, 1862-01-29
H.. Mo,ydn uas paid to The firm Of S. T.
Mitchell d; Spn, Of which A1r. Samuel L.

Nor is It the 1act, as far as your committee,
upon diligcnt inquiry hare been able to learn,
that such an arrangement as that made by the
Secretary Of the Navy with Mr. Morgan has the
sanction Of the Chamber Of Commerce, or Of
any other mercantile community on the E1ce
Of the earth. And II would be strange indeed
if it we're SO. No usage can prevail or be
established among any Intelligent and upright
community that does not rest upon the solid
basis Of common sense, common honesty and
sagacity.
in possession Of his ordinary mental faculties,
could be guilty Of the absurdity Of employing
an agent to buy for him i vessel, and mike his
compensation entirely dependent .upou the
price he should pay and to increase in proper
Piled to several gentlemen whom they sup
posed to have knowledge On the subject, and
inquired Of them il they ever knew Of such
an arrangement, and they have, without cx-
ception, answered in the negative. To other
gentlemen they hare applied in writing, and
ber Of Commerce. Of the city Of New York,
asking the same question, and in no instance
have they received an affirmative answer.
Ono OF the Vice Presidents Of the Chamber Of
Commerce ln answer to 4 letter addressed to
the President, (thc President being absent
sions recommended BY the Chamber in cases
where no express agreement is made, and in
that list Of commissions :;z per cent is set
down as the commission for purchasing or
selling vessels, but he adds: {" In the sale of
''scssels, as in the purchases, brokers are fre-
"kcTage is generally agreed upon by the par
ties selling.'' Two and I half per cent, in-
stead Of being, as stated By the Secretary, the
lcast possible expense or charge, is the very
highest ever sanctioned or recommended By
tie Chamber Of Commence.
hn nr1 fS1y,f r1- Sf1r
broker or commission merchant for making
large purchase is generally, if not always,
regulated By contract, and does not exceed
hall the sum paid By the Secretary Of the Navy
to Mr.. Morgan, and in such large purchases rs
those made BY him for the Government should
not exceed one.fonfth Of one per cent.
Your Committee can we'll imagine that q
person dcslrous Of selling q vessel, and whose
necessities are urgent, might deem it cxpcdent
to contract with broker to make sale Of her
and, to gire stimulus to his efforts in that d.
rectiop, pay him :: commission, to be regula-
ted By The amount for which he should sell the
vessel. In that case it would be for the inter-
est Of tie principal and agent to procure the
highest possible price; but when purchaser
cmploys broker to buy q vessel for him. is
for the interest Of tie principal to procure the
vessel ut the lowest price, and it would be the
lit ight Of absurdity in such q case for him to
make it for the interest Of his own agent to be
untilithful to him, and to compensate him most
liberally for buying ut the highest rate.
About the time this Immense sum WIS paid
to Mr.. Morgan for these tritiing services, OF
immediately preceding it, several Of the most
gems Of New York, Of great experience and
high reputation, had organized themselves
INTO L Union Defence Committee; and fot
days and weeks, if not for months, they de-
voted their time and t:llents to supplying the
wants and necessities Of tile Government
without 7,s,i f-a5
Committee have been informed and believe,
a single dollar for their services, and there
can be no doubt that there are and have been
numbers of patriotic merchants in New York
cnlinently qualified in al1 respects for the
duty, who would cneerfnlly have performed
charge whatever.
But your Committee repndiate entirely the
idea that commissions on s:lcs, or purchases,
or disbursements, constitute a proper mode
Of coulpensatlng an officer or agent Of the
Government for services. The subject Of com,
pcnsation for ministerial services and the rule:
and principles justly applicable thereto, came
under the consideration Of Sir William Scott
afterwards Lord Stowell, in TIT case Of tht
Rtnd<De1y, reported in the 9Th Of Robinson
Admiralty Reports, page l43. The marshal O.
the court had presented 4 elailn for fees fo'
| services in the removal and sale OF i prizt
| ship, Tn the value Of Which he clai1nel con-
missions: In TIE course Of the elaborate
| opinion delivered BY that great Judge, the 1ol
| lowing principles were declared:
"1st. All fees OF officers have their Foundation
in son'c competent authority as:igninga fair gran
! supported rs q claim for work and labor.
Id. A percentage charge VI commission Of
value cannot he maintained either for work arlt
| lahcr nor on the ground Of responsibility, an,
nothing can he more clear than that q al 2r*siM
| nosts # 7xM."t7afion Herce,tfdge Is The ieas
| cths so1u"! fogentrM PRINCIPLES gf' s4Hify-,.
het@eep eiea nc osi s,s p< Fea@ss a% ec a 1a1 aalSs
! Tie merchant charges his commission, because b
| is merchant, etc, ETC.
After going on to state, with characteristic
c1e:trncss, the very different grounds on whicl
/ commissions and official fees rest, lie adds
II do therefore eI amino eXpunge from th
vocabulary oftlt court Tic tcYy Tern, t.n,'htis
S3a. as fir us it relates to charges for seryir
S'Ncrformed ty the marshal, or any officer q
"this court The whole reasoning. Of II,
court in this Judgment goes with great fore
| against co.npensAtiNn Official services Wit
commissions, after the custom Of merchants
III which the Committee entirely concur.
It is said to be necessary not only tl:;t jus
ticc should be done, but that the pubic shoul
be satisfied that II is done, and III this yic'
! -FOUR Committee regret that in tie city Of Nc'
| York n Ran could not lave been ionnd +
tra1.sact this business for ,hc Navy Depart
ncnt out Of he family connection uf the Sccrt
| tarv: Tor however pure and honest his puF
pes. may have been III the selection, it canno
t tall to give rise to suspicious that other 1nc
tivcs than i single purpose to suhs:rrc til
public interest may possibly have influence
| the choice that was made
The time too at which this arrangemel
wa: na;de, By which such 4 vast and di;
r,oI'urtiolatc amount of the public ulonc
was paid for so inconsiderab1e service, WA
peculiarly unfortunate. The country was ct
gagged in a war in which its very existence WI
1T stake. Tie nation bad been aroused an
was contributing nlcn and money withoU
stint to dcfvnd the national life, yindicatc tt
natiODat honor, and restore the rightful 81
Frcnlacy Of the constitution and the laws. Tt
energies and the industry Of the country wc1
to be taxed as they pcyer had been bc{urc, al
the pressing necessities Of tho goycrnine1
lad compelled it to resort to new and uutrie
sources Of revenue The hut Of poverty an
the splendid mansions of wealth were alii
ca'lrd upon to aid in hearing the burdens whic
rebellion aud civil war mad thrown unc
the uation. All this was borne. and woul
have been borne chcerfully, if tie tax-pay.
lad seen or bern convinced tl,at their nlou{
was to lie faithfully and economically app}i,
to the purposes for which it was raised. b
WHEN they sec immense sums layish,d upe
| ptrsonal ur political Eayorltcs for small and i
considerable services, confidence in the Go
. crnmcnt is impaired, public credit is pa1
lkzed, and the very existence Of the nation
lnperilcd.
Tic seventy thousand dollars Of the publ
money now in the bands Of Mr. George
Morgan in equity :usd good conscience beton
to the Government and not to him, and s(lou
, at Gncc be restored to thc National Treasu1
, and sucl, reasonable compensation for his 5:
/ Vices paid To hiul as justice sllll require.