The Bridgeport times and evening farmer., 1920-01-22
ROPER SUGGESTS PLAN TO GET
 RID OF LIQUOR Plan Is That Government Pay Carrying Charges to
 Warehouses. OWNERS WOULDN'T
 BE COMPENSATED Commissioner Supplies De tailed Information on Present Status to For
 den Committee.

den Committee.
 Washington, Jan. 22.---Commissioner of Internal Revenue Roper in effect has approved a plan, under discussion by the Ways and Means Committee, for the Government to form mon opo1y to control the distribution of whisky in bonded warehouses in the country and issue Treasury certifi- cates in payment.
 The plan contemplates the issue of Treasury certificates to the owners of the whisky now held in Government warehouses, so that they can redeem their obligations at the banks. These obligations, it is estimated, amount to s20, ,000, 900, and unless some such way is found to aid the banks great finan- cia1 losses will be suffered, especially in Kentucky and Pennsylvania
 Chairman Fordney wrote Conlmis- sioner Roper a letter asking for sug- gestios as to what the Government proposed to do with the bonded whisky after prohibition became eff fective- In reply Commissioner Roper said there were 69,262, ,391 gallons of whisky in bonded warehouses and 4, 100000 gallons of rum, gin, and brandy, which cannot be withdrawn except for medicinal purposes. Ken lucky leads the States in the amount stored in her warehouses with 3S,134,- S5S gallons; Pennsylvania is second with F, 2,297 ,075; Maryland third with G. 0o1, ,726; Illinois ranks fourth with f. 467, ,220, while in the warehouses in New York there are ,527, ,661 gallons.
 After answering all the financial and pertinent questions bearing upon | the whisky problem in the prohibition period MT. Roper proposes that Treas ury certificates be issued. or the Gov ernment will be compelled to main | tain an army of 2,500 men at an ex- pense of $4,0OO,o0o annually to guard {, the bonded warehouses in different parts of the country. There are 5O0- odd Government and private ware l houses
 Referring to the purposes for which bonded liquors may be withdrawn, he says:
 Bonded liquors may be withdrawn under existing laws for practically nc purposes except medicinal. As to this purpose 1t may be said that while some physicians take the position tha' it is a valuable stimulant and tonic il certain cases of illness, or debility the majority opinion of the medica profession seems to be that it may bt
  While the wartime prohibition ac remained in force these spirits coule be ithdrawn for export, but sine, Jan- Is. 1920, withdrawals for expor cannot be permitted for beverage pur poses.''
 The rate of tax on spirits whe, withdrawn for nlbeverage purpose is $2-20 per gallon.
 Replying to a question as to tn r,, on liquor certificates Commissions , Roper said:
 "The statement enclosed has bee } furnished by the comptroller of tn currency and indicate that natione
 banks on Sept. 12, 1919, held pape ' amounting to s1,654, ,272.S7 on bill of lading and warehouse receipts GOV ering liquor, and that on that dat the outstanding loans of nations banks to firms or corporations mar 7 ufacturing or dealing in distilled spi1 its amounted to $7,634,S ,S15.36. Thes , loans do not of course include tn
 credits extended by state or privai f banks, and it is reasonable to prs . su1ne that even larger obligation , directly or indirectly, are outstandin
 from such state and private banf land other individual creditor [
 excessive estimate of all such loans i
 all the banks of the country
 In answering a question as to ho
 the government should attempt to r, lieve the owners or holders of war, l house receipts, he says: 'It is tf
 conclusion of the Bureau that tt . 1 owners or holders of warehouse r Ia ceipts have no relief under existir law, and that any relief to be exten, ed to them must be based on legis1 s ton. Two alternative suggestion might receive the consideration Congress.
 "(a) The government might tad E physical possession of the spiri | concentrating them at certain poin
 in strong warehouses where tn
 could be economically guarded, aI E establish for itself a monopoly on u \ distribution of such spirits for leg \ innate purposes. Government certi B cates of indebtedness might then
 issued to the present owners based the fair market price of spirits as C
 say, April 1, 1919, before the price H spirits became so greatly infate H The government might then reti E these certificates as the spirits a
 sold, a period of time being giv for the complete retirement |E "b) The Treasury Departme IA might be granted Q large addition lE appropriation for safeguarding t spirits in the present warehouses, a as it would he desired to afford | 'E holders of certificates relief from [ carrying charges, these charges cor
 be assumed in whole or in part the government through appropris legislation.
 A ttAs tc the first alternative, the E is involved, in the bureaus opinion s considerable loss, since the dema E., for medical and scientific purpo B will be very small and the amor N remaining in warehouses is so lal S that it is improbable that the to E amount could be distributed beft E a large quantity had been lost throu E natural causes.
 E4 4 tE, tIaa Saca1,d altar,a #