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FHOIPEGTUS OP THl WEEKLY OIOl*
QIAN.
Thitamututl dependence eiist* between the upper
end lower pot lion* of Georgia, between the rldienof
tbe mountains tod nf the counties bordering on the
distant Chattahoochee, awl him whose Ice la cast In the
principal Seaport of the State, where the rich pmdncu
of Oeorgla eeek an outlet to the ocean, no patriotic
citisen of the youngest of the MMntn can. fbr a mo
meet, doubt Oar people, spread ever ah extern of
ceumry, in which there ealltl every variety ef soil and
climate, have a community of inter*it which, If proper*
ly regarded, and made tn centre upon the welfare of
the mesa, will advance them In science, wealth and
nodal prosperity.
Our people are not only Agriculturists, and mar.
chants, but many are divetling their attention to manu
factures. We thus witness agriculture, commerce, ami
manufactures proceeding, hand la hand, to make ua a
community great and happy.
That Georgia la rapidly reaching that commercial
grandeur and Independence which her local position,
aa die key stone of die long arch of the maritime atatea
of our Union, aided by enlightened legislation, must
ere long confer upon her, no citisen with die prophetic
eye of a statesman can be unconscious of.
It will be our study through the columns of the
Georgian not only tn apread before the reader the lateat
foreign and domeade intelligence, not only to inform
him on national and state politics, but to convince him
that the first duty of the citisen, concurrent with the
welfare of his immediate family, is tocultivate an ahid*
Ing attachment to the institutions of hianadve State and
. encourage thataplrit, which will eventually make Oeor.
gia assume that rank aa an independent state of diis
confederacy, which her noble advantages, irdeveloped
by die patriotism and enterprise of her aons, cannot fail
to.secure to her.
Aa auxiliary to the general proaperlty of our belov
ed Buie wo would cherish a reciprocal feeling be
tween thecitiseus of every section of our State, and
seek by facta to convince every nidvc and adopted
aon of Georgia, that no State in die Union contain*
more elements of social happiness,—none a more fa
vorable position to be independent, as she should, of
those who seek (and in some measure with success) of
making her tributary to their proiperity.
To effect this, the Georgian will refer, on proper oc
casions, to her own Savannah, the ancient city of the
Bute, and invite the notice of the citisen ofthe interior
to her improvement, which from her commanding situ
ation, haa been gradually onward, and in recent years
astonishing Exporting from her wharves near liziuti
millions in value of die staples of the State, she is yet
but Hide known to a large portion of die Agriculturists
of Georgia; and the merchants of the interior, in many
instances, pass her lu swell the profits of die Nurthern
capitalist, and thus compel the purchaser within our
limits to pay twenty per cent to our Northern brethren
for those manufactures which could be furnished by our
own citizens. Shall Georgians submit longer to this
onerous tax upon their industry? Tbe patriotic re
sponse will be an emphatic—No!
Ont million, ttco kundnd thousand dollars, are thus paid
as a tax by the consumers ol'Georgia.and not one year
only, but every year. It requires little reflection to
petceive how our pockets have, contributed to amass
the wealth of the money kings of the North, how their
cities have beceme splendid, and their public wurks
magnificent.
New York, the great city of a great State, exports
but four millions mure than Savannah, while her im-
partitions exceed those of Savannah nearly 8108,000,-
000. Tht profits on these vast importations, beyond
the consumption of New York, would accrue to the con
sumers of the articles, if they were their own import-
tllcekly
SOUTH WESTERN RAIL ROAD.
Ws perceive by the Loufeisuisn of the 3th inib that
the Legislature of Kentucky has finally tejedteH the
bill creating s bank in connexion with the great Rail*
road company.
WESTERN Jc ATLANTIC HAIL ROAD.
Extrsrt of a letter from a citizen of thid Btile-to his
friend in this city, dnted
•• ROSSVILLE, March 1.1839,
The Commissioners have fix d the termination nf the
Western and Atlnntic Rail Road at Rosa’s Landing
without knowing the views of Tennessee upon tills
subject This measure may seriously injure Georgia,
and affect Savannah, should it lend (of which there is
danger) Tennessee to embrace die Alabama route to
West Point."
NEW PAPER.
•We have received the first number of "The Star,”
published weekly in Tallahassee. Florida. It iaedited
by J. B. Wrbb, Esq. formerly of the Columbus He
rald. and is a fine large sheet, and occupies the place of
" The Watchman."
If we look at the shipping owned in Sarannnh, (which
exceeds that owned.by the merchants of any Atlantic
port South of die Cheeapeake) and employed by her
merchants, a moment’s i eduction will convince our ren
ders in the interior lliat die emerpriking merchants of
this city are able with their own vessel* to transport a
large portion ofthe exporting trade of Georgia, and the
numerous ships and other square-rigged vessels, which
during die business season crowd her wbnrvea, in pur
suit affreights for Europe,would assist in bringing hack
to her shore* die itch return cargoes demanded by the
wants of our |K>pulaiion. We would ileaire too to direct
the attendou of our fellow citizens in the interior to the
rspid advancement of their Seaport within the last eig.it
yeura. In 1830 die population oftne city, exclusive of
the aounty of Chatham, waa 7778. In 1838 it had in
creased to 12, 758, being an addition of more than sixty
per cent, (exclusive of a in^ient population from
November to March of about'301)0 more,) and in the
three yeari ending in August last up ward* of IU0 build
ings (many of them brick) of vurinus sizes have been
erected in the city and suburbs, (several of tuein im
posing fire proof ware House*, capable of storing lurge
quantities of cotton.) while aitice that period many tub
atanlial edifice* have been raised.
One thousand feet of new wharves have alio been
recently reclaimed from the river for dm use of die
city, and eighteen aieiin.rice and saw mills, have been
erected widiiti die past ten year* in the city and its
immediate vicinity—five of them having been raised
within the last two year*. The value nf her real estate
has dma materially improved, at evoiced by die high
rents and the sdll increasing demand for houses, sensi
bly augmenting the ordinary sources of the city'* reve
nue. If we tum to the river and enter into detail*
we see twenty two steamboats, belonging to Uds port,
with an aggregate tonnage of 3701 51-95, ahd engine*
of 1021 horses power, beaidea many plying on ziur wa
ter* and trading here which hail from odier places, aa
Charleaton and Darien. We aee also ihirty-stccn aquare
rigged vessel* owned in whole or in part in Savannah,
of which eighteen are ships of the largest class, aver
aging more than five hundred tons. We .would also
point to our Rail Roud, which is now travelled by lo
comotive more than sixty miles, and has been graded
for 105 miles, and under contract for 132 from die city
In this work our city as a corporation, have embarked
half a million of dollars, besides extensive private sub-
■cripdons on the part of our citizens.
We merely glance at these facta,that our fellow coun
irymen of interior Georgia may perceive diat the-
proaperity of Savannah is substantial. In die brief
■pace of a Frospectus, details exhibiting our resources,
and our progress in the scale of cities, must be avoided.
We must allude briefly to ndier subject*.
Our columns shall of course be devoted to ell mat.
ters interesting to the general reader. Agriculture
(and.as connected with it the cultivation of silk,) Liter
ature and die Am will receive all the attention which
a Weekly Miscellany can furnish, while the latest
markets, foreign and domestic, will be inserted.
Qoewordssta our politic*. The character ofthe
Georgian we will strive to sustain. Temperate and
firm in tone, we shall support the measure* of the ad
ministration while they adhere to the policy heretofore
characterizing it—but be free to condemn when we
udgo it to be wrong.
The terms ofthe Weekly Georgian will be to single
subscribers, in tbe city or country, thru dollars per an-
flam,.payable in advance. Every postmaster who may
remit twenty five dollar* (free of pontage) thereby fur
nUhing ten subscribers shall receive eleven copies of
Xhe Weekly Georgian, and any four subscribers in tbe
-country remitting ten dollars (free of postage) •ball re-
•cel re four copies of tbe same.
03" Our readers ire informed that all advertise
ments intended for the weekly paper must be so mark*
«d, and will be charged accordingly.
