The American issue. [volume], October 10, 1919, Image 1

About The American issue. [volume] (Westerville, Ohio) 1912-19??

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The American Issue
Edition
Volume XIV. WESTERVILLE. OHIO. FRIDAY, OCTOBER 10. 1911 Number 20
BREWERS HELD TO GRAND JURY
LANDIS RULES 2 3-4 PER CENT BEER IS INTOXICATING
ALMOST 1OO FACE CHARGE OF FEDERAL DRY LAW VIOLATIONS
'CHICAGO BREWERS
MAKING REAL BEER
VIOLATED WAR LAW
Saloon Men Testify on Sales
of 2.75 Percent Brands
Bring Slips and Samples
LANDIS HEARING STOPS
ILLEGAL BEER TRAFFIC
One Brewer Quits Real Beer-Wi!l
. Help Uphold Law
THE HEARING WILL CONTINUE
Federal ludgr Kencsuw Mountain
Landis of Chicago has ruled that 2.75
per cent beer is intoxicating. Under
this ruling Charles Hasterlik, presi
dent of the Best Brewing Co., and
Rudolph Lrdcrrr. president of tin
North American Brewing Co., were
held to the grain! jury under $20,000
bonds charged with violating the war
Prohibition act. This order was en
tered after Hasterlik and I.cderer, on
Tue'day afternoon, September 30, re
fused to stale whether they v ere still
manufacturing beer of more than om
half of I per rent alcoholic content,
m the ground that by answering they
might incriminate themselves. Karlicr
in the hearing Chicago saloonkeepers
had testified that tin. North Ameri
can and Best Brew vies had sold
ijvem bff>v . nt. msw-e, Uc-i baJL
of 1 per cent limit. Most of the wit
nesses brought driver's delivery slips
into court and testified that these
covered deliveries of ‘‘real” beer of
the quantities and on the dates speci
fied.
Lawyer Argues Question
The point that 2.75 per rent brer is
not intoxicating was immediately
raised by Joseph B. Fleming, attor
ney for the “real" beer brewers, when
the judge ordered his clients held.
“Your honor knows,’’ lie said, "that
seven Federal judges have held that
2.75 per cent beer is not intoxicating,
and that only two have held that it is
intoxicating.” “You and 1 know,”
Judge Landis replied, "that if a man
drinks enough 2.75 per rent beer lie
will get drunk. I am willing to state
publicly that I know that is true. 1
know that some of my brethren have
held that 2.75 per cent beer is non
intoxicating, lint no court that lays
down a rule for my guidance has
held it. No court of review has held
it.” The brewers’ attorney then
raised the question of intent, contend
ing that his clients could not be
charged with a criminal offense be
cause they violated the law inno
cently and without criminal intent.
The Question of Intent
To this Judge Landis replied that
the methods used by the brewers in
disposing of their product was suf
ficient evidence that they knew they
^ were doing wrong. “Evidence of the
way they got their beer to customers
shows an intent to violate,” said the
tiudge. “They knew they were play
ing with fire.” In this connection
Judge Landis brought out the fact
that other Chicago brewers quit
making real beer after July 1 and that
this should have been notice that it
was considered unlawful by most
brewers.
Endeavoring to convince the court
that his clients could not he held un
der the war Prohibition law, the
brewery attorney declared that the
only two acts they could he charged
with violating were.the food act and
the internal revenue act. Arguing
that his clients did not violate these
acts he asserted that the President
expressly exempted 2.75 per rent beer
in his proclamation and that his
clients had paid all revenue taxes.
District Attorney Reads Law
U. S. District Attorney Charles F.
Clyne was called upon by Judge
Landis at this point in the argument
to explain the attitude of the govern
ment on the enforcement of war
Prohibition. Mr. Clyne explained that
his department w'as acting on the as
sumpt on that the nation is still at
war and that the war Prohibition act
>
USE EVERY RESOURCE
(Evanston News-Index)
It is too much to expect that
the sale of alcoholic beverages
can be stopped automatically
by the enactment of law for
bidding the traffic. It is too
much to expect men who have
conducted a saloon business
for years without a too strict
supervision of the authorities
to believe without proof that
the government means to have
the Prohibition laws obeyed.
