708 



FARMERS' REGISTER. 



[No. 11 



FRAUDULENT PACKING OF COTTON. 



[The following proceedings of the Liverpool mer- 

 chants, dessrve the attention of ;ill those who produce, 

 and deal in cotton in tl e southern states. Policy, as 

 well as regard to honssty, requires that the name ot 

 every individual who packs cotton for sale should he 

 marked on the bales. If our legislature will not guard 

 our national character in this respect, aud compel the 

 remedy advised, the merchants of a f.w considerable 

 purchasing towns could effect the object, by agreeing 

 to bay no cotton of the nr-xt and future crops that was 

 not so marked. Every careful cultivator and every 

 honest ginner and packer of cotton would be benefited 

 by the origin of their bal.s being thus made known, 

 because the quality will always prove creditable to 

 their management: and none of such would d. sire to 

 avoid the respo:isibi.i;y incurred. At any rate, the ge- 

 neral adoption of the 1 1 in of marking the bales would at 

 once place all on a fair aud equal footing. The dis- 

 honest would no longer dare to commit frauds which 

 would be sure to be detected, arid brought home to 

 them — and honest planters and ginners would not have 

 their cotton to sustain (as now) a diminution of mar- 

 ket value, of such amount as will indemnify mer- 

 chants for all losses from the fraudulent practices o( 

 others. Though such a deduction, for insurance 

 against fraud, is not named in bargains between the 

 planter and merchant, it nevertheless forms a regular 

 item, which the hon st plant r pays solely for the giin 

 of the rogue: and this deduction for insurance will ne- 

 cessarily increase as the frauds become more fre- 

 quent — and these of course will continually increase 

 as the safety from detection becomes mere sure and well 

 known. It is far more important to the interest of the 

 planters and ginners, than of the merchants, that this 

 system oi' fraud should be exposed and stopped.] 



At a general meeting of the Liverpool Ameri- 

 can Chamber of Commerce, held 27th of Novem- 

 ber, 1835, lor the purpose of inking into consider- 

 ation and adopting the most effectual measures for 

 the prevention ol frauds in the packing ot cotton 

 in the United States: T. B. Barclay, .Lsq. presi- 

 dent, in the chair: a memorial was "read from the 

 association of cotton brokers, entering into detail 

 of the grievances complained of! It was 



Resolved, That the same he printed and ap- 

 pended to the present proceedings. It was also 



Resolved, That it he respectfully submitted to 

 the factors and merchants at the shipping ports. 

 to consider the expediency of applying to the le- 

 gislatures of their respective states for i he enact- 

 ment of laws, to make it imperative on each plan- 

 ter to have his name and residence written or 

 stamped on each package; the effect of which 

 would be to stimulate him to increased care in the 

 packing of his cotton, so that his reputation might 

 be established and preserved; and whereby those 

 having claims to redress might be enabled more 

 readily to substantiate them. 



It was further suggested, that in the mean-* 

 while the planters should be requested voluntarily 

 to affix their names on the packages, it beincr the 

 opinion of this meeting, that cotton so distinguish- 

 ed would command a preference in the ealem this 

 market. 



It was also observed, that nsthe frauds are not 

 generally discovered until the cotton is opened at 

 the factories, from whence the damaged tart, or 

 the whole package, is returned to the importer with 

 expenses, lie is frequently called upon to pay losses 

 long nf ( t his accounts have been settled with ihe 

 shippers or owners of the cotton; who again have 

 in such cases at a still more remote period to seek 

 lor redress from the factors or | lanters. 



Resrfvsd, That ihese resolutions be signed by 

 the president, aid printed, and that the mt mheis 

 ot the association be desired to transmit them to 

 their correspondents in the United States, with a 

 request th it they will adopt such measures as may 

 appear to them most likely to accomplish the ob- 

 ject in question. (Signed) 



t. n. Barclay, President. 



COTTON BROKERS ASSOCIATI 



Liverpool, Gib Nov. 1835 



ON, > 



To ihe American Chamber of Commerce. 



Gontlrmen — We ihe undersigned members of 

 the. Cotton Brokers' Association beg leave to call 

 the attention of the American Chamber of Com- 

 merce to a subject of considerable importance to 

 the cotton trade in general, hut | articular!}' to that 

 part of i connected with the sale and import of 

 cotton from the United States, viz. the fraudulent 

 practices in the | acking of cotton. 



This srecirs of fraud has long been the source 

 of much inconvenience and vexation to all con- 

 corned in ihe cotton business; but whether from 

 ihe, unfiequencv of the occasions, when distributed 

 amonest so many, orlrom the smallness of the less 

 h the sea'e ol mercantile transactions, no mea- 

 sures have hitherto been taken to arrest i's pro- 

 gress. For ihe same reasons, to which may he 

 a Ider! the difficulty ol obtaining redress, the 

 claims arising from this cause are frequently de- 

 mand 'd rather as a matter ol" form, and often are 

 altogether abandoned, and if allowed on this side 

 of the water, tire seldom (as we understand) suc- 

 cessfully prosecuted against ihe parties on ihe 

 oiher. This impunity, tis might have been ex- 

 pected, has operated as a direct encouragement 

 to such dishonest, practices, which, commencing 

 with the lesser fraud of introducing seeds, waste, 

 stones, and sand, into the interior of the bale, have 

 at length extended to a wholesale and systematic 

 plan of deception and plunder by means of "false 

 packing." 



The ordinary mode of effecting this is, by a 

 plating or thin layer of good cotton on ihe two 

 sides of the bale usually sampled, the inside being 

 wholly composed of a very inferior quality. In 

 some cases however the outer layer consists of a 

 quality differing only a few degrees from lhat in 

 ihe inside, which is again packed in layers of va- 

 rious qualities, but all of ihem worse than the out- 

 side; the obvious intention of which being to ren- 

 der the fraud more secure by adding to the difficul- 

 ty and uncertainty of detection. The experience 

 of the present year furnishes abundant proof of 

 the increase of this practice. It is not now as for- 

 merly confined to an occasional bale or two, but it 

 is extended to whole parcels of one or two hun- 

 dred bales in a lot; and when it is considered that 

 the difference between the real and apparent value 

 of the cotton may be three or four pounds sterling 