B3" The late anhicribere to the Darien Telegraph
will receive the Ktstnumber of the Weekly Georgian,
Those who desire to become subscribers will be »o con*
•Mered if they do not return the nxmber by tbe next
moil.
MR. NILES, OF CONNECTICUT.
Amongst the greatest fences the republic will sustain
in tbe next representation in the Sen te, may be class
ed that of the Hon. Mr. Nttxs. That gentleman was
deoidedy one of the most rendy debaters in Congress.
He was always perfertly at home. No thrust or parry
of his antagonist, could pul him off his guard. Hi* re-
ply was prompt and unanswerable s and lie was more
than a debnter. A warm friend nf tbe South, and a
true disciple ofthe immortal JxFFKHSON, his reasoning
often waxed into eloquence, and histropinallunguage
wssonly equalled by the boldness of his conception-
and the ease and fluency of his delivery. He hasever
gloried ill speaking the truth, and the words drop from
his lips, as those of n man who believes what lie says.
Heis.in all respects, au honest man, and a credit to the
party which it is his pride to be attached to. Like ml.
ny oilier great men in our cou. try, lie his not been
properly appreci-ted. by the mass; and it may be his
fate to have little justice done him for some ti e to
come. But, un.esa our republic, like some of antiqui
ty, con net- r do justice t-» a man while lie lives, the
usefulness of Mr. NlLKS, during a life of no shortdura-
tion, cannot be overlooked.
We are g'.ad to perceive that the democrats of Cornice
tieut have selected him, as their candidate for governor,
at the next election in that State. And we ate more
rejoiced to find that they have a good prospect of sue-
cess. Never was there o more honest pnliltran than
John M. NlLKS. Had he been a tergivrrsator—or
even a quiescent spectator, when wrong was committed
—ho wouid not have been maligned, as he lias been,
by the opposition press. But his noble nuture rose
above consequences. He felt that justice required he
should use tue powers with which nature bad endowed
him, for the cause of truth. Hence, die true source of
the opposition with which he has been assailed.
"More true joy Murcelius exiled feels.
Than (Jtcaar with the denote m Ids heels."
And so, wc'riloitbt not, felt Mr. NtLt>. when party
manoeuvre ousted him from his seat in the Senate of
llie United State*.
We are not the eulogists of any man, for his own
sake j but certainly we would consider ourselves uti-
.worthy ofthe post we hold, us observers of public tnen.
nnd their conduct, did we uliow die present time to pass
without paying this alight tribute to the putrioii-ui of
Mr. NttEi*. And, let it notbe forge ten, that we have
wailed until he haa retired to the shade* of private ll.i
for a period, at lost, before we lmve ventured a word
n his behidr.
<• Vir bonus, dlctndlpirltus.'' was the expression which
the old Romans applied to an orator, when they ap.
proved of his discourse s and we wish die present
generation outlaid red probity of character an essential
in ad orators. We ara ourselves, however, rather
old-fashioned in these matters, and it is because we
believe Mr. Nilf.s to be "agood man nnd an able
speaker," that we have introduced him to our readers.
The Houston Intelligencer ofthe 22d, says: General
Houston is expected, and will doubtless arrive in
Texas by the steamer Charleston; alio is hourly looked
fur. A rumor is ufloat that the independence of Texas
has been acknowledge! by Fram e.
liams. We have, so far. but glanced at i s contents,and
have found ita pages replete with entertaining subjects
We shall anticipate, with some anxiety, tbe reception
ofthe next number which will he enriched with con-
trihutinns from InviNO, in addition to valuable articles
from those able correspondents, who have'given this
periodical a character, as well as a name.
American Cotlkrt.—Itls highly creditable to the
mechanical genius of this couni ry that it is able, after
the experience of only a few years, to furnish to the na
tions of Europe articles for the supply of which we
ware previously dependant on them. The following
Instance, mentioned in the New York Courier, is a
pleasing rase in point.
If any person had suggested twenty years ago, that
at this due we would be sufficiently advanced in the
mechanic arts to rival In workmanship and elegance
the most difficult branches of tbe English manufactures
ia Iron, he would have been pat down as a fool or a
modmin. And yet such is the fact. We have recent
ly had exhibited to as • pair of tailor’s shesrs. inaou-
factored by Robert Ward, of this city, lor t fashion-
able tailor in London, which exceeds in finish and beau
ty of workmanship any artinte of cutlery diat we have
erer aeen The iron used waa from the Elizabeth
Works, New Jersey, am) t l, e paie-il screw of brass,
hot gilt, was msnurseuired at die works of Ronear
Hoe k Co. of this eity. Mr. Wsao, die manufictu-
rer nf this beautiful specimen of American s'.111. re
ceived the first premium on his cudary at die fsirof tba
American Institute last autumn.
The Legislator# of New Jersey has repealed the
law to encourage the culture of eilkinthttBiate-
n pinte Iriiin ilie liiilititliml mom?)* ol the
collect nr sand nf Ids " professions! clients i"
and Ida returns cannot, therefore, be fmiinted
upon them as w ee israte nntl independent
Ihntl, belonging to Government) though in
It a keeping.
5 It Tost, as appears hy the letter of G r-
ham A* Worth, the c-elder of the Utly U»ok,
the present collect- r h.m deposit'd public
urn.-cys in his hands w tn u bank which could
not, tinder the law nmhihnli g the stleeriuu of
tiny bunk tn a deposit'Tl - Wldch has issued
nuti • under 'lie dcutmvna inn nf five dollars,
he hi lerted by the Secret ry nf the Irensti y
himself as a depository nf money* curri-d tn
tie credit ofthe Treasurer of the United
Stiitrs,
6ih, Thu the mode adopted and practised
by the •-* d rollector, of kcepiitft and n.ftki.'g
returns nf the public money coll cied hy him
tor ninn-cerlaineil do tie* hioI tinder pro'eat, in
the language nf ih* present At'orney General
ofthe United States, •• could never have been
<lie intention of flungre-s, M mid be nft '•tol
erated” it has made it, in the lutftnafte of the'
suite high olfir, r, " the interest of the colli c-
-or tn postpone the ascertainment o' duties,
ua in the mean I me lie would have the uncon
trolled use nf the money." It has. aim*, in ful
filment of tlie reasoning of-the Attorney Gen.
eta I increased "the d.-nger offaitl lessness in
the roll cmr. by petmitiing large Running of
money it* ren am with him, and tinder his in*
•liv diinNremind, instead nt being In the Treu
►urv of the United S<utes 11
7'lt. That, in the lmginige nf the Attorney
(Intend, •• the tenor anti spit t i f all nor rev
enue taws seem to inculcate the idea that the
-mention nf (longress has, at all 'lines, been,
tlrd money collected for revenue should be
promptly placed in the Treasury, and tint be
permitted to remain in the hands of the col-
le-'tor,** ,
8th. Tied the rthunu of the naval i-flWr
i New Yo»k have not been correct, us it is
found in ilie testimony ofthe present rienti y
ntiv -I officer, «• ih ,t the naval nffi -er, under its
existing system, is not enabled, eiriier to tie er.
mine whit ami-unt of h»nd-has been taki n
In tl»i* collector Ibr duties In. ant q outer, or
who ire 'he partes to said bonds, or the dates
of Slid bonds, nr when they are pautble, or
when suMi bonds a'C paid, or whether tit ■
collertor does*or does not account iiuly for
hlicit bonds.
RE-
THE KNICKERBOCKER— ForFebruarg,
Was received on Saturday from the agent—Col Wll-
On Dit.—That Mr. Swartwnut, oar late collector,
Invested nearly or q he all die amount of hi* rtefaln--
tion to government In Texas lands, and that ainre his
arrlva in England, he haselT'ecied a sale of those lands
to a company of capitalist* for about six millions, three
hundred thousands (6,300,000) dollars.—N. Y. Sunday
Morning Rtus.
Sin John HaiiveT.—A pnraernph from a New-
buryport paper, enined admission into our columns
cnnibundinc this officer with Sir Feltnn K. B. Harvey,
former Aid de-Camp of the Duke nf Wellington, and
h- siiand of Miss L. Cal-n of Baltimore.
