Richmond planet. [volume] (Richmond, Va.) 1883-1938, 1921-01-15
but 1t 10 rs "true as preaching." But
what did DR.. Du Bots say about this
black leader! Here 1t Is:

but IT 10 aB "true as preaching." But
what did DR.. Du Bots say about this
black deader! Here It Is:
Whom 1t comes to Mr.. Garvey's In
dussrial and commercial enterprises
! there Is moro ground for doubt and
misgiying than jim tho matter OF his
character. First OF all, his enterprises
are Incorporated In Delaware. where
the corporation laws are loose and
whore no financial statements are re
Quired. SO fur as I can find, and
nave searched with care, MIR. Carney
has mover published a complete state
tIent OF tho income and expendi lures
OF tho Negro improvement Associat-
.on or of tho Black Star Line or of
any OF his enterprises, which really
revealed his financial situation. a
courteous letter Of inquiry sent to
HIM July %, 1920, asking for such
financial data as he wtps willing for
the public to know, remains to thlb
Gay unacknowldged and unanswered.
n, Du Bots comments as follows
Now a refusal to publish finan-
DIAL statement liz no proof OF diBhonr
essty, but 1t 10 proof that either Gar
vey Us illadvised and unnecessarily
counting suspicion, or that his indus
trial enterprises arc NOT on q sound
business basis; otherwise he is too
good an advertiser not to use q prom
icing balance sheet for all 1t is worth.
Is this fair to Mr. Marcus Gai vey
Is DR.. 'u Eois a stock.holder 10 tho
Negro Improvement Association 1t
ne Is then he Is In position to de-
mand the information which he says
no requested. Being on the outside Ia
it not natural for President Garvey
10 consider him a neddler, 80 to
speak and to DO suspicious OF his
movementss When no could not 40.
cure information oRe way. then tho
distinguished educator proceeded to SO
cure ut In another. although, accord
ing to his own admissions, this in'
formation Is inaccurate aud mislead
Ing. He says:
There has boon ono tsElancc sheet,
published July Is, 1920, purporting
to give the financial condition Of the
Black Star Line after one year OF
operation; neither profit nor loss is
shown, there Is no way 10 tell the
Int.
drion OF tho business. Nevertheless
1t docs make some interesting revcla
lions.
The total amount Of stock subsc. ID
ed for Is $590.S60. OF this $751; .28
'D not yet paid for, leaving tho actual
amount OF paitd-n capital charged
against tho corporation, $472, 706.72.
Against this stands only 1856, BASS Of
asdets (viz.: $21,9S5.2l in cash depos
Its and loans receivable; $12975.01 In
| furniture and equipment. 1888, 516.37
which Is Tho alleged value Of his
! boats, $4,000 in real estate and S.,
739 Of insurance paid In advance.) To
| offset the assets he has $152,264.14 OF
| other liabilities (aGcrued salaries, 81.
| $500; notes and accounts payable.
$iS9,224.84; mortgages due $21 500. }
| In other words his capital stock OF
si72,706I72 ds after q years business
impaired TO such extent that he has
only $2O2.050.45 to show for it.
| Even this docs not reveal the pro.
cariousness OF his actual business eon
dition. Banks before the war in lend
ing their credit refused to recognize
aay business as safe unless for eva.y
dollar Of current liabilities there
were two dorsars Of current assets. 20
day, since tho war. they require three
,icilars Of current assets to every one
~ current liabilities. Tho Black Sta~
Line had July 2S. 1890 e1e.486.a1 In
current assets and $lS0.764.14 In cur
rent liabilities when recognition by
any reputable bank called for $500, ono
! IN current assets.
| Moreover. snother sinister admts.
slon arrears in this statement: the
cost OF Coating the Back Star Ltne
to tate has been 92S9. o6s.27. In other
words. it has cost nearly 100000 ~
collect n capital Of less than half @
million. Carney has, In other words,
spent moro for advertisement than he
has !"r bis boats!
nut rr. Du Bots IS, in II measure
J mer0iIess, he even belittles the pride
OF tho Negroes Of this country, when
no attacks the Yarmouth, the only
vessel on tho high seas that Is own
cd, manned and financed by the No
sroes &C this country Here is what
| he sa.t:
| Tfi: is a serious situation, and
even this does not toll the Whole
story: tho real estate, furniture, ETC.,
listed above are probably valued col
ieCty. But how about the boats? The
Yarmouth 10 a wooden steamer OF
/ 1.452 gloss tons, built in 1887. II is
old ana unseaworthy; it came near
sinking a year ago and it has cost c
| great deal for repairs. 1t is said that
| it !. now laid up FOR repairs with d
large bill due. Without doubt tho in
experienced purchasers Of this YES 20
| paid far more than 1t Is worth and
| IT will e7Oon I've utterly worthless III