Evening star., 1941-05-09
Jurors Probe
Charge Liquor
PriceFixing
Wholesalers and
Retailers Will Be
Called, Curron Says

A District grand jury investigation
into charges of conspiracy to fix re-
tail liquor prices here was ready to
be launched today by United States
Attorney Edward NJ Curran, fol-
lowing a months inquiry. The whole
liquor industry will be examined, the
prosecutor said, as both wholesalers
and retailers will be brought before
the grand jury.
Officials said today that the case
Is being presented to the grand jury
on the theory that conspiracy, in
violation of the Sherman Antitrust
Act, which prohibits illegal inter-
ference in trade and commerce, eX-
listed.
AS the aftermath of complaints of
alleged intimidation of retail liquor
dealers, Detective Sergt. Joseph w.
Shimon and Detective Alton S. Brad
ford of the Police Department, at
tached to the prosecutors office,
made the inquiry. Morris Stirman,
who has an Office in the Bond Build
ing and publishes retailers maga-
zine known as the Licensee, and
Israel Hofberg, retailer, of the 2200
block of Fourteenth street NV.
were questioned at the district at
torney's office yesterday, Mr.. Shimon
said.
Film Will Be Shown.
For purposes of Identification, 80
feet of film allegedly showing Mr..
Stirman's house in the 100 block
of Hobart street NV. on last Sum-
day will be shown to the grand
jury. depicting various persons leav-
ing and entering the premises. The
movies were taken by Detective
Bradford. The Government con-
tends a meeting was held at Mr..
Stirman's house, at which 1t was
planned to coerce retail liquor
dealer who failed to fall in line with
the groups program.
Mr.. Bradford said Mrs. Stirman
acted as lookout while the meeting
was in progress.
1t was reported today that when
Mr.. Stirman was taken into custody
yesterday by Detective Bradford, an
alleged outline of the plan purport-
edly in Mr. Stirman's handwriting,
was seized in briefcase.
Sergt. Shimon today set in motion
machinery designed to bring ap-
proXimately 300 interested in vari-
Gus phases of the liquor industry
here before the grand jury. A con-
ference with the Department of
Justice is scheduled to ascertain if
Attorney General Jackson desires to
participate in the inquiry. Usually
prosecutions under the Sherman
Act are conducted under the super
vision of Assistant Attorney Gen.
eral Thurman Arnold. Inasmuch
as charges of conspiracy in this case
are confined to the District of Co.
lumbia it is considered likely that
Mr.. Curran will conduct the inquiry.
Retail Group Accused.
United States Commissioner Need
ham c. Turnage was advised of the
case yesterday afternoon by Assist
ant United States Attorney Cecil r.
Heflin. According to Mr.. Shimon,
Mr.. Stirman solicits ads for his mag
azine from wholesalers and heads
. group of retailers, organized to fix
prices Most of the retailers are
members of the District Liquor Re-
tallerS' Association the detective de-
clared He charged that groups
have been organized on Seventh and
Fourteenth streets NV, in the
Southwest and on upper Fourteenth
street NV, and they got together
and fixed the prices of certain
liquors.
AS part of the alleged intimida-
ton, according to Mr.. Shimon, Mr..
Etirman told retailer that the re-
tailers now control the wholesalers
and that II the retailers decline to
join and fix prices, then the whole
salers would refuse to sell to them.
Mr.. Shimon said Mr.. Stirman's group
has been in existence for about six
months.
The detective said evidence of
price fixing had been uncovered and
certain retailers who have refused
70 join the group have been intimi-
dated
Warning to Dealer Reported.
Mr.. Stirman and Mr.. Hofberg
have warned an unidentified liquor
dealer, according to Mr.. Shimon,
that unless he joined the group to
fix prices he would "be taken
care Of"
Mr.. Shimon said Mr.. Stirman in
siSts prices have not been fixed, but
his group has organized to improve
conditions in the industry and in
sure that retailers will make living
and eliminate persons who unduly
cut prices to an uneconomic level.
Mr.. Shimon said Mr.. Stirmans wife
operates liquor store at Fourteenth
and Irving streets NV.