Lyon County times. [volume] (Silver City, Nev.) 1874-1907, 1875-11-14
CRnoggD WHISKY AS VIEWED
NJ ruR COMMISSIONER OF
INTERNAL REVENUE.
The Gssernment Dcfraudcd ut the
nate q Tive Millions q Year.

Ne A0mtuAc1t0ntA "a AHe~* "ts
Revenue has just completed his
Report for the year ending June
30, 1875. and presents a lengthy and
stern document of figures and facts
for the digestion of the stomachs Of
the taxpayers of the United States.
The summary Of the Report, as
brought to us by telegraph is almost
exclusively devoted 10 the great
frauds perpetrated against the tax
payers Of the United States and
their Government Treasury by the
distillers, rectifers and Wholesale
dealers in whisky. The Commits
sieasr says:
n may be consolation to know
that, grevious as are the burdens
laid upon each of our population,
forty-two millions or more people
consume the articles taxed by cur
internal revenue laws. The British
public, numbering less by one
fourth than our people, paid under
their excise laws during the year
ending March 81, 1878. taxes lin
gold) TO the amount of SlS3. 9s2, 600,
against Sll0, $3.50. 900 paid in cur
rency by the pecpe of this country
during the fiscal year ended June
80, 1875. The report shows the
actual amount of receipts into the
Treasury from all sources from and
after June 80, 1861, to June 50,
1874, exclusive Of loans and Treas
ury notes. was rs follows Gus
toms, 81 ,973. 900. 900 internal rev.
enue. 81. 956, o00. 900: direct tax.
sl4, $40. 600; public lands. So ,ooo.-
600: miscellaneous, S236. 900. 900 !;
on leans and sales of gold
coin, Sl92, goo. Total. 81. 395. ooo.-
600. The Commissioner SAYS with
regard to additional legislation re-
CURED to enforce the honest collec-
ton Of the tar on distilled spirits !:
-" I give it rs may opinion. that the
emily Law necessary is one that shall
make the requirements IS stringent
and penalties for demanding the
Government ~ severe, in the case
Of the rectifer rs they now are in
the case OF the distiller. The recti-
FER should be required to give bond
In amount equal to the tax repre-
sented by all the spirits he can pos
sibly rectify each month. The
house and tract of land upon which
the establishment is located should
be forfeited 10 the United States in
case OF fraud. He should not be
allowed to handle any spirits at his
rectifying~ house except those he
purchases for rectitieation and sells
under recsifiers' stamps. Under the
present syssem of detecting frauds
at least thirty days must elapse be-
fore the discovery could be made
and guilt fixed. As the apparatus
in rectifying house capable of re-
timing . quantity of spirits upon
which the tax would amount
TO 500 600 q month may not
be worth more than SIC. 900 il viii
be readily seen that under the pres
emf law, which only iorfeits the APP
parAtus and the spirits owned bv
him at the time of seizure, a rectifier
may aid in defrsading the Govern
incnt of sico,ooe and forfeit only
SIC. 600 by abseonding to foreign
He also escapes criminal
/ have also to suggest
thai the law now IN force in regard
TO the return to be made by recti-
fers is 80 indefinite that some legis-
lAtion 10 needed to enforce regula-
ton. The commissioner also thinks
1t would be better If rectifiers, dis
tillers and wholesale liquer dealers
were required 10 make transcripts of
their books monthly instead Of this
labor being performed by local Off
GERS rs 81 present. II would relieve
the officers of an immense amount
Of labor and would accomplish the
more important result Of preventing
the destruction Of books by parties
about TO be detected in fraud. There
would then be sworn copy IN this
offioe that would be admissible evil
dence In courts against guilty par.
ties. ] am Of the opinion that the
present large tax apon distilled
apirsts can be collected with bat
email fs,s~ Til. n~s.snx. - ha..l
upon the fact tina; every siorekeeper,
gauger and employs who is connect
ed with . distillery where fraud is
perpetrsted become . pensioner up
ON the distiller. II, therefore, DIS
tillers be kept under such strict sur
VIGILANCE that the amount Of money
gained by fraud Ia not sufficient to
pay . large corps Of officers and
workmen in necessary COLLISION
with them 20 consummate fraud
they viii, as matter Of policy, b
honest As an indication of the
extent Of the frauds above described,
] have tho honor to report that docu.
snentary evidence 10 in possession oi
this once which has warranted the
seizure Of twenty four dassilieries
and thirty seven rectifying houses
and implicated over fifsy Unitee
Staaes Gaugers and ssorekeepers
This evidence shows the issos--he
tween July /, 1874, and May /, 1871
LOT fraudulent spirits, by implica
tion Of twenty thousand packages
containing probably one milton
twc hundred thousand proof gallons
md by cid Of false gauging to thu
additional amount of one million
proof galloas- This, Of course, i
bus . portion Of the fraud acfually
ocmmitisd. but In itself indicates |
loss al Tan 20 the Government. Ia
tan mcntLs, 10 IN amount not les
than q, 80, ooo.
"Say. Jimmy, you'll be seeing
EN- seAin pretty soon il you don
let up on badge. was the remarl