New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1868-09-25
TIE ALLEGED REVENUE FRAUDS.
prv,PKAR1E TESTIMONY OF M'uENRY.

Commissioner Rollins and others came up pursuant TO
adjournment yesterday, before United States Comnlis
soner Gutman. Solicitor Buckley was present during
the greater part OF the examination DstrictAt0rney
Courtney after explaining his relation 10 he case anu
easserting his determination to probe the matter under
Investigation 10 the bottom recalled John d. Mciiehry
TO resume his examination for the prosecution ..o
warrants a. arrest were founded, and, having exam
them. said that the affidavit made ny MI hey 1a
nHeSe charge crime as aHalnst inc % "a,
ants nalued IN the warrants. nor charge oi
crime at ell. The warrants charged that on on
about December 1867. III ths S's othar neT
defendants did knowingly cOnsplre WIN otIer ,p oi
sous 10 evade payment OF internal revenue tAcs NJ
blackmail &c The real colnpiandt MsS t,etIcr nv
Buckley Of defendants having cOnsprcu toge.cI ny
consiO and fraud to defaud the revenue, ana ior ING
purpose Of backmail, bribery &c. ne haa 10 WsPV ts
lion 10 make any technical objection mat the Wanna
were issued by the Commissioner contrary 10 Jaw, ~
demanded that the prosecution hh0ulu sPovy ,J %v
crime crimes alleged TO nave beel eO''eu y!
object committed Otherwise the defendants would have
no proper opportunity to defend themselves 49,, A.,
The Dsrict-AtOrney SAID that. as he unuerelood inc
nrOceedngs the Commissioner had issued the warrants
upon the aiBdayits OF Messrs. Buckley McHenrV,
eiraud the United States and lie (Mr Courtney deemed
those aidayts sufficient TO ground the warrants upon;
10 the Commissioner issuing the warrants they wonl9
have their remedy hereafter Awarrdnt would be issued
bv Commissioner for a great variety OF charges, ana
there two charges here The Oleises cODp!eu oI
were olenses under tue Internal Revenue laws ana e
prosecution intended show that money Dad been re-
ceved az brIbes by Of the deiendants As 10 the
alleged conspiracy 1t would be shown by tne prosecution
that there was evidence to sustain the charge ~ was
dieuit in case of this kind to always Introduce testi
mony in proper order but they would DO the best they
Mr. White said the defendants should be discharged as
the whole proceedings were maHestly iaroe, pI p
hans worse maybe conspiracy on the Othcf sue, AZ
ali events the defendants were entitled 10 hno" ohi
what they were to defend themselves .,,,-s.o, o,,
something more than the names OF the crimes Which
were to be proved. They had right to Know Ienney
so as have opportunity TO defend themselves on
the commissioner thought that II offense bad been
heeu
have the right TO have the Oense specned put IN l5
60 the CHARGE was of conspiracy commit crime, ana
mat the evidence fore him had been sufficient ON which
10 ground the warrants, and that the aHuaVs sum IN
GENTLY specified the crime but II inc cOunsci Ior tIe
Government saw III 10 disclose more, well and good IL
was a matter voluntary win them .o,.
tia as follows: When saw Pike deliver the cheeK 70
Harand at the Office In the metropolitan Revenue Boatd
rooms, in Cedar Harand stood near Tue door ., re
and bali for the check TO be received ana p9ckeiSu
Harand don't know the amount OF wAy nor ,he
anOant Of paid for that day. nave seen ooD
at Locbs dstiery, and Also the other LeD seTe saw
the oebs managing affairs there; saw Charles iOcp III
Washington IN Siay last. the 2oth, al Wlaiu hOe IA
Te G said the object OF the questions
was 10 show that the Loebs had dsiery, ana mat one
OF them went TO Washington, and that WINE ne was
there McIeury saw him roll up lot Of bills IN hote
and then 20 n the street, meet Commissioner tohs,
one OF the defendants, and hand him what looked iAe
Witness resumcd-The room was private one up
stairs on the first second floor; Charles LOEB WAS IN
was an ordinary bedrOO happened 10 Do gong past
t the time him count some money ana ro u uP IN
tbre or four were $500 bills think all the others were
tho denomination he counted 20 roned mem Up,
and put them In side pocket OF his coat the door was
nearly half open; stood right at the door, outside Ph
ing at him he wrapped the bills In newspaper, DC
rye saw him roll them up In paper ana put them I'D
hs rocket went down stairs and waited for him to come
out OF the hotel he out in little while ana Wet 70
the internal Revenue Department; Commissioner holihs
came out of the Department, and they walked Ogether
up Eifteenthst this about II o'clock Ia the morning.
