Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1912-01-08
SUGAR FRAUDS
COST UNCLE SAM
over MILLION
Assistants Attorney General
DeliS0n Addresses Civic
ReformerS
States That Politics IS Mixed
Up 10 Fleeing Of
Government

BALTIMORE, Md, Jan. S.-Ad
dressing a meeting held here under
the auspices of the woman's auxil
lay of the Maryland Civil Service Re-
ofrm association, Winfred T. Denison,
/ assistant United States attorney gen.
eral, asserted that the sugar frauds
in the customs service at New York
and Philadelphia were due to politics.
! Mr. Denison also declared that the
political appointment made in 1902 to
the office of surveyor at the port of
: New York "perpetrated those frauds
, lat New York; untrammeled and
cost the government over $1,000 900
on sugar alone.":
In a further reference to this loss
he said: THAT cannot have been
more than fraction of the total finan-
cial loss on all classes of importa-
tions."
Mr.. Denison was, however, emphat-
ic in saying that he did not believe
the surveyor in question was corrupt.
There was not a scintilla of rea-
son to suppose, and l don't believe
for a moment, that the surveyor in
question was corrupt. Let us have no
doubt on that point" he said.
In support of his statements the as
sistant attorney general cited the
following points:
/. The confession made to Col.
lector Loeb by The. New York deputy
surveyor in charge of the weighing
division that the sugar frauds were
due to politics.
e.. The fact that the political ap.
pointment made in 1902 to the Office
Of surveyor at the port of New York
and which at the time was bitterly op-
posed by the civil service reformers,
perpetrated those frauds untrammeled
and cost the government over $1,000.
600 on sugar alone.
20. The Philadelphia sugar frauds
have just been reported by the spe-
cal federal grand jury there as hav'
ing been due to politics.
when Collector Loeb began his
custom of house cleaning in pursu.
ance of Secretary acVeagh's policy,
consequent upon the revelations in
the sugar cases." the assistant attor.
ney general continued: He called In
the deputy surveyor in charge OF the
Weighing division and asked why he
should not be dismissed.
"The officer protested that he had
been honest and had never taken
cent.
Collector Loeb asked how it was
possible that all of these frauds
should have gone on for all those
years without his taking any effective
steps to stop them or at least to re-
port them to his superiors.
"'Well, Mr.. Collector said the Of
ficer, i was helpless. II had taken
any steps to stop those frauds the
politicians would have me removed
and l would have been without any
means to support my family. Sup
pose, for example, one of the sugar
called me up on the
telephone and told me that govern
ment assistant weigher was unsat1s-
factory. If l refused to transfer him,
he would 60 to his political organiza-
ton and the others would come around
through the surveyor to detail some
other man to that opsition. 1t would
be on some plea that the weigher OBJ
jected to was too slow, or that the
new man lived nearby and wanted the
detail. In that way the sugar people
could get whatever they needed
This experience of the practical
effect of practical politics was not by
any means limited to New York. At
Philadelphia as we'll as at New York
that has been determined officially.
1.-THE special federal grand jury
which has just made its report over
there found that the frauds and
quasi-fraudulent sharp ractices result
ing in loss of revenue to this govern
ment had been unrestrained there In
Philadelphia at the McCahan sugar
refinery ever since 1894, at the Frank
lin refinery during Its operation from
1895 to 1897, and at the Spreckels re-
finery up to 1905 but not since.
They found no instance of bribery
or attempted bribery. In their formal
report they directly stated that the
patronage system and he violations
and evasions ofshe civil service laws
were the real causes of the govern
ment's loss.
For instance the grand jury found
that the custom house had been
treated as a trough at which the pol
iticians might feed the men engaged
in doing their political work.
1.-THE grand Jury also found that
the concerns whose importation the
employees were to watch ere OF
great financial importance to the re.
publican political; :, organization and
made heavy campaign contributions
to it."
Flexible weather strip fG doors and