Every energy of the police de
partment should be directed to
the discovery and every re
source of the courts employed
to secure the proper punish
ment of these violators of the
law'.
I
iis still in full force and effect. He
also explained that the government’s
contention is that alcoholic bever
ages containing more than one-half
of 1 per cent alcohol are intoxicating
within the meaning of the law. The
revenue department, he sa:d. has al
ways held to the above definition.
Quits Making Real Beer
George Hoffman, another brewer1
who made real beer after July 1. in
response to the question by Judge
Landis said that lie is no longer mak
ing the forbidden beverage. Several
days previously be bad stated in
1 rottrt that lie believed his federal tax
receipt was "government license”
I permitting hint to brew beer regard
less of the state law. “I quit mak'ng
beer,” brewer Hoffman told the court,
"immediately after you ruled that my
j‘government license' was merely a re
I ceipt for taxes paid to the Federal
government.”
Mucit Beer In Court
Most of Tuesday's session before
Judge Landis was taken up in the
identification and placing in evidence
of driver’s delivery slips and of sam
ples of beer. Saloonkeepers who had
been subpoenaed with the order to
i bring in their slips and samples lined
up before the judge's bench and were
' questioned by Assistant Attorney
I General George Dixon. Then, ac
companied by U. S. Marshals, the
witnesses went out into the corridor
to identify the beer they had brought
in from their saloons. Over twenty
i live men were lined up before the
judge at one time with their beer
! slips in their hands, and out in the
corridor eighteen barrels of the “real
stuff” was awaiting identification. As
each barrel was identified chemists
! took samples for analysis.
i How and Why Beer Was Sold
! Saloonkeepers who handled “real”
I beer made by Chicago brewers gave
I similar testimony on how they bap
! pened to buy and sell the stronger
j stuff. Unlike the witnesses who
j earlier in the hearing answered relttc
I tantly if at all, the men questioned
! told apparently straight stories of
bow they departed from the path of
lawful selling. The near-beer, they
said, was not very popular. During
July and part of August, the wit
nesses declared, no real beer was han
dled, and profits were very small.
! Then real beer became obtainable,
j Some saloonkeepers were told by the
] drivers that better beer was again
available. Others dealt directly with
the brewers. Others were approached
! by truck men who offered to haul the
fluid with a real kick from Kenosha.
Still others went to Kenosha person
ally and arranged for the delivery of
! the better selling beverage. In some
cases the manufacturers took the in
itiative and solicited orders for the
| “real stuff,” for which they received a
bigger price. In other cases the bar
men took the initiative and sought
out the brewers in order to supply
i what their customers were eager to
! get.
What Was the Difference
The judge had a hard time getting
witnesses to explain why they pre
ferred to sell 275 per cent beer con
sidering the extra risk and cost of
handling the same. "They like it bet
: ter,” was about all the saloon men
! would say. One witness said that
near beer made his customers sick.
| Another told his brewer that he
could not make his business go on
the near beer. Although hazy ott
what made the difference in the beer,
the witnesses were able to testify ex
plicitly relative to the difference in
price and methods of handling. Near
beer, they said, cost them $12 a bar
rel. Real beer cost from $16 to $22 a
barrel. Real beer had U. S. revenue
stamps affixed while the near beer
did not. The purchase of real beer
was a cash transaction in practically
every case, while near beer was ob
tainable on credit.
Trucks Ordered Returned
The original issue in the case be
fore Judge Landis was settled when
he ordered the trucks which were
seized at Zion City, then released un
der an injunction to a federal re
ceiver, returned to the custody of the
constable at Zion City. Before the
hearing adjourned last Tuesday to be
resumed in one week. Attorney Forby
of Zion City reported that two trucks
were still missing. One truck, he said,
was a substitute, a ramshackle affair
brought in the place of one of the
trucks captured. Judge Landis or
dered that the truck actually captured
hauling beer hr brought back to Zion
City without delay and gave warning
that he would not stand lor any "sub
stituting.”
