The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1867-10-24
A., Iunortant whisky Case Decided for
All iA the Government.

A., Iwportant whisky Case Decided Tor
~" the Government
,,,ron case was tried yesterday in the
ITritad States District Courtin this city, before
Jrdee Cadwalader, which, from some Of its
features is worthy of notice. The case was
that of the United States vs.. Hovey & Co.,
running a distillery at Broad and Prime
streets. The distillery was seized in July last
for alleged violations Of the Internal Revenue
laws, and the property lbelled. The amount
involved, including back taxes and forfeiture,
was some twelve thousand dollars; and the
real parties in interest-for the "Hovey" part
of the firm seems to have been myth-are
said to be a Democratic ward politician
of some local notoriety, Republican ward
politician of similar standing, and one
or two men of straw, through whom the dis
tillery was run. The charges upon which the
distillery was seized were, first, the making of
false entries of the amount Of grain used in
the distillery; secondly, false returns OF the
amount Of whisky manufactured even from
the short entries of grain; and, thirdly, the
stealing of the surplus whisky to get rid of
the tax.
We have in this case a summary of the
methods by which great share of the whisky
frauds are perpetrated. In the first place,
not more than from one-third to one-half of
the materials really used in manufacturing
the whisky are entered upon the distiller's
books; in the second place, the return of
whisky manu- factured from these fraudulent
entries Is also short and fraudulent return,
thus making a. double cheat; and, lastly, the
surplus whisky thus obtained is fraudulently
removed and disposed of without the payment
of the Government tax.
For instance, distillery which really uses
say three hundred bushels of grain per day,
will enter upon its books one hundred. In
the next place, if the real product of whisky
Is four gallons to every bushel Of grain used
only two or two and a half will be returned as
manufactured to the United States Assessor.
A double fraud is thus perpetrated, first, Of
short entries of grain, and, secondly, of false
returns of whisky from these short entries of
grain. Of course, large amount of sur
plus whisky above that reported to the as
SCISSOR is thus left in the distiler's possession.
This he steals by night, and disposss of as
best he may.
In this Hovey case these three points were
thoroughly established. The short entries
and returns were proven by the testimony oI
Mr.. Heilman, late Revenue Inspector, oorrobo
rated by that of Mr.. Weightman, OF the hrm
of Powers, Weightman & Co., manufacturing
chemists of this city, and the stealing OF the
whisky was proven by several police ottcerS
and other parties who had SCENT removed from
the distillery. The stealing was mainly done
at the dead Of the night or early in the morn
ing. The defense did not fail from any wan
of hard swearing. The entire whisky ring o
this city was on hand, and some parties VIII
are themselves under seizure for similar vic
lations Of the law had the efrontery to appea
as principal witnesses in this case. As speci
men of the testimony given to screen the fraud
we may mention that one witness swore posi-
lively that no inspection Of the mash in
tub could enable the person inspecting it Il
determine whether one bushel or hundred
bushels of grain had been used in making
the mash. Messrs. Heilman and Weightman
on the other hand, in behalf of the Gov
ernment, swore that an experienced
and intelligent man could determine
by the inspection of mash the amount 0
grain used in making it, to within from thre
10 five per cent. The driver of the distiller.
wagon used in conveying away the whisky b.
night, swore that two of the loads, consisting
OF four barrels each, and taken out Of the dis
tillery at o'clock at night, were composeC
entirely of yeast This, according to his testi
mony, was taken to Sixteenth street, and ped
died out in the morning to small molasses dis
tilleries. In fact, the whisky was taken to
sham rectifying establishment in that neigh
borhoOd, to be fraudulently branded and Pu
upon the market.
The ruling and charge of the Judge wer
able and impartial, and the jury which was
very intelligent one, found a verdict for tn
Government without leaving the room. Thi
case has established several points, especiall
as relating to the manner of detecting fraudu
lent entries and returns, which are of grea
Importance to the Government. The theor.
of Inspector Heilman, that the amount Of grail
used In any distillery can be accurately deter
mined, to very close approximation, by tn
examination of the mash, has been completed.
vindioated; and it points the Government t
the true method of detecting some of tn
Qrossest frauds which are now perpetrate
ppOn the revenue.
We cannot close this article without inquir
n Il. .1nfv. 49, g..