Weekly national intelligencer., 1863-02-26
FRAUDS ON THE GOVERNMENT.


The subsistence frauds upon the Government in the city
of New York reported, weeks ago. to amount
to 100000 Since November st it is said about $500 600
have been saved, by close watching. Col H. Olcott
has been specially commissioned to hunt up frauds in New
York He il in communication with the Executives OF dis
taDt States who in send information which 1t
is not in his power to but which he forwards to Wash
ogon and Gov Seymour, ef New York, has taken par
cuar interest in the investigation In their prosecution
he has offered the services of all officers connected with
the State Government The written evidence accumu
lated by the Commissioner has already filled iron SAFE
and large numbers of Frauds not only the organization
Of regiments but Of brgades of which latter two
formed In the CITY, are yet untouched-N Y. Express.
FRAUDS IN THE NEW YORK CUSTOM HOUSE.
Secretary CHASE has to the Senate statement of
the Solicitor of the Treasury who has been successfully
engaged in ereng out frauds upon the practsed
by importers with the connivance Of officials In the New
York cusOmhouse. One Van Vechten has been dismiss
cd and crminay proceeded against and Messrs Ees and
GrQgs have been suspended each charged with frauds
chiefly through the device Of fase invoices Il is also
charged that smuggling silks aces, and jeweTy prac
tced with the knowledge default Of officials. The
frauds extend back six years. aud the abuses
presumed to be still more hoay with One clerk has
gained thirty thousand dollars eight salary OF
thousand dollars Van Vechten admits receiving per-
qustes to the amount of twenty-five hundred per year
The solicitor recommends the passage OF law for the
ing all em0luments from importers to officials and for se
curing proof Of such frauds and ang the matter Of
invoices. Republican.
THE REPORT OF THE SOLICITOR
The report Of Mr.. JORDAN, the Solicitor Of the Trea-
suy, shows that frauds the at the New York
custom house have been committed for at least six
past They have been effected by making out false in
voices representing different descriptions and lower prices
of goods than actually imported and then securing
the such invoices by various devices, through
the custom-house. In portion Of the goods
were correctly nvoced and these particular packages
amined Invoices were sometimes made in fictitious
names and sometimes the goods Of person
tered in the name of another In instances the i'm
porter was cognzan of the fraud in others his broker
responsible alone Entries and invoices when completed
were IN some cases destroyed to oberate the evidence
the fraud About fifty thousand dollars have been
cd by seizures of goods belonging to the parties mpi
Gated
About one hundred fraudulent entries by Junus r. Van
Vechten Marceus B. Eels aud B. Grggs have been dis
covered The first has been dismissed and placed under
bonds the others suspended, and the District Ator
ney has been requested to ndct them. Henry Calhoun
the Deputy Collector, is censured for want of vigilance
VIM A. Leffngwel and clerks in the Record Bureau are
deemed cupably careless.
The Solicitor is confident that the frauds in importation
are constantly auu syslcmhtChiiy
aces, silks and other costly goods, by smuggling In
various ways and in other goods through false invoices
He says in reference to the evidence Of corruption:
"As to the accessibility of many of those employed in
the custom house to corrupt influence the evidence s
regret to fay conclusive and startling The facts deve
oped n connexon with the particular frauds before
ferred to- show that money in large sums received
BY officials the undisgused reward of uent acts
connvance But in addition to this the statements here
with submitted to justify the belief that nearly the
entire body Of subordinate officers and about the custom
house are in one way another in the habitua receipt
of emoluments from importers or their agents. One law
yer declares that he has paid to single record clerk the
of eighteen hundred dollars within pc od of fifteen
months Entries from the books of importing house
doing but moderate business discovered, showing
that about thousand dollars had been paid by it to an
examiner within period of year Van Vechten admits
that received not less than twenty-five hundred dollars
per annum from such 1t is shown that bond
clerk with salary of thousand dollars per annum,
upon term Of eight with nothing and leaves
it with fortune of thirty thousand dollars majority
Of the officials questioned the subject by admit that
they receive such emouments to greater less amount
1t s that generally these amounts represented to
be and that they received ostensby for
special services-nnocen in their naure-rendered by
the official for the importer but think that enough is
developed to justify the belief that they larger in
amount than most of these officials willing to admit,
and that they must be- to the last degree demorzed and
corrupting, / apprehend doubt In my judg-
men the giving or receiving Of such emoumens IN any
form should be prohibited under severe penalties"
The Solicitor recommends: First The designation Of
officer at Washington charged with the prevention and
detection of frauds the Second New regu-
ations concerning aud entries of foreign merchan
disc. Third The criminal punishment of the guilty.
Fourth The prohibition of all emolumen from importers
Fifth Provision for securing proof against such frauds