Dig Celebration Planned
With the return of the motor trucks
to Zion City plans were made for a
big celebration when the seized con
traband beer and the vehicles used in
transporting it are disposed of under
the search and seizure law. The of
ficials will have in their possession
about twenty-five motor trucks, sev
eral touring cars, and a motor boat.
All the beer captured is being held
carefully guarded to he destroyed
with the conveyances when the legal
technicalities are all complied with.
Almost One Hundred Held
Up to the time of adjournment on
Tuesday. September 30. almost one
hundred were held to the grand jury
for violation of Federal Prohibition
w-aii*4r')if ■•tltf.-.v. *rrcTrty*rigtn i^TTe"
held tor violating the Webb-Kenyon
law prohibiting the transportation of
liquor into dry territory. The truck
owners, truck drivers, a Kenosha
beer agent, and many Chicago sa
loonkeepers who purchased and im
ported the Milwaukee brands of beer
must face this charge. Many Chicago
saloonkeepers who purchased of local
brewers were held for violating the
internal revenue law which provides
for the payment of a $1,000 tax for
the sale of liquor in dry territory.
There is a possibility that the two
brewers held under the war Prohibi
tion act may also be compelled to
face the charge of violating the food
conservation act.
Attorney General Will Prosecute
Facts revealed in the hearing be
fore Judge Landis have been taken
under consideration by the Attorney
General and action in the state courts
will follow. Evidence disclosed be
fore Judge Landis will be made the
basis of suits for violation of the Il
linois Prohibition enforcement act
which prohibits the manufacture and
sale of beverages containing more
than one-half of 1 per cent alcohol.
p Will Help Enforce Law
On Tuesday, October 7, the liear
ingRiclorc Judge Landis was resumed
just? long enough to briefly examine
George Hoffman, the Chicago brewer
who had previously admitted brewing
L75»' per cent beer but justified him
self! on the ground that his federal
taxfh reipt was a government license.
In fiij former testimony Mr. Hoffman
had >tated that his customers were
rcftn- ng to buy the legal product of
hisSrewery and were securing the il
legal real beer from other sources.
Recalling this testimony. Judge Lan
dis Isked the witness whether to the
bes^ of his knowledge other Wiscon
sin nd Chicago brewers were still
selling the 2.75 per cent brands. Hoff
man replied that he thought not. The
judge then asked whether the witness
would conic in and tell the court in
rase he should find out about any il
legal beer being sold in the future.
“Jt)dge, | am no'informer,” replied
MrJjHoffman.
Judge Promises Square Deal
"I want it understood that this
coutiOs open to protect legitimate
trade.” explained Judge Landis. “This
is the situation. Here L a public law.
You »re obeying the law. Others are
obeying. Two or three outsiders arc
disob, lying the law and taking away
yong business. It will not make an
‘informer' of you if you come into
this court and ask that your legiti
mate [business lie protected against
violators" Mr. Hoffman immediately
saw ti e point and told Judge I.audis
that 'h would be willing to advise
him o’ any violations that shuuld
come to his notice.
3 Lleer Dumped Into Lake
OniSaturday, October 4. thirty bar
rels C'f beer were poured into Lake
Mich Ivan by order of Judge Landis.
This ei-r iiad been brought in by sa
iboT-l,i^p r- before the rutin! Soon
of it came from Milwaukee, and some
from the North American and Rest
Breweries of Chicago.
Samples of the beer were taken and
tested to ascertain the alcoholic con
tent. Referring to the chemical analy
sis of the beer while questioning
Brewer Hoffman, Judge LandL said.
“All of this beer was examined by
competent testers and it is proved to
be 2.75 per cent and some of it
stronger.”
Hearing Suspended Two Weeks
The hearing before Judge Landis
will be resumed on Tuesday. October
21. at 10 o'clock. Meanwhile effort
will be made to find several witnesses
who fled from the jurisdiction of the
court when they beard that they were
wanted. One of these is Carl Wehle,
who is charged with having trans
ported beer by boat from Kenosha to
Chicago.
