New-York tribune., 1881-12-02
HOW PaILADELPHIA MAS ROBBED.
REPORT TO TIE CITY COUNCIL OF THE ETCEIvER
OF TAXES.

REPORT TO TIE CITY COUNCIL OF THE EICLINER
OF TAXES.
PHILADELPHIA, Dec In lnarepOrt made to-
day at3 o'clock 10 the City Council by John Hunter re
ceiver OF the Taxes lis stated That although the cNana-
ton OF the books OF department Of the city government
is much than begun, and although that eNamEa-
ton has been retarded by the acting collector Of den-
qucnt taxes william J. DouOhugh. much has been de-
yeuped as 70 city OF Philadelphia has been
largely defrauded then lays before the Councils
of the rcu.s Of his with the remark that he
cannot at THE time estimate The due the CITY, but
that perhaps of it be recovered The Frauds
as far as discovered, are divided as follows:
The remission Of penalties in violation Of the or
dnances city Of which a number Of examples are
given.
Second The presentation OF bills 10 taxpayers for an
amount in excess Of the actual assessment OF which
example given where the assessed valuation Of the
properly $1,000 and the taxes Sl93 So and the
raised valuation $1,000 and amount OF taxes col
lected 1858.
Third The presentation OF bills and collection Of taxes
on property actually EXEMPT from payment thereof.
Fourth. Fraud by raising the allowance Of the Board
of Revision, follows: Tn the year 1874 In the Eighth
Ward alone the Board of Revision allowed in the aggrc
gate on assessments 100000 This allowance was
raised to over 100000 The taxpayers credited
with the proper allowances but the false allowances
deducted from the returns made 20 the city treas
In the year the balances were forced and
communication from Controller Pattson this class
OF fraud is appended.
Finn The retention OF moneys from the city treasury
for months and years after their payment. Examples
OF this system are given.
Sfrth Tine collection OF large amounts OF tax on pcr-
sona property paid by the but paid into
the city treasury. An example ot this Is shown by
trust company exhibiting receipt, for $4,000 paid
which has never yet reached the city treasury.
Other kinds Of frauds have been discovered but the
receiver Of taxes has not vet been able to examine them
carefully SUCH FOR instance the drawing Of warrants
for much larger amounts than the sums due for work
performed the signing OF fraudulent names 10 warrants
uatng ont bills 10 tax payers without allowing the
proper discount charging an excess OF penalty, In
each case pOckcting the OyercharCe.
In the communication from Controller PattsOn Il II
stated that the records OF the department contain
entry payments Of ar interest Of the Girard
Life Insurance and Trust Company from 1872 10 1876.
In addition this and other adnissOus Of payments the
controller finds that during the year 1874 in ward
Eighth that the allowances made Of money at interest
amounted 10 S9OO3l4 90. OF this only Si7O4ls SO
was allowed by the Board of Reyision the balance,
S129 900 was increased by the clerks raising the figures
certified to by Board OF Revision OF Taxes The
troer adds: In order to accomplish fraudulent en-
tries there have been c0liuiOn between inc tax
receivers ana controllers departments. and system
adopted by which the treasury annually robbed Of
thousands of dollars. The false allowances appear all
TIN ough the entry Of the payment Of taxes 70 the
taking of Of the balauce Sheet
1t may he stated that the controller at the time referred
to in the above report was Sael l. anc6cA wADe the
tax receiver was Thomas j. smith.