Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1875-04-11
WASHINGTON.
Arrest of Parties Implicated IN
the Postal Contract Frauds.
Injurious Effect of the New TO'
baccO Tax.
Minister 20 Peru.

WASHINGTON, April 10.-The President
has appointed Richard Gibbs, of New
York, Envoy Extraordinary and Minister
PlenipOtentiary to Peru.
Taking an Early Start.
The marine band left to-day in the
United States steamer Tallahassa for BOs-
ton, to take part in the battle OF Lexington
centennial on the 18th inst.
The Postal Contract Frauds-Arrest
OF Parties Implicated.
Warrants have been issued for the arrest
of James VanVleck, late clerk in the Sixth
Auditors Office, and z. l.. Channel, clerk
in the Contract Office, implicated in the
postal frauds recently discovered. Van
Week was yesterday removed by order of
the Secretary Ct the Treasury. The order
for Channels removal has not yet been
issued bv the pOstofie Department..
Colt and Floyd, who confessed
their participation in the frauds, are held as
witnesses against the persons who persisted
in DENYING their guilt. The warrants for
the arrest of Van Week and Channel are
based on the afiidavits OF Special Agent
Woodward, charging them with conspiracy,
bribery and accepting brides. The penalty
prescribed is fine and Imprisonment not
exceeding three years.
The POstmaster-G General has issued an
order that no employee Of the Department
shall exhibit any record or paper of the
Department to, or hold communication
during Office hours with any contractor, or
agents, or attorney Of any contractor, ex-
cept upon the order Of the POstmaster-Gen-
eral. Assistant Postmaster General, Chief
CIarl- nv Chiefs If Division.
The New Tobacco Tax.
Special to the COurier-Journal-
The Internal Revenue Bureau heard an
argument in behalf of the tobacco manu-
facturers Of Virginia, from their counsel,
Mr.. William 2. BarWell, against the late
ruling of the Commissioner as to the time
when the increased tax should operate.
Mr.. Barwell contends that the ruling OF
the Commissioner gave an 'ex-pOSt tacto'
construction to the law, inasmUch as the
act of July, 1868, made it a penal Otiense
tn remove a box Of tobacco from 4 manu-
factory without proper stamps. This penal
provision was in force all day of the Sd OF
March; and if Mr.. Douglas rulingwas cor
rect. every manufacturer who shipped box
of tobacco under the tWenty-cent tax COM
nitted this penal offense; and yet, from the
enforcement Of this penal act the depart
ment would shrink. He asked a suspension
of action under the ruling, 50 as 10 give
time for a case to be made up before the
United States Circuit Court Of Richmond.
The bureau officers have agreed to recon-
slider the question, and appear to be DOUBT
ful whether their ruling will hold, in view
of the decisions in the Richardson case, q
Circuit Reports, page 57l.) The subject
has not vet been passed upon by Secretary
Bristow. Nearly a million Of dollars IS
said to be involved in it, and the matter
naturally creates deep feeling among the
tobacco manufacturers all over the country.
The law increasing the tobacco tax has had
the most injurious effects on the planting
interest Of Virginia and North Carolina,
and It is positively asserted that in these
States there 8iu be a large falling OIL in
the revenue from this source.
vice President Wilson at the WKnte
House.
Vice President Wilson is considerably
exercised over the publication Of an inEPr-
view with him by the Chicago Tmles'
Washington correspondent, in which he
criticizes Grant for appointing so many OK
Congres ,men to office. The National Re
puJiicqa went for him early this morning
very sharply. Wilson spent two hours to-
day at theNYhite House trying 10 explain
the matter to the President, but it Is said
failed to establish his loyalty in a satisfac-
tory manner.
Suspicious Escape.