Stewart’s old place on John street in
New York City rented for $6,500 per
year as a saloon. This was in the
halcyon wet days of yore. This space
now commands $15,000.
TO WHOM IT MAY CONCERN
Citizens of this and surrounding states are advised that the fol
lowing extracts from the state law are in full force and effect through
out Illinois:
Intoxicating Liquor
Intoxicating liquor or liquids shall include all distilled, spirituous,
vinous, fermented or malt liquors which contain more than one-half
of one per cent by volume of alcohol and all alcoholic liquids, com
pounds and preparations, whether proprietary, patented or not, which
are potable and which are capable of or suitable for being used as a
beverage.
Prohibition Territory
“Prohibition territory” shall mean any and all territory in this
state within which, by, under or through any ordinance of any munici
pality or any statute or statutes of this state, or any statute or statutes
of the United States, the sale of inoxicating liquor or the licensing of
such sale, is prohibited with or without exceptions or limitations.
Penalty for Violations
Whoever shall, within Prohibition territory, by himself or another,
either as principal, clerk or servant, in any manner manufacture, keep
for sale, order, purchase, receive, transport upon any highway, cause
to be transported upon any highway, take an order for, sell, give away,
or dispose of, or aid any person in procuring any intoxicating liquor
in any quantity whatsoever, shall be punished in the manner prescribed
in Section eight (8) of this Act. (First conviction, each offense, $50 to
$500 fine, or 20 to 60 days in county jail, or both. Subsequent convic
tioifc $200 to $5,000 fine AND 90 clays to one year in county jail.)
Seizure, Confiscation and Destruction
All intoxicating liquor manufactured, kept for sale, used, disposed
of, or transported within Prohibition territory, in violation of any law
of this state, with all vessels containing the same, and all implements,
furniture and vehicles kept or used for any such purposes, are hereby
declared to be common nuisances, and shall be subjected to seizure,
confiscation and destruction in the mannerdiercinaftcr provided.
1
VIGILANCE AND SUPPORT
I am going to the public lor
facts and diligent support.
I am going to ask for the aid
of the entire official forces of
the United States, state, coun
ty, municipal and local govern
ments. The public generally
will be expected to support the
entire program. The enforce
ment of the law in this way
will not depend on the number
of officers on the job, but on the
vigilance and faithfulness of
the law-abiding public.
Daniel C'. Roper, Commis
sioner of Internal Revenue, re
cently made the above state
ment in speaking of National
Prohibition enforcement.
Webb-Kenyon Act
Protects Illinois
Webb-Kenyon Act Protect Utinois-lc
Wisconsin Beer Smugglers Violated
the Following United States Law
Omitting words irrelevant to the
case of the Wisconsin-lllinois beer
smugglers, the title and text of the
[Webb-Kenyon act arc as follows:
. . . The shipment or transporta
tion, in any manner or by any means
whatsoever, of any spirituous, vinous,
[ malted, fermented, or other intoxicat
ing liquor of any kind, from one state,
territory or district of the United
States, . . . into any other state,
'territory or district of the United
States . . . which said spirituous,
vinous, malted, fermented, or other
intoxicating liquor is intended, by any
1 '.Lee.;-!, [j Isc Mt.
! ceived. possessed, sold, or in any
manner used, either in the original
package or otherwise, in violation of
any law of such state, territory, or
district of the United States ... is
hereby prohibited.
On January 8. l^’l/. the Supreme
Court of the United States held tlie
| Webb-Kenyon act constitutional. The
[ point was raised in case involving the
right of distillers and common car
riers to transport intoxicants into
| West Virginia. In its decision the
court said that as the Webb-Kenyon
[act prohibited the transportation of
liquor into a state in violation of any
law of such state, “there would seem
to be no room for doubt that the
Prohibitions of the state law were
made applicable by the Webb-Ken
yon law."
The Illinois Prohibition enforce
ment act forbids the transportation
and sale of liquor containing more
than one-half of 1 per cent alcohol in
I any Prohibition territory in the state.
| Prohibition territory is defined in
! this law as any territory in which the
I sale of liquor is forbidden by any mu
1 nicipal, state or federal law. Thus
war Prohibition made the entire state
dry and the Illinois law became ap
' plicable to the entire state.
