u n ic a te d to the Council C.242 M.1 6 7 .1939• Members of the League). (0.C/A.R.I938/IO) . (Issued in English only).

Geneva, August 86th-, 1939* LEAGUE OF NATIONS.

TRAFFIC IN OPIUM AND OTHER DANGEROUS DRUGS.

ANNUAL REPORTS BY GOVERNMENTS FOR I9 3 8 .

UNITED STATES OF M E R I C A.

Note by the Secretary-General:

In accordance with Article 21 of the Conven­ or I 9 3 I for limiting the Manufacture and regulating 'stribution of Narcotic Drugs, the Secretary- 1 h a s the honour to communicate herewith to the s to the Convention the above-mentioned report, port is also communicated to other States and Advisory Committee on Traffic in Opium and Dangerous Drugs.

(For the form of annual reports, see document 0 .C .l6 0 0 ). TRAFFIC IN OPIUM AND OTHER DANGEROUS DRUGS

FOR THE

YEAR ENDED DECEMBER 31 1938

U. S. TREASURY DEPARTMENT BUREAU OF NARCOTICS

WASHINGTON. D . C. U. S. TREASURY DEPARTMENT BUREAU OF NARCOTICS

TRAFFIC IN OPIUM AND OTHER DANGEROUS DRUGS

FOR THE

YEAR ENDED DECEMBER 31, 1938

REPORT BY THE GOVERNMENT OF THE UNITED STATES OF AMERICA

UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON : 1939

*c ^ the Superintendent of Document*. Washington, D. C. Price 20 cents TABLE OF CONTENTS

A. GENERAL P ag e I. New legislation______1 New administrative regulations and orders______1 Uniform Narcotic Drug Act______1 II. Administration______2 Organization______2 Reduction in the prevalence of drug addiction______2 Studies on drug addiction______5 Relationship between narcotic drug addiction and crime 6 III. Control of international trade______8 IV. International cooperation______9 V. Illicit traffic______10 Raw opium______10' Prepared opium______11; Morphine______12' Heroin______13 Codeine______14 Marihuana (Cannabis sativa L.)______14 Developments in the trend of the traffic______14 Seizures and violations______15 Drug-law violators in Federal prisons______16 Examples of seizures______16 Atlantic Coast area______17 North Pacific Coast area______26 South Pacific Coast area______27 North Central area______30 South Central area______32 Panama Canal Zone______37 Hawaiian Islands______38 Illicit traffic by post, express, railway, and air______40 Adulteration______45 Illicit traffic in marihuana (Cannabis sativa L.)______45 VI. Other information______49 Educational work______49 Courts______53 Recidivism in narcotic law violators______54 Number of narcotic drug law violations compared with other crimes______55 Deportation of aliens______55 Automobiles seized______55 Thefts______56 Lost order forms______57 Diversions______57 State boards______57

h i CONTENTS

B. RAW MATERIALS

Raw opium______58 Coca leaf______58 Marihuana (Cannabis sativa L., Indian Hemp)______58 Research work on marihuana______60 C. MANUFACTURED DRUGS

Internal control of manufactured drugs______62 Licenses______65 Manufacture______65 Trade and distribution______66 Consumption______67 D. OTHER QUESTIONS

Chapter IV of The Hague Opium Convention of 1912______68 Prepared opium______68 Other drugs______69 Excerpts of remarks made by the American Representative (Stuart J. Fuller) at the Twenty-Third Session of the Opium Advisory Committee of the League of Nations at Geneva, June 13,1938, concerning the narcotics situation in the Far East______69

APPENDIX

Statistical tables______76 LETTER OF TRANSMITTAL

T r e a s u r y D e p a r t m e n t , Bureau of Narcotics, Washington, April 15, 1939. The Honorable the Secretary of the Treasury. Sib: I have the honor to transmit herewith the report of the Govern­ ment of the United States on the Traffic in Opium and Other Danger­ ous Drugs, for the calendar year ended December 31, 1938, for dis­ tribution through the Secretary of State to the nations signatory to the International Drug Conventions of 1912 and 1931. Copy of this report will be transmitted to Congress in accordance with the act of June 14, 1930. Respectfully, H. J. Anslinger, Commissioner of Narcotics. REPORT BY THE GOVERNMENT OF THE UNITED STATES OF AMERICA FOR THE CALENDAR YEAR ENDED DECEMBER 31, 1938, ON THE TRAFFIC IN OPIUM AND OTHER DANGEROUS DRUGS

A. GENERAL

The usual Federal law, enacted annually, making an appropriation for narcotic enforcement was approved M arch 28, 1938, and allotted the sum of $1,267,600 for enforcement of the Federal narcotic drug laws for the fiscal year ending June 30, 1939. I, New Legislation. The act of Congress approved M arch 28, 1938, provided that on and after July 1, 1938, the United States Narcotic Farm, Fort Worth, Tex., shall be known as the United States Public Health Service Hospital, of Fort W orth, Tex. N e w 7 Administrative Regulations and Orders

During the calendar year 1938, the regulations under the Narcotic Drugs Import and Export Act, the act relating to the tax on opium manufactured for smoking purposes, the act creating the Bureau of Narcotics, and the Harrison narcotic law, as amended, were revised. These amended regulations are identified as Narcotic Regulations Nos. 2, 3, 4, and 5, respectively, the revisions being necessary to bring these regulations up to date. On December 16, 1938, Treasury Decision No. 29 was approved, amending article 82 of Narcotic Regulations No. 5 by providing that order forms calling for narcotic drugs may be partially filled at the time of receipt and the balance called for on such order forms fur­ nished by additional shipments within 60 days from the date of the order forms.

U n if o r m N a r c o t ic D r u g A ct

During the year Congress adopted an act to regulate the manu­ facture, dispensing, selling, and possession of narcotic drugs in the District of Columbia, identified as the Uniform Narcotic Drug Act drafted and approved by the National Conference of Commissioners on Lniform State Laws at its annual conference in October 1932, and mention of which has been made in reports for prior years. This proposed uniform law is presented to the legislative bodies of the 2 TRAFFIC IN OPIUM

various States as they convene, and had prior to 1938 been adopted in 39 States and in the Territories of Hawaii and Puerto Rico. The act proves very valuable in coordinating enforcement ma­ chinery through mandatory cooperation of State and Federal officers and it is therefore hoped that the following States will pass it at the forthcoming sessions of their legislatures:

STATES WHICH HAVE NOT PASSED THE UNIFORM NARCOTIC DRUG ACT OR OTHER ADEQUATE NARCOTIC LEGISLATION

Kansas NewT Hampshire North Dakota Maine Washington Vermont Massachusetts The States of California and Pennsylvania, which have adequate narcotic legislation other than the Uniform Narcotic Drug Act, are commended for the work they have done during the year on the narcotic problem. Texas, New York, Florida, Maryland, and Ohio also deserve credit for the excellent manner in which they are enforcing their narcotic laws, particularly those relating to marihuana. II. Administration.

O rganization

No changes wTere made during the year in the administrative ar­ rangements for the implementation of the international conventions, the Bureau of Narcotics, under the supervision of the Commissioner of Narcotics, being charged with these responsibilities. The organ­ ization of the Bureau was described in detail in the 1931 report on Traffic in Opium and Other Dangerous Drugs, and modifications thereof have been set out in the reports submitted from year to year.

Reduction in the Prevalence of Drug Addiction

(To opium and its derivatives and the coca leaf and its derivatives)

The control of drug addiction in the United States continues to be satisfactory. A survey on the prevalence of drug addiction partially reported in the 1937 issue of Traffic in Opium and Other Dangerous Drugs and completed during 1938, confirms the general belief that drug addiction has steadily decreased since the enactment and enforce­ ment of the Harrison narcotic law. The active enforcement of domestic laws governing the sale and use of drugs, and the applica­ tion of the 1931 International Convention to Limit the Manufacture of Narcotic Drugs to medical needs, have been of tremendous value in bringing about this reduction. The statistics are very encouraging and demonstrate the wisdom and efficacy of the present Government plan for dealing with the drug traffic and addiction incident thereto. TRAFFIC IN OPIUM 3

The most accurate survey previously made was the one in 1924 which indicated that there were at that time 10 addicts supplied by the illicit traffic in every 10,000 of the general population. From the present survey it is evident that addiction has decreased to the extent that there are now less than 2 nonmedical drug addicts known to the authorities in every 10,000 of the population. Data for 15 States, representing 25 percent of the area and 27 per­ cent of the population of the continental United States, compiled after thorough investigation of every known source of information including a check of all names of addicts appearing in violation reports received during the past 10 years, is shown belowT:

State Population Addicts Addicts per 10,000

1.741.000 251 1. 44 5,824, 345 593 1.02 261,000 62 2.38 627.000 231 3. 68 3.492.000 501 1.43 3,085, 000 • 286 .93 2.920.000 584 2.00 3,474, 000 206 . 59 4, 830, 000 821 1. 67 2.652.000 323 1. 22 2,023, 000 2. 26 2, 548,000 787 3.09 519.000 27 .52 101.000 102 10.09 1.658.000 250 1. 51 Total______35,755,345 5,482 1.53

