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'.IV II AT DO V.'E LIVE FOR, BUT TO lXIphovn OURSELVES AND CS USEFUL TO ONE AK 0111 fit t
.YOLUMK III.
ASH snOH 0, (N. C.) FRIDAY, MAUCII 15, 1839. 1
NUMRKIJ 7.
i ; 1
v J v.: L . L
PUIiLlbllED WEEKLY:
by, :
disregard of law, nnd neglect of duly,
: in examining and certifying the correct-
: !
vrnir Y J ttr 1 7 1 f ,,esJ ' ",e account ol the late collector
E Int New York without haying compared
, ' ' TriniS. I them xkJlvlteiKrifte-'
vd Dollars per annum, in advance, ' witu'M saidVcounis tcJhoPjrst Corap
or Three Mara, il pot paid within t lroerf certified, for revision, while the
.i nmitlii from llrt nntrt nf ifirt - . . j . s
uirvw iiiu.i .- w...f.. :- "tnwsi iinrxmani voucner tncrcior were
first number received. - i :?v---iwAtiM ;n ia r.. ,;.
k subscription to te discontinued t.Ilj 2d. Thafco fraud practised by the
all arrearages i paid ; unless ai ino , My coectorj j, WCeUy rcUirDS 0f
discretion of the tid.tor. y- caU,te the Secretary of the Tre
fore
reasurv
iilurc to order o- oiiconunaanre ce cou4 gffot tbejlJst Snj ,ru0 9m)cwm
ore the expiration of the subscnp- f,fthe accounts of kid collector at tlie
(if the late collertor at the'ptiiVof tKcw sury Department fi put t defiand!.hilwtioa; the narae of t ucii deiaultersl
l orkr and con3cquenl loss 4oi public the duties assigned to him by thd See-!i the amount due Irom each, when due,
iw'iwr. . . - . j treiary oi uie jreasurj; iiaa repuaiatea
i Capo Vr, The discontinuance oMvT the i official slott-wUUeieitpoiisibb
usW banV ardqiosiwTic efih
iio moneys, arid permitting the same to and is guilty of an"tCcgal retention and
accumulate in the hands of Mr. Swart' use oftha public, moaey, in the arnount
wont i , v ' ; '' ' - ! then held bv hirrt foi oroteat and ' unaai
tjon year, is cquivaiciu w a new
'enjagcrnent'. : ' ' 4 '- -I
iicttcrs, Communications, tftc. to
coar.c post paid.
I , Vricts far dJverlhing, ,
AJvcrtiicmcnti will be con?picnoo$ly
Auditor olHce. as said. weekly returns
foint no part of the basis of the settle
met (if said.. quarterly accounjs by thl
Auditor; and therefore furnish no apl
ogjr for the neglect of the Auditor to
examine ttie idme-thoroughly. ' !
J. 1 hat, witm ut tho aid of the re-
I . Kandwrncly infcrtcd al f 1 00 per grtcr'0f bond accounts of collectors, rc
kre of 10 linen and 25 cents for ev- ,w;rci bv law and Treasury circular U
i . : .: V..
ei' fvncnU however slurt, will be caarj.
Ies than fur a square, -' '
Court Orders and jinlicial advertise
n!s will le char-red 25 percent hkrh-
; (we soinetitnes have to wait so long
Vtho P.v.) . . ...
Timo who 8dvcrtie $y the year will
I ni:!i-,t In ii -liitiiftliM nf rvlr rrnt
brided they pay in dvaDcc ' f
rcl
let
CUM
CI
ntl
H
lor,!
i
Hi
(DC
RU1
lb.
ru
inrj
b
1
nmic DrrACLTn:.
ktracf from the "Report, oj llio Invcsti
patini rdmtnittcc, on llic sutdect of
rublifl-Defaters, cornxunicated toP"ri,!,n1ralrrrCi
ipircd by law and Treasury circular to
le kfpt by the Auditor, to enable him to
detect frauds and defalcations, if-any
exist,, the said Auditor, ci'mld have tlK
rouhfy ; examined said Swartwout'i
quarterly accounts during any (juarter
said' Auditor' las been in office, inas
much the oriztnal quarterly accounts
ytcre retained in olace, and lurnibbed the
san e mearpi icompasison as a rcgisier
wdnld Kara furnished.
