The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1869-02-06
Observation-Disclosures.
NEWS FROM THE CAPITAL

SFASiAb AHLhSaAM TO TILE qOIfPAxth.
MISUNDERSTANDING -ExTRAORDI;;.
I NARY-THE OPERATIONS OF THE
+ RING ON THE GRANDEsT SCALE
+ KNOWN IN HIsToRY-oNE OF THE
T RING ADDS Two MILLION DOLLARS
TO HIS FORTUNE. IS. a.
s-s WASHINGTON, February S, 1869. +,
A committee Of whiskey dealers were to-
day before the Ways and Means Committee
urging an extension Of the time for remov-
ing whisksy in bond, which, by the present
Law, is to be, removed on or before April
20, 1869. .at ,a'
| 10 this connection it may be well to cor
rect my paragraph Of Monday last wherein
it was Bet forth that the receipts Of inter-
nal revenue received under the reduced
tax Of fifty cents per gallon exceeded
those Of corresponding period when the
tax was two dollars per gallon. This esti-
mate, without explanation, is calculated to
mislead. ~: a
The receipts for the period indicated, it
should be borne in mind, are not for whis-
key manufactured during that space of
time, but are for tax on whiskey accumu-
lated during several years in bond, having
been there placed by men who, under the
old law, had been engaged in evading and
refusing to pay the tax. a2'
The amount Of receipts recently, instead
Of showing favorable condition Of things
for the Government, shows just the reverse.
The Government should have received many
millions Of dollars more.
The reduction of the tax OF #hiskey in
bond was part Of the scheme of special
whiskey ring, promoted, it is allegedi by a
few members of Congress who were in the
secret. The operations of the ring were
On the grandest scale known in history. -
twill be remembered that during all the
early period Of the last session Of Congress
it WIS given out by members who, from
their position, were supposed to be autho-
rized to speak for that body that there
would be no reduction of the tax, and the
Committee on Ways and Means had reported
that there should be no reduction during
all this time. The four grand managers Of
the scheme, knowing what was to come,
purchased nearly all the whiskey In bond,
amounting to fifteen or sixteen million
gallons, paying for it prices ranging from
five to fifteen cents per gallon. Whom these
purchases were completed, it was announced
in the House of Representatives that the
tax was to be reduced, not only on what was
to be made in future, but on what was In
bond, which already the Government held
for tax. The price of bonded whiskey at once
advanced to sixty and sixty-fve cents, thus
netting to the ring, the purchasers Of bond
ed whiskey, about $s,OO0,OOO which was
divided among the smart manipulators of
this scheme.
How many members of Congress received
dividends in this gigantic trick will pro-
baby never be truthfully made known.
One of the ring, already millionaire in
New York, added two millions to his for.
tune. .....
Instead of this reduction of tax being 8
great gain to the Government, it was mon
strous loss. If this whiskey had paid two
dollars tax, as it should have done, it would
have produced for the Treasury thirty mil
lions dollars, instead of seven OF eight mil
lions, which is claimed by the schemers to
be such large advantage to the Govern
| ment.
More of the specific facts Of this huge
speculation are forthcoming.
| VILLAGE