The ratio of 1.53 addicts per 10,000 of the general population dis­ closed in these 15 areas is believed to be fairly representative of that obtaining throughout the country as a whole. In commenting on the abatement of the opium evil in the United States, the medical director of the United States Public Health Service Hospital at Lexington, Ky., for the treatment of drug addic­ tion, stated on June 14, 1938: Many addicts who present themselves for treatment at the present time have weak habits or are already partly cured. This condition has prevailed for a number of years and is growing more evident as time goes on because it is becom­ ing increasingly difficult to secure undiluted drugs illegally and physicians are growing more and more reluctant to furnish narcotics to addicts. As a result, he added, we find that only about 20 percent of addicts have sufficiently strong habits to justify their inclusion in a research program designed to test the efficacy of cures. Even the most severely addicted patients can be successfully treated with proper attention, he added, and the narcotic farm already has shown that a great deal can be done toward stamping out the addiction evil. 4 TRAFFIC IN OPIUM

He said the usual treatment consisted of withdrawal of the drug within 14 days, warm baths, sedatives when necessary, supplementary measures as indicated, and careful medical supervision. A survey made by the United States Public Health Service of patients discharged from the Lexington Hospital indicates that 36 months after the date of discharge 34 percent have not relapsed to narcotics. This result is considered good, in view of the psycho­ pathic nature of so many patients treated in these institutions. This record of successful cures also discredits the old theories, based on the belief that there is no cure and which seek to substitute for present scientific methods of detention and treatment of addicts, the establishment of so-called narcotic drug clinics, or drug supply depots, which would simply supply the addict with his drug for an indefinite period, with no thought of curing him. Such clinics to supply drugs to nonmedical addicts could not, of course, be legally established for the reason that they are contrary not only to the pur­ pose of the narcotic laws of the 48 States, and of the Federal Govern­ ment, but also to the international drug treaties to which the United States is a party. The following statement made recently to a representative of the Bureau of Narcotics by a 35-year-old ex-drug addict is indicative of the probable effect of the establishment of drug supply clinics upon the spread of drug addiction as measured by the reaction of an average drug addict: After using the stuff for five years and realizing how rapidly our health and morals were slipping, my wife and I decided to try to break away from the fiendish craving, he said. We decided to go where it is harder to get narcotic drugs. We got part wav when she weakened. She tore up our railroad tickets and persuaded me to go back to * * * with her where we knew peddlers and a doctor or two where we could get it. A few weeks later, I started south again. I landed in * * * and there I had the most terrible battle a human being could endure. For nine days I couldn’t sleep and couldn’t eat. For weeks, so it seemed to me, I couldn’t drink water. I spent three months in torture and then I began to snap out of it slowly. The craving wasn’t so persistent. I gained weight and I was able to walk and take light exercise. But, he said, lie didn’t want to come back and meet his old friends until he was sure he was completely cured. People who say an addict cannot be cured are right, he said. They can’t be cured. They must cure themselves. Unless they have the will to quit, there is no power on earth to make them stop. TRAFFIC IN OPIUM 5

For that reason, I don’t believe in clinics where narcotics are dispensed to addicts at reasonable prices. It sounds humane and all o f that, but I f T h e r e W e r e C l in ic s , I ’d P r o b a b l y B e o n t h e S t u f f T o d a y a n d I ’d P r o b a b l y S t a y o n i t All M y L i f e . It was the torture I suffered when I couldn’t get it that made me quit. S t u d ie s o n D r u g A d d ic t io n

XONHABIT-FORMING DRUG TO REPLACE OPIUM CONTINUES TO BE OBJECT OF RESEARCH BY THE UNITED STATES

During the year 1938 the United States Public Health Service released Supplement No. 138, covering the subject of scientific research which is being conducted in this country to develop a sub­ stitute for opium and its derivatives that would provide the same medicinal aid without the habit-forming properties. The purpose of these studies is to find, if possible, some means of reducing or cor­ recting the evils of drug addiction. As stated in the introduction, the investigations summarized in this supplement form a part of the research program begun in 1929 under the auspices of the Committee on Drug Addiction of the National Research Council. This program has as its primary object the synthesis of drugs having little or no tendency to cause addiction, which may serve to replace morphine, heroin, and other dangerous narcotics in their therapeutic applications. The results so far obtained in this systematic search for an “ideal narcotic” are scattered through a. long series of papers in the chemical, pharmacological, and clinical journals, as well as in unpublished reports to the National Research Council, and the present edition is intended to coordinate and review the accumulated data on the problem. The selection of compounds for clinical trial and addiction studies has been made on the basis of pharmacological experiments covering about 125 morphine derivatives, most of which were prepared for the first time in connection with this work. The studies reported have been conducted by a committee of the Division of Medical Sciences of the National Research Council, and represent a part of the unification of effort by a number of agencies having responsibility for the solution of the problem of drug addiction. The report itself is 143 pages in length and is divided into three sec­ tions, the supplement thereof containing a vast amount of hitherto uncompiled data. The funds for the chemical studies at the University of Virginia and the pharmacological studies at the University of Michigan are pro­ vided by the Rockefeller Foundation. The clinical work has been done under the guidance and direction of the Division of Mental Hygiene of the United States Public Health Service whose functions, as defined in law, include the administration of two Federal institutions for the confinement and treatment of 6 TRAFFIC IN OPIUM

persons addicted to the use of habit-forming drugs ; the conduct of studies dealing with the nature of drug addiction and the best methods of treatment and rehabilitation of persons addicted to the use of habit-forming drugs ; the dissemination of information on methods of treatment and research in this particular field; the cooperation with State and local jurisdictions and other agencies, with a view to their providing facilities for the care and treatment of narcotic addicts; and the supervising and furnishing of medical and psychiatric services in the Federal prison system. A series of 16 drugs, all modifications of the morphine molecule and of known chemical composition, with morphine as a base line, ranging from codeine to beta-chloromorphide, have been studied in man. I t has been possible to produce by synthesis from coal-tar derivatives drugs that are in animals the equal of codeine or pseudocodeine in the control of pain and which have no euphoric quality. Only a few of the synthetic drugs so far have been tried in man for various reasons, such as toxicity and solubility, but there is hope of ultimate success in this field. Im portant progress has already been made both in the analytical and synthetic sides of this method of approach. The intention of the present publication (Supplement No. 138) is to bring the results of these studies up to date and make them available to the rest of the world. Other clinical studies are being carried out by the department of public health of the State of Massachusetts in cooperation with the Division of Mental Hygiene of the United States Public Health Service and in the departments of medicine and surgery of the Uni­ versity of Michigan Medical School at Ann Arbor. It is hoped that the publication of these studies will be of value not only to those interested in drug addiction but also to chemists, clinicians, physiologists, pharmacologists, and all who are interested in the question of the relationship between chemical structure and pharmacological action in animals and man.

R elationship B e t w e e n N a r c o t ic D r u g A d d ic t io n a n d C rime

The overwhelming majority of narcotic drug addicts which have come to the attention of the authorities recently in the United States belong to the criminal element, and for various reasons it has been considered important to ascertain at what stage of their careers these individuals entered upon the drug addiction habit. In a study now being made of a considerable group selected at random from the Records it has been learned that the first arrest for offenses other than narcotic law violations preceded, sometimes by as much as 8 to 10 years, the year when narcotic drug addiction began. This confirms a study conducted in 1925 by the United States Public Health Service wherein the fact was very forcibly brought out that a criminal addict TRAFFIC IN OPIUM 7 was, in the vast majority of cases, a criminal before he became addicted ; in fact in 225 cases studied at that time, every criminal among them had committed crime before the use of narcotics was begun. From the present study, it can definitely be concluded that drug addiction is one of the later phases of the criminal career of the addict rather than a predisposing factor. The procession of events is from criminality to addiction, or from defective personality to criminality to addiction. (N o te .—This study applies only to addiction to opium and its derivatives, and not to marihuana.)

As of interest to the subject of drug addiction, attention is called to Sections 7 and 8 of the following:

R e po r t o f N a r c o t i c s S e c t i o n , S u b m i t t e d t o t h e F o u r t h G e n e r a l S e s s i o n of t h e I n t e r s t a t e C o m m i s s i o n o n C r i m e H e l d i n C l e v e l a n d , O h i o » J u ly 21-23, 1938

(Printed herewith through the courtesy of the Interstate Commission on Crime}> The Narcotics Section recognizes the great danger of marihuana due to its definite impairment of the mentality and the fact that its continuous use leads direct to the insane asylum. That danger is increased by the fact that the plant is found in practically every State in the Union. The section, therefore, recom­ mends : 1. A legislative campaign in the several States, to make the present uniform state drug act conform to the Federal act in accordance with the following definition: “(b) The term ‘marihuana’ means all parts of the plant Cannabis sativa L., whether growing or not; the seeds thereof; the resin extracted from any part of such plant; and every compound, manufacture, salt, derivative, mixture, or preparation of such plant, its seeds, or resin; but shall not include the mature stalks of such plant, fiber produced from such stalks, oil or cake made from the seeds of such plant, any other compound, manufacture, salt, derivative, mixture, or preparation of such mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of such plant which is incapable of ger­ mination.” 2. That a definite Nation-wide educational campaign as to the dangers of the weed be directed to adults only, and that adults warn children of the dangers of the use of marihuana. 3. That such campaign be directed toward obtaining the cooperation of the public with the authorities, State and Federal, in the suppression of the illegal use of the weed, both by aiding such officials in their enforcement, and in destroy­ ing the weeds themselves under the guidance of such officials. 4. That publicity on marihuana be tempered to conform to the factual problem as the drug is not used by young people as widely as indicated in various sections of the country. The youth of the country is too fine to be narcotic minded. 5. The section recognizes that much progress is being made throughout the country by Federal, State, and local enforcement officials in suppressing the production of marihuana and believes that the destruction of large acreage now being accomplished will soon reduce the problem to a minimum. 6. The section noting that many criminals coming before the courts who allege that they were under the influence of marihuana when a crime was committed. 8 TRAFFIC IN OPIUM