; f 4(h. THat, in the culpable dif regard
of law end neglect of duty, as aforesaid,
by said Auditor, is fu:.d a primary
cause why the defalcations of said
Saartwout in 1837, and subsequently,
wont .v ; ' r " then held by birri fot protest and- wna-
1 Cause X .The negligence arid failure . certamed .duties.." 4 j
as'tSfl hefid of the Treasury -Department, ' prevented from asccrtoiningVhat is the
:enuon ana use oi
C4 present collec
v York, cither in
er' protest, or for un-
books if records, desiVned to contain a j ascertained dutH or in other fond col,
condenWd statement of the accounts and rto xtM f his refusal .to
labilities of collectors of customs, week-' m own 8st? )oiet
y; motirhly; and quarterly, have been ! baok permit the banks used4by
Emitted to. f:dl into disuse in the Do-) as depnsiioncs to exhibit their, ac
.artment of the Secretary of the Treas- . K
ury, and thereby render nugatory many I v ,in:' 4 n ine PUD,,C mof P re5ei
of the essenual checks upon tlw defalca- j "ui eoUector are mingled U with his
ofJbaclasfMiccrajuiakgi
existing laws and Treasury- regu-Tkept by him, nor by his banks of depot-.
- - i n aiinrr nni cnntrain irnm ma trxii,
at ions. : ' .: -i .-..... m.
the Iloose of Representative on
Thursday the jSStlr ult. ' ...'l.:
' v (Concluded)
THE CAUSES OF MIL SWART
AVOITPS -DBPAIJCATIONSL-Cause
1, The irrcfponsibiKty of Mr.
vartwout in pecuniary character at
c time of his appointment to cilice.
Conthttiont r lke ommittte,
hi That at the time of Mr. Swart
out's ap;Kintmcnt,and of his reappoint
.... I. l !
eni to ouice, rus was wtiu.iy irrcspon-j aod lhereof nnwcA by law,
ble b pecuniary reputation,, and wasjana n 8eu!;ngbnd certif)ing to tfRe
volved in dtibu ' ; , Agister the accounts ot Saaiuel Swart
ah H at nt the tme of his appoint-1 .,,,, uie cfMer-.m. wiihruit bit vln -
3
lit)
stilted in the probable loss of t'ie public
iroajore,'.;.:--rr
r Xause iy. Culpable disregard of hw
and neglect of duty bv tn late and pres
enl Comptrollers of tlie Treasury,
Conclusion of the CommUfejJ
1st. ThaHhe late Comptrol'cr of the
Treasunr. Georire WoK Eso.. now dol-
. w - t j . -
lectof oi tlte prt of Philadelphia, was
guilty, while m said oft'icxs of Cjmptrol-
ior, of euloablc-dtsrvard of law an
neglect t't duty, both to regird to the
bonds f collectors filed in his ciHce.
Hons
'rom
llio penalties of tlieirvlUcial bonds, ie-
jcciivel ' j - also, ie correspondence ""
had between die Treasnry department
and 'i. fifteen - of the individuals whoso
names annnar on a.i!J fttatemftni ihrt
Corumitteo havins called for. and been 'fi
furnished by thej jpartment with
answers ot the mtcirers to; tho letters
of jhe Secretary if the Treasury as con -t
taincd in Hoijsldocuirieqt No. 297 " V?
TJiuse'liAeeii.fjei 'aire reported special
ly, as examples merejyof the, manner
in which the President of the United '
States and thej?e:retafy of the Treasu
ry have executed the laws in respect
to the public money and other property
of. the United States in the hands of this ,
class of public oflicers, and in , respect . ;
to their official duty. , " , " , .
The law provides for the appointment
by the Exec utive, w ith the concurrence
of the Senate, of a recei ver of publie
1
t-1
5fJ. The n'eWee and failure of the n) he collector and ol , are to be made, who shall give bond,
Secietary oiflrHTTreasury to discharge I w Mr
i... j i.a .a r-i,ri.! turns, therefore, be lounded uson them Jul discharge of bis trust i, who tnal
Denartmontharzed by law Jnttf. tho ! ?' a .Wa, independent f.wd, be-lrami uitUn thirty Jay in cass
..... . v .l . ' n.!-. .i -1 ion? ni? to tne liovernrncnt. tnoc?n in oi duo ic saic. anu ouanenv in case oi
nrmrini nivinnpn t n 1 1 ii -f ii u iih is i i ii u it; n r - - . -n o
revenue
,t kii n-ont nf n rnttfPl arw4-i KCCpin!:.
