Defaulting Methodists

"Methodism sought the money through its women. Methodism got the money from you. Methodism, vised by its geographical Bishop, promised to repay the money owed you. Methodism, in the particular locality which initially owes you, whines its inability to pay its honest debts. Yet, this same sunny California brand of Methodism finds ways to yearly send $65,000 to poke their noses into the business of foreigners--of Chinamen alone, and, if you please, of Chinamen only in Foochow, In that."

Such was one of the milder passages in a blistering, three-page letter received last week by owners of bonds of the Woman's Home Missionary Society of the Methodist Episcopal Church of Southern California Conference. Calling for united action, the letter was signed by William Coleman Bitting Jr., head of the St. Louis security house of Bitting & Co.

The late William C. Bitting Sr. was a Baptist minister in St. Louis, a warm friend of John D. Rockefeller Sr. Never an active churchman, rotund, convivial, energetic Son Bitting specializes in church and religious bonds. In 25 years he has floated $90,000,000 worth. To most of his clients he points with pride. But when he comes to the Methodist Episcopal Church, largest U. S. Protestant denomination, Bondman Bitting begins to splutter.

Six of his eight outstanding Methodist Episcopal issues, totaling $5,000,000, are currently in default. The one which pains him most is that of the California Missionary Society. To help pay for a Methodist Hospital in Los Angeles, the Society in booming 1928 had Bitting & Co. float a $600,000 bond issue. In 1931 the Society paid off $55,000 of the principal, in 1933 made one interest payment. Not one other cent has it paid. By July 1, 1934 it had defaulted $67,000 principal, $59,950 interest.

If the Methodist women could not afford to pay, Bondman Bitting might be less bitter. But four trips to Los Angeles have convinced him otherwise. At its annual meeting last year, he discovered, the California Society reported total receipts of $87,281. Of that, $35,371 went to National Headquarters in Ohio. Thence, presumably, it went to China. For its U. S. bondholders, Mr. Bitting was informed on his last trip, the Society had nothing, would promise nothing.

This file is automatically generated by a robot program, so reader's discretion is required.