informa
tion leading to the recovery of Mrs.
Witherell. which it was announced
last night would be awarded them.
Police officials and others waived all
claims to the $2,000.
Warding
starts north.
Miama, Fla., Feb. 2.—President
elect Harding turned northward today
on his Florida vacation trip, leaving
here early this afternoon for Fort
Lauderdale, I he first stop. on his way
back'to St'. -Augustine.
Most of the return trip will -be made
aboard Senator Frelinghuysen's house
boat Victoria, on''which Mr.'Harding
and tfls party cruised from St. Augus
tine to Miami. "They traveled by aUto
bile, however, to Fort Lauderdale,
where they were to board, the Victoria
some time this afterrioon after a
game of \golf on tfte Lauderdale links.
On the way up the coast the president
elect expects to stop for golf at Palm
Beachi Ormond .and possibly one or
two other points. He probably will
reach St.' Augustine 8undky or Mo»
"day. V''/•
Couldn't.Tow Car
S Got Mad And Blew
It Up With Dynamite
Hazlehurst,
1
siiss. Feb. 2.—
Bcoomlng discouraged Sfith bis
efforts to tow an empty car of a
popular make behind his move
prctentlOHs touring ear, Ed Myers
of Crystal Sprlnrs, according to a
Story bronght here, placed seven
stinks of dynamite under the
"^ivvcr" and touched than
near here today. Hie exf*
alarmed tbe nritats. for
ardania and mimir. gathered to
view the of the oar
left hancfaw In nearby trees.
'fi,
*.4
1
k».s
NORTH DAKOTA'S
OF STATE THAN DOES BISHOP-BRISSMAN AUDIT
FRISCO POLICE
ORDERED TO BE
READY TO SHOOT
San Francisco, Cat, Feb. 2.—
Policemen of San Francisco arc
today under orders from Chief
of Police O'Brien to have tlieir
revolvers ready, to draw and fire
quickly on approaching or ques
tioning persons on the street at
night. The chief of police sug
gested that suspected persons be
covered before investigation was
commenced.
IMMISSION
CO WILL CUT
WA(^REP0RT
Bonuses Paid During War
Will be Cancelled, Con
cern Announces.
New York, Feb. 2.—Reports cir
culated here that the Standard Oil
company was planning p. 10 per cent
wage reduction affecting Its employes
in all parts of the United States, were
given added currency today' by re
ports coming from Washington, Va.,
that the Eureka Pipe Line company,
a Standard Oil subsidiary,, had been
notified of p. similar reduction. In
the West Virginia field, a' number of
employes of the South Penn Oil com
pany, also a Standard Oik subsidiary,
have beien laid off.
by Assemblyman J. Gamper of Med
ford.
On August 8, 184G, the congress of
the United States granted more than
500,000 acres of land to the Fox and
W I
pany, which were to dig a canal con-j New York, Feb. 2.—'Employes of
I necting Greenbay with the Wisconsin all the refineries of the Standard Oil
I river. Under the grant, the improve-!company of New Jersey, have volun
I ment company 'received every alter- tartly accepted a reduction of tin'e
nn.tf s^o'ion. to a depth of three miles Half of their cost of, living bonus ef
on either side of its right of way. fective February- 15. it was announced
A proposed reduction in pay, ac
cording to. employes who have been
notified of the plan, will take the
form of suspension of a ten per cent
wage bouus granted by. the Standard
Oil company during the war, to offset
the cost of high living at the time
the bonus .was. Jnide effective, the
company announced that it reserved
the right to suspend it when living
costs returned toward normal.
Cut Price.
New York. Feb.
been occupied from sixty to seventy! gallon in the price of g/iRoline and
years, although -patents were neverkerosene in, New Jersey, Maryland,
issued by the state. The resolution to y'l'g'nia,
rectify this error has been introduced

4
tt V*
'. 'trfeytt.
f*s?
2'.—The
CONFESSED TO
MURDERING \yiFE
New Brunswick, N. J.. Feb. 2.—In
a confession reported by the police.
William Fitzsimmons today described
the murder of-his 19 year old wife.
Fitzsimmons told the police, they
said, he had killed his wifr with a
knife during a quarrel over a proposed
trip.
