The Chattanooga news. [volume] (Chattanooga, Tenn.) 1891-1939, 1919-11-25
PROHIBITIONS
FATE WATCHED
"Wets" and "Drys" Anxious
to Know What Wilson's
Plans Are.

Washington, Nov. 25.-(Special.) y
The question as to whether President
Wilson will lift the bar on war pro-
hibition or allow the matter to take
its course. is engaging the attention
OF both the "wets" and the "drys" of
the country, for 1t must be conceded
that upon his action, whatever that
may be, rests the fate OF vast inter-
ests In liquors that are tied up by
the law.
If President Wilson should de-
clare the army demobilized millions
of dollars worth of liquors would be
turned loose, and the holders would
then be enabled to not only get even
on their investments, but owing to
the advance in prices, would be able
to make enormous profits.
Prohibition law enforcement Of
ficials for the various districts and
states are being appointed prepara-
tory to a vigorous campaign against
the vlolators of the prohibition laws,
and it is very pertinent at this time
to contemplate the probable raising
of the ban by action Of the president.
but 1t Is the view of many. that in
view of the tangle of the peace treaty,
and the resultant delay Of demobiliza-
tion, that prohibition will continue
for the time being.
a series of conferences have been
afsNnged-.f5 ~ the Internal revenue bif-
reau between officials of the bureau
and certain manufacturers of aIco-
holic preparations now on the mar
ket. Commissioner Roper Is reported
to have said about these conferences,
that the purpose Is to devise ways
and means to medicate or decrease
the potabilitv Of such preparations
which, after Jan. 49, the date the ma
tional prohibition act becomes eff
fective cannot be legally manu-
factured or sold, If fit for beverage
purposes.
In the meantime what will become
of the millions Of gallons of liquors
that are now being held and on much
of which large sums OF money have
been borrowed?
If the president should lift the ban
and allow whisky to be sold during
the brief time between now and Jan.
16, many of those who own large
quantities would suddenly become
rich in the sales that would follow.
The price ranges from $40 to SIS a
quart for whisky which originally
cost probably less than 81. Recent
report of the internal revenue de-
partment shows that there were in
bond August 81, of this year. 64,549,-
OPS gallons of distilled spirits of all
kinds, including brandy, gin. rum and
whisky. 1t is estimated that about
half a million gallons have been
withdrawn since that time for ex-
port.
Liquor Two Years Old.
These liquors, which are now held
in bond, are at least two years old,
as none has been placed in bond
since the food law prohibiting the
manufacture of liquors, went into ef-
feet August, 1917 Allowing for
wastage, evaporation and other natu-
raj losses, it is estimated that there
are now available and ready to be
placed on the market 57,000,000 gal
Ions.
The greatest cost on the liquor
that would be withdrawn from bond
would be the revenue tax, which is
$6.40 a gallon. The prewar tax was
1920 The government tax on the
present stock of liquors would be
approximately 1864, 500 900. In the old
days, when there was cheap whisky
the tax was $1.10 a gallon, and the
tax on beer at that time was 81 q
barrel, but that time has passed, and
the whisky formerly sold for from
so cents to $1.50 quart now sells
under it's outlawed status at from $40
to SIS IA quart. 1t is possible, how
ever, that If legalized for only a
short period the large stock thrown
on the market at once would force
the price down considerable, and we
might then get it at S5 a quart.
While the banks have loaned only
about $l50,000,000 on the stock of
liquors, that is now awaiting re-
lease, there is a strong pressure from
that quarters to save them. The
banks which are holding this security
are urging the ban to be raised that
they may get theirs. They realize that
while they are collecting their loans
the owners of the liquors will make
millions. but that on the other hand,
If prchitition should continue there
will be less to them and the liquor
people.
The "drys" point to the fact that
the putting on the market of this
vast amount of liquors, to be dis
posed of within short period, would
result in the most gigantic debauch
ever experienced in this country.
Many whisky drinkers, who have
long been deprived of their drinks,
would beg and borrow all they could
possibly get to supply themselves