The sun. [volume] (New York [N.Y.]) 1833-1916, 1878-10-29
BERNHARD 4 HUTTON'S CASE
THEIR CUSTOM MOUSE CgERR'S ferry
SUDDEN DISIPPE4RiNCE
One Hundred and Eight Thousand Dollars
Wanted by the Governmcnt-The Most
Perpie sint or all Custom, House Mysteries.

The summons in suit II the United
States against Dcnkard 4 Hutton was served
Yesterday. Bernhard \ Hutton nrc largo i'm
por,crs Of French silk and worstcd dress goods
nj 42l Br3ome street. and the suit IL to rccovcr
slesoo0 Of alleged unpaid duties on goods that
have been delivered TO the importers.
Two weeks ago yesterday n Custom House
clerk. in looking over the bonds given for
duties on goods In store noticed that on one Of
Bernhard 4 Hut,on's bonds. twenty -nino cascs
entered in 1875 had not been withdrawn from
tho bonded warehouse. He called the attention
81 Bernhard \ lIutton's Custom House clerk to
the fact. and remarked that IL it were any other
hrm he would suspect something crooked The
clcrk OF the firm replied that there was some
thing crooked but did not pursue the subject
further Deputy Collector Osborn who has
charge oi imporintions similar 10 those made by
Benkard \ Hutton was informed of the dis
covcry. and ho In tarn laid the matter before
Collector Merritt. An investigation was nj once
begun. which showed that tho twenty nine cascs
had been removed but the duties had not been
paid. Collector Merritt informed tho firm
OF the discovery. They were astonished at tho
revelations. admitted that they must have
received the goods, but were positive they
had paid the duties upon Them They invited
the fullest examination Of their books aud
vouchers.
This was begun on Tuesday. two wccts ago
to-dav but when the Custom House clerk of the
firm. r. \. Pcdrick. WAS asked for Ia assist with
the other clerks the efforts Of tho Custom House
Officers, he was not to be- found. Ii WIS nSrrr-
tanned that he came into the store early Tues
day morning hut complained Of iring 1tnwell.
VI" told the book keeper that they would have tn
yet some one else 10 discharge his duties that
DAY. nnd thon went away before any member II
the firm had come down town. The expmiua-
lion wns "rnpctst on Friday last.
COLLECTOR Merritt saws TINT the books and
vouchers - the firm show that they have re-
crlN"d all the goods consigned to them and
their cheess show that they have paid all the
duties upon them. At the same time the Gus
tom House IL short tlOs.uOO. and the permits
given 10 Bernhard Hutton show that goods
W" duties upon which would amount To-
Sos 900, have been delivered out II h1nd 10 thu
ilrm witheIt the duties being received 10y the
Custom Hous"
The transaction in which the frauG had been
prRctised j. rs follows Goods imrOffcl in bond
are stored in The bonded warehouses. and the
imporeN and their surctics give bonds for tho
navni"ut of the duties assessed npon them
Whom n part OF Tia" invoice j. wanted the i'm
porter mikes ont three copies NJ n withdrawal
entry ms entry contains numbers. matke.
AMI it--'r iliinn pfthe goods h" wislle- released
his name. II was the custom 81 Benknrd 4
Hutton to send p"dri'k to the Custom House
with the withdrawal entry and duplicate. They
also gave him check for ~" duties. lHNnblo to
his order ~ the Custom House the clerk pre-
scnls IN" withdrawal entry To- one Of the entry
clerks. Who makes out u permit FOR the ra-.l-e
of the lds. Tho permit contains a ,i,-ri1p-
ton OF the goods transcribed from tho entry
and Il. checked los the entry clert with III.
initials. the importer clerk goes next 10 tho
entry clrl, ~ III" Naval Oflcc and delivers the
duIllAt, 'ntry and permit To- him This clerk
aud checks the hermit rs putting the proper
number upon it; 1t is subsequently passed
upon aul checked hy M" bond clerk who cr,,i-
H. IN" ts nd account pi the firm with the dolly
cry OF thr goods 10y IA" cashier when the duties
are paid and II signed by the pepuU Collector
In" Deputy Naval officer and stamped on It's
back 10y th' Superintendent of Warehouses.
The l,ernit Is then taken 60 the inspector. who
makes copy OF II Tor record. then gives II TO
his drayman. who. upon liz presentation 10 the
Keeper Of III" warehouse receives the goods
The keeper of the warehouse endors"s nd keeps
the permit ~ a voucher 10 the Custom House
TINT the goods have been delivered.
