The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1874-04-01
WASHINGTON.

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MIR. Richardson, Secretary Of the Treas
ury, was the first witness examined l
was bis most positive opinion that the Law
under which the Sanborn contracts wert
given should be absolutely and uncondi.
tionally repealed. He said he had peye,
given any special consideration to the law
itseli, or TO the contracts which had beer
given out under Il, bnt he believed maj
al laws Of that character were impolitic
He had never been consulted by his pre.
decesSor (Mr. BOutwelD In reference TO the
law or to the contracts, but he was aware
that Mr. Boutwell, had always had the same
aversion 10 the law as he himself had, He
had never spoken with Sanborn about Ms
contracts, and had never been approached
by other persons In Sanborn's behalf. BE
knew absolutely nothing Of the details oi
the matter Any papers or documents
which he had signed, were signed in the
ordinary routine Of business without
giving them any special attention. He
had no recollection oi his interview with
Simmons In Boston, In which Simmons
said he had been instructed 10 aid San.
born, but he did not question the cor
rectness Of Simmons statement in that
connection. He was examined at some
length by the members of the Committee
but shed but little further light on the
sanborn matter. MIR. Beck, OF the Com
mittee, remarked in the subsequent pro-
ceediDgs that he had not pressed the Sec.
retary, because he was ashamed of the
Ignorance which the Secretary manifest.
ed. Mr.. Douglass, Commissioner Of In.
ternal Revenue, was next examined.
He stated that he had never been con.
suited by the Secretary or Solicitor Of the
Treasury in regard 10 the law or con.
tracts given under 1t, and knew nothing
OF the latter unless as they came inciden.
tally to his knowledge in the course Of
proceedings. He stated that the delin.
quent income taxes and legacy succession
taxes and taxes on railroad dividends,
etc., which are embraced in the Sanborn
contracts, were'all being collected through
the regular officers OF The internal reye-
nue. bureau. When these contracts were
made and when the instructions
were issued by MIR. Banfeld,
Auditor Of the Treasurer, TO Mr.. Bliss
United States District Attorney at New
York, and to the Supervisors and COL
lectors oi Internal Revenue, directing the
latter not to receive payment IN the case
embraced within those contracts, these
instructions had not been issued through
him, nor had they ever been communi-
Gated to him, unless as he learned about
them casually. He had then on the 1st
OF October, 1878, written a letter to the
Secretary Of the Treasury in regard to
these instructions. That letter was re-
terred to by the Secretary to the Solicitor
of the Treasury, and he never had been
answered by letter. The Solicitor Of the
Treasury had told him subsequently that
the letter had got into some pigeon hole, or
had been mislaid, or had been referred to
some subordinate, so that he (the solic.
itor) had not seen 1t, and had not answer.
ed 1t, and that he did not know how 10
answer it. Douglass also stated that ac-
Cording to his view Of law no suits could
be brought ior the recovery OF Internal
Revenue taxes, except by his authority,
BE did not consider that the Solicitor Of
the Treasury had any right to instruct
Bliss to bring suits, as he had done in re.
gard TO the matters under the Sanborn
contract. BE (Douglas) had never given
such authority, and had no knowledge
OF the suits having been begun until this
investigation had developed the fact. He
was very positive in his belief that there
was no difficulty in having all these taxes
In the regular course OF business,
and as 10 asCertaining unpaid legacy and
succession taxes he exhibited to the COM
mittee book in which Assessors were
required TO keep records of all estates OF
deceased persons that were liable to tax
alton. BE knew nothing personally of
John D. Caughlin, who had been Assist
ant Assessor Tor county Of New York,
but if that official had done HE duty faith
fully and kept such book correctly, all
information in regard TO the unpaid
legacy and succession taxes was In his
hands and In the hands Of the Internal
Revenue Bureau, and there was no diff
Guilty about it. He did not believe in the
policy of the law under which the San
born contracts were given out. 1t gave
TO three persons, and thus in
tensitied the meanness Of the inlormer
and spy system. He had never been con.
suited about or asked to recommend the
passage Of such law, although he had
been under the impression that he had
been called upon by Sanborn, and that
General Butler had recommended him.
Still, since having seen Sanborn lately, he
did not appear to be the same person
whom he had In his mind. Mr.. Douglass
was very frank and explicit in his state
ment, and appeared to have made very
favorable impression on the Committee.
Frank N. Green, one OF Sanborn's
agents, who operated among the western
railroad companies, positively denied the
statement contained in the letter from J.
N. King, acting collector Of the Indiana.
polls district, that he had represented
himself there as a special agent OF the
Treasury Department, and had denied all
knowledge Of the Sanborn contracts.
Green said he could not remember that
he had at one time stated that his letter
from the Secretary Of the Treasury was
detained by the influence Of Gen. Butler.
In the District ot Columbia investigation
this morning Samuel Strong testified in
relation to his contracts under the Board
oI Public Works. He signed all his con.
tracts before the work was done and was
not yet settled with for his work.