National Republican., 1875-12-08

feature of the report. The Recommendations
made therein for modification Of the law with a
view to the prevention of like frauds In future;
are concurred in by the Secretary and commented
to the consideration of Congress so long as "
is necessary to maintain tax on disuieG h
cost Of production, 1t may be expected tnat tne
great temptation to avoid payment Of the tax, on
cupidity Of producers. and that every possible
device for evasion will be used.
Each gallon Of spirits that escapes payment Of
tax increases by so much the profit TO the pro-
ducer It cannot be denied that q tax imposed for
revenue purposes is regarded by many persons as
if possible or that violations Of the punitive pro-
visions Of revenue statutes are looked upon by
many as venial ofienses. But the necessities of
faith, mpe ratively demand the closest collection
of all the revenues levied by law; and, besides,
due regard for the interest of those who meet
honestly and promptly the demands of govern
ment upon them, in this respect, requires tnat all
others shall be made to bear their proper share OF
such taxation. Every evasion OF tax by dishonest
persons must eventually increase the burdens OF
honest taxpayers. These considerations should
induce evefS citizen to render proper aid TO the
Government in its efforts TO collect the revenue,
by giving Information Of violations OF law and OF
frauds on the revenue which may come 70 ms
knowledge: but experience shows that few are
willing to give such Information unless they can
receive direct peCuniary compensation
w hen recently IL became known that the Gov
ernment was losing a large part of the revenue
due from distilled spirits, II was found extremely
diticult to obtain exact or satisfactory intorma-
or to ascertain, with reasonable certainty, who
were the guilty parties. 1t was obvious that
fra uds on the revenue were being extensively
practised and it equally clear that this could
not he successfully done, under existing pro-
visions Of law, without guilty connvanee or par
ticipaton by inferior oflcers and at least culpa-
bic negligence on the part OF others OF hlgher
grade.
stances seemed not only to justify but require
resort to means other than those in ordinary use
fordetection by the Bureau Of Internal Revenue
Ak nj mr. hafaPfinU
bringing 10 trial and punishment persons engaged
in cOunterfeiting, and for detecting other frauds
upon the Government. was drawn upon for this
purpose. The Solicitor of the Treasury, who is
charged with the proper use and disbursement OF
that tund was directed to inquire into the alleged
frauds on the revenue in the matter OF distilled
spirits and was instructed to spare no proper
effort to detect the guilty parties, and furnish
their names, with the evidence against them, to
the proper ofhcers of the Department of Justice.
This duty was entered upon with energy, and
after the existence of conspiracies and combina-
the investigation was continued, in cooperation
with officers of internal revenue, and resulted In
the certain detection of frauds on the revenue oi
more than ordinary significance.
Under the direction Of the Commissioner Of In
ternal Revenue the investigation has been pur-
siderable number Of officers OF internal revenue
have been found to be in guilty collusion with dis
tlers and rectiers in fraudulent practices where
by large sums were lost to the revenue. The evil
denee thus acquired, having been reported TO the
proper district attorneys, has resulted in large
number oil prosecutions uupllCAlc
use of STAMPS and other offenses So far as these
prosecutions have been completed they have,
with few and comparatively unimportant excep.
tons, resulted in convictions. large number OF
distilIers rectfers and subordinate officers of in
ternal revenue have pleaded guilty TO indictments
against them, thus confessing their onenses, ana
thrown themselves upon the mercy Of the court.
Besides the institution OF criminal proceedings,
civil suits have been brought upon the bonds Of
officials and of distllers; dstileries and spirits
have been seized as forfeited to the United States
for violations of the law; and, wherever the eyi-
dence warranted, assessments have been made
against distiIIers for delinquent taxes and placed
in the hands of collectors with instructions 70 col
Iect by process Of law. Urgent applications have
been presented for the compromise of many of the
cases. but IL has been deemed better for the inter
est OF the Government to allow all Of them to take
the usual course in the courts; hence all such ap
The Secretary considers it important to the fu-
ture collection of the revenue that all parties en-;
gagged in persistent and systematic frauds shall
be visited with the severest penalties Of the law.
To this end instructions nave been repeatedly
given to officers of internal revenue and others In
the service of this Department, to render All
proper assistance TO the officers Of the Depart
ment of Justice in the prosecution OF the cases
now pending, and in the detection and punish
ment of such guilty parties as have not yet been
indicted. 1t is deemed Of especial Importance
that officers Of the Government who have be-
trayed their trust and engaged in frauds on the
revenue shall be brought 10 speedy and eondign
punishment. Those who are intrusted with ofti-
al duties and responsibilities should be given to
know that the Government will not deal lightly
with them when they prove to be guilty OF eorrup-
ton IN ONCE Taxpayers cu0nOt DC cNptcItu 10
deal honesty with Government when its own
trusted officers are permitted TO participate In
frauds the revenue, without mourning swift anu
certain punishment. The highest guaranty for
the faithful collection Of the reyenve is in the
vigilance and interity of officials. This guaranty
can be secured only by careful % selection % in the the
IrJved their efficiency and honesty, and by prompt
dismissal and vigorous prosecution of such as have
been found faithless. ..
EXPORTS AND IMPORTS.
d
ports the United States for the last fiscal year,
n coin, appears from official returns to the Bureau
of Statistics, to be follows: Exports Of domestic
goods si99 IS, 100; exports of foreign goods, sli
l5S,6li Total exports, s513, ~, I'll. Imports Of
goods, s533 OO5, 435. Excess of imports over ex-
ports, SIS. .562, ,125. .. I..-.. .r.r .