Ju-t how the frand was practlscd Collector
Merritt could not ronl"'turr. He does not -us-
poet amy ot his subOrdinates but Pedrick has
suddenly dsapIearce rel,
of a system by which the fraud could be- pos
sible:. 1t was as'rrtained from data IL the Gus
tom House that there were always two or three
moro cases In certain permits upon which duty
hal ZEN raid Upon the sam" permit there
would b" IN" numbers and marks - several
other 'ases. the duties upon which have not
been paid. NJ least I'll" Custom House author
nus ,an lHi no o',i"nce mat they nave r.
guilty person. III" theory Of tho system upon
which lie ar,ed il that. receiving The with drawal
entry AMI .is dHlaeHtc from the hrm, he lnad0
ont another withdrawal entry and duplicate.
which contained the marks II only small uor-
tiun - the hoods DESIRED Z, be- rrlnn-od IFuon
thcs, ,l.trios uo obtained a permit The check
for pa" duftf being mad" payable o. hls order.
b" obtained the goods upon 70. and u-"i iNr
the payment OF IL" duties only small
fraction thereof. Before returning To hif- oin-
Iloy"rs b" a. lli insert in the permit the DO
-,rlpiiDu of ~" other cases given ln the orig
inul entry. IL his way the firm got the uunlber
81 casrr thoy wanted, and the Government gut
INC hu'l on ohy tArye or Tour OF the lot.
Inis system which seems the only possible
on. would ne;essltaie ia" forging Of tho trn.
nan" AMI the ability Ia imltat" accurately the
iigur's amt wr,ing # the entry clerks who
mad" out the permit.
The permits given the house since Jun' 1875.
have all h'ru 'HrcfllY Examined. The officers
all identify their marks aud signatures None
II m" ~ignat ures are forged, and IN the opinion
OF bank NOTE eApef.s none OF the initial check
Somn ~ the porions those used 20 obtain
goods without payment ~ duties nrc curiously
mad" out. Gu. il written for iiVe cases II
French w"rsiod dress goods. Iho numbers and
marks occupy ono end ~ the blank and the de-
scrlUtiou Of the contents ono line across H..
numbers and marks - sixteen other cases. The
duties were paid On the ive. but not on the SIX
t"rn.
The firm say that their Withdrawal entries
caun'f Ice found in the Custom House but tho
officials there are r'tc.nt upon this point and
in it,f. npOn any suggestion thatany one IN tho
Custom House WAS IN COLLISION With Ptdrirk
II tho deAcrl piions Of part of the goods in the
executed.
Tho 1rm have made every effort 10 nrprehcnd
Prrck, tut ~ yet without success. They say
lac is Ia" last man thoy would suspect Of such a
crime. lie II about 81 years Of age. and has
been with the ilrm fourteen years entering
th"ir employ when boy. He lived In Newark
y. j.. and in u very quiet humble way. lie has
been married about six years, and has several
children. Tho members ~ the firm and Col
factor Merritt have satisfied themselves that he
has az no time made an unusual display Of
money. His wife who il sadly broken down
snys thcy have nlWnys lived very economically
II assoclutns in the office say he had no bad
habits. We did not drink. and. 50 far as they
know. did not gamble.
Lew i. Morton and George Bliss. 81 Morton
Bliss 4 Co.. are included In the suit instituted
10y the District Attorney. They boin,. the suro-
ties Of the firm. The house ~ Bernhard 4 Hut.
tom is one Of the oldest IN tho importing bust
ne~s. and no imuutation is made aguins, them
III III So transactions II their employee.
= TweIVe.S enr-old BOY Hanging Himself
ALLENTowN Pa. oct 2s.-On Saturday after
noon the body Eddie Barry, abou - years o age was
found hannng b, the neck I'm his fathers barn al Wen
lcrsNhe this county, when discovered the body was
It'll warm. but life was cAunct II seems that on that
day his FATHER and mother went IA visit ao,c neighbour
leaving their iva sons Marcus AGED 49, and Eddie Al
home. Au,ielhor visited the place soon afiorWnri and
inuud the boys NJ WORK he then went away bat fc
turning short time attrWntd he missed Eddie aud
uIlrCd where he After a search hy himself and
Maj fus they tound the ltv fellow hugu- hy tile NECK
m the granury, he having fastened tht rome to the
pulcNs used tor holsuns gram 10 the Moor above liz