Evening star. [volume] (Washington, D.C.) 1854-1972, 1875-07-08
THE TREASURY AND THE WHISKY
FRAUDS.
The Charges Against Chief Clerk
Avery.

r
some prominent officials connected with that
branch of the public service would feel the
force OF the blow. subsequently it became
a matter of open discussion in the halls and
NJ was alleged that the chief clerk of the
Treasury department was placed in quite
an unpleasant position arising out of en-
phatic statements made by members of the
"rng" that he had co-operated with them
and received pecunfary assistance from
them. More recently these statements and
rumors were brought officially To the atten-
ton OF Secretary Bristow and he has given
the matter his personal attention, and is
row, as lie has been for some time, seeking to
sift the charges TO the bottom with the view
to establish their truth or falsity In tais
connection IL may be stated that the repre-
sentative of THE STAR has been for several
days past in possession OF the Information
on which this article is based. but withheld
il for prudential reasons from the reading
public AS SO many vague indefinite, and
exaggerated statements have been made in
reference to the matter by idle gossipS
within the last few days, it is however now
deemed best in justice to all concerned to
publish the real charges as they stand.
THE CHARGE AGAINST CHIEF CLERK
AVERY.
When Secretary Bristow was indicted into
his present office he chose VIM. o. Avery of
Illinois, as his chief clerk. Previously Avery
had been chief clerk of the internal revenue
bureau, and gave satisfaction in that POI
sition TO hisSupcriOrs. While the chief clerk
of The latter, he was the custodian OF all the
secret correspondence of the bureau commu-
nicated TO 1T by the supervisors, special
agents and detectives. Besides being the
custodian, he was, in fact, the censor OF the
correspondence, in so far as its distribution
was concerned. Under the rules OF the of
fee, letters tanning Information concern
ing frauds of any nature on the revenue
have affixed private mark known 10 clerks
Ia the mail room, AID the orders were that
all letters thus marked should be seat TO the
chief clerk of the revenue bureau. Such let
tiers were opened by him. TniS virtually
gave the chief clerk of the bureau the aoSO-
lutte control OF the correSp Onianca. even to
the extent If he so elected. of Withholding 1t
from the commissioner or even the Secre-
tary.
THE RING KNEW IT.
In December. 1856, John y. joyce was a3
pointed an II 500 cl ERIK in the Internal Rove.
nue. bureau. He remained until February
18th, 1870. Then uron his own application he
was transferred to ST. Louis as clerk u
Supervisor Alexander Mcdonald, who was
station q there. Subsequently. on the 1st OF
August, lS71, upon the commentator of
Mcdonald he was appoints q revenue agent
and r. all iatants and purposes he has since
hat time been supervisor Of the Missouri
district, for the reason that Mcdonald cared
very little for hard work, and Joyce being
willing TO DO the duty, his chief let him in
all essential details, have his own way.
JOYCE UTILITIES HIS KNOWLEDGE.
These statements are given to Show the
value a corrupt chief clerk of the revenue
bureau could be to fraudulent rectifers and
distiIlerS. Now for the charges Mr. c. g.
Aegrue Is cosmopolitan character. He re-
sides everywhere, calls Cincinnatihis home
and spends a good deal OF his time during the
Congressional season in Washington. II is
on lis affidavit that the charges against Mr..
Avery assume tangible shape, and upOn
sworn Information filed by him with Mr.
Bristow the latter has ordered an investiga-
llOn. Mr.. Megrue says that Joyce, knowing
the workings Of the revenue bureau, (knOwl-
edge acquired while he was a clerk
IN mat office appreciated the value
OF having the cooperation of the
cl TX who handled the secret CORE
Ondenca. 1t was aScertaiuet to be Avery.
after cO1iereIc,, it was decided TO employ
Aegrue 70 come on to Washington, AMI If
possible. secure Avery in the interests of the
ring Negrue fulfilled this mission, re-
rnei 10 St Louis. and renorted that h mai
q n racted with Avery at The rate of one
turdred dollars per week, in consideration
II which he was TO furnish joyce such iufor-
Tn3tiOn as would appTise him of the move
iucnts Of the secret officers OF the bureau in
any efforts pat forth by the government to
investigate fraudulent transactions. This,
Ncgrue says, Avery did and claims to have
corr eSpOnGCnce connecting him directly with
Illicit transactions. and, in add tion, refers
tn dispatches which passed. between Joyce
ard Avery, and Avery ana himself. which
are obtainable from the files OF the Western
Union telegraph Office.
WAITED MORE MONEY.
For thirteen weeks, Megrue SAYS. Avery
continued 10 supply the information re-
CURED al the compensation contracted for
Then he wrote letter, in which he set forth
that his pay was not adequate To the inn
pOrtant service he rendered. Subsequently
1t was agreed to increase the pay, and for
The twenty-s1X weeks ensuing, and up to the
time Avery was made chief clerk of the
Treasury Department, he was compensated
al the rate of $500 per week. Meanwhile,
even after Avery left the re yenue bureau to
assume his new duties, the information re-
tod to ri,
Colonel A III. Holt succeeded to the chief
clerkship of the Internal Revenue bureau
and became Custodian of the secret CORE
spOndence.
MEGRUE ON THE wAR-PATH.
OF course after the ring got its blow, no
one Of those concerned for a time knew how
10 act. The rapidity of the movement caused
the greatest CONSERVATION. Those involved
were at swords points, aud no one dared
trust any other one. What motive Megrue
had for informing on Avery is known only TO
himself. Soon after the blow was struck he
came TO Washington, aud was arrested here
uuon an Indictment for completely with the
st. Louis frauds, but prior To his arrest he
made these charges against Mr.. Avery. aud
lodged them with Secretary BristOw. When
he reached st Louis he secured bail, and went
before the grand jury there and gave evidence
upon which il is now alleged that Avery and
A. II. Holt, with others, have been indicted.
His friends say he took this course because
he claimed that his own arrest was the result
VI ~ conspiracy, III "nicl otIierS as equally
Involved in frauds as himself participated.
WHAT Mr.. AVERY SAYS.
Mr.. Avery denies the charges in toto, and
says that time will develop his innocence.
He says he is glad matters have assumed
their present aspect, because when his
alleged corruption was mere gossip and
nnuendo he could not notice u. Now il
comes in a specific shape. and he will
certainly disprOve all the allegations made
against him. To the credit of Mr.. Avery it
may be said he has always hitherto borne
an unsullied reputation, and his friends eX-
press the belief that he Will be able to clear
his skirts of the charges against him.
WHAT SECRETARY BRIsTow SAYS.
Up to three O'Clock to-day Secretary Bris-
tow had not been officially advised of the in
dictment OF either Avery or Holt. He admits
that the serious charges againt his CHIEF
clerk have been brought officially to his at
tention and that he is investigating them.
"Mr. Avery" said he, "shall have the fullest
opportunity to vindicate himself. If he is
innocent he shall be protected, if he is guilty
he will be punished.
Megrue's uncorroborated testimony would
not be considered as conclusive by Mr.. Bris-
tow, but If he can substantiate his position
by the documents which he claims TO have
letters which passed between Avery and
members of the ring, &c.-then Mr.. Avery