The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1865-08-14

Great seixures Of Distilleries
@ 3 and Breweries.
SMUGGLING. ILLICIT OSCILLATION,
&C., &C., 10.
TFrem the chicago Republican, Au. ast iol

u
on Of the life death OF the nation The preservation
- sound financial national system In the future
MOT wn Tess 70 any 2, , sIs
q It's influence the financial future OF the country
s.ght 70 be Of paramount interest 70 the public This
hts gigantic whiskey frauds which have taken place
N the country especially in the northern district Of I'LL
nois and incidentally 70 those in the southern district
In the first place. however u may b as we'll 70 pre-.
mise that the duty ON spirits s one Of the most
- the government 1t was expected 70 be the mo re-
nuneratve At 6rst the tax was fixed BY Congress Al
81 60 This raised subsequently, 70 81 after very
heated contest between those who favored high and
those who advocated a more moderate tax
On the first of January last the tax Of two dollars per
sssm of" Of xxi money Which was
However, byHquite different class OF speculators put
he SAMPLES set them both BY congressman and the
the spectators who swarmed around me Capitol during
nost Of the last session Since tnas time little more
ny such amount Of smuggling has never before been
Zone In the length Of Time in any nation in the
g nothing BY halves Be war, politics love, muir
e. or suicide rebellons or revolutions, robbertes or
ooss sc Ssnk Ssspss but admire
1agnincent swindler on large scale Even our cpl
lsmics gigantic and not confined to the lower strata
Well the increased tax, an We have eaid, was applied
about months ago. and was expected TO increase
NE disgrace OF those who have been and engaged
ewindng the government and robbng the Treasury this
- immense falling Of IN tho receipts iroa spirits duty
And II this falling or had not been made up from other
sources principally the income taxi the entire receipts
q internal revenue would exhibit alarming deficit.
We hear II stated that the receipts from the tax high
ZINES for seven months will not reach over Eve mil
Mons Of dollars. Now the consumption Of high
vines In the whole country, including the for
Ngn demand, cannot be much less than one
o. 10 hs
would yield tax Of one hundred and sixty millions OF
dollars per year At the rate Of consumption, a. above,
the receipts Of revenue from this source alone for
seven months, would amount TO over ninety millions OF
aoars They actually are it s stated. only ave Last
hme Il 10 asserted that the stock Of whskey now on
hand Is not less than II was on the LIST Of January last
ms shows that there must have been immense SNUG
Cling; In fact, that the quantity smuggled almost
sqused that manufactured while the country has been
leHuded Of an amount which would more than pay tho
Ny millions Of dollars per Here is food for
ys6ecton tho part Of eli honest and patriotic men,
xz1 RHvENuE FROM wHlsEEY-IMNsNsB FALLING
VA 5000, .t OFF-FRAUDe.
We now present some facts relative 10 the tax on
spirits and the immense frauds on the same which are
really startling In view OF the necessities Of The govern
en and the fact that from this source the great bulk Of
the internal revenue expected TO be derived They
deserve the attention OF every welwisher Of the coun-
MI Il s evident that II such frauds continued the
With, " not rendered almost wholly abortive
yor With such frauds as have - been practssd
SontHs, the . revenue system Of the country
nust degenerate into broad farce Where the most
vhio the retail dealer and struggling general manufac
uer have been really left 70 support the out
Assuming the national debt to be fully Sso ooo 900
whom everything pertaining TO the expenses Of the war
closed up the annual interest would be $50 goo goo
terest 70 each person, estimating the population at
Aooo,ooo Now, ajax Of 81 per gallon on ccnsump;
: T revenue q siso, 900 ooo and allowing tina, The
Increased consumption y the addition Of the be
States vou ana nS ss whole
Sae hundred millions Of gallons, the revenue from
vhiskey for the next fiscal year oughtto be 5000
0t s II the next ave months do better than the past
(ven II is most important TO the general public, then,
~ smuggling does not benefit tho consumers; on the
shey hand with the Immense Illicit dsation going on,
. proved By the cases before the courts the price Of
piits still keeps above the duty No respectable dealer
has the face 70 sell whskey 70 his customers a. less
Nan 81 per gallon at least which is the amour, Of the
n !, how THE SPIRIT TAX IS INVADED.
mere four ways in which the spirit tax is evaded
y those who defrand the government They are
AW1nes - who thus underrate their stocks.
4. 4sco1d-By Illicit distiation.
1vrA-By smuggling through the lines, principally
Ssss Of the methods resor!ea 70 BY alc,. psnufac
NDsu ase very ingenious, fully equal 70 the pan de-
s!e 6e necessity Of taking out atown license to retail
sss gun barrel isr he ordinary production q iSe
S6peI In some distllerios the officers found that two
& s S: 1D for The
0e dtillsres into this method Of doubs entry" moi
Sansht BY Bryant Straton, Or any other Of our com
Avy talented man In his profession. The officers have
tAsaS eye upon him; but s not certain that there
s1shs large tobacco Misunderstanding firms in the country
eAve also practsed this fraud In some caees the corec
1919 or those kept for the owners inspection were
1ea1royed and the government was compelled to go BY
- false returns.
sslssss men no moral wrong A. in Grsas Britain ID,
yAgAse, as 10 only custom house oath, 10 used II
ssssr Of form, and Of no moral binding force 90 il
~ United States day. alters year or twos experience
~ our revenue system, many man holds ~
asver bear the test Of tho scrutiny Of com
Ysssns bookkeeper. Many Of these returns, how
49, ccs who I issae Certificates 70" Of inspection
u more 'wines' than have paid the tax. This wa
eoes and discovered IN one case In Iowa short TIM
svssss" Of which only two thousand has paid duty
- this operation the dster nets -four thousand dol
NM and probably divides with the inspector, giving hin
sas-half or one-third Of his profits.
Another plan is for distiler rent bis establishment
- nan or straw. The latter II, without pay I'M
cry long he can the real owner being in the bae
Usahd. Sometimes he has been known to hforn
he'd; and as half goes to the informer
ens rssl owner makes good thing out OF IT. for, 10
e. sS sa s sss dollar
- him but thirty cents
Another plan is TO vest the dstllery properly in IN
hands Of an agod mother or maiden sister Of matur
Ssars, who runs the concern long as possible whot
laying duty. When discovered the government 1nd
Ne judgment against such parties amounts TO little
nOshing, and Il realizes only upon the sale Of lot
v0ms and tubs md the few barrels Of wnes II sezet
Of which are Of course, subsequently bought In yer
heap by the real owners
DOW SMUGGLING IN ILLINOIS BEGAN-As IRIsBsA
STARTS THE BALL.
Smuggling was originally introduced into this State
q lrshman. at Peru. No doubt he was an old hand
0Ae Illicit distillation business coming, as he al,
kom q country where the trade was regarde
pn9her In the light Of o virtuous proceeding than
0rime The well known story Of the priest at the
Soeion Of parishioner will illustrate this The pen
go unfolded long catalogue Of crimes TO the OF
k6her confessor The latter asked him II he had nothn
- place 70 the credit side Of the account The peneI
nrnached his pate in anxious thought for time On
4 length npturously exclaimed yes yer rivernc
- bodad have; and II Is just now ! thought OF n
sorps: sure an didn't XII gaugerf" In ireland n
government whiskey inspectors are called '.gsugers,