New-York tribune., 1877-08-21
WASHINGTON.
FRAUDS IN SUGAR DIPORTATIONs.
LII SUGARS COLoRED TO EvADE DUTIES TO BIZ

SEIZED AFTER OCTOBER FIRST
[Br TELEGRAPH To TRIBUsZ.l
WASHINGTON, Aug. 2O.-Ihe Treasury Depart
ment to-day has issued a circular to all Customs
Collectors relative to frauds in coloring sugar,
directing them after October first next to seize and
prosecute for forfeiture all importations of that
character. This circular is based upon letter to
the Collector Of Customs at Boston of August IL.
The fact that great frauds have been committed
through artificial coloring of sugar was
abundantly proved The difficulty has been
to find the provisions of law which
such fraudulent importatons violate. 1t was
discovered that prohibition of importation could
not be had under Schedule &c" of the revised stat
utes relative to the cooring of sugars that sched-
ule refers alone to coorng after sugars have been
refined: but the Department being convinced OF the
great frauds in reducing sugars To the duty standard
orders them to be seized as stated Ii is quite prob
able that some cargoes now under way VIII not
reach here before that tlme and may be seized'
Ii is evident the Department is not altogether
satisfied with the release, at the suggestion oil the
United States District-Attorney in NewYOrk, of the
sugars seized there, on the ground that they were
artifcially colored The Customs officers refer to
this. stating that the law under which they coud be
seized did not appear to be clear to the Distnct-At-
torney; but, without commenting further upon the
officers act the Treasury orders that hereafter all
such sugars shall be seized 1t shows therefore,
that the parties whose sugars seized bareley es-
capped forfeiture.
Mr. James Chief of the Customs Division. leaves
for Boston tonight with the full textof several sug
AZ reports and decisions TO further investigate the
Boston cases. The whole question of drawbacks on
sugar will be brought up Immediately upon the re-
turn of Secretary Sherman. The law very clearly
provides that the amount of draw backs paid for sug
ars imported shall not be greater than the amount
of duties received: but the claims for drawDacks
already made greatly exceed the amount OF duties
received from that source. Following is the full
text Of the letter Of instruction to the Collector Oh
Customs at Boston:
The letter OF your special deputy OF the 18th instant is
received. which he encloses one from United states
District Attorney Sanger, upon the subject OF SUGARS
artinciay cOOred. Toe instructions 10 you OF tnc "a
instant were that III any case Wh re Al Nas iuunu % , @
had been purged by tine crntrtuga O othcI pTO
OF foreign substances duty of fifteen per pound
would be imposed under schedule q, Of the Revised
which have been coOred, tinctured. or in any
way sdulterat,d after being refined, ana tue
question is raised whether sugars which nave
@ In YiS ~ the decision OF The United states
supreme Court the OF the Barlow Claimant, Pc
2O4, be considered refined sugars waving cohsd-
eraton OF question: II is deemed proper to refer to
the clause Revised Statutes which impose h1teen
cents per pound duty on cOlored sugars Ihrte para
er,ubs in schedule G. read as follows Sugar Caudf,
not colored only, pound, and all otner CON
fectlOnery otherwise provided Tor made WhOy or III
mart of sugirs snd on sugar after refined when
fnctured colored. IN any way aGulteraled valued az
tnlrty per pound. or Ices fifteen cents per pound
Confectionery valued above thirty per pound,
when sold by the box package otherwise than by the
pound 80 per ceniUm al valoren. Ihe term susai ls
thus used in connection win candy and Other cOnfcc-
tonery and refers only to an article which may have
of 80 cents per pound The yaue ot so cents per
pOund the dividing line between the duy OF ID
cents per pound and 90 per cent al Yal0rem ana the
provision OF law referred to was rooaDy trained TO pre-
vent the Introduction OF candy or confectionery Under
some al less rate OF duty. Inc Depart
ment II, therefore, OI opinion thdI the provision OF
law winch imposes 10 cents per pound duiy on
sugars after beng refined wnen tinctured. color
ed, or in any way aduterated Is not apph-
cabIe To The class OF sugars under consideration.
The practice o. cOOrng by foreign substance
for t.e Duruose of reducing the grade according the
Dutch stand nd thereby securing tnelr entry al the
Custom House as lower rdle Ot dnty llan womb Dc
charged upon their true color Is undoubtedly AZ evasion
of the intent Of the law In tne ease OF The unted
against Britain sugar of which the san FRANCISCO
ana Pacific sugar Company were clainIuts, wien was
tried i'm 1870, held tnat tns word color IL tAe
tariff act applied 10 must De uhdrstoOi 20
the degree Of brightness Whlch the sugar had az
tanned in the ordinary course of ITS manufacture anu
that u this D. alterward changed arthcialy' the
true red acquired cannot be considered tue coiOf
referred Congress "A stAnuaId Tor dulies
In view all the facts aOw presented the department
a reefs that on immortal Ons OF when shall De
found TO been arilnclaly cOiOrd hte manufacture
tbe SAMPLES taken shall cieAnsed OF their artificial
color ana tnat the shall BE- assessed upon the rue
color 50 dscertancd Certain sugars were uet.ueu "
the G siums officials al NrW-fOrk IN January a-t witch
time been artinchiiy coorei
District Attorney that ffaud On the revenue ua
committed, the cOOrins matter " az o,u 10 DC
carr,r al burnt sugar and therefore not foreign
substance This Department, however hue 40 utcison
upon me question, and II now ueehs Il ~ . ut,y ~ G
all pare, the importation OF susaiS aIuncalJ vi
ored for the purpose securing Their entry az te Cs
rate OF dut thdh "oulu Oe C"aIe.u
uDon the attained IN ne ordinary process o. nh
facture il regarded direct evasion of the revenue
laws and all nportatons OF that character made INTO
b" IDed states on ana the 1st Of October next
UtlI tfs y.tf III prty-et