and that this defense is usually without foundation and is used with the idea of obtaining lenient treatment by the courts, recommends that a defense of being under the influence of marihuana during the commission of a crime should not mitigate the penalty for a criminal act. 7. The section condemns the so-called ambulatory treatment of drug addicts as contrary to the purpose of the narcotic laws of the 48 States, of the Federal Government, and of the several international drug treaties to which the United States is a party. Sixty-three nations are parties to the 1931 convention to limit the manufacture of narcotic drugs to the medical needs of the world. Therefore, the narcotic drug clinic idea advanced in certain quarters to supply drugs to nonmedical addicts without restriction is contrary to that convention and such practice would increase addiction and increase crime as past experience has proved. 8. In the establishment of institutions for the treatment of drug addicts the Federal Government has spared neither pains nor expense in making these institu­ tions the last word in an attempt to help the drug addict and reinstate him once more in the community. Since combined Federal, State, and local efforts have been the cause of a decided reduction in drug addiction throughout the country, it is urged that a further impetus to decrease addiction be given by the sev­ eral States, who are able to do so, by establishing or setting aside wards in their State hospitals to rehabilitate drug addicts. III. Control of International Trade. Opium and coca leaves.—The system of import certificates and export authorizations in force for the control of imports and exports of opium and coca leaves and their salts, derivatives, and preparations has operated satisfactorily in 1938; and no cases involving forged or falsified import certificates or export or in-transit authorizations have come to the knowledge of the Government during the year. No changes were made during the year as to the authority respon­ sible for issuing import certificates or export and in-transit authoriza­ tions, all of which are issued by the Commissioner of Narcotics. There was likewise no modification in the conditions of issue of such docu­ ments, these being controlled by the Narcotic Drugs Import and Export Act. The new regulations promulgated under this act, and which became effective June 1, 1938, have, however, made certain changes with respect to the forms and procedures in connection with import certificates and export authorizations, bringing these into conformity in all essential respects with the recommendations of the Model Administrative Code drawn up for implementation of the several international conventions. The import permit now contains the averment that the consign­ ment is required for legitimate purposes. Each copy of the permit is marked to indicate the disposition to be made thereof, and one copy is forwarded to the appropriate official of the government of the country from which the opium or coca leaves are to be exported. A new form of export permit has also been put into use. This permit is engraved on specially marked paper, and each of the six copies is marked to .indicate its disposition. The original of the permit accompanies the TRAFFIC IN OPIUM 9

shipm ent and the duplicate is returned to the Commissioner of Nar­ cotics with a customs indorsement of exportation. An additional copy is provided for the government of the importing country and sent to the official who issued the corresponding import certificate. According to the procedure recommended in the Model Administrative Code, this latter copy of the permit is to be returned with the indorse­ ment of the appropriate official of the importing country when the shipment has reached its destination. Such indorsements have been received from Australia, British Guiana, Canada, Colombia, Cuba, England, Hong Kong, New Zealand, Southern Rhodesia, and the Union of South Africa. In-transit authorizations are issued on the merits of the particular case, but in general the requirements relating to exports are applied, the factor of principal consideration being a satisfactory import permit issued by the appropriate authorities of the importing country. Permission was granted during the year for 12 in-transit shipments, all through the port of New York, based on import authority from the countries of destination. The quantities of opium and coca leaves imported and of narcotic preparations exported during 1938 are shown in tables 12, 12-A, 13, and 16, pages 91, 92, and 95. Cannabis.—The Marihuana Tax Act of 1937 provides for a Federal control of cannabis and its preparations, and the regulations issued under that act have provided for export authorizations for such prod­ ucts. However, no authorizations were issued for the exportation of cannabis or its preparations during 1938. No import certificates for cannabis products have been provided as all such importations are subject to a revenue transfer tax, generally regarded as prohibitive, and itis not expected that any importations of cannabis or its preparations as covered by the international conventions will be made

IV. International Cooperation. No international treaties or additional arrangements for the infor­ mal direct exchange of information in regard to the illicit traffic were concluded during the calendar year 1938. Arrangements of this kind, now in effect between the United States and 21 other governments, are operating effectively in most cases. The American Government deeply appreciates the cooperation extended by the enforcement offi­ cers of Egypt, France, Germany, Great Britain, Holland, Belgium, Italy, and particularly of Canada. During the latter part of the year the Government of Yugoslavia enacted a decree designed to control the distribution of opium within that country, and to prevent its diver­ sion to illicit traffickers who were converting it into opium alkaloids which were being smuggled to the United States. 10 TRAFFIC IN OPIUM

V. Illicit Traffic. The illicit narcotic traffic in the United States and its possessions displays markedly different characteristics in different portions of the country. For this reason it has been found convenient to examine the situation separately in respect of each drug as regards each of the following areas: 1. The Atlantic coast area. 2. The North Pacific coast area. 3. The South Pacific coast area. 4. The North Central area. 5. The South Central area. 6. The Panama Canal Zone. 7. The Hawaiian Islands. 8. The Philippine Islands.1

R a w O p iu m Based on seizures effected, it would appear that there were few heavy arrivals of raw opium in the United States. In the Atlantic coast area only four seizures of interest were made of raw opium. The largest individual seizure was effected at New York City on an Italian steamship and consisted of 55 kg., 933 gm., net, of raw opium. Defendants in the case confessed that the opium was obtained at Susak, Yugoslavia. The seizure next in importance was that at Savan­ nah, Ga., of 28 kg., 746 gm., net, of raw opium, ex-Italian steamship Arsa. In this case, it appeared that the opium was shipped from Marseilles. In another seizure, the raw opium bore the well-known Iranian “A and B Monopoly” label. In the South Central area there were fewer seizures of raw opium made than in the year 1937, the largest individual seizure being of 5 kg., 216 gm. One seizure of 12 kg., 700 gm. of raw opium was effected in the South Pacific coast I area. The seizures of raw opium in the South Central area were cen­ tered mostly in Arizona at points on or near the Mexican border, and the opium is believed to have been of Mexican origin. Unquestion­ ably, the activities of the Mexican Government in destroying exten­ sive fields of growing opium poppies in the State of Sonora and other Mexican territory accounted for the small number of seizures of raw opium in the South Central area. A United States Treasury repre­ sentative schooled in opium identification cooperated with Mexican officials in a purely advisory capacity in detecting location of the poppy fields under cultivation. Raw opium prices in the illicit market appear to have been quoted mainly from the Atlantic coast area and the South Central area. In the latter area, the price of raw opium remained practically station­

1 Separate report on the Traffic in Opium and Other Dangerous Drugs is submitted by the Commonwealth of the Philippines. TRAFFIC IN OPIUM 11 ary, being quoted at about $65 per kilogram. However, in New York City, which is considered the most important illicit market in the Atlantic coast area, the price of raw opium rose steadily throughout the year, until at the end of the year it was quoted at from $220 to $350 per pound, as compared with prices of from $85 to $125 per pound in 1937. In addition, addicts and peddlers in this area complained of an acute shortage of raw opium.

P r e p a r e d O p iu m There are indications that, in contrast to previous years, the heaviest arrivals of prepared opium were in the Atlantic coast area. The largest individual seizures were effected there, although consider­ able quantities were also seized on the Pacific coast and in the Phdip- pine Islands. Smaller quantities were seized in the North Central, South Central, and the Hawaiian Island areas. Of the two largest individual seizures, made in the Atlantic coast area, one consisted of 1,300 five-tael tins of prepared opium and the other of 666 five-tael tins and 1,000 one-tael tins of prepared opium. In each of these in­ stances, the opium had been brought into the country on vessels arriving from the Far East. The 5-tael tins were of the familiar Rooster and Elephant brand (Lam Kee—Macao), while the 1-tael tins were of the Red Lion (Lion and Globe) brand. The third largest individual seizure was effected in the Philippine Islands, the opium being contained in 2,998 one-tael tins, of a total net weight of 89 kg., 94 gm. Occasional small seizures of prepared opium continued to be made in the South Central area at points on or near the Mexican border. This opium was of inferior quality and of a low morphine content and is believed to have been prepared from raw opium grown in Mexico. The greater portion of the prepared opium seized came by ship from the Far East. The most common marks were “Lam Kee” (Rooster and Elephant), “Yick Kee,” and “Lo Fook Kee” in the Atlantic and Pacific coast areas ; “Lam Kee,” and “Yick Kee” in the Hawaiian Islands; and “Red Lion” and “Eagle Brand” in the Philippines. A label not previously encountered in the United States was the “Ching Kee, Macao.” One-tael tins of the “Red Lion” and “Lo Fook Kee” variety were seized in the Atlantic and Pacific coast areas, as well as in the Philippine Islands. However, in two instances it was suspected that these tins were intended for delivery elsewhere than in the continental United States, but could not be unloaded at the intended time, due probably to unfavorable circumstances. The total quantity of prepared opium seized during the calendar year 1938 showed an increase of 258 kg., 777 gm. over the quantity seized during 1937. Practically all of the prepared opium seized came from the Far East and appeared to be mostly a blend of Chinese and Iranian opium. 148600— 39------2 12 TRAFFIC IN OPIUM

M ost of the 5-tael tins seized bore labels and stamped impressions claiming manufacture in Macao. The following table shows seizures of prepared opium, by years from 1932 to 1938, inclusive: Year: Kg. Gm. 1932______148 006 1933______339 689 1934______172 537 1935______353 968 1936______221 347 1937______344 205 1938______602 982 The price of prepared opium in the Atlantic coast and Pacific coast areas and in Hawaii increased steadily throughout the year 1938 and an increasing scarcity was noted. In Hawaii, particularly, in the latter part of the year, there was almost no prepared opium available and numerous well-known addicts were seeking cures. In Hawaii the prices quoted on prepared opium per 5-tael tin ranged from $180 to $225 during the earlier part of the year to $300 to $400 near the end of the year. (No purchases were made at the latter figures but offers to sell were made at these prices.) In California prices ranged from $146 to $200 at the beginning of the year, and $110 to $290 at the close of the year. In Seattle the prices ranged from $160 at the beginning of the year to $210 to $225 at the close of the year. In New York City prices ranged from $120 at the beginning of the year to $220 to $350 at the close of the year. Although the total number of individual seizures of prepared opium during 1938 was less than in the previous year, several exceptionally large seizures indicate that there is still an ample supply available in China and in Hong Kong. Therefore, the American narcotics admin­ istration continues to view the situation with concern and regrets to note the continued smuggling of Iranian opium into China north and south of the Great Wall and of prepared opium out of China and Hong Kong.