Sir Felton Hmvey died some yea is aon, and his
widow married the present Dukeof Leeds then Mar-
q'm of Carmaerthen.—Baltimore Patriot.
THE INVESTIGATING COMMITTEE.
The report of the majority concluded.
Fart II. THE DKFALUA ITU.SS OF
Wil.I.IAH M IHtlUK.
Conclusions of the Committee.
1st Wiliium M. Pri-'c, >•« -nati'ict attorney,
a defaulter tu the Government in a large
sum.
2d, That his defalcations are attributable to
the loioiious ir-espousihdity and want of
rharanUr of said P-tce at the period of h s up.
pniiitnv'nt and re aoporn’meu , un-ldunug It s
entire terms of nffi e, •me! the cnutiniicd neg
leci of a. pi* -p=*r anti - ffi -lent «tis •hurge nf <lu
tic* ut Hie office of Solicitor nf the I’-euatirj
liv the late and present incumbents of tiia’
Part HI. THE CORRECTNESS OF
THE RETURNS WHICH II WE BEEN
M \1)E HY THE PRESENT COLl.KC.-
TOR AND NAVAL OFFICER OF ITIE
POUT OF NEW YORK, RESPECTIVE
LY.
Conclusions of the Committee.
1st. That tile returns ,,f the collector of
«u»t .ms ut 'he part of Now York hive not
been correct, as tin y Imve not at all times
embraced, as paid into Ih- public Treasury,
-hen-on yancev d bv him for tinisuertaiii-
etl dries ami at no time for duties paid under
protect.
2d. That said coUec'or, in his retirns, has
violated tbe i-mtnot o s of the Treasury De
partment t has put ut defiance tbe duties
aigi.eil him b\ the Hterewy ol'tlteTreasmyt
line repnd ate'd ih-* official decision of the
respoi s ble law-offi ce of the Executive de-
partm if t and ih guilty »i au iliegtl retention
nnd n*e of 'he pubic money, in the amount
then liehl by him lor protest and unascertain
ed du iee.
3d. Tim' the Committee ban been prevent,
ed from a*cer'ainiiig wltai in • lie extent of the
illegal retention nn-l use of the public money
hy the pre-ent collector «»f llie port of New
York, either m I'otuU collected under protest,
nr f r unascertained duties, nr n* oilier lun I-
I'olledcd by him, beem-enf Ini icfiixd ti
exhibit hi* own book of eish depon te* it
it ink, or io p< r nil tin* Iwoks, mb- , iI in Irm oh
tl-poil orie* t» exhibit their accounts of his
drpo» tea.
4tli. That the public mnnetg received by
Haul eolleetnr ure mingled wi< It Ids own mo-
<m deposite, and are not kepi by him.
iteye on deposite, end are not kept by him,
nor by hit binkiof depotiie, distinct end
nn-lI which l won d liavedesiri-il; ur.<| I idmuM hove
nreferred, f ut this iva«ou, to have presented th"
.journal oft his Committer, without comment, to iha
House of Ill-presentntives. But a« conflicting opln-
l »n* prevail hi tin* ahapd nf furmnl n-jMirts, l eon-
shirr It my duty in sny tlmi I coneiir with thn Com-
mitteit If* all thr rnmdnsinns nt which they huvmr-
rived, sn fur ha those coucliisii-ns apply to die ex
tent and nhiintrirr of thn dpfalciiiliitis of Samuel
Swartwnut m.ilI William M. Piier.
I-hoold ho Itith ns* to my duly, and do violence
tothe must onnsciuniioos convictions nf my judge
ment, if I did not nl«i d-mliiru my entire concur
rence in those itonehision* of thn Cummitien which
relu'i* to the conduct of th- lute nasal officer of th«
nistnm-hnm* ut New Y-.rk t to the Inin nnd prosent
Soliiiitnr of tlie Troii<urv; in llie acmuoting of-
ffiurrs of Trmtenry D-pirtmiMU, ineloding thn Into
Comptroller of that D •pnrimoni; and in ilint purl
of the repott which reviews tin- conduct of J.
Hoyt, present collector of iho custom- nt tin* port
ofNew-York, GKO W. HOPKINS.
Member of Ike Committee.
\
-. «a
'• ,exi
h ^
MEP0
F.POHT OF THR MlNOIIITVOK THE SF..
IKCT COMMITTEE OF THE HOUSE OF
HEI-HESKNTUTVES,
Appointed on the 17th of January, 18-19, to in
quire into the causes and extent of the late de
falcations of the Custom-house at AV» York and
other places.
CoNORKSi OF THK UNITED StsTKS.
In the House of Representatives, Jan, 1839.
Resolved, Thni ih • eommunic-itioii from the
President of tin* United Snues, «if the 8Hi Decern-
her, 1838, rolntiug to iho defn cminn nf tlie lute
e-dleetor of tlie port of New York, except so much
ua relates tn the m-idificmiiui of the n v-rine laws
be retired to n S ‘ en Committee of nino monilmrs,
to h-appointed by *h" House, hy hiillot, whose duly
h eh ill he 11 inqmie into tin* cau-e* and extent of
th*' l«'e di-lnlcatinos of the nustom-hniisfliit N York
nnJ nihe. places, the length nf time they have ex
ist* d, th* correctness ofthe returns which have
heon made by the colieators, naval nnd oilier offi
cers. nnd the depositn hunks, respectively, and nil
such facts connected with snhl tlefn cmiuns as may
he doomed material to duvelopa their true clinrac-
Be it further tssolved, That snid cnmmitt»o be
requiied to inquire into, nnd make report of, any
d--f ilculions among iho collectors, receivers, and
disbur*ers of the public money, whirl* may now
exist J win* are ihe default- rsj the amount of de
fn lent ions: riie length of linn* they have nxisied,
Hnd tlie causes which led to them, nnd that said
committee have power tu send fir persons and pa*
I’Anr IV DFF\l.*?A i IOVS AMONG
UF.IVERS OF PUBLIC MONIES
The Ctninu'uter, in fulfilimi nt nf Hint por
tion ofthe duty in-Bigned the n, by which they
were directed to impure into** Hit* dt-rnlciiliuos
hii*niig receive*s, 8u*. which may now ex a
• ejori n the Hi use, titit the limited period
*vl» c i they had for a thorough mveatigutiim «-f
tlie Aubj-ot* with winch they were charged,
ii d tlie time nere*-B»ti*y consumed ip riie t-x-
ammuiimi ofthe c s-« nf llie late co.lertnr nnd
dwti-ct Hitornvy of New York, h*ve pr«ven'-
d a oiinute invest'g;*'ion of theexien', iwtite
nod cmiseH i-f the tit f-l mi ions o' rrc ivem • f
I'tthl c moneys, arising fr m the salt-sot pu die
1-0111* • The committee have, however, pret a-
• etl, from report* mule bv -he Secretary ol
Hie Treiifltirj ut the lust and present xei-ston nl
Cougre-H, u uuiri-r aiutement, exldbiiing the
names of Mtrli defsitlte a. tlie amount tine from
e ch, when due, an l the penalties o- their of.
fiend bonds, respectively j also, the c-iriespui .
d ore I* -d between the I real *r\ Department
• ud fifieen of ti e out v du -la wlmae mime* up-
P'-ir o Ktutl -'ut -men'—ihe commit tee huvii-g
- Il-d tor, iiuti been iinn;i’-ed by the tie pot.
