National Republican. (Washington City (D.C.)) 1872-1888, 1884-03-29
VERY DREADFUL.
Dismal Picture Drawn by Friend Of the
Lamonted Whisky Bill.
The Country Certainly Going to the Eter-
nal Bow-NVows.

The leading whisky men Of the country,
severalof whom have been in the city watching
the progress of the bonded extension bill up
to the hour of its final disastrous defeat, do
not appear to take the same rose. colored Wow
oftho situation that it is represented is held
/ by the distillers of several sections One of
these, who has made careful summary of the
condition of things, said yesterday: ut is
| evident that the failure Of tho whisky bill
will bring matters to crisis
with us at an early day. A semi official esti.
mate Of tho quantity of whisky to be taken
out of bond in the next five months gives the
aggregate as 14,40O,0O0 gallons. This is dis.
tributed about as follows For tho present
month of March 100000 gallons; April,
| 100000 gallons May, 100000 gallons |;
June, 3,300,000 gallons, aud July, 1900, 900
gallons. At 90 cents per gallon the tax to be
paid amounts to S12,750000, or when tho
expenses incident to Withdrawal arc added,
say, in round figures, Sl3,5000 900 will bo re-
qured to settle tho indebtedness of the dis.
tillers to tho government
There has already beon withdrawn during
the months of December. January, and Feb.
ruary nearly 5,000,000 gallons, for which 1t is
now impossible to find a market. Under this
state of facts the prices of fine whiskios havo
steadily declined, and with the large monthly
Withdrawals yet 70 be made it is easy to soc
that tho market will go down to point
where 1t will bo impossible for us to escape
utter ruin. The process Of the government
for collecting the whisky tax Is so summary
that no delay can bo expected and it Is
utterly impossible for us to take any
legal steps whatever to secure time.
forwarded to the district where the
whisky is hold in bond, the distiller is
promptly notified by tho collector, and
within ten days he must pay the tax or
submit to ponalty of per cent. being
added for such failure, with interest at tho
rate of per cent. Ter month. The govern
ment can then distrain, and sell the whisky
to pay taxes, penalty, and interest. 1t has
been suggested that we can export this
whisky, but five do so, the recent decision
of tho attorney general forces us to find
market for IL abroad. Besides, in great
many instances, this is impossible, because
the control Of the whisky has
passed out of the distiller's hands, he hav-
ing used it as collateral in borrowing money
from the banks and hence cannot avail him
self of this relief, as his creditors would
hardly feel inclined to allow the whisky to
pass out OF his reach without further ample
security. Many of us are carrying large
quantities of whisky, one dstiller of my
acquaintance having over 10000 barrels in
one warehouse. 1t has also been suggested
that we could get up syndicate, who would
advance the money to pay the tax, and thus
secure for us breathing time. Such thing
might be possible, were IL not for the fact
that to-day there is q strong faction in con.
gress that stands pledged to secure the repeal
of the tax on distilled spirits in order to avoid
any reduction of the tariff schedules. 1t is
hardly to be expected that New York capi-
talist would consent to advance us 90 cents
per gallon, when, If the tax should DO re.
pealed, the market price of the best whisky
would at oncc drop below that figure.
No, sir, We are done for, and il
behooves every man of us to begin
immediate preparations to meet the crash
that is inevitable 1t will sweep us out of
existence, and with us those who have
loaned money upon whisky collateral. With
the break in the market that is sure to follow
the defeat of the bonded extension bill, it is
clearly evident that on forced rates whisky
will bring but little if anything, beyond the
tax, and as the government comes in first for
its full demands there will be nothing left for
our creditors, and If the worst happens, and
less than 30 cents per gallon should be real
lied, th9n the government stands ready to
enter suit against the sureties upon our
warehouse bonds, which will carry the dis
aster still further. Whether all these causes
will operate to produce any stringency in tho
commercial interests of the country outside
of our friends and ourselves. cannot say; but
trust not, as there is hardly one of us that
will not have to begin life anew early in tho
coming fall"