The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1924-03-22

Associated Press. "A 100000 whisky
deal-the biggest yet-was uncorked
today by the Daugherty investigating
committee.
John Goroni, vice president of the
Alps Drug company, told a story of
how he, the late Jess W. Smith,
bumper and friend" of Attorney Cen
eral Daugherty, and Howard H. Man
nington, one of the occupants of the
little green house on K street." had,
he said, shared in the split" which ac
companied the withdrawal of whisky
from federal warehouses for sale to
bootleggers.
committee, it was brought no nearer to
Attorney General Daugherty himslef
than these two friends.
Goroni told the committee some of
the things which, he said, did not come
out when he was tried and acquitted
Of conspiracy to violate the prohibition
law in New York.
Nightly Denial Issued
Attorney General Daugherty in his
nightly comment on today's testimony
pointed out that he himself was in no
way embarrassed or implicated"
Goroni's whisky "deal' story splashed
from the witness stand in a hectic day
marked by passing of the ''lie" to Mr..
Daugherty's counsel by Senator
Wheeler, democrat, Montana, managing
the inquiry. The latter charged that
there was continual "besmirching" of
committee witnesses and that the COM
mittee was being denied evidence from
the Ohio bank of which Mr.. Daugherty's
brother, Nal, is president, while Sen
ator Ashurst, democrat, Arizona, said
Howard Warrington, mentioned in
Goroni's story and now reported in
Paris, had been spirited away"
Mr.. Daugherty's counsel, after a bit
ter scene in which the audinece ap-
plauded Senator Wheeler, promised
their best efforts" to produce Man
ringtOn.
At SIS A Case {.
More $1,000 bills figured in Goroni's
story of the whisky transaction. He
testified that he paid $4,000 in bills
of that denomination to W. A. Orr of
New York, previously connected with
the Dempsey Carpenter fight film
deal and also $15O,O00 to Owen B.
Murphy, another New York politician.
The payments, Goroni said, were at the
rate of SIS a case for permits obtained
to get whisky into bootleggers' hands.
About $4,000 or 10000 cases event
through" Goroni said. although he
told of paying only 100000.
Orr told him. Goroni said, that Man
ningtOn received fee of So a case,
some of which went to Jess Smith to
whom he said he was introduced by
Orr as he was friend of Mr.. Daugh-
erty. ManningftOn had paid back about
$4,000 or $4,000. Goroni said he was
told, for failing to procure liquor with
drawals contracted for.
The division of the whisky fee of
SIS a case, according to Goroni, was 50
to Warrington, '$1 to the druggist, 81
to myself. 81 to the prohibition direc-
tor, 90 cents to lawyer named L 'Es-
perance. and the balance divided be.
tween Orr and Murphy"
A Daugherty Assistant
Harold L. Hart was identifie as the
prohibition director for New York then
in office in 1921, and he was one of
the defendants subsequently acquitted
with GorOni in conspiracy prosecutions.
l. temperance was identified as a friend
Of United States District Attorney
Hayward and now a special assistant
to Attorney General Daugherty in New
York.
Goroni said he entered the whisky
withdrawal affair when approached by
Orr after he, Goroni, had permit ap-
plication turned down by former Direc-
tor Hart. Orr told him, he said, that
Warrington and Jess Smith belonged to
the Columbus crowd" and had in
fluence at Washington "to get through
the permits.
Asked how much of the 5000. 900 he
said he had paid. was for liquor, Goroni
said:
just For Permits
NO liquor at ALL that was just for
the permits"
GOroni testified he acted for four or
five drug companies and obtained sig I
natures to their applications for with
drawal permits, which could be used
afterward by anyone to procure whisky
from warehouses.
Thomas b. Fielder. New York and
Georgia attorney, who now is under |
indictment with CASTOR r. Means, for
mer department of justice agent and
now assisting Senator Wheeler. also
was brought into the case. Goroni said
he had paid Fielder $1,000 under a
promise that he, Goroni. would not be
indicted. Fielder was recommended to
him, Goroni said. by William J. Flynn, |
former head of the secret service.
Seven thousand one hundred eases |
of Scotch whisky imported at Goroni's
order, for Legitimate medicinal pur-
pOses," he said, comprised another wet