The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1866-11-21
FHB ALLEGED plsrlLLERT FRAUDS.


Brooklyn continued yesterday, osofe untea States
Commissioner Newton ssssHe
Tho cases of tho laborers wbe were arrested q the
..is and which have been taken up 10 day. wa.
adjourned until next tuesday, the 9Th nst IL having
pceu determined the owners or
Of owners OF the stills and examine their cases frsL
A consequence issued for the arrest Of
Rowe, Eli Boehm. Adam J. schwablus and E W. Angus
for knowingly carrying on the trade of ds
hers OF spirits, without paying such special tax
therefor required by the United The parties
were produced In a few moments with the exception OF
Mr. Boenm. II having been made known that tho par
charges made against them agd The counsel for the de-
PENDANTS having 81 en- their personal assurance that the
parcs hameu wouiu appear al any time wnen caled
upon commissioner Newton fixed their Dali 10 the sum
OF 81, GOO each
RsMARxs or THE DISTRICT ATTORNEY
United States District Attorney Tracy said that the
defendants under the y-nrst and
shrty sections OF the Internal Revenue law The
Attorney here referred to) We shall pro-
coed TO show that They have engaged in the dstation
Of spirits without having paid special tax thereon and
payment OF the tax and We propose to show that they
distllers defined under the twenty rst sec
defence upon which the defendants rely IS,
70 show that they arc manufacturers, not Of distilled
invented new process by which burning mud Is manu-
featured without the payment Of the the spirits
Of which that fluid s now properly composed The
facurers that they have all tho materials OF
tnery. they 80 through all the operation OF dising
corn that at certain period Of fermentation, the
formation OF alcohol, but previous to dislaton
informed, they mix with the alcohol or tho beer,
certain quantity OF spirits OF turpentine and then
the mixture through the disery Il comes out Of
the st somewhere from ninety ninety four per cent
Of ALCOHOL and from six to ten per spirits OF tur-
pentne This Is process as they claim IT, as VIC arc
Informed, and they claim and insist that this is the
sn1,s o. burning ha and mot the
10 do this under the law without the payment of any
tax whatever. The Commissioner will see that IL this
g nara Of ha
complete and perfect In itself II Ii very easy pro-
oess 70 separate the spirits Of urpenne from the aco
hOl that will almost separate ITSELF left stand the
turpentine may be drawn from it, and therefore, IL Will
b under this pretence, manufacture OF alcohol
would any one DO led to suppose that this section Of the
oct provided distilaton OF sprs without pay
hs Of sps n snS
Thing or In any combinaOa with any other substance
ws,hoSt the payment Of the TAX The Commissioner
secon, We shall call witnesses subslan,iae our
statements Mr.. Eli Glass was then called and testified
reside in Bedford avenue, Brooklyn; my business is
a. Husteds and Towers disleries superintendent
Of each OF Them have been employed In Husteds dis
siery June 1885, and in the other tho OF
July past; was In tho employ OF Rows shaiter pre-
vteus 70 the LIST Of August last do not know in whose
employ was in tho Grsenpons dstissy; was engaged
ssesng up mo lsih Of August; arrangement was
WAS tho q
lsriss stopped the Same day; after that went away
October commenced work again then under
she direction Of the Mr. Loeb he told what
hands Of the government soon as they were re-
leased took the direction Of them again. Mr. Loeb told
ago to-day he told me that they we're 70 manufacture
something different from whskey that II was legal and
tna. they would have no trouble that there would Be
we're really TO start tho mans name was Mr. Smith, and
he told me-tobjected TO BY Mr. Hail. being the evil
n. Smith came and told mo they were
going 10. manufacture burning fluid. and to
well as I could how much alcohol q tub OF
beer would produce at ninety proof and to add
conversation at Huseds distllery Towers dis
rllery with Mr. Smith; there we reporsd the instruc
there i.souenI Of The matter and aid not understand
whether he wished mo to put in twenty par not
% .hs 70 as sens hs rsneet9p: 0vsrrsied
about four hundred gallons Of good spirits or two
hundred AZ ninety five per cent alcohol; then 1t would
require forty gallons OF turpentne In the o. the
csterns about the szo ssked him II no in
tended should put 10 much that; BIO said could
10 less. II was using tha. l could do a / liked;
i do not rcco!lect anything he @id afser that;
sshiuS Al nrs, while tho mash was hos and add The
balance when was set for fermentation, when lot
s. a0nn uS 's s. derpen%ng hs ,Od me pS
bushels, perhaps; think that would be In tho neigh
Dornood OF one-tnird OF one per cent Of what alcohol
BECAUSE the turpentine destroy fermentation il
put ~ a. the start he told me to put in the balance
weeks ago today The process Of distillns then
S.vc sse ' sIsa 10 and 1s water
wsies in q given quantity Of water and heat u 10
sn@ hemp after "'' time xs i l.. IN whs.
ve cali, second meal; we le, IL stand given Lime and
and cool or and run into tbs csern, and Leave y 10
sand and fcrment IL Is that fermentation which pro-
sSS r.. cellars S:n W. cali se -s fore
call mash; leave II 10 ferment four days. that
les the as We mex sar ou .ae o. run
ing TO the weather; on tho fourth day II the work is
right the beer y ready 20 go into The retort ready to
the alcohol from tho beer that process 10 called dis
tlaton more properly although the whole work
called Oscillation; the beer boiled aud the vapor
the liquid then collected il called high wines; the differ
in the pcrocess Of manufacturing high wines and
burning fluid consists simply In adding turpenne TO the
The then said that would be impossible
for him TO SO on with the case further At that tine
accused certain they were right, and had done
nothing in violation Of any law and the Commissioner
would appreciate the force Of this when he considered
shat upon his decision in this criminal matter would de-
volve their reclamation and restitution OF property,
snawfony and arbitrarily taken away from the defend
ans. They were ready and anxious 70 10 with the
sase from time 10 tine until u was concluded.
The Commissioner said that II y very unusual cir.
eumsiance 10 nd the accused and the counsel pressing
Tor hearing At once The case was then adjourned
until to-day NJ nine o'clock
The counsel for the defence were Mossrs A. Oakley
Hall and A. J. DntenhoneE
NEW ARRErs
Up 10 late hour yesterday afternoon there had been
no further arrests or seizures Of liquor made by the
Odcers
Il Is understood that waan. has zen issued for the
ayreet OF the inspector OF internal revenue who mado
she report OF these frauds HAVING been perpetraed 10
she collector OF internal revenue az Washington, for
alleged bribery, affidavit made by dstiler who
claims 10 have paid HIN the money.
rsRuCrtARs
The Collector OF the Second Congressional district
Colonel Alfred n. Wood, received orders from the
Treasury Department honday evening, giving him
Sull power over all suspected distilcres OF an Illicit
nature This authority gives him The right TO such
establishments not only in the Second but also the
THIRD collection district, we'll NJ 10 New York and
New Jersey Deputy Collector Ladiow, agreeable 70