M o r p h in e

M orphine was seized in every one of the areas under consideration. However, there were no outstanding Customs or domestic seizures. The largest seizure was effected in the South Pacific coast area. Morphine hydrochloride seized at Baltimore, Newport News, and New York City was contained in cardboard boxes which apparently originated in France. The labels on these boxes were almost identical with one appearing on packages of heroin seized from Alexandre Pierre M arie Rio at New York City on January 15, 1937, and on the steamship Paris. Rio and the defendants in the cases mentioned above admitted that the narcotic drugs were obtained at Havre. Two TRAFFIC IN OPIUM 13 seizures of morphine hydrochloride were effected from seamen on Italian vessels. At Los Angeles, a small quantity of morphine hydro­ chloride bearing the label of Poulenc Freres was found, but the cir­ cumstances did not indicate that the morphine had been introduced into the United States recently. There was evidence that morphine was being shipped overland from New York City to the Pacific coast area. The price in the illicit traffic remained about the same as in 1937 in the South Central and Atlantic coast areas, but underwent a slight increase in the North Central area and a decided rise in the Pacific coast area. The total quantity of morphine seized during the calendar year 1938 showed a decrease as compared with the quantity seized during 1937.

H e r o in

Heroin continued to be found in the illicit traffic in all parts of the United States. With a few exceptions, heroin seizures, though con­ siderable in the aggregate, were individually small. The largest indi­ vidual seizures were effected in the Atlantic coast and North Central areas, the largest one having been effected in the Atlantic coast area. In one seizure, the heroin had been shipped to the United States from France, via Jerusalem, and was concealed in the bindings of books. A seizure of heroin was effected at New York City on the Italian steam­ ship Rex. Another heroin seizure was made at New York City on the Belgian steamship Alex van Opstal. Seizures at Chicago, 111., of heroin bore labels reading “Merck’s Drug and Chemical Company, 15 Coblentz Road, Munich, Germany—Guaranteed.” These labels were obviously false, while another false label appeared on heroin seized at Fort Worth and Corsicana, Tex., Chicago, 111., and New Orleans, La. This label bore the following legend: “World Wide Products.” It was patently a local label, of no particular significance, such as the “White Horse,” “Hadji Ala Baba,” and others which hitherto appeared in the illicit traffic in past years. There were no large seizures of red heroin pills. In fact, the traffic in this form of drug appears to have dwindled to insignificance. The total quantity of heroin seized during the calendar year 1938 showed a decrease in comparison with the total seized during 1937. The price in the illicit traffic was fairly constant in all areas but showed slight increases in some. During the later months of 1938 there were definite indices of a curtailment of the supply of heroin in certain sections of all areas. Circumstances in connection with the heroin seized in the United States, particularly in the Atlantic coast area, point to the continued use of Europe as the base from which it is smuggled to the United States. Heavy adulteration of heroin continued. 14 TRAFFIC IN OPIUM

C o c a in e Although occasional seizures of cocaine were effected in the Atlantic coast, Pacific coast, and South Central areas, the total quantity was still insignificant. There was effected at Seattle, Wash., a seizure of a small quantity of cocaine, on the steamship President Jefferson coming from Kobe. The defendant in the case stated that he purchased the drug at Kobe. The total quantity of cocaine seized during the calen­ dar year 1938 showed a decrease as compared with the total quantity seized during 1937, while the price of cocaine in the illicit traffic in 1938 was without noticeable change. The use of cocaine in the illicit traffic continues to be so small as to be without significance.

C o d e in e The illicit traffic in codeine was negligible.

M a r i h u a n a (Cannabis sativa L.)

Marihuana was seized in all of the areas under review with the exception of the Panama Canal Zone and the Philippine Islands; or in a total cf 40 of the 48 States within the continental limits of the United States, and in the Territory of Hawaii. (See table 3-C.) There was some smuggling, but due to the ease with which the plant can be cultivated domestically, it was negligible. Cases only occasionally involved interstate transportation. The abuse of marihuana in this country consists principally in the smoking, for the narcotic effect, of the resinous flowering tops and crushed portions of the plant, rolled into cigarettes. The price of such cigarettes ranges from 5 cents to $1.66 each, the average price in most areas being approximately 20 to 25 cents each. In Hawaii, the price averaged about 75 cents each.

D evelopments i n t h e T r e n d o f t h e T r a f f ic All available information indicates that illicit traffickers continue to rely on the Far East for supplies of prepared opium, while France, Yugoslavia, and Italy were used as bases for smuggling of raw opium, morphine, and heroin into the United States. In a number of in­ stances, prepared opium seized on the Atlantic and Pacific coasts and in the Philippine Islands appeared to have been smuggled from Hong Kong. It was likewise evident that Australia was, for a time, at least, the base for smuggling of prepared opium into the Hawaiian Islands. Both morphine and heroin coming from Italian ports were seized in the Atlantic coast area. In the South Central and South Pacific coast areas, a number of seizures were made of raw opium and prepared opium, apparently of Mexican origin. There were several seizures in the continental United States of prepared opium TRAFFIC IN OPIUM 15 in 1-tael tins of the “Red Lion” brand, this being a type of tin more frequently encountered in the Philippine Islands and the Far East. Traffickers still appear to be despatching their drugs in smaller lots than was their custom about 7 years ago. False compartments in trunks and hand baggage have been employed in the effort to smuggle into the United States narcotic drugs in commercial quantities. Dur­ ing the first part of the calendar year 1938 the trend of prices in the wholesale illicit traffic and other circumstances indicated that the demands of the traffic continued to be m et with the possible exception of raw and prepared opium. However, during the latter months of the year there were many indications in several areas of an appreciable curtailment of the supply of narcotics available for the illicit traffic. The heavy adulteration of heroin continues, and the price of that drug varies greatly, according to its purity. In the illicit traffic, unadulterated heroin was seldom encountered, except in cases of seizures effected directly from vessels. A development noted last year and which now appears to have become a somewhat common practice in the illicit traffic is the use in small amounts of novocaine as one of the adulterants of heroin. Novocaine appeared as an adulterant in 203 out of 2,246 lots of heroin purchased or seized in 1938.

S e iz u r e s a n d V io l a t io n s A comparative statement of seizures, violations, and general enforce­ ment statistics under the Federal narcotic drug laws for the 8-year period from 1931 to 1938, inclusive, will be found in the appendix as table 1-C. The quantities of narcotic drugs seized under the Narcotic Drugs Import and Export Act and customs laws and under the Federal intemal-revenue narcotic laws are also shown in the appendix in tables 3 and 3-A. Seizures under the Marihuana Tax Act by Federal officers and under local laws by State and municipal officers, are shown in tables 3-C and 4. The division of statistics of cases (tables 1 and 1-A) and of seizures (tables 3 and 3-A) between the two principal Federal narcotic drug laws is approximately accurate, although in a number of indictments under the intemal-revenue narcotic laws there were also included charges against the same defendants for violations of the Narcotic Drugs Import and Export Act. Customs enforcement officers inves­ tigate violations of the Import and Export Act in connection with their general duty of enforcing all customs laws. The enforcement statistics with reference to the Narcotic Drugs Im port and Export Act reflect, in substance, the activities of customs enforcement officers, while those under the Federal internal-revenue narcotic laws reflect generally the activities of narcotic officers, of whom an average num ­ 16 TRAFFIC IN OPIUM ber of 224 constituted the force available during the calendar year 1938. The two enforcement branches cooperate closely in the dis­ covery and prevention of attem pted illicit introduction of narcotic drugs into the United States. The Bureau of Narcotics requested the governors of the various States to furnish, for inclusion in this report, statistical data covering narcotic law enforcement activities during 1938 by State officers acting more or less independently of Federal enforcement officers. In re­ sponse, reports were submitted by the authorities of 15 of the 48 States, namely, Arkansas, California, Connecticut, Georgia, Illinois, Maryland, Massachusetts, Nebraska, New York, North Carolina, North Dakota, Pennsylvania, Rhode Island, Texas, and Virginia. M any State and local enforcement officers collaborate with Federal officers in the investigation of the illicit narcotic traffic, but table 2, appearing in the appendix, reflects the results of enforcement activity in those States which has to a greater or less extent been conducted independently, except where noted in the explanatory statements.

