The people's voice. [volume] (Helena, Mont.) 1939-1969, 1949-03-11

the Mexican LIQUOR, that you didn'
think we should buy that liquor?
A. Yes, sir.
@. The reason for that was be
cause it was such low grade liquor!
A. 1t was not salable. Tequila
is probably drink if it is rightly
mixed, but the demand for tequila
after the first few months went way
down.
Mr.. McKenna: And it stayed on
your shelves?
A. Yes.
Mr.. McKenna: And the Mexican
rum did the same thing?
A. That Mexican rum stayed in
the warehouse because it had so
much sediment in the bottom it was
not salable."
The state thus entered upon the
war rationing period well fortified
with verminous, undrinkable liquor,
but the credit of the state was
stretched to the breaking point.
There was no money left which could
be invested in saleable liquors. Vari
Gus patriotic citizens at once came
to the rescue and there ensued the
strange situation whereby some doz-
ems of associations and persons ord
cred and paid for their own liquor,
stored it in the state warehouse and,
in violation of the law and regula-
tons of the board acted as whole
salers of liquor.
Under the emphatic provisions of
c,fo +r1fn LA lNtt+
liquor wholesaler in the state of
Montana-the Liquor Control Board.
The board, however, suspended the
operation of this statute. By regu-
lation No. 20 it recognized and tacit-
Ivy approved the issuance of Federal
Stamps or basic permits
in Montana to licensees under the
Montana Retail Liquor Act or to
Associations of licensees" The At
borney General Opinion 1877, Vol.
FL, P. 275) advised the Governor as
follows:
''It is therefore my opinion Regu-
alton No. 25 is unnecessary for the |
purpose of the administration of the |
Liquor Control Act or for carrying |
,ut the provisions of the act or the |
orderly and efficient administration !
hereof. 1t is ineffective for any
purpose. 1t was without the auth
,rity of the board to make and is !
yoid and of no effect"
The results which followed regu-
alton No. rs are in part disclosed
~ various exhibits which are made
'art of this record. Exhibit Is dis
loses the purchase by the board of
1000 cases of "Jack Rose" whisky
p from the Treasure State Asso-
iates whose office was at Room Is,
'ittsburg block, Helena, Montana.
n short, these Helena associates,
of Gene Robertson and
theirs, wholesaled liquor directly to
he state of Montana. Exhibit 30 Il
iscloses to some extent the activi-
les of these illegal wholesalers.
Thousands of cases of whiskey
'ere purchased and distributed
the state by illegal hold
RS of federal basic permits. Among {
nose most active in the wholesale ,
-ade were L. Sasich, Billings; Grown
ar, Butte; Thomas H. Alley, Helena
[aurice Egan and Egan & Co., Hell I
ma; the Mint, Helena, and Oxford {
ar, Missoula. {
Tom Alley and others were in '
icted under federal laws in connec- r
on with their activities as whole !
llers but all went scot free so far t
the state of Montana was con- G
,rned. They were aided and i
oetted in their illegal actions by the q
Iuor control board and it's admins t
ators. t
1t seems to this committee that
hen such men as HI. C. Brinck, a S
ot machine operator and black d
tchel man; Tom Alley, an ex-wrest- b
r, the Egans, operators of the Mint a
Helena, a gambling institution; T
lillian Daniels, trucker who lost
much liquor enroute and who re- II
sed to testify because he might in S
inmate himself, and who employed Ii
is Wright Brown as a driver, whose r,
esent address is Montana state II
ison, Deer Lodge, Mont, and Eddie S;
ewman, an ex-convict, were able W
obtain great amounts of liquor to B
)ck the liquor dealers of the state, o.