Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1874-04-10

ing and collecting any taxes he might turn
over to them, at any rate OF compensation
he might designate, on such terms as he
deemed tho best for the Treasury, with on
" certain unimporlant limitations.
A humber Of contracts were made under
ii. but only those with one John ID. San
born, OF Massachusetts, Nmou ted to any
thing. How Sanborn came to get his con-
tracts does not appear. lie is II sharp, ad-
vcntur3us man according to collector Sim
mons, OF Boston, Il "mystcri1us man."
who "sort Of managed things, you know"
for railroads in the Massachusetts Legisla-
lure. And the evidence shows him TO have
been a friend of Gen. Butler. SO much
seems to be visible through the fog which
surrounds the subject.
The first Of Slnborns contracts is dated
Aug. 10, 1872, and relates to taxes on spirit
uous and fermented liquors in the eases of
certain specified persons and firms. The
contract provides that Sanborn shall pro-
coed to collect the take, alleged TO be
due; that he Shall have the assistance Of the
United States attorneys, If legal proceed
ings are necessary, but only On the written
consent Of the Secretary that he shall pay
all costs; that he shall report all proceed
ings when required; that he shall have If
ty per cent. of the gross sums collected,
and that the contract may be revoked at
any time at the pleasure of the Secretary.
The contract is signed by Mr.. Richardson,
Acting Secretary Of the Treasury.
On the 18th Of October, Sanburn applied
for an extension of his contract, to embrace
certain cases OF taxes upon legaces and
SUGGESTIONS aud income, about 500 in num-
Der. A contract was signed ON the Goth OF
October 10y Mr.. Richardson, Acting Sccre-
tary, and its terms were the same a. those
Of tue previous one.
On the 18th of March, 1873, third con-
tract, or n second extension of the original
contract, was made with Siuhorn, embrace
ing about 5000 names. On the Isl Of July
a third extension WIS granted, embracing
the clscs of between 800 and COO railways.
These two last were signed by Mr. Rich
ardsuu, Secretary. Under all these con-
tracts there was collected between the 2lst
of March, 1872 aud the 9th of February,
1874. 1927 900 40, of which Sanhorn received
S2l3, 20j.lj, and the United States Treasury
received S2l3, 225.3i.
These contracts, their origin, nature, and
operation, are now under investigation by
the Ways and Means Committee Of the
House of Representatives. We hope the
committee will make the investigation
much more searching and complete than il
has yet been. 1t has already gone far e.
nou2h to show that the law under which
the contracts y ere made Is loose, bad law
Osteusibly providing extraordinary means
to collect government debts net otherwise
eollectable, the law does not limit the en-
ployment of the means authorized to this
class Of Eases. Even ir it did, the policy
would be one that is condemned in every
department Of the government. The law,
therefore, ought TO be repealed.
The turning point of the inquiry is, were
the taxes of VIII ich Sanborn received one
hall loI collecting them, such as should
and could have been collected by the regu-
lar revenue officers? What precautions
were TAX en- To discover whether the taxes
embraced in SInborn'> Applications could
have been obtained by the usual methods,
before granting the contracts? The law
contains 10 Limitation. The contracts con-
tain none. Were the applications inspect
ed to see that only stale claims, or claims
beyond reach Of ordinary agencies, were
included in them?
As 10 the actual profit from tue contracts,
there is much conflicting testimony. Ex-
prrtS like Mr.. Simmons. OF 3 iston, think
that the contract, secured for the govern
meut great deal of money that would not
otherwi have been git. Mr.. Douglass,
Commissioner of Internal Revenue, who
ought to he better judge, thinks that the
taxes on legncics and succession, and on
railroad dividends might have been OBJ
tanned by the regular agencies. On this
point his evidence, a. We receive it, Is ap-
parenlly unqualified. As for Mr.. Richard
son, he condemns the contracts and the
law, and recommends the repeal Of the lat
ter, upon which he says he will cancel the
former. He has but little personal knowl-
edge Of what has been done in the matter,
which seems to have bccn- acoesSarilv; as
he cOnleuds- In the bands Of suhurdinates.
In this part Of the cl,e Mr.. Richardson
does not seem To- show with much effect
~. y. Times