New-York tribune., 1910-06-29
IMPORTER OFFERS TO
SETTLE FOR 100000
Secretary of Treasury Here to
Confer Over Extraordinary
Proposition.
MlCVEAGH'S OTHER MISSION
Big Shake-Up Expected to Fol
low Report of Committee In
vestigating Appraisers
Department.

Franklin MacVeagh, Secretary of the
Treasury, came to this city last night
for g conference this morning regarding
g matter that is looked upon by the Gus
toms authorities here as epochal In its
Importance AS the direct result Of the
Panama hat differentiation case, fol-
lowing as Il did the sugar fraud prose-
cutions and the other underweighing
litigation, an importer, well known as
one Of the leading tariff payers in this
port. has offered to settle for undervalu-
ations not known by Collector Loeb OF
his men, not known to the legal depart
nlent of the government and not likely
ever TO have been called to their atten-
ton
The federal authorities at the Federal
ret!oent regarding the amount Of the
offer for settlement II was said that
the importer had offered his books for
the inspection Of Collector Loebs men
with the offer of the sum as total dis
rosition of the case. II was limited that
the amount would be near 100000
Secretary MacVeagh. when he heard Of
the Importers proposition, was amazed
and IS he had other important matters
10 consider in this city he came on to sit
IN the conference at which the settle
ment viii come up.
Wants His Name Withheld.
United States Attorney Wise said yes
terday that there was an important case
70 be disposed Of, but refused to go into
details 1t was said that one of the
stfpulations of the importer was that his
name should be withheld. This Will be
done, il was reported, whether an agree
ment was reached or not If no agree
ment is reached the government will not
prosecute Il was said, as IL has given
the man practical immunity by permit
ting him TO submit the evidence against
himself.
There was a settlement at the Custom
House yesterday Of a claim for S12.Op
in an differentiation case conditionally,
also. It was said, that the matter be
kent secret. The papers in all cases will
have to be filed, but can be kept from
publicity.
Secretary MacVeagh has another mis-
sion, and one that. in Importance, will
be second only TO the shake-up that fol-
lowed Collector Loebs assumption OF
office. a little over a year age. The com
r1ittee that is investigating the Ap-
praiser's department is about ready 10
report. and the Secretary viii hear an
outline of the findings. It was said last
evening that there would be several re-
-,7ova1s and a general overhauling or all
the branches Of the service.
Aoprsiser Not TO Resign.
There was q report that there would
nc changes that would affect Appraiser
z5-anr7al,er's personal staff, and that the
Appraiser might resign, but MI wan
maker denied the LATTER report He mas
7.een aiding the commission in its WORK.
and has expected good results in the re-
organization Of the methods OF ooins
business in his department
customs official said last night re
ferrins to the offer Of settlement Hoi
,ndervaluations Nreceived from 'he llii-
rorter voluntarily:
THAT is the first time in the history
- the mort. 1 believe. that there mas
hoen any confession Of wrongoolns
TTeTA the CILC1dLS c4 ~St1N~
g1~-a moi warm on the trail. This per
son had nothing TO fear, so far as ne
lpe1.. But the moral effect Of the de-
1err7ination Of the Treasury Department
- have an honest administration Of the
customs at this port and the evidence
that there would be no discrimination
have shaken up the whole business OF
rhe port as nothing else could have done
The importers who have done wrong
may be expected TO follow the example
a. the man who has made the offer OF
settlement. It will, Of course, depend
largely upon how he is treated whether
others will follow his example. 1t VIII
save the government many thousands OF
dollars il others do likewise, for the de-
termination to clean house here was IN
earnest and the Panama hat case was
but the beginning of a big and general
crusade"
Secretary MacVeagh will witness the
Harvard boat race at New LONDON
tomorrow He expects 10 return to
Washington on Friday.
FARMERS BULL WHEAT