The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1935-07-15
MNUTT LAYS
DOWN LAW TO
LIQUOR TRADE
It's War From Now On,
Says Governor, Defending
State Board.

Gov. Paul V. McNutt has thrown
down the gauntlet TO the retail
Iauor industry in Indiana.
It's war from here on in, the
Governor said last night IN his
weekly radio address, in which ne
came TO the defense Of the state
Alcoholic Beverage Commission
The commission has been severely
criticized for fixing Saturday night
as the deadline for arrests Of IN
licensed retail liquor dealers. The
ruling had drawn fire from many
dealers who charged the commits
sion was responsible for delay in
issuing licenses.
Admits Necessary Delay
Gov. McNutt admitted there had
been necessary delay IN getting the
state liquor setup started, but he
said the ABC had been lenient with
retail dealers because Of this delay.
However. I am informed by the
commission" he declared, that SUI
fcient permits have been granted to
satisfy the no. NAL demand for liquor
In those communities where the sale
OF liquor by the drink is legal"
The Governor asserted that senti-
ment in Indiana is overwhelmingly
opposed TO return Of the open sa-
loon. but at the same time was
equally eager for repeal of prOhibi-
ton The Indiana law is an at
tempt to reconcile those two atti-
tudee, he said
Home Rule Explained
Dwelling on the home rule" fea-
lures of the state liquor control act,
the Governor declared:
That these communities have
taken advantage Of this feature of
the law is borne out by the figures
which show that out of 459 towns in
Indiana under the 5OOO-population
mark, only 65 have adopted city
ordinances which permit the sale
OF liquor by the drink.
There are only 81 cities and
towns IN Indiana of more than 5000
population. and this means that in
only 126 out of a total of $40 cities
and towns in the state is the sala
of liquor by the drink legal. This
regard for the opinion Of the small
er communities by the General As
sembly Of 1885 should, believe, win
their commentator.
7 am informed that at the pres
ent time the number of beer per-
mitS in force exceeds the number
in effect at the same time last year.
Up until Saturday the figures show
that 2124 new and extension beer
permits have been issued under the
new law, which, added to those still
in force under the old law, will
bring the beer permits far in excess
of the 1000 mark.
269 Licenses Issued
In these 126 cities and towns
where the sale Of hard liquor is
legal, a total of 269 retail liquor
licenses have been issued, with an
additional 275 permits as liquor
dealers to drug stores and package
stores.
I am informed by the members
of the commission that approx
mateiy all applications regularly be-
fore the commission now have either
been acted upon by issuance or re-
lection. There have been numerous
instances, I am informed, where ap-
plicatiOns have been filed irregularly
and have not compiled with the
regulations of the commission. These
applications, therefore have, through
no fault of the commission, been
delayed of issuance.
Although the new liquor law is
administered for control rather than
for revenue, sufficient revenues will
be realized to materially aid the
communities where licenses have
been issued
Promote Respect for Law
AS I have pointed out. I believe
the proper policy for control of the
alcoholic beverage industry should
Cd promote respect for the law. %
protect persons and proerty. 30 pre-
vent return of the open saloon and
t4 foster true temperance among
the people of the state.
on the revenue side of the uues-
ton. l believe. comes a mutual re-
SpOnsibility of enforcement of the
law between the state and the local
law enforcement officials. While the
state receives the revenue from the
tax which goes into the general fund
the local communities receive the
entire revenue from the sale of per-
mltS. One-third of this revenue goes
into the school funds of the various
local taxing units and two-thirds
goes into the general fund of the
city or town where the permittee
operates.
And 1t is for this reason I say a
mutual responsibility rests in en-
forcement. Whenever any person is
operating in a community without
legal permit. he is depriving the
local school and general fund of
that much revenue. as well as de-
priving the state. probably, in the
sale of untaXed goods.
"SnOoping" Is Banned
L am firmly convinced that with
the proper cooperation of local law
enforcement agencies, and we have
had fine cooperation from these
agencies. with proper respect for the
law by citizens generally. which Will
only come with proper enforcement.
the Indiana law will prove a model
law for regulation of the LIQUOR
traffic.
The roadhouSe and the rural
night club have been abolished and
It will be the duty of the enforce
ment division of the Alcoholic Bev-
erage Commission to see they stay
abolished. Public opinion is one in
this respect.
Enforcement of the law will be
Cd from the standpoint of social
control. % from the standpoint of
revenue. The excise administrator
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