business now in this country. Lottery gambling was extensive in Cuba when our Government took possession but it has been suppressed as far as it is practicable to suppress it by law.

Sec. 4. On the first day of November, 1775, the American Congress adopted the following resolution: "Resolved, That a sum of money be raised by way of lottery for defraying the expense of the next campaign, the lottery to be drawn in Phila." 1 Jour., Am. Con. 535. November, 1776, the Congress declared, by resolution, the scheme of the same lottery to be that 100,000 tickets should be issued and that the prizes to be drawn should amount in the aggregate to $50,000,000; and the Government was to get fifteen per cent of the money raised by the sale of tickets. The managers of the lottery were selected November 20, 1776. The proceedings of Congress show further action in regard to this lottery from 1778 to 1786, but it is probable the scheme did not work satisfactorily or beneficially, for after 1786 nothing more is heard of it.

As an inducement to negotiate the loan of $800,000, authorized by the Colonial Congress, of September 26, 1779, in addition to the four per cent interest which was to be paid, it was agreed to distribute among the subscribers, by lot, "obligations" of the United States for $276,000, as a bonus or premium on the loan; and as an additional inducement, "gratifications" amounting to from five or six per cent were to be paid at the time of redemption, to the holders of the original certificates. The certificates for this loan were identical, in principle, with the lottery or premium bonds negotiated by European governments and cities.

Two lotteries authorized by the State of Maryland in November, 1795, for the purpose of raising $52,500, were legalized by Congress, in the District of Columbia, by Act of May 6, 1812 (2 Stat. L. 728).

Congress does not seem to have authorized any other lottery scheme until 1812, when, in providing for the municipal government of Washington City, authority was given that city

to operate a lottery scheme for the improvement of its streets, etc. (2 Stat. L. 720-6).

By the Act of Congress of May 15, 1820, providing for the government of Washington City, all acts in relation to lotteries, then in existence, were repealed but authority was given by that act to the city to operate a lottery for ten years for public purposes. This authority, not having been in the meantime renewed, expired by limitation May 15, 1830.

The Act of Congress of February 22, 1827 (4 Stat. L. 105), authorized the City of Washington to include lands of Thomas Jefferson in its lottery schemes.

This terminated the affirmative legislation of the Federal Government in favor of lotteries though Congress for a long time after 1827 taxed lottery schemes, operated under State authority.

In the article, "Lotteries," by Dr. W. C. Smith, in the Encyclopaedia Britannica, it is stated, "before 1820 at least seventy acts were passed by Congress authorizing lotteries for various public purposes, such as schools, roads, etc., about eighty-five per cent of the subscription being returned in prizes." This is manifestly an error. Dr. Smith, in his statement, was evidently relying on Mr. Jefferson's memorial to the Virginia Legislature in 1826, praying for authority to establish a lottery for the sale of his property, in which he says that from 1782 to 1820 no less then seventy acts were passed "by the Legislature" authorizing lotteries for various purposes. Mr. Jefferson meant the Legislature of Virginia, while Dr. Smith must have thought he meant the National Legislature and hence, his mistake, which was natural enough for one not familiar with our dual system of Government.

The war waged on lotteries during the first quarter of the present century had the effect, not only, to prevent affirmative legislation in their favor but to encourage legislation by Congress forbidding them.

Sec. 5. The first act of Congress against lotteries was that of March 2, 1827 (4 Stat. L. 238), section 6 of which provided: "That no postmaster or assistant postmaster shall act as agent

for lottery offices or under any color of purchase, or otherwise, send lottery tickets; nor shall any postmaster receive free of postage or frank lottery schemes, circulars or tickets."

The vending of lottery tickets, in the District of Columbia, was prohibited by Act of August 31, 1842, except such as had been authorized by the City of Alexandria for one year. (5 Stat. L. 578).

The next act, in its order, was that of July 27, 1868, section 13 of which provided: "That it shall not be lawful to deposit in a postoffice, to be sent by mail, any letters or circulars concerning lotteries, so-called gift concerts or similar enterprises, offering prizes of any kind on any pretext whatever." (15 Stat. L. 194-196.) This act was found to be a dead letter, because no provision was made for enforcing it, and more radical measures were adopted by the Act of June 8, 1872 (17 Stat. L. 283). Section 149, of that act, which is now section 3894, Revised Statutes, made it unlawful to convey by mail or to deposit in a postoffice to be sent by mail, any letters or circulars concerning illegal lotteries, so-called gift concerts, or other similar enterprises.

