New-York tribune., 1906-02-24
OPPOSES OLCOTT BILL.
Mr. Shaso Says Public Customs
Hearings Would Hurt Importers.
LFrom The Tribune Rureau.l

|. Washington, Feb. GA hearing on the bill intro
duced by Representative Olcott, OF New-York. at
the instance of the Merchants Association for open
hearings in reappraisement customs cases. de-
veloped some interesting testimony before the
House Ways and Means Committee to-day Sec
retary Shaw and Appraisers Marion de Vries and
I F. Fisher, of New-York, appeared in opposition
the bill Secretary Shaw declared that the pres
ent system OF taking testimony was the only prac-
teal one and both in the interest Of the gov
ernment and the importers, the latter being espe-
cially opposed to throwing open the doors at the
hearings for the that it would enable COM
petitorS to learn their trade secrets.
The provisions OF the bill are that "all hearings
in reappraisement cases shall be public: all docu-
mentary evidence submitted on behalf OF the gov
ernnent including reports of government agents,
shall be shown 10 the importer or his counsel! all
witnesses called on behalf Of the government shall
give their testimony in the presence OF the importer
and be subject to crossexauinaton by the importer
his counsel"
Secretary Shaw said that he did not believe the
principal importers merchants were behind the
bill, but that It IN the interest OF the con-
signors, and that they were backing it. He had
had a special agent Of the Treasury Department
interview a number OF merchants in New-York and
Boston, and many of the most representative I'M
porters declared themselves opposed TO making
hearings public Il practice. he said the customs
appraisers. under the present rules. able to
obtain much information helpful in the settlement
of reappraissment cases that would be impossible
if the hearings were made public, then the in
formation furnished would be common knowledge
10 competing merchants, and one merchant might
seriously hurt the business of a manufacturer who
had developed special kind Of product, to the
secret Of which he was entitled.
From the governments point OF view, he said
the proposed legislation would produce endless liu-
cation, and the hearings before the appraisers
would be prolonged and involved that the Gus
toms officers would be able to accomplish little. In
of goods by importers
Secretary Shaw cited the case Of a German i'm
porter who expressed the opinion that it was not
wrong TO undervalue goods because the United
States government did not need the revenue. That
was his point of view" said Secretary Shaw. ours
is different but that is the kind of thing we have
to contend with"
Representatives of the Merchants Association of
New-York present and testified. Wickham
Smith, counsel for the association. protested against
the present method of taking testimony in reap
praisement cases behind closed doors
II do not deny that there merchants who un-
dervalue their goods to evade the customs laws he
said but there disreputable men in every busi
ness and It is gross injustice to the mass Of those
this in effect for the SAKE OF SAposLng Z ns oIher
A who comes TO you pehino a c;oseo qoor and
t oiner aSseTItbine ~ UttS above board and honest"
make ever 'l, 40 fbe general Appraisers Mr Smith
said he did not see how they could be regarded as
infa9ls Tbere qE IS as no man living he said brilliant
enough or cute enough to be expert In cases of this
Kind HOW can they know everything about silk
goods from Lyons. hides from Calcutta. sponges
Prom Athens or any other or the thousands OF
articles upon which they have to pass. great
deal of their knowledge Is pretence:
In answer to a suggestion from Secretary Shaw
that the Recommendation for open hearings was
made Nv a committee Of the Merchants Associa-
tion that was practically defunct, since 1t six
wears ago and one of the members had since died,
fenresentative Ocott author OF the bill, said that
the Merchants Association. as now constituted
ported the report 1t '' f naes OF aa me
merchants in several cities who he said. desired
! the proposed legislation. .
Appraiser De Vries said that many hearings OF
the appraisers were public, provided that the in
terests concerned in the hearing of the would
not be hurt by publicity. The Board OF Appraisers
was permitted TO use It's discretion In the matter
OF taking testimony