The New York herald., 1921-08-04
RUM SHIP OWNERS
KEEP UNDER COVER
Secret Service Men Seek to Lo-
cate Men Who Financed
Whiskey Runners.
no BRITISH PROTEST YET
Englishman in Bermuda Be-
lieved to Have Been Dummy
for American Ring.

Although it was established definitely
yesterday that the schooner Henry l..
Marshall. seized by the United States
Coast Guard as a rum runner. had been
operating under British registry, and
although the Governments action might
be made the basis OF protest from
the British embassy TO the State De-
partment 1t was not thought probable
by Federal officials here that the seiz-
ure would lead to a diplomatic tangle.
From what the United States Attor-
ney's Office has been able to learn con-
cerning the conditions under which the
whiskey ship was operating 1t is re-
garded as likely that the British regis
tration was merely n cloak for the
schemes of a group OF American business
men who had realized the possibility OF
enormous profits in the rum running
trade. An Englishman, a resident or
the Bahamas. under whose name the
transfer of the ship was made. is be-
leved to have been simply dummy
owner.
For that reason, 1t is regarded here
as extremely improbable that the Brit
ish Government will go further than
perfunctory investigation Of the seiz-
ure. A representative OF the British
Consulate was present at a continued
hearing of the case in the Custom House
yesterday. and he will make report
of the facts to his embassy before any
action in British interests is taken.
No Precedent for Seizure.
officials of the Department of Com
merce and the Department OF Justice
in Washington. however. said last night
that there is no precedent for the sciz-
ure of the schooner, and II was the
opinion of many experts that the seizure
might develop legal difficulties for the
Government.
At the close of the inquiry here John
ii. Clark. Assistant United States At
torney. said nothing had been learned
TO indicate in any way that a conspir-
acy to violate the Volstead act involv-
ing the schooner Marshall had been
Matched in this district, and that any
criminal prosecution of the case wouia
come from either New Jersey or Long
Island, because of evidence pointing to
landings made at Atlantic City and at
Montauk Point. Further investigation
of the facts and an effort to find the
missing captain and mate of the
schooner will be made by United States
Attorneys Ross of Brooklyn and Gross
of New Jersey.
1t was learned at the inquiry that
tho Marshall was not flying any flag
when seized. According TO first reports
she was flying the British flag. All four
men of the crew were questioned by
Assistant United States Attorneys Roth
well and Cahill Of this district, Wacker-
man OF Brooklyn and United States At
.orney Gross or New Jersey.
Dispatches from Washington yester-
day quoted Eugene Chamberlain, Com
missioner OF Navigation. as stating that
on December the Shipping Board au-
thorized William Mccoy of Daytona.
Fla. to transfer the schooner, at that
time under American registry, to
Charles l.. Albury OF Nassau, Bahama
Islands. The actual transfer. Commits
sioner Chamberlain said. was made in
February of this year. since which time
the Marshall had been operating under
British registry.
search for whiskey Ring.
The District Attorneys Office is in
possession of information that the
Marshall, besides its operations off Mon
tauk Point and Atlantic City, loaded
with liquor a barge that went out from
iNOthdWdy III DTOdu udy lBnt Within the
last month.
Dispatches from Atlantic City stated
that a force OF 25 special agents were
busy trying to run down the rum ring
which has been engaged In the coast
wise liquor traffic. They are proceeding
on the theory that 1t took big sums of
money to finance the voyages OF the
schooner, and are consequently looking
for men of capital.
Capt. John Holdzum of the Coast
Guard station at Atlantic City told yes
terday of seeing two men dressed like
fishermen come ashore in a launch just
before the Marshall was overhauled by
the Seneca. He said he assumed at the
time they were what they appeared to
be. but believes now they were the
missing officers of the schooner come
ashore in disguise 10 negotiate for the
disposition of the liquor cargo.
At New Haven yesterday fifty cases
Of liquor landed at a shore resort since
the rum runner Jennie T. was captured
there. were seized by Federal agents In
coal bin The liquor was exported
fnom the United States to Nassau last
IA ts.