The Madisonian. [volume] (Washington City [i.e. Washington, D.C.]) 1837-1845, 1839-03-20


and uher documents 70 be granted nv the collectors
AZ shall asv sxQnns e collectors abstracts Of duties
and eLher afeehTfs. OF agcEPTs, Bnkps and kxPEND
russs and found righ, he sail certify nc SAND"
By the report oil the Secretary OF the Treasury 10
the President, and by The latter communicated TO
Congress, blouse doc -, p. 6) IL Is represented
that Circular, issued BY The Comptroller OF the
Treasury In 1921, had tended TO remove the check
on the collector provided in the above enactment Of
law, IN some particulars rery essential" The apo.
logelic language Of The Secretary is:
II appears that the naval officer at New York, IL
able 10 perform the task has not for long period or
al least during the seventeen years that have elapsed
since circular issued by the Comptroller in 1891,
considered II his duly TO certify 10 the expenditures
and accounts generally but only TO certain portions
OF them, and 10 The correct meni OF the duties
That circular, unfortunately, tended TO remove
check on The collector IN some particulars very
Comp roller" Ho. doc. IL, PIP 6, ~
i The committee finding the accounts and returns
OF MIR. Swarwout, made quarterly 10 the Treasury,
to have been correct 10 every particular prior 10
1887, whether checked properly by the records and
vigilance of the naval officer or not, and thai the
only accounts containing fraudulent or deceptive
omissions were those rendered for 1887 and that
such omissions were confined TO the bond account,
on which bonds bad become payable and had been
paid TO MIR. Swartwoui, the committee were led to
examine how far The circular Of 1921 alluded TO as
above by the Secretary Of the Treasury, did In fact
remove from this class Of the collectors accounts the
the naval Officer, and how far in ,rnth said circular
furnished any apology for the naval officer for any
neglect OF those accounts on his part.
On recurring To the said circular of 1921 disclosed
BY the Secretary in House document OF the present
session numbered 81 in TO a special call Of
the House, the committee find that instead OF being
designed or tending 10 Yem0re any check from the
collector which had been previously exercised BY the
naval officer under the law Of 1899, il avowedly en-
joins upon them the exercise Of all the checks con-
templaled by that law, with single exception and
the previous megieet OF them by naval officers and
disconnuance OF any OF them, is set forth as the
occasion of abiding to them in the circular The
following Is IFS language:
ut is deemed proper, at this time, 10 notice an
other subject on tchieh instructions appear to DC ne
cessarB. %
Until lately, 1t has been the practice Of the naval
officers, generally, 10 certify other accounts Of The
collectors than s abstracts of duties of merchandise
imported, and The tonnage abstracts
These are the only documents which were re-
Quired Ia be certified under the laws anterior 10
nat Of ~ Cd Of MareA 1899, in the 2lst section Of
which different regulation Is made on the subject;
but as no instructions be found relative 10 this
regulation, which, Il appears, has hitherto not been
observed il is presumed that the alteration alluded
TO was overlooked.
"By the section referred to- the naval officers are
required TO examine not only the collectors abstracts
OF duties, but other accounts of receipts bonds and
expenditures; and, If found right 10 certify ne same
''As all the accounts of disbursements made by The
collectors are TO be supported by vouchers il Is not
considered necessary that such accounts except the
abstracts of duties refunded should be examined and
certified by the naval officers.
| THE documents which are considered 10 require
that Formally are as follows, viz
81. The abstracts OF duties on merchandise and
tonnage.
80 The abstracts of dp;es IN nassnor,s and clear
ances.
80. The abstracts OF interest received on bonds
which are not paid as they become due.
-. The abstracts OF marine hospital money col
lected.
"5. The bond accounts
sc. The abstracts Of duties refunded.
| To enable the naval officers to examine and GER
tfy these returns 10 iH be neeessarpthat tier should
of The Customs, from whom the forms Of those ac-
Counts can be obtained, and who, | feel persuaded,
will cheeruy give their CO operation in carrying
the provisions Of the law into effect"
will thus be seen that, while it not designed,
and could not have tended 10 remove any check
whatever on the collector in any particular rerg
sentiol Gas unts OF disbursements require vouch
ers in all cases. the naval officers check in regard TO
them Is expressly declared BY the circular "a0t
considered necessary that circular did enjoin upon
naval officers, in mos specific TERMS the exercise Of
every essential check upon collectors that the law of
1879 contemplated and provides; and i is on.y be-
cause the naval officer at New York did wholly ne
gect TO comply with and fulfil the Instructions
tanned in this same circular Of 1921, viz: to keep
corresponding accounts rih the collector of The
inns" in relation 10 BONDS taken BY and bonds paid 10
minntion, independently Of the collectors accounts,
OF the boRd accounts returned to the Treasury De-
parment BY Mr. SWarlwout, and not because of any
check removed BY the circular Of 1921, that Mr..
4 Swartwout was enabled TO return his accounts for
all The four quarters of the year 1887 falsely and
| frauduently emitting therein the many hundred
thousands of dollars in which he has become de-
fauer for that year II is in this palpabe disregard
Of the positive requirements the law Of l799 pre-
scribing the duties OF naval officers and in this equal
ly papabe disregard OF the positive requirements Of
the more recent circular Of the Comptroller Of the
Treasury, dated November TO- 1921, and in the neg
ligence Of records and want of proper vigilance
the part Of the naval officer at New York, from the
| commencement TO the close of Mr. Swartwouts two
terms Of service that is found by the committee
primary cause of Mr.. Swartwouts immense defalca-
lions. And the committee feel constrained 10 add,
from Of duty to the House and to the country
that the attempted apology quoted above, made by
the Secretary of the Treasury to Congress before the
circular Of 1921 was disclosed for the disregard of
law, Of Treasury Instructions and Of plain Official
duties by the late naval officer, who only left that
office TO take another public Office of no less respecta-
biy under the present Executive, is wholly without
weight and without foundation.
If il were true that the class of accounts returned
by Mr. Swartwout to the Treasury prior 10 1887 in
volved defacations, contrary TO the opinion of the
committee, as deduced in former branch of this re-
port then, 1t is true that cause OF those defaIcatons
excepting those in Office expenses" and forfeit
ures, is in like be found in the same cul-
pable negligence of the naval officer, already de-
scribed in not keeping original records and accounts
as required by law, as also BY the circular of 1921
corresponding with those kept by the collector of
tonnage duties" and duties efunde to merchants
BY the evidence before the committee it was found
that the only account or record, of the whole num-
Der required by law to be kept BY him. that was kept
by the late naval officer at New York. was an abb
strac of duties accruing, furnishing check what
ever upon any account of the collector, except upon
his computation of the duliabe sums on Imports
Beyond this, which is comparatively of but the least
consequence of all checks if standing alone the ma
val officer at New York has served but as useless
expense to the Government, adhering to empty FORMS
of no efficacy but to give currency to any frauds
which the collector nigh; imbody in his accounts
All Of which is elucidated and substantiaed by the