-453-


Less


Due to Ha-cobEg UManufacturers $1,187.57
Accounts Payable C: Accraed
 Exroenses 2,702. 2
Total Liabilities


Surp-lus 2/28/35 ,rithi Cod.e Authority
 as Trustees


$3, .3C9.59


$40,224.85


 E::cent during the early weeks of Code Authority opera-
 tiou.- --hen a temporary baik loan financed initial comriittnents,
 the sale of labels provided ample fur.ns for required e::oenditures.

 Although the actual income was from asms:-s.:c ,ts on
Manufacturers and -ianufacturing jobbers sales at the rate of 1/3
of l"j for the first budgetary --e.r and 1/4 of 15a from Larch 25,1935,
thLe label was a po-,erful instruien.t in expeditin- assessment collec-
tion. In,'dustry Members ordered and paid for three weeks' supply
of labels which were furnished only when the ap-plicant reported
actujal sales for the preceding ,onth. The assessment thereon was
charged to the applicant and the renittance accompanying the order
for labels was credited .against the assessment so charged.

 In vie,: of accumulated and accumulating surplus, the
Code Authority on Larch 7, 1935 .voted the distribution from the
surplus of $30,000.00 to nembcrs of the In'ustry in pro)ortion to
the amount contributed during; the budgetary :ear ending
i.arch 25, 1935. Following the vote, the surplus of $30,000.00
wc.s thereupon segregated in a special ban: account and distribution
haC. been made thereupon to the extent of about $23,000.00 at
..ay 5, 1935. The undistributed balance.of $8,742.79 was beinc: held
artaitin.- final submission of sales volume figures from certain mem-
bers of the Industry.

 The actual cash balances in th'e Code Authority bani:
accounts ht the close of business, l:ay 3, 1935, .-as as follo's:


Sterling National ran!:- & Trust Co70pany
manufacturers' Trust CorMpany
 It it i" (Spcci.al Acct)


.$9,454.83
10,416.24
8,742.79


 This Code Authority had no account for restitution of
 the employees' wages as the policy adopted was to obtain front the
 res-)ective employers checks to the order of the enployees whichh
 vere turned over to and distributed by the Code Authority to the
 en.ployees against a receipt retained in the Code Authority files.

 During the period of its operations to Iarch 31, 19Z35
 the Code Authority's Co, pliance Division made 3,158 investigations.
 Restitution of ages to the a-iount of $14,811.22 was made to
 1,041 employees of 70 firms found non-complying with Code provi-
 sions. On L.arch,31, 1935, 85 cases -ere pen-ing involving about
 $16,000.00.

.,i 9811