The Portland daily press., 1876-03-10
Forty Fourth Cougress-First Session.
SENATE.

ASHlNGTON, MAT 9
| Mr. Cragin from the Committee on Naval
| Affairs, reported back the bill authorizing the
payment OF prize money to officers of the Far
| ragut fleet tor the destruction of the enemy
vessels in 1862, and asked that it BIT referred to
the Committee on Appropriations. 1t YVES so
ordered.
Mr. Sargent from the Committee on Mines,
reported favorably on the House bill to exclude
Missouri and Kansas from the provisions of the
act TO promote the development OF the mining
resources of the United States
Mr.. Cockerell said he desired to offer reso-
luton requiring an investigation by the Judci-
airy Committee into certain acts of Congress
and acts and proceedings OF certain railroads.
| He then sent to the Clerks desk and had read
| resolution instructing the Committee on Ju-
| dietary to inquire whether patents for land had
| not been Improperly issued to the Southern Pa
| ciic Railroad of California, and what action
| shall be taken to preserve the rights OF actual
| settlers on such lands, and also to protect and
defend the rights and duties of government as
| to the ownership of such land, the right OF the
people to make presumption and homestead set
| element, and that the committee have power to
| send for persons and papers
| Mr.. Gordon of Georgia, called up the resol0.
| ton submitted by him on Tuesday instructng
| the Committee on Finance to ascertain if posi-
| bic what amendments to onr revenue laws are
necessary to secure economy and certainty Of
| the collection of the internal revenue and pre-
vent recurrence of official frauds in that
uAnuSu VI puUIO ScINlCc. Lie LHuuIHCI tuo
resolution TO read as follows
Whereas the frequent and enormous frauds
committed by distillers and government officials
have deprived the government of its lesiti mate
| revenues and brought disrepute on an import
| ant branch of the public service; and
Whereas, the interests of the people and
good name of the government demand that
Congress shall take immediate steps to so amend
| the laws as to secure economy and honesty in
| the collection of the internal revenue; there
fore,
Resolved, That the Committee IN Finance
be instructed to ascertain il possible what are
the defects in the present system, and what leg
slation is necessary to remedy these defects,
and especially to inquire first, whether It would
be advisable to so,amend the laws as to levy the
whiskey tax directly upon the capacity of the
fermenting tubs and require it to be collected
in advance; and second, to create corps of ex-
else to hold office indefinitely, removable only
for incapacty or malfeasance in Office.
Mr.. Gordon said the resolution proposed
radical change in the revenue laws, 1t was
proper, therefore, that he should explain the
reason of necessity for such change and he
disclaimed in advance any disposition to re-
fleet upon the head of the revenue bureau or
Treasury Department His purpose was to
deal with this system alone and show its de-
fects.
Had this re solution been adopted three years
ago, even Joyce would have been compelled to
act as an honest man, the whisky dstillers
would have paid the tax and the whisky ring
would have been impossible. Money enough
would have been saved the government to pay
the cost of one hundred centennial exhibitions,
or build railroad not only to California, but
| around the world il there was land to sustain
it. In no department of the government was
there louder or more imperative demand of
Congress for wise and energetic legislation
than in the revenue bureau.
Mr.. Gordon then read from report of Mr..
Fessenden when he was Secretary of the
Treasury in 1864, to the effect that the annus
production of our distilleres was 100,000,000
gallons, aud argued that since 1864 the popula-
ton of the country had increased, all of the
southern states had been added to the consum-
ing and producing capacity since that time, yet
Commissioner Pratt in his last annual report
states that the government received tax upon
only " 500, 600 gallons last year. This demon
strated that there had been frauds. He belev
ed there should have been received into the
treasury since 1864 over 81 200 000 900 from the
$3.50 100000 had been received. Tike into con-
sideraton the fact that the production as we'll
as the consumption had been increased by the
southern states securing their relations with
the federal government, and he believed at
least 81, 000 000, 900 had been lost to the gov
eminent on account of whisky frauds. Where
had this money gone? Into the pocket of the
dishonest dstiller, or what was worse, into
the pockets of dishonest government officials.
and brought disgrace and Generalization upon
the nation. He bad but one object in bringing
this thing to the attention of the Senate and
that was to awaken the interest of Congress
and of the country, and have such legislation
that would ferret out and prevent these frauds
and rescue the country.