C o m p a r is o n o f N a r c o t ic D r u g L a w V io l a t o r s in F ed er a l P r is o n s W it h T o t a l P r is o n P o p u l a t io n It is noteworthy that for every agent in the narcotic field service, there are confined in the Federal penitentiaries and other institutions 10 convicted narcotic law violators. This is a. high record. Many of these convicts have some of the worst criminal records in the United States for major crimes. On June 30, 1938, there were 20,794 persons confined in institutions for convictions of Federal offenses, 19,856 being males and 938 females. Of this total, 2,272 were serving sentences imposed for violations of the Federal narcotic drug laws, 1,899 being males and 373 females, and 315 were serving sentences imposed for violations of the Federal M arihuana Tax Act, 304 being males and 11 females. (See table 5-A.) On June 30, 1938, there were 800 convicted narcotic drug law viola­ tors in confinement at the United States Public Health Service Hos­ pital, Lexington, Ky., undergoing treatment looking toward cures of their addiction, all these men having been transferred to the hospital from Federal penitentiaries. On the same date there were, out of a total of 508 female prisoners, 235 narcotic drug and marihuana law violators confined in the Federal Industrial Institution for Women at Alderson, W. Va.

E x a m p l e s o f S e iz u r e s

Résumés of the circumstances surrounding the following important seizures illustrate briefly a few of the intricate and various methods employed in the illicit narcotic traffic: TRAFFIC IN OPIUM 17

SIGNIFICANT CASES OF ILLICIT TRAFFIC IN THE ATLANTIC COAST AREA Weber-Carillot Case In connection with the sale to narcotic officers of 702 gm. of heroin in June 1938, William Weber, Andrew Vergetalis, Maurice Carillot, and Irving Kuba, all of New York City, were indicted at Trenton, N. J., in October 1938, for violation of the Harrison Act and the Jones- Miller Act. The case is still pending. The drugs obtained in this case bore no marks or labels indicating their origin. William Weber has long been under suspicion as a wholesale traf­ ficker in illicit narcotic drugs. Maurice Carillot was mentioned in the Annual Report for 1934 in connection with a case involving the seizure of approximately 4 kg. 195 gm. of cocaine; 5 kg. 448 gm. of heroin ; and 11 kg. 29 gm. sucrose, and in that case was sentenced to 5 years’ imprisonment and fined $2,000.

The J u n k Boat Case

The seizure on August 14 and 15, 1938, at Brooklyn, N. Y., of 1,300 five-tael tins of prepared opium, weighing approximately 235 kg. 102 gm. net, was one of the largest prepared opium seizures effected in the United States and its territorial possessions in several years. This seizure resulted from information received by customs officers to the effect that a large shipment of opium was concealed in the fuel oil tanks of the British steamship Glaucus. The Glaucus touched successively at Boston, Philadelphia, New Orleans, Jacksonville, and New York. From arrival at Boston until departure on August 12, 1938, from New York, the vessel was searched at each port and kept under surveillance. Officers accompanied the ship from Boston to New York and from New York to Philadelphia. While in New York, the Glaucus berthed on the south side of pier 3, Bush Terminal, Brooklyn. No narcotic drugs were found. A t daybreak on August 14, 1938, after the departure of the Glaucus from New York, customs guards on a customs patrol boat observed a junk boat tied up to the north side of pier 3, Bush Terminal. The occupants of the boat attempted to move it around the end of the pier away from vision of the officers. Upon reaching the boat, the customs officers noted that its occupants had disappeared. A grappling hook attached to a heavy line was found in the stern of the junk boat. The line was raised, and attached to its end were found 21 packages, wrapped in burlap, each package holding a number of hermetically sealed con­ tainers, and each container enclosing 10 five-tael tins of prepared opium. A total of 1,240 tins was found. On the following day, fur­ ther grappling operations resulted in the discovery of an additional 60 tins. Each of the tins seized was of the familiar “Rooster and Elephant (Lam Kee-Macao)” brand. It was obvious that the opium 18 TRAFFIC IN OPIUM

had been concealed in the fuel oil tanks, access to which is extremely difficult when the tanks are filled with oil. The burlap wrappings were saturated with fuel oil which had penetrated even into the sealed outer metal containers. Subsequently, Frank R. McCann, owner of the junk boat, was convicted and sentenced to 5 years’ imprisonment.

British Steamship “Silveryew” Case

On September 26 and on October 10, 1938, respectively, customs officers at New York received information from a reliable source that 1,000 tins of opium were concealed on the British steamship Silveryew. Extraordinary precautions were taken to insure that this opium would not be successfully smuggled into the United States. Upon the arrival of the Silveryew at Boston, she was convoyed into port by a United States Coast Guard vessel, was thoroughly searched and kept under strict surveillance, but no contraband drugs were dis­ covered. Customs patrolmen accompanied the Silveryew to New York, and the ship was likewise convoyed by a Coast Guard vessel. At New York, continuous and thorough search was instigated and m aintained by customs officers until November 16, 1938, when 11 bags were found concealed in the bottom of a fuel oil tank in the lower hold of No. 2 hatch, which were subsequently examined and found to contain 1,000 one-tael tins of prepared opium and 666 five-tael tins of prepared opium, of a total net weight of 156 kg. 603 gm. At the time the opium was found, the fuel oil tank in question was empty, but the 11 bags were saturated with fuel oil. The 1-tael tins were of the “Red Lion (Lion and Globe)” brand, while the 5-tael tins were of the familiar “Rooster and Elephant” brand. Subsequently, Tsin Ho Zon, No. 2 boatswain on the Silveryew, was arrested. He con­ fessed that he obtained the opium at Hong Kong from the No. 1 Indian watchman ; that the drugs were intended for delivery to an unnamed person at Singapore, but failing to get in touch with the consignee, he permitted the opium to remain in its hiding place. On December 9, 1938, Tsin Ho Zon was sentenced at New York City to 3 years’ imprisonment. This seizure was called to the attention of the British Government.

With regard to the smuggling of narcotic drugs from France to the United States the following cases are of interest :

Italian Steamship “Arsa” Case Early in November 1938, information was received to the effect that a large quantity of raw opium had been placed on board the steamship A rsa while that vessel was in the port of Marseilles, and that it was destined for one “Antonio” at Habana. This information TRAFFIC IN OPIUM 19 was furnished to the Cuban Government, with the result that when the Arsa arrived at Habana it was searched thoroughly. However, no narcotic drugs were discovered. The Arsa proceeded to Veracruz and New Orleans, being searched in the latter port, without result. It then proceeded to Savannah. In that port, the second steward of the ship, one Menotti Della Scala, approached a person known to the customs agent, with a view to selling the latter a quantity of opium. With the knowledge of customs officers, this person purchased 255 gm. of raw opium for the sum of $50. Subsequently, a searching squad found 3 kg. 175 gm. of raw opium and 1 kg. 361 gm. of heroin con­ cealed on the vessel, and 2 days later discovered 25 kg. 316 gm. of raw opium. The following persons were arrested: Menotti Della Scala, Luigi Mazzi, Gildo Conciatore, Andrea Ascione, Giuseppe Gennatiempo, and Divino Repetti. These crew members made con­ fessions indicating that they purchased the narcotics in Marseilles from one “Antonio” ; that they were to sell a portion of the drugs in Habana to another person named “Antonio”; that they had been afraid to remove the opium and heroin from its hiding place on the vessel at Seville and San Juan; but that at Veracruz, they had sold 25 kg. of opium to the cook on an American vessel then in that port. This feature of the case is still under investigation. The defendants are being held under very heavy bonds awaiting trial. This seizure was reported to the French and Italian Governments.

Isak Leifer Case

On July 18, 1938, French police announced that they had arrested in Paris on that date one Isak Leifer, of Brooklyn, N. Y., while he was attempting to ship prayer books containing 15 kg. of heroin concealed in the bindings of the books, addressed to Gershoff, 570 Barbey Street, Brooklyn, N. Y., and to S. Cohen, 1929 Douglas Street, Brooklyn; further, that Leifer had recently shipped 14 kg. of heroin concealed in the same manner to Jerusalem, Palestine. It is understood that the British police at Jerusalem, acting upon this information seized 41 parcels, each parcel containing 2 prayer books and each book con­ taining 100 gm. of heroin. The police further ascertained th at 22 parcels of prayer books had been shipped to New York on July 20, 1938. Eleven of these packages were addressed to S. Cohen, at the address given above, and 11 to M. Gershoff, for D. Bernstein, at the Barbev Street address. This shipment of 22 parcels of books arrived at New York on August 5, 1938. It was first carefully examined for fingerprints, without result. On August 6, 1938, further examination of the books, 44 in number, disclosed that each contained 2 glazed Paper packages of heroin, each package containing approximately 57 gm. of that drug. The total net weight of the heroin seized in New lork was 5 kg. 526 gm. Investigation in New York revealed 2 0 TRAFFIC IN OPIUM that Isak Leifer, under the alias of A. Abrahamowitz and D. Bern­ stein, rented rooms in Brooklyn from M. Gershoff and S. Cohen, asking these persons to hold any packages which might be received addressed to him. He also made similar arrangements with the proprietor of a small bookstore, one M. Breier. The statements of persons with whom Leifer made these arrangements indicate that within a year and a half from the time Leifer first approached them, each received a number of large packages of books addressed to Leifer under one of his aliases, the packages being called for by Mrs. Gitel Leifer. In the room rented by Leifer in the home of S. Cohen was found a brown paper wrapper addressed to S. Cohen, for A. Abrahamowitz and post­ marked “Haifa, Palestine.” In view of the evidence obtained in New York following the seizure, indictments have been returned against Isak Leifer and his wife, Mrs. Gitel Leifer, and these persons will be prosecuted in due course. The French Government will be requested to extradite Leifer to the United States, in order that he may stand trial. The successful development of this case in the United States was due largely to the cooperation extended by the French and British authorities.

