The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-10-08
NECKLACES BY NSTALMENT.
THE NEW WAY WITH PEARLS TO
SAVE FIVE-SIXTHS OF THE DUTY.
A Bunch OF Loose Pearls. Supposed 90 he
F~Oretunners OF q Necklace, Now Under
Examination for Under aluatiOn EEK
pert EvIdence Is Taken with Caution.

pert EVIOenCe ~ hAhcu WIN SAuVhvh'
differentiation Of a quantity Of Oriental
pearls shipped to q dealer OF this city Ia
charged in a case o pending before the
Board OF United States General Appraisers
and the affair promises to d to the fer
ment in the iewelry department Of the
customs service. The pearl inquiry, which
began several days ago on the arrival OF the
gems at New York, has been conducted
with much secrecy, but some OF the facts
were learned yesterday.
The Government alleges that the pearls
in the lot held up by Collector Stranahsn
are part OF a necklace which was unstrung
for purposes of shipment. The suppo-
sition is that the remainder OF the pearls,
divided into several lots, are to follow on
other ships. When all Of the pearls have
been received and delivered to the jeweller
he can readily restring them, so that they
will form the necklace he bought in Paris.
The invoice value Of the lot received last
week was about 81 900 and he collector
ordered an advance Of nearly so per cent.
Under the new law IL this is sustained the
importer must pay AZ a penalty an amount
OF money equal to the advance. in addition
to the duties on the increased value. II
NtlO NtNcN' SAD
value the pearls are forfeited.
Advances in pearls rave been more rare
than in diamonds, no important changes
in the invoice values Of either class Of
gems having been recorded in years until
the Var Dam brilliants were recently put
up 80 much higher than the original valu-
alton as to lead to an investigation, which
the Treasury Department is still conducting.
49, 81. a.ENlt-n
the valuation OF a pearl shipment. because
they give the actual prices paid in the for
eign markets for the gems. and the duties
are based on such figures. In this respect
the shipper Of pearls differs from a diamond
manufacturer. who must compute the cost
OF cutting and polishing the gems, with
other expenses of handling, and add to the
prices paid for the stones in the rough, this
process leaving some room for controversy
But when a necklace Is divided, az in the
present instance, the price PAID Tor the
complete article does not reveal what a
part Of it is worth. After the collector
ordered the heavy advance in the Valuation
placed by the importer the latter appealed
to the General Appraisers.
Several Of the largest pearl importers
Of the city have been examined under oatf
at the Appraisers Stores in the last two oil
three DAYS and requested TO tell what n
their Judgment il the market value Of tht
pearls in dispute, In order that theii
! Judgment mlRnl nON Dt bldFStd lnN WV
eminent took precautions so that the namt
Of the importer has not been divulged
Several Of the wit mes are vet to he eX'
amined before a decision il announced.
As n further preCaution various collec'
tions of pearls were displayedto eachwitness
so that he might pass his opinion IN all
without knowing what particular lot was
in issue. Some witnesses in jewelry cases
IL is said, tend toward overvaluations II
order that no advantage may be obtained
by competitors in business. The testimony
in this case will not be open TO suspicion
of leading either way, 1t is believed.
The duty on loose pearls IL 10 per cent
II the necklace in completed form were
imported it would be subject TO a 90 pei
cent. duty. IL is not the Government
intention in this case to lain more thar
10 per cent. duty besides the penalties
This is taken TO indicate that the Treasury
Department acquiesces in the contention
recently made by importers that under
the law they may save half the value oil
pearl necklaces by simply dividing then
and bringing in a few pearls at a time.
Several months ago when Bernard Citroer
brought in a 1920, 900 necklace, which he hac
sold 10 William B.. Leeds OF this city, the
collector demanded $4,000 in duties, be-
sides the s22, 900 which was paid voluntarily
and suit is now pending TO recover the
difference. Mr.. Citroen brought in al
OF his pearls at one time. although they
were divided into several packages. II
was then predicted that TO AVOID any more
questions of the kind New York merchants
would bring in necklaces piecemeal. and the
case now before the board indicates that
this is now being done with success.
Importers say that the value Of fine
pearls has been advancing 80 rapidly OF
late that there is real difficulty in giving
an accurate appraisal OF gems. The yield
from the Western rivers of this country
in the present season, one OF the largest
buyers said, has been small in comparison
with other years. and those that were found
are so high in price that the American
jewellers have looked almost entirely Il
Paris for the pearls that are brought tC
that CITY from the Orient.