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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: WIMom
your = you're, sheesh, I hate when I do that.
2,861 posted on 12/02/2001 8:08:14 AM PST by WIMom
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To: Ratatoskr
I believe so. My first husband was French-Canadaian! Yikes, what a group!
2,862 posted on 12/02/2001 8:09:02 AM PST by Howlin
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To: ReaganGirl
Because this is not a publicly traded company and as a LLC does not have to disclose the items you suggested

I understand it does not have to. I just don't understand why they wouldn't want to, to shut up the people who are implying fraud. I almost gag at the thought of saying this, but if you have nothing to be ashamed of, why hide it. As a conservative, it drives me nuts to have someone say this about government intrusion into private affairs, but I'm not the government and this doesn't seem to be private as it asks for and accepts public money.

It isn't really a business as you don't really sell anything (so all the comparisons to grocery stores is silly) but it it isn't a charity for technical reasons. It seems more like a Political Action Committee and maybe I'm wrong, but don't they reveal their expenses and allocations. I could be wrong on that.

Look at the trouble the Red Cross got into when they tried to stonewall inquiries. It just seems that whatever the facts are, putting them on the table would end the controversy.

If you still have concerns about how your mom is spending her money then you should become her guardian and take over her finances. If I thought that my parents were "throwing money down a hole" that's what I would do.

LOL! You don't know my Mom, well, maybe you do but believe me, she may ask for my advice but she is no where near the need for a guardian. As far as I'm concerned, she can sign over the deed to the homestead to Jim, if that's what she wanted to do. She asked for advice from me because she wanted a disinterested party's view of the situation.

The last thing I wanted to do these last sunny days is sit here picking through all this but FR is important to her and she is important to me.

2,863 posted on 12/02/2001 8:11:23 AM PST by A_dutiful_daughter
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To: RedBloodedAmerican
I wonder what they'd do if they could "take over" the place. I have a feeling there would be a mass booting in the first hour. Everybody that disagrees with THEM would be gone.

Since they know so much better than Jim how to run a successful web site, maybe they should start their own and --- oh, wait, they've tried that several times, haven't they?

2,864 posted on 12/02/2001 8:11:51 AM PST by Howlin
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To: Z2
Did it bother you to see six different antifreeper sites fail because you couldn't get along with anyone? Does it bother you knowing that you've posted at least five different opus's citing your reasons for retiring from "antifreeping", but you couldn't stick to your word? Does it bother you knowing that TDE issued a challenge that you refused to acknowledge? Do you think that taking antifreepers off-shore made it the success it is today?

I (we'll) wait patiently for your answers. Thanks in advance!

2,865 posted on 12/02/2001 8:12:46 AM PST by unsycophant
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To: A_dutiful_daughter
I just don't understand why they wouldn't want to, to shut up the people who are implying fraud.

Since you're "new" here, maybe you ought to be told that there are WAY over 50,000 users on this forum.

Less than TEN of them are asking all these probing questions. (Don't even try to say there are more than that; they use different screen names, but they ARE the same people).

Those ten people want to destroy this forum and Jim Robinson; they are sort of like cancer; they haven't realized yet that if they destroy the "body", then they won't have a life either. Stupid cancer.

2,866 posted on 12/02/2001 8:17:01 AM PST by Howlin
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To: A_dutiful_daughter
The only people "implying fraud" are the handful of libelous losers at the AF sites. Does the term "disingenuous" mean anything to you?
2,867 posted on 12/02/2001 8:17:16 AM PST by mountaineer
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To: Howlin
...I would suggest you might want to take her aside and have a discussion with her as to the meaning of the words "PRIVATE COMPANY."

I would suggest you consult a legal dictionary as to the meanings of "CHARITY" and "PUBLIC TRUST."

2,868 posted on 12/02/2001 8:18:26 AM PST by Z2
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To: IronJack
Does FR get a percentage of sales?
Yes.
What is that percentage?
100.

Excuse me, but that means the merchandise is donated? There are no costs of manufacturing? I think that's unlikely.

2,869 posted on 12/02/2001 8:19:44 AM PST by A_dutiful_daughter
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To: Z2
In case you didn't notice, even "the new girl" blew off your "charity" thing.
2,870 posted on 12/02/2001 8:20:07 AM PST by Howlin
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To: A_dutiful_daughter
I just don't understand why they wouldn't want to, to shut up the people who are implying fraud

Mostly because it never works. Jim has never tried to hide anything, but the serpent's seed of doubt grows well in small minds, so the AF's are never content with any explanation given. This war goes on continuously, has for years. By now, all the concerns have been addressed a thousand times, yet every six months or so we have to have this exercise. Why? Because the questions aren't a means toward an end. The questioners aren't interested in truth, but in indicting this site through innuendo, diversion, and just plain repetition.

This is a waste of time and bandwidth. We don't need to justify ourselves to anyone, especially people who are our sworn enemies.

2,871 posted on 12/02/2001 8:24:15 AM PST by IronJack
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To: Howlin
HA. These are the same people who dont want "religion crammed down their throats", spouting others should be charitable.

Oh to have the mind of a liberal, all my problems would be gone.

2,872 posted on 12/02/2001 8:24:22 AM PST by RedBloodedAmerican
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To: A_dutiful_daughter
Excuse me, but that means the merchandise is donated? There are no costs of manufacturing? I think that's unlikely.

Why? Some people donate money, others donate goods that can be exchanged for money. What is so hard to believe about that? Or is it just possible that the answer conflicts with your presumed conclusion, so you reject it offhand?

During the recent Caribbean Conference, a number of generous FReepers donated goods and services to the attendees. This whole site depends on generosity, and the giving spirit of Free Republic has never failed yet.

2,873 posted on 12/02/2001 8:29:06 AM PST by IronJack
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To: unsycophant
Hi TS! So good to see ya!

The topic of this thread which JimRob so generously created and is allowing me to visit is:

Is Free Republic a Fraud? Is it time for Free Republic to go away?

Since I don't post on your troll site, UpTheAntis, perhaps you would like to stop in at AFWAA and examine me on the issues you raise.

I'll be looking forward to it! BTW - Is it true that you're mombonn?

2,874 posted on 12/02/2001 8:29:07 AM PST by Z2
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To: Howlin
I have no idea who "the new girl" is. Perhaps she hasn't read the information I provided on the subject of charities and public trust. Have you read it?
2,875 posted on 12/02/2001 8:33:56 AM PST by Z2
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To: Ratatoskr
OK. No "Strange Brew." Did you happen to see "One Flew Over the Cookoo's Nest?" Same thing.
2,876 posted on 12/02/2001 8:35:07 AM PST by Cyber Liberty
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To: IronJack
So that is affirmed? All merchandise available for sale is donated? No offense, but I don't know the players here. Do you speak for Mr Robinson?

Gack.I'm starting to sound like a DA and that's not my intent. I posted my questions and will check back later to see if any of them are answered. Thank you

2,877 posted on 12/02/2001 8:35:40 AM PST by A_dutiful_daughter
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To: Jim Robinson
The only reason someone would want to shut this site down is to silence people. This nation has needed an open forum for conserviatives for decades. Liberals have had their forums since the mid 60's; called the nightly news and the daily newspaper. They weren't interactive, but liberals had their views validated (or fed to them) for years. With the advent of Rush, we finally had a forum to validate our views. However, most of us didn't get a chance to state our individual views. He has only about 2 hrs (about 1 hr is advertising), and has lots to say of his own. This only allows a select few to state their views. Plus, there is also a gate-keeper there; the screener. Given the number of people who want to call in, and his limited time for calls means he has to pick and choose.

This forum on the other hand, is 24/7 (and even 3rd shifters like me can post). The only limits on posting are determined by the server's capacity. Even idiots can post; although they seem to be few and far between (thankfully).

In the electronic age, this is the sort of forum that our founding fathers would have wanted. In their day it was easy to get your views known in your community; stand in the town square and shout them out, or post flyers. If you wanted national attention, you got on your horse and went from town to town - difficult but do-able. Today, w/o FR? Good luck! Yes, you can write an editorial to USA Today; but the gate-keepers there are left wingers. Today, if you want your views made known nationally the cost would be prohibitive, unless you are a left winger; but then the press already beat you to it - you don't need to.

FR allows conservatives to state their views nationally any time they want. If their views are silly, they can be shot down easily, and thus becomes a learning experience.

This entire post made me uncomfortable; the idea that our only forum for free speach nationally might be destroyed by the enemies of free speach, that there are legal battles being waged against it, that the founder needs his reslove reinfoced....

It would be a sad day indeed were this site to go away.

MARK A SITY
http://www.logic101.net/

2,878 posted on 12/02/2001 8:37:09 AM PST by logic101.net
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To: ReaganGirl
whoops...forgot to add the < /sarcasm > at the end there.

RG, lest you misunderstand my post, I personally think Jim should give a full accounting.

Your sarcasm was noted.

I was "defending" the inquiry, since Jim invited it.

2,879 posted on 12/02/2001 8:39:51 AM PST by alcuin
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To: Z2
When you get done answering the first series of questions, here are some more for you, mouse-warrior:

Did it bother you to continue to criticize a member of Free Republic for using a foul four-letter-word, AFTER you used the same exact language? You know, she apologized for HER use of it. You never did.

Did it bother you, as a good conservative, to learn that some of your associates wanted to "antifreep" the White House protesters when Clinton was in office?

Did it bother you to participate in deleting a club that didn't belong to you?

Has it ever bothered you to know that the only way you've enjoyed the freedom to speak your mind is by practicing complete and total censorship in (many) locations that allow no dissent or criticism (unlike here)?

Did you give any money to the off-shore investment? How was it spent?

If you're going to ask questions and expect replies, then you certainly must be willing to reciprocate, goose.

Your turn.

2,880 posted on 12/02/2001 8:40:43 AM PST by unsycophant
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