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Is Free Republic a Fraud? Is it time for Free Republic to go away?
Free Republic | 11/28/01 | Jim Robinson

Posted on 11/28/2001 7:31:29 PM PST by Jim Robinson

Free Republic has had one helluva run over the last five years or so. We helped impeach one president and helped get another into office. We've been active in demonstrations and protests in nearly every city across the nation. We've participated in conventions, petition drives, activism campaigns and projects for dozens of conservative causes.

We've grown from a tiny web site with a few hundred posters and readers from the time of inception in 1996, to one with tens of thousands of participants today. Along the way we've made lots of great friends and, unfortunately, also made lots of bitter enemies.

We've grown from a small web site that I could manage myself on a part-time basis to a huge monster that has totally consumed all of my time and resources plus nearly all of John's time, plus the time and resources of many dedicated FReepers who volunteer or contribute large amounts of their own time and money.

The site is now consuming all of a 10 mbps dedicated line with two servers and we're still growing, and it consumes large amounts of money to keep all this running. In the early years, it only took a few thousand dollars per month to keep Free Republic on the air, but it is now costing over $20,000 per month to cover all expenses.

The major costs include approximately $8,000 per month for bandwidth, 3,000 for systems management and programming services, 7,000 for management, operating and administrative services, plus two or three thousand per month for miscellaneous office expenses, telephone, communications, repairs & maintenance, travel & lodging, postage, rentals, insurance, legal fees, accounting fees, etc., etc.

We anticipate a reduction in bandwidth costs next year as we renegotiate our contract (the market price for bandwidth has fallen recently), however, that will be more than offset by an expected increase in costs of our legal expenses. As most of you know, our pro bono attorney has left us and we've hired a new attorney to continue with our case, plus we have the suit against eschoir to pay for. My projections are that our regular monthly expenses for next year will be running in the neighborhood of $22,000 per month, or approximately $264,000 total for the year. This means we will need to raise approximately $66,000 per quarter.

Talking about making enemies, we've got several ex-FReepers and other detractors who are claiming on their anti-freeper web sites that I am ripping off the donors and that Free Republic is a fraud. Now, Free Republic is what it is, and it is definitely not a fraud. It is a conservative news discussion forum that encourages participation in politics and activism projects. It is not being billed as anything else. We are not selling or promising anything. And I am being up front about our operating costs. The costs of running Free Republic are what I've stated above and they are necessary to keep FR on the air. I do not have the financial wherewithal to operate this site without your help. If the majority of the FReepers feel that these costs are out of line or too much to bear or that Free Republic is no longer wanted or needed, then we will either cut it back or shut it down or do something altogether different.

I've also been criticized about not making our financials public. Well, the reason I do not want to do this is that I have been sued, both personally and as Free Republic, LLC. The people suing us want to bankrupt us and shut us down. They subpoenaed our financial records, but we refused to turn them over. The judge agreed that the plaintiffs have no right to the information, thus I have no intention of making any more of it public than I absolutely have to, until this lawsuit is resolved. You all know the amounts of money we raise if you follow the fundraising threads. It is all above board and out in the open. The totals posted by BadJoe are usually pretty close to the actual cash received and the amounts expended are pretty close to the amounts projected. No one is getting rich here and no one is being ripped off. The funds raised are being used for the purposes stated, and that is keeping this website on the air and that's it. Nothing fraudulent about it. Those who want to help fund us freely do so with nothing expected in return. Those who do not want to contribute do not have to.

There was a thread running this morning where people were making all kinds of accusations about Free Republic "hiding the truth" or whatever. These accusations are being made by Chuck Allan and others and fall along the same line with the accusations being made by some of the earlier banees or AFers including Mojo, Inspector Harry Callahan, Arator, keep U.S. Sovereign, TKEman and others. Some of these people are existing FReepers and some are banned. I am going to reinstate Mojo, Inspector Harry Callahan and Arator's accounts so they can join Chuck Allan, TKEman, K.U.S.S. and whomever else wants to get involved, and I invite them to come onto this thread and make their accusations public. As long as they do not go onto other threads and make a nuisance of themselves, I will let them have their say.

Like I said above, if it is time for Free Republic to go away so be it. Those who want to keep it going speak up. Those who want it to go away, tell us why. But if those who want it to be gone lose out in the debate, then I'd say they should just go away themselves, or, in the very least, shut up and quit whining about it.

Thanks,

Jim


TOPICS: Activism/Chapters; Announcements; Breaking News
KEYWORDS: bushbabeslist; enviralists; hughhewitt; jimroblist; opuslist; usocanteen; zionist
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To: harrowup
(Note to newbies: Harrowup is very possibly insane. Approach him at your own risk.)
1,541 posted on 11/29/2001 11:07:33 AM PST by Arator
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To: elfman2
I'm no expert on corporation law, but I think the whole corporate route might be a mistake. In the end FR would turn into a PAC. :) I think it would be better for the time being for it to remain as it is.
1,542 posted on 11/29/2001 11:08:40 AM PST by Liberal Classic
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To: Tall_Texan; Jim Robinson; John Robinson
If JimRob kept all the money gathered from this venture and he and JohnRob used it on lavish vacations in Tahiti every year or to keep a dozen mistresses quiet, I'm frankly not bothered by it. 1) He's not supported by tax money. 2) He's not running a church. 3) He is providing a service to thousands absolutely free of charge. I'm getting more than a full return on my investment in Free Republic. What they used my money for isn't really my concern, any more than I'd be bothered with how my car mechanic spent the money I paid him to fix my car. The car is fixed. His side of the deal is honored. He's now free to use the money as he sees fit.

