The sun. [volume] (New York [N.Y.]) 1833-1916, 1902-11-27
TREASURY BOUNCES THEOBALD
DULLES CASE SETTLED DIAMOND
SEI/EE'S FATE.
PercmptOry Action After n Conference
81 Secretary shaw and Collector
Stranai,an-tharges Had Iiccn Accu-
mulating Against Him for some Time

WASHINGTON. Nov. 26-Thc Secretary
Of the treasury to-day, after confcrc CO.
with Collector Strarahau of New York,
dismissed from the Federal service William
II. Theobald, a special employee of tho
Collectors office.
Charges have been preferred against
Theobald on several occasions and his case
attracted the special attention of Secretary
Gage year or two ago. Mr. Gage wat
unable To sustain the charges, however
New evidence was recently laid befor.
Secretary Shaw and resulted in the dir
iniesal Of Thcotald
Tie charges related to Theobald's acts
i'm CONNECTION with his duty Of preventing
the smuggling of gems and other pre-, ious
merchandise az the port of New York
The Treasury Depart mont doe not con
template prosecution ard doe, rot pro
fctS to have the tecc; sary evidence on
which To iarc such Prosecution, hut il il
stated that Thoohald's dismissal is dis
tincrly for the good of the service
Ihor" Ii 10 doubt that the recent de-
Nclopmeuts in the Dulles trial were tie
immediate cause of Throhalds Gismi, al
II + stated officially. however, tia, the case
acair ~ the officer has lecn Of a cumuiat y.
character. For the last year tie Deyart-
iEcrt Lar leon practically H. the ATTITUDE
al waiting foi some act on the par, or Thcc-
laid that would justify his dismissal be
You'd the shadow Of doubt. Tie character
Of the Iderce against him In the Tu.lc.
case war Immediately accepted - ir,-
NiCiLg ample iIstii, alton for the ,fli,.I',
dismissal. ,sreciaily in view of tie cur-
laii II that Lad already lee. made alsi, Il
Linn on Other scores.
Mrs Ida Harrison Dulles of Philadelphia
returned from Europe last summer wearing
pearl n cklacr admitted to have cost
$4,000 in Paris She failed TO declara il for
III, payment Of duty when approached by a
customs Inspector, and when pressed for an
explanation If her failure to answer the
question whether she had purchased any
yewelry abroad, said that ILcohad had
advised her TO say nothing about il The
Trial last week brought out ~ orn evidence
that Theobald advised Mr.. Dulles to saw
nothing 10 tn. custom, ir-p. Ctors about IN.
necklace, lso that. taking away the necklace
with him, he had agreed to NEE, Nj and
Mrs Dulles at the Fifth Avenue Hotel on
the evening of the day Of her arrival IN New
York, telling her that he wanted to help
her all he could "
Mr.. Dulles also testified that Col. Storey
q the sat If custom, Inspectors told her
when he heard his that IheObald was
"God-damnod scoundrel"
The matter WAS very thoroughly discussed
by Secretary Shaw and Collect or Straushan
to-day. and the decision to dismiss Theoba!d
summary was reached without much
delay.
The court decided that the necklace
should be forfeited to the Government.
Under the law the special agent or other
person giving the information leading to
forfeiture Of struggled merchandise Is en-
titled to large percentage Of the proceeds
oi IN" sale Of the merchandise by the Govern
ment. III" informar in this case was Iheo-
bald. Under Ia" circumstances, 1t j. doubt
ful If | EeoDald Will be allowed to make any
money out of the Government a. r. suit
Of the seizure of the Dulles gems. He has
Obtained large rewards a. the result of other
seizures
Theol al said last night that he had
received no official notice Of his dismissal
and could not discuss the case with pro-
prieiy until he learned something more
about It,
But if it's true" he said. Il shall be-
sorry, because when | returned from
abroad in the middle Of August | hear
that they we're dissatisfied a, Washington
with me- and went to Collector Stranahan
md offered to hand in my resignation.
II" wouldn't let me and said
Now, you 90 right ahead and pay no
attention to his. Your work is perfectly
sat i-iaCt Dry.
Mr.. Theobald has had a very nice time
OF IL travelling 10 Paris and into Canada
hunting diamond smugglcrs Hi, pay
as special employee of IN" Treasury De-
rartment amounted to only s. lay, but
his percentages on successful seizures
have ampu tel T. \ cool d"pl
Among them WAS the Phyllis rodge
diamond seizure OF June, 1899. in which Gia-
monds worth several thousand collars
We're taken from Mrs. Dodge a. the rcsul,
of Th"oblld's detective work abroad lie
was also an important witness in the Tasar
diamond case and figured in the L. 'unc
and other cases
In 1900 Agent Burns of Ia" Secret Service
Department made an invest CATION of Th"o-
balds acts and antecedenls under the
direction OF Chief Wilkic. and it vas said
At the time that Secretary of the Treasury
Lyman J. Gage was pushing the nvc,tiga-
ton, Burns submitted Vommiuous re-
port, which Secretary Gage later declined
TO transmit ,o4hc Senate ON the gro j
that it would be injurious to the public
kprIipa