The Portland daily press., 1870-03-24
Tbe Case of & Collector Bailey.

The New York papers of Tuesday have
full reports Of the official investigation into
the affairs of Collector Bailey. There was
deficiency in his accounts, while Collector OF
the Fourth District, of $4,000 and an addi-
tional deficiency in the Second District OF
$4,000. Mr.. Childs, the deputy, has made a
statement in detail, showing that when Bal
lev took charge of the Fourth Revenue Dis
trict, the Office was in great confusion, and
that the March and April lists of his first
wear were disallowed by the Treasury De-
partment. He deposited the funds collected
by him in the Fourth National Bank. When
ever he required any amount OF money he
drew upon this account. The Treasury De-
partment at one time sent Mr.. Mann to eX-
anime Mr.. Bailey's banking account, and the
matter was finally settled. So far as he was
acquainted with the facts, his accounts were
not allowed by the Treasury Department.
Money was generally paid in at the office in
checks. Large numbers OF persons often
came to pay Their taxes. Some mer-
chants who were pressed for time would 60
to Mr.. Bailey and give him their checks. He
would hand them receipts for the amount,
But oien tailed to make any entEE qh d fhe
BORG or tho above not having been paid.
The cashier knew nothing of MIR. Bailey's
transactions. The course pursued by Mr..
Bailey while in charge of the Fourth Revenue
District, was also continued by him on his
transfer to the Thlrty-second District.
The receipts from the sale of tobacco and
c'gar stamps in the Thirty-second District,
since May l, 1869, when Mr.. Bailey took
charge of it, amounted to $1,5OO,00O, and the
investigation showed a discrepancy of only
six cents. All funds collected in the course of
The business ofthe Thrty-second District were
deposited in the Bank OF Commerce A certi.
ficate OF deposit was then given to the Collec-
tor. This document was taken to the Sub
Treasurer and held as an order upon the Bank
OF Commerce for the amount. The Sub Treas
urer, in return, issued three certificates: one
OF which went to the Secretary of the Teasu-
ury, another to the Commissioner of internal
Revenue, and the third was kept by the Col
Iector as voucher. These deposits were al
ways looked upon as accurate, and no doubt
was ever expressed in regard to any irregular
ty in the accounts of Mr. Bailey. If the ex-
Collector had meditated flight, and was pre-
pairing himself with funds for this emergency,
1T is intimated that in the space of thirty DAYS,
Dy nakinS false deposits, he could have avail
ed himself OF about 100000. That sucn was
not the case is verified by many facts which
have come to light since his departure.
AS late as last Tuesday afternoon at four
o'clock, Mr. Bailey sent to the cashier two
checks for him to cash. After receiving the
money he sent it to two men in his EN- ploy.
One of these men was in Buffalo, under his
direction, engaged in an examination of a
supposed Illicit distillery; and the other was
in Albany looking alter an alleged fraud in
Tracy's whiskey distillery. Both of these men
were paid tor their services.
When Mr.. Bailey's private desk was opened
his books and papers were found in contus-
ed state. -Four checks, for the payment of the
salaries ofstorekeepers in the bonded tobacco
warehouses were also discovered. These
checks were from Connolly & Co., w. P. Kit
tredge & Co., and March, Price & Co., and
amounted to over $500.
The statement that Mr.. Bailey took $4,000
belonging to the gaugers in the district is de-
ned by persons acquainted with the affairs of
the office, and by many of the gaugers them
selves. The money paid by merchants for
gauging was handed to the Collector, and held
on trust by him for the payment of the men
employed. A gauger is not allowed to re-
ceive over $3.50 month; any sum over this
amount that he earns is given to the govern
ment. This excess is the only account made
to the Treasury Department by the Collector.
The money paid to gaugers generally averag-
months was only $4,000. The gaugers were
paid in full up to the first of March.
Mr.. Bailey drew no large sum of money on
the day he left. The report that he owned an
estate in England is pronounce untrue. -T4e
erty went to Bremen on private business, and
returned to this city without stopping in Eng
land. Mr.. Baley's friends say that he had a
five thousand dollar interest in New Jersey
property, but had lately Withdrawn it.