MAGIC OF THE MIXING-HOUSE 



recover. But the suit must be brought 

 usually against the local bank to whose favor 

 the farmer must look for his other money 

 advances and to which he must go to get his 

 cash when he had sold his wheat. It was 

 about the last institution in the world with 

 which he would wish to have a legal fight. 



There were also other subterfuges. The 

 new law was a jest. I have much under- 

 stated the facts about it. In 1916, after it 

 had been in operation a full year, Mr. John 

 Skelton Williams, National Comptroller of 

 the Currency and therefore an unquestionable 

 authority, reported that he found 69 of the 150 

 national banks in North Dakota to be charg- 

 ing 12 per cent, or more on their farm loans. 



"About a dozen banks in North Dakota," 

 he said, "reported loans aggregating from 

 $1,000 to $8,000 at rates ranging from 15 to 

 24 per cent.," and it appeared from his report 

 that in some instances from 28 to 48 per 

 cent, was charged for small loans. 



John Evans might also have read with 

 profit the case of Adolph Sundahl of James- 

 town, North Dakota, and learned much 

 from that as to laws and their administration 

 when the government is possessed in behalf 

 of interlocked corporations. 



Mr. Sundahl was a farmer like Evans. 

 He borrowed $300 on which he must pay an 

 annual interest charge of $40 . 90. He figured 



4 35 



