The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1929-10-17
armed AGENTS
Smash HUGE
RUM empire
Outlaw Radio Station Is
'Tipoff' for Raids on
Seaboard.
ARREST MORE THAN $50
Banks Sought as BaCkerS
of $1,0OO,0O0 Liquor
Syndicate.
ARREST MORE THAN $50
BIZ United Press

BH United Press
NEW YORK, Oct. 1.-THE fed
eral government started today on
the trail of banking institutions
which, authorities believe, supported
a $1,OO0000 rum ring organized like
gigantic business corporation.
Assistant United States Attorney
Robert B. Watts revealed today that
the liquor Syndicate-smashed by
a veritable army of raiders along
the Jersey and New York coasts
Wednesday night-not only main
tained fleets, trucks, garages, an
arsenal and a secret radio system,
but also had financial backing from
at least two prominent Jersey bank
ing institutions.
The government agents also were
working on q theory that other
banks, probably in New York City,
helped finance q liquor smuggling
business, Stupendous in its ramiflca-
tions. The bank trail was taken
up this morning after government
agents had pried into a wealth of
damaging documents seized in
Wednesdays series Of dramatic
raids. These raids eliminated in
q swoop upon a veritable fortress at
Atlantic Highlands, N. j., from
which a secret radio directed move
ments of rum-laden craft upon the
Atlantic and in Long Island sound.
Rum Ship Sought
While investigators followed the
bank trail. government craft
searched Long Island sound for q
mysterious rum ship to which fake
code orders to dock had been sent by
the raiders after they took control of
the Atlantic Highlands fortress and
seized it's unlicensed radio set.
After checking up on reports from
the multiple raiding parties which
he directed from his Office in New
ark, William J. Calhoun, New Jersey
prohibition administrator, an
nounced that more Alan one hun
dred fifty men werG arrested in the
coup.
James Murphy listed as one of
the board of directors of the ring,
which met in a regular business Of
fee in uptown New York, has been
located in Montreal and is on his
way back here to give himself up,
Watts announced.
Murphy was sought throughout
the city Wednesday night, following
the raids. He is believed TO have
been traffic manager" for the
elaborate organization, co-ordinat-
ing its activities in Canada and Ber-
muda and directing operations of the
rings boats at sea and the fleets Of
speedboats and trucks which landed
and distributed wet cargoes.
Many Were Employed
Although only thirty-four men
were named in the indictment on
which the raids were made, Watts
said at least 100 and perhaps $50
more men were in the employ Of
the ring. At least thirty were re-
uuired to man the sea-going craft
and the truckage system used forty
more. Probably scores more en-
ployed on the speedboats, at the
roadhouses to which the liquor was
brought and as guards.
Watts also expressed belief that
the smashed ring was merger Of
several large combinations which
formerly operated independently.
Alexander P. MacPhee, federal pro-
hibition administrator for the Phila-
delphia district, said he doubted
Mamie Kessler, reputed leader Of
the smashed ring, was its real
brains" Kessler, who already has
served term in Atlanta prison for
liquor conspiracy, was among those
captured.