New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-06-15
LEEDS PEARLS RULING
DUTY ONLY 10 PER CENT
4pprGiSers SO HOld-GoUernmeut to
appeal.

BOARD No. / Of the United States General An,
-raisers handed down decision yesterday in the
ov famous Leeds pearl case. sustaining the nrotas-
- Bernard C7Jroen, importer against the decision
~ the collector Of customs. The decision Is an
important one. and if sustained by the federal
courts means that importers will bring in all peerIs
and precious stones unstrung subject only to tt.
70 per cent duty. a majority of the board signed
. che decision but General Appraiser McClelland's
assent will very likely lead the government to carry
she case for final adjudication to the federal courts
while travelling in Paris two years ago William
2 Leeds former president of the Rock Island
-oas came across a necklace which he was told
surpassed by far in briance a necklace his wife
was already wearing and which had been the talk
~ Europe. Leeds agreed TO buy the necklace if
,~i,rosn would arrange for its importation.
c,t-oen had the pearls unstrung and sent here
q, = bag thirty-seven in all. The foreign value Of
che nearis was about 1854 600 and the importer has
oIready paid 81 per cent ad valorem duty Of about
ESQ na Although intended for a necklace ex-
,er+s have sworn that they not alike and
therefore, untitled for such purposes. The importer
contended that the pearls were in their natural
s,ate thew were subject to only 10 per cent duty
In his advisory report to the collector the APP
raiser returned the merchandise drilled pearls
"a rer cent" The collector, however, assessed the
rearls at 90 per cent The pearls held by the
government pending decision
General Appraiser Sharretts. who wrote the pre-
,siIing opinion holds that the inexpensive process
OF temporarily stringing pearls on a silk cord
abroad in order facilitate their sale by enabling
a prospective purchaser TO judge Of their appear
ence and effect when finally made into necklace
does not operate To exclude them from admission
Al 10 per cent. under Paragraph 436. He reviews
.be testimony Of various experts. who agree that
the thirty-seven pearls in question not fitted
70 be made into necklace. He saws: The diff
Guilty Of proving the previous history OF individual
pearls is such that attempt TO learn whether or
net they have at any time formed a part OF an
article Of jeWery must lead 10 great uncertainty
and 70 indefinite delay. and perhaps even impose
UPON the importer duty equal to half the value
long sitter he has sold the goods at a price which
will subject him 10 serious loss. Pearls f,ir-
Their advanced in value than being made capable
OF being set or strung are. constructivey and COM
rnercially. in their natural state
General Appraiser Mcclellan says in the dis
senting opinion:
Pearls carefully selected, graded as TO size and
nstched 20 color. especially for necklace, and
Of greater value as an egsregation than the total
have been strung and offered for sale in the form
Of a necklace before import tion to the United
States; and after importation did not have 10
be rebored repolished. and were not placed in
or sold as part OF general stock Of pearls TO
be made up into separate articles of iewelry, but
were actually sold as and for necklace, are du-
table at So per cent ad Yaorem, under the proVi-
sions of Paragraph 434. Tariff Act Of 1897.