Here are some passages from God Passes By, written by the Guardian of the Baha'i Faith, Shoghi Effendi:
...in February 1894, a Syrian doctor, named Ibráhím Khayru'lláh, who, while residing in Cairo, had been converted by Hájí `Abdu'l-Karím-i-Tihrání to the Faith, had received a Tablet from Bahá'u'lláh, had communicated with `Abdu'l-Bahá, and reached New York in December 1892, established his residence in Chicago, and began to teach actively and systematically the Cause he had espoused. Within the space of two years he had communicated his impressions to `Abdu'l-Bahá, and reported on the remarkable success that had attended his efforts. In 1895 an opening was vouchsafed to him in Kenosha, which he continued to visit once a week, in the course of his teaching activities. By the following year the believers in these two cities, it was reported, were counted by hundreds. In 1897 he published his book, entitled the Bábu'd-Dín, and visited Kansas City, New York City, Ithaca and Philadelphia, where he was able to win for the Faith a considerable number of supporters.
In the North American continent, the defection and the denunciatory publications of Dr. Khayru'lláh (encouraged as he was by Mírzá Muhammad-`Alí and his son Shu'á'u'lláh, whom he had despatched to America) tested to the utmost the loyalty of the newly fledged community; but successive messengers despatched by `Abdu'l-Bahá (such as Hájí `Abdu'l-Karím-i-Tihrání, Hájí Mírzá Hasan-i-Khurásání, Mírzá Asadu'lláh and Mírzá Abu'l-Fadl) succeeded in rapidly dispelling the doubts, and in deepening the understanding, of the believers, in holding the community together, and in forming the nucleus of those administrative institutions which, two decades later, were to be formally inaugurated through the explicit provisions of `Abdu'l-Bahá's Will and Testament.
...the greedy and conceited Ibráhím-i-Khayru'lláh, who had chosen to uphold the banner of his rebellion in America for no less than twenty years, and who had the temerity to denounce, in writing, `Abdu'l-Bahá, His "false teachings, His misrepresentations of Bahaism, His dissimulation," and to stigmatize His visit to America as "a death-blow" to the "Cause of God," met his death soon after he had uttered these denunciations, utterly abandoned and despised by the entire body of the members of a community, whose founders he himself had converted to the Faith, and in the very land that bore witness to the multiplying evidences of the established ascendancy of `Abdu'l-Bahá, Whose authority he had, in his later years, vowed to uproot.
(above from http://www.bahai-library.com/writings/s ... pball.html
Dr. Robert Stockman has written histories of the early Faith in America and I would venture that these books cover his rebellion and the response of the Baha'i community at that time in more detail.