Section 300, which is now sections 3929 and 4041, Revised Statutes, authorized the Postmaster-General to issue a fraud order against anyone found by him to be conducting through the mails "any fraudulent lottery, gift-enterprise, or scheme for the distribution of money or any real or personal property, by lot, chance or drawing of any kind."

By the act of July 12, 1876 (19 Stat. L. 90), the word "illegal" was stricken out of section 149 (section 3894, R. S.), but the word "fraudulent" still remained in section 300 (sections 3929 and 4041, R. S.) and in construing these laws Attorney-General McVeagh, on April 27, 1881 (17 Op. Atty. Gen. 77), held that the Postmaster-General must find, before he could issue a fraud order against a lottery promoter, that the person, against whom it was to operate, was conducting through the mails a fraudulent lottery scheme but when he found that fact, he could issue the order, though the scheme was operated by state authority. And he further

held that a newspaper, containing a lottery advertisement, was not thereby rendered non-mailable by the law then in force.

By the Act of September 19, 1890 (26 Stat. L. 465) the law was so amended as to include newspapers, and the words "offering prizes dependent upon lot or chance" were inserted after "enterprise" therein, and the word "fraudulent" was stricken out of sections 3929 and 4041.

Under all these laws the department uniformly held that an ordinary letter or packet, under seal, must be delivered according to the directions thereon, though the addressees were known to be conducting lotteries or fraudulent schemes. There are not now and never have been any restrictions upon the operators of these schemes in the sending of mail matter by them, and they could always reach the people through the mails; and the result was that they had money remitted to them by express orders or bank checks in ordinary letters, under seal, and they continued to run their schemes wide open, though orders stood against them forbidding the delivery of registered letters and the payment of money orders to them.

To remedy this manifestly weak point in the law, the Act of March 2, 1895, was enacted (Acts 1894-95, 963), by which the power of the Postmaster-General relating to registered letters was extended to ordinary mail matter under seal.

LAWS OF CONGRESS AS THEY STAND AT PRESENT.

Sec. 6. Sections 3894, 3929 and 4041, R. S. of the United States, as amended by the Statute of September 19, 1890, Ch. 908, are as follows:

Sec. 3894. "No letter, postal card, or or circular concerning any lottery, so-called gift concert, or similar enterprise offering prizes dependent upon lot or chance, or concerning schemes devised for the purpose of obtaining money by false pretenses, and no list of the drawings. at any lottery or similar scheme, and no lottery ticket or part thereof, and no check, draft, bill, money, postal note, or

money order, for the purchase of any ticket, tickets, or part thereof, or of any share or any chance in any such lottery or gift enterprise, shall be carried in the mail or delivered at or through any post office or branch thereof, or by any letter-carrier; nor shall any newspaper, circular, pamphlet, or publication of any kind containing any advertisement of any lottery or gift enterprise of any kind offering prizes dependent upon lot or chance, or containing any lists of prizes awarded at the drawing of any such lottery or gift enterprise, whether said list is of any part or of all of the drawing, be carried in the mail or be delivered by any postmaster or letter-carrier. Any person who shall knowingly deposit or cause to be deposited, or who shall knowingly send or cause to be sent, anything to be conveyed or delivered by mail in violation of this section, or who shall knowingly cause to be delivered by mail anything herein forbidden to be carried by mail, shall be deemed guilty of a misdemeanor, and on conviction shall be punished by a fine of not more than $500 or by imprisonment for not more than one year, or by both such fine and imprisonment for each offense. Any person violating any of the provisions of this section may be proceeded against by information or indictment and tried and punished, either in the district at which the unlawful publication was mailed or to which it is carried by mail for delivery according to the direction thereon, or at which it is caused to be delivered by mail to the person to whom it is addressed.

The

Sec. 3929. Postmaster-General may, upon evidence satisfactory to him that any person or company is engaged in conducting any lottery, gift enterprise, or scheme for the distribution of money, or of any real or personal property by lot, chance or drawing of any kind, or that any person or company is conducting any other scheme or device for obtaining money or property of any kind through the mails by means of false or fraudulent pretenses, representations, or promises, instruct postmasters at any postoffice at which registered letters arrive directed to any such person or company, or to the agent or representative of any such person or com