m-*t, with the answer* oft' e receiters in the
iflt I'H nf the tecr-1 ry nf the IVea-iir *, as
c -ii'Ainetl in Ito-is.' d •rumeut No 287 These
fi trell ruse* are reported specially, i-t exam-
plea merely nf the in er io which ihe Pre
sident of tile United S'a'es and the Secretary
nl'the Treasury Inn e executed rite laws in re-
apem to riie public money am! other property
if tlie Unit-ii *viii'es So the h inds nf ti it plus*
•f public officers, and in respect to their offi-
si’d duty
Tin* law provides for tlie npp-untment by the F.x-
ncmive, with ihe poucurreuci- of iho Senaie, of n
receiver of public moneys nl each of the places re
peat ively where riie public ami private sales of riie
l-ouls me tu bn made, who shall give bond, wirii
approved security,for riie faithful di-rhntge of his
trust; wlut shall transmit, wi'hin thing days, in
case of publ esaie, uml quarterly io case of private
-ill ,nn Hccomit of nil public, money* by him to-
nened to the Seere ‘ary of the Treasury and tu
the regitiers of the land offices, ms he case may
he. He i- ii Inwi-d h salary of five Imudied d-d ar
pur annum, uml ii commission of one n r ceiniim
on iho monayeieceiv.-d; Imt his salary for m-y one
y.-ar shall not exceed $1,000 The Serretury of
the Treasury may allow to riie several receivers of
the public money ai the several land i.fiices, n rea-
-nnable iiompeiisaiKin for transporting to nnd de-
poi-iiiiigsucli money-in nny hank or any other place
of deposlie rimi may from tine- to lime he designr-
ted hy tin* Secretary of the Tren*my for that pur
pose. He is also uuih'-c.zed to prescribe such o-
ther regulations in riie moon r of keeping hook*
and Hceonnlshy thesev.-ral officer* in the Innd of
fices as to him may appear necessary and proper.
Ii is mule his nuty. ai leuai once in every venr to
nHiise llie bonk* of ih« officers nf the land offices to
ne examined, nnd iho balance of public moneys in
he linn-ls of ihb several receivers in lie ascertained
Tin* foregoing synopsis of ihe law relative to land
receivers, aim! the corre-p -nd -nce with n portion of
iho«e who fmvo proved defaulters and faithless to
their Irosis, me submitted, wiiliout further com
ment than that tho fuel* nnd circiirnsr-nc.es h rc
exhit- d -hmv such a dereliction of duty on tlie pan
of Hie Executive department as calls loudly fur
searching examination into this branch nf the pub
lic service, an I for n thorough refmin.
Tlie practice whi-'hihe fnrvgoing corrnsdondence
exhibit-, of remitting men in office after gross and re.
pealed violation* of law in keeping and using the
public moneys for private speculation, and the
ehirncter of the coir-spondence itself, hot -too
clearly jioint the infer nee ilmt such officers were
retained in place because >huy possessed extensive
political infhi-r.ee, a-nl w-rn u-cfiii nnd active par-
-iciniis. Wnmh-'r-uah m il-adminisiration consti
tute* official corruption in those siqierinr officer* ot
the Executivede|wriment* who knew of nn-l per
mitted in thidr subordinate* thn con-lucl whl -h has
barn referred to, is a question w hich iho Committee
submit to tho House uml tin* country to decide.
Part V. FACTS CONNECTED WITH THE
FOREGOING DEFALCATIONS. St DEEM
ED MA'I Kill Ah TO DEVELOPE xHEIU
TRUE CHARACTER.
In conclusion, iho Committee cannot tin beer re
marking, that, during their investigation, they have
notf-iin-l ihe casd tn which the laws, as they alrta-
Ay exist, do not apply, nor in which they an- do-
fnctivo. The pnrman-nt provisou* of the lows con
st it ue everv n-enssnry check upon collector-, re
ceivers, ami di-burners of pith-lc money; nnd the
checks which by law, have been and may bo creat
ed, in the discretion of the Executive, have only io
Iih nttooded to nnd applied hy those whose duly it
is tn superintend the execution of the laws, to en-
son* faithfulness' Hnd detect deieliciions or d-ifal-
citions in public officers.
Indeed, in nil the new recommendations which
have been proposed hy the President or tho Secre
tary of the Treasury, tlie Committee has found
either wh it aimidy exists, or what might nlwej*
been prescribed nn-l enforred in til" form of Trea
sury legnlntions, nnd which, if enforced would nave
prevented tho iate defalcations; ami these new re
commendation* can, indeed, be regarded ns so
many proofs of what regulations in respect to the
I ito defaulting collectors, receiver*, Sec. have been
hitherto wholly neglected hy tlie present Executive
■ml head* of D'purtments.
Part VI. MU. HOPKINS' SPECIAL CON.
CUR ENCE IN THE REPORT Of THE
CO VI MIT TEE, APPENDED THERETO BY
VOTE OF THE COMMITTEE.
I hnvo not had rim r*q n-lte rime for scrutlnixlug
tlie report uf the Committee with thutcaru and at
tention whiob iu length end importenee desorve,
The minority of the committee, appoint'd under
the above mutations nf the House of Represen-
tines, beg leave tu report .*
Thai thecunvniuee entered on tlie duties as*
signed I horn soon after the passage of the re-olu-
ti-ns. At their first meeting nnd organization in
the City of Washington, a resolution was ottered in
these word-J
"R>solved That thu President ofthe United
Suite-In-requested localise ihi* committee to he
furnished hy the proper Executive departments,
with a table showing iho ilululcatious which have
occurred tint -ng the collectors, receivers, nnd di*-
hursersof public money,nod other public officer-,
si i.-e the 41h day of March, 1829; tin-mimes ofthe
defaulter-! the ammiiii of ouch iletalcatiuu 5 when
each case occurred i the length of time each case
h .« existed, wimt steps have been mkeuby tho pro
per department* or nffi-vi* to prosecute the defaul
ters. and in secure the Un led Sint sin cue i case,
and what defaulter* uni retained m the same-dices
in which i hey became defaulters, or have b on ap
pointed to oilier offic ■*."
Which in the opiniun of two nf the undersigned,
thu third nut being then present, waa nutlio ized
liv the tcimsur.lho spirit of ihe resolutions of tlie
House, which Hre confined to ihi* late Hcfnlcnthms
us far buck ns the 4Hi of Mutch, 1829, which had
liecn h-relolioe rcpnriud hi Congress hy ihe Sucre-
tary ol'tlio Trcusury, ami no potion hud thereon by
the House. *
Under tin's view of thn subject, and believing it
in be tin- firsi step to give a latitudinariah construc
tion tothe powers delegated, uml whieh opinion
was coiifir i ed by subsequent events, one nf tho un
dersigned d -emed it a duty he owed to the House,
iu ofler Hn amendment iu these winds, "Tu strike
rnt thn words ‘dttiiiiculions *» hirh hove occuired
umoiig ilia c-tilectors, receiver*, nnd disbursers of
poli.iu money, nod o lier public officers, since thu
4th day of Muich, 1829,' mid insert thu w ord* *ri.e
hup defulent ions in tin-Custom llon-e at New York,
nnd other place-, uml uny in h--rdeinlcatnuis prior to
1838, and not h-iotnlhru reported hy tho depart
ment* to Congress and the country."'
The mt)’ndmciil was rejected, uml the originul
•otmion a -opt d.
The commit lee being impressed with the heli-f
that tlie groat object ofthe House in raising the
committee, whs to investigate the causes and extent
of tho defalcations at thu. Custom Hoiish ut New
York, deemed it ptopertoa-ij-nirn to ilmiciiy whe
the defalc.itinns hml arisen, iho witnesses, or n_
r* in thu sumo resided, uml tho d-animcutnry evi.
