New-York tribune., 1921-02-03
Ban ON Liquor
Is Extended to
Wholesale Men
Palmer Issues a Drastic
Order as Kramer Bars
Withdrawals I'M u. S.,
Hawaii and Porto Rico
Aimed at Bootleggers
Manufacturers and Big
Druggists Alone Can Get
Supply From Warehouses

WASHINGTON, Feb. 2-Doors of
distilleries and bonded warehouses in
every state in the Union, Hawaii and
Porto Rico were ordered indefinitely
closed against liquor Withdrawals to-
day by Prohibition Commissioner Kra-
mer. AT the same time wholesale
liquor dealers were ruled out of fur
ther participation in the sale of in
toxicating beverages by Attorney Gem
eral Palmer. Mr.. Palmer's announce
ment was forecast yesterday in state
ment in New York by Charles r. O'Con-
nor, New York State director of prohi-
bition.
Commissioners Kramer's drastic or
der stopping the flow of liquor from
storage and the Attorney Generals in
depreciation Of the Volstead act, pro-
hibition officials said, mean the elimi-
nation of the wholesale liquor dealers
and make possible the prevention of
"bootleggingn through forged permits
and illegal disposal of intoxicating
liquor.
Warning Issued by Kramer
Stoppage of liquor Withdrawals all
over the country and in two of the
territories was in extension of the
order issued last week putting a ban
on removals in New York, Pennsyl-
yania, Maryland, Massachusetts,, Con-
nectitut, Rhode Island and New Jer-
sey. The order does not apply to with
irawals of Industrial alcohol or rea-
sonable quantities of sacramental wine
and makes an exception in the case of
retail druggists, who are permitted to
make withdrawals up to five cases of
liquor ct time.
Warning against attempts to obtain
whisky, despite the nationwide ban
was sent out by Commissioner Kramer
who directed all owners of distilleries
for whisky Withdrawals "purporting to
be issued ~ any state director, ire
spective OF the date such permit is
issued or approved by the director
No such applications are being ap-
proved, he said, adding that failure to
comps, with the notice would deprive
owners of their license to hold their
stock still in storage.
Withdrawal Only by Druggists
Mir. palmer's opinion was made public
by Internal Revenue Commissioner
Williams, and was said by revenue
bureau officials to constitute the au'
| thoritv upon which the sweeping clcs-
ing orders were issued
Wholesale liquor dealers, the Attor-
ney General held, are entitled to dis
pose Of their warehouse receipts for
liquor stored in bonded warehouses tc
manufacturers and wholesale druggists
'but the right to withdraw said liquors
from bonded warehouses is granted tc
manufacturers and wholesale druggists
only" On the question of the authority
of the prohibition commissioner to issue
permits to sell liquor in wholesale
quantities, the Attorney General held
! that power was limited to manufactur.
ers and Wholesale druggists.
| With respect to Industrial alcoh OIL
| Mr.. Palmer h cid the authority to Issue
permits for its disposal in wholesale
4 quantities was limited to manufactur.
ers and Wholesale druggists if the al
1 cohol we're fit for beverage purposes
| bat not If it were denatured
| "It is obvious" the Attorney Gen
eral declared, that the conduction OF
| the liquor business in the hands of q
/, few people is vals calculated to render
more simple ans effective the restrain
ling of the business within proper and
legal channels"
| Must Redsaft Regulations
"Since under tae law" Commissions
Williams said, permits to do whole
sale liquor business as distinguished
from 8 wholesale druggist cannot le
gally be issued, it will be necessary ts
redraft the regulations of the bureau
which work is now being 3one. 1t is
not the purpose Of the bureau to pre-
vent the legal disposition Of an,
LIQUORS which have been withdraw
from bond by wholesalers holding per
mits issued by prohibition officials
On the contrary, it is the bureaus pur
t pose and desire to afford all legal as
sistance in the matter of permitting
these stocks to be disposed of within
the law. For the present there vii
be no change in the permits, excepl
| that an order will be issued allowing
wholesale liquor dealers to dispose O.
/! their stocks to wholesale druggists wht
hold permits to buy"
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