FINANCIAL by S. H. Lane

Seventh-day Adventist Publishing Association · Battle Creek, Mich. · Jul 24, 1900

FINANCIAL

By S. H. Lane

For some time we have thought of placing the financial situation of the denomination before the readers of the REVIEW. It has been reported, time and again, and the report is true, that the denomination is deeply in debt; yet we hope that no one for a moment will entertain the idea that it is in a state of bankruptcy, or nearing that point.

Our publishing houses and sanitariums are in debt, but none of them are so involved that they can not meet their obligations. They have properties more than enough to cover the debts; and should these properties be sold at a fair price, the balance left would exceed their debts by thousands of dollars. So our institutions are not insolvent; they are fully capable of meeting any obligation for which they are responsible.

In this article, however, we wish to speak more especially of the General Conference Association. It is the financial arm of the General Conference. It is solvent; and were its properties sold for anything near what they are worth, its debt could be settled, with quite a sum left. The association holds the deeds of Union College, Walla Walla College, the Graysville Southern Industrial School, the Keene (Tex.) Academy, the Huntsville (Ala.) Industrial School, and has obligations upon some of our other institutions for nearly fifty thousand dollars, besides owning several properties outside of our institutions. Should these institutions and properties be sold, and the proceeds applied upon the debt, it could soon be swept away, and a surplus left.

But no one who knows the value of these institutions, can think for a moment of disposing of them for a money consideration. Therefore, as these institutions are necessary, and the advancement of the cause of present truth requires their existence, the only consistent course is to raise the money and pay the debt.

To build these institutions and to advance the work in other countries, the association has borrowed money. Whether this method was the most judicious one, it is not our province to discuss in this article. Those who borrowed the money and expended it were indeed sincere and perfectly honest in the moves that they made, and the cause has been benefited by their thus doing.

A part of the amount borrowed was secured from persons who wished their money to be used in the work of God, and not feeling able to give it all, loaned it at a low rate of interest, expecting that, unless circumstances extraordinary should arise, they would never draw this money out; and quite a number, under those circumstances, have taken notes of the association bearing no interest. Thus their money is now invested in our institutions and in extending the work in different fields, and is accomplishing much good. Others have not felt able to loan their money without interest, and have taken notes bearing a low rate of interest; a majority of them bearing four per cent, some three per cent, and in a very few instances five per cent; but, as we have just said, the great bulk of the debt is drawing but four per cent interest.

Several years ago some persons in South Africa came into possession of a fortune. The Lord moved upon their hearts to give liberally to his cause; and besides doing this, one of them loaned nearly seventy-five thousand dollars. Interest, at four per cent, has been paid on this sum for several years. This money was expended for the advancement of the work in various parts of the field; and had no money been secured, the work would not, seemingly, have advanced to its present stage of success.

This amount, nearly seventy-five thousand dollars, has been partially paid. We are now owing this person nearly fifty-seven thousand dollars. He needs the money, and requests us to pay it back by the first of next January.

This we shall endeavor to do; but in order to do so, we must secure the money, and we now ask our brethren throughout the United States to aid us.

Aid us, first, by contributions to meet this obligation.

You can help us, secondly, by loaning us money without interest, on as long time as you deem practicable to your own interests.

Thirdly, if you are not able to give or to loan us money without interest, we shall be glad to secure money at a low rate of interest. If you can not afford to loan at a less rate, we will give you four per cent interest, giving you the note of the General Conference Association for one or more years.

We lay these facts before you as they are, and ask you to aid us, and we shall appreciate it very much if you will do so. We have paid interest promptly whenever requested to do so, and expect to be able to do so in the future.

The signs of the times indicate that the end of all things is near. The state of the nations at large, and of society everywhere, should teach us that making investments in worldly schemes is very unreliable, indeed positively dangerous. The love of gain is causing many to make unwise investments; and should a money crisis take place,—and one is liable to come at any time,—banks would be unsafe. Indeed, the safest place to deposit money is in the cause of God, to help on the work of the message.

There is a spirit of liberality coming into our ranks, and plans are being made, and steps are being taken, to free our institutions from debt; and it will be a happy day when this is accomplished; but in the present case we are in need of money, for which we are willing to pay interest, as we have said; and we now ask you, brethren and sisters throughout this country, to send us money, with or without interest. If you can send it immediately, please do so. If you can not, write to us, telling us at what time you can send it.

Should more be received than is necessary to meet the demand already spoken of, there are institutions in Australia that will be glad to receive money at four per cent.

We are not borrowing money to run into debt, but simply to take the place of some that we have borrowed, and that must now be paid. Who will respond? Let us hear from you after you have thought the matter over fully. Address General Conference Association, care of the Review and Herald, Battle Creek, Mich. Please write soon.

S. H. LANE, Pres. Gen. Conf. Ass'n.