oui. iiiai, wm appears ov uio iciicr
AS.
en
unit
cut and of his rtappDtment, and lor , transmitted ta him tHo vouchers therctr
o whole period he wss in ofiicc, ho TC,)Urcd by pofitivo injunctions of law.
noioiiousiy cuc.iz'.'u in iarg'; nou
zaxdous speculations, and deeply cm-
rrra red by them. . .. : - -
sd. Ihat his pecuniary reponf'iL'iUty
.d consequent tnt)lvcmcnts by Itnzar-
t:s specuiations, constitute one of the
imary caiwci 'of his defalcations to the
overnment. . : .'. '' -' ' ..7 '
Cause 11. Culpable disregard of law,
A neglect ol oiiicial duty, by the late
val oll'.ccr at New York
Conclusion of the Committee.
1st That the late naval officer at the
ttb'.
mu
o 1 1
it ki.
: 2d That the present Comptroller of
the Treasury has born guilty of r u!pa
bio disregard of law and acglect of d'ty
In settling and certifying to.. the Register
tho quarterly account of Samuel Swart-,
wout, late collector, without having
transmiitcd to turn the vouchers ttciefar
required by positive injuctiou of law.
Sd.' That said Comptroller is also
guilty of culpable disregard of IjW and
negloct of duty It t. In not having
sought and ascertained from the "invoi
ces and ahraiscmcnts'. at the eiistiim.
rt elNcWiLork, throughouLthelerm j KHwe, eitlier through fcS)licitor of ihe
his rcrvice, Irom lew to I8J, wijoIm Treasury or otherwise, the true amount
disregarded the requirements ofTaw
ecrilmg tlto duties' of his office.
2d. That said navsl tdliccr, for the
ur.e period, wholly unregarded the in
ructions of the Ctntintrollcr of the
rcaury of ovcnrber 10, 1W1.
vTtstjatdnayalpuccr, by ?q dis-
of Swartwout's claim upon the $01,003:
retained by him irt going out of office,
as suggested in the letter ol the district
attorney 'that was-before him, dated
April, 25, 1S?3, 2dly, In causing the
re counts of said Swartwout to be forth-
uiih state', or instituting measures
precbtion 6 the bofoje-namcd records
in the superintendence pf Ui ilo.lfection
of the public revenues, and , yif.'cortKe-
qticct neglect to continue antompwe
them, arc "justly regarded, as a primary
caase oinne escape iroin ceiuuuon, iur
so lor.gi9 period, ot thg imnienso idefaU
cationsf4hc late collector at the port
of Nety Ydr. ,
SdyTTIiat the Secretary of the Trea
sry fecen wanting in a proper dis
WiargeJ.i Kis duty in office, permitting
Samuel Swartwout, bite collector . of
New York, quietly to rctlin the sum of
S-jOlAvv after betng out ot omce, un
der prcteit of indemSifying himself a
gainst claims of importers for -duties
irtidjum under protest, and liable by
iim o br3 refunded while irwa known I
to tteecretar. cftlie TresoVy, within!
u tew. weeks inereauer, inai saiu on an
wott 'staj neglecting to refund such
protest moiie,v-, as he claimed to do, and
that the same were being refunded, from
necessity, out of other accruing resour
ces of the Govern nent by, said Swart-.
wool's successor in office
ifiWltierclirrof tv$ Trea
sury has been wanting in a proper dis
charge of his duty in cuicc, in permitting
the present collector at Nets ' York to
retain tndcr bis own -control, "a nd sub
ject to Jus wo use, commingled vvith
said coUector's private lumls, large ans
aocumuliuln" sums of the public money
cbllqctcdi for duties paid under protest,
fnd aiaiast'lhe declared opinion of said
Secretary; and the declared c pipion of
the Attorney, General, of the. United
States on . the , subject, also against the
former usages-of the Uepartmont, and
insTcacroTcausing thlTsamelo be paid
inte4bc Treasury of the united Mates.
PART II. THE DEFALCATIONS
K OF WILLIAM AI. PRICE.
of Gorham A. Worth, the Cashier of the
city bank, the' prcscat collector has de
ported public moneys in his hands wtih
a bank which could not, under the law
prohibiting the selection of any bank as
a -'depository,- which"" "hai issued notes
tmttcriheTtenoniinationpt tnredouars,
be selected by the Secretary of the
TreaiuryJhjmsclf as a depository of
moneys earned to the credit of tlie trea
surer of the' United States ' ."V''.'
