It is merely a question of whether the Democratic party and Grover Cleveland will perform the will of the people. If not, the people, by a reorganization of this, the Populist party, will secure a political organization which will perform the mandates of the “Common People.” The “Common People” will thrust aside both the old parties and utilize that party which by the magic of simply a popular name was enabled to gain a million votes taken from both of the old parties.


CHAPTER XXVI. “FLABBYISM” AND THE INCOME TAX.

Now, be it well understood that there is no attempt made, in commenting upon the article on the editorial page of the New York Sun, to disparage in any manner that worthy and eminent journal. It represents one part, or side, of that incongruous party, called the Democratic party, which presents phases as worthy of observance by the curiosity-seeker in the political field as the Populist party. On one side, Protection, endorsed by the New York Sun; Free Trade, endorsed by the New York World; a graded income tax, endorsed by the New York World, and even the suggestion of an income tax, dubbed by the New York Sun as “flabby talk.”

Noah Webster defines flabby to mean, “soft, yielding, loose, easily shaken.” Well, if the will of eleven million voters, as heard in the verdict rendered by the majority November 8, 1892, be “soft, yielding, easily shaken,” then the talk of an Income Tax is flabby, then the talk of a Graded Income Tax is flabby. The will of the majority of the said eleven million voters made possible the election of Grover Cleveland and the other nominees of the Democratic party. Possibly the will of the people, so expressed November 8th last, may be “flabby”; but there will be another and fearful story to tell unless the will of the people, as expressed, be executed by their servants selected November last.

The New York Sun does not astonish the people—the plain “Common People”—of America when it announces a predilection upon the part of the privileged wealthy classes to commit perjury. The “Common People” of America have become accustomed to associate in their minds the worshipers of “caste” with every kind of crime which is consistent with their assumed superiority. It is only necessary to quote an article which appeared in one of the leading journals, to give evidence that, even under the present system of a tax on personal property, the inclination of these sham aristocrats, the would-be nobility of America, is to commit perjury. So worthy is the article of attention that it is given in extenso, that the people may judge of the animal they are chasing, and that the weapon, Grover Cleveland, may duly appreciate what efficiency is necessary, upon his part, as the weapon in the hands of the huntsman to destroy this beast of “caste” and accumulated wealth in our land:—

“Ever since the Comptroller and Tax Commissioners of the city declared war upon Lawyer H. Charles Ulman for issuing his famous circular, offering legal services to those whom he believed to be grossly wronged by a wilfully corrupt administration of the personal tax laws, the enterprising counsellor has been hard at work accumulating evidence in support of the very critical attitude he has assumed.

“Mr. Ulman is a hard fighter and is determined to prove to the entire satisfaction of the public that the serious allegations he makes against our Tax Department officials are all true.

“Yesterday Mr. Ulman notified me that he had completed the compilation of a few statistics which he desired to submit to the Herald for publication. I found him ready with his statistics and loaded to the muzzle with hot shot for the Tax Commissioners in general and Tax Commissioner Feitner in particular.

“‘Let us get right down to business,’ were the words with which Mr. Ulman supplemented the regulation greeting. ‘I have recently, as all New York is aware, challenged the methods of our Tax Commissioners as to personal property taxation. I now reiterate the challenge and desire to submit to public judgment a few figures taken from the personal tax records recently opened for inspection. These figures conclusively prove that our richest men are assessed for ludicrously small personal properties, so small and palpably unfair as to establish the conviction that falsehood and fraud are at the bottom of the ridiculous valuations. Here is the list:—

Assessed for
Personal Prop-
erty to the
Value of
Assessed for
Personal Prop-
erty to the
Value of
Jay Gould $500,000 George Kemp 100,000
George J. Gould 10,000 Luther Kountz 10,000
Russell Sage 100,000 Augustus Kountz 15,000
Wm. Rockefeller 50,000 Andrew Carnegie 150,000
C. P. Huntington 150,000 Addison Cammack 100,000
Henry Hilton 100,000 William Astor 500,000
E. S. Jaffray 100,000 W. W. Astor 4,311,400
Morris K. Jesup 75,000 Henry Villard 25,000
Eugene Kelly 100,000 Jessie Seligman 50,000
James Seligman 50,000 Robert Goelet 150,000
I. Wormser 10,000 F. W. Vanderbilt 100,000
S. Wormser 10,000 G. W. Vanderbilt 100,000
D. O. Mills 50,000 W. K. Vanderbilt 200,000
Henry Flagler 25,000 C. Vanderbilt 200,000
John H. Flagler 10,000 T. A. Havemeyer 100,000
R. P. Flower 150,000 H. O. Havemeyer 120,000
Ogden Goelet 150,000 Wm. F. Havemeyer 15,000

“‘Now,’continued Mr. Ulman, ‘whether every one of these individuals appeared in person before the Commissioners, or whether the amounts were placed by the Deputy Commissioners, I cannot say.’

