New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1872-01-04
CUSTOM-HOUSE ABUSES.
THE INVESTIGATION COMMITTEE AND IT'S
WORK

The Committee of Investigation and Re-
uenchInent now session in tins city was created by
resolution OF Senator Anthony which passed the Senate
Dec IS ISL consists OF Senator buckingham Of Con
necticut Chairman, End Senators Pratt OF Indiana Howe
Of Wisconsin, Harlan OF Iowa Stewart OF Nevada
Bayard Of Delaware and Cassery of California All the
members this city except Senator Harlan
who is attending to his political interests IN Iowa. The
Committee was instructed by the original resolution ITO
INQUIRE into the expenditures 10 all branches OF the
OF the United states and 10 report whether any
aud what Offices ought to be abolished what Salaries or
allowances if any, ought to be reduced what arc the
methods Of procuring accountability III public officers or
agents in the care and disbursements Of public moneys
whether moneys have been paid out Illegally; whether
any persons have been employed ia public service with
cut authority Of Law unnecessarily and generally
how to what extent tue expenses OF the service OF
the country may and ought 70 be curtaied" subse-
Guently the Committee was instructed 20 direct par
ticula attention to the General Order Business" Of the
Custom House this city and the abuses alleged to be
connected herewith and 60 ascertain whether any col
lusou OF improper with said business exists
the part OF any officer OF the United States; whether
any CustOmHouse Official has been detected IN taking
bIbes OF presents OF at irregular practices IN
passing the baggage OF travellers arriving In the port OF
New York whether articles Of merchandise have been
distracted while the control of officers of the Gus
tom House and subsequently returned on application OF
tho owners, ana whether any Custom-House ohcias
have punished for ahstracng such articles ALSO 70
extent the practice has prevailed OF compromising
with merchants demanding attempting to defraud the
revenue and whether and 70 what extent by such com
promises the amount due 90 the United States
Ia such cases has diminished nd whether any aud
what pccunafy benefit has been derived thererom BY
the officers, making such compromises; ana nnaDy
whether the patronage officers OF employees or salu Gus
tom house were used TO influence or control either or
both of the two last State Conventions of the Republican
Norl md u1ffl ora nos gf
have been made OF contributions of money exaced to
be used Tor political purposes. This is. in brief the work
which the Committee have before them.
The sessions Of the Committee opened at LOT
yesterday the large private of the Collector In the
Custom House. Senator Casserly moved that the ses
eions be held with open doors After some discussion
this molten adopted and the reporters were admit
Ted Collector Arthur called before the Committee.
ternal organization Of the CustomIouse and the names
Of HE deputies and chiefs OF depaGmen MI james
toned as the internal workings OF his office, and what
r%corC were i'm his keeping He stated records
were ia his possession except the books containing the
account Of packages received and delivered he had no
oncia cttfrs i'm hi, keeping; had received written
orders desicnatue anV particular stores as General
r0cr Stores: the orders, far he knew, had been
verbal sny GhG GfC d t r had been only one
store designated; that was Messrs. Leet d Stockings
Senator Casserlv-You will he expected 20 make par
1icuar examination 10 ascertain II there are no other
Tccordbooks than those to which you have referred and
II there not some papers or other documents 40 your
possession aud 10 hold yourself IN readiness Tor future
examination.
DepUty-Coector Clark was next called, and underwent
preliminary examination concerning matters under ms
supervision. lie had III ms charge record of all cases
where suite arc instituted on the part OF the Government
record with brief history of every case, is Kept ia
hook the papers are filed by themselves no Two cases
are alike, and no one rule would Apply 10 every
ease any desiring 10 settle with the Govern
or secretary OF the Treasury; there have been
Instances where cases have been settled without my
knowledge. although report would aerwaro be mace
70 me 6ar I spcS AN nv letters are
AZ (1iroh md I
record any claim from beginning TO end and the facts
concerning compromise any Is made nave CUSTODY
dnty account Of damage; the Deputy Collector gives
a" sepstor Bavard"Is the examination conducted
Appraisers Office or at some distant wSTen0use od
are stored or at wharf sometimes at the store of
the importer. go rr ~.
