The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1869-10-24
lNlTED STATES DISTRICT COURT.
Important Decision Affecting Revenue Matters

Important Decision Affecting Revenue Matters.
Before Judge Benedict.
The United States rs. one Large Wafer Tub de-
The question raised in this case Is whether in
. case arising under the Internal Revenue laws,
where the value OF the forfeited property is
less than 1850, the portion or the property that
accrues to the United states shall oe applied
10 the costs OF prosecution as is provided
In the ninety first section or the act OF 1893: or
whether, as provided IN the Treasury regulations OF
september q 1887, the share allotted TO the infor-
mer shall be subject to proportonate reduction FOR
costs and charges.
Treasury regulations upon the subject ike the
present issue within the scope OF the author
ity conferred by the ninth section OF the
act OF July l., 1866 "a, state at large,
u. l45) nave hitherto been considered effective
regulations ana no question as 10 the validity or
the statute upon which they are based Is here
raised; but it insisted tnat II tue regulation
referred Is intended TO apply to cases like the
present II is beyond tue scope or the authority
ierred by the act or July H. 1885, above referred TO-
which confines the action OF the Secretary to cases
not otherwise provided for, and this, as 1t IL
claimed, excludes cases where the value IL under
the act OF 1893.
Upon an examination OF the words OF the ninety
irst section OF the act OF ll9a am OF the opinion
that the provision in question must be considered
be general IN its effect, applicable 10 all cases and
not intending 20 be confined 10 tine foreitures which
might arise under the act containing the provso
any other particular act This appears from the
studied omission rom the provision OF the
words incurred by virtue OF This sct.r
which appear in previous parts OF the section.
and also by the TACT that the COMBINATIONS
provided for not required by the proyiso have
arisen under particular laws or class OF laws. Nor
can II be claimed that any particular class or laws
was within the intention OF the Legislature for NJ the
time or the passage OF the proviso seizures cOndem
nations and sales Of goods, as forfeited were provided
for by several statistics some OF them having no
atoD TO the revenue such a. the act OF Septemberl
1885, the act OF March 17el and which relates 70
taxes on domestic spirits; the act OF May 8 1872 in
regard 10 ninety gallon casks; the act or December
81, lfo2. IN regard 10 registration or ships the act
OF March =, 1884, IN regard 70 the slave trade; the
act OF July o. 1898, IN regard TO captured
vessels OF France Under all these and
other acts seizures, COMBINATIONS and sales had
been provided for aud they are clearly covered oy
the words OF the provision IN the act Of 1893,
which Ia applicable 20 all cases where seizure. con-
demnaton and sale OF goods shall take place within
the United states. Until repealed therefore the act
or 1899 must be held TO be controlling In the cases 70
which its terms apply IA well when the case arises
under the Internal Revenue laws as well those
under the Custom laws. II, then, 1t was intended
by the regulation OF september %, 1861, TO for
bid the appropriation OF the government
share or the forfeiture 10 the payment OF the
costs in cases where the value 10 less thon $3.50 the
regulation must be held TO be unauthorized and tue
Appropriation must be made in accordance WITH the
nnety.ilrst section OF the act OF 1899.
IL Is accordingly ordered in this case that the
share or the proceeds OF the property forfeited ia
this actlon which acr,ies TO the United states be
applied towards the payment Of the costs OF the
prosecution.