ANALYSIS OF TOBACCO GROWERS* ASSOCIATION 



69 



But it should be remembered that provision had to be made before 

 the crop was delivered and the warehouses were purchased at a time 

 when there was every indication of a big delivery by the members. 

 When delivery failed to materialize as anticipated, the surplus prop- 

 erty was disposed of by sale or sublease as rapidly as possible. This 

 naturally was a slow and unprofitable process, as at this time it 

 was very difficult to find suitable purchasers or lessors because of the 

 uncertainty of the effect of the association on the value of warehouse 

 property and because of the prevailing distress at this time in these 

 districts. Many warehouses not sold or subleased were closed in 

 markets or in entire districts where the volume of tobacco delivered 

 did not justify a warehouse. 



Table 29. — Number of market* in luliicli the five warehousing corporations 

 controlled one to four warehouses in 1923 and the number of warehouses 

 purchased 1 





Markets with number of association 

 warehouses indicated 



Total 

 associa- 



Warehousing corporation and form of control 



1 



2 3 



4 



Total 

 mar- 

 kets 



tion 

 ware- 

 houses 



Dark-leaf: 



Controlled ... . 



17 

 9 



6 

 8 



6 | 1 

 3 





 



1 

 



2 

 





 



3 



1 



24 

 12 



19 

 13 



28 

 12 



50 

 28 



28 

 17 



32 



Purchased . .. 



15 



Bright-leaf: 



Controlled 



7 

 4 



5 



2 



18 

 6 



8 

 6 



5 



1 



3 

 1 



6 

 3 



7 

 1 



39 



Purchased .-..-. 



19 



Central Carolina: 



Controlled 



Purchased 



Eastern Carolina: 



Controlled 



Purchased 



South Carolina: 



Controlled 



Purchased- - 



Total: 



Controlled... 



Purchased 



18 

 9 



26 

 19 



10 

 9 



45 

 16 



80 

 49 



59 

 28 



77 

 54 



44 22 



21 1 6 



i 



6 

 1 



149 

 82 



25 

 118 



1 Controlled includes both purchased and leased warehouses. Not all warehouses controlled were 

 operated. 



Data from the association list of warehouses by corporations. 



In further extenuation of the policy it must be said that the buy- 

 ing of all of the warehouses offered for sale was an effort to win the 

 support instead of the antagonism of the warehousemen. At the 

 time it seemed that to have these warehousemen employed by the 

 association would be an aid, but it was later learned that many were 

 not in sympathy with the cooperative movement, so that, in many 

 instances to have them in the association did more harm than good. 



Some of the directors and warehousemen have been accused of 

 questionable or dishonest practices in the purchase of some of these 

 warehouses. Although there were some doubtful purchases, not a 

 single instance of corruption has been proved. However, from a 

 study of the warehouse files of legal documents and other material, 

 and from interviews with business people and tobacco men, one is 

 led to believe that great extravagance was displayed in the purchase 

 of warehouse property and that even the most optimistic idea as to 