Ctlu That the mode adopted Sod
practiced by the said collector, of keep
ing and making returns of the public
money coliocted by him for unascer
moneys at each of the places respect-
ivefy where the public and private sales
private sale, an account Of all the pullia
moneys by him received, 7o the Seer e
tary of the Treasury, and to "the ' regZ
if ten of the land njjice s, .as the case
may be. He is al owed a srlary of
five hundred dollars per tnnnmVand a ;
commission of one per cento n oi the
moneys received nut his salary t'lll
not exceed for anVoneyeaf 3,00;-; .
The Secretary of the Treasury may al
low to the several receivers of (he pub
lic money at the several land - offices,"
a reasonable compensation for trans-'
porting to and depositing such moneys
in any bank or ally other place of depos
ito that may from time to time be de
signated by the Secretary of the Trea-
tamed duties and under protest, in tho sury Icr that purpose, lie is also an
language V the present Attorney Gen- j thorized to prescribe such further ret
era? of the United States, "could never ulation . in the manner ,pf keeping?
hare been the intention of Congress r books and accounts by the several olh
and beins "tolerated." it has made it, cers in the land offices, as to him may "
in the language of ihe same high officer appeaf necessary and proper. It is ,
the interest of r.he collector to post- made his duty, at , least once in every.
wne the ascertainment of duties, as in I year, to cause the books of tho officers ,
an time he would tiave the un- of the land oiiiccs to be examined, ana -
controlled use of lie ? money. .; It has, the balance of public moneys in the
also, in lumimcniOf uic reasoning oi uie nuuus oi um several rucciveri iu ua
Attorney GerjeraV'cratije dans certaincd. '
ger of faithlessness in the collector, bv i The foregoing synopsis of the law re
permitting large .mounts of money to lative to land receivers, ana tne corres
remain with him, and under, his individ- pondence with a portion of those who
ual control, instead ol being in the trca- have proved acfaulters and faithless to
sury of the United States." " their trusts, are submitted, without fur f
. 7th, Thai, in the language of the "er commeminan .jnai.me. lacts anil,.,
in.srni.v nrnr .iiU iP.rnn.l .nlr. circumstances here exhitMted show such -
it of all our revenue laws seem to incul- a dereliction of duty ott the part of U.e
cate the idea that the intention of Con- Executive department as calls Joudly
grcis has at all times been, that 'money searching examination into this f
collected lor revet iuo should be prompt- lpch of the public service, and for a
ly praccd in the Treasury, & not be per- ""S" , ;
mined to remain in tho hands of the col- The practice which the foregoing
correspondence exmoas, of .retaining.
'rdlng the rcqu'remc'n's of la-.y and j tljcrcfyiUiimedLilfily limJhe nealed
beg
in It
divK
'mo
:aUk
iifics'
othe
)
)
t
LUMI
ve j,
4
eut,culiablv neglected to keep the oc
lints and rwordi nppr rtnining to bis
kc,- and thereby j .rendered .'...the'.'. lf
' e niig itory ; as a ' check on.Uie ac-
4th. That If the duties of said naval
- s:
wer, as autijorizca anu uircctou ny ex
iog laws, had lccn executed with pra-
rr care end vigilance, they would have
mlcrcd it impractirable for any fraud
F error in anvif the accounts of the col-
f kr of said port to escape immediate
pection. ' .- ., ''- ' ' .; .;' -
Sth. That the eutnablb diirecard of
8, plain reqtiirctncnts of law and of
csury inMructi its prcFcrihtng . the
ics of. naval ofiiccrs, by said naval
Hccr, and his Cin?inacd ncsrlcct of of-
''a duty, ii s primary causa of the
ftmensK defalcations oi tho latu collec-
f of New York. 7" '
Cause llfi Culpable d;re?rurd of law
nd ncglct-of iitittliluiy by -thd First
'i!or of the Treasury, y
Lmclusfoit hf tlCommithe.
1 1t. Tliat the First Auditor, of the
rtauiry has been guilty t.f culpallu
aid Swartwout l.v rtiirTHTtt-
accounts nt th3 expiration of the lime
allowed him bv law for tint purposi, to
kit; in ihecaily part 4f July. lSiW.
