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Besides the bank examiners there was a representative of the War Finance Corporation at the bank, checking up the business this organization had had with the Little Sauk institution. The Herald understands that Mr. Nelson will have much explaining to do to the Federal institution to satisfy the officers that everything has been on the square. John Kortan, treasurer of Kandota township, had the township's money deposited in the Little Sauk bank. At the time the bank closed, the books showed a balance of about $688.00. Mr. Kortan was under the impression that he had surety bond covering the amount of the township's funds he had in the Little Sauk institution. The Herald understands that there is some question about the validity of this bond and whether or not the bonding company can be held liable. Mr. Kortan takes his loss philosophically and stated to the Herald that the loss was his and not the residents of Kandota township. The Todd County Credit Company of which the active head is Andrew Hendrickson vice president of the Little Sauk bank, is another organization that has caused the farmers considerable worry. A. F. Gumphrey, representing the Federal Intermediate Credit Bank of St. Paul, is in Little Sauk checking up the affairs of the Todd County Credit Company. Many farmers have received notices from the Intermediate Credit bank to call and check up with Mr. Gumphrey. Most of the farmers whom the Herald editor interviewed on Tuesday, had received the notices. The amounts charged against them run all the way from $150.00 to about $1,000. Most of the farmers whom the Herald editor interviewed vehemently denied that they had ever r done any business with the Todd County Credit Company and said they had not signed any papers for f these or any other amounts. There is a probability that the charge of n forgery may be added to that of embezzelment. h d Nelson did not confine his acd tivities to being cashier of the Little d Sauk State Bank but was one of the e active heads of the Minnesota Minr eral and Gas company which control e the marl beds near Little Sauk and e the Herald understands that the books S of the bank disclose, that instead of : a balance of several hundred dollars e there is an overdraft of several hunS dred dollars. He was also president d of some wildcat oil company; an T officer in a defunct accident insurd ance company and other activities. t While the confidence of his farmer n friends has apparently been badly n misplaced he was also apparently an easy mark for others.