After the murder, he hid the knife
and went to work at the Raritan
arsenal, believing her death would 'be
considered the result of suicide.
TWO KILLED.
Crystal Falls, Mich.. F^b. 2.—A. C.
Perlota and Jphn Deynian of Caspian,
Mich., were instantly killed when
their automobile was struck by an
eastbound C. and N. W. freight train
'^t the crossing near Mastodon.
THE LONG LOST RETURNS
(E)
&
?p
*0
,B
«U,£* $ 1
'ia^frjcftlATEST
THEY ALL SQUAWKED
AND THE FIREMEN
WERE THEN CALLED
New York,.- Feb. 2.—Two, thou
sand gec(jr. ducks and. chickens,
awaithiirucath in a poultry shop,
chorused an alarm early this morn
ing. for fire that caused heavy loss
in eleven retail clothing stores In
West Chester avenue.
The un usnal squawking a waken
cd residents of the neighborhood,
and' attracted the police who tele
phoned fire headquarters. The
blaze
was
CLOTURE FOR
•iv.vv
Standard
Oil company of New Jersey today an
nounced a reduction, of one cent a
in, New
North Carolina and Liouis-
iana,
The wholesale price of gasoline fn
Jersey City and Baltimore was also
reduced from 28% to 27% cents a
gallon and kerosene from '18 Vs to
17% cents a gallon.
Canal Never Dug. i. todiv at', the general offices of -the
The canal was never dug" but the company. The .reduction is equivalent,
land Whs sold. Stomt "284 patents weri to tert* per their wages
ready for the governors, ptgfn&turd fn I __
1858, but were .not slg'riea. In thei Pfll.lf'R SAY HK
eariy. sixties suit was brought in Fond
DuTi
ac circuit court to establish tlft
titles but some 1,400 separate. grantis|
remain unpatented, and in addition)
all records* relating to about 6,000
acres have been lost. I
BELIEVE SHIP EXPLODED.
Atlantic City, N. J., Feb. 2.—Fed
eral coast guards reported early to
day that they observed a vivid flash
of light at sea, followed by the rumble
of an explosion. The Little Beach
station's guards were seeking infor
mation t.o determine whether a vessel
'was.bipwji up at .sea.
THE WEATHER.
Mittnc-Wta: Fair tonight and
Thursday somewhat colder to
night in southeast portion: rising
temperature in west portion
Thursday.
North Dakota: Fair tonight
and Thursday: rising tempera
ture Thursday.
mi
A
|*l f* jK
r-k
rf tfcr*
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IS DEFEATED
Vote is 36 to 35 for Adop
tion But is Far Less Than
Needed Majority.
Washington, Feb ,2.—The attempt
'to enforce cloture for. consideration' of
£hev«mersiMcy:^rtff bill vyas defeated
toUay'in tfie' senate.
The vote, was'36 for adoption of
cloture to 35 against, far less than the
necessary.'two-thirds majority.
Republicans voting against the clo
ture rule were Senators Borah. Colt.
Gronna, Johnson (Calif.), Keyes, La
Follette and Townsend—seven.
Democrats voting for the cloture
rule were.: Senators Asliurst, Hender
son, Johnson (South Dakota). Jones
(New Mexido), Kendrick, Myers,
Ransdell, Sheppard and Smith (Geor
gia)—nine.
The cloture petition was supported
by '27 Republicans-and 9 Democrats
andvwas opposed by 7 Republicans and
28 Democratsi .Alajrvy .on both, sides
were paired.'
PERSHINQ GIVES
WARNING AGAINST
UNPREPAREDNESS
-Washington,. Feb. 2.—A warning
against pacifism and unpreparedness
was .giveri'the-house naval committee
today by General Pershtng who ap
peared to discuss' world disarmament.
.White ...expressing approval of the!
proposal for at world disarmament!
cohfereB^'-"ths.\former commander of'
tlie X'm¥l$aii expeditionary forces
^id^ther lJnited States shpuld go ahead
with its pretjSht navy and army pro
grams until definite agreement had
been'reached by at least the five great
:world .powers.
,m 1
7
itaii
xA «A
rt
1
N* *v«x^sfJ %$#•'
rf
f1-*
j/-*".
controlled by firemen
after a two hour fight. Its origin
was not determined.
