CHAPTER VIII FAMINE IN THE LAND
Biola University, founded in 1908, as a private inter-denominational Chri~tian school, unlike many Christian schools, has never been heavily endowed by indiviudals or organizations; instead, it has relied for fin- ancial support on its many faithful Christian friends who believe in its program. Despite the interest of these faithful friends, the School has gone through some difficulties, times when it was unable to meet its regular operational expenses, even to the point of being threatened with foreclosurE These financial hardships were due primarily to such events as the Macinnis Controversy in 1928-1929; the Stock Market crash of 1929, which destroyed the value of the Western Machinery stocks donated by Mr. Lyman Stewart and a number of his personal friends, and on which the School had relied for much of the income to meet the regular expenses; and the great depression during the decade of the 1930's when a high percentage of Amer- icans were unemployed and financially destitute, among which were many of Biola's friends and supporters. It was only by the grace of God that Biola was spared the fate which befell many Christian schools during this time. During the decade of the 192.0's when the Western Machinery Company called on Biola for financial aid, the School siphoned off large sums of its assets in the form of other stocks it held to protect its interest. Eventually, the Company failed, which almost spelled the death knell to Biola. The heavy losses in the Western Machinery Company and the sharp drop in the value of stock~ in general, left Biola unable to realize sufficient income from the sale of its stocks to cover it indebtedness. Late in 1929, the Board of Directors began to wrestle with the problem. The seriousness and the extent of the problem, of which some members were unaware at first, were realized when a Management Committee was appointed to prepare a report, which was in the form of a series of questions, as
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