Telegram-herald. ([Grand Rapids, Mich.) 18??-1892, 1891-08-22
ANOTHER BIG FAILURE
The American Wheel Company
Forced TO Assign.
IT WENT TOO SHORT on READY CASH
financial strisxepey and . Dali season
Mere the Causes of the SrAsn-its
liahiiitis. Are Eliminated
81 Two Miillon.

thtGASOs aug. -l.- ne american
Wheel Company, the largest of its kind
IL the world. having works throughout
Indiana. Ohio, Michigan and other
states. has failed. The assets are S4.-
10000; liabilities about s., go, 000
Judge Blodgett. of the federal district
court, has made Noble {. Butler re-
eeiver.
Through concurrent action by district
federal judges of six states in which
the great corporation has branch
works and factories Butler has pos.
session of all the property and will
carry on the business until the affairs
of the company can see their way
clear to resume on their own RESPONSE.
bility.
The failure was caused by the great
stringency in the money market during
the last six months. the company being
prevented from issuing any part OF its
unused capital stock on which il had
depended for funds 20 meet its OBJ
legations maturing during the period
from May to November. This period
was the dullcst period in the carriage
wheel business, aud To make matters
worse creditors of the company holding
accommodation paper became cautious
and refused to renew or extend these
obligations, which were secured by the
plants of the company.
1t is claimed by the company's attor-
neys that the en- barrassmcnt will be
but temporary, and that within a
month the receiver will be discharged
and the control of the business be re-
turned to the company's officers.
The company is an Illinois corpora
ton, but has little property in this
state. The heaviest stockholders live
in Indiana. Julius +. Pratt, one of
the heaviest Indiana stockholders, who
represents other stockholders whose in
terests amount to 81, 800, 900, applied for
the appointment of receiver. The bill
states that the receiver was asked for
at the request and for the benefit of
all the shareholders. The assets,
the bill stated. consist of sites.
manufacturing plants, machinery and
products in various cities in the seven
states named, and are distributed as
follows: Indiana, $1,000. 600; Ohio.
$1,000, 900: Michigan, $40, coo; Pennsyl-
vania, S220,000; New York, $S5, 900;
Massachusetts,, $5c 900; Illinois, $40. 900;
other assets, accounts, bills receivable
and cash on hand. $500, 600; total, 81, lO5,
900. The liabilities are: Bills of ex-
change, promissory notes, drafts. ac-
ceptances and other evidences of in
debtedness, Sl,750, 900; further indebt-
edness for labor, $4,000; total, $780,
OOO
The bill states that the company was
organized in 1889, with 4 capital OF
5000, 600. to engage in the manufac-
ture of wheels for all kinds of vehicles.
Plants were established at Indian.
apolis. Fort Wayne, Terre Haute. st.
Mary's, Ind; Miamisburg, Sydney,
Gallon, Sanduslsy and Ottawa, o.; Jack
son and Kalamazoo, Mich; West
chester, Pa. and Syracuse and Shorts
vile. N. Y. The plants al
all these places are being oper
ated. When the business OF the
company began stock was issued anc
paid for to the amount of 81, sos, SIS
With this capital the company erected
the above plants and also purchased
large amounts of machinery. horses
wagons and drays and material used in
the manufacture of wheels, and the
property is now located in the follow
ing cities: Huntington, Mount Vernon
Osgood, Titusville, Auburn and Sam
onia, Ind; Lansing, Mich, and Var
Vert and Scott, O. All these plant.
were conducted as one business.
A NEW YORK FAILURE.
New YORK, Aug. 2l.-William p
| Dane, manufacturer and dealer in
cards and paper at No. 81 Beekmar
street. has assigned TO Samuel f
Prcntiss. Lawyer F. ii Smith, VIII.
| fled the assignment, stated that tn,
liabilities would approximate sT5, 900
While Mr. Dane claimed assets suffi
cient to cover this, they would proba
| bly, fall short because of the nature o
the stock Stringency in the none,
market is given as the cause of tn,
| failure.
FORT WORTH CATTLE MEN ASSIGN.
Fort WORTH, Tex, Aug. 2l.-Youn;
| & Kuhn, live stock commission mcr
| chants, have assigned. Liabilities, 500
| COO; assets. 500. 1000