The republic. [volume] (Washington [D.C.]) 1849-1853, 1850-09-27

importer. Upon reference to the Treasury circu-
lar dated the 9th July, lS47 it will appear that by
the 23d section Of the of 30h August 1912 which
makes II "the duty OF the Secretary Of the Treasury
from time to time to establish such rules and regu
lations not inconsistent with the laws of the United
States to secure just, faithful, and impartial ap-
praisa OF all goods importedinto the United States
and just and proper entries of such actual ma
value or wholesale price thereof" Mr. Secretary
Walker decided that the 10th section of the OF
3Oth August, 1912, prescribed that the date, in
reference TO which the value of foreign merchan-
disc is TO be estimated the period Of trpor
TO the United States, and very clearly exhibited the
consequences of any other construction to the reve-
nue. and the importer. This matter involved
IN suit commenced by Thompson & Forman, Of
London, extensive manufacturers Of railroad IRON
against Philip Greely, jr., Collector Of the Customs
at Boston.
Thompson & Forman shipped cargo of railroad
voice and bills of lading for the same bear date
the 24th OF February, ls49, and the price per in
voice was Is per ton. The United States np-
praisers appraised the value at f6 per ton. On an
appeal to merchant appraisers IT was appraised at
TO los per ton. The duty was paid, and penalty
for undervaluation imposed and likewise paid. 1t
was admitted that on the oath Of February, ls49,
the date of the invoice and bill of lading, IS
los. per ton was the true market value of such
iron. Thompson * Forman, the manufactur-
ers, claimed that this iron contracted for
on the twenty fourth of January, eighteen hundred
and forty nine, at which time the market value
thereof was only E5 per ton On this point the
charge of Judge Woodbury. of the Supreme Court,
as reported, was that the acts of Congress express
ly provide that the time to be selected for fixing
the value ia the time when the article is purchase ed
or procured abroad unless the article ia one i'm
ported from country where it not grown or
manufactured. There the provisions in the acts
9 Of 1923 and 1912 provide that the value shall be
fixed as at the time of exportaon."
81 am aware that, in practice at some custom
houses, the time of the purchase and procurement
is usually, as general rule considered the date
nf fha inTo 10 ,,,t,
differ from the value at the time of the purchase
as 1t varies often but few days weeks, and the
price but few farthngs. But in cases where
the difference in time and price is in truth con-
siderable, and the importer requests the true time
of purchase to be taken the custom house and
courts and juries would not comply with their
oa;hs TO follow the law, unless all were governed
by the value at the time of purchase or procure
ment'
Upon a comparison of the opinions Of Mr.. Sccre-
tary Walker and those of Judge Woodbury. upon
this point, it will be that, If the judge be cor
rect, the foreign manufacturer can make his selec
ton of the date at which his merchandise was pro-
cured, and thereby be enabled TO value his COM
modify TO suit his interest, whether the time of
shipment or time of manufacture-whereas ptv-
chaser is confined to the date OF purchase. IL the
law allows any distinction between the duties
which shall be payable by manufacturers and pur-
chasers iron, an immediate correction should be
made.
Among the provisions of law for the prevention
of frauds upon the revenue, will be found the Sc
cond section of the Civil and Diplomatic Appro-
priation bill, of the 10th August, lS46, which
quires that, in appraising all goods at any port of
the United States heretofore subjected specific
duties, but on which ad vaiorem duties are i'm
posed by the act of 30th July, 1896 entitled act
reducing the outy on imports and for other pur-
poses, reference shall be had to values and in
voices Of similar goods imported during the last
fiscal year, under such general and uniform
guatons for the prevention OF fraud, under
valuation, shall be prescribed by the Secretary
of the Treasury"
Appeals have been made to this Department to
execute the power conferred upon the Secretary of
the Treasury by this act. 1t is represented, by
persons familiar with this subject, that il was the
intention of Congress TO provide against frauds by
the differentiation of articles that had previously
paid specific duties, by requiring reference 10 the
values and invoices of similar goodsimported during
the previous fiscal year, and the adoption Of those
values in the Assessment OF duties That frauds and
underyaluations have been perpetrated 10 a fearful
extent in the importation OF articles that formerly
paid specific duties is undeniable and that edectua
means 10 prevent them should be applied all agree.
Hitherto the provisions OF this act have been nop-
erative. II the power which Is contended for should
be exercised 10 the extent and in the manner de-
sired, it would entirely change the operation of the
act OF 3Oth July, 1916, by fixing the value of great
number of articles, for the assessment duty, much
above their present market value in foreign coun-
tries. Ii has been questioned whether Congress in
tended TO confer powers of this kind upon the head
of this Department and II is respectfully submitted
10 the Senate what construction should be placed
upon this provision, or what means shall be adopted
10 accomplish the object in view.
The circular issued by MIR. Secretary Walker,
under date OF the Goth December, lS4S his last
upon this subject. My immediate predecessor
found new modes OF cvading the revenue laws in
practice, and the 18th October, l54y instructed
the officers Of the customs upon several important
points, viz thai it had been represented that i'm
porters we're in the practice OF emitting 10 pro-
ducc invoices OF merchandise, on the alleged
ground that none had been received, and asking
entry to be allowed appraisement. The
frequency Of these occurrences forbid the idea
that the non reception OF an invoice usually pro-
cecds from mistake or accident, but induces the
belief Of intention and design, probably with the
view Of eyading the additional duty imposed by
the l7th section Of the act Of 3Oth August, ls42
and the sth section Of the existing tariff act Of
3Oth July, 1916
"where goods have been actually purchased the
law requires the invoice 10 state the true cost and
not the market value abroad. The privilege,
therefore, given in the Sth section Of the act re-
ferred TO Is TO enable importers Of any goods that
have been actually purchased, on making entry
Of the same, to add 10 the cost given in the invoice
to bring it up to the true market paiue abroad.
"Whore goods have been obtained by the owner
in any other way than by actual purchase, the
law requires the invoice to exhibit the fair market
value abroad.
'whcre the value declared in the entry shall.
on due appraisement Of the goods, be found 50 far
below the foreign cost or market value as 10 raise
presumption of being fraudulently invoced, !,
seizure and conhscstiOn Of the goods should take
place under the provisions Of the act Of 81 March,
1899, and prosecution Of the offending party, un-
der the 10Th section of the tariff act Of 30lh Au-
gust, 1872, instituted"
And on the 9th Of July, 1850, il became necessary
10 repeat, in substance, the rules and regulations
prescribed by Mr.. Secretary Walker, in regard to
the date in reference TO which appraisements Of the
market value Of imports should be made.
cit has been represented that in many cases the
appraisers have felt restrained in the discharge Of
their duties by the result of frequent appeals from
their decisions. In order, therefore, to secure a
Just, faithful and impartial appraisal Of all goods,
wares and merchandise imported into the United
States. the following rules and regulations es-
tablishcd
"l. That the period Of the expectation Of mer-
ohandise Is the time at which the value or price OF
any article is TO DC fixed by the appraisers.
-. That in ordinary cases the date Of the bill OF
ading may be regarded as the period Of exporta-
ton
"s. That in all important cases the appraisers
will pursue the course indicated in the l7h .ecton
Of the act Of 30th August, 1912, and the collector
will preserve the evidence and papers in each such
case, 70 DO transmitted to the Department when
called for.
80. That in all cases Of appeal from the decision
Of the appraisers, the result Of such appeal, with