New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-08-06
Two Taken i'm Racquet
Rooms Are Accused of
Plotting to Steal VAL
liable u. S. Rum Records
Bootlegger Chiefs,
Says Yellowley
Max Halperin and Melvin
Sternfels w ere Under
Surveillance for Weeks

From, The Tribune's WasAAsyton Bureau
WASHINGTON, Aug. S.-Two New
York men, one of whom is alleged to
be the head of an extensive bootlegging
combination said to be operating in
that city, was arrested day in a
room at the Racquet Club, while en-
gagged in conversation with several
prohibition bureau employees. Official
papers of the bureau are said to have
been found in the room. The two men,
Max Halperin, lawyer with offices at
II West Forty second Street, New
| York, and Melvin Sternfels, were seized
by Federal prohibition agents on
charges of conspiring to obtain posses
sion OF records of the prohibition bu-
reau, and were held under $4,000 bail
each by United States Commissioner
Macdonald.
c. E. Yellowley, chief of the Federal
| enforcement agents, declares that the
two men are the real executives of a
general "bootleg liquor ring" operat-
ing from headquarters in New York. A
clerk in the office of Mr.. Yellowley, /.
P. Pennyworth, testified at the prison
ers' hearing that he brought official
prohibition papers to the Racquet Club
after the accused had offered him
$1,000 for them.
Heavy Bond Asked
Arguing for q heavy bond, counsel
for the government asserted that an
attempt had been made to "undermine
the Offices of the government" and that
similar attempts had been successful
in the past.
At the club it was said that nothing
was known of Halperin, but that Stern
fels had stopped there frequently.
"Sternfeld went to his room to-day"
said Secretary Biddle of the club;
Several persons came to the club to
see him. He was communicated with
and the callers then went to his room.
Soon Sternfels and his callers left and
shortly after the housekeeper report
ed that the rooms were in great dis
order.'
Chief Yellowley declared that the
arrest of Halperin and Sternfels was
"the biggest catch of the year and
probably the biggest in the history of
the prohibition unit" He added that
their apprehension may lead to more
arrests in other cities. Yellowley in
may have a national significance and
that the government would exercise
great care in presenting the charges
in court against the two New Workers.
eve will introduce as little evidence
as possible" Yellowly stated, "because
of the great Importance of this matter
All of the charges upon which these
men are held are local, and this office
has not been in communication with
prohibition officers elsewhere on this
particular case. We are practically
certain, however, that when we are
ready to bring this affair to the atten-
tion of Director Day, in New York, and
to other directors, there will be many
interesting developments"
Watch Halperin Eight Weeks
The prohibition officers began to
work on the Halperin- -Sternfels case
six or eight weeks ago. According to
Chief Yellowley Halperin had been
making periodical visits to national
prohibition headquarters for several
months. When he was singled out as
one of the men wanted by the dry
agents in the present case, Halperin
was put under sharp surveillance.
/ He used to walk into this Office"
said Yellowley, "while Sternfels wait
ed for him on Street, directly out
side. When Halperin was through he
would come out and greet Sternfels
as he would long-lost friend-'Why,
how do you do? Where have you been
keeping yourself ?'-and all that sort of
thing. And they would shake hands
effusively and walk calmly down the
street.
"Halperin," Mr.. Yellowley added, ais
believed to be attorney for three
fourths of the biggest bootleggers in
New York. We do not know, and prob
ably will not know until further inves-
tigation, how far he is involved in what
seems to be tremendous, we'll organ.
lied plan to defeat the work of the pro-
hihition officers.
"Halperin is the polished, diplomatic
worker of this duet. He is just the
sort of man to whom Office clerks
would speak doubly respectfully. In
word, he is the front of the whole
thing. Sternfels, we believe, gets
nearer to the actual work of the boot
leg ring"