Coop Deposits May Replace Initial Charge

The Harvard Cooperative Society may institute a single, three-dollar deposit payment as membership fee instead of the present yearly one-dollar charge. This deposit may be reclaimed any time a person wishes to resign from the society.

The resolution passed by a 10-3 margin last night at the annual meeting of the participating members of the society. It is not final, but merely recommends that the stockholders consider the measures in their next meeting on Nov. 7.

Winthrop D. Thies 3L proposed the measure as a means to circumvent the large amount of federal taxes the Corporation must forfeit from its membership fees. Thies contended that if the money were in deposit form, it would not be subject to federal taxation.

In relation to his action at last year's meeting of Coop members, Thies registered strong objections to a Directors' report stating that "the sale to its members of wines, spirits, and malt beverages" was not feasible. This report held that three state laws make it undesirable "to engage in the sale of alcoholic liquors."

These three separate statutes provide that any alcoholic beverages must be sold under the label of the original manufacturer, that no "inducements" i.e., patronage refunds, can be offered to consumers for the purchase of such commodities, and finally, that the consumer must be at least 21 years of age.

In sharp disagreement with these points, however, Thies stated that the Coop could use its own label, could not give patronage refunds on alcoholic purchases, and could employ a two-color card system, one color for students over 21 and one for those under the legal age.

Thies held that since the Society exists "to reduce the cost of living" at the College, it is certainly feasible for it to sell alcoholic beverages.