It would handle patents garnered through research, and distribute funds garnered from contracts and patents as needed. The new organization was almost immediately used to weather a severe drop in state support (from $89,000 to $3,000) during the recession of 1949. Scientific Atlanta Glen P. Robinson and six other Georgia Tech researchers (including Robinson's former professor and future EES director Jim Boyd and EES director Gerald Rosselot) each contributed $100 (equivalent to $ in ) and founded Scientific Associates (later known as Scientific Atlanta) on October 31, 1951, with the initial goal of marketing antenna structures being developed by the radar branch of the EES. Robinson worked as the general manager without pay for the first year; after the fledgling company's first contract resulted in a $4,000 loss, Robinson (upon request) refunded five of the six other initial investors. From 1950 to 1952, there were a series of disputes between EES director Rosselot and Georgia Tech vice president Cherry Emerson over the station's finances and Rosselot's hand in founding Scientific Associates. When it was founded in October 1951, Rosselot was president and CEO of Scientific Associates; at issue was the potential conflict of interest with his role at Georgia Tech, and what, if any, role Georgia Tech should have in technology transfer to the marketplace. Emerson later instituted a policy requiring EES employees wishing to work with Scientific Associates to make a written request to the president of Georgia Tech. However, Rosselot's participation in Scientific Associates' founding and early operations ensured the eventual success of Scientific Atlanta and facilitated subsequent technology transfer by Georgia Tech's VentureLab and the Advanced Technology Development Center. In September 1952, the Board of Regents requested an audit of EES's financial operation. Of primary concern was the reporting of overhead income, which the Board suspected was inadequate. The audit found discrepancies in the accounts receivable that were attributed to EES's practice of delaying reporting information on receivables by a month, a tactic that had become common to ensure working capital due to the regents' failure to adequately fund the station. Though Rosselot denied malfeasance, the practice nonetheless did not conform to the University System of Georgia's established procedures for budget reporting. As a result, Rosselot went on leave from his post at Georgia Tech in November 1952, pending the acceptance of his resignation by the chancellor, which became effective March 1, 1953. Following his resignation, Rosselot