The New York herald., 1871-11-13

NEW YOI
- ne stationery busine1s, but It = uauonery ana
scriboling done to dcafh that keeps up the govern
mens taxes. 4.~e-ses-s. -s'
The Oass = zH-Cs,assssr sAssk ana Singular
frecse0Ass n she Treasury Department.
Tnomae UariAAd, Of the arm Of Heriand q
Rollics. No Murray street. dew York. was In this
c'J . few days ago 70 secure settlement OF the
accounts OF Sheridan Shook - Collector OF Internal
Reveuoe for the Thiry-second oisrricI Defaulttng
collectors have . WEAKNESS for the employment OF
former Commissioners In the Internal Revenue De-
partmens when seeking compromises with the
Treasury Department T. A. Rollins appeared -
tho friend and counsel OF Joshua r. Bailey
In March, 1870. and now his Deputy
Commissioner tHarland, Is the legal advocate
and adviser OF Sheridan Shook Hariand Is famed
for being cameo at the Astor House by the rrepres
sble Binckey. IL Is said that Deputy Commsssloner
Williams is now In New York trying to adjust
Shocks accounts. When shook went out OF ONCE,
two years and q half ago. his unadjusted accounts
very large, the claims against him, including
uncollecsed taxes, amounting to nearly million OF
dollarA These have since been reduced by collec-
tionA that they now amount to only $l25 900. But
there is yet cash balance or, IN palmer words,
delacasion, amounting to $4,000 charged against
the versatile Sheridan-for that he Is versatile s
evident from the fact that he has just presented
Commissioner Douglass with volume OF poems,
the ofIsprlng Of his muse. While MI. Shook admirs
tnat this large sum Of money was collected by his
deputies and has never been paid, ne claims tnat
they and not he arc the defaulters, and that he Is
not liable under the law. He made similar de-
fence two years ago In response 70 Con-
gressional resolution OF inquiry, and through
his counsel ne intends persisting IN 1t 70
tho last It u, Of course, question whether this
defence II truthful one and II truthful whether It
Is valid. And inst here come the surprise and enor
nifty Of the Transaction. Even though Mr.. Shook be
gutless law and in fact OF any real or Intended
defalcat0n, he Is still charged defaulter the
booKs Of the First Comptroller's ollce, and ap-
parens attempt ct settlement has been made,
either BY him or by the government The
letter from the First Comptroller, OF tho
18TH Of August last Transmitting to Secretary
Boutwell, In response to o resolution Of
the House OF Representatives statement OF casn
balances due from Collectors OF Internal Revenue,
contained no mention 0f any claim against Mr..
Shook or any other person connected with the
Thirty district OF New York, except Bailey
Besides this the law is positive in its requirements
In regard TO the settlement Of such accounts When
Q dctalcation becomes apparent In the accounts of
collectors courts are required to intervene with
their mandate; but the law, BY use or the well
known "sha,n which makes the duty imperative
and Immediate requires the oficers Of the govern
ment to proceed against the deraulter, and In
this case II Its requirements had been heeded the
blazing diamonds which made so many OF the danes
and matrons at Long Branch so envious last sum-
mer and even the taut little theatre in Union square
would nave b en- converted into greenbacks and
paid into the Treasury. Mr. Shook may been iuno-
n n 1efQ hutn has ha
tent to rest under such imputation on the books
or the Treasury Department Tor long time and the
Treasury Department has pursued q most ex-
tra0runary course In cOncealing hts In
debteduess or the alleged deracatlon OF
hts subordmates. "A general resolution OF
the House calling for all the balances due from
Collectors OF Internal Revenue failed to contain any
ausion to his standing In the department.. and an
other resolution OF inquiry. especially directed 10
hts case, received only quIering response. In
general terms the Commissioner OF Internal Revc-
nue. and the Secretary OF the Treasury are author
lied 70 accept compromises or all kinds OF cases
arising under the Internal Revenue laws, but
the authority Is vague In itself and cannot
be well employed In the cases OF col.
lectors, as the acts Of Congress explicitly
declare that no abatement shall be allowed
70 such officers SHOCKS case may be exceptional
and he may have so strong defence as to warrant
invested in the Secretary; but no onlcer IN the
Treasury Department can be found who is willing
to admit that he knows anything OF o oasis of SET
tlement having been agreed upon. What agree
ment viii be made remains to be seen, ana the ex-
traordnary course OF the department VIII make It's
publication In connection with all the facts
anxiousiy looked for. But one thing seems
certain enough from the history OF the
case-namely, that there is no way 10
get at the standing Of revenue collectors
not now In ofIice except by such q thorough over
hauling as the JOINT Committee on Retrenchment
lately gave to the New York Custom House. Con-
gressmen now mere declare this must be done.
They point to the responses to their resolutions as
evidence that Congress has been trided with. re.
solution offered In the House by Mr.. winchester,
December 10, 1870, directing the Secretary OF the
Treasury TO furnish statement OF the
balances due from collectors not In ONCE,
as such balances appeared on the books
OF the Treasury, June 80, 1870. Mr.. Boutwell,
responded February Is. 1871, and his reply sher-
dan Shook was charged with an aggregate balance
Of 1854, 76l H. but the statement did not show
whether for taxes unc0ected or for money re-
ceived. The country then demanded to know what
part OF the balances thus reported was for taxes
collected but not paid into the Treasury The com.
munlcation Of the First Comptroller OF 18th OF
August, 1871, intended TO answer this question;
but already stated neither sheridan SHOOK nor his
subordinates named in It, and yet It appears
that there was heavy defalcatlon in the Thirty
second district and that ether he they are de-
fauiters. The declaration Is boldly made that there
is q family feud In tine administration, to which
this smotherng OF internal revenue frauds Is to be
attributed. There is little cordially between the
Secretary OF the Treasury and the purer members OF
the Cabinet ana nothing 10 common between Mr.
Boutwell, and the President. In most administra-
tions the Secretary to the Treasury has aspred to
the succession OF the Presidency, and Bout
well ls suspected Of such design. 1t is probable the
want OF cordiallty, II nos OF harmony il due to
deeper and more personal causes Boutwell, made
an attempt to Investigate the affairs OF prominent