The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-01-31
THE ALLEGED REVENUE FRAUDS.

A CHICAGO VIEW or THE sUBJEcr-EAsrEEN
IMPORTERS OFFERING GOODS CHEAPER THAN
THEY CAN BE HONESTLY IMpoRrED-Ex-
SECRETARY BEIsTow HELD TO BE ELAMABLE.
lBY TELEGRAPH TO THE HEIALp.l
CHICAGO Jan. so, 1877.
Tho reported discovery OF u wide reaching con-
spracy to dcraud the revenue between United States
Consuls abroad aud importers at home created quito
sensation here to-day, from the fact that several
Chicago importing houses said be implicated.
Your correspondent was informed that Mr.. Charles II.
Ham know the facts in relation To tho matter, and
upon him he first called. AIR. Ham said that the
charges OF fraud did not surprise him at ali;
that undcr the loose system pursued by tho govern
ment frauds were being pcrpetrated 10 the extent
OF millions OF dollars annually by the importers
OF the country, and that such frauds continue up to
this time, through tho fault Of cxsecretary OF tho
Treasury Bristow. Mr. Ham said that when he was
Appraiser OF this por. he went Secretary Bristow
himself and Informed him that great frauds OF this
kind were being committed At the same time no sub
mitted plan. having forwarded beforehand through
tho General Appraiser Of Western and Canadian ports
General T. H. Meredith, whereby these frauds could
prevented. General Meredith recognized the CON-
pcteness OF the plan, also aid the Customs idopar
House at Washington. Everybody to whom !. vas
submitted in fact heartily approved Of oxccps Soc
rotary Bristow.
MR.. mAM's PLAN TO PREVENT FRAUD.
me principal feature OF this plan was tho
establishment OF bureau Of samples ut
at Washington, presided over by exports; with this
bureau properly conducted II would he possible for
importers to undervaue their goods. II being the
duty the appraisers to keep book OF samples aud
report daily weekly what class OF goods passing
through their hands. The consuls abroad could not
deiraud tho government under this system every
thing would he checked on at the Custom House and
compared with the samples In tho bureau.
Secretary Morrill, approved OF the plan Immediately
after his appointment, but tho bureau has not yet
been established. 'sThc outrageous undcrvaluation'
added Mr. Ham, ''ot which Eastern importers
chants TO import direct compete with them. They
can save money by buying in New York. " In conclu.
sion Mr. Ham said that Brstow, although fully
Of ITS necessity could do nothing toward breaking up
the Now York ring"
MEncnAxrs' VIEWS
Mr. L. 2. Lcttcr, Of the Arm OF Field Letter Co.,
stated TO your correspondent that government agents
had lately called upon his house in regard this
What this information WIS he positively declined 10
state He believed that government was beng de-
frauded by Eastern importers lie know that
honest business could import goods and sell them
think that Chicago merchants would be implicated.
wien all becomes known u will DO frghtiul, II the
charges can be proven" no added, sand think they
arc susceptible OF proof"
not say how far the reports true regarded
Chicago merch ants.
Mr. J. X Harmon, representing j. N. Farwell " Co,
knew OF no frauds, and thought tho whole thing must
be a mistake
Mr.. Wheeler, examiner under tho present appraiser
didn't understand the matter we'll enough hazard an
OPINION. number OF other merchants and officials
werc visited but they knew nothing about 1t; although
they nearly all concurrcd in the opinion that Eastern
importing houses were selling goods susplcousiy