That works for me! Uhh... except for the 12 mistresses part. Jim is a married man. However, John can have 12, if he likes. ;-)

1,543 posted on 11/29/2001 11:09:37 AM PST by my_pointy_head_is_sharp
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To: Arator
Are you giving free critiques today? Can you give me one too?
1,544 posted on 11/29/2001 11:10:10 AM PST by philman_36
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To: Cyber Liberty
I, being of limited wit, usually just call 'em "Stupid as a box o' rocks."

I'd risk getting banned if I posted what I usually call 'em!

1,545 posted on 11/29/2001 11:10:20 AM PST by uglybiker
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To: Gasshog
So whats the point of banning a poster? None. If anyone is really hated on FR they should be ignored. I dont think anyone should ever be BANNED from any discussion forum.

That's my take.

Nice take, Gasshog!

1,546 posted on 11/29/2001 11:12:39 AM PST by Arator
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To: Z2
You know, I'll do just that when I get some time.

You mean your flying monkeys couldn't cough up the link? Even Mojoke? I'm shocked.

Or maybe I'll bump it over at our place and you can drop in and discuss it with us.

You mean you would let me post at your presently closed website...I'm flattered, really I am.

It will probably be right after Jim gets around to answering all the questions I've posed for him to enable the FReepers to evaluate his credibility. That was a generous invitation that grew into quite a fundraising opportunity!

Boy did you sure get everyone here to question Jim's credibility..I don't see any support for him here...none...no siree... Thank G-d you were here to tell everyone the truth... < / sarcasm >

1,547 posted on 11/29/2001 11:14:30 AM PST by diotima
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To: Jethro Tull
Is it time for these Republican flacks to go away? Yes.

Even the ones born before 1969? Who know the moon landing was faked?

Cut the flacks some slack, Jack. They know THE TRUTH ABOUT STUFF, but practice benign neglect.

1,548 posted on 11/29/2001 11:15:16 AM PST by alcuin
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To: uglybiker
'Bout time you showed up, UB....
1,549 posted on 11/29/2001 11:17:21 AM PST by Cyber Liberty
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To: diotima
Website's open, sugar plum. Drop in any time. You still have an account there, which I noticed while I was repeatedly banning Eschoir last night.

We'll put the affidavit up for you. Right now, we're kinda busy asking questions that (as yet) aren't being answered.

1,550 posted on 11/29/2001 11:19:21 AM PST by Z2
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To: Cyber Liberty
Free Silly!
1,551 posted on 11/29/2001 11:19:35 AM PST by Silly
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To: aquawrench
Let me know if you do, I'd like to check it out.

I would advise all FReepers to exchange email addys. This enables you to stay plugged in to the FReeper grapevine even after banishment. And, since arbitrary banishment could befall anyone at anytime, the sooner you are plugged into the FReeper email grapevine, the better.

I would invite anyone to email me at aratorfr@yahoo.com. Once you do, I can then pass information of FReeper interest on to you as the need arises.

1,552 posted on 11/29/2001 11:19:47 AM PST by Arator
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Comment #1,553 Removed by Moderator

To: Z2
Thanks dumpling!

I'll keep that in mind.

1,554 posted on 11/29/2001 11:21:13 AM PST by diotima
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To: The Mayor
I think more is to be gained from keeping it as free as possibl $-wise--as long as possible. Many people with good ideas and inputs--at least energy--for THE CAUSE OF FREEDOM do not have great incomes or $-management skills. The diversity is good for our goals.

But personally I'd be for products etc. and for Jim and John living as high on the hog as was remotely good horse sense. . . uhhh, welll, anyway . . . they deserve to have fun and live very comfortably. The service to the Nation alone is worth that. . . their help and value to us well worth it also.

I do wonder about bank charges on checks. Have been told that most banks charge $10+ to process a check. A $5.00 donation could hurt. Maybe the options need to be listed and the minimum donation for each listed. Is PayPal an option?

1,555 posted on 11/29/2001 11:21:52 AM PST by Quix
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To: Jim Robinson
I say keep it going any way you can.
If it comes down to it, I would say have a sliding scale for subscriptions.
One fee to post comments, another entirely seperate fee to post articles and comments, no fee at all to lurk.
I don't know if it would work or not.

This is the first website forum I have ever seen that makes even CLOSE to any sense. As a matter of fact, this is the only website forum I have EVER posted on.
The articles have been insightful, the commentaries, for the most part, intelligent, and the discussions illuminating.

If FR goes away, I head back to the desert.
Count me in on any more fundraisers, and if I HAVE to pay a fee I will.

1,556 posted on 11/29/2001 11:23:46 AM PST by Just another Joe
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To: Jim Robinson
Lawyers and bandwidth -- those are the costs here.

FreeRepublic needs a shield against lawsuits. Perhaps the implications of this will partially help:
California Appeals Court Upholds Free Speech Right to Criticize Public Companies on the Internet

1,557 posted on 11/29/2001 11:24:12 AM PST by flamefront
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To: Cyber Liberty
Been followin' this thread all day since JH2 flagged me.

I'm just sittin' back with a cup o' java and watchin' the sparks fly!

1,558 posted on 11/29/2001 11:24:28 AM PST by uglybiker
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To: diotima
"Dumpling?"

Geesh....it's nice to see you two kiss and make up, but this is nauseating...

;^)

1,559 posted on 11/29/2001 11:25:05 AM PST by Cyber Liberty
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To: Silly
I miss those days...we had so much fun before the principal came out and made us stop it....I should look up some of my old "Free Silly!" pictures.
1,560 posted on 11/29/2001 11:26:09 AM PST by Cyber Liberty
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