, 1870-03-23
COLLECTOR HAuBY,


1900, O,O0O-Coufc.sion OF Deputy Col
hector ChtIdx-Hn31cy Charged with
I=nvtuE Hindo FuI.n Assessment
NoIl~-Aecount OF T1ia HnhIf.-Sns-
ricton Against E1fRh Officials.
From The Nh. York Tsme., Xa,rA91.
The heavy dcfalcation Of Collector Bailey,
and thu mr8tefiaua disappearance Of
the latter, wers tories Of general dis
cussion Yesterday Later reports In re-
indicate that they will be much ia1ger than
WAS nj frEt supposed. We arc informed bv a
prominent government official that the entire
amount il neatly so00, ON. Tho extent OF his
acknowledgements has already been aecertaincd
to be over slt1, 900, and it is expected that 1t
will l'c found TO l,e ycrr much greater whom
The present Investigation, now being con-
duett.l hy nistHct !sttorney Hcrreront, So
letter Ranfir1d, OF the Ttcasury Department;
Solicitor Smith, Of the Internal Revenue De-.
rattmcnt: and Colonel Whitoley, OF the Secret
Service Division. Is completed
On Saturday afternoon last Colonel .Nhitclev
received orders to arrekt E. 4. Chls, MT. Eai-
having aided and abette,l in the frauds Cl.iIds,
who ha- held q position in tho revenue SCI sicc
for several years, wAs taken into custody the
snmc afternoon, after which, il il understood
he made eo''fefsion. showing the manner in
which tho frautio were committed, lie said thry
commenced a:sout four years ago. while I,aiiey
was Collector cf the Fourtl, Hevenue District,
and we're Subsequently carried on in morr
systematic ard extensive manner on tho lnt
tcrF removal to tie 1lirty-eecond District, lie
ADMITTED, il i alleged, the charge Of con,pIci-
labit Of making up falrc assesamen. rolls in
obedience 10 A1r. Eaiicys directions,
Tho moneys which lie received - tnr
from merchants who had been assessei
we're not credited on the rolls. but were ap,,ro-
p1iated by Mr.. Bailey for his OWL private use,
The frauds were kept from discovery a. tic
Internal Revenue Commissioners Office At At
Washington by reporting tho money 20 en-
bezxled ~ uncollected+ Various amounts ncre
distracted and the guilty transactions covered
up IN this way at frequent Intervals during the
past year.
Childs, it is said, is OF the opinion that the
ono hundred thousand dollars lie represents
lsailcy as being deficient IN his accounts NTH
the government about forty thousand dol
!Arr 1t the time Of lis leaving tho
Fourth iS District in the spring. OF 1859.
as,su as asbd. q tss r;1trsna IN @sas r. ~ensy
ia also, Of the belief that Bailey intended
to pay lnck every cent Of the money which he
lad wEo1gfully withheld from the government.
Lut was prevented from doing 30 through mis-,
fortune and bud business management. At
rrescp., Crilds is in Charge OF Colonel White-
Icy. The statements made by him conee1ninc
The frauds have been taken Asesileuce agsinst
Bailey.
There is good authority for stating that
there il no adequate reason to eurpoec thai
Eaifey took his flight With onls small
:mount Of money in his possession Il Is
thought he converted large amount Of The
government funds in his Office 10 his own use
It the time he dcca1nrcd. but tho lu,cs,jrat-
Ing Committee is unable to learn ANYTHING
Tcritiye about the matter At present II hs
l,as taken money with him, NJ eur7ectcd, hi.
frauds will probably reach so, 900, as already
stated
It is well known that AIr. Bailey derived
handsome fortune from uhiskey moieties
during his official career. The amount il said
BY -ttne TO bc ~ high AZ slsp.o What use
lie made Of this money, and OF the large sums
which he stole from the government, il 4 mat
erally regarded a. : fast man, xnd N.
Ent known to be gambler or pefsop
Who lav'rbed lis money on gay women He
VS. represented, however, ~ being the owner
o! several fast horses, and also of larse,
which he paid sa5, 900 in cash. Hc is Also aid
t,;nns. ~ ns.e e.isnded numerous eums In costly
ssfnc1s, and entertainments given by hin
10 Womment ofiGals and centlsmea
vas ss'' desi1ons snnnaenee ~ md support be
street, but did not display INV n,r1;s,1sr ronu
t1avagancs there The most pl1ns;s.ia sune e.
siticn On the Tart Of thoee who tnsv filp
tlat be ufed considerable portion Of h. tn ~
in carving On his whiskev euits m, r;!S. Sus m
liquor dealers, beeide giving Iasr.i shsp sha On
corrupt petsors who were II his emn1or 10
II il also alleged that he shared e. sno7. =.
Office with other high government ON ot1;co o.
holders, wlioee transactions With Ilailer. X =
s;eerted, are likely TO lie exposed in The CORR
of the present Investigation. It il beliese,9
in certain quarters that il the full llistorT
II the frauds in Thirty-secopd District W.
known, It would he likely TO implicate several
other persons besides Dailer. Soma o;
hoso who are suspected Of having rar-
icipatcd in his iniquitics arr now BE-
ng watched. The fight OF Mr.. Bailey VI.
rot known to Mr. Pieropont and his col
Leagues on the Investigation Comnisteo mill
'at1zday lAet, up to which time they ware with
put any clear evidence OF his guilt 1t Is
!erorted that his removal from the Col
lccsorhldp Was determined on several days
Previous, and That this fact, on being
{ communicated to him by sorno high Official
.hsnd y, At Washington, uas ono nf tho things
"Gten leo 10 his secret and la.ty departure.
y II E:id that he Raw defast on every side.
!, lt'd that he was afraid to stay and encountAr
1he l"fm!dAblv attack which was about Ia be
Aa1e On h1rn by tho parties whom be hid par-