delicti was to be found. In pur«unncti of this de
termination, the committee assembled on the 24ili of
J.iutiory in the ci y if Now York, and. without loss
of time, engaged in the urduous duties of the n-
v- siig -lion. At th- suggestion of one of the mem
bers, wh-'th r iho c-imuotiee were to curry on llutir
iuvcstlgaiion open lu the public ill large, it appeared
to be lueil .y agreed dial -uc.li a course was c-ilculn-
to-1 to i-m -urniss the cmnmiiti-e, us they hud no
power to suppress di-order in cn-enny should arise
but miinrimatiuii wn* given ■ Imt thn proceedings o
the c-immiltee should In- secret. Jm <Iks mem, time
paragraph* appeared iu tins uewspupers of New
York, stating that iho committee sat wirii closed
doors. It was evident, ulso from llie wide and ex
tend-d range of ihe i-ves-ig*tioii, that ninny per-
iMins were likely to Im i -plica ed, both uffieeis o|
■ he govurninem nnd private citizens. The under
signed believed that tin* co nniittee, ill -ugh u select
mm tie-, was not a secret committee; that the
House, when if pn—ed t!n- resolutions, never intend
’d tbu pmc -rdmgs of the committee to b • kept -e-
ret; thutjustice required that prompt nod eurly
notice -ilmulil Im given ull purion* ncrii-ed; that the
charge sh-iuld h-- imoleiu a public manner, rim ac
cused confronted with llmaccuser, and thill secict
inquiries were unknown to the constitution, and
alien to the practice nod feeling* of the American
people. I he minority of the commlltco entertain-
ing these sentiments, nnd noi knowing the views ol
the majority upon this im cresting aubj ctofsecresy,
and finding, though other persons weio excluded,
wii or three w.incases at one ami rim saino rime
wore admitted into the cnnm iicu room, thereby
subjecting the proceedings ofthe committee to mis
representation, nnd tlm ad inn of individual mem
bers to suspicion mid calumny, deemed it proper to
bring the subject before ihe committee in ii substan
tive form, ami to call for a disiim-i expression of
opinion, by propo-iug tlm following resolutions.
" Whereas all proceedings ol an inquisitorial
character, nnd conducted iu secret, are ut variance
with the principles of Itopnhlirun Government, and
uhhoireiil to tlm tin-lings of rim American people;
" And as justice demands that all person*, w-hel ti
er they no officer* of ilio Government nr private
citizens, who,in ih- coursu of lids invnstigniion,
may be implicated orcharged with official miscon
duct, or buingconcerned in aiding nr abetting such
m i S"oniihct, should have immediate and prompt
notice of the ohnrge, so riiat if innocent rimy may
repel it; and that, whatever may he tlie naltiio of
rim charge, it is hut reasonable anil just that the
same ho publicly brought forward und publicly an-
susred.
I to satisfy thr just expectations of the |Htople, and to
protect the righu and privileges of American clti-
xun»."
Which, afler an amendment offered, were nil
finally laid on the table, to the astonishment and
mortification nf tins ui.doisigned, nnd no doubt to
the surprint of the nooplo of the United fitnle*.
Under these extraordinary circumstnnrcs, thn pro-
Carding* of the cymmiiiee being secret or public,
according tu rite.judgment,discretion, or caprice of
wii n***»a or mttmhenfttf tlm'commiitee. the investi-
cation was carried on. Numerous witnesses were
j*nmhird «a to the extent of iho defalcation. /
Vk T h‘» Undersigned will notgo intnn detnileiistiRe-
ment of th« heads of Item*, auch ns forfeiture*,
pennltirs, Inin ls, Ac., upon which Swnriwnut baa
ed his peculation*, but refer thn House tothe jour
nal of the committee. They will simply remnrk
the bona item gave the facility and Inid the founda
tion nf tlie principal part of tlm defalcation. These
peculations commenced at an early period nfSwnrt-
vv.iut’solfii’inl life,und went mi increased and increas
ing until it* close. The art and mnnngemant with
which they were cnnrenlcd will attract attention.
-„One occurrence referred tn in tlie leatlmony is not
the least remnrkubln in this extraordinary affair.
When Swnrlwoui, in 1834, wn* renominated hy the
then Pi-nidem of the United Slates, tlm nomination
waa referred, n* usual, hy tho Sennre, tn n commit
tee, which committee was composed of a majority
opposed tothe then Administration. In the irfves-
lien i ion of Swart wont's nccdunts before ihnt enm-
mitteo. suspicion arose thul im was indefault, Mr.
Shulls, the ihen auditor nf thociistom-hnuse, n wit-
ness examined hy this committee, was called upon
hy the committee of the Senatn to aid them in the
examination, and to give them information'in* re
gard to Swai t wont's account*,; nudnfler, it is pre
sumed, n thorough investigation, the committee re
ported favoinhlyto the Senate, and i he appointment
was confirmed hy ihe then existing Semite cnmpn*.
ed of a- majority of Senators opposed tn tho 'Ad
ministration, though there was at this time ■ defal
cation to ii cousidernliln amount, known tn Mr.
Slmltz. but nut eommiiidcnted in tlie committee of
tho Senate, ns will he seen hy reference to tho fol
lowing question* and nnswers: '
" Question 26. Did you know wlion you were he
fore the committee of tho Svnnte.in 1034, that Mi.
Swartwoui hud nnt paid over tn the cashier, 1 the
sum of more than $30,090 roccivid by him for for
feitures?
"Answer. I knew that Mr. Sw-nriwout hnd nt ihnt
time more than $30,001) for forfeitures, which ho
had uni paid over to the enshier.
"Question 27. Did you inform the committee of
the Senate, or nny officer of the Treasury Depart
ment, that Mr. Swnriwnut hud not paid’ over the
money received by him for forfeiture* ? And ifnot,
why ?
Answer. I did not; because I did not think it
my.duty-
"Question33. Why did you not regard it asyourt
duty to inform riie Secietniy of the Treasury, or
Ihe committee of tho Senate, that Mr. Swillt’wnut
hnd not paid ovr riie money received from the mur-
ihiil tin forfciiuics?
"Answer. Because we clerks ofthe Custom House
consider uurielvs as in the service ofthe Collector
and not in the service of the United Slates. The
colteciiim law does nut scum to regard Ihe clerk*
of the co lector as in tho service uf the United
States, ns thn ma kers nnd weighers, thc. who ate
appointed hy iho Treasury Department. We have
always ibought ourselves ilia private assistants of
the collector. It wu* my duty to render the ac
count* truly, nnd credit the United States truly, as
[did; hut not to inquire into tho private trausac*.
lions of the collector.
Theso auswet* afford a valuable instance nf cus-
tom-tinusti morality and patriotism.
That riie defalcation* should have been so long
oiic-nlod from the department and tha public,
ihougli ut first a matter ef surprise, will create nn
great astonishment when Mr. Shultz’s testimony ia
considered,
Tlie manner of keeping tho nccountsin the aus-
lom-hou-e wn* calculated to cfll-ci the object ofcon-
ceulmeni. Tlm auditor uf (lie custom-house, mid
the naval officer, intended ns checks upon ihn collec
tor, were kept in toiul ignorance us to ihntruo slnto
of the accounts; and, as the Treasury Department
which, in his opinion, would have enabled the Sec
retary In fifteen minutes to have detected thu defat-
at Ion, so far ns these items are Ctftircrnrd, though
instilled to with great confidence, and with an op-
imrent knowledge ofthe feet, is totally disproved
liy tho chief clerk of tho Treasury Department, nnd
(lie documentary evidence derived from that depart
ment, to wit: the weekly returns themselves. Mr-
Shultz is nlso a very aged man infirm in body nnd
mind, and, like must aid person*, better tilde to
give a clour nnd distinct-account nf transactions of
longstanding thnn recent nceuirencos.
But whatever maybe the arenmte amount, tho
•tensilile sum total.established by unquestionable
testimony, is very large. Theacttlal nr raid nnvumt,
however, lost to the Government, concerning which
no information cm bo oli'alnml, it is impnjiiblo to
say, and cpn bo only a suhject ofconjveturo.
One feet brought forth by the investigation, is of
u-remnrknlde cfi'ninctor, and deserves ‘notice. Mr.
Thompson, the enshier nr die Bank of America,
then one ofihn dcposlte banks, states that check*
depended on tlutir statements, it was equally igno
rant.
.... .by placing bond*
.-TSHIImm nmnunt,, m, for Very"niia SiJrtT.T R"3 •“"■“y, 1 "-" P-Whi.».,-kl,,cco U n(
1..J1— |L ..... „ transmitted to yourdepnriment, under the head of
bnudt lumir>A*A ... if .L' _ -
were indiscriminately drawn by Swartwnut, or his
deputies, and paid by the bank. This prttcrica.
dangerous at nil times to riie Government nnd the
collector, was pitcu iarly hirxnrdous under tho nd-
minisirntion of riie Into uolloi'tnr, whose business
habits did not quality him fora strlrt scrutiny into
the fiieal affairs of his officn. By it an opportunity
was nHorded nnd temptution, given, fo peculation
in tho cit.stora-hnuia.
