New-York tribune., 1874-03-11
PRICE FOUR CENTS.


firm in NewYork did bring suit in such case, and did
recover. .......A
fore the Senate Special Committee which eat IN NEW
York the Custom house frauds IN INA. ey
This Committee was told something about hapdcuns
he would say here he said before that Special
Committee, that he was compelled TO gyo diecs sn-
nifty explain. He onlthat occasion asked there
were handouts In his Office He replied that par was
dent They had been hanging up In closet untiI nov.
After the INVESTIGATION he resolved VI I to Keep them
and the other unlocked. He never saw tho key hs
would repeat here that unknd word passed 20
tween him and an importer,
The Committee then adjourned until O'Clock p M.
EVENING SESSION.
Mr. Jayne resumed his statement before the Commit
tee Ways aud Means this evening He had not come
here TO defend any outrage that has been committed In
the OF the law, under the law. The Committee
had been told that books and papers had been kept ont
OF the hands Of merchants that they were prevented
from settling their traDsactng their cur
rent business He knew OF where persons haVo
not been admitted at all times 20 their books
take any data from them they may choose Every
possible facility is gwen TO them. II wrongs
mitted the courts open at all times TO hear griev
ances and any order has been dlsobeyed the remedy
Is with the courts. The Committee had been told by
gentleman present tNr schultz) that he had been
going around among merchants and feeling
the pulse Of various patients. He had all re-
spect for the honesty OF purpose of that gen
tleman but you were TO array all tho
cOnvcs Of all the penentiares in row, and ask them
:" Arc you guilty 2" there would be universal No"
II it be that abuses exist under the law, and
men have been mulcted for technical errors, there
should be such legislation would do With such
The arguments that tho present system would
drive trade from American foreign hands noe
sound and just
He then referred TO Of frauds and how
frauds cOmmitted-such frauds have been called
technical errors" Obtaining a clue to frauds, no
r1noES tel
the truth. He procured indictments against certain
men, but they had to be dropped because ther books
could not be used in criminal prosecutions Their letters
instructed their agents in Boston, ew-Oreans,
and elsewhere how to act In order to ont the co..
lusions defrauding the He referred TO
large manuscript book which he had brought with him
show from it whore frauds had been
committed the method described. II had been said
that some Yankee has Invented process by which
blood he squeezed from turnip, but jayne eadi
1--WE don't know how that is done, bad az
we are." The Government loses 10 per
cent OF tho Notwithstanding ell the Induce
ments prevent fraud. II tho law is wrong and op-
pressve repeal revise It, but when you attempt 10
for the good OF the eutre people first inquire what
kind OF law Is necessary 10 protect the Goyernmeno
and honest merchant. IL the keeper OF mere cor
grocery be punished for violation OF the law
much should high American merchants be
punshed-nen who have intelligence and have clear
understanding of the law
1t had been said thai he had made much money but
he could have made by single transaction,
namely. by taking check for large sum OF money TO
leave the city where he not popular among thosc
whose frauds he undertook to detect. There are bat
few men who have a idea of the extent OF tho
business Of NewYork Sxtynine per cent OF the Gus
toms Ia collected In that city over IS cent
comes from coin paid AS duties. Business IN done
in a hurry. IL could not be transacted as
deliberately as in place where but two
dugouts and schooners arrive In year.
1t fact that the CoDsuls invoice cannot be used IL
is not filed In the OF the consignec but In that Oh
the consgnor and of suspected fraud II takes
day find a single uiphcate invoice IN the car loads
which brought to the Cusom-house. The business
cannot be properly and accurately trans
acted the force at present allowed and with. IN
some departments the inadequate salaries given.
jayne, continuing his showing how frauds are com
mitted. said,he NOT here 10 cover mp wrong Let
those done wrong suffer for their misdeeds
he to answer the severest indictment ever
brought against a living and he here TO tell
truth, whole truth AMI nothing but the TRUTH
help him God In the course of his rcmars he SAID
that be had always acted without passion or malice his
only motive being the right and establish the
truth He said of 1867 ought TO be amended IN
several particulars. lie would put his proposition In
FORM II there anything wrong or dOubtful In the
oath prescribed, should be made PLAIN daylight SO
that no man may But If you loosen the obligations
men are under to pay taxes revenue, yon cannot
collect the money.
Mr. Roberts of the Committee asked Jayne whether
he 10 any case had taken from the merchants any
books other thanthose bearing the charges OF frand
Mr. Jayne replied that it the intention In every
case TO connne the OF seizure 10 the commercial
books OF the house. Books had occasionally been taken
other than those required, but not Intentionally. Ho
urther said that had opposed the settlement
of cases. He made recommendations only when the
Secretary asked them. He never lempoyed counsel
but once In before the Secretary and that was 10
prevent a man from ae0nslmmating a dishonorablo
scheme
Mr. Foster inqnired whom he employed as counsel.
Mr. Jayne replied Gen. Butler. ON questions OF law
which be did not understand had constod that gen
tlemau. He paid him 1880. besides the fee IN tho
Phelps & Dodge case He had consulted Gen. Boter IN
three or four other cases.
Mr. Foster the witness questions with regard To
the case OF Woodruff, Robinson Co., and Mr. Jayno
said he thought the amount they paid-s5O 0oowas In
excess. The Information ON which they were required
9 pay tina, amount ~ sr enpoyoen In 10
another question he said the money had not yet been
distributed, and that 5000 was more tah nyss oIgns
tS the seseas syss ed fsR % q
officers He reported them to the Secretary Of The
Treasury OF those officers are now ont OF places
the secretary. part of the functions Of tho
specsiAg to do more than report the facts
He thought however that these men ought not 70 be IN
Office.
mesa where such men are kept IN onioei
Mr. Jsypsmwhe & tneyss are ~ In ,tts 9ase oos on the
robbery, aud so 1 have quit. lLaughter.l 49,
Mr Nblaok asked Jayne TO explain the discrepancy
between the actual suns paid and the sums reported Ia
Mr.. Jayne explained that It owing 70 deductions
for the payment Of expenses.
an officer in the Treasury Depsrtment-namcly, that
Jayne had divided portion of the moety with s.oor
dinate in that department, whose hosnty no uo not
care 70 incur. =. -. 49,. .-.-.,.