NEW "GRAFT" SCANDAL

Evening Post, Volume CIX, Issue 119, 23 May 1925, Page 16

NEW "GRAFT" SCANDAL

LATEST AMERICAN SENSATION.

Washington is in the throes of a firstclass political sensation following the arrest of Frederick Sutherland, Chief Auditor oi the United States Internal Revenue Bureau, on charges indicating the existence of a widespread "graft" system amongst important officials'• of the United States Treasury Department. The arrest was made in connection with an alleged attempt to defraud the- New ■York. Newhaven. and Hartford Railway of a largo, sum of money, gays tlie New Y'orl; Korrespondenfc of the '"Daily Telegraph." Tt is charged that. Sutherland represented _to the railway company' that the United States Government was about to assess 1.000.000 dollars against it in taxes, and that, he and others associated with him were able to obtain the. reduction of this sum ■ through the. influence they enjoyed owing to their official positions. Two former officials of the Treasury 'Deportment. John K. M'Larren and .Tames- -T. Clifford, have taen arrested, in Newhnven, Conn., in connection with the same case, and further arrests are expected shortly. The scandal is causing much comment, as its disclosures closely . follow the grave accusations recently levelled by Senator Couzens against the United States Internal Revenue Bureau. The Senator and his friends are inclined to regard it as proof that this branch of (he Department needs a thorough cleaning, and that their indictment of it a methods'is lully justified. Further developments in the eiiso are being awaited with inrenro interest, hut there is as yet no liir.it of the identity of the other "high-up-," said to h n iinpliratfj, althouHi it. i, aftirmorj that warrants .for their ;iiy.«l have already |,efn i.ssucd. The lYciiptivy Lejiai-tTisrnl hn; E ,j (jj- m.idc uo commen'i