Thd causes Wlrich cotTihinud to produce tho do-
felwnilnnare various.
on liji
ment.
ofthe
of Ne
Tlie first was the unfortunate appointment hy
tliq President, nod confirmation hy thu Sunute, for
t wo successive terms, of n man like Swnrtwuut,
who, from habits and pursuits,, was totally disqual
ified to discharge tlie duties of collector lit New
York; n port tlie most Important in the Uhion, and
where one-half, ifnot two-thirds, nf the rovoiiuo of
be Government is collected.
The second, the disposition of Swnriwnut tn en
gage in largo und hazardous sprcii’ntions; n passion
the most, Insting in its excitement, and must dispns
ed to increase hy the food it feeds on. And in an
uffieer ofthe Government, intrusted with large sums
of money, tlie most dangerous in tils operation up-
individual, ns well hi tho Givern-
Is mneli testimony nn this head. Some
ics best qualified to judge| thehiukeia
•into in technical language, he was
■ great operator in stocks in Wall street. Like
nllhudnnss of tills description, it was HnMntn great
flue.untions. Swnriwnut sometimes winning, at
oih'-rs losing, inrgn sums of money. Tlie nvidence,
ns toacttnil loss or gain, is hy no means sotiafectr ry.
Thn third cause .which coni rihutetl in some de
gree, was ihe wnnt of a regulnr and periodical ex-
nminntio'i of the bond ucenuiit in the Auditor’s office
in Wnsliinvtnn, One ofihn witnesses, nndn clerk
in ihnt hurenit, says the bond nccnui.t, prior to the
defalcation, had not been oxnmined sinco 1833
Bffora that time, it had bren the prumiuo in tho
office. Why it was abandoned rvn know not, unless
from nn npltfhm it was not necessary, or that t|roro
was nofn sufficient number of clerks to discharge
thu duty, at all times very onerous,, there being,
nt n moderate cnlriilntion, not less than thirty thou
sand bonds taken aycnfln New York alone, Iw»
'whatevermay have produced tho abandonment ‘*pf
the practice, it was calculated to land bln *ucer»&r
in office into error That succesor would natural^'
follow tbe prnntlcoexisting nt tbe tlmo iH-his lu oau
as tlie one adopted from experience, and found to
answer ibe public exigencies. NtvbMfrto can, thore*
fore, bo attributed to tho present Firil Auditor, tie
having been, previous to these occurrences, but a
short lime in office, and of course pot well qualife-d
to judge of the practical utilliyriV ihis-'ttirrThsiJfcr
" And a* tho members nf tho committee have no
reason nr desire tu disguise nr conceal from public
vi"w nil or nny of its actin;* and doing* in tho ex*
urri-eof thedelioato tod responsible commission
impnti'd on them; to the intent therefore, of hav-
ing n-» misunderstanding on this subject,
'* Be'it resolved, Tliut ii i» the opinion of this
committee ihnt, though a select cornmilir, appoint
ed hy the House of Representatives of tba United
Stines, U n >t ii secret committees that, ihiugh in
verted with the power of inquiry, as contained in
lire resolution- of iho House, ih*t jaiwer ought to
Ire exmei-ed in an upon nnd public manner; and
should Ire nor only free from nny direct 6'iarga of
connenlmHut, b'li from th'* remotest suspicion of it,
"And be it further resolved. That ull th-* pro
ceeding* of tills committee shall b * open nnd pole
lie, as being the mode, in the opinion of this com-
mittot, best calculated to attiin tbe ends of justice,
-oof the witnesses, Ogdon nnd Phillips, cash
ier nnd assistant cashier of the cusiom-hou e, say
lin y frequently made no entry at all hi thn cusli hook
of moneys abstracted hy Swnriwnut fur hi* private
expenses. When bund* were paid no credit was
given for them. Tho rush being in the possession
uf those individuals, riiey furnished such statements
to tho auditors ut suited ' .'r purposes, und con
cealed tlie accurate and liuo-staio of the account.
Sumo effort was made in the coor-e of llio investiga
tion to show thul Swartwoui ulwnys made to the
department nt Washington i.tre and accurate . into-
m-nts of tlie aggregate uuiuiint of liisnccounis,iind
thereby drawing an ml'erc ice dial, if they hud been
carefully examined, the defalcnlinni could soon have
been detect' d. The undersigned are ofopinioii such
is not the feci, und thul it was seurcrly possible, un
der uny circumstances, tu mtikotlui detection in any
in her inuiiner than by lire personal in-poclion-rf the
bonds uml tbe bunks nf rim custom-house. On tills
brunch nf the subject, we beg leave to refer to tiro
testimony of Mr. Woodbury und rim first auditor nt
Washington, ns contained in the journal. Mr. Fle
ming, the uiniimr at that rime, uml now auditor of
the custom-house, a v- ry respectable and intelligent
witrm-s, icrtU'm* ilmt ho Imd suspicions in June,
1837, tlmi them was it deficiency iu ihe bund uc-
ci ■mil. He ciimnniiiiniU'd iho »u*picion to Mr.
Phillips, the assistant cushfer, who nn-wnred him
in n vi-ry I.iconic manner," that credit wns given in
tho cash hook for all the bonds that were paid; the
rest were iu suspense." He also suites,that i hough
tlm account* of Swurlwout, transmitted to tiro de
partment nt Washington, contnhitd a truetpid uc-
u'irnti' statement of tho aggregate amounts, there
was a deficiency and cinreulinciit of the true cash
balance. n< wnsnfierwnrdsdi-covered hyiliRexnm-
imii ion ofthe cathbooknf the custom-house, in n
sum exceeding $(ji)t>,0tlU. In this milliner the fraud
was curried wu mid kept secret. Mr. Fleming also
state* tins;;-bnt for llio suspension of tho puyim-nt
ot riie bonds, and a|iecie puymeuti liy the banks the
I'ruuiia could nut hnvo be>-n carried on without exci
ting suspicion und leading todetecrion.
Great credit i* undoubtedly due to the present
collector and auditor of iho custom-house fur mak
ing the discovery as curly as it was made. The ur
gency ofthe former to have hi* account* settled,und
prepared for transmission tu Washington, ill a great
degree produced and hastened tlm developemeni.
But for ihis circumstance the combination und con
spiracy existing in the custnm'house to defraud thu
Government, would huvu hud the effect to eonceulit
a much longer time.
It may beconfidenily aaieried that under the ex
isting itrws. and, indeed, under nny safeguards thni
may lie e*t iblUlmd to protect the public pur-e,with
out honor and integrity in the public officer it muy
ai d will be plundered, and riie fact concealed fur n
considerable time without thn possibility of discove-
ry.
The business of tlie cuatom-hnu*o nt Now York is
various and complicated, tout under the provision
ol'tlio act ofCongre-a, the collector is ullowcd three
mnnili* Hfier thu expiration of each quarter to make
his returns. Frequently from necessity this time
has Iwen extended to four muntli*. Two nr tiireu
months are consumed in the auditor's and comptrol
ler's offices at Washington, in auditing and so; lling
these accounts. Until this isdono thn defnlcntion*
cannot he certainly known, so that they may bo cmi
ecu led from five lu seven months, nnd that under
ihe operation of the law.
By reference to the journal, it will bo seen that
thoro is some discrepancy in the testimony on the
suhject ofthe extent ofthe loss. Most of tlie wit
nesses agree ihnt the amount of defalcation corres
pond* wirii ihti'statenv ms heretofore made hy jhe
officers of tl»« Govoinm rat who were sent to New
York, alur immediately after tlm'same was m-tJe
known, and whoi« reports have been submitted
the House.
The witness, Mr- ShullxJrcforo alluded to, for
mer auditor of the custnnv house, and who fOFa
long period of time filled that station, reduces by
his testimony iho amount in a considerable degree.
