The Findlay Jeffersonian. [volume] (Findlay, Hancock County, Ohio) 1870-1881, 1876-11-03

IQe course OF tue PREPARATION uBfc
been making to carry out your instruc-
tions to commence an action against
Samuel ]. Tilden, to recover his un
paid income tax. / learned with great
detail. and in a manner that satisfies
me of the substantial accuracy of the
information, that Oh or about the year
1869, $50, 900 wer,- paid to Mr.. Tilden
by the Pittsburg, Ft. Wayne s. Chicago
Railroad Company, or in its behalf,
and that the entry of that payment
appeared upon the books of that com
pany, and was substantiated by Mr..
Tilden's vouchers, which were among
the papers of that company. As Mr..
Tilden, for the year 1869, paid a tax
upon only 81, 900, l thought it at once
essential and just to verify the infor-
nation. /, therefore, requested a rev.
enue agent to go to Pittsburg and pro-
cure access to the books ami papers of
the company, never for one moment
doubling that the officers of great
corporation would gladly render all
the assistance in their power to the
Government On arriving at Pitts
burg, the revenue agent learned that
since the publication Of the allegations
as to Mr.. Tilden's income tax, the
books and papers of the company had
been more directly transferred to the
control of an officer of the company,
who is a strong political friend of Mr.
Tilden. That gentleman peremptorily
refused to permit access to the books
and papers, and referred me to the
President of the company, Mr.. L. H.
Meyer, of this city. should add that
before leaving Pittsburg the revenue
agent obtained additional proof of the
substantial accuracy of my informa-
ton, with evidence that the payment
was made to Mr.. Tilden at a time when
the subordinates of the company were
suffering for want of their Just dues.
Acting upon the reference to Mr.
Meyer, |, on October 5, addressed him
letter, requesting that he would give
instructions to allow the books to be
examined, and in reply he promptly
informed NE that he mad referred the
matter TO the Directors, who we're sum
moned to meet on the 18th. On the
9th Mr.. Meyer wrote me TO know under
what authority of law l claimed the
right to examine the books of the
company. On the 10th l replied that
while / believed there was sufficient
authority in the law to compel the pro-
Guetion of the information denied, that
had not intended to place the matter
upon that footing, but only upon the
footing of Il request to the officers of a
great corporation to aid the Govern
ment in its efforts to recover taxes of
1 tx.lich ~ ha1 haan Iapr1ua1 hr -,
it information as TO matters which
could not prejudice them, nor, indeed,
any one, except the person, if any,
who had escaped the payment of his
just jues. Though the Directors meet
ing was called TO the 18th, there was
no reply until after renewed applica-
ton on my part. Mr.. Meyer, on the
23d, sent Inc a letter declining to give
the information, and placing himself
AID the company upon his and their
legal rights, as they claim them to be.
That letter is as follows:
l. II. MEYoR, p o. Box 20S, NEW YORK, ]
! ''21 Nassau STREET,
| "NLw YORK, Oct. %, 1876. }
'GeO. Bliss, United States District Atoraey.
City:
"SIR-Your rote of the 21st wa
brought 20 IRE by your mees' nger Iii,
day oIriy. In ply TO your ii.q'.iry.
beg leave 70 say that ! an advised by
/ counsel :hat tiie Commissioner nf 1iie.
In'ernal Revenue has TO exrcutiv
rpghT 10 examine into the Furt Wayut
books for the purpose indicated in your
letter of the 5,h Of October. Your own
subsequent letter to he of the 10th of
| October IN reply TO mine, asking fer
referei ce to ali authorizing statute.
confirms me in that view. Being so
advised, and so understanding your
letter of the 10th of October, you will
need to understand that l can not act
on a different opinion of the law. To
do so would be bad precedent for any
company. What the law requires
clearly shall certainly do. But if any
uncertainty arises l shall take advice,
an6of course be governed by it. In
giving this reply, beg leave to add
that no disrespect is meant to you or
any of the Government officers. If
you consider you have the right, and
mean to enforce it, / can only meet it
by an appeal to the courts, but, of
course, what is done will be done OH
somebody's responsibility, and that
somebody will, think, be held to ac-
count. Yours, very respectfully,
IL. Fl. MEYER,
President pro tenn. OF the Pittsburg,
Ft. Wayne & Chicago Railroad Com
pany."
at is, of course, clear that at the
proper time the Government can, and
will, compel the production of the in
formation desired. The refusal is only
of Importance because it comes from a
Board of Directors of whom Mr.. Tilden
is one, and the mere fact of the refusal
seems to Inc TO confirm the truth of
The information l have received. 1.
,-..n hardly be believed that if the
books nl:L u, hers did lot confirm the
statements, there would have been any
hesitation ill allowing access to them.
Il may further add, that find that
for the same year, 1869, Mr.. Tilden
rendered services for which he charged
and received SIC, 900 from the Unicn
Pacific Railroad Company. This is in
addition to 9,000 charged the same
company for services in 1867, 1868, and
1870, and which were paid to and re-
ceipted for by Mr.. Tilden. There is,
besides, 50, 500 paid on March 81, 1868,
by the same company, which is re-
ceipted for ION account of professional
services" the receipt being signed,
Samuel j. TildeD, per James P. Sin
nett" but | presume there is no doub-
of MIR. Sinnett's authority to act for
Mr.. Tilden. Mr.. Tiiden's account to
the Union Pacific Railroad Company
shows that he, at the time covered by
these charges, rendered considerable
services to the somewhat notorious
Credit Mobilier, such as advising with
reference TO bills in equity prepared in
its behalf, drawing a contract between
the Credit Mobilier and Oakes Ames
and others, consulting as to the suit OF
McComa against the Credit Mobilier,
which suit led to the disclosure of the
operations of that concern. All OF
which services may have been covered
by the charge against the Union Pacific
Railroad Company, though have in
formation which leads me to the opin-
ion that Mr.. Tilden also received con-
siderable sums from the Credit Mobi-
lier. | have gathered a good deal of
information as to charges for services
made, by Mr.. Tilden, and the payments
made to him for services to other
corporations and persons, during the
period covered by the income tax.
They all go to show that he escaped
taxation on a very large amount OF
income. l am still pursuing my exam
ination, for though there is abundant
ground for the immediate commence
ment of an action, it seems to me that
there are reasons whv delay Is advisa-