The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1885-06-06
RECEIVER MOTHERsHEAD'S REPORT.
Assets and Liabilities of the Encaustic Tile
Works Submitted to the Court.

Judge Walker, May ~, ordered Receiver
Mothershead to make a report to court of all the
assets and liabilities of the United States En-
caustic Tile Works. This was done yesterday,
and the receiver in the report, with which five
the time he was appointed receiver of the works.
he reported the supposed value OF all the prop
erty in his charge as such receiver. the valuation
being made from the books of the company,
and the best information in his possession. 1t has
since come to his knowledge that upon the l4th
of August, 1882, an entry was made in the books
of the company increasing the capital stock of
the company $4,000 without increasing the
actual value of tie property, and without any
thing being paid for said stock, the same being
divided among the stockholders. An arbitrary
charge was made upon the books of the company
against the construction, machinery, models,
moids and processes accounts, thereby
items $50, 900 greater than the actual
value of the same. The said sum should be
deducted from the valuation made in the report
of the property by the receiver at the time of his
appointment.
He further reported that the invoice by him
at the time of his appointment, of manufactured
tile and tile in process of manufacture, was
incorrect in that old tiles on hand, including
those defective and unstable, were inyoicec as
perfect and salable Except the items of Sec
ondsh and the valuation placed upon
all OF said tiles was that of good and
perfect tiles. This valuation was largely
IN excess of what the receiver now knows to have
been their proper valuation. He did not include
In the list of assets any receipts or processes for
making tile or their value, for the reason that be
had no knowledge or information as TO their
value, and he had no means of 1t.
By reason of the defective inventory taken at
the time of his appointment, and the erroneous
charges above mentioned, it was impossible for
actual result of the business since his
appointment. But he gave an exhibit
of a summary of business done, amount of
stock on hand, an excess of the amount
reported July "a, 1884, if taken in the
same manner the July inventory was;
also, total sales of tiles during his admins
t~ration, and amount expended by him in carry
ing on the business, as shown by the several
accounts. and debit side of his merchandise ac-
count. The statement shows relatively the re-
suit of his actions and doings as receiver. He
made no item of the compensation of receiver.
attorneys fees or costs In connection with the
administration of the trust, as those several
items will have to be fixed by the court.
The following are the summaries from the ex-
hibltS: ~ASsets-FixtureS and furniture, ST, 1876. ST;
tools and implements, ST, 653. GO; supplies and
materials, $40, 440. 70; stock manufactured, $l10,-
ITO. 40; accounts receivable. $15, 623. SO; bills re-
ceivable, 81, l26 81. Liabilities-Accounts pay
able United States Encaustic Tile Company,
So, 4l6. OF; bills payable, 1924, IFS. 70; total, 1885,
594. 80; to accounts payable receiver, Sc, 1853 81;
bills payable receiver, SIS, 1873. so; total, $40 ,g92. IT;
receipts, $57, 6S3. So; disbursements, $57,1il.19 8.
An increase of 81, Gil. 30 is reported May 20, 1885,
for supplies. materials and tiles over quantity in
stock July "a, 1884, if the two inventories are
valued the same way. Tiles shipped and credit
ed to merchandise account, $l3l, 1874 AZ.