The people's voice. [volume] (Helena, Mont.) 1939-1969, 1942-05-08
Rudyard, Mont, May S, 1912

Rudyard, Mont, May 5, 1912
The Peoples Voice,
I will at this time send with my
subscription to The Voice, a few lines
concerning the building of capital CO.
operatively through retaining per-
centage on gas, fuel, and oil from
each Farmers Union Oil Company. I
have always been opposed to this way
of centralizing our money where we
have no direct control. AS l under
stand this setup, it is to have capt.
tai to fall back on in the future when
hard times possible will hit US, also
at the same time this capital is avail
able to solvent organizations that
need to borrow. This sounds good,
and to some it sounds logical, but to
me, it is neither sound nor logical.
First, this agency is located thou
sand miles from our state, so in case
we should ever want to borrow some
If this money, naturally, first hand
Information would have to be OBJ
aimed, which would mean at least
me, if not two men from st. Paul as
appraisers, whose fee would have to
)e added to the borrowers.
At the present pace there are few,
any, that are in need of borrowing
money from st. Paul at 4%o formerly
20 when local money is available
Without any strings attached, at
over rate of interest. If an organi-
alton is not on sound basis there
would be no use to ask for credit at
It. Paul, as money is borrowed to the
mes that have the best rating only.
When the inevitable adversities
ONE, this capital is supposed to be
ur financial backbone which will
AIRY us over the crisis into the fu-
Ire, this Is what the capital Is in
ended for. l want to mention here
hat happened to the state of South
akota's depositors guarantee fund.
Before the bank crash after the
Ist war, there were some over five
lillion dollars in this fund, which
fter the banks started to close was
iped out within very short time,
nd was merely a drop in the bucket.
That will all the oil companies
mount to in case they should want
use this organization to fall back
l in the adverse time to come? There
ould not be very many, even with
n times as much capital as it now
Is, namely about $4,000, each and
cry organization must manage their
lSiness in a manner where they are
There is one thing that the Farmers
MON Oil Company can, and should
when there is a surplus fund avail
lie, now when the times are good,
vest the money in War Bonds,
lere each and every organization
II have the full say over their own
1ney, besides having it do a two
ID good, and available at any time
thout question. The largest part of
. money that belongs to the organ
ltions that have invested In the
ilding of capital cooperative is lay
: idle and is not being used.
think If the Farmers Union Cen
Il GACudu6S WOulu 6Ot uCulAu LILO
"a of having each company that can
ord it, purchase War Bonds, SO
lie surplus could be had on hand
the depression that Is inevitable,
hink then, they have done the right
ng. 1t seems to me that the main
iect is to get the farmers money
ay from them in painless way,
they call it, and get 1t fixed where
" have no direct control of it.
We know from past experience
at has become of our money, that
have no direct control over, so we
'uld build our future from the past
mend our mistakes accordingly.
! farm organization can't go wrong,
the right steps are taken to ncu-
it.
Very truly yours,