The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1874-04-28

JuGla OF Pads who nas . house or 81. mt in New
the secret Information he SO nndes e. &c, Oh: tho
compensation OF the witness In Europe was So q
Gay, with all expenses added.
Mr.. Beck, Of the committee here asked the wit
ness numerous questions In order to discover for
what purposes the sums specified IN the ofricial
record were paid. According 10 the witness much
OF the money was Tor copying papers and Tor
samples OF goods, besides, he lived well. as the
weil
In further answer 10 interrogatories the witness
$500 and afterwards lee Of 8. 6O Tor having ms
Case dismissed IN a New York court; the $1,000
was turned over TO the Treasury. in compromise
OF the charge against Herman; Judge Davis told
structlons from Washington Tor that amount;
accordingly Judge Davis instructed Assts ant Dis
trict ATTORNEY De Kay 10 go into court and enter
he " as to give part OF The money to Sanborn.
Mr.. BECK linterrupling)- Herman swore you
w.ness-I swear never said word to sanborn
about the case.
In course OF the Interrogation by Mr. Foster, Of
the committee, the witness said he knew nothing
about the Morrison case further than the TACT hat
when he was about TO sail Ior Europe a messenger
placed in his hand package addressed to Morri-
son, Iharing Cross, London; when the witness
Hotel and earning that Morrison had departed Tor
the Continent. lelt the package Tor MIN At the
that sanoorn was, one Of the normers IN the glove
Cases. During the crosse IN nation ray SAID ne
ADVISED , sa WIN Sanoorn after ne was ind,cea; ne
sanbnrn. but not otherwise with him; he did NOS
know tnaL sanborn was an employe OF the severn.
could not swear that he was an employe OF the
Several members o. the committee further cross
examined Fay. The witness did not know whether
any member OF Congress- wrote to sanborn urging
that Sanb0rn ever said he had q contract with the
government; the witness thought Sanborn most
peculiar man; the witness did nothing wrong IN
Mr.. Aiback, u the committee, said he thought It
was strange that the business between the witness
and Sanborn should result only In favor OF Fay.
There must be some peculiar relarlons between
The witness remarked-There are noae;
| swear 1t.
THE CALDWELL CASE.
me committee this afternoon examined Mr..
James Z. CALDWELL OF Philadelphia, who, beng
sworn, said that about year ago confidential
surreptitiously took from the establishment In
voices. slips OF invoices and other documents and
ernmenr special agent at New York; this clerk
afterwards sought an opportunity TO be discharged
the latter pars Of May, 1873 letter was received
rom their Custom House brokers at New YORK,
to one New Of York the m % 70
a telegram was soon after received stating that
Mr.. Caldwell would be preferred. The witness
then gave c1rcumstantal account of his visit t.
New York. On visiting the office Of u. G. Jayne
Mr.. Jayne Immediately opened the business, and,
was the most complete case OF fraud he had ever
had Mr.. Jayne SAID the invoices were correct,
| w,
five per cent commission having Deen added on
invoices OF canoes and jewels, the difference
the whole amount Of the invoices, $4,000; Mr..
Caldwell explained to Jayne how the matter Oc-
ed, and claimed that the firm had certainly
, med him that he could settle the case III TWO
"a, tess he could take the case INTO court COM
pro.Aise; the witness and the other members Of
\ his IN preferred compromise rather tnan incur
| the large expenses 81 courts finally it Was agreed
to compromise Tor $4,000 as the best that could
be done the firm was to pay $4,000 on app ication
to the Secretary or the Treasury to accept the
compromise, $1,000 when the compromise was
accepted, and 1880 to be paid sixty days there
after; the trim paid the two sums first named,
anous ss sf1 9S ne nas Ssy
that ne might recommend that tue money already
paid was s enough and that the remaining $3.50
arrangement might be made ny reducing the sum
to $4,000; this MI. Caldwell, on behalf Of his firm,
accepted, but the money has not yet been paid
they have made an application to the Sec
rotary 81 the Treasury X. 70 reopen the case
ex-government cniel detective came 10 him. say
ing that Mr.. Dana. Of the New York sun, had
all the iacts IN the caldwell case; witness con-
suited his partners, who said, .Ilere is another
ali tae iacts, ana can spread them IN such way ~
to damage our credit we had better close with hrs
$1,000 tor ding the article, and the other
$1,000 Tor his influence at Washington; this money
sell, saving that from AN examination Of tSe az case
ne believed CaldNe 4 Co. did not intend to de-
Mr.. S ]. Coniey, collector OF Customs at Phila.
delohia, being present. was asked his opinion OF
moieties he saio as the superior Custom
fraud, they should have no part in moieties; ON
toe other hand. he questioned very much whether
! the interests OF the country would be promoted
by the entire abolition or motif; to do so would
throw open che door to frauds; it was to the in
terest OF the honest merchant to prevent frauds
by dishonest Importers. During the two years and
hall he mad been in office his share or nOieties
Naval Cflicer Hicsiadt, Of Philadelphia, having
been sworn said, lie had received about the sams
amount OF notifies IN one case-t0at OF Roberts
obtained the money. While there should be severe
! zines and penalties for false importations, he be-
eved, with the Collectors that the principal officers
OF the Custom House, who acted in the capacity Of
judges, SHOULD have NO notifies
Hiram p. Goodrich, special Deputy and Acting
Surveyor at Philadelphia. knew OF no case In
which the books and papers OF merchants were
Jonn field, OF inc arm Of Young, Smith, Field l.
/ Co., OF Philadelphia, was examined by the Ways
% ys to ne fave cr
October. 1873 OF Augustus A. BIZ sn, q Treasury
agent in New York. who alleged that the firm had
been guilty OF frauds by false invoices. The part
ners III tine house held private consultation, and
| as they we're not aware they MAD done anything
OF blood aud spend the last dollar in defence OF
their rights; the witness was informed that Ii he
had gone 10 see Mr.. Brush the matter might
have been settled Brush was accompanied on his
visit TO their store by D. F. Houston, OF Pnadel.
books and papers we're taken away and they have
not vet been returned; the nrm DO not know the
details OF the charges against them; the allegation
was that during five years the government mad lost
$3.50 oil duties for which the penalty sos 600 or
$4,000; the difficulty arose ABOUT cartons some OF
the manufacturers OF little things include the BOXES
| with the invoice and others DO not; one invoice.
whica was for 81 So forfeited $4,000 worth OF
goods. the witness stated that the case was now
| In Court.
Mr. D. F. Houston, having been sworn, testified
In relation to the OF Roberts n Co.,
which was one OF false weight in the matter OF
| iron the Treasury settled It by their payment
OF $4,000 although the penalty they In
CURED was $4,000; the government fraudulent
weighers were discharged witness aid not
know Of any official ever having been pun
lshed Tor such practices; he received $4,000
a. his share OF the moiety; with reference
TO the case OF Young, Smith Il Co. ne
said Mr.. Brush discovered the irregularities
the house in New York, ut which port part OF theF
goods were imported and came to Philadelphia to