New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-09-01
Low Bail Fixed
For 2 Accused
In Big Rum, Plot
kessIer and Sweetwood.
Called ssAIost Important
of RUM Prisoners, Free i'm
1000 and So, 900 Each
Third Man 10 Surrender
Three Accused i'm $500, 600
Permit Forgery: Dry Navy
Seizes British Schooner

wood were arraigned before United
States Commissioner Hitchcock in the
Federal Building yesterday afternoon,
charged with having withdrawn half
million dollars worth of liquor from the
warehouse of the Republic Storage
Company through forged permits OF
transfer. The surrender OF Alfred
Block to-day was promised by his at
torney. Prohibition Director Appleby
said last night that these arrests were
the most important in the history Of
prohibition enforcement in New York"
and that they would break UP lone of
the biggest bootleg rings in the
country"
Kessler describes himself as real
estate broker. He has offices in the
Guaranty Trust Company's building at
Forty-fourth Street and Fifth Avenue
Sweetwood. also calling himself a
broker, has an Office in the Canadian
Pacific Building, at 3d2 Madison Ave-
nue.. They waived examination and
were held for the action Of the Federal
Grand Jury, bail for Kessler being
placed at $1,000 and for Sweetwood at
$4,000.
Permits Forgeries
Warrants were issued for the arrest
of these two and Block, Director Ap-
pieby said, on the charge that they
were concerned in the removal of 1900
cases OF whisky and 800 cases of cham
payne from the storage company's
street. The men, it is alleged, pre-
sented apparently authentic permits
Tor the transfer of the liquor to a
warehouse in Philadelphia. The per-
mits were fergeries. The LIQUOR never
got to Philadelphia, but, according to
Mr. appieby, most of it already has
found welcome In New York.
the distribution being accomplished
through bootleg channels. Some of it
reached the hands of prohibition
agents. VINO traced their purchases
through the serial numbers on the
cases to the batch stolen from the Re-
public Warehouse,
Hartman & Goldsmith, Importers
were the original owners Of the stolen
whisky, and Porges & Levy, another
importing, firm, owned the cham
payne. Inc charge on which the men
are held is of illegally removing and
concealing liquor on which the tax had
not been paid" The maximum penalty
Tor the oHense is three years i'm
prisonment.
British Schooner Seized
The combined activity of the drv
navy, customs officials and local prohi-
oition agents resulted yesterday in the
SEIZURE within the three-mile limit of
4 British schooner carrying a cargo of
liquor valued at about 100000 Guam
titles Of liquor in smaller amounts
were found on other vessels.
The rum chaser Hansen, with Gus
toms Inspector Percy Johnston aboard,
n oh
fax, yesterday morning about two
miles off Montauk Point. After short
chase the schooner was overhauled and
when search revealed 1000 cases of
Scotch whisky aboard the Gamma was
taken e. Fort Pond Bay and anchored,
wh.'s the inspector revealed his find to
the Surveyor Of the Port, Thomas w.
white.
In his message Inspector Johnston
declared that the schooner had appar-
emily been trading with smaller boats
along the coast and intimated that the
Gamma could carry considerably more
liquor than was found on her. The
captain of the schooner said he was
on his regular run to Havana, but that
he had been forced within the three
mile limit by strong head winds.
Yesterday afternoon Customs In
spector D. II. Mott and Customs Guard
berry, of the dry navy, TO bring the
Gamma into port, since it was re-
ported That the Hansen was in need
of repairs.
Catch Runners In Tran
At an early hour yesterday morning
the Newherry, with Customs Inspectors
Thropp and O'Keefe on board, was
ai1ently waiting off Sandy Hook Point
with lights out for the appearance of
rum runners, which they had reason
TO believe were doing business near
That place. After short time they
heard the muffled exhaust of an an
\ preaching motor boat which was headed
81 directly Tor the Newberry Waiting
n until the small boat was almost upon
them, the customs men suddenly threw
their se&rchight full on the boat and
saw that there were two men on board.
Az almost the same instant the motor
boat burst into flames and the two men
went overheard hanging on rope.
A small boat from the Newberry was
manned hastily by members Of the
crew. who went to the rescue with fire
extinguishers. The FIRE was put out
and the two men taken on board.
torty-tivc cases of Scotch whisky were
found unchanged and the boat was
towed to the Battery. The customs Of
flcials believed that the boat was set
81 Gre prrposely, but this was denied
One of the men showed his burned
hand as proof that it was an accident
and caused by backfire of the engine.
The two men, William White and
Steve Gilafsky, of South River, N. J..
we're taken before United States Com
missioner Stanton, in Hoboken, N. j..
yesterday afternoon, charged with vic.
lation of both the customs and pro
hihition laws.
Customs Officers McAdam. Semsev
Satrace and Magin early Yesterday
morning saw three men in a motor boat
draw alongside the French freiphter
Phoebus. in the Erie Basin, BROOKLYN.
When they boarded the freighter the
officers discovered the thEee about to
lower several cases of liquor into their
boat. Immediately one of the bootleg
gers saw the officials and fred a shot
The men regained their boat, and al
Though the guards fred several shots
they made their escape.
Cook Admits Ownership
Ninety-seven bottles of liquor were
found on the freighter, and later the
cook. Anime Sitra. admitted owner
ship of them. After hearing before
Assistant Solicitor Barnes, in the
Customs House, the cook was fined
$500 for failure to manifest. The fine
was paid by the master OF the vessel.
August Bernadi. who said that ba