, 1892-04-11
CONSTERN ALTON
Among Business Men Of San Fran
CISCO Startling Charges.

President Harrison Begins the Un-
earthing of Smuggling Scam
dai Which Involves United sta tes
Officials and Merchants.
SAN FRANCISCO, April 11.-There is CON
sternation in the custom house in this city.
President Harrison has dismissed Charles
M. Leayy from the office of United States
appraiser, the reason assigned being com
plicity in the Neuberger- Reiss smuggling
case. The United States grand jury is ex-
pected to return an Indictment against
LeaYy within a few days. IT will also pro
badly indict d. NJ Cashin for completely
IN the same fraud, but he has anticipated
such a course by placing himself on the
Canadian side of the border.
The action of the president in the case of
Leavy is only a beginning. Jake shaen,
chief assistant appraiser under Leayy, is to
be removed and number of wholesale
merchants will be indicted. Cashin, who
is in Victoria, has made full confession.
San Francisco merchants who have grown
rich by smuggling, fearing that if Cashin
were arrested he would betray them, paid
him large sum Of money to join the col
Ony of American rascals on British terri.
tory. He went, but does not propose to re-
main an exile all Of his life to shield from
punishment those whose money brought
about his downfall. If promised immIln-
lty from punishment for his own misdeeds
he will return and testify against the snug
glers and their accomplices. He made a
statement duplicating Leavy, who, Cashin
said, acted as the middleman between him
self and the firm OF Neuberger, Reiss q Co.
and the other smugglers. He furnished
the officer with the names of all the firms
the dates on which the frauds were per
petrated and a statement of the sums lost
to the government by the fraudulent i'm
portations. The stealings aggregated over
aquarter OF million Of dollars. Firms
are implicated whose names have always
been regarded as guarantees of honesty
and respectability
a Washington special says: civilian
g. Ralston Of Oakland, will be appointed
chief appraiser to San Francisco, vice Leavy
dismissed. This was decided upon today
and tomorrow the California delegation
will submit his name to the president. 1t
is decided to fill the vacancy soon as posi-
bic and Ralston's nomination may be ex-
pected to 60 to the senate sometime this
week.
THE GRAND JURY.
The United States grand jury completed
its labors today in the investigation of Gus
toms frauds and will report to Judge Nor
row. Several indictments are looked for
Judge Ross in recent decision has held
that the government after compromising
for money one criminal case cannot push
criminal charges of like character against
the same defendants. Bernard Reiss, when
he was called before the grand jury, is said
to have refused to divulge evidence against
his accomplices and the showing which
the government will make has been weak
ened. There has been a general investiga-
tion Of documents on file in the custom
house in the hope that they would furnish
a clew to the exposure Of other frauds.
When it is found that firm which deals
i'll high priced articles or fabrics carrying
high duty has changed the character of its
importation for line which carries low
duty an investigation has followed, This
scrutiny Of invoices has given rise to the
suspicion that many mercantile houses
may find themselves involved with the
grand jury.