The New York herald., 1867-10-09

management of the Treasury Depart.
mcnt.
The history of the Treasury Department
| from the time Mr.. Chase became Secretary,
| and all along to the present time, is unparal-
| leled for the number and amount OF frauds
committed. The sum lost by the government
! and extorted from The people by these cannot
| be fully estimated yet, but we have evidence
enough to show that il is stupendous. IF ever
all the facts become known, rs they probably
will when some future Congress, constituted
differently from The present one, shall investi-
gate the matter, the people will be startled at
the amount Of corruption and robbery, and at
the reckless mismanagement Of the Treasury.
We receive communications every day or
| two, from Washington and elsewhere, exposing
| frauds upon the revenue and frauds by officers
| of the government One Of them now before
us exposes gross frauds in ihe cotton bureau.
II is known that at the time the war closed
the rebel government owned u great del
of cotton in different parts Of the South
cotton that it had purchased of the
planters-which constituted in great
measure the basis of Its resources for carrying
on the war. This cotton, of course, became ihe
property of the United States. There was
naturally some difficulty in finding oil Of it, for
a good deal had not been removed from the
plantations, and the planters, both from hos
tility to the federal government and from the
desire of holding on to the cotton, did all they
could to keep it out OF the hands Of federal
agents. The amount has been variously esti-
mated at from on hundred thousand to two
hundred thousand bales. Mr.. Roane, the chief
of the Confederate Produce Loan Bureau, and
Mr.. Trenholm, the Confederate Secretary Of the
Treasury, said there was about hundred thou
sand bales on this side OF The Mississippi. How
much was on the other side Of that river is not
stated. There is reason 10 believe that Of this
cotton not ten thousand bales or their proceeds
ever came TO the government. We speak not
now of the cotton seized by Sherman in Geor.
gia, and sold by Mr.. Draper, about which there
was a dispute as to the real owners. What,
then, became OF the bulk Of the Confederate
cotton rightfully belonging to the government
What did that army of agents Of Mr.. Chase and
Mr.. McCulloch do with the cotton? Where are
the proceeds?
Then, in addition to the cotton that had be-
longed to the Confederate government there
were some two hundred thousand bales belong
ing 10 private individuals suspected and
seized by agents Of the Treasury Department.
These agens received twenty-five per cent OF
the. seizures, we believe, and, therefore, had
the strongest reason for suspccting most Of the
cotton they saw to be contraband, unless the
owners had the means and tact enough to buv
the vultures of. This cotton, together with
that other private cotton seized by the military
commanders, ostensibly to prevent Its falling
into the hands of the rebel authorities, amount
ed TO a sum little less than hundred millions
Of dollars. Nearly all was taken from persons
in need, and from many actually wanting the
nccessaries of life. Though the Treasury De-
partment has been appealed to over and over
again Tor restitution, but very few Of the poor
applicants have received anything. What has
become Of all this money-cighty or hundred
millions OF dollars! Is il in the Treasury.
locked up and unaccounted for in the regular
balance sheet OF the Department? Has II been
represented rs part Of tho Treasury income
Or does IL remain floating about in The hands
OF agents or other dcpositares, where ii Il used
for speculation Let us know the truth. Let
Us have thorough exhibit Of the whole of this
cotton business. There is doubtless vast
amount OF fraud running through the. whole
| Of it,
But, as we said, this is only part OF the
frauds upon the government aud people
through the wretched Encouragement OF the
Treasury Department. The whole machinery
Of this Department, as put ia motion originally
by Mr.. Chase and worked since, is full oil cor
ruptiop. From the moment that Mr.. Chase
turned his back on the New York bankers and