Evening star. [volume] (Washington, D.C.) 1854-1972, 1875-05-11
THE WHISKY SMASH.
Origin and Progress of the Camoairn

requirements and evasion OF the payment of
the tax has been the rule rather than the
exception. For years this has been patent To
tie Secretary OF the Treasury. mem oers OF
Congress. the Commissioner OF Internal Rev
eGuc, and honest GistilerS In time those
who successfully evaded the process Of law
were dubbed a. the whisky ring and a
mighty told and pro- perous combination 10
las been. When Secretary BriStOw aS>um Il
the duties of the Secretary of the Ire ur ?
ne was Dotwarm in ms t.nanciai chair ere he
received letter informing him that prOn;-
mont whisky firms in the west were
| nEFRAUDlNG THE GOVERNMENT 10 A
LARGE ENTENr
by means Of false returns. In the little game
those Inclined 10 he dishonest were aS flStel
most materially by the guagers ami store
the light OF present de velCpments predicate
Large profits from this TACT. The government
pays tire officials mentioned from four IN six
dollars per day. From the profits accruIng
from Illicit transactions the distfller coul 4
afford 10 pay these government agents twice
and thrice their salaries. The consequence
was that the distiller filled his pocket at the
expense OF depleted treasury. TO The credit
o. MIR. BriStOw the ring has at last been
caught by the throat. 1t took a good deal OF
time, patience ana money To accomplish il
but the result - that to-day the government
holds seized whisky liable To coniiSca lion
aggIeSating IN numerical value many mil
lion dollars and covering from TIVE IT, u
thirty dIstillerieS.
THE FIRST HIM.
About year ago Nh Douglass, commits
SiOner OF internal revenue, received letter
nom st. Louis informing him that a mum Der
OF firms in That city We're selling WHISKY nj
q rate which, 10 say the least. indicated Lhat
those Offering could not have IA tbfaliy
complied with the requirements or the law
He at once turned the matter over TO Sunar-
visor Powell, vino, after an inspection, re-
ported, Git C01'TWte 10 Col. Sellers. "tnerC- :
nothing IN H." SUBSEQUENT letters were re
ceiNed from other cities in the west. but the
universal report OF Supervisor Powell was
. F.4G gfnff d in .Fs..a.v
falling 10 MAKE any discovery likely 10 UNI
earth the frauds pTaotiSe!. the Illicit traffic
continued, those engaged in - grew prosper
Gus. and nothing more was done in the mat
ter Of detection until Benz. +. BriStOw, OF Ky
became Secretary of the Treasury.
Mr.. BBIsTOw INFORMED.
II was rot io.lg after lie assumed the duties
of his office ere he was appTiSed Of the exist
ence of the formidable ring and its Illicit
ralSactiOnS. He COmmu 9ica TED the inioy-
NATION 10 Mr.. Douglass, who. in turn, gave
him the results of the research which had
been made by Supervisor Powell. Like q.
flash il Cawned upon him that collision eX-
listed between the diStiller and the revenue
CiiicerS, and accordingly he determined 10
make an investigation independent OF the
revenue force. He sent FOR Solicitor Wilson,
of the Treasury, and gave him 10 understand
tina; he had full faith in the opinion that the
government was being swindled to a large
amount and 10 him entrusted the working
up Of the case,
GOING TO WORK
Acting upon the information of a friend in
st. Louis, a special agent of the secret ser
vice force named by letter was secretly APP
pointed to change the operators at mat
point. He ut once organized a special force,
and through his own eXCrtionS and their ef-
forts the secrets of the II. Louis operators
were disclosed and duly reported. From
facts which were developed in that city il
became evident that operations of an Illicit
nature were also being carried On in Chica 20
and Milwaukee. This was unmistakable.
because of the fact that full transcripts of
the operators at these points for some period
OF time which were obtained. made quite an
unfaNOrable comparison with the returns OF
The nrms involved in the frauds fiei with
Inc Commissioners OF Internal Revenue.
These showed Implications; even triplica-
lions OF many lots OF whisky, the same serial
mum belS of stamped packages being found
in several cities IN the south and east. I'm
many cases stamps were regularly returned
10 the distilleT by the reclifier. The frauds
dlScoN6 red in the city of ST. Louis alone. il
IS estimated, aggregated over one million
dollars annually. The evidence collected
proves collision with nearly al the revenue
Officers at st. Louis and several at Chicago
and Milwaukee.
On Friday last several revenue officers
were ordered To proceed 10 Chicago and Mil
Waukee to seize the several distilleTieS and
Tecjifying houses at those points, and they
Were seized yesterday, reported by teIe-
graph elsewhere I'm the columns of the STAR.
OF the number seized eleven are at St Louis
thirteen at milwaukee,, add eight at Chicago
The government expects TO realize from
these seizures more than the amount of tax
The past two years.
THE PRESIDENT C0-oPERATFs.
so soon as Secretary BristOw became con-
ElnCed of the actual existence of the frauds
he communicated the information To the
PRESIDENT, who cordially and cheerfully CO.
operated with him in checking the operators
GRAVE Suspicious.
II is stated that the fraudulent trausac-
uOEs gust unearthed have been known to
clerks in the Internal Revenue bureau i'm
ms clty for some time. Indeed, Il is asserted
WlfnngE1 fhnIr nnF-Df ion I,.,.
nothdYe been successfully carried on Mr.
douglass says that he does not know person.
ally more than thirty of the two hundred
cIefhs employed under him-tnat so far As he
Knows this nuElber, he cannot for a moment
believe that they were in collision with the
mig; OUTSIDE OF this number many may nave
been engaged with The operators, but he Is
10Th % believe ii to be N verify.
Orders were issued ihS ilii-..,,,,iIiig bv Sanr4-
iary LOW TO seize five additional distil-
leTieS in Milwaukee.
Altogether nearly thirty distilleries and
rectifying houses have been seized. In Mil
Waukee some resistance was made To the
raIding officers which. however. was uuickly
overcome. No seizures have yet been or
dered in Cincinnati Pittsburg. or Kentucky.
Solicitor Wilson says that he advised ire
quently with Commissioner Douglass who
was found ready at all times TO furnish rec
ords and every desired Information. No
blame OF any kind attaches TO the Commits
sioner.
WHERE THE WHISKY has BEEN TRACED.
nave traced the whisky in the hands of the
following firms, and orders have been issued
10 seize IL: Meyers 4 Bro, Savannah. Ga;
.. r. Weter Co.. and y. MOntoe x CO.
Charleston, sc; A. Il. Mooze & Co. Mobile,
Ala; ii. Burnhill X Bros. Wilmington. s.
Z; Cohen X Co, and Clayton & Webb. At
lania- Ga. In addition il is known TO the
treasury department that other lots have
D5en shipped south, the whereabouts OF
which Will undoubtedly be disclosed within
d uay or TWO ne fact that the whisky has
oeen trace INTO the hands of the above men,
lied firms does not necessarily crimi Iate
them with tho Illicit transactions,
To-day, Commissioner Douglas issued or
ders 10 send at once the names of all the rev.
enue officials known or believed to be in col
fusion with the "ring' 1t is the intention
TO prosecute them to the extent of the law
and ii is thought there is sufficient evidence
attainable To convict large number of them.
The exposures thus far made have created
not only lively interest in this city, but
elsewhere. The officers of the Treasury have
been besieged all day with kilograms, in son.
instances conveying Information, in OF, ,ers
volunteering Information. ALI these how
ever. are gratuitous, as the work q. So,icitor
Wilson has been SO complete tat he needs
10 hints. and those caught j., the tran will
have an opportunity to re- e.rye their ercusas
for determination by ,nrv