_
Saloon Owner
Sent to Jail
Must Give $5,000 Bond to Obey Law
Before Bar Can Be Reopened
Conviction of sale of liquor in vio
lation of the search and seizure act
cost Paul J. Buse. owner of a Chi
cago saloon, a fine of $200 and won
him a sentence of sixty days in the
county jail.
He was also forbidden to re-open
the place of business until a $5,000
bond conditioned on full observance
of the law and pending a motion for
a new trial has been postponed.
Detective Sergt. Stephen McGurn
[ testified he had procured the liquor
j from Buse and that analysis showed
, it to be whisky.
Buse’s conviction, with the inflic
i tion of the further requirement that
la bond be given by the saloonkeeper
;as a guarantee that the law will not
again be broken, is believed to be the
first/of its kind under the search and
seizure act.
By the margin of one vote the
bone dry Prohibition ordinance in
Los Angeles failed to carry.
OFFICIALS DENY
NEWSPAPER TALES
ON WAR LAW’S END
Palmer Says Prohibition Is
Effective Till Treaty Is
Signed
GLASS CALLS STORY
“INDEFENSIBLE” LIE
Secretary of War Gives Opinion on
Demobilization
THE WETS’ HOPES GROW FAINT
Recently there have been many
rumors printed in the newspapers
predicting that war Prohibition would
end soon. These rumors usually
credit some unnamed person with
having absolute assurances from some
high official that the lid will he lifted
by a certain date.
On September JO the War Depart
ment announced that the accidents of
war and the progress of demobiliza
tion arc at an end. For a short time
the li(|uor men took this to mean that
war Prohibition would end very soon.
Then came a statement by Attorney
General Palmer saying that the war
Prohibition law provides that it shall
stay in effect until after the termina
tion of the war and the demobiliza
tion of the army. Mr. Palmer held
.
peace treaty has been fatifieaT
Baker on Demobilization
The contention of the licpior men
that demobilization would he com
pleted when the army was reduced to
a peace-time basis was not supported
by Secretary Baker, lie insisted that
demobilization will not lie completed
until every man enlisted for the per
iod of the war is discharged. "I have
not been asked for a definition of de
mobilization, " he -aid. “hut I sec no
reason for so much confusion on the
subject. It would seem to me that
the army would be demobilized when
the last .emergency man has left the
service."
Another Rumor Nailed
On October 2. press dispatches
from Washington stated that Carter
Glass, Secretary of the Treasury,
went to the White House to urge
President Wilson to suspend the
operation of war-time Prohibition so
that the treasury might not lose
$4U0,000,000 taxes on whisky now in
bond. The statement declared that
Secretary Glass did not sec the Pres
ident on that day but that he would
: he received at the first opportunity,
i On October 6 Secretary Glass nailed
I this rumor in the following telegram
i to the Philadelphia Public Ledger:
"My attention has been drawn to a
| dispatch to your paper under Wash
; ington date of October 2, stating that
1 had gone to the White House on
| that day to urge the President to
' suspend the operation of war-time
; Prohibition in order that the treasury
inight not lose the revenue involved
in the tax on whisky now in bond.
“This statement was an indefens
ible invention and had not one par
ticle of foundation in truth. I have
never opened my lips to the Presi
dent on the subject, and the only pur
pose of my visit to the White House
was to inquire as to the state of the
President's health.”
Referring to the rumors that war
Prohibition would be suspended, the
Anti-Saloon League of America is
sued a statement to the effect that if
the “saloons reopen before the peace
treaty is ratified and demobilization
is completed they will do so in de
fiance of the war Prohibition act.”
The statement continues:
“The unrest and lawlessness which
now prevails would be aggravated
and the result would be disastrous.
Mobs inflamed by liquor destroy
property and life at wholesale.
“The whisky interests are planning
to fill the homes with whisky during
the open period. Hundreds of thou
sands of homes will be stocked with
liquor and multiplied if this wet pro
gram is carried out.”