Evening star., 1944-01-07
U. 5. Subpoenas
Records Of
All National Firms
Brought Under Scope
Of Antitrust Probe

Moving forward in its anti
trust investigation of the liquor
industry, the Justice Department
today issued subpoenas in Dis
trict Court requiring IS distillers,
winners, professors and whole
salers to produce their books and
records for examination by a
grand jury. The subpoenas are
returnable by January 81.
Included in the IS are a number
from Maryland, mostly from Balti-
more. Attorney General Biddle, in
announcing issuance of the sub
poenas, said the purpose of the in
vestigation was ito examine all
phases of the industry to determine
what, if any, illegal, monopolistic
practices were being employed.
The action today followed issu-
ance OF similar subpoenas Decem-
Der Is against the So-called big
four of the liquor industry Schen-
ley Distillers Corp, Hiram Walker e.
Sons, Inc; National Distillers
Products Corp, and Joseph E. Sea-
gram & Sons, Inc. These SUBJ
poenas were returnable January s.
Todays action brings within the
scope OF the Justice Departments
antitrust inquiry substantially every
remaining member of the industry
operating on a national scale.
To Probe Fate of Stocks.
Assistant Attorney General Wen
dell Berge, in charge of the anti
trust division. said the grand Jury
would be asked to determine wheth-
er large distillers have bought up the
stocks or output of smaller competi-
tors; all circumstances surrounding
the introduction of new brand
names on the market; the withhold
Ing OF supplies, and efforts to con-
troll prices and distribution outlets.
The ramifications of the industry
are so complex" Mr.. Berge said.
that 1t is impossible to get an ac-
curate picture of the interlocking
oWnershipS and interests by study
ing only a few of the leading COM
panles. There is a substantial in
terest involved in the operations of
this industry, and We have decided
to make our investigation as COM
plete and as detailed as possible.
! AT the same time, it should be
borne in mind that the issuance of
these subpoenas does not necessarily
imply that any of the firms SUBJ
poenaed are guilty Of any violation
OF the law. This is the usual legal
process followed in such investiea-
tlons and carries no implication OF
Wrong-doing on the part of the per-
son or firm subpoenaed."
Baltimore Firms Listed.
The Baltimore firms called on for
their records include the Gibson Dis
tilling Co. the Greenbrier Distilling
Co, Oldetyme Distillers. Inc. Hunter
Dlstllleries Co., Gallagher g. Burton.
Inc, Paul Jones &, Co., Inc, Month
cello Dlstillery Co., the Melvale Dis
tillery Co., and Mt. Vernon Distillery
Co.
Other Maryland firms on the list
include Ca. stairs Bros. Distilling Co.,
Inc, Relay. Md, and the Frank L.,
Wight Distilling Co., Loreley, Md.
/ The industry has been under in
vestlgation for about two months.
On November 18 Assistant Attorney
General Berge disclosed the depart
ment had begun an investigation
and had assigned special men with
instructions to push it." At that
time, he said the inquiry had re-
suited in strong suspicion" of mo-
nopolistic practices in the industry
and commented that 1T looks like
a fertile field
Mr.. Berge said then that the
Justice Department was in full
sympathy with the Senate investi-
cation headed by Chairman Van
Nuys of a special judiciary sub
committee.