Jltllv. In continuing' i6c same neglect,
and forbearing to ismie wnrrnnts of .dis
tress - against said Swartwout and his
sureties Irom the 31st of August. 1838,
when apprized by the lcttr of the First
Auditor that said aeeounts sl't'l remained
iin!ettled.'ur.til the mouth of November,
when tho 'detection of 'Swartwout's
largeV durautiou was ;c6mmuticated
from New York. : , S:t?
4th. That the administration of - it is
marked with siir.n signal ih-.'fficiehcyV as
well n necrleet of duly, as render nuga
tory many of tho most important checks
upon the l' irst , auditor, and cucors,
receivers, and dispurscrs ot the puoiic
monev?. whu h the laws creating add
regulating its duties coutcmputcd anu
havo suiiicieutly provided. ' v-''., 1'
Conchsiont of the Cmmittee.
1st. That; William M. Price, as dis
trict attorney, is a dofaultcr'to the gov
crnment jn a jarjie sum,
-M-'-'PhiTtdg-HAfatffkti
table' to the notorious irrcsjosibiIity anl
want of character of said Trice at tni
period of his appointment and feapponit
ment. and uunmr bis entire terms o:
office. niHt tlia continued neglect oi a
proper anu euicioiu aisciwrge-oi auue-
at the otOco ot Solicitor of the T rcasu
ry by the luo jiildpresent incumbent
ut ttat otlicc.
PART 111. TUG CORRECTNESS
OF TIlE RETURNS WIHC1
IIAVJiH5EEN, MADE BY THE
PRESENT COLLEiJTOR AND
. tth. That, In saiFdlKegard ofTaw
and heirloct of duti bVtho siidLonip-
(rollers, end jncjnciency of the'officaas
now ''administered, is to tw found a pri
mary cause of tho Immense defalcations
6th: Thai the returns . of the naval men in omce aner gross ana. repeaicu
officer in New York have not been cor- ?lolon8 ?t uw. law in keeping ana us
redt, asitisloundin tho testimony of "JSe puonc moneys tor private spec
the present deputy naval o3iccr, "that wations, fnd the i character of the cor- K
the nivar officer, under its existing respondence itself, but too clearly pointy
system, is not enabled, either to deter- t inference that such officer were ;
mine what amount of bonds have been :' 'ii',wuW u.v7 j,..--.
Liken by the collector for duties in anv ed extensive political influence, and
quarter, or who are the patties, in said wfP sefu4andTa?w?. r5M.
when such bonds are paid, or whether siutes omciaicorrupuoiun inosesupe-i
tho collector does or' does not 'account nor officers ot the Executive depart., :
truly for such bonds." : vr;:;; . menu who knew ofnd permttted in -
rati IV. DEFALCATIONS AMONG hasbcon referred to, is a question which
RECEIVERS OF : .TIU1 PUBLIC tho Committee submit to the house and
: MONEYS. v - ,r.:rf:r.Trz the countryjto decje.:
1 The Committee, in fulfilment of that
portion of the duty assigned them, by
which they were directed to inquire in
to "any defalcations among receivers,
&c which may now exist," report to
the House, that the limited period which
1st. That the returns of tho collector
of customs at tho port of New York
have uot been correct, as ttioy have not
.... . ..- i . . .i .
PART V. FACTS CONNECTED
WITH THE FOREGOING DE
FALCATIONS. and deemed .
MATERIAL to DEVELOP THEIR
TRUE CHARACTER. ;
In conclusion, the Cnnmittce cannot
during (heir
not found
..... ,
animation ol the cases the case to wnicn im laws, as mey at-
of tho late collector and district attor- rcatfy ens,-do not apply, or in which
nev id New York, have prevented a ml- they are defective; The 1 permanent
nutc investigation of the extent nature provisions of we laws constitute every
ana causes oi ine aeiaications
at all times embraced, as paid into the ; ceivers of public moneys,
public. Treasury, the inonejs received uie saics oi puoue lanas.
bv him for unaicertauicd duuei
a mit nt ton i.iva. hurvir. nrnnr(d.- from ra. IhaVe becrii and may be crta'ctLs in the
no time for Quilcs paid under protCsU ) ports made by the Secretary of the discretion of the1 Executive, have' only
o i ti,.i c,.u tt.iAr; in hl rMitmi TrMsnrv at the last and nrosent ses'-ltbbe attended to and aipi(ed-by thossr
has violated the Instructions of tho Trca-1 sion of Congress, a tabular statement, I whose duty it is te superintend the ex