Peterson, Riley, Kilburn Case On January 13, 1938, police at Baltimore, Md., arrested Walter J. Peterson, Wesley L. Rdey, and Frank Kilburn in possession of 20 gm., net, of morphine hydrochloride. A portion of this morphine was contained in a blue cardboard box. On February 9, 1938, Riley was sentenced to 2% years at the United States Public Health Service Hospital a t Lexington, Ky., while Peterson and K ilburn received sentences of 15 months each in the same institution. The seizure was called to the attention of the French Government because of Riley’s admission that he obtained the blue cardboard box of morphine at Havre. David W. Smith Case On January 14, 1938, narcotic agents at New- York C ity arrested David W. Smith and seized 37 gm. of morphine hydrochloride. Part of this morphine was contained in a red cardboard box, bearing a label marked “Conrad,” while the remainder was enclosed in a blue box identical with that seized at Baltimore from Wesley L. Riley. Smith confessed that he secured the morphine at Havre. This blue cardboard box is identical also with one seized at New York on January 15, 1937, from Alexandre Pierre M arie Rio, on the steamship Paris. Smith was sentenced to 3 years’ imprisonment at the Lexington United States Public H ealth Service Hospital. Subsequent to his incarcera­ tion there, he wTas shown a photograph of Giuseppe Failla, notorious narcotic trafficker. He admitted that Failla wras the source of his supply of narcotic drugs in Havre. TRAFFIC IN OPIUM 21

Chapman Case Customs officers at Norfolk, Va., acting on information received from Wesley L. Riley, whose arrest at Baltimore is referred to above, arrested George Chapman, crew member of the steamship City oj Newport News, upon the arrival of that vessel in port on February 11, 1938, and seized from him approximately 17 gm. of morphine hydro­ chloride. Chapm an denied th at the morphine seized from him was a portion of that which he had obtained while in Havre in November 1937, and claimed that he got the morphine from Riley. The case against Chapman is still pending. This seizure and the preceding one at New York were brought to the attention of the French Government.

With regard to drug smuggling from Italy and Yugoslavia, the following cases are cited:

Italian Steamship “Ida” Case Climaxing an investigation extending from the early part of Decem­ ber 1938, Coast Guard personnel, New York City harbor police, and customs officers at Hoboken, N. J., early in the morning of January 6, 1939, seized 55 kg. 933 gm., net, of raw opium which was concealed in 5 five-gallon olive oil tins and which had been brought into the port from Trieste on the Italian steamship Ida. This vessel belongs to the “Soc. Anon, di Nav. Italia,” which also operates the Arsa, referred to above. The seizure resulted from the attempt of a member of a Brooklyn narcotic ring to bribe a New York policeman to permit a shipment of narcotics to enter the port unmolested. The policeman reported the matter to his superiors, who in turn, communicated with Federal officers. The policeman was instructed to pretend to go through with the plan. Eventually, it was learned that the shipment in question was concealed on the Italian steamship Ida. By previous arrangement, Coast Guard officers and police, operating in a police boat, removed the opium from the Ida at pier 2, Brooklyn, for delivery to the receivers, three of whom were waiting on shore. Customs officers, also waiting nearby, then joined police and Coast Guard officers in arresting the three persons, but not before several shots had been exchanged and a policeman slightly wounded. Those appre­ hended on shore were Luigi Esposito, Frank Viseiano, and Salvatore Luisi. Customs officers, investigating the case, arrested Giovanna Abba, fireman ; Giacomo Bukovetz, donkeyman ; Antonio Ossich, sailor; and Bruno Pozzecco, steward, on the Ida. Confessions were made by these men, indicating that the steward was responsible for the narcotics being on board ; the others assisted him in unloading the opium into the police boat; further, that the opium was obtained in 24 TRAFFIC IN OPIUM

on the shore end of the stringpiece of the bulkhead of the pier wrapped in newspaper and tied with string. Each opium brick was wrapped in plain red glazed paper without identifying marks or labels. It, may be significant that the steamship Excalibur of the American Export Line was docked at the pier at the time. Questioning of the crew members of the vessel and other investigation failed to disclose the identity of the owner of the opium. The Excalibur arrived at Jersey City on April 1, 1938, having departed from Jaffa on March 6, touch­ ing Haifa, Alexandria, Piraeus, Naples, Leghorn, Genoa, Marseilles, and Boston en route.

Seizure of Opium Bearing Iranian (Persian) Government “A and B Monopoly” Label A customs guard at New York City on M arch 22, 1938, arrested one Sow Kim, a Chinese crew member of the steamship Santa Elena, coming from Curacao, when a search of his person revealed the pres­ ence of 12 sticks of raw opium, weighing approximately 241 gm., net. Each stick of opium was wrapped in plain white paper and tied with white string. On the opium itself was a narrow paper label bearing Arabic characters which indicated that it was produced by the Iranian Government “A and B” Opium Monopoly. Sow Kim stated that he purchased the opium in Curacao. The case against him was dismissed. The seizure was called to the attention of the Netherlands Government.

Solly Gordon Case As a result of a joint investigation by customs and narcotic agents into the activities of Solly Gordon, with aliases (true name Solomon Gelb), evidence was obtained indicating that this person had com­ m itted perjury concerning his true place of birth when testifying before an immigration board of enquiry. Gordon is an important figure in the international narcotics traffic and is known to the police of many countries. During the joint investigation it was learned that Gordon was actually born in Denbitz, Austria (now Poland); that he was not a native-born American citizen, as claimed, and had never been naturalized ; and that he had previously obtained American and Canadian passports, on each occasion under a different name, presumably7 in the furtherance of his international narcotics traffic. In addition, sufficient evidence was obtained to indict Gordon on a narcotics charge. The perjury case which was developed with the assistance of the immigration authorities was set for trial first, and on December 1, 1938, Gordon was found guilty on two counts of perjury and was subsequently sentenced to 3 years’ imprisonment, plus a fine of $2,500. This conviction of Gordon is regarded as a major accom­ plishment. Subsequently Gordon appealed the case and the judgment Solly GORDON {true name Solomon Gelb.) TRAFFIC IN OPIUM 25

of the lower court was affirmed. The case charging him with the violations of the narcotic laws will be called for trial in the future. The records indicate th at in the years 1927 to 1935, inclusive, Solomon Gordon was in possession of four American passports and one I Canadian passport under the following names: Passport No. 4583. Issued at Chicago, 111., February 14, 1927, in the name of Edward S. Jordon. Witness, John Held, who later obtained a passport on Gordon’s affidavit. Passport No. 6915. Issued at Chicago, 111., January 31, 1928, in the name of Simon Gordin. Witness, Arthur Fried, who was identical with Abraham Feldman, and who obtained a passport on Gordon’s affidavit. This witness is now deceased. Passport No. 255. Issued January 27, 1930, by the American Con­ sulate General at Paris, France, in the name of Shnon Gordin. Passport No. 46344. Issued at the Department of State, Washing­ ton, D. C., on February 12, 1932, in the name of Edward Gordon. Witness, his brother, Howard Gordon. N ote.—Solomon Gordon made an affidavit in the name of Edward M. Gordon for a person by the name of Bernard Kahn, to whom pass­ port No. 2820 was issued on November 9, 1934. Passport No. 12720. Issued at Ottawa by the Canadian Govern­ ment on September 3, 1931, in the name of Edw ard Sidney Gordon, based on his affidavit that he had been born in Montreal on June 20, 1891. This passport was in his possession in 1935 when he arrived at San Francisco from the Far East.

Buia Case The largest seizure of heroin made during the year (7 kg. 598 gm. of unadulterated heroin) was effected by narcotic officers from Ralph Buia in New York City in February 1938. No wrappers or labels indicating the origin of the drugs were found. Buia was subsequently sentenced to 7 years’ imprisonment and fined $1,250. His brother, Angelo Buia, was later involved in a narcotics case and is awaiting trial. Devine-Goon L in Case Goon Lin, a Chinese, formerly a resident of Montreal, and well known to the Canadian authorities as a trafficker in illicit narcotics, "as residing in New York City in 1938. John David Devine, alias Devan, of Montreal, well known to the Canadian and United States authorities as a drug smuggler, was associated with Goon Lin. After Devine’s arrest by customs officers in August 1938 in possession of a small quantity of narcotics, and following an investigation by customs and narcotic officers, Devine made a disclosure indicating that he had been associated with Goon Lin in the smuggling of 5 kg. of raw opium and 2 kg. of cocaine into the United States from Antwerp through 26 TRAFFIC IN OPIUM

Montreal in the late months of 1937, and likewise had smuggled 2 k». of heroin obtained in Paris into the Port of New York in February 1938, the ship in this instance being the S. S. Aquitania. The Cana­ dian authorities had reported Devine’s suspected activities to the Government in January 1938. Full particulars of Devine’s disclosures were furnished to the Canadian, British, French, German, and Netherlands Governments. Goon Lin was subsequently convicted and sentenced to 2 years’ imprisonment. Devine was sentenced to 6 months’ imprisonment. The cooperation of the Canadian authori­ ties was very helpful in this case.

