New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1876-08-02
TILE INVESTIGATION.


Whisky Frauds met at 3 o'clock this afternoon The
remark of REPRESENTATIVE Plaisted yesterday, that
ex-Secrctary Bristow was a member of the house OF
Newcomb. Buchanan x Co.., is privately stated by
him TO be inadyertant. as he did not intend TO
be so understood having no knowledge OF the
name of the firm until it was given by Mr.
Chapman the witness. To-day the subcommittee
examined William 4. Gayett, Special Agent OF the
Internal Revenue Bureau. He was on duty IN re-
cent investigations of whisky frauds in st. LOUIS,
in June 1873. and testified as follows:
On June 81, 1875 III conjunction Win supervisor
Meyer and Special Agent Crane. | reported charges
against Collector Mcclure, asking his removal winch
was at once ordered by Commissioner Pratt; met
solicitor wilson ut Cincinnati the May previous in ODE
dience TO instructions; Mr.. Wilson informed me OF Ms
suspicion OF whisky frauds in Cincinnati, ana had
memoranda several Of the houses there ana was ui"
posed to have the Collector removed; re-
marked to him that unless he had charges
against the Collector better TO move slowly; Mr.
Wilson said il dd moi make any difference as the PTesi
dent was backing the movements against the WHISKY
men: Mr. Wilson did not have the Collector removed
but frequently assured that the President was back
ing the movement, no matter how strong the WHISKY
Ring was Mr. Wilson said that Mr.. Bristow was 10 he
the next President Of the United states and gave me To
understand this the policy TO bc pursued; DIFF
fered with him, as rather under the impression
that Mr. Blaine would be tne next President; the III
strnctions l received from Mr.. Wilson were verbal;
made seizures In Cincinnati; had other conversations
with reference the Presidency one OF them at Mr. w"
sons Office in Washington this in S'ptoI4per $50,
when Mr. Wilson st insisted that Mr.. Bristow was the
man; on the 10Th of May Mr.. lapan was assigned as
Chief Of Revenue Agents Iaryan undertook TO instruct
me- SAVING work for Mr. BristOw, as II was wise
policy to sO and adding, You viii have to let up on
that id Blaine matter: tins was said IN threatening
manner; the first visit TO ~. Louis on the whisky
W .t,,1,.r I--- VIII ltTnz ll a
Yaryan subsequently, BraSh.cr sold oui to the WHISKY
thieves obtained all the money he could aud fed to Eel
GUM: Yaryag gave me assurances similar 10 thVc gwen
by Mr. Wilson last year. that the President was III hearty
sympathy with those who were prosecuting whI-ky
thieves. later however within the last few months,
Yaryan seemed to feel differently; he ala not make any
drec; charge against the President but spoSe as If he
had not much respect for him.
BY Representative Cochrane-Did Mr.. Wilson speak OF
Mr.. BristOw as rciomeri
The witness-At that time reform had not become
q stcreotyped phrase : applied 10 the Presidency.
Mr. Cochrane-Did he say that Mr.. Brstow was the
r1rht man in the right place \. II" said Mr. Brsiow.
was the man for the next President and that they were
going TO make In Presidents listened 10 him ati'h
lively, a. liked his zeal; hc was Vrr! positive III Ms
instructions that Mr. BrsOw was To be n" next Irc,
dent did not obey the Instructions rs Surhi le
garlcd wua. ~ said strons intnaton tAat must
turn 90 Mr.. Bristow.
Mr.. BIistowl A. Yes, at the Grand Hotel he said
We are gong make aim President said was Tor
Mr. Blaine.
O. Did you instruct him to 20 for Mr.. Blancl \. He
was my superior officer.
O. Then he had 40 such power TO instruct youi \. II
he had ted should Mt have obeyed him. nor
would obey ;Ac President himself IN snch q case
IMMUNITY TO CoNsmGAToRs.
Mark Bangs. United states Dstrct-Attorney fo!
the Northern District Of Illinois. who tool. his oath
of Office on December Is, 1875, was next exam
ined His testimony was to the following effect:
10 one OF the first questions presented to me was n I"
receiving The c,tmOn, OF accomI.ices In whisky tl"7;
Dexter Aver q BOuen had been retained As special
counsel; supervisor Matthews said there was I""p'-
sition to take certain disters a states c'idchcr ana
wanted to know my opinion; / told him, ~ !
had not vet obtained my commission and knew nothing
OF the preliminary steps should refuse 10 give NV
opinion until received authority from Wasih ton me
part took induced the return Of Mr. Matthews 10 wash
ington; he reported wAcn he reached Chicago that b"
had received instructions substantially TO the effect ha'
they were authorized TO make such terms with crooked
whisky men as they could 10 TIE extent the iLatruo
tios youli warrant giving them civil and criminal Inn
muuity; lie understood the proposition to cover the hrst
batch inclu ling from min" To twelve d'ieis ahh4''u
Aers running crooked the Term istt u.s. engaged III
whisky frauds on the revenue; some gang'r' ana
storeRcepcrs were taken in ancrward under tne
I =
did 50 on the that sentence would not be
moved against Them. some were promised immunity.
and others testified the promise that the fact OF their
tesyus would be presented 10 the court IN mitigation
Of their punishment; Mr.. Matthews brought authority
to pursue such from the proper officer NJ Wash
inetoH; ny understanding that an arrangement ~
TO Immunity was completed when all the counsel woro
together; do not think there division Of counsel
the counsel history OF the trials ana the results,
stating that The chief Of the WHISKY RING WAS Jacob
Eehm German, who had lived Ia Chicago 80 years.
lie seemed 10 De sort Of head center. lie occupied
position he able 10 have augcrs aud rorcktcpCis a
pointed and have them assigned. Dstillcrs c0nse
quently sought his protection and paid for it
much money barrel on their whisky. lie
received in this way about 100000 There
! WAS evidence enough to convict him, but partial
| immunity was granted him 10y and my legal ass0c
aes, under the direction Of the Department. through Mr.
Dexter, VINO said hc had an interview both with S"cFc
tary BI!,tow and Attorney PieucPont; Dcxs.r
had coma me receive a propositions from Iclnn 10
testify for the Government; he consented TO send his l
| pncation the Department; he wrote IA letter
] giving q full account OF the testimony Echm
| was prepared to give, and the terms Of i'm
| muES; / urged the necessity Of explicit dircc-
| lions and authority in writing; Dexter told me
he read tie letter ErstCw and Wilson, and received
direct and positive authority; terms and conditions
were lc 20 tao discretion ana Judgment OF the counsel
tley treated the basis that chm should not go ia The
puertiary and sLOui not be fined more than 50 900;
but they would ask the court that the imprisonment
should not BE- more than six months in jail and the fine
$4,000. He thought tie court took Their suggestion
! into consideration.
o. by Mr. Pdistcd-Was any evidence disclosed before
the Grand Jury showing tEat Senator Logan % Mr. Far
| y,1l were complicated with the whisky .I:nSF H..
Not the slightest nor in my investigation did discover
anything tending to mplcae them in WHISKY frauds,