The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1885-06-26
ASKING FOR A RECEIVER.
Some Facts About the Financial Man.
agement Of the Terra Gotta Works.
Mrs. Stilz Did Not Know Her Money Was
Used, and Demands Judgment for
$7,5O0-The Company's Affairs.

Company was organized, with an authorized
capital Of $50, 900. It was the purpose to pro-
duee every grade of work relating to this indus
try. Within easy reach Of the city the best
clsys could be found, and the transportation
facilities afforded were unexcelled. AT Bright
wood, extensive property was leased, with the
privilege of purchase, and there superior ma
chinery, Of latest improvement, and all other
equipments of frst-class order were placed.
1.-THE venture at first was regarded as an ex-
pertinent" said a director of the company yes
terday, 'but our hopes Of success after six
months trial were assured. During the first six
months of the company's existence nothing was
done of any account outside Of experimental
lines, and you can say" continued the director,
'that oug actual business operations have not
been for a longer time than eighteen months.
The business increased, and had it been properly
managed, would have given the most satisfactory
results at this time"
OF the capital stock only $23, 500 was paid in,
and the company began under a directory board
which served until April, last year, when VIM.
r. Stiiz, George L.. Dickinson, E. ]. Hodgson,
George Kinsey and VIM. P. Ijams were elected.
Hodgson was president, Stilz vice-president and
Dickinson treasurer. They had virtually the
sole management, since Kinsey lived in Ciucin-
natl and gave no attention to the affairs Of the
company. So little was the fifth director re-
garded in the conduct of affairs that at the
meetings of the board he seldom ap-
peared. The president, vice president and
treasurer, who also served as secretary,
constituted the power which remained without
change until last September, when Hodgsou re-
signed aud removed to st. Paul MINI. VIM.
F. Stilz succeeded him rs president. Prior to
April, 1884, the salary list was moderate, reach
lug only $5, $40 a year, of which the superinten-
dent received So, 500, the travelling man 81 ,440,
and the secretary and treasurer, who acted as
.book-keeper, 5000; but in the year following from
April, 1884, to 1885. the salaries paid aggregated
$15, 243 OF this sum Stilz drew out 81, 600, Dick
enson So, ia, and Hodgson So, 740. the latter for
six months claim for services. Other expendi-
lures were on a like scale, and although
it is repres ented q good business was
being done it could not stand the strain of such
demands. The company's financial affairs be-
came more and more complicated, debts accrued
aud workmens wages remained unpaid. To
carry on the works money was borrowed when
1t ls said o proper management could have
avoided this by adjusting expenses to receipts.
1t became necessary on the part of the stock
holders to look to a reorganization OF the COM
pany. and this was done early in May, when
Ferdinand Winter, F. S. Foster, M. M. Cummings,
+. NJ. Dell and Joseph Joiner were elected direct
ors, Mr.. Winter becoming president of the board.
An investigation revealed a very embarrassing
state of affairs. and only two courses were open
to try to sell the plant, or make an assignment.
The first was adopted, but the financial compli-
cations left by the Stilz management were said
to be of such a character that several parties
contemplating purchase refused until affairs
were in better shape. Among those declining
to take the plant were several stockholders,
who made efforts to organize a new company.
when We took the management" said Mr..
Winter, ''there were accounts due the company
amounting only to $4,000. Since we have had
charge, a little over a month, these accounts
have been increased to $14, 600. AS to collections,
we have not been anxious until we could get af-
fairs somewhat Strengthened. There has been no
lack of orders, for daily many were received
from various parts of the country. Large con-
tracts we were compelled to decline on
account of the uncertainty of our
efforts to bring matters to level basis for undis-
tufbed operations. Creditors, when the condi-
ton of the company was explained to them,
showed a lenient disposition"
After a while there appeared to be but one way
out of the difficulty, and that was TO make an
assignment. This could have been done" said
Mr.. Foster, ION the motion of the directors, but
it was thought advisable to place the matter be-
" II OcfOId iQdvS dSO d Z
ing of the stockholders was called, and they
gave the directors authority to make the assign
ment whenever necessary: They thought it un-
desirable to continue the business in its present
shape. But, notwithstanding this, there was
q hope that the works could be disposed of to an
advantage"
Work was suspended June 10, and fifty men
were thrown out of employment. ''These men
are all skilled workmen from England" said
Mr.. Winter, and that they consider the plant a
good one for profitable operation is evidenced
by the fact that none of them have left the city,
but are waiting the result of our efforts to sell
the works. We have a few men employed to
ship terra Gotta already manufactured, and to
finish some that was in process when tho suspen-
sion occurred. We reduced expenses before the
suspension to the lowest possible limit"
MRS. Stills COMPLAINT.
Affairs of the company were in this condition
yesterday morning, when Maria r. Stilz filed her
complaint in the Superior Court against the. In
dianapolis Terra Gotta Works Company and
Ferdinand Winter. This suit is to recover
money belonging to her, loaned to the company
by her husband, VIM. F. Stilz, who re-
Gently turned over the management
to Winter. Foster. Cummings. Dell
and Joiner. She alleges that the
company is indebted to her in this way. Of her
money, and without her knowledge and consent,
Stilz loaned the company, Aug. 80, 1884, So, $685.
81; Sept. 80, 1884. $347.50, and May IL, 1884,
$40. 80, for which he took notes payable to him
self on demand. She says these notes should
have been made payable to her, and that she
never knew they were taken in the name of her
husband until the works suspended operations,
within the last sixty days.
In addition TO these sums she alleges that
Stilz loaned the company other moneys belong
ing to her, and, therefor, took notes in his own
name. But on account of his mixing these notes
with others representing money loaned the
company out of his own funds she cannot
Ado r r&bnDn non rharn hAUaunr 10 q nc
dated Oct 6, 1884, payable to himself, for
$799. 10; another for $539.05, dated Nov. z, 1884,
and a third for $325.04, dated Aug. Is, 1883. The
aggregate loans thus detailed. as being made with
her money and without her knowledge and con-
sent, are S., 900.
She further alleges tina. on the 28th day of
May all of said notes were delivered by Stilz to
Ferdinand Winter, acting president of the In