New-York tribune., 1874-02-10
BROOKLYN PLUNDERED.
PROBABLY HALF A MILLION STOLEN.


There is no longer any reason to doubt that
immense frauds have been committed in tho Tax-Col-
lectors Office of Brooklyn. From discoveries made by
Mr. Seaman the accountant. and natural result OF
what has already been brought TO light 1t Is probable
that during the terms OF the TaxColectOrs predeces
sors the city defrauded OF amounts ranging from
100000 to s5OOOO aud perhaps The clue to this
large default first obtained last Wednesday, when
1t was discovered that according to the books in the
taxoflice certain persons aud estates liable for
largo amounts accrued interest for defaults
In the payment OF their within certain periods
had had the penalty RENTED. An investigation
established the fact that Of these persons had paid
the extra charges and interest but an amount less than
they claimed they had paid in the taxofice mad been
entered upon the casl-book in the Collectors office An
investigation OF the books showed that In hundreds of
cases where large amounts were due IA interest and
charges for OF taxes at specified time the
entries the cashbook made tappear that the interest
had been romitted. few OF those who were charged
only with the payment of the original amount OF their
taxes and who should have been charged with default,
were sent for and upon producing their receipted bills
it appeared that they had been charged and had paid
the full amount which they owed for default One o!
these bills showed discrepancy OF 1926 5i another
difference of ssOi 25, and another Of t7Sa l6.
The accountant communicated these facts to Con
roer Schroeder and another member Of the Board OF
Audit, aud the meeting OF the Baard called for Sat
urday IT. deemed advisable at the meeting, as a
preliminary measure, to enjon secrecy upon the ac-
countan Mr. Seaman. in regard TO what had been dis
covered and what to be done. IL was determined
however, that more thorough examination than had
yet been made should be ordered, and that although
what been discovered seemed to indicate the exist
ence of frauds. premature revelation would
unnecessarily alarm the community. IL was agreed
that efforts should he made to obtain the bills OF those
who had paid their taxes and to compare them with
tho amounts entered the casll-book, aud 1t was
argued that 1t would be tho only satisfactory
way by which the facts In the case
could be ascertained. IL was urged also. that
the mentioned further inquiry might show that
those persons had actually paid only the amounts cred
tied to them and that the interest had been revoked
for proper The question then arose as to the
power of tho Examining Board. or Board OF Audit to
demand receiped bills from taxpayers. and it was de-
cided that Alderman Ropes should Introduce AT ses-
OF the Common Council resolution asking that the
committee OF investigation be empowered 10 send for
persons and papers 1t was the intention OF Alderman
Ropes to introduce resolution to that effect in tho
Board OF Aldermen yesterday but the hour OF adjourn
mont arrived before the order calling up resolutions
was reached A TRIBUNE reporter called yesterday
upon an Official in the Tax Collectors office, and made
inquiries concerning the revelations that have been
made The following conversation occurred:
O. Have Won any positive information 10 what
frauds discovered In this office a. have to
some extent. know that the entries OF payments by
certain persons the cash-book do not correspond
with the amounts charged against them Tor remssness
and delay In paying their taxes.
o. Have any cases been discovered where dscrep-
ances exist the recepted bills and the entries
in the cash-bOOki A. Yes sir Some persons VINO we're
credited with having paid only the amount OF ther
taxes without interest the books presented their
bills which were receipted for the full amount OF taxes
and interest. Only two such cases nave thus Tar
been discovered because dhcult matter 10 eaon
the persons who have pad dher d,lcs ana 10 preSa'
upon them to come TO the ofce. Many persons how
ever appear by the books to have had the interest re-
mited and seems strange that such privileges should
have been extended, as the law Is PcrSmptoy ana the
question whether they did actually fail to pay the in-
terest Is fair one TO raise because lot many Years he
taxcolectors have been so unreenng IN exemptng me
payments for penalties as TO earn the Senerl reputation
Of being exacting aud arbitrary.
O. II 1t Do shown that in majority OF cases where
amount has been paid with interest viii the deficiency
be a great small STUNT A. During the number OF
years this thing to have been carried on and un
der different collectors IL would probably amount to
81 100000. At one time IS per cent was added when
sale OF tAe property involved, and besides there
were other pcnses OF advertising for sale and serving
notices. besides items mat were frequently put down ds
q How the amount Of the frauds be fully deter,
Dlnedi A. Only by asccrtanns ron tne books nS ts
them compelling them to show their bills aud the
amounts which have been receped for at the Tax ONCE
AUDITOR sCHAURMAS's STATEMENT.
The reporter then called upon Auditor Schaurman,
who is a member OF the Board OF Audit or Examining
Board when the following conversation occurred:
O. Cen Schaurman, is IT true as nave beard, tnat
immense frauds have been discovered IN inc lax Col-
lectors object A. can hardly say hat they nave oeen
actually and definitely discovered because there is sun
a chance for exp!anationi ou from ~na1 mas SeeI LUIS r'
covered It probable that the frauds Will reaeh largo
amount. - -, ,-.-,., ...,. ~,
the details A. We have reason 10 oeneye tHaI IN many
cases amounts OF money including interest Tor ueiut
In payment OF taxes, have been received Dy the Iax
onioe and much less entered Oh the cashb0Ok.
We believe a system OF defraudng prevailed ior many
years But it would obviously be unjust ior me 10 mako
the statement that know II to be until further ex-
animation shall have been made because 1t would be u
Just the TaxCollectors who had charge OF anrs at
Inc time under consideration. The only way the mat
ter can be determined Is by empowering an examining
before those who are credited the cashbooks with
certain sums of money and comparing the entries with
O. Have any discrepancies positively been discovered
outside OF those charged against eXDeputy Collector
GIL a. There have been leWi ana thcse nuicate ne
probability OF greater frauds ,,.,
Collectors or subOrdnates he implicated, or bOth
A. The responsibility would rest upon tue COLLECTORS
themselves, and they alone would be luculpieI II 10
for that son. and because anxious 10 40 no IN
Justice to Mr. Burrows's predecessors, that believe
every opportunity should be Afforded tlen iof an eA
paDaton and the whole subject be investigated before
the charges made explicitly III these discrepancies
prove have been frauds the city has 6oen robbed OF
an immense amount OF money. The books we're never
balanced under the cOecOrshp OF Badeau or Drlges'
and animation OF the accounts OF that once nas
been made for many years. Matters were conductod
very loosely; they were not required TO make returns
that no investigator would ever be made There cer.
iany was ample opportunity for fraud whether 1t was
improved or not
ALDERMAN RoPEs's VIEWS.
TRIBUNE reporter called last night upon Alderman
Ropes Chairman OF the Board Of Audit aud questioned
him concerning the matter He very frankly stated to
the reporter the following facts
As a business man, am at loss 10 understand why
the several collectors TO have been willing 10
accept the and accounts OF their predecessors as
correct when they had not been balanced for many
years | should have thought II natural that tue
present Collector when he assumed the duties OF his
nIice would have protested against accepting the ac-
counts Of his predecessor with apparently not the
slightest knowledge OF their condition am certain
tba regulations existed 10 greater or less extent
for a series Of years, which might have been
di.coyered very easily If the examination had
been entered upon at any time. have regretted