Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1902-02-20
OPINION ON DRAWBACK
AND OTHER MATTERS BY
FEDERAL ATTORNEY dunno
Continued from page 81

that an American vessel proceeding
from Atlantic to Pacific ports in the
United States is bound on a foreign
voyage within the purview and for the
purpose of section 4576 Revised Stat.
utes." without stopping to analyze
the precise force and bearing of this
decision. have the honor again to
point out that Treasury Circular No.
go, T. ID. 22201, T. ID. 403, May 3,
1900. is conclusive upon the matter Of
foreign voyages; and should any
discrepancy be perceived between
Treasury Decision 1870 and Treasury
Circular No. GO, the latter, not only
as being the latest expression of opin'
ion by the Department, but also as
furnishing the special and peculiar
rule applicable to these precise Isl.
ands, should be obeyed as the para
mount authority. Before leaving the
subject, may add that after the is.
suance of Treasury Circular No. go.
the Department directly recognized
the trade between the Territory of Ha.
wall and the United States to be, not
foreign trade, nor trade between At.
lantic and Pacific ports in the United
States, but distinctly as "coasting
trade" and directed action pursuant
to the Act of June 5, 1894, to facilitate
the entry OF steamships, whether
such steamships are navigated under
registers or under enrollments." 81
Stats. L., 249, Chap. 600, May 81, 1900,
7. d. 22256, June 1, 1900.
Question Of Drawbacks.
/ come now to your request for IAN
opinion relative to allowing drawback
on coal used for fuel on board steam
vessels engaged in trade between this
port and any port on the Atlantic"
The meaning conveyed by the term
drawback is that of a total or partial
return Of duties paid upon imported
merchandise. This definition of the
term, however, suggests its true char.
acter as a mere privilege, or act of
grace, which is subject always to the
control of Congress, and which Con.
gress may grant, modify or withdraw
according to the dictates of its own
good judgment. Drawback is thus a
mere creature of the statute, circum.
scribed and limited by the terms of
the statute which cfeates It; while one
Congress may expand its operation,
the next, with equal facility, may eth.
err contract that operation within mar.
row limits, or obliterate IL entirely /:
and no better illustration than the
history Of this act can be found, OF
the primary necessity of consulting the
language of the statute to determine
the qualifications and limitations
which Congress has seen fit to i'm
pose upon drawback. U. S. VS.. Allen
so Fed. Rep. $751; S. c. SO Id. S64; s.
c. 1853 U. S. 400.
The case last cited. not only recog.
nizes that drawback is an exception
al privilege, but also employs the fol
lowing significant language: THE
claim advanced Is that an exceptional
! privilege or exemption from the gen.
eral operation of law exists in favor
OF the defendants in error. Such q
claim Is within the general principle
that exemptions must be strictly con
strued, and that doubt must be re
solved against the one asserting the
exemption And that drawback Is
considered by the Treasury Depart
ment, also. to be a privilege, is evi
denced from T. d. 1920; Syn. Dec
62l; and under paragraph AIS, strict
ly the vessels privilege; T. d. 22513
September 27, 1900. Drawback being
thus an exceptional privilege, and not
matter of right. 1t follows that the
scope of its operation is to be deter
mined by the language of the statute
authorizing it. The terms of the
statute are to be taken precisely as
written, without addition or subtrac
ton; the statute is to be tested by itG
own terms; neither its terms, purpose
nor meaning can be extended by i'm.
plication or construction: and, to par
aphrase the language of U. S. VS.. Al
len, supra, the statute is to be strictly
construed, and all doubts resolved
against the applicant for drawback
U. S. VS.. Clayton, 2. Dillon, G. C. 224.G:
noX County VS.. Martin, 6S Fed. Rep
1S9; Shreve VS.. Cheeseman, 60 Ind
1872; r. r. VS.. Phelps, 1877 U. S. $50;
U. S. VS.. Allen, 1913 Id 49g.
Restrictions on Drawbacks.
Carrying carefully In mind the fore.
going principles, ii will be Observed
that paragraph Ais of the Tariff Act
so far as II relates to drawback. is
really a statute of very limited scope
II is limited, In the first place, by the
use to which the coal is put; the draw,
back is authorized only upon that i'm.
ported coal which Is afterwards used
for fuel; and limitation of this char.
acter, upon the familiar principle eX,
pressio unius exclusio alterius, mega.
tives any drawback upon imported
coal otherwise used. In the next place
the scope of this statute is restricted
to a specifically designated class of
vessels. II is limited to registered
steam vessels only; II takes no ac.
count Of enrolled and licensed, or II.
censed vessels II establishes no draw,
back privileges for two out of the
three classes of vessels recognized in
Treasury Circular No. 62 as compe.
tent to carry on the "coasting trade"
IT. d. 22356) between these Islands
and any other part of the United
States; and so far as the class of yes.
sells is concerned, We again encounter
the maxim above adverted to. And
In the third place, the scope of this
statute Is restricted by the class of
trade in which the registered steam
vessel is engaged. The statute con.
cedes the privilege to trade with for,
| eign countries" and to trade between
the Atlantic and Pacific ports of the
United States; but does not concede
| the privilege TO any other trade and