The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1884-07-31
Mr.. HARRISON'S ACCOUNTING
His Report Shows that He Has Lost All
but $4,000 Of the Fund.
Unsuccessful Efforts Of His Attorneys to Have
His Bond Reduced Alfred Harrison
f Rc-Mortgages His Property.

There was another large attendance at Judge
Taylors court yesterday morning, brought there
in expectation of some action in the matter of
the receivership of John c. S Harrison and the
Indiana Banking Company The report Of the
receiver was again before the court and, the seal
Of secrecy being removed, the reporters were al
lowed to read and reproduce in print the re-
markable document, which is as follows;
In vacation: Superior Court
Mary Morrison ct al. vs.. William Needham ct al
No. 1927.
To the Hon. N B. Taylor Judge:
In compliance with the order made by your Honor
in the above entitled in vacation, sitting IN cham
bers, under date of July "a 1884, and served upon
said day, l herewith make the following re-
In obedience to that part of the said order that d.
reefs to forthwith make and file with the clerk OF
the court full and detailed report OF my actions and
dongs, receipts and disbursements in said trust
herewith file my itemized statement in detail showing
tions thereof, which each and all herewith made
parts of this report marked for identification state
ments Nos. i, 2, 3 A, 5, etc.
In explanation of No. I would state that John IL.
Ketchafn ESQ., was one Of the partners in the firm of
the Indiana Banking Company. When that bank
failed he largely indebted toit account OF notes
and overdrafts and held 800 shares of the capital
stock of the par value of $50 EACH in the
Haugh, Ketcham & Co. Iron Works corporation,
which to in the manner in said statement set
forth. When said stock was sold by me on the 4tn
day of February, 1884 under the order of this court
the principal and interest of said Indebtedness stand
ing against John L. Ketcham, Esq, was 81, l67 30
1t was claimed on behalf of said Ketcham that he
entitled to have credit allowed unto him. and applied
on the said sum due and owing by him to the said
Indiana Banking Company for services rendered said
last mentioned bank before its failure that matter
being unadiusted when said stock sold by me
February 4, 1884 to Silas M. Shepard trustee, for
$4,000 cash. and the stock having been transferred
y me 11der the order of this court as receiver and
trustee
In order that this fund might be kept as it then
stood, / deposited it in Harrsons bank and took q
certificate Of deposit No. 90 812 of the date of Feb
ruary 5, 1884, for $4,000, payable to the
order of John G. S. Harrison receiver and trustee.
/ informed there is q controversy over
said funds to whether said John L. Ketcham, Esq,
shall have allowance for his alleged services and as
to the direction and ultimate disposition OF said
money; and further also, to whether all or any
portion thereof is so chargeable against me as to be
covered by my bond given upon my appointment as
receiver. Under the circumstances, advised by
my counsel that should report the facts, as have
now DONE and leave these questions for further set
Element
therefore report that at the date Of said order,
wit, July "a 1884, stood chargeable receiver
with balance of $S1 817.S4, and with the further
of 500 600 the proceeds arising from the sale of
399 shares of stock of Haugh. Ketcham & Co.. am
further directed by your Honor in and by said order
made forthwith to pay over to the clerk OF this
court all moneys with which am chargeable IN the
premises and file inventory of all the remaining
assets of said trusts. In compliance with so much
of said order as requires me to file an inventory
of the assets herewith file an itemzed in
ventory of all the remaining assets of said
trust and make the part of this
report l regret that / am compelled to report
that | am unable to-except as to the sum of
So. 2O6.7 9-comply with the remaining portion of
said order. When moneys belonging to said trust
to my hands from time to time as set forth in
said statements, they were deposited IN Harrisons
bank, of which banking house I was member, and
received by it in due of business other de-
posits taken from day to day, and treated and
skr Hhar
of business of said bank and checked upon by
such receiver in disbursng said funds under the
orders of the court as is usual in the course of bust
ness. After my appointment was engaged assidu-
ously from day to day up to the 10th OF July, in
ducing the assets to money protecting the trust, and
discussing the funds And believing that was fairly
entitled to some remuneration for these services
did, on May 16, 1884, draw check for the of
So 600 to my order against said deposit in said
bank. which paid to me, not then anticipating
the financial troubles that have since arisen, and
intending when, thereafter, might make applica-
ton for an allowance to apply the same thereon. A
sudden panic precpitated such demands upon the said
bank, on the 18th and 18th of this month, that
Robert N. Lamb was appointed receiver thereof
the morning of the 18th of July, 1884. On the 18th
of July, 1884 for the purpose of securing funds
and to protect my bondsmen from ultimate loss,
prepared and executed mortgage my residence,
which was wholly free from ncumbrance,. in which
my wife joined unto Them viz: Charles Mayer,
William e. Hauesen, William Harle, George w.
Stout, George w. Mannfeld and Alfred Harrison,
which was placed on record on the 18th inst. This
in furtherance of said purpose, Alfred Harrison and
myself, comprising said banking firm, with whom
which demand they could not meet and discharge,
executed another mortgage, in. which our
wives joined, to the said bondsmen and
as the Parker Block which was fled for record on the
10Th inst. This property is fairly worth $45, 600,
and is practically unncumbered that is to say. On
the 18th of August 1882 the United States Encaus-
tic Tile Works Company executed mortgage ON its
corporate property and four other certain parcels of
real estate in this city and county Of which is this
bonds issued by it for $1,000 each, bearing 6 per
cent, one bond falling due annually, which debt
GOO is now c Outstanding The tileworks are ct
are Of the aggregate value Of 100000 Afterward,
said Parker Block, with said other parcels was
veyed to said A. 6 j, @. s. Harrison; and nasmuch
said property and plant Of the tile works and said
other four parcels first chargeable with said mort
gage debt and Of the aggregate value Of at least
$3.50, 900, this block was in equity unincumbered
at the time the said mortgage was made to said
bondsInen.
After the failure Of the bank, Alfred Harrison, be-
ing member of the banking house aforesaid and be-
ing surety with said other persons my bond as
receiver, and the said banking firm being unable to
repay the moneys Of said trust deposited with said
firm as aforesaid, and Alfred Harrison being unable
to contribute his proportion of said funds to his CO.
sureties, executed and delivered to his cosmetics
mortgage on his residence property in Indianapolis
The realty crtgaged to said fund is Fairly
worth in the aggregate the of $ll2 900. In the
mortgage executed the Parker Block there is pro-
vision to the following effect: To secure the mort
cages against any Indebtedness of said Alfred and
John O. s. Harrison. Should it be determined that
this clause in said mortgage is operative it win reduce
the amount Of the security the Parker Block But
unless it should be reduced the value Of the three
parcels Inorgaged aforesaid will provide ample
curity for the balance due Of said trust fund And
these are all the means of any and every kind which
am able to provide for the security and payment Of
said fund It is physically impossible for me to
pay said sums into court as required or any part
thereof. am left without any money property Of
my own whatever. Respectfully submitted,
J. @. s. HARRISON, Receiver,
w. H H. Miller, who appeared as
one of the attorneys for the creditors
of the Indiana Banking Company, com
menting on the report said that it showed
be could not produce 500, 900 Of the amount with