Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1881-12-02
GIGANTIC SWINDLE.
THE CITY OF BR0THERLY LOVE VICTIM
IzED FOR MILLIONS.
How the Republican Officials of Philadelphia
Managed the Finances-hilliQns
Stolen Annually Since 1874.
A MOST DAMAGING EXHIBIT.

The exposure made in our dispatche:
has not been unlocked for. For many
years the city of Philadelphia has been
highly taxed, yet no improvements jus
tifying such large expenditures have
been made, and it was only because the
municipal government in all its depart
ments was in the hands of ring that
the facts were not l~~e -;-... t.i..SsJ us,-
Iore the public. The experience OF Phil
adelphia has been but repetition of
that of New York under Tweed, and
Washington under Boss Shepherd, the
latter resulting in debt of 0,0O0, 900,
which Congress Is now asked to provide
for. The lesson to be drawn from this
is: that no party or set of men should be
long allowed to continue in control of
the finances of a great citg. 1t invaria-
bly, leads to corruption, theft, demorali-
cation and plunder.
50
PHILADELPHIA, December lin the re-
port made, to-day, to the city council by
John Hunter, recorder of taxes it is stated
that, although the examination OF the
books of his department of the city gov
ernment is not much more than commenc-
ed, and. although the examination has been
retarded by the acting collector of delin-
uuent taxes, William J. DonOhough, so
much has been developed as to show that
the city of Philadelphia has been largely
defraudcd. He then lays before the Couu-
ellis some of the results of his examination,
with the remark that he cannot, at this
time, estimate the amount due the city,
but, perhaps, some of it may be recovered.
The frauds, as far as discovered. ar divided
as follows:
First-Remission Of penalties in viola
ton of city ordinances.
Second-Presentation of bills to tax pay
crs for an amount in excess of actual assess
ment.
Third-Presentation of bills and collec-
ton OF taxes OH property actually exempt.
Fourth-Fraud by raising the allowance
OF the Beard Of Revision.
In 1874, in the Eighth ward alone, the
Board of Revision was allowed, in the az
gregate on assessments, over $f7O,OOO. This
allowance was raised to over 100000. The
tax payers were credited with the proper
allowances, but false allowances were de-
to the city treasurer. In
the same year balances were forced, and
communication from Comptroller PattisOn,
on this class of frauds, is appended
Fiflh-The retention of moneys from the
city treasury for months and years after
their payment.
Sixth-The collection OF large amounts
of taxes on personal property paid by the
owners, but never paid into the city treas
ury. An example of this is shown by the
Trust Company exhibiting a receipt for
over 5000 paid, which has never yet
reached the city treasury.
Other kinds of frauds were discovered,
but the receiver of taxes has not yet been
able to examine them carefully. Such, for
instance. rs the drawing of warrants for
much larger amounts than were due for
work performed and signing fraudulent
names To warrants, making out bills to
taxpayers without allowing proper, dis,
count. or, charging s?SnGss refs... SO. :"
In the communication from Comptroller
PattiSOn, il is stated that the records OF the
department contain no entry of the pay
mentS of money at interest of the Girard
Life Insurance and Trust Company, from
1872 to 1876. In addition to this and other
omissions of payment the Comptroller
finds that during the year of
1874 in one ward Eighth. allowances
made of money at interest amounted to
$gOO.3ls. OF this sum but S470,4lS was al
lowed by the Board of Revision. The bal
anCe, $i29, 600, was increased by the clerks,
raising the figures certified by the Board OF
Revision. The controller adds, in order To
a. complish the fraudulant entries, that
the re must be n cOlluSion between the tax
receivers and controllers departments, and
the system by the adoption of which the
treasury was annually robbed of thousands
of dollars. False allowances appear all
through from the entry to the payment of
taxes. to the takingofT of the balance sheet.
The controller. ut the time referred to in
there port, was Samuel 7. Hancock, and the
tax receiver Thomas l. Smith