SIGNIFICANT CASES OF ILLICIT TRAFFIC IN THE NORTH PACIFIC COAST AREA

With regard to the smuggling into the Pacific coast area from Hong Kong of prepared opium, the following cases are of interest :

Norwegian Steamship “Granville” Case On July 28, 1938, customs officers at Portland, Oreg., seized, on the Norwegian steamship Granville coming from Hong Kong, 400 five- tael tins of prepared opium, weighing 75 kg. 580 gm., net. The opium tins were packed in 40 large, metal, hermetically sealed containers. The entire lot was divided up into 5 bundles, wrapped in burlap, there being 8 large containers, each holding 10 five-tael tins, in each of the burlap-wrapped bundles. The 5 bundles were tied together by means of rope, evidencing intent to discharge the contraband over the ship’s side. The Chinese quartermaster of the ship, Sing Boe, and the second boatswain, Chin Goe Shin, confessed that the opium had been purchased in Hong Kong. However, the British authorities at Hong Kong, following notification of the seizure, reported that the given address of the alleged supplier of the drugs was fictitious. The 2 Chinese arrested at Portland were sentenced to 10 years’ imprison­ m ent each. Philippine Steamship “Don Jose” Case On September 1, 1938, customs officers at Portland, Oreg., found 1,579 one-tael tins, of a total net weight of 59 kg. 676 gm., concealed in the midship, starboard coal bunker of the Philippine S. S. Don Jose coming direct from Manila. The tins were of the so-called “Red Lion” brand. Investigation resulted in a confession by the ship’s machinist, Alberto Formentos, implicating the third engineer, Jose Clemente, the chief engineer, Pedro Deleon, the head coal stevedore for the ship’s owners at Manila, one Chia, his two sons, Manuel and Amoyo Chia, and two Hong Kong Chinese; further, that the opium was purchased in Hong Kong from the two Chinese and was intended for delivery at Manila to Chia and his two sons, but circumstances at TRAFFIC IN OPIUM 27

that port prevented the unloading of the opium. Those persons arrested at Portland will be prosecuted. The seizure was brought to the attention of the British and Philippine Governments.

Giantos-Thomakas Case Police at San Francisco on June 17, 1938, arrested George J. Thomakas, a bedroom steward on the steamship Monterey and found 4 five-tael tins of prepared opium concealed on his person. Thomakas led the officers to a hotel room occupied by M ike Camebolis, a fellow crew member, where 3 five-tael tins of prepared opium were found. Customs and narcotic agents were then notified. A search of the I quarters on the M onterey of Thomakas and one George Giantos re- ! suited in the discovery of an additional 6 five-tael tins and 1 one-tael tin of prepared opium. Eleven of the 5-tael tins were of the familiar “Yick Kee” brand, while two bore the equally familiar “Lo Fook Kee” label. The 1-tael tin was of the “Red Lion” variety. Questioning of the defendants produced the information that the opium had been purchased by Giantos in Sydney, Australia. A copy of the seizure report was forwarded to the British Government. The prosecution of the three defendants in San Francisco resulted in the following sentences: George Giantos, 9 years. George J. Thomakas, 18 months and $1,000 fine. Mike Camebolis, 6 months and $100 fine.

M ills Case A case of cocaine smuggling from Kobe was reported in the arrest at Seattle, Wash., on February 28, 1938, of Wesley S. Mills, fireman on the steamship President Jefferson, and the seizure of five vials of cocaine, of a total net weight of 11 gm. Mills stated that he had purchased 1 ounce of cocaine in January 1938, at Kobe and had smuggled it ashore at Seattle concealed in his shoes. On March 11, 1938, Mills was sentenced to 2 years’ imprisonment. The seizure was called to the attention of the Japanese Government.

SIGNIFICANT CASES OF ILLICIT TRAFFIC IN THE SOUTH PACIFIC COAST AREA

M unoz Case Customs patrol inspectors at Calexico, Calif., on July 27, 1938, apprehended Sabos Munoz, Mexican citizen, when he attem pted to smuggle seven packages of raw opium, weighing 12 kg. 700 gm., net, across the International Line from Mexicali, Mexico. The opium bore no identifying marks or labels, but Munoz admitted that he 148800— 39------3 28 TRAFFIC IN OPIUM obtained it at Esperanza, Sonora, Mexico. A copy of the seizure report was transmitted to the Mexican Government. The defendant was held for prosecution.

British Steamship “SilverwiUow” Case On September 16, 1938, when the customs searching squad at San Pedro, Calif., examined the quarters of Wong Chong, Chinese quarter­ master on the British motor vessel SilverwiUow, just arrived in port from Calcutta, they discovered concealed in his bunk an opium pipe, and opium smoking paraphernalia, 85 gm. of opium dross, 1 bottle of opium solution, and 45 empty lead-foil containers known as “Gin Doos,” presumably issued by the Straits Settlem ents to registered narcotic addicts. There was also found in the possession of Wong Chong a “Chandu Registration Card,” authorizing the holder to purchase from the Tanjong Pagar Road Government Chandu Retai Shop 2 boons of prepared opium each day. This matter was callec to the attention of the British Government. Due to the circumstances Wong Chong was not prosecuted.

American Steamship “President Cleveland” Case

On June 9, 1938, D anny Bruce, a crew member of the steamship President Cleveland was searched by a customs guard at San Francisco, Calif., when he came ashore and 1 one-tael tin of prepared opium was found in his coat pocket. A further search of his quarters on the ship resulted in the discovery of 4 additional 1-tael tins. At the top of each tin appeared the stamped impresson of an eagle identical in design with the impression appearing on the 1-tael “Lo Fook Kee” tins. However, the Chinese characters on the top opposite the eagle have the meaning “Lam Kee.” On the bottoms of the tins appear Chinese characters meaning “Net contents one tael.” The sides of the tins bore no marks or labels. Bruce stated that he obtained the opium at the Cecil Hotel, Hong Kong, from a Portuguese named Vince Costa. The seizure was brought to the attention of the British Government. On June 22, 1938, Bruce was sentenced to serve 6 months in the Federal Road Camp at San Francisco.

American Steamship “President Cleveland” Case On August 4, 1938, customs officers at San Francisco discovered 5 one-tael tins of prepared opium of the familiar “Lo Fook Kee’ brand concealed in the soap locker outside of the laundry on the steamship President Cleveland which had just arrived in port from Hong Kong, via Kobe, Yokohama, and Honolulu. The owner or owners of the opium could not be ascertained. The seizure was called to the attention of the British Government. TRAFFIC IN OPIUM 29

Horvath-Olson Case Evidence of the smuggling of prepared opium into the United States from Shanghai was uncovered in the seizure at San Francisco on April 11, 1938, of 81 five-tael tins of prepared opium, weighing 15 kg. 280 gm., net, on the United States Navy Transport Chaumont coming direct to San Francisco from Shanghai. Forty of the tins were found by customs officers in the possession of Andrew Horvath, mail orderly on the Chaumont. The remaining 41 tins were discovered in the Post Office on board the vessel. The tins were of the familiar “Rooster and Elephant” brand, of the “Cheong” variety. Horvath implicated in the case Robert Pinson, fellow crew member, and Ernest C. Olson and Eugene Bastida, residents of San Francisco. On May 13, 1938, the following sentences were imposed at San Francisco: Ernest C. Olson, 8 years and $1,001 fine. Eugene Bastida, 2 years. Robert Pinson, 3 years. Andrew Horvath, 18 months. As a result of information transmitted to the Chinese authorities at Shanghai as to the identity of the Chinese who supplied this opium for smuggling into the United States, it is learned that four persons were convicted in the First Special District Court of Shanghai and received extremely heavy sentences.

Ingram-Woods Case The largest single seizure of morphine hydrochloride during the year (1 kg. 786 gm.) was made by narcotic officers from William G. Ingram and Joseph Woods in August at San Francisco, Ca7’f. Ingram was sentenced to 10 years’ imprisonment and fined $l,00f. The case as to Woods is pending. No wrappers or labels indicating the origin of the drugs were found. This morphine was of the so-called “cotton” variety. “Les Etablissements Poulenc Freres” On March 3, 1938, several boys turned over to police at Los Angeles, Calif., a metal core of an ice cream freezer with cover which they had found along the banks of the Los Angeles river which was in flood stage. In the container was found a cardboard carton labeled “Les Etablissements Poulenc Freres” and containing one 25-gm. box of morphine hydrochloride. The boys stated that when they found the container they lifted the cover and discovered therein several such cartons wrapped in waxed paper, and that they threw them into the river and watched them float with the current, but one of the cartons was retained by an older boy and given to the police. The police officers expressed the opinion that the container had originally held 30 TRAFFIC IN OPIUM between 35 and 40 cartons of morphine. The metal container showed signs of weather-stress, the top being rusty, and the outside walls which had been painted green, were in such condition that it was sur­ mised that the container had been exposed to the elements for a long time.

SIGNIFICANT CASES OF ILLICIT TRAFFIC IN THE NORTH CENTRAL AREA

Thomas Nelson Case It will be recalled that last year’s report reviewed the case of William “Big Bill” Hildebrandt, who for several years had been known to be the dominant figure among illicit drug dealers in the Minne­ apolis area where his organization enjoyed virtual monopoly in this business. After the Hildebrandt organization had been broken up by the con­ viction of many of its members, including Hildebrandt, who received a sentence of 20 years’ imprisonment, Thomas Nelson, of St. Paul, endeavored to assume H ildebrandt’s former position in the narcotics traffic. He conducted a large trade in contraband narcotics from a bakery owned by him and his wife, Margaret. Many of his out-of- town customers were supplied by mail or air express. After an inten­ sive investigation, Nelson and his wife were arrested in February 1938 and 2 kg. 819 gm. of heroin were found, representing the largest seizure of illicit narcotics in Minnesota in several years. These drugs bore no marks or labels indicating origin. At the time of his arrest Nelson was preparing a package of heroin for mailing to Kansas City, Mo. Nelson was speedily convicted and sentenced to 15 years’ imprisonment. He had a previous record for mail robbery and for counterfeiting, and at the time of his arrest in this case there was a suspended sentence of 15 years’ imprisonment hanging over him in connection with a counterfeiting case. The suspension of this sen­ tence was revoked, making a total term of 30 years’ imprisonment to be served by Nelson. The case against Margaret Nelson was dismissed.

