New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-03-05
REVENUE FARMING.

SUPERVISOR TUTToNs sTATEMEsTs-THE iSrRIoUHs
or sANBORN's AGENTs-wHAr KELSEY, CLARK
AND BEIsTERLING, TRIED TO D0-BEIsTERIIS6S
ANTFCHDENTs.
IRON REGULAR CORRESPONDENT OF THE TRIBUFhI
PHILADELPHIA March 4-The Supervisor OF Inter-
nal Revenue Of this district, Mr.. Tuition, who was
justly described by District-AttOrney Mcmchael as
of irreproachable reputation, gives an inter
esting statement Of the transactions Of sanborn and
his allies and agents in this city. Mr. Tuition stated
TO the correspondent Of The TRIBUNE to-day that
kelsey ian ex-membcr of Congress, and for long
time on the Committee on Appropriations, IN whose
bill this special contract section inserted May D.
1872 into his Office IN 1872, aud stated that he
held one of these contracts. Mr. Tuition continued
lie wanted to subpoena the officers OF the Union
Passenger Railway Company OF this city, said suophena
contain clause Of daces en, requiring the prodoc-
ton OF the books OF that Company He said ne was IN
formed that they had made enormously erroneous and
fraudulent returns sent for the President mc"ra'
and stated tho circumstances, and no smd tnas
he was willing that Kelsey, myself, or any
other officer OF tho Government should eX-
anime the books at their Office Tbereupon
refused to have the books taken away from the Office
OF the Company and told Kelsey that he might go and
examine them there which he took ohense and SAID
he would report to the Secretary or the Treasafy
The truth Of 1t was he wanted Malcolm Campbell an
expert accountant, who subsequently mado one OK
these contractors TO examine the books as he kelseD
was not competent do That tho last saw OF
Kelsey. but 7 am informed by VIM H. KembIe OF tho
Peoples Bank and director Of this Company. that
these made three different charges against tho
Company, in which they claimed a tax OF $4,000 $1,000,
and then $4,000 respectively. Kemble said be woudns
pay them "A cent, believed it TO be a blackmaiDg
operation. He demanded that they should prove their
in court Of Justice This 1rmness seems TO have
frightened them or as no sums have been collected
from that Company.
The next whoeame to see me was John Clark who
also holds said he wanted to look after
legacy and succession told HIM that all tho
liable in this city In the hands OF tho proper
officers and would all be collected In due ume1
They were therefore, not such cases as were eontem
plated by his contract He then mentioned the case OF
the estate which he said that those interested
had made a fraudulent and incomplete return, aSd
that he been private position TO know these
facts he truth s this man Clark used 10 be their con-
fdenal clerk, and in that he obtained tho infor-
mation) said that this might possibly DO proper
ease, he seemed 10 be possession OF information
the officers did not have and could not es
without the aid Of paid inormer taken from the pr-
yate Office OF the estate referred to- never saw Mr.
Clark SINCE but understand that he collected bis zee
from the estate. Dis trct-Attorney heMlchaet
subsequently stated TO me that Belstefilng VINO
had been the special officer under Johnson to
make these very cases) was looking AFTER
their legacy and succession taxes under some an-
to Mr. MeMichael what had said to Clark. namely
that all that class OF were In the hanos
Of the proper revenue officers for coIiecu'n'
and that / had had list prepared two years
ago from the County Court records OF AL esta"S
liable to such taxes and had furnished each Assessor
OF the five Philadelphia districts with the names o an
decedents' estates liable together with the names ana
residences Of executors administrators. sad that
most of these had been settled and the tax PAID ana
the remainder were the hands Of tho Collectors for
adjustment and that these were not cases to be seet
By Treasury agents any outside CONTRACTOR IA
they would all be collected by the proper 0nicers
without any extra oApenso TO the oo'eiu
ment. Subsequently, the DistrctAttorney miormed
me that a number OF cases had been placef
his hands by BelsternS for suit; wherenpon prC-
cured RON the Collectors offices the lists Ia question:
and showed him all Belstering were
them and were therefore record in the Revenue De-
partment after which he said he would proceed M
further.
On the 2sth OF February Informed Mr. Douglass.
the Commissioner Of Internal Revenue, OF the status
of these taxes, and protested against their
being collected in any other than the reg
MAR manner and by the officers who pait
for performing such duty. To-day have
written to the same officer WHO is the bead OF my de-
parment explaining that the letters TO District Attor-
ney McNichael Of Collectors Elliott and Pollock stating
that no such claims pending In their Offices. had
been written under Misrepresentation. They supposed
assessment lists only refused to give Bestern9
any official information myself but directed the Collects
ors not to do So as Belsterng held no appointment
from the Government, and, see, had no author
ity to demand official information from a Governments
officer.
Ii Is proper TO say that Mr. Belsterling, sanborns
attorney held office Of special assistant assessor OF
legacy and taxes for the whole City OF Pb-
dephia for 20 months having been removed In Apris
1869 upon the change OF administration from Johnson
10 Grant Prior his appointment to that office he had
been clerk In the office Of the Register OF
Wills perfectly conyersan with the routine, and tha
collection OF collateral Inheritance taxes He wass
therefore the very in the whole city for Bans
borns purposes had made the lists for portion Oh
those very legacy and succession taxes for tho
Government which he subsequently made fon
sanborn He has upon his books abous to
cases, extending from 1867 10 1870, which shoul0
have been collected, or which are In process On
collection. A theory suggested by skillfu on1ceru
OF the Government here that these cases, when are
now sought to be sued out by sanoorn and his
assistants were many OF them which were setted
outside OF the Governmental other words, "husf1
money was receved--and they are being stirred
up again this Treasury contract system for 20 Pen
cent OF their amount To show that many OF thes0
claims can be collected only 70 state that
Collector Ashworth received nearly ell the amounts
due from the estates on the list furnished him two years
ago.