Viewing page 177 of 520

This transcription has been completed. Contact us with corrections.

SMITHSONIAN INSTITUTION   1367

During 1951 The Series Publishers, Inc., distributors under contract of the 12-volume Smithsonian Scientific Series, paid back royalties, with interest, amounting to $27,283.94, the last payment having come on November 23, 1951. The firm has been in financial difficulty, and has made no payment since that date. Royalties in arrears at the last report total $44,305.35, plus accumulated interest on the notes. On April 10, 1952, the Secretary notified the firm that the matter would be placed in the hands of counsel for legal action unless payment was arranged by October 1, 1952. This deadline was extended later to December 1 but urgent request. As no payment was made, the Secretary then arranged to file suit for collection through the courts of New York City, where the firm is located. It may be explained that the debt, while considerable, does not represent any out-of-pocket money cost to the Institution, being royalty for the use of the Smithsonian name on the series of books concerned. All expenses have been carried by the publishers. The matter is now under negotiation between lawyers, our attempt being to secure assignment of the copyrights, possession of the printers plates, an accounting of all published volumes on hand, and termination of the contract. It is important now to get control before the situation becomes more complicated. 

Under the will of Dr. E. W. Nelson who died in 1934, the Smithsonian received 615 shares in the Nelson Goldman Orchard Company, Inc., located about 40 miles from Fresno, California. The estate was not finally administered until 1945, due to various complications. While the property now is financially solvent, no dividends have been paid at any time from its operations. The bequest was made to us to set up a special fund to support biological studies. This has remained in abeyance since no money has been available. At the same time the bequest has been of some expense to the Smithsonian, since it has been necessary to send some one to California at the Institution’s cost to be present at annual meetings of the company in order to protect our interests. It has been definitely evident that the property is not an income producing investment; further, while