For the fiscal year ended June 30 1874. the ex-
cess Of exports over imports sls,s76o9s. Ex-
ports OF specie and bullion s 1872 l42; imports of
specie and bullion, 20,900,.l7. Excess of exports
over imports, sTl 23l 425. Total excess of exports
Of goods, specie and bullion over imports Of same,
While the returns of the values of exports by
sea are substantially accurate, 1t has not been
practicable to obtain complete statements of the
exports TO Canada in railway cars, owing to the
fact that there is no law requiring persons ex-
porting merchandise by land conveyance to file
full manifests Of the exported goods with eollee-
tors Of customs
The Commissioner of Customs of the Dominion
of Canada has, however, furnished detailed state
ments from which 1t appears that the value Of ex-
ports to Canada during the last fiscal year was
sl5,o60,Zs in excess of that returned by the Gus
toms officers of the United States which would
increase the total exports Of the year BY that
reduce the excess OF imports OF merchandise over
exports to "a eo2, ,5oT.
tion, in of that entered for warehouse dur
ing the past fiscal year, merchandise of the value
of e. 992 06l. .aE.
The total expectation of specie and bullion was
greater than that for the preceding year by S25.-
sol 7a7, while the exports Of domestic goods have
decreased in value s70149,32l. s- A. - r..-
Importations have decreased to the amount of
80 40o,9o rs compared with those Of the preced-
ing fiscal year, and Of slo9 Oh, los as compared
There is an increase in the value of the importa-
tOn Of the following articles: Tea, 81 4o9; fur
fars. slss SIS; arsos, ssii los; drugs, chemicals,
dyes, &c. 81 800 S64; dye woods in sticks, sfO5s 81;
gums, 1891; hides and skins, s2os2s2s; silk,
raw, $3.50, ,29e; silk, manufactures OF, S3SA14l;
fancy goods q, TO-, ,952; fruits, s425a,o02; jute,
grasses, and manufactures Of s556, ,9s3; precious
stones, 81 IA sOS seeds - 200; wool and manu-
There was decrease in Ealue Of irnpertatiens Of
articles brought back to the United States, s1,-
2o7, ,2se coffee, s4!5I 4T9; India rubber l52 80;
breadstufs, a. $40: pig iron, q, s29 354: bar
ss,0os, ,iiS; machinery, SS5,7ii; band. hoop and
sg7.7I6; old and scrap iron, s7O3,osa; firearms,
s1S225; steel bars, ingOts, sheets and wire, $i3O
49,; cutlery and tools, 1885 o?.; ether manufae-
s353 l34; indigo, S33 152 madder 1881 100; nitrate
Of soda 500 2o soda and salts Of sos lsa tin, in
Dare, DlOcks or pigs, so0o.JOI NOOu ana mhnuthc-
lures Of - 27I0, $50; wood, unmanufactured, $685.,
$50; live animals, e5I3,s15; cotton manufactures,
sl55, ,4oS; earthen, stone and ehinarare, s5l71+S;
fax and manufactures Of, seo9, lag; glass and
glassware, s452, $40; hair and manufactures OF,
sS439So; hemp, raw, s556, ,66i; lead, $7l4sl2;
opium and extract Of s502 35; provisions s5I 499;
salt S53l T2l; sugar and molasses, sT,s16 1885, to-
baeeo and manufactures of sl,si4o2l; wines,
spirits and cordials, sso5,9i2.
There was an increase in certain articles ex-
ported as follows, the values being stated in eur
rency: Cotton manufactures s976.0 lard g. 592-
sos; cheese, 81, go 60s iron manufactures, 42i
lss; sewing machines, $2oS, ,653; drugs and chemi-
calls $l 5a2; hides and skins, q 3tS; furs and
fur-skins, q, ,062 059 leather and leather goods.
s2,53S,2IS; brass, Si97 09S. clocks and parts of
Sl540; copper ore s8l9 12s; copper, in pigs, bars
sheets and old $919,079; fruits, $3.50. .sH; ginseng
s2l0 166ihops IL 25s SIS firearms, 90 1o2 1s2: lead
and manufactures of, Sl2I, ,265 manures, sJ32 Zoo;
oil cake, e1,o3s9I0; quicksilver, si95, ,2T5; seeds
clover, timothy and garden, S553, 293.- --.E-T
The exports OF domestic gold and silver In ex-
cess OF the imports was so2 $50 Az against s3l
2i4.ISO for the previous year.
There was decrease in the value Of the expOr-
tatiODs OF the following articles: Agricufturalim-
plenents, ASH: hogs, SSS6, ,622 bacon and
hams s4,Tl295 Indian corn, s3l3 Ola; Indian corn
meal sSs, 500; rye Q,357,3Si bushels,l u, ,363z72
wheat. uI,992,I5l bushels,) ~, ,s13 500; railroad
cars, s6f 81; bituminous coal l5s 3ol tons,l SI5s
I23; anthracite coal, (sj,IsS tons,) si44&5s cot.
ton raw, (9s, 1900 lbs.,) so, o,5s4,955 hemp and
manufactures Of i3sos; Illuminating oils, (25,-
Q,s2o 222 gallons) ss13262; spirifso Of turpentine
Na1l AnI.o Taaf Cnf