Case Concerning Heroin Labeled “M erck’s Co., Germany”

On February 18 and June 11, 1938, respectively, narcotic agents at Chicago, 111., arrested Patricia Sullivan, alias “Babe” Fenno, Charles Zimmerman, George O. Roberts, and John Konig in connection with the seizure of 4 kg. 305 gm., net, of heroin, and 298 gm., net, of morphine. One 1-ounce blue envelope of heroin was labeled “Merck’s Drug and Chemical Co., 15 Coblentz Road, Munich, Germany- Guaranteed,” and bore a gold seal on back bearing the imprint “Merck’s Guaranteed. Munich, Germany.” An impression seal Chicago defendant» in large, narcotics distributing ring. 'X 3 ' 2. William McMJLLKN 3. Bruce HUFFMAN 4. Ruas»! TTSNKTNS TRAFFIC IN OPIUM 31 found in the possession of Roberts was used to stamp these seals. A report of this seizure was forwarded to the German Government, although it was apparent that the so-called Merck label was false. The defendants named were subsequently convicted and imprison­ ment sentences were imposed as follows: George Roberts, 5 years imprisonment. Charles Zimmerman, 4 years imprisonment. John Konig, 3 years imprisonment. Patricia Sullivan, 3 years imprisonment.

Yee Hing Case, Ching Kee Macao Label

Narcotic agents at Detroit, Mich., on July 18, 1938, seized 47 toy tins of prepared opium, weighing approximately 42 gm., net, a quan­ tity of heroin totalling approximately 85 gm., net, and 38 gm., net, of opium dross, together with 1 five tael tin, containing 189 gm., net, of prepared opium, an empty 5-tael tin of the familiar Rooster and Elephant brand, and opium smoking paraphernalia from a Chinese named Yee Hing. One of the 5-tael tins bore a light green label with the impression of a deer imprinted thereon in red and with red Chinese characters. On the other side of the tin was a strip of paper with the wording “Macao, Ching Kee, Best Quality of Old Opium;” also black Chinese characters and a stamp bearing the picture of a rooster with the wording “Macao.” Stamped into the metal at the top of this tin was the impression of an elephant with Chinese characters and the wording “Ching Kee Macao.” This so-called Ching Kee label bearing the likeness of a deer is not identical with the Golden Deer label, nor the Deer label, previously seized in the United States and made the subject of seizure reports. In fact, the Ching Kee label has not been encountered before. This case is still pending.

McMullen-Hoflman-Jenkin s- Gray Case

In a case involving one of the largest seizures made away from the seaboard (6 kg. 832 gm. of heroin and 1 kg. 332 gm. of morphine hydrochloride) William McMullen, Bruce Hoffman, Russell Jenkins, and Thomas Gray, gangsters with long criminal records and who had dominated the narcotics traffic in the Chicago area, were arrested in that city by narcotic officers. They subsequently pleaded guilty to various narcotic charges and were given numerous concurrent sentences which will require them to serve prison terms as follows: McMullen, 10 years imprisonment. Hoffman, 8 years imprisonment. Jenkins, 5 years imprisonment. Gray, 5 years imprisonment. 32 TRAFFIC IN OPIUM

SIGNIFICANT CASES OF ILLICIT TRAFFIC IN THE SOUTH CENTRAL AREA World Wide Products Heroin On December 20, 1937, narcotic agents at Fort Worth, Tex., pur­ chased 1 one-ounce envelope of heroin bearing the wording “World Wide Products” from Lloyd Tucker, arresting him later. On Decem­ ber 22, 1937, narcotic agents at Chicago, 111., purchased 25 one-ounce envelopes of heroin from members of a group consisting of Robert Tersky, Morris Tennenbaum and Abe Klein. On January 4, 1938, another purchase was made of 25 similar envelopes of heroin, and on January 10, 1938, 50 such envelopes were purchased. I t appeared th at Lloyd Tucker was peddling narcotics for the notorious Belaud family in Fort Worth. After the crushing by this Bureau in 1936 of the Ginsberg-Kayne-Gordon syndicate which distributed approxi­ mately 500 ounces of adulterated heroin weekly in the Southwest, the Bel and organization gained importance in the illicit narcotics business in Northern Texas. This organization was headed by Lucy Beland, of Fort Worth, Tex., who had been twice convicted of viola­ tions of the. Federal narcotic laws and for many years had been con­ ducting a traffic in illicit drugs. Over a period from January 25, 1938, to February 2, 1938, narcotic agents purchased or seized 2 kg. 305 gm. of drugs from the Beland organization. Those arrested were Lucy Beland, Joe Beland, Charles Beland, Jacqueline Beland, Leslie James, and Willie Beland James. In the meantime, narcotic agents and customs officers a t New Orleans, La., had under investigation one M anuel Alvarez who was dealing in heroin in large quantities. This investigation resulted in the arrest on March 31, 1938, of Alvarez, John Catana, Frank Lopes, James Feraco alias James Russo, and Abe Chapman and the seizure of a total of 3 kg. 118 gm. of heroin and 142 gm. of morphine. Chapman had been indicted at Chicago following the arrest there on January 10, 1938, of Tersky, Imberman, and Tennenbaum, referred to above, and it was apparent that he was solely responsible for the distribution of heroin in the West and South­ west under the label “World Wide Products.” Narcotic agents at Corsicana, Tex., on April 13, 1938, arrested one Herbert L. Butler in possession of an envelope containing 27 gm. oi heroin and bearing the “World Wide Products” label. At Bartlesville, Okla., on Auÿlist 8, 1938, John Brew and his son, Elbridge Brew, were arrested by narcotic agents in connection with nine purchases of heroin and morphine. Among the drugs seized were 15 gm. of heroin contained in an envelope bearing the “World Wide Products” label. On October 8, 1938, narcotic agents arrested Roy Hopper at Tyler, Tex., and William Anderson and his wife at Dallas, Tex., in possession of 28 gm. of morphine and 57 gm. of heroin. A search of Anderson’s home resulted in the seizure of 57 gm. of morphine and 142 gm. of TRAFFIC IN OPIUM 33 heroin, the latter being in envelopes bearing the “World Wide Prod­ ucts” label. It is believed that this “World Wide Products” label is merely a false domestic one of no more significance than the once-familiar “White Horse” and similar labels. The high percentage of adulter­ ation in the heroin seized in the various cases mentioned above would indicate that this heroin had been packed in the United States, lending further credence to this belief. On March 23, 1938, Lloyd Tucker was sentenced to 5 years’ im­ prisonment. On April 11, 1938, the following sentences were imposed upon the Beland group at Fort Worth: Lucy Beland, 2 years. Joe Beland, 5 years; 12 years, suspended for 5 years, after serving 5 years. Jacqueline Beland, 2 years; 15 years, suspended for 5 years, after serving 2 years. Leslie James, 5 years, to run concurrently with a 3-year suspended sentence previously imposed in another case; 15 years, suspended for 5 years, after serving 5 years. Willie Beland James, 5 years, to run concurrently with a 5-year sentence previously imposed in another case; 15 years, suspended for 5 years, after serving 5 years. On M ay 11, 1938, Morris Tennenbaum and Abe Klein, whose true name is Harry Imberman, received sentences of 7 years and 8 months each. On May 18, 1938, Robert Tersky was sentenced to 2 years’ imprison­ ment. It was recommended that he be committed to the United States Public Health Service Hospital at Lexington, Ky. On June 13, 1938, the following sentences were imposed at New Orleans: James Feraco, alias James Russo, 12 months, taking into consider­ ation revoked parole in New Jersey, on which he has 4 years to serve. Abie Chapman, 4 years. A warrant issued for his deportation to Poland. On June 22, 1938, H erbert L. B utler received a sentence of 1 year and 1 day. The cases against the other defendants are still pending.

With regard to the smuggling of raw and prepared opium into the United States from Mexico, the following seven cases are of interest: Bateman-English Case On February 14, 1938, Ivan E. Bateman and John E. English were apprehended by customs officers near Nogales, Ariz., after a search °f the automobile which they had driven across the International 34 TRAFFIC IN OPIUM

Boundary Line from Mexico resulted in the discovery of 5 kg. 443 gm. of raw opium and a 1-ounce bottle, partly filled with heroin. Bateman claimed that he had purchased the drugs from a Mexican at a point near the International Line. The bottle of heroin bore a label read­ ing: One onz Sulphate de Heroins, Amestardam, No. 99, Germany. This label wras obviously a clumsy forgery and should deceive no one. The cases against these defendants are still pending.

Guerrero Case On November 2, 1938, customs patrol inspectors at Nogales ar­ rested one Miguel Guerrero, Mexican, as he tried to smuggle 1 kg. 673 gm. of raw opium into that port from Mexico. The opium contained 11.94 percent anhydrous morphine and wras unlabeled. Guerrero will be prosecuted. The matter was reported to the Mexican Gov­ ernment. M atty Case On February 27, 1938, one Lorenzo M atty, nationality unknