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"...the TRUTH SHALL SET YOU FREE"

 

The Watchtower Way 
of Laundering Money  

by Randall Watters  

source: 
http://www.freeminds.org/history/launder.htm 
 
reprint from the Jun/Aug 1995 Free Minds Journal with 
additional notes made on 12/8/96 

Previous to a major policy change in 1990, Watchtower 
literature was distributed at what was termed a "specified 
contribution" price for each item. Witness canvassers 
(called "publishers") bought their literature supplies from 
the congregation and then resold these from door-to-door. 
All monies were then remitted to the Society's 
headquarters in Brooklyn, New York.  

The new policy announced in 1990 detailed a complete 
donation basis for literature. It was now to be supplied 
without charge to congregations, but contribution boxes 
are placed by the counter for donations from the 
publishers, supposedly to cover the cost of printing and 
distribution. In the field, donations for the items are 
solicited, but are supposedly not necessary in order to 
obtain books and magazines. Such donations received 

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from the public are then to be brought back to the Kingdom 
Hall and sent to the Society.  

What was the motivation for these changes? The Society's 
answer was that less paperwork would be needed and the 
literature could be more easily distributed. "By adopting a 
method of literature distribution based completely on 
donation, Jehovah's people are able to greatly simplify our 
Bible education work and separate ourselves from those 
who commercialize religion." (Letter from the Watch Tower 
Society to all U.S. congregations dated February 21, 
1990.)  

The second reason given about `separating ourselves 
from those who commercialize religion' alluded to the real 
reason for the Society's change in literature distribution. 
Just one month before the new policy was announced, the 
Society watched how the Supreme Court ruled in 
California Board of Equalization vs. Jimmy Swaggart 
Ministries. 
California wanted to assess sales taxes on the 
sale of books and tapes and other items by Swaggart's 
ministry. The Watch Tower Society filed amicus curiae (a 
friend of the court legal brief) in support of Swaggart's 
position, that a religious organization should be exempt 
from such taxation. On Jan. 17, 1990, just a little over a 
month before the Society's change in policy, the Supreme 
Court ruled against Swaggart and permitted taxation. The 
Society's new policy avoided any liability for taxation by 
taking the financial transaction out of the picture 
(donations cannot be taxed).  

The new policy was primarily a tax dodge. The side benefit 
to the Watchtower was that they received monies TWICE 
for the items, if all went as planned: Perhaps a dollar or 
two for a small book when you picked up the literature from 
the Kingdom Hall, and if you received a donation for the 
book from the householder, you were required to bring this 
back to the Hall and deposit it as well.
 (Hmmm..., 
something's fishy!)  

The Society's letter outlining the new policy took great 
pains to emphasize that the donation policy was not a 
subterfuge for continued specified prices. The claim was 
made that "we will not suggest a specific donation." (Letter 
dated February 9, 1990.) Yet a subsequent letter gave 

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instructions on how to suggest the old prices for 
Watchtower and Awake! subscriptions:  

"It may be that the subscriber will ask how much is 
expected. The publisher should inform the subscriber that 
the making of a donation or the amount of such is entirely 
up to the subscriber. The publisher may inform the 
subscriber that some have donated $5 and others $10 or 
more, but the amount is left up to the subscriber. Whether 
or not a donation is made the subscription will be 
renewed ... If it turns out that a subscriber does not make a 
donation, as Jehovah God's fellow workers we have the 
opportunity to support that work, depending on our 
circumstances." (Letter dated February 21, 1990)  

Here the WT Society is telling Witnesses to suggest $5 or 
$10 for subscriptions, which is the previous rate. 
Interestingly, the Society also suggests that if Witnesses 
can't collect that from the public, then the Witnesses 
themselves have the opportunity to donate to cover for the 
public.  

So what happens when people currently write in to the 
Society asking for literature?  

Apparently, literature, including magazine subscriptions, 
can rarely be obtained through the mail any longer. Even 
renewal notices for return mail are no longer sent, the 
householder being informed that they must obtain all 
materials through their local Kingdom Hall. Even at 
Watchtower headquarters in New York, only two or three 
items can be requested at a time from the Society's 
Furman Street literature counter. The Society's literature is 
free, but only in limited supply.  

More recently, attempts to obtain the Watchtower's new 
CD-ROM computer disk (containing all of their publications 
on electronic media, some back to 1950) have yielded 
interesting results. Because the May 1994 Our Kingdom 
Ministry
 (p. 7) "suggests" a price of $25 or $50, though not 
in so many words, publishers are often requiring a 
minimum payment, sometimes up front, before they will 
order the CD-ROM disk. In one case, the JW is demanding 
$40 before he will place the order! It seems that Witnesses 
are taught to be more and more deceptive as time passes, 

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which is merely a reflection of their mother (the 
organization).  

Apparently, their recent significant drop in income, coupled 
with the failure of rank-and-file Witnesses to donate funds 
sufficient to their liking for materials received "free" has 
caused the Watchtower to make the following statement in 
the November 1996 issue (p.3) of their in-house bulletin 
entitled Our Kingdom Ministry:  
_________________________________  

  

additional notes:  

It is interesting how they have even "raised the price" of a 
number of items! They appear be suggesting a donation of 
$50-100 for the CD-ROM instead of $25 to $50, and $40 
for reference works such as Insight on the Scriptures. 
Since their costs of producing CD-ROMs could not exceed 
two dollars each (probably closer to $1), one wonders who 
they are trying to deceive.  

One investigator sent in a donation to the Watchtower 
"equivalent to that once specified" for some literature, just 
to see what would happen. A letter, and an additional card 
was sent back. The letter was a "thank you" letter 
acknowleding a donation, but containing no hint as to any 
literature involved. But the card sent with it stated, "We are 
pleased to inform you that your request for Bible literature 
has been honored and will be mailed seperately." Using 
this technique, the WT feels they are going to avoid legal 
complications. Time will tell as to whether the State of 
California decides to reopen the case with regards to the 
Watch Tower Bible and Tract Society.  

  

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