Shortly thereafter the Appeals Court again overruled the same judge in another narcotics case and ordered a new trial for Clarence Butler on the grounds that Holtzoff’s “facial expressions” were prejudicial.
An official memorandum of the United States Treasury Department sets out facts as follows:
Since early in 1946, the Bureau has experienced repeated delay in obtaining prosecution of its cases in the District of Columbia. In numerous trials where out-of-town agents were witnesses the Bureau had to bear the expense of bringing them to Washington for testimony. Repeatedly, after the agents arrived, the hearings were continued. The Bureau could not stand this gaff and had to “stop narcotic enforcement in the District of Columbia.”
Dope cannot be manufactured locally. The Washington wholesalers must get their supplies from the international monopoly. The general practice in other cities is for the organization to deliver the wholesale lots to localities where they are to be consumed, but in the case of Washington the wholesale jobbers go to the distribution depots in other cities and pick up carload lots.
All narcotics in the United States are controlled at the top by a tight ring of evil men who, in turn, issue state and territorial rights to middlemen. Washington merchants are ordered to make their purchases in New York, Philadelphia and Baltimore, but mainly in New York.
Marijuana is brought up directly from Mexico, but much inferior quality reefer seed is planted on farms between Washington and Baltimore and in Virginia.
The local dope set-up is largely controlled by Negroes, though Chinese also are active in the trade and have become more so since the Communists took over China. The two tongs frequently import their own. At this writing Red China has 500 tons of opium for sale abroad. This is equal to the world requirements for medical and scientific needs for more than a year. Chiang Kai-shek prohibited the production in China in 1934. The Communists have revived Jehol and Manchurian opium cultivation, and are reopening Tientsin dens. The tongs have not been adhering of late to the agreement which limited them to noncompetitive sales. Both are selling pin yen (opium) and bok for (heroin). Police believe the recent but short-lived tong wars on the West Coast were attributable to breaches of the basic compromise, plus efforts of Chinese Communists to take over the tong dope distribution machinery.
Occasionally, when sources of supply are temporarily cut off, or when the Italians are able to offer a more favorable price, the Chinese Syndicates send a man to buy directly from the Mafia. This dope is stored in a warehouse near 108th Street and 2nd Avenue, New York City, in Marcantonio’s bailiwick.
Another difficulty in narcotics enforcement, not even whispered about in Washington, is the leakage from diplomatic sources. It is politic for the Bureau to deny this is so, because nothing can be done about it. But huge amounts of concentrated dope come in envoys’ sealed pouches. There is, as everyone in Washington knows, a lively racket in the diplomatic corps in black market money. No easier method of acquiring dollars is possible than through sale of dope. Some of this contraband is used by members of the embassy staffs, themselves. In some Near Eastern and Oriental countries, a daily intake of narcotics is considered as normal as our use of coffee and tobacco. Many Latin Americans are slaves to marijuana, especially in the eating form, not otherwise available in the States. Some of this, which doesn’t find its way into the channels of trade, is presented by the diplomats to their American friends.