“The fact remains the same, that among all our very rich men there is but one—W. W. Astor—who pays taxes on anything like the amount of his actual personal property. Either the deputies charged with making the examinations have committed ‘larceny,’ or the wealthy citizens above mentioned have appeared before the Commissioners, ‘swore off’ as a matter of form, and been ‘whitewashed’ as a matter of course upon due exercise of ‘influence.’

“‘Let me tell you something that will surprise the public. The ladies of the city are its heaviest tax-payers. Every one of them who has personal property has an assessment levied upon her to the full amount of her possessions. In her case there are no votes to be considered, no political influences to be placated, and, as a result, no deductions are made, no scaling or estimating is allowed, but every dollar possessed is taxed. I have, practically, but just inaugurated this crusade against the corruption existing in the Tax Office, and I believe that a careful examination of the public records, backed by the logic of facts and figures, will enable me to expose a degree of rottenness more startling even than that of the old Tweed ring.’

THE BLAME.

“‘Who is to blame for the state of things in the Tax Office?’ I asked.

“Mr. Ulman pondered this question for some minutes before he replied, as though hesitating to convert his general charges against the Tax Department into a direct personality. But once having made up his mind, the counsellor sailed into the senior member of the Tax Commission—Mr. Thomas L. Feitner—with surprising vigor, handling him without gloves, and winding up with the suggestion of an appeal to Mayor Grant for his dismissal.

“‘The fact of the matter is,’ said the counsellor, ‘Mr. Feitner is the entire commission. The two gentlemen associated with him are comparatively new to the department, and are pushed into the background and kept there, by this all-wise Pooh Bah.

“‘The Chief Justice and his associates on the bench of the Court of Appeals have had occasion to chide Feitner in their decisions, but Feitner will tell you that the Court of Appeals does not understand tax laws, and that its rulings are not good law.

“‘Special capital is his special prey just at this time. Under the laws of New York it must be contributed in money and the amount advertised. This renders Mr. Feitner’s raid upon it a matter of very simple procedure, and he levies his assessments upon it whether the status of the property in which the capital is invested is in Spain, Africa, or New York. Nor does it matter if the money is invested in imported goods in original packages, although, by the constitution of the country, such goods are removed from the jurisdiction of the State’s taxing powers.

“‘But this does not trouble Feitner. He puts his assessments upon capital so invested, compelling the owner to submit to a taxation of from ten to fifteen per cent. of his money or go into court by certiorari and obtain a release at an expense of more than the amount of illegal tax.

“‘If Mayor Grant desires an equitable and proper administration of the Tax Office he will dismiss Mr. Feitner and appoint a man to fill his place who, to say the least, has a knowledge of commerce, the needs of business, and can understand the plainly written law when he reads it.

“‘There is another point in this matter which furnishes food for reflection—namely, the very small number of persons in this city who are assessed for taxation—less than thirteen thousand out of a taxable population of nearly one hundred thousand.’”

Assessed for
Personal Prop-
erty to the
Value of
Assessed for
Personal Prop-
erty to the
Value of
Jay Gould$500,000 George Kemp100,000
George J. Gould10,000 Luther Kountz10,000
Russell Sage100,000 Augustus Kountz15,000
Wm. Rockefeller50,000 Andrew Carnegie150,000
C. P. Huntington150,000 Addison Cammack100,000
Henry Hilton100,000 William Astor500,000
E. S. Jaffray100,000 W. W. Astor4,311,400
Morris K. Jesup75,000 Henry Villard25,000
Eugene Kelly100,000 Jessie Seligman50,000
James Seligman50,000 Robert Goelet150,000
I. Wormser10,000 F. W. Vanderbilt100,000
S. Wormser10,000 G. W. Vanderbilt100,000
D. O. Mills50,000 W. K. Vanderbilt200,000
Henry Flagler25,000 C. Vanderbilt200,000
John H. Flagler10,000 T. A. Havemeyer100,000
R. P. Flower150,000 H. O. Havemeyer120,000
Ogden Goelet150,000 Wm. F. Havemeyer15,000