152 insufficient to meet its financial obligations, such as the first install- ment on the annual taxes in December, 1932. The Security First National Bank graciously agreed to advanc·e~--fhe~ mon-~;, to pay the School's taxes. Another crisis was faced on March 1, 1933. No funds were available to meet the payroll. The Business Manager was authorized to negotiate some type of loan and to post $15,000 worth of Liberty Bonds, willed to Biola and deposited in a Bank in Warsaw, Indiana, as security for the loan. This pulled the School through another crisis. By the summer of 1933, the Banks were objecting strenuously to any in- crease whatever in the expenses of the School, but there was the problem of securing a new Dean without increasing the payroll. Dr. Elbert Mccreery · was offered the position with $300.00 per month as his salary, $60.00 more than what had been paid the former Acting Dean. Also, Dr. Mccreery would be required to refund the $60.00 to the School if the Banks insisted. In the summer of 1933, the Board faced another embarassing situation. The School dining room could not open for the fall semester until all ac- counts were closed, and they had no funds with which to pay the delinquent bills. Because of the strenuousness of the situation the Business Manager, therefore, recommended that a private concern operate the facility. Upon approval by the Board, the Mines and MacKiegan Corporation was engaged, thus, relieving Biola of this embarrassing situation. It might appear to the reader that further deterioration in the situation was impossible. Not so. In March 1933, the State of California closed all banks within the State to allow them time to stabalize their business. Three days later the United States declared a National eight-day bank holiday, making a total of eleven days in California during which all banks were closed. This automatically eliminated all donations that would normally come by check. Consequently, Biola was unable to meet its payroll that month At the March meeting of the Board to discuss the critical situation
Made with FlippingBook Online newsletter