IT »S
OUR
Five
ceht
LOAF
1
NEWSPAPER
GRAND FORKS, N. D., WEDNESDAY, FEBRUARY 2, 1921/ PRICE FIVE CENTS,
HEAR ADDRESSES
Scheduled to Adjourn Early
This Afternoon to Hear
Institution Heads.
(liy Staff Correspondent.)
Bismarck, N. D., Feb. 2.—Both
houses of the state legislature were
scheduled to adjourn early this after
noon in order to go into joint session
to hear addresses by President
Thomas F. Kane of the state univer
sity. President Ladd of the state Agri
cultural college and President Allen
of the Valley City noriml.
Both President Kane and Dr. Ladd
arrived in Bismarck jearly this morn
ine- and Dr. Allen was expected short
ly after noon.
House bill 66 providing for the pay
ment, of tuition by non-resident pupils
attending standardized high schools
was on the calendar in the house this
afternoon.
1
In the .senate interest largely cen
tered on House Bill 5 for enforcement
of prohibition laws which was sched
uled for its third reading, arjd final
passage or rejection today.
The address scheduled to have
been given this afternoon by Chief
Justice Robinson has been postponed
until Monday on account of the sud
den illness of the aged jurist-,
GIANT AIRPLANE"
MOTOR TESTED BY
BRITISH EXPERTS
London,. Feb. 2.—The successful
testing- of a 1,000 horse-power aero
engine, which is said to be. the most
powerful known, has opened up claims
by the experts of the possibility of a
regular London-New York aerial serv
Ice and a complete passage within 24
hours, either direct or by changing
aircraft at the Azore islands.
It.is being recalled 'by experts that
Captain John Alcock in 1919 flew from
New, Foundlapd to Ireland, in less'
than lis -hours,' using two 875 horfee-
power .engines!.. The
new
that the Titania, a flying boat destroy
er which is to be used in long distance
patrols, will be equipped with two
"Cubs" and have a range of 1",500
miles. For war time the crew will
number ten and for civilian use the
craft can accommodate fifty passen
gers.
"The Cub's" eighteen cylinders on a
testing indicated 1.057 horsepower in
twenty hours of running. The engine
called 'The Cub." It is^uhaei^ood.'-V banSs- against whicb garnishee. ,!
iroirim^ns itre being executed are the
First National bank ot Forman. Farm
ers' State bank of Forman, First State
bank of Rutland, Farmers'' State bank
of Rutland, Havana State bank.
GUARIDIAN APPOINTED.
Springfield. Ills., Feb. 2.—J. Fran
cis Damman. Jr., of Chicago today
was appointed guardian for Henry
Anthony Marsh, son of Peggy Marsh
Johnson, the actress, by the state su
premc court. The mother is sueing ,p.^
for a portion of the Marshal Field! 'ii
millions for her son. who'sne clairre
o-m-omnr „f
O IS
r»?w
|V
/v &
»M§r^
1
iSlk-»
(By Staff Correspondent.)
Bismarck. N. D., Feb. 2.—
Members of tlic senate audit
oonimittec met at 1 o'clock tills
afternoon with the (state board of
andit to discuss plans for the sen
ate investigation of the state in
dustries.
It was agreed tliat a set of
rules for the procedure in tlie
senate should be drawn up by
Attorney General Win. Jjemkc
along lines suggested' by mem
bers of the committee. These
rules are to be presented for ap
proval at a meeting be held
Thursday noon.
W
I/* X^VJ^V^ *v*
'iVtf..tf/».A'!i
BLOCK HEARING
ORDER SIGNED BY FRAZ1ER, LEMKE AND HAGAN
FORBIDS TURNING OVER OF RECORDS BY THE
COMHISSIQN BHPLOYES TO HOIBE COMMTim
BOTH HOUSES TO
AUDIT COMMITTEE
OF SENATE MEETS
THIS AFTERNOON
It is understood that the senate
committee will use the report of
the industrial cnmmMon which
was presented Tuesday as the
basis for its investigation to a
large extent.
NORTHDAKOTA
BANK SUED BY
SARGENT CO.
Papers in Action Will Be
Served Late Today On
Manager of Bank.
