The daily union. [volume] (Washington [D.C.]) 1845-1857, 1849-02-23

o,;raa tn exact security for the payment of duties on
the goods when the goods themselves are IN lns sore
cusoiy of The government, wond seem to be superhupu
"a When the goods deposited IN private stores 10
permit the proprietor OF the store TO cover the amount OF
duties all goods IN his store under MS own poha' WIN
aJeouaie securities instead of exacting bond from
every importer 3D. To cancel all bonds Tor duties when
the goods destroyed by ire ms is the case IN
Great Britain and much increases her entrepo trade;
beng great inducemen 10 prefer her ports for
housing as is known she exacts no duties when the
goods are consumed by fire before they taken Out OF
The warehouse Here, Congress generally refunds the
duties in such so that government IN fact gains
nothing by the exacon; hut, III the meantime, foreign
goods driven to other entepos by the fact that under
law, as IT now stands the duties are payable: IN
der the present law the goods insured at a value in
GLIDING the duty thus increasing expenses here as COM
pared with foreign warehouses; and where the duties are
refunded after fire, IT is generally only for the beneht OF
the underwriters who have insured the goods. 4lh To
proong the time for warehousng If not Indefinitely, at
least to period less than five years In Great Brit
ain the term is three years but at the same tme disce
ton is given to the commissioners OF customs TO extend
the period two years more: thus practically enlarglng
the time goods not pershabe to live years. The
term OF year is too limited, especially with view
TO expectation.
Debentnrc goods may now be exported within three
years, and can be given why warehoused
goods should have least the time, If not an
indefinite period The fact that goods only be ware
housed here one year. when England they may remain
five years in warehouse, gives TO that country an lm
advantage over our own as an entepot tor ware
housed goods; and we will contend with her to great
disadvantage Tor the commerce OF the world until we
extend the waehousng privilege to similar period OF
years Why should debentnre goods, remaining in the
merchants exclusive possession, be permitted to be
exported within three years, when waehoused goods re-
manning in our own custody must be forged out OF the
country in one year! Why should deny to own
country the payment of and storage of labor
and other charges upon the goods beyond the period OF
year! Why limit the period for expectation consump-
the goods remaining with us, at the expense OF the
foreign importer!
The loss of interest the payment of insurance. storage,
and other charges, constitute sufficient ndueement 10
the importer sell e-expOrt any PERIOD without
limiting the time Besides, there many articles that
greatly improved by remaining in store for series OF
years. Among these may mention wines and liquors.
which are generally 20 greatly improved by age. We
whilst this limitation exists, but will be compelled TO
foreign and especially to The London dock cellars and
stores, where such articles sent by the producer to
acquire the reputation and additional price derived from
their depose there More than fifty acres of bonded
vaults and cellars in Great Britain filled with these
wines and liquors, of every quality and age and we can
never compete for the storage OF these articles unless we
grant here equal facilities for sale and storage There is
another why the time should be enlarged arising
out of the extension OF ports and territories since the
passage of the warehousing act Under the law goods
be warehoused and transferred from port to port IN
own country Now, from Atlantic to our Pacific
ports. going returning around Cape Horn. nearly
half OF the time may be occupied in the voyage yet this,
by the law, constitutes part of the year permitted for
warehousng and is entirely too short for the great pur
poses of such commerce Why should we destroy our
own coastwse trade by limitation so perniclous'
In extending the period for deposite OF foreign goods,
would my recommendation for the repeal OF the
debenture system: The merchant may now export de-
benure goods within three years, having the duties re.
funded without interest," the government withholding two
and half per cent For this privilege, them he loses
three years interest being eighteen per cent, and two
and half per the duties-in all, twenty and one
hall per Now, If he is permitted 10 retain the goods
in public private bonded warehouses, without the pay
ment OF any portion OF this any advance Tor du
ties and export the goods within three years from such
warehouses, why should he want the sebenture privilege
The truth is il the time were thus prolonged, when me
goods remained unchanged there could be motive (but
extraordinary cases) TO resort TO the debenure
privilege. except to defraud the revenue by pretended
expectation OF the goods, when, in fact, having been in
the importers exclusive possession they too often
struggled into the consumption OF the country, and the
duties refunded, as II they were exported have here
oore recommended the repeal of the debenture system,
and the substitution of right, for at least the same period
of ime of exporting abroad the goods from the public or
This Is much greater privilege tha mt the deben,ure,
and not accompanied with lis frauds. his department
has heretofore represented the fraudulent character of the
debenure system which has led TO It's abandonment in
Other countries The system furnishes great facilities
and temptations 10 frauds upon the revenue Let us
take example to illustrate how easily these frauds may
he perperated. Under the existing debentue privilege,
importer introduces quantity OF foreign cotton goods
he pays the duty and takes the goods into his exclusive
possession AT The end OF period not exceeding three
years he processes to export these same cotton goods
aud after these goods examined by the appraisers,
and supposed to be the same, he executes his export
bond, ships his goods and his debenture cert-
cate, upon which he draws the money at but per-
haps the appraiser who examined the cotton goods three
years before is absent dead removed, resigned; or,
he may have forgotten the precise character of The goods
an article oil cotton goods OF so precise slmude may
for that very purpose have been manufactured here,
10 defy detection and The domestic goods are eX-
ported instead OF The foreign; and this but out
of many modes in which frauds may be perpetrated
under the debcn!ure system. In truth, the whole system
open invitation frauds upon the revenue and in
this has been paIabIe that the drawback
exceeds the duty. Herewith communicated letter
on this subject, "a copy OF which is hereto annexed
marked b. fIom two experienced custom house officers
OF New Orleans and New York, being the result of nqui
rles diccteb by exhibiting the frauds under this sys
tenn eannpt too strongly urge the consideration of this
subject by Congress, too earnestly repeat my un-
doubted conviction that the deirauded many
hundred thousand dollars every year by this system
Not only is the thus defraudcd of large sums
but the honest merchant, who has fairly paid his duties
is deeply njnfed by being brought into competition with
goods The duties which have been refunded whilst
the domestic manufacturer and producer are also com
PEELED to compete with foreign goods subject duty but
on which the duly has been refunded under the practical
operation of thus law.
Connected with the subject of warehousing is the
construction oil docks and basins for the accommodation
of vessels, theerecon of warehouses; and the economi
cal Storage OF goods. In ancient as well in modern
hnes, these improvements TO greater less extent,
mark the growth OF commercial cities On the continent
OF Europe they exist to considerable extent but in
oers and to greater extent, than any other part of
me world In Boston, in connection with their wfarves
!ney nave long existed and constantly extend
ing, having greatly contributed to the increase of the
Iofesh ana domestic commerce of that great CITY, fur
IisninS announcer proof OF the sagacity and foresight of
that people. In the habor of New York thew are inst
Hos 'o operauoh and must furnish great facilities Tor