The Cook County news-herald. [volume] (Grand Marais, Cook County, Minn.) 1909-current, 1918-01-30
STATE CAPITOL NEWS LETTER

mercantile idea which has North Da-
kota as it's home and which threat
ems to include the Gopher state in
its operations. This latest in things
mercantile, subsidiary Of the Non
Partisan League, and by the way,
one Of the numerous creations Of
the fertile of A. c. Townley, the
head of the League, is the Consul
mers United Stores Company, capt.
talized in the millions which to date
has organized and opened for bust
ness, chain of country stores no
less than thirtytwo in number. The
chain extends across the state of
North Dakota and is slowly engulf-
ing the independent merchants and
country stores in it's capacious nav.
What with blue sky commissions, a
recognized department of every well
regulated state in the union, and
stock control acts designed to pro-
tect the shekels of the foolish, any
general scheme separating the guilt
BILE from their loose cash would now
seem to be impossible, but the Con-
sumers United Stores Company
gives the lie to the whole PROPOSE
ton. The Consumers United Stores
Company which through bankrupt"
Townley and the Non Partisan
Leagu is now preparing to invade
Minnesota, may it please you, has
collected nearly 100000 in 800
subscriptions from the farmers of
North Dakota and the promoters
are now reveling in half of this ~
mount in the shape of surplus and
legally at that. The bit allotted to
the contributors is the thirty-two
stores which they are permitted to
patronize on basis of cost plus
what the promoters see fit to add in
the way of necessary expenses.
The slogan "Down wit hthe mid
dleman" must indeed be alluring
when Townley and his ieutenants
can secure cash and notes aggregat-
ing $1,00O,000 and the signatures Of
nearly 10000 hard listed North d.
kota farmers to contracts, the word
ing Of which would do credit to the
slickest stock promoter that ever
operated. The Consumers United
Stores Company, however, seems to
have distanced them all. For the es-
Establishment of Townley store, as
explained by the company's prospec-
tus and contracts, copies of which
are now in circulation in Minnesota,
the next state to be invaded, $4,000
in cash and good bankable papers is
required. This is supplied through
the medium of 500 subscriptions
AS small country stores 60 $4,000
represents a pretty fair cash foun,
dation, but according to the con.
tract and subscription blanks, which
nearly 10000 North Dakota farmers
and townspeople have been induced
to sign, only $4,000 enters into the
establishment and stocking of the
store. The other $4,000 goes into
the strong box of the promoters 70,
League and Company propaganda
etc, etc. This latter is supposed t
be a Townley joke. Naturally there
will be discontinued patrons ani
possibly non-productive stores, but
the contract provides for all this
Any subscriber can have his none.
back, but if he is fortunate in thai
way respect the kickback is on tn
basis of $40 less for each year Of tn
contract period remaining. Ten year
is the contract period. In the cas-
of nonproductive stores subscri
bers can have their investment bacl
again less $40 for each year Of tn
ten year period remaining, but tn
return must be from the sale of tn
assets. If they fail to come up t.
the required amount then the retur
is pro rata. Townley or the com
pany cannot lose if they wanted tt
o q .
The elimination of the middlen1a
"r rather the direct-to-the consume
IDEA is one Of the fundamentals n
socialism. Propaganda in it's iiIteres
ha; been extensive, but the coopers
tive wrecks that now strew TIL
country have dampened the ardor O
the most visionary. It seems, how
ever. to have been left to Townle
and t:s organization to resurrcct TIL
idea and how well this king Of banl
rupts has succeeded is shown in tn
chain Of League stores that no,
cross and crisscross North Dak3t,
That he will not be satisfied mt
he has included Minnesota and til
entire northwest in his coloss,
scheme is more than apparent. Tn
oretically the cooperative idea is
beautiful one, but the United State
has never been fertile ground e
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