Karsro. N. D.. Feb. 2.—S. A. Sweet
land. state's attorney, for Sargent
coun y, today brought suit against the
Bank of North Dakota for th^ county
of Sargent to cover two classes of
deposits, one of current funds
amounting to $75,000 and the other
000. In connection with this action
the county of Sargent is garnisheeing
all deposits in banks of the county
holding deposits of funds in the Bank
'of North Dakota.
Farmers' State bank of Havana. Cay
uga .State bank, Geneseo State bank,
Brampton State bank, Cogswell State
bank, Crete State bank, Stirum State!
bank, Gwinner
State bank of
weighs nearly a ton and costs about tional bank of Milnor, Milnor Na
£5,000. tiona lbank and Delamerc State bank.
State bank. Farmers'
Gwinner, First Na-
FORD MAKES GAIN
OF 3,233 VOTES
AGAINST NEWBERRY
Vv.
nioin-/!: ballots in the Michigan senatorial
n-io
,. ielection of 1918, finished today by the
T11i_-:c
E E N IN O
E IT
$#
-.1 '.-i'.i
!l
v... .i,~
!p urality ot 4.334 over Henry J-ord.
Dunne, former governor of Illinois
„.v.„ ,i,„ Mr. Pord made a net gain of 3,233
who represents the actress.
votes in the recount. Senator New-
'bcrrj-'s original plurality was 7.567.
HARDING IN FAVOR
OF ARMY OF 150,000
Washington. Feb. 2.—President
elect Harding favors enactment of
legislation to provide for voluntary
jir-ilitary training of 150,000 men an
1 nuallv. Chairman Kahn of the house
military committee, announced today
on the floor of the house in launching
his fight to prevent reduction of the
regular army below 175.000 men.
Chairman Kahn declared that the
I president-elect had told him at
Marion. Ohio, recently that he favor
ed an army of 175.000 men but that
he hoped that, "some day" it could be
cut to 150.000 men.
LUMBER YARDS CONSOLIDATE.
Great Falls, Mont., Feb. 2.—Con
solidation under the name of the
Monarch Lumber company of more
than one hundred retail lumber
yards in Montana operated by the
Rogers-Ternplcton Lumber company,
the Boodridge-Hall coftipany and the
Libbey Tards company, was an
nounced here today.
Headquarters will be in Great
Falls. Increased economy in manage
ment was given as the reason for the
merger.
TELEGRAPHIC BRIEFS
Berlin—Dr. Walter Simons, the for
eign minist«fr. supported by all parties
except the 'Communists, declared in
the Reichstag the government would
refuse to negotiate on the basis of the
entente decisions regarding repara
tions and wjiuld formulate counter
proposals.
Chicago—Morris Gest. theatrical
'producer! filed the praecipe in a $5,
000,000 damage suit against Henry
Ford and the Dearborn Independent,
alleging "libelous. slanderous and
false statements."
Little Rock-—The Arkansas senate
passed a bill providing capital punish
ment fot bank robbery.
Chicago—The ''ragged stranger" for
whose murder Carl Wanderer will be
tried shortly, was Identified as Earl
Kesee of'Danville, 111.
Washington—President Wilson Went
to the theater,for the first time since
he was ill more than a year and a
half a«o.
Washington—-WiHlam Greene,) sec
retary treasurer- of the United Mine
Workers testified before the senate
manufactures committee that provi
sions of the CaMer bill to regulate the
coal industry will meet "unalterable
opposition" of the indutrtry's labor.
-fe-
Committee Will Send For
mal Request to Commis
sion For Records.
Paddock Informs Committee
Of Orders Issued to
Employes.
(By Staff Correspondent.)
Bismarck, N. D.. Feb: 2.-—Hearings
by the audit Company oommittce of
the North Dakota-house of-representa
tives probing the state industries were
temporarily adjourned after a half
hour session this morning when H. A.
Paddock, acting under the orders of
tlie industrial commiasion, refused to
produce any of the records of the com
mission as ordered by the committee..
They will be resumed at 9:30 o'clock
Thursday.
Applies to All employes.
The order of the industrial commis
sion, under which Mr. Paddock acted
also applies to all officials and em
ployes of the Bank of North Dakota,
the Home, Building Association, the
Mill and Elevator association, and the
other employes of the indtustrial com
mission. It is signed by Lynn J. Fra
zier, governor William Lemke, attor
ney general, and J. N. Hagan. commis
sioner of agriculture and labor. The
only concession -made to the audit
committee is that it is permitted to
examine the records at the offices of
of sinking funds amounting to $48.-1 the. various institutions and the indus-
Papers in the action will be served
late today on F. W. Catliro, director
of the Bank of North Dakota, by the
efcgfl-rifc'1s I Sheriff of Biir^ei^h^ county.'
trial commission.
THE ORDER.
Tlie order declares that in tbe
opinion of the governor, thp at
torney general and the commis
sioner of agrieulldtv «nd labor,
the actions and regulations of tlie
lioaac. aomntfttec rftrC "1W
pur|Kse of preventing i- foil and
lionest investigation of tbe North
Dakota industries.
V,
Tliat compliance with the de
mand to produce books and rec
ords of the state industries would
absolutely stop tbe operations of'
tlie state industries and destroy,
them.
That such actions as these tak
en by the committee arc in viola
tion of the constitution of the
state of North Dakota-and an at
tempt to usurp, the powers of tlie
executive department of tlie state.
Therefore all officials and em
ployes of any of the state indus
tries are forbidden to turn over
any papers. Iiooks. files or other
papers to the bouse committee ex
cept on order of the industrial
commission, says the order. In
conclusion, after giving the mem
bers of the committee or their
agents the ritjln to examine such
papers, records, etc.. in the offices
in which they are kept, the em
ployes are ordered not to permit
the persons so inspecting any such
items to change, alter or remove
any of the same. Outside of this
the officials and employes are. in
structed to co-opcrate and assist
the conunittec.
May Make New Ruling,
Mr. Paddock informed the commit
tee. however, that he believed the in
dustrial commission would permit
them to bring records before thrf com
mittee for reading or copying of ex
erpts providing the records were re
turned with him at the conclusion of
each session. A formal request that
this be done has been drawn up by the
committee and dispatched to the in
dustrial commission. If this is refused,
other steps of a more serious nature
will probably be taken.
To Appear Tomorrow.
•v*
r. -trm\
i?
HEARING ADJOURNS
AFTER SESSION OF
HALF HOUR TODAY
Mr. Paddock is to appear again- a.t
9:30 o'clock Thursday. Two witnesses
were on the stand during the hearing
this morning. They were Mr. Paddock
and W. A. Anderson, former secretary
of the industrial commission. At the
opening of the proceedings this morn
ing when Mr. Anderson was s-gjprn as
a witness. Attorney General Wm.
Lemke appeared with him and de
manded that he be allowed to appear
as counsel for the witnesses and the
executive, department of the state.
On this being refused by M. O.
Grangaard. chairman of the commit
tee. Mr. Lemke entered an objection,
taking the grounds that the action of
the committee was unconstitutional,
and that the committee was usurping
the powers of the executive branch of
the government.
He also declared his intention of be
ing present at the bearing and enter
ing such objections from time to time
as he might see fit. He also demanded
that he might be allowed to have a
stenographer of his own to take down
the proceedings in order that he might
be sure of having a truthful record.
Take Peculiar Stand.
The whole attitude of Lemke. Pad
dock and other league members of
the state administration appears to be
that the house committee has no right
to investigate the state industries sup
posedly controlled by-the people.
SjWS
till
"jjssfs-:
OFFICIALS TAKE
PECULIAR STAND
ikl
'fel
Hus
is shown by tlie language of the order
Issued by the industrial commiasion
which insinuates throughout that, the
committee 'has no authority and also
casts doubt on its good fafth. and also
by the remarks of Mr. Lemke and'the
witnesses placed on the stand this
morning.
It was 10:35 o'clock when the hear
ing opened .this morning. It began with
the reading of the minutes of the
•previous -sessions and committees, and
then Attorney Francis Murphy, actlrig
for the committee, called W. A. An
derson. former secretary of the indus
trial commission, tot he stand. It
at this time that Mr. Lemke mad* hit,
objection, to the proceedings of
committee.
On being questioned br lfty
.4Conttiw*d

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