In organizing our revenue system there had
been an extensive plagiarism of the English
system, but ne was bound to say that the
shadow of that system had been merely stolen
and the substance left behind Great Britain
could collect and did collect $3.50 in gold per
gallon on the product of her dstlleries, but the
United States could not collect 20 cents a gal
Ion in greenbacks, and when an attempt was
made to collect So gallon in greenbacks all
was lost. Why was it that England under the
same system could collect ten times as much in
gold as the Uuited States in greenbacks? 1t
was because England appointed her officers
solely to collect taxes, while here they were ap-
pointed to collect taxes and help the party
which for the time might happen to be in
power. Applause in the galleries, but it was
promptly checked by the presiding oficer)
Mr.. Gordon continuing, said the efficiency of
the English system depended upon the honesty
of its officers. Were Englishmen honest and
Americans dishonest? He resented any such
imputation. 1t was also true though that the
officers of the English excise did not steal the
English revenue while officers of the American
excise did appropriate the American revenue.
England had but one motive in selecting her
officers, while here we had double one. The
Eng lish excise officer assforbidden TO belong
to any party organization, but here sue officer
not only might belong to party organization,
but he must belong to a party and to the one to
which he was indebted for his commission.
He must work for and contribute to the party.
In England the revenue system was a success
and the pride of the people, while in this cOun-
try the same system was an iguominious fail.
ure, famous only from failure, and conspicuous
only from crime, Infamous with the people and
q disgrace to the country.
He wished to add his deep conviction that
whatever party might be called upon to admin.
lister the government, If it appointed men to
collect the taxes on account Of their party ill.,
fuence, disgrace would be brought upon the
party. If it should be the will of the Ameri-
can people, as he believed it would be soon, to
put the Democratic party in power, that party
would bring honesty to these departments. Yet
so fully was he persuaded that there would be
a temptation to use money to keep the party in
power that he felt very much like praying the
Lord to deliver the Democrats also from temp
tation. He then referred to the amendments
to the revenue laws proposed by Commissioner
Pratt, and said that they would be insufficient.
The axe must be laid at the very root of the
evil. The collection OF taxes must be taken
away from party tenn ptation and party infu-
ence To have true good administration
corps of excise must be created removed from
the temptation of party support Such a
corps should have moderate salar, and hold
Office during life or good behavior, and at the
end of service they might be retired with pay.
He urged upon the Senate to pass the resolu-
ton and have the excise corps, but if the adop-
ton of that would be too much of party sac.
rifice then he hoped the other proposition would
be adopted and taxes levied upon the tubs to
be collected in advance The adoption of the
resolutions would make the receipts from rev.
enue certain and they would rid that service of
the vast horde of revenue harpies. No man
could read the comments in the foreign press
upon our revenue frauds without blush of
shame. As an American citizen, to-day,
standing in the shadow of that awful event
which has cast gloom over the whole country,
it greved him to state that American lnstitu-
lions were imperilled by the sad and sickenipg
disclosures Of the last few years. What are
they? Corruption, corruption in high places
and low, Credit Mo5ilier, Sanborn contracts,
Washington city government ring, and last,
the horrid, filthy, dirty whlskey ring gathering
the revenue officials in it.
Could not senators bury party considerations
for such a result? Could they not forget all
parties remembering only that they were
Americans with republic to save and repu-
tation to redeem?
Mr.. Morton said that it had been said that
civil war was generally followed by period of
decentralization and he supposed there was
something in that and in that case the respon-