The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1869-07-26


oregon, from which country you may expect TO hea
from me again.
| Movements Of the observation-disclosures a
Business Transncted-Fraudsi In the Revenu
Broken Up-The Charges Against the Sui
1 Trcasurer-Poiitical Power Of the Bank q
Cniifornia-vlsit from Chinese Merchants
N'hnt the CeIestiaIs Think.
SAN FRANCISCO, July 8, 1869.
1t Is now some sixteen days since the C0mmitte
of Ways q. I'd Means landed in California. On tn
completion VI the Pacific Railroad O consultauo
was held by 8 overall OF the solid men OF this cits
whose business relations extend ali through Oh
State the result o. which was an understanding tina
prominent men con. ing from the East the open
ing OF the railroad were not only to hosp
tally but were to have the opportunity Of seenl
for themselves the and resources Of the Pa
ciac States The Commit tee Of Ways and Means ar,
the first party OF more tn Sn one or two within tina
description; and II ever eight observation-disclosures.
or unfortunate-acquired larger experience q
royal hospitality, or saw IN ore Of a country, OF
transacted more business within two weeks, they
must have belonged to more vigorous age than
the present.
The entire revenue operations OF the Custom
House. Mint and Sub-Treasury have Teen thoroughly
Oycrhauled. and the whole found to be In q very
satisfactory condition The business OF the San
Francisco Custom House ranks next but one In I'M
p0rtance to that OF New York. Up to very recent
period. through l0oseness Of management, very
great frauds have been committed on The reve-
nue., potn BY the process of smuggling
and differentiation. The latter became 80
universal that 1t was as impossible for
q San Francisco importer to pass his goods through
the Custom House on an honest invoice and live as
for New York dstiller to make honest whiskey
Tho Nolla NTH
menced wholesale seizure OF almost everything.
An enormous amount OF goods was condemned for
And there is now probably mo not q bort 1 Of
any magnitude in the country in which
the revenues are collected with more econ
Omy or uniform exactaess. The business OF
smuggling was mostly carried on through the me-
dunn OF the free port OF Panama. GoUds coming
as cosstwise goods Without Custom Ho"ss
entry or inspecu0n large proportion OF New
York ireights lie over on the isthmus for one
steamer ai0rding the opportunity to the conraband
trader 10 replace boxes entered the New York
manifest as o bind with boxes similarly marked,
free. The system has gone to such an extent that
mercial point More goods were landed there for
sale In month than the legitimate trade OF the
place would require for half dozen years. This
trade has been substantially broken up by the adop-
ton Of system Of cordng and sealing all coastwise
goods from the Atlantic, under the penalty Of being
treated as foreign goods. The credit OF stopping
this very large leak Is due to MI. Gaden, Deputy
the lstnmus IN working up the case, and recon-
mended the adoption Of the present plan.
Much s0lcitude was felt at the Treasury Depart
ment In Washington in consequence Of grave
charges made against @. N. FELTON,, the Assistant
United States Treasurer at tins point or oaning me
winter and spring, to the Bank Of Oalornia ior the
purposes OF tue Central raglIlc Railroad. The COM
sury, made a very thorough investigation OF the
matter and found the charges had no foundation
whatever, as to some Of the specifications, and the
transactions legitimate to others. Eight hundred
thousand dollars In coin was transferred from the
Subreasury to the bank as charged on one occasion
vaults OF the Sub treasury In New York, and under
authority from Washington. The charge OF trans
ferrlng large amount another occasion from
the Sub-Treasury to the san Francisco Refinery,
which Is controlled by the Bank OF California, was
explained by TACT that after the earthquake the
Mint building for few days not considered safe
for the transaction OF business, and the bullion fund
was transferred to the Su6Ireasury and paid out
Mint. The whole trouble which had been the sub
Ject Of newspaper discussion here, and had given
nity grows out OF the jealousy OF other banking
situations and Of very large number OF business
men in this State OF the enormous, OvershadOwing
influence the Bank Of California has come to exert
in the business and political relations Of this
and adjoining States. AS o banking institution the
average amount OF coin passed over Its counter
during the past year has been $50, 900 per
month. But the general belief Is that the bank con-
Of thousands OF OF land Of the theatres OF the
manufactures; that 1t controls the stock opera
tons In the mines, and in cattle, horses and sheep;
that Its agents and operations everywhere
through California, oregon and Nevada, and go to
the extent OF controlling the political nominations
and elections OF both parties wherever II chooses to
interfere. To what extent this description may ex-
aggerate the influence Of the bank am not sure;
there Is doubt OF the fact that 1t has O much
larger pr0portionate power than any railroad corpo
ration or financial insulation In any State In the
East
Almost the first subject to which the attention of
the committee was invited ON their arrival was the
Chinese question. vessel had arrived day or
two before, bringing 1900 Chinese emigrants, who
were greeted on their landing with stones brckbats
and every description OF unhospitality. There are
now something over %. 900 of these people in the
country. million Will come next year II they are
wanted, and the almost universal topic OF discussion
Is whether tey are wanted or not. The Irish aborer
sentiment Of disgust that fills his bosom In the
East on the appearance OF ''nagur," and most Of
the physical ontrages committed upon poor John are
OF the state and the decisions OF the judiciary
all against him: He Is made to pay capitaton tax
Eve dollars year. II he works In the mines, and
penalty OF eight dollars for going out OF the coun-
SSng her to
him to naturalization on the ground, seriously ex-
pressed in q formal judicial opinion that he is an
Indian. His oath as q witness Is not taken In any
court, and he is robbed and beaten and maltreated
by anybody who chooses, without any possibility OF
everybody that Without this description Of Cheap
labor California would 60 to the dogs AS O miner
he is eminently successful. He works over the worn
remuneration that satisfies him. About four out
of ten OF the deposits OF bullion are
made by Chlnamen--usually in comparatively small
amounts but reaching large sum In the aggregate.
Nne-tenhs OF the duties paid into the Custom House
on importatons from China are paid by the natives
OF that country. Half million or duties is paid on
the single article OF opium for smoking purposes.
The receipts OF the Pacific Mail Steamship Company
to China, outside the government subsidy, come
almost exclusively from Cinnamon. Several woollen
manufactures, employing from 100 to 300 hands
each, are run probably by Chinese labor, and the
testimony Of the superintendent Is that the men
work not only for less wages but learn sooner and
work with more fathfulness and ingenuity than any
other class Of persons And the same Is true OF them
as household servants and as lab0rers IN every
capacity.
the second morning after our arrival the commit.
tee by invitations held an Interview with the Six
presidents OF the six Chinese emigration companies
through whose auspices all Cinnamon come from
and 60 to their native country. Ben Wade and Sena-
tor COnkling were also present and participated In
the conversation that followed. Fung Tang, who
speaks English nuently, made little speech setting
forth the grievances and wants Of his c0untrymen,
offs which abOut the following conversation NJ.