b G. Jayne. Special Agent Of the Treasury Depart
,rcn desired to say n few words 10 the Committee
When the Investigating Committee was mere IN Mafch
last he confined TO has bed D! pIoSeh mp ana Nas
unable to appear before them; this had been unlavor
ABLY SoqmruGo nCn Roston ar once on oGcai bmsi
ness ne vi he'd the Committee 10 understand that ne
was moi running away hut would be subject 10 Their ca
81 any time. he had been in Special Service since
1869 and half the money paid into the treasury since
nm Mr. Javne said he was Of seven Special Agents
in tins civ but was Independent Of all others re
while the others are under Col. Frank T. Howe; !
y ms duty TO ascertain any HItfna,ly h VI msu.
author u '6 6 & 70 do with excise frauds
Ds ~ N in The whole country Witness continued So
tT va rnaV am the only one that reports direct to
tbe Der1rftnen have a complete history Of all cases
l ,,;nT NV KNOWLEDGE; the method OF procedure
Is fhiS suit brought against dtiraung importer,
IN rem If tn goods can he found; Judgment is obtained
aust the goods sometimes hen the goods cannot be
found The ftTe assets OF the importer WOuu not 'qHh
,bc sont Of the Judgment; in such compromises
are sometimes made all such compromises sle authoi-
ileC y TIE secretary Of the Treasury ana must ne paa
~, Cnn CONT. never knew of case where compromise
hfeu made without suit where the amount was over
500. the method Of procedure in lnsttung sut s ths
Proof must furnished 10 satisfy the Collector that The
lnporer has guilty of fraud by which the Govern
mont las Ostrcyeuue thc COllectOt writes 10 ue
irctAtOTHcy, requesting that the DOORS ana papers vi
the muorer NAV be taken into custody for eXanlna-
lion WARRANT for this purpose must nc ontainSo on on
sfda w.t. the evidence being snthclGnt 10 SATISFY the
l. :. District Judge, the I. ., Marshal
makes the sczureand returns the books ana papers 10
the Collector for iBvestgatloh Dy hl OF y! s"C
as he shall designate; II the lhVesugaIon IulIsHes
evidence the Collector requests suits 10 ne Dreugnt 0l
the value OF such Importation or u tne gous are wnh
Yeach. for their condemnation; SUIT having hcG beSe
there are only three methods OF deciding IT, First ny
The court dccidnSt second ny the delrhuahts CONFESS
ing Judgment; third, by his Offering 10 pay certain
Tins witness was listened 20 win apparent interest aH
Instructed 10 De IN waiting for examination def OaIh
Rudolph Neustadt. Custon-Honse broker Of No 10
Cedars. sworn at his Own request ana teStined'
About tie Sth Of November had three boxes OF swl"
carved wooden goods taken from the steamer Nam OF
Bremen the General order store the next day WIN
one week after ! Withdrew the remaining two cases,
and was Obliged pay s., Overcharge Of S. THE
the matter 70 Mr.. Williams, who referred il
10 MI Russell Chief Of the Warehouse Department;
me latter SAYS ne thinks II is all right WITNESS DC
srrbed the method OF obtaining imported goods direct
from shin and from the General Order StOfeI nave
beeu employed the business 10 years the packages IN
question all Of The same SIZE, nut were nearly
the same SIZE weight and value; similar complaints
,0nld be heard nearly all small importers L"et
90 would not dare 20 make such ONcrcharges I" A l.
stewart II. Is. Cahiu or Other large dealers.
senator Howe II this point suggested that II was
hardly fair 10 ns rCt witness and ntlmated that one
"a two OF the wDnesss answers HAD been suggested ny
heDatOr CasserlY.
senator Bayard thought greater latitude could be
taken bV the Committee than IN "a court Oi justice.
senator Casserly discaimed any intention Of prompt
ing. ,
Fred ]. Phillips. Appointment Clerk OF tue CnS"iH,
House then called and requested 10 furnish ls al