of Ne Wy
ieethst they didn't shake hands as soon as they met
but walked ON little ways rst paper was nIag nun
the money in Mt the hotel; he took lt OUT OF the
same pocket put the roll into at the hotel did not see
less than ono hundred yards from
gether and that the last saw OF them tha day. was
attending to business OF my own IN Washington nad
been there several days had seen SohiSs % oiins
Fail: don't know anything more about these matters
Mr. White waived for the present the right TO cross
examine the witness. .
Mr. Sedgwick cross-cyamned McHenry. and he testi-
fled in substance follows II IA hard for me tosay that
the money passed was the identical money rolled up;
could positively identity the roll had no doubt oil rs
being the roll it looked to me to be the same roll;
next day; IN Washington two or three days; the
Washington for myself and friend II successful
would have received an nspectorship or something Of
that kind under a friend IN Brooklyn
A recess OF is minutes was taken.
Witness resumed-saw Senator Person at that time in
say positively; Revenue Inspector once for six
months received note that my services were no longer
uty Commissioners Of Internal Revenue; think he was in
strumental In procuring my dismissal; am positive
said that his time would Gomez had not TO Washing
any matter connected with Charles Loeb my see
ing him al the accidental went tO the hotel to
SenaoPerson think that after Loeb and Rollins dis
appeared back the hotel had called at the
hotel to before the head clerk told me the
number Of Persons and was looking for II when
saw Loeb think LOebs room was on the door over
Office the door open Of the main halls; 1t was
about half OPEN Loeb stood sdewa toward me, count
ing at a small table he didn't didn't look any
ffprf or a
* or 90 minutes afterward me- counted the bills one by
one from one pile to another they lying straight
out, not rolled up; was about hundred yards
from Loeb and Rollins when the roll passed;
could SEQ II printed paper; had seen Mr.. Rollins
about u month Previous was always at the back of
Rollins and Loeb during their walk; Loeb put his
right arm up get the roll IA supposed and then hand
it to Mr. Rolius who put the roll IN his right hand coat
e was counting the roll in his ROOM Loeb did not look
up this Charles Loeb had been introduced to him
by an Inspector named Ferguson; Commissioners Rollins
is a short, thick set man. with dark hair and whiskers
mixed with gray Charles Loeb Is slim, gentee looking
the East River the barrels OF whisky testified, tho
other day 10 seeing we're on vessel on the Fest RIVER
between Wall-st. and COentiesslip; when / looked
through the glass door In Cedar-st, saw Mr. Harland
aud Mr. PIKE both standing clerks were
the door was In the outside room shortly after Pike
check While in pixies hands and about passing 10 Har-
land they few feet from the door, Harland the
nearest me Pike handed the check with his left
hand; Harand think just glanced at IT, and put It in
hs pocket looked through place IN the glass where
the pant au pee. tps ~ SaCI ,be
color OF the printing the check was black;
the stamp the check the left hand upper
ner think this about the 9th OF last January;
the barrels OF whisky from Pier No. into Pixies DIS
tery about the latter part OF last December IL was
about three weeks afterwards that went to the
Metropolitan Revenue Board and the transaction be-
Pike and Harland spoke about this transaction
afterward, think, to Murray; also spoke To Senator
Morgan about 1t. in Washington about the middle OF
March had told several others; spoke TO Mr. Bnckley
first about 1t on the last Thursday in August;
him before he sent for mo to come
to the Aston House and MIN there;
George, A. Fitch was the messenger; lie asked