New-York tribune., 1871-08-28
THE NORTH CAROLINA COLONY
. N. Edftor Of The Trfbune.

SIR: The DAILY TRIBUNE OF the O6n lnSU.,
and WEEKLY Of the 9th in5t contained special corrc
spondence dated at Warm Sprlngs n C., July 23 giving
what purported to be history OF the Warm Springs en-
tornrse Your correspondent without doubt obtained
all his information from persons at Warm Springs, and
evidently from those who are not wen informed In the
ars OF the Colony perhaps from some Ot the VISION
ory erdo-we persons" be speaks OF, who nave sought
by msstatements and misrepTe'entatons 10 Dnng the
o0iccr. into disrepue and possibly 20 prevent further
increase of membership and an ultimate success Of the
opternri,e Having Just returned from extended tour
through the West my attention has been called TO The
aforementioned correspondence and take the earnest
opportuny possible OF explaining some factS ana deny
inc several msstatsmcnt5 Which, If allowed to pass unno-
tlced or uncorected, not only reflect upon ihe honesty
and integrity of the officers but in themselves are very
damaging to the future prospects OF the enterprise
The colony was organized Sept o. 1870, az the cradle
Of COOPERATION" Cooperative Hail, No. 21l Bowery, this
city our present headquarters and not no the cooper i
siIte 1--WE have never held meeting In that buidnD'
anu consequently has been nearly year in existence
Tho orouizltion was similar 60 the several cooperative
buiding and lot associations n successful operation
I'm this city and the organizers members OF long
staullpg Of one or more OF those societies. and nave
besn identified with nearly every successful cooperative
movement carried here, the records OF ines; asso
cationsw attest Thcand selected, the heaithIu o'AI
ity the nne water power, and the large hotel ana sur
roundings have been fully and truthtuly described Dy
the description we have sent abroad these are
matters that he could see and judge for him
self without relying upon Others for Information
respecting them: but what ! would more plruculaiy
refer 10 are the statements IN regard to the amounts pai
and due upon the property. Your correspondent says
the price Of the property was sO0JO ana S'oO "ou-
tiOnal for stock farm tools, &C. and OF TINS sum s-oooo
was aiI in advance the remainder to be paid In year.
The amounts given the prices OF real ana personal
property are correcthe amount paid on the property
should be s23 l)the time allowed for the payment OF
the balance is three years longer II desired ms Is
very important point TO the members or to persons de-
srous of becoming members OF the Cooay, we should
most assuredv find IL uphill work If obliged to
nay during the balance of this year. ani could not
hope to enlist the sympathes Of those who contemplate
Joining the Colony Your correspondent states also that
the coloniss at Warm Springs knew nothing about ther
financial affairs, and that the President General Manager
and Directors remained In NoWlOtK OF tIdFe'cu oNeI
the country to sell stock"
Every member OF the colony has been Informed in re-
gard TO the financial condition Of the colony every
member of Warm Springs knows that large portion OF
the amount paid the property was borrowed capital
and that a heavy bonus paid for the use OF same
Tie late President, Mr D. s. Elliott was at warm
SPRINGS from the first part of January until recalled by
the Board OF Directors the latter part OF june wnen
he resigned and elected 10 Ill the vacancy cdu'eu
by his resignation. The general manager was at the
SPRINGS from February until May, experimenting the
| labor in prOgrcsS aud Wncn every department H"o
been put in goobworking order, returned to New-fork
for the purpose Of deyong his whole time TO the sale Of
stock The ycePrcsient and several OF the directors
were among the pioneers who arrived at the springs
in tho early part Of February and they have remained
there in charge Of and working in, the garden aud
farms from which the hotel and coloniss receive tOeT
supplies OF vegetables &c. These officers and members,
"A have before sld were al aware Of the fact that
from the light amounts subscribed weekly by members,
we had received small an income that the most por-
ton Of the S23I93 paid upon the property had been
cured on the personal OF several members OF the
colony Like ourselves, they thought that al that was
needed was possession Of the property and members
and money would Jw in We had the example of Gree
ley Colony before and determined that what man
had DONE man could do" They did not HnaHy ascer-
tain that the $1,000 had been borrowed and that 5000
was pal as bonus for the slmo" they knew OF it when
the money was paid to Mr. James H. RombOugh the late
owner and were perfectly satisfied with and i'll
dorsed the action OF the mbers in NewYOr, who had
advanced their personal credit TO secure possession Of
In ano Last when tho notes COR $4,000 matrci II was
found that the Colony, financially was IN no better con-
dltion than when the notes were made. tn" ihOrs an
relation 10 Ku-Klux had deferred many persons with
whom were in daily corresponding, from joining our
Colony and settling at warm sprin in cons'quence OF
which our trtueury not in q fOuris.ing condition.
| We saw no attentive but 10 make terms the par
through. Te chose the first course knowing that our
condition could be no worse by obtaining an extension
OF time, and feeling confident that the property coud
well stand additional bonus for the use OF tue amount
| notes several years longer. WIN ths
determination we sought the holders or the notcs ana
by giving second mortgage Of $4,000 to cover me whole
amount, Including bonus Of 5000 have obtained
| unlimited time in which to pay that amount,
Like every other enterprize OF similar nature we have
spondent learned that nearly all the money raised had
been spent in salaries for officers, rent, travelling eN-
penses &C." They did not state 20 him that our manner
Of receiving subscriptions was OF such nature that e
amounts thus far received have been small IN comparison
with the price OF property that the receipts r0m sub
scrptons stOcI amounted to less than onchaI OF the
money actually due and which will be paid In as II
falls due by the members. II correspondent received
this information he has omitted to mention IT, The sub
joined statement prepared from The books OF the Asoc
On by the Secretary and Treasurer gives an accurate
and faithful account Of all money received ana now the
same have been disbur5ed, and can confidently say
that the funds OF the Association have been used with
economy and the money that has been expended during
the past year has been used for proper ends ana used
our ayments in the future the property are com
paratVey speaking light for we have unlimited time in
which to make them and already members are subscrb-
ing separate fund TO meet all these payments a5
they may fan due. Both the mortgages have consented
to reease lots, giving clear titles To members who viii
build thereon aud have in many other ways expressed
| an interest in the success OF our enterprise.
1t is true that we have made some mistakes but none
grave cannot easily be repaired We were uniortu-
in two selections OF Ocers placing TOO much
confidence and power in the hands OF one OF two ndyd
uas but happily were able 10 overcome these errors
without any further loss than few weeks tiue Tie
bad example set by these persons was the prime cause Of
the disorder prevailing at the Springs during your cor
respondents sooun there ana not from any uOuDts OF
| fears OF the future prospects Of the Colony.
fully able to- aud do guarantee to all our mem
from the association We have every reason to believe
that enterprise will be successful one, and as our
plans regards cooperation have been very much modi
ed and many of the expenditures necessary the first
year Of the organization OF such association viii not
have to be again repeated We hold our p9sOn sOOd
and prospects Qt success better to-day than ever
before. Most movements OF this character have period
of doubt and backse caused by the ferment OF bndng
the right for the right places and getting rid Of the
squads Of imprOydcnt and ldcrs who somehow propose
TO get $40 worth VI benefit witha dollars worth OF outlay
JOS. b. LYMAN, President
O0fce OfHe Warm Springs Manufacturing Colony 90
OpeTatire Hail. No. 2lt BOcerg NeC YORK. Aug IL, ISL
RECEIPTS AND EXPENDITURES.
| RSeipfs -
Cash received initiation fees ami subscription 10 1-0 10
rnne st,pp tess % 20 i " ~ 1.....'. ', a 80