Evening star., 1946-01-20
Hearing Slated,
Tomorrow on
Liquor Licenses
Businessmen Oppose
Current Limit;
Dealers Favor Plan

The current limit of 300 on the
number of package liquor store Ii
censes in the District goes under
fire at 10 am. tomorrow before the
Alcoholic Beverage Control Board.
Arguing for unlimited issuance of
Class A licenses will be the Fedora
ton of Businessmen's Associations,
which insists liquor dealers enjoy
a monopoly apparent in no other
business. The liquor dealers, rep
resented by two associations, will
present statistics in an effort to re-
flute this contention.
Adding rebuttal strength for each
side will be citizens associations,
church groups-opposed to more
liquor stores-and some citizens and
potential dealers hopeful of Great
ing more liquor outlets in the Dis
trict.
1888 Stores Now Operating.
Actually, there are 3S8 packaged
liquor stores operating at this time.
That is the number remaining from
fhe 40l operating in 1886 when the
Commissioners ordered the restric-
ton with the provision that no new
licenses would be issued until the
number of stores fell below the 300
mark
Tomorrow's fight will find the
bpsinessmen's federation divided
against itself, since the Washing
ton Retail Liquor Dealers Associa-
ton and the District of Columbia
Liquor Dealers Association, leading
protagonists of the license limita-
zion law, also are members of the
federation.
But the majority of the fedora
tion's $500 businessmen are op-
posed to measure which acts as a
monopoly for one graup and is not
shared by the merchants in gen.
eral, said Louis F. Frick, fedora
ton secretary.
Creates False Valuation.
''They feel the restriction creates
a false valuation on the liquor bus
ineSs, Mr.. Frick said. ut makes
it possible for a dealer to sell his
stock and fixtures worth $4,000
for $4,000 or $60O00."
Mr.. Prick said he knew of such
sales and he deplored the fact that
the ceiling on $T50-a-year licenses
inflated valuation of the business.
He thought a new liquor dealer
sheuld be able to set up business
next to competitor in a land of
free enterprise and supposedly un-
limited opportunity.
What else the federation thinks
about the proposal will be said at
the hearing by Alex Berlin, treas
urer, and Nathan Goodwin, a direc-
tor.
vicious" Competition Feared.
One of the continued limitation
proponents will be John L. Laskey
counsel for the 40 Washington Retail
Liquor Dealers Association members.
Denying the dealers were mott
vated by selfish interests, Mr.. Laskey
said removal of restrictions would
cause vicious competitive condi-
tions" which would tax the policing
activities of the ABC.
New dealers probably would be
hard put financially after a mini
mum outlay of $4,000 to keep their
heads above water, with the result
that such added devices as slot
machines and other Objectionable
practices might be introduced, he
said.
More dealers would not increase
the Districts liquor supply, since the
distillers will not be able to produce
above the present quotas for two or
three years, Mr.. Laskey added.
d. C. Quota Above Average.
Besides, he continued, the dealer
associations can cite figures proving
Washington has more liquor stores
per capita than any city of compar-
able size.
AS to the monopoly charge, Mr.
Laskey pointed out that the liquor
business cannot be compared, with
others since it is hobbled by re-
strictions and is controlled from
top to bottom"
The talk that veterans wishing to
open stores are baked by the IL
cense limitation is not sound, Mr.
Laskey added. He said few vet
Grams have the outlay of cash
needed to set up store. Many
veterans, now employed in other
liquor stores, might lose their jobs
If additional stores caused stocks
to be distributed SO thinly some
owners would be forced to retrench.
Another proposal to repeal the
regulation requiring one-year resi-
dence in the District before taking
out liquor license also will be aired