Evening star., 1933-12-09
SEES POLICE WORK
FOR LIQUOR BOARD
Choate Says Federal Control
Agency viii Supplement
States Efforts.
BY the Associated Press.

BY the Associated Press.
Joseph H. Choate, jr., director Of the
new Federal Alcohol Control Admins
tration, looks upon his organization as
policing agency to enforce liquor
regulations when the industry itself
fails or when control passes beyond the
powers of individual States.
The tall, sandy-haired director out
lined his beliefs in his FIRST press con-
ference
Some control Is clearly needed"
Choate said. Most Of 1t should be
exercised by the States, but the rest
of it must be by the Federal Govern
ment."
Later he said price control also should
rest largely on the States. He con-
tinued:
The F. A. c. A. expects the indus
tries (distilling, rectifying, importing,
wholesaling) to do their own house,
cleaning, to enforce the codes"
The industries, he amplified. may
control prices, control volume to pre-
vent overproduction or undersupply
and prevent unfair trade practices.
Expect Price Report.
Asked about charges that liquor
prices were too high, Choate said suf-
flcient information was lacking for
forming an opinion, but that retail
price Of $3.50 a pint "ofihand strikes
me as safe and fair" This figure has
been suggested by DR.. James M. Doran,
head of the Distilled Spirits Industrial
Institute.
A report ON liquor prices, the director
said, is zone of the first things we ex-
pect from the liquor code authority"
Complaints of favoritism In issuing
import permits, Choate said, are under
consideration.
Publication In Canadian newspapers
Of reports that smuggling OF liquor from
the United States into Canada might
begin. aroused the interest Of Treasury
officials yesterday.
Herbert CASTOR, assistant to Acting
Secretary Morgenthau, said that while
ceived to date, such activities were
easily conceivable" if the whisky price
here dropped below the cost OF Canadian
liquor, especially in view Of the STA
gallon tax prevailing in Canada
Should smuggling into Canada start
CASTOR said, Il am sure our agents
would cooperate just as closely with the
Canadian authorities as they did with
us during prohibition"
Import Permits Asked.
The Federal Alcohol Control Admin
istration announced meanwhile that ap-
plications for permits to import liquor
from foreign countries were far in ex-
cess of the average pre-war imports Of
the respective countries.
The administration said allotments to
individual importers were being made
as rapidly as possible. but that increases
in quotas would be granted only in the
event that the United States was given
trade understandings which would re-
open foreign markets for American
products.
Figures on quotas allotted to foreign
countries and the totals of applications
were not available, but permits for ap-
plicstion from France and Great
Britain were said to be equal to several
times the total quota for all nations,
which is approximately 100000 gall
Ions.
Great Britain is applying chiefly for
importations of Scotch whisky, while
the ma jority of requests for permits to
import French liquor are for wines and
champagnes.
Meanwhile, Canadian officials said
that until whisky prices in American
liquor stores fell far below their present
level, it was unlikely that Canada would
take any official steps to protect itself
against bootlegging from this side OF
the line.
They said there was no thought of
Department about the danger Of boot
leg shipments from this country into
the Dominion.
Liquor prices vary in the different
provinces In Canada, but good rye sells
there at an average price Of 50 to $3.50
q quart Scotch whisky varies in price
from S4 to IS quart. Present do
mestic prices are generally higher
than that.
Wine Code Hearing.
Secretary Wallace announced yester-
day that Q public hearing on q code
for the wine producing industry would
be held in Washington on December l3.
Two codes will be submitted. one
drawn up by the Wine Producers Asso-
ciation and the other by President
Roosevelt's Special Committee on the
Control Of Alcohol and Alcoholic Bev-
erages.
The wine producers code calls for a
code authority of IA members Of the
industry. OF these, 10 would be Sc
lected by California winners, two by
those Of New York and one each by
Ohio. Pennsylvania and Michigan. The
Presidential Committees code stipulates
that . code authority be selected on o
plan to be submitted by the industry.
Other provisions of the latter code
would limit the capacity Of the industry
to plants already in existence or under
construction. would fix prices under
control of the Federal Alcohol Control
Administration. and possibly set up
production control plan for grapes.
Under these provisions winners would
post with their code authority q list Of
prices and terms Of sale. and sales at
other prices or en- other terms would
constitute violations of the code. A
committee would be appointed to study
the problem Of prices paid to growers
and. If deemed necessary, TO invoke pro-
duction control.