Tho House bus In-fore seen what iulinnce should be
p|*<vd on tho evidence of Mr. Slmlix. Aa additional
evidence of tho confidnnee tn lie given him, the
journal is referre t to whom Mr. Shultz stales t tbe
weekly returns mud**lwrite Socrotery of the Trea
sury. under rim refutation of the department, inclu
de.; (Ia: items of forfeitures and penalties, and
to refer to hit toatimnny as contained In the journal.
The fourth-cause, was the non execution of
Swartwoui’* official bond for a great length of
time after hi* Inst appointment in 1834. Thtrbnnd
bear* data in 1834, but remtiined In thocuitom-
house unexecuted untij 1837, when It wns certified
liy the district attmvtey of Now* York, Mr. Price,:
and tlm Comptrollurnt Washington. For t «i»«|J>
tlirao yens, no bond of the nolluoior of New York,
tin* principal port in llio Union, waa in the Crarp
trailer’* office, mid ilm collector wni left to carry on
tho great fiscal operations ofiliu custom-house with
out any security, except that based upon his own
responsibility. As to rim»uffi«'lency of thmrcu.iiy
niibrtled tlm Government by ihebourd when execut
ed, ill rt ian suhject not suicoptihlo of positive proof
until mated by legal decision, and must remain u
matter of speculation nnd opinion.
Should tho security in tho bond bo hereafter
found insufficient, it 'will bo attributable to Price,
ilio district attorney of thu city of Now York, where
tho sureties resided, and who, hefuro he certified
tlio bond, did nuiko, or ought to have made, iho
necestnry inquiries as to ihuir pecuniary nsnnnsi-
hility.
The bond, though excciiiml at an late a period,
will protect.thn Government a* far ns the amount
extends, n lurgo part of thn d- feicatinn having ta-
!.«n place after its execution, und therefore embrac
ed liy it.
It is true, little security will tin afforded hy it to
tlm Government when ilia penal sum, contained in
tlm Imiid, is compared with tho laigu amount of tlm
diifalculiuu; and hud n regular account of the bonds
been kept in the Audili-r’a office, there is very
strong uml conslusivo testimony to show it would
hnvo neither prevented nor detected tho dcfulca-
ti- n.
The hand of Swnrtw nut not being cx< ruled nnd
deposiled in llie office, nor any entry of bis appoint
ment a* collector mmln by IhuComptroller of 1834,
wns such a want of official dilligonco as no onu could
have supposed or anticipated, and could not hiva
exriteil any suspicion in the mind ofliia immediate
successor, [not tho present acting Comptroller,who
came i .to oificu after tho discovi ry of I lies -defalca
tions,) so ns toiuduco him to order nnoxnminnlinn,
lie took ii for grained tlm usual course had been
pursued in relation to Swartwoui’* uppointnu nt nnd
boml. Tho neglect, therefore, nf the former Audi
tor and Comptroller, in these panicUluii>,i< strange
und umiccniuilnblo
Tlm only excuse for it is to bo found in the fact,
a short lima nnturiortU these occurrences, uml iong
la-fore, tho bend* of theso bureaus were two aged
men, incapable, from physicin) and menial iufirmi-
riet, to dischaige tho diilies imposed on (hem with
iho diligence nnd strict super-i*mg tirfnnriun that
tliAse important offices demanded. Tho evidence
on the journal on this suhject I* very fining. The
relemiou of nged persons in office, whb have grown
old in tho service of the State, Is an nvil incident to
ull Governments, und more particularly to our d>-
mocraiic one. To dismiss un officer under such cir
cumstance* is a Imrsh meusure, nnd well calculated
io shock the fueling* and enlist tho sympathies of
rim penplo. To retain him wlion incapable of per
forming his-function* it dangerous to the security
of the public treasury, and injurious io the best in
terest* of the poople. Better would it bn to let the
civil officers of Government, who hove faithfully
dischnrgod their titty for many year*, retire, ut n
certain designated period of life, upon a-pensi-n.
than to huvn them remuiii in office imt tlm shadows
of themselves. Upon the principle! of economy a-
Ion.', so dear to tlie American people, the course
suggested would bo highly advnntageuus to tlie
country.
Tho fifth cause wns thn irregular and loose man
ner lu which tlie whole business of tlie custom
boose was conducted, and which has been adverted
to before in this report, and from the feet that the
naval officer, who, under the Inws, whs intended u-
n check upon the collector, has not, in the execo.-
tion of hi« functions, supervised tho'hcconhts wita
that care and diligence tho imporl>tr.6t) of Uto sub
ject demnnded,
Thn sixth cause i* to ho found in a practice grown
up of late years: the keeping hy th" collector what
is termed 8 suspente account, under which head he
retains large amounts of money to meet protest* and
suit* upon duties over-paid, &c.: and which, for hi*
own security hqi* in a great measure eompelh d to
retain, thq court* of justice having determined in
such case* that ft« i* personally Hails- Whether
those decisions are founded on true and jiist princi
ples nnd national policy, thv undersigned will not
undertake to decide, bat they mey be perm tied to
remark', the sooner there is some legislative a-‘tion
ou this subject the better for the country and the
c-dlmme. «...
Theemeuthpause wa*lh« co.ivulsien and total-
derangement produced in the badness of the Cus-
t.-m Home by the suspaniion of the payment of
bonds by tbe Government, gad the luipenilon ef
-r-,- Ii, IU tanli,, Th, , mwM Jf-
"p-mi-l limn tw-hw, nu». an oM.Innl
lnil» ; r Mr. Wo.riUfjr, In iVh word, i.
Qilf-iitm 3F. Wh.t.incH.t nr bnn.li wrr. do.
mnuriljr « llm«;|«;fon-, at th.
[Im., and dnrln, lb. llm. ortlt. wmiblOM nh^uMd t
h. III. ,u....11.1.111 or.|I tI«' |..J.nrmi h, |L hanll., •
7*. W""* In.iruniwii. of. tb.SollcItof
"V *fc. TumS h, tMAinr? .
Answer. In reply, I wonld state tbef-rtfre
.mount id Und, Inllin* du. Itetwran ih. firtt-of
M.yoi'd tli. frit of Oclobor, 1U37. In tlm UnltM,
Sloli'.,..... prol.nl.),from r.v» to •In.mUluol. I
.,»• no. ....mln.d io.ro llm .tact omuoot. Uo|.
ol t.o.r.om.ooropot io ...It, lm | n.i.hcr paid.
nor o.i ...",, ..odor llio iottructiiioa of tlwiBrnW. 1
tot ill Mu., 1837. 00.1 Ollirr. «ero paid oi.hout
iultor poilpoocnioott ... that thoomoLot poltpon-
r.1 utid'-r tlo.,e io.truc.lno. *o« climated to b. act
fur from four millions of dollar*.
" Question. AVhnt amount of bond* coma tinder.
the provisions of the acieof Congress «f 1837{thu
one produced bv tl.o fiio in Now York, and the
other produced hy tho eu-pension of specie pay*
menu by the banks!
•' Answer. In reply, I etnto that the postpones
muite actually made under the two acts in October,
u* to former bonds and meichnndige on which cash
dutius hud i c:ruod, are estimated io hnve'.bedn
from four to C,ur and a hnir millions. Tho amount
coming within tho operation of relief asked and.
grunted on account of tho fire, is supposed ta'hava
been about $1,004,000." •
A* also to tho following question:
•' Qui stion 1. Please »taic, should a.cnmbinatiert
exist between tin. district attorney und ihd collec
tor to di-fraud iho Government,
bonds suspended oi bonds in suit, ff there are any
means in your power, us Secretary of thu Treasury,
to make thedetcctiun, except by personal inspcc-
and examination of thu bonds at New York ?"
Mr. Woodbury answers in the negntivo, nnd given
his reasons in extento, as will ho much by reforence
to l lie journal. , ,
Tho sutraiidon of speeio payments by thebiuilie,
sudden und unexpectid, nt a period of profound,
peace, anti under the u|ipcurunco of great national
parity, was well culeuluted not only to derange
the business of tho Custom House of New - York,
but did convulse the whola trndn of the cmintty,:
nod in iu cunienuenco* alleclod that ofthoio Stttet
or kingdoms w ith whom wo hud commorciul rela
tions. A contingency to exiraqrdinnry could not
huvo been nnticipiited, und consi-quently there wore
no existing laws tu protect thu Government from its
baneful ail'ccis.
