Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-03-12
j. S. AGENTS SEEK
RUM RING LEADERS
Jones Act Cuts New York
Sales, Boosts Prices, Closes
Speakeasies.

Special Dispatch to The Star.
NEW YORK, March 12.-Sudden rises
in the bootleg prices of liquor and a
decrease in the activities of its dis
pensers have been in progress in New
York since the signing Of the Jones act
by President Coolidge on March 2, 1t
was learned yesterday from persons In
close touch with liquor purveyors and
from Government agencies.
The wholesale price of whisky has
advanced sharply. the price increase
ranging from $40 to $40 a case. Many
small speakeasies are going out of busi-
ness. Four night clubs have stopped
selling liquor. Deliveries to speakeasies
have been curtailed to the extent that
the supply is cratic. The cost of grain
alcohol has doubled, now being around
S14 gallon wholesale. The effect of
the Jones act was summed up in that
manner by a lawyer at 165 Broadway.
He has made close survey of the situ-
alton In the last week.
News Delights Campbell.
Maurice Campbell, Federal prohibit
ton administrator, said the entire New
York bootleg system was changing; that
the manufacturers were intrenching
and that the delivery methods were be-
Ing changed to evade the severe penal
ties of the Jones act.
Reports from my agents show that
many SpeakeaSies are going out of busi-
ness" he said THE bootleggers do not
like the idea of going to Jail for five
years and paying $4,000 fine. Fear
OF long Jail term has stirred the men
in charge of the rings. They find it
difficult to hire men who will take the
blame for them. We are concentrating
entirely on the source of supply. The
Jones act strikes at the leaders" 4
1t was learned from Government
agent that the Federal forces would not
crusade against the pocket flask carrier,
those who manufacture malt liquors and
wine for home consumption and restau-
rants where liquor is served quietly. He
said the Federal enforcement men had
orders to get" the manufacturers and
the trnasporters.
Racketeers' Lawyer Analyses Results.
A lawyer who has been prominent in
defense of violators of the Volstead act
said that the Jones act would slow up
justice, strike directly at the criminal
element in the bootleg business. and
make it harder to get convictions.
New York juries are not going to
convict in minor cases because of the
drastic penalties that could be given
to the defendants" he said. 1.-THE ex-
ception to this will be the criminal
element In the bootleg business. When
one of the guerillas, so-caIled, comes to
trial he probably will be hit hard.
Il think the moral effect of the
Jones act will be greater than the law
itself. Many otherwise respectable men
In the bootleg racket probably will get
out now, since their operations have
become felonieS. Heretofore it did net
mean much il they were caught. Thev
were prosecuted for misdemeanor, and
no one worried much about it, I know
of several such men who have indicated
that they are going to sell out as quick
ly as possible and get into legitimate
business.
Should this go far, the entire liquor
business would eventually be in the
hands of the criminal element, which
has not been the case in the past
New Law Clogs U. S. Docket.
u. S. S. Grant. assistant United States
attorney. said that under ruling re-
ceived from Attorney General William
d. Mitchell. all violations of the pro-
hibition law arrested on March 2 would
be prosecuted under the Jones act. He
said this would include those arrested
early on that day. before President
Coolidge signed the bill. Eight arrests
were made here on March 2.
Francis A. ONeill. United States
commissioner cold that v,,oy, I,od
been arraigned for violation of the pro-
hibition law since the Jones act took
effect. Each of these cases will be taken
before the grand jury for indictments.
The court calendar for trial of these
cases had not been arranged. Mr. Grant
said. He indicated that it would be
long time before they went to trial, due
to the many other prohibition cases
which are now scheduled.