Sacramento daily record-union., 1882-04-27
WHISKY sEIz0RH.
AMAZON AND FREEsToNE WHISKY
FOUND TO BE CROOKED.
A. a. Wood, the Agent, has Sold Large
Quantity in This city-Interest'
ing Details.

The revenue officers of this city FOR severa
days past have been cognizant OF the fac
that wholesale whisky dealers in the Eas
had been committing gigantic frauds upor
the Government. It appears from develop
ments so far that California hss besn selected
as their field Of operations. The operations
of the yiolators OF the revenue laws have
been SO intricate and involved that the Rsve'
nue. Department has been mystifed as tc
what course to pursue or in what direction tc
investigate. Ths San Francisco Eramlne'
says that the revenue officers in that city
have been almost paralyzed by the discovery
of the gigantic whisky frauds which have re-
vealed a course Of systematic revenue SWIM
ding second only to that of the Mcdonald
ring in st. Louis in 1879. The same frauds
detected in San Francisco have been found
here, and Revenue Collector Frost and his
deputies made several valuable seizures yes.
terday.
For year past the Wholesale liquor dealers
and iobbers in this city have experienced a
decline in their trade commensurate with the
growth of the liquor business In otner dlrec-
tions. Closer investigation and the comparI-
son of facts and figures showed them that the
cause was the buying by retail and small deal.
ers of their whisky from large wholesale
dealers and distillers in the East at prices
which defed competition by the local whole
sale dealers and jobbers This fact appeared
somewhat strange and unusual to them, as 1t
is well known that the large Eastern houses,
as rule, not only do not want nor will they
take orders for small quantities OF goods from
unknown and unreliable traders at distance
of thousands of miles.
Tins and closer observation served no
more to untangle this mystery than to make
known the fact that one house in Covington,
Ky.. was supplying all the retail dealers.
Goods were daily shipped all over the coast,
until their business had spread and ramihed
the entire Pacific coast. At every point
where the agent or circular OF this house
reached trade fell into its lap like mellow
fruit only waiting a judicious shaking of the
tree to bring it down, and the rival houses
watched, not without envy, the growth of a
business destined to throw them all in the
shade. There was no secret to this success
except the extraordinary bargains offered.
About two weeks ago two trains collided
near Martinez, and some of the freight in one
of them was injured. Among the freight
were twenty. eight packages of whisky from
Schmiddlapp & Co.. of Cincinnati, and two
barrels were SO jammed that leaks were
sprung, and by the time they reached San
Francisco only 40 gallons were left ont of the
104 which the barrels originally held. 1t
then became necessary to transfer this re-
naming whisky to similar cases, and the
Government gauger who examined the stamps
on the barrels, in order to give the proper
credit in smaller stamps when the exchange
was effected, made the somewhat startling
discovery that, although the contents of the
barrel was whisky, the Government stamp
outside and the mark over the bungstave
said, "No proof Indicating that the con-
tents were other than whisky or "proof
spirits, and that the Government tax of 80
cents on the gallon had not been paid. Here
was a direct contradiction. Ehe contents OF
the barrel was whisky. The stamps and
marks outside said that the contents were
bitters or cordials, or any other non proof
spirits. The difference to the Government
amounted to 80 cents on every gallon in the
barrels in this case S93 60, and of this diff
ferancs the Government had been either de-
frauded or had lost it through an almost in
conceivable error. These two barrels, as well
as the twenty-six uniDjured ones, which upon
examination revealed the same startling dis
crepaney, were seized by the Government
officers and con6scated.
On the Is h instant, a clerk OF the house OF
W clInsn & Lutgen, San Francisco, ap-
pearei at the Revenue Office, and showing a
revenue stamp asked that one OF smaller
denomination be given him. and the change
be credited to him on the books. The reve-
nue. clerk looked at the stamp and asked him
if he thought he could get credit for a
100 proof stamp on no-proof stamp,
the latter being absolutely valueless as a
proof spirit stamp. The clerk said it was 8
whisky stamp, that It came off a whisky bar
rel, and asked what was the matter with it.
The revenue clerk showed him the word
"no" after the words "original proof" and
then submitted the stamp to his superiors.
Careful investigation showed that the werd
"no " had been so written that it resam-
bled very much the figures "100," peculiar
dowu-stroke on the ''n," and curve at its
end. with the letter so" following, looking
exactly like the figure SO, making the re.
semblance very deluding. The revenue ofi-
GERS, having examined this stamp, went to the
store of Wichman 4 Lutgen and examined
the stamps on the fourteen other barrels of
Freessone whisky received but day or two
before by ship around Cape Horn. Those
stamps were found to be similar to the one
first presented. Although Wichman & Lut-
gen were perfectly innocent in the matter,
having bought the whisky duty paid, and
supposing that it was youched correct the
fifteen barrels were seized by the revenue
officers and con6scated by the Government.
On Tuesday A. L. Frost, of this city,
R venue In, pector, found three barrels of
the Amazon whisky at the freight
depot, consigned to a retailer in Sacra-
mento. On inspection he was convinced
that the same was " crooked" On testing it
he found it to be 95 degrees of proof, although
the stamp bore the mark Of no proof. He
Immediately telegraphed to III. Kellogg,
Revenue Agent at San Francisco, as follows ::
i" Are packages of Amazon whisky, 95 proof.
but stamped mo proof liable to seizure :?
He received an answer from Mr.. Kellogg,
saving: 81 think whisky marked as stated
is liable to seizure. Have seized such here"
Yesterday the deputies of Collector Frost
were busy among the retailers in the city,
and found many barrels of this whisky, all
of which was seized. Some of the
most respectable retail dealers in the city had
purchased from this non-revenue- paying firm,
but no wholesale dealer was found to have
any of the forbidden goods. The name of the
firm that sells this ofwhisky, and mark the
same no proof, for 81 % per gallon, is the
Amazon Distilliug Company, of Covington,
Ky. Their agents on this coast are Ober-
felden Bros. & Co., San Francisco, Cal. A.
A. Wood. ex County Clerk of this county,
has been drumming throughout this State
aud other portions of the Pacific coast, selling
this whisky at 81 % per gallon, on four
months time. He has sold great many
barrels in this city, and more are on the road
to this market. a representative OF the
RECORD D-UYIoN interviewed several OF the
purchasers Of this "0id Kentuck noproof
whisky. They all were surprised at the
seizure Of the goods, but remarked that per
haps it is alright; il it wasn't proof, and war
ranted to kill at forty yards. they did net
want it." On examining the letters, bills Of
lading, invoices. and gauger's return, one Is
led TO believe that this firm is a crooked one
and doing a crooked business. Ga examina-
ton Of the numbers on the stamps, the rev.
enue officers are confident that something has
gone wrong at CoviDgton.
Enough facts are now before the revenue
officers to justify strong suspicion OF some
thing crooked kilograms were Immediately
sent to every revenue officer on the coast to
seizs every package, case and barrel OF AM
az9n or Freestone whisky in their districts.
The Department at Washington was notified,
and the authorities on the line of the railroad
were telegraphed to seize all cases of spirits
ON the way from Schmiddlapp l. Co. 1t was
estimated by them that 40 barrels would be
caught lust west of Omahs, and that at least
coo barrels would be seized on this coast.
The result of these notifications has not yet
trauspirsd
The Revenue Department is now looking
for evidence that viii lead, first. to the extent
of the frauds, il (intentionall frauds there
ara and seropd tn the discovery aud con-