By rendering tlie acta of Congress in relation to
the i fo keeping ofthe public money a deed letter,
it mad the banks consn to be tho depusiturioauf the
public money, took uwny tho authority of tho de
partment to receive their paper in payment of pub
lic dues, and from necessity threw thu payment of .
the bonds into tlm Custom House,and into thu hands
of Swurtwout and hisugenti, uncontrolled by any
legislative provision, nr any olh. r safeguards that 1
oihurwise would liavu beon provided lo protect the
pub.ic puree.
It may be, nnd no doubt will be said, that not*
wiihrtunding ihis act of tho banks, if their pnprr
had been nceivrd by the Govi-rument, and the
bunds still paid in iho hanks, thu loss, or a greater
part ofit, would not have been sustained. The un-.
dmigned will nui,unHiTtuko ludocidu wKat would
have been its ultimate olfect. ,
Th • legality nnd propriety i.f such a measure-
n* un act i.f the Government, is submitted to tlie
(.and homo und intelligence uf tho American peo
ple. Tho reason fur tho Summary ofthe Treasury
nut adopting it, is to he found iu thu acts ot Con,
gross and llm practice of iho Government founded
ili.ncon, whi. ii prohibit the officers of tho revenue,
receiving in payment anything but gold or illvftr,
or its equivalent. Tlie Secretary of the Treasury
wu* not wni ranted, by law, to receive the paper of
these banks. If Im hud done so, ho would have,
been liable taimpniichmcnt; und, from the known
lomptr of the times, would, in ull probability, have
been impeached. If nill)iuiity lu receive such pi
per had bean given, it would bavo been notonfy a
violation of thu law* of iho hind, bntdisreputab!*
to the officer, and degrading to the country. It-
’ would have hud it tendency to give official counter
. nance to ibi ■ act uf the hanks, sn unjust and highly
'pxrttctirfcr- Mrj-miiiutto the inlrrvst* of the people, and coleu*
brunch of his duty. Oh this subject wo ling louvi*- vtmrd io fix u -tain on the national character, If an
iptinn hud hi'on left him, ho could not, n« a public
officer and a pqniotic man, have hesitated in look-
•tng to nnd holding on in this great emergency le liar
?Airt1vidunl respunrttiiiiiy of the bondsmen, rather
than rvcoivo thu paper of banka which hnd token
Rio law into their own band*, hud legislated fur
Ijmmsilvi'*, nnd themsolvex alone, and had vio*
Wed thu obligations of thuir chartura and tho faith
pledged to tin- public. This cause, therefore, open
ed x field for tliose.engaged in the fraud* und pecu
lations, by placing tho money of tho people in the
hands of ,Swnriwnut und his subordinates uncon
trolled by law, and was aeized upon to cany on a
moat during svateir of robbery and plunder.
By Tolerance to tba testimony, it will bo scon tho
large defalcations occurred on iliu bond nfftitriif,
and in tlie first nnd second quarters of 1837,a abort
tlmo prior tumid subsequent to tho suspension;of
specie payments by tho bunk*. The botm account,'
however, had Leon deranged, no doubt, in i vor/t
considerable degree, b» furu 1837, by the renewal of
bonds, under tho uci* id Cmigre**, occasioned by the '
fire in New Yuik.and iidvnotogc tuken of It. ' >
The eighth cause, uml one of the principal, wig. '
a combination of unprincipled men, officers in ther
Custom House, to dofrnud tin* Govuromont and
plunder tho people. Without thi* combination,
Swurtwout could never huvo concealed bis fraud* a
Uny—certainly nnt'n week, Thnt men of former
goad character und atnnditig in society should hnvo
‘entered into the conspiracy, aiding and abetting
SvVatlwout in hi* peculations of tlie pub'fc parse is
a subject not only of deep mortification,butn nation
al disgruco,
It :i a doploraldo and rcmnrknhlcvlnstnnceof thtf
c.irrupti n of tho times in which wo live. Kbecom *
still morn ri niurknblo from tho fact, that one of the .
men, (Phillips, thu assistant coriner uf tho Custom)
House,) so nidiiig Swurtwout in liH pocnlations,
when examined us n witnc**, and tho question was
propounded to him by n member ofthe committee, .
"why, knowing a* lie did, Swurtwout w asdufruudfng.
thu gov. rniaaiit, liodi.l not give informution lo the
Treasury Department ?" utiswered, with grent cool-
nnss uml cunmo.-ure, in conformity w ftb the Custom
House practice, and the reason given for it by
Mr. Shulls, "that hn wn* the clerk of Mr, Swart- *
wout, uml did not like to rlhclose the secrets of hiv
employer." Apparently considering os a virtue hfa
fUeiity to a public office, who,with the witness's Co*-
operation nnd active agency, wn* defrauding the)
people. Theso developeniont*, and the inferences
naturally draw ii from them, must irresistibly lead
the House to tho conclusion,- thnt tho safety of the-
public money imperiously demand* that nonfficrF,
.of tho Custom House, ronm cied with its fiscal con
cern*, should lm appointed'hy the collector himself,
l.ut should receive riio appointment frrim tho gov- .
eminent, ami give Ids sole allrgience to tho country*
Other causes, not known, may, and no doubt did
comribntu lo produco tlie defalcations. Tho subject
mnttor, however, both in relation lo the extent and
the cuiuus'of dcfelcrrion, U still involved in som»
uncertainly. The character of the testimony ig
more than doubt till. Some of the witnesses,- anil
those best acquainted with the facts, were activa. ‘
agents, if not participators. In tho frauds* thofoun-
tain, therefore, from which wo derive our fnfbrma- •
non, or tho groutor portion nf If, is impure and de^ ; -
fifed. No reflecting man - , acquainted with tbo^p*
erntions i.f the human heart, and the spr itigs of hu
man nctiun, will i r snn place mueh reliance tin te»*
limony tlm* chu ncterixi'd and stamped with tho -
impress of fraud undf piofllgncy. 'En -h ittan and
tho Houso collectively will give credei.co to it sc-
co ding to the d.-grno of credulity hq_or they -may
possess; nnd, at last, a great deal must depend, like
rim trysteri •* of our holy r li foA,-upon the fsith of
the individual s arching for truth.
The disposition Swartwou* madn nf these enor
mous sums ubstmeted froffT tfe- public coffer* !* An
enigma not easily solved. Tho rvidcncu feoiWoe
n -o‘uetoit. Tho inconsiderable rum left in •". •
hands of Ogdon, nnd the value of the real ssbitg iff
different parts of tho Union, form bet s very jeconS'
siderabfe item un tho credit aide of IW Mftquat,' -
and some of ihe witnesses say that - SwartWout ti*
now a needy man. That ho should- hata be*fn • pbs*;. -j
cessed of so little property cun unfybe arC-unt^ -
f..r on philosophical principles, and the 'natarpl op- -
oration of tbu tinman mut'd? 'Money thus acquiiotl
is not long returmnL :Xr"t*'snip* dj*sipnU'd- tn e»>' _
travug’inehis that leave n«ritrtce-&bhtl!.d them. *
Much credit in du* to Mr Hoyt, ihe prtfiert( e'of-
lector of New York, and djo Soliaitor of the Treaf
sury, through whose insfiumctRiility the mowytitr
O.den's hands, and the security afforded bythf
real estate, were obtained.
The money, a* Ogden-testifies,- w*» imaadird by .- - '
Swurtwout for »*V,r pur|K»*rs, nnd .would b«v«b«e» ;
M
so applied, but for the sodden arriv.l and tmezpecl/ v •
ednad vljtjri.it'applieaifenof the Sollcilor of the)
Treasury him, se agent of Swtrtwuot to pujTthr
same to ibeUtwwd Bute*.