The New York herald., 1922-04-12
FRAUD OF MILLIONS
ON WOOL CHARGED
Shipment to r. W. A. Wood
Seized in Customs Inquiry to
Determine Duty.

Alleged wooden frauds by which the
In duty are being investigated by Fed
eraI officials. II was said yesterday at
the Custom House. William H. Will
Jams. special agent OF the Treasury De-
partment, who Is at work ferreting out
the principals In the alleged conspiracy.
| asserted that q cargo of woolens valued
at more than Ss0o.00 had been shipped
here from South America In connection
with an alleged attempt TO defraud .he
Government.
The shipment. said Mr.. willianns, was
made by Thomas A. Wood from Monte :
video to his brother, r. w. ". Wood of
Philadelphia, and was entered at the
Port of New York. OF this shipment
$40 bales we're shipped north to the or
der of the Philadelphia National Bank
and $50 bales to the order Of the Corn
Exchange Bank of Philadelphia
No charges have beel made against
the shippers. said Mr.. Williams. who
also made 1t clear that neither OF the
banking institutions was implicated The
goods arrived aboard the Bcnheur,
Southern Cross and the vestras last
month. The woolens were seized by
Government agents and are now in the
Federal storehouse In Bethunc street
Saw Grading Was Wrong.
According to the authorities the wool
had been shipped as low grade material
to be used In the manufacture Of carpets
On this type of goods there Is no duty
Information obtained by the Secret Serv-
ice led to the suspicion that the gra de
of the wool was not as low as billed.
Investigation was said to have disclosed
that the wool was of the best gradesand
cutiable at 80 cents a pound. Mr.. Will
! Jams said
"Our records show that $40 bales ar
rived In the Port OF New York to the
order of the Philadelphia National Bank.
ard were entered here by r. w. III.
Wood. and that they had been shipped
from Montevideo by his brother Thomas
| A. Wood Both of the men are well
! known In, the textile industry through
| out the country and / understand are
| tho sons of Brighten. John Wood, who
| was in charge of the textile department
| OF the quartermaster corps of the army !
| Mr.. Williams said other seizures OF
| woclens had been made. and many more
would follow. One shipment is at pres
ent being held up by the appraiser OF
the port, r. ]. II. kracke. This ship
| nient is said to have come from Monte
l. was also declared as carpet wool and
| therefore duty free. Mr.. Williams said
Investigation disclosed that the Govern
rient should collect an import tax OF
\ some $500, 900.
That the frauds would run into mill
ions of dollars was intimated by the
various customs officials, who also In
ferred that a number OF prominent firms
in Moston and Philadelphia would be
implicated. No arrests have been made
| pending thorough investigation.
Charge Absurd, Says R.W.A.Wood.
PHILADELPHIA. April 11.-R. W. A.
| Wood of this city, to whom the. wool
seized In New York last month was sal A
TO have been shipped. said to-day thai
there had been no attempt at deception
| The only question Is the amount of duti-
| able vol that has been imported. he de.
| clared. and when this has been deter
mined his concern would be willing Il
pay whatever sum the Government re
quired.
Mr. Wood said that the mentioning OF
| $500. 900 wool seizures" or the finding BY
Government agents of dutiable wool or
which S4.50O.000 is owed In duty was
too absurd for discussion. He stated
that all the wool he had imported during
the time under consideration was less
than 100000 In value and under the
present emergency tariff not more than
| $4,000 would be due in duty 10 the Gov
1