Richmond daily register. (Richmond, Madison County, Ky.) 1917-1978, 1921-06-17
EVERY PRECINCT
TO Be ORGANIZED
Tel accC Ags>=;2tion Plas Pro
ceeding Satisfactorily ALI
Over The State

Iby Aaron Sapiro, California ez-
pert on marketing problems,
marks the spreading Of the CO
operative ASSOCIATION to central
and eastern Kentucky, according
to men behind the movement.
Contracts of tie association are
being offered at all of the meet
ings.
Opening Monday at Shelby
vile, Mr.. Sapno has spoken to
hundreds of growers this week,
the meeting in Lexington Satur-
day afternoon bringing lis en-
gagement to a close, Judge Rob
ert w, Bingham OF Louisville, is
scheduled to address a meeting
in Danvillc Friday.
More than 100000 pounds Of
tobacco were obtained for the. as
ISOLATION as the result Of one
days signing i'll Carrollton
County organizations at each
of the places visited by Mr.. Sa-
piro were built up ahead Of time
with the view of wagine q vigor-
Gus campaign for signatures.
Other meetings will be arrang-
ed for, probably one in each vot-
| ing precinct, in order that every
, individual grower may be reach
ed with the contract Of the asso-
citation.
! The contract which the grow
ers are asked to sign provides
for delivery to the association Of
Jail tobacco grown by the si9ner
for five years. They are not to
become effective until a majority
Of the tobacco grown in the dis
trict is pledged.
The contracts are in two parts:
One relating TO the obligations
iof the grower, the formation and
operation of the marketing asso-
citation and the other to the plan
for financing the handling and
processing of the tobacco.
The association itself is what
is technically known as q non
profit, Cooperative associations.
which has been exempted by the
Clayton Amendment from the
provisions OF the Sherman anti
trust law Similar laws have.
been passed in many states in
favor of such associations.
Such law has been prepared
according to the model adopted
by other states and probably will
be presented 1T the first day OF
the next session of the Kentucky
Legislature in order to allow the
formation of The proposed asso-J
citation in Kentucky.
The tobacco which the associ-
alton will market will be handled
graded and prccessed by a sub
sidary corporation regularlvI
formed with capital stock. This
corporation which will be local.
as opposed to The commodity or
ganization nature of the associ-
alton will be under contract toI
the association. Preferred stock
with out voting power, is sold toI
obtain money to finance the al
fairs of the corporation. Con
troll Of the corporation will restI
in the common stock, which CAM
be sold only to members OF theI
association.
Bankers in each community
and section have agreed to fl
nance the matter Of advance pay-i
ments by loans secured by ware
house receipts of the organiza-
ton.
To date the organization is inI
the hands of 4 committee com
posed of five original members
and leading men in each COMMIT
nifty where the association has
reached. It's sole function IS toI
promote the organization When
the minimum of Is e cent OF
the total number Of pounds pro
duced in the district IS contract
81 Tor and the association inc;.-- !
porated, the committee will cease
to exist and will turn over con
troll of the association to the
members. /
The organization will be form /
ed in about forty counties in Ken
lucky, five in indiana and five mi
Ohio. When firm standing has
been established in these states,
outlying sections that produce
hurley tobacco in Missouri, Ter
nessee, West Virginia, Ohio and I
Indiana probably will be includ
ed.
Aside from the counties where
meetings are held this week, lo-I
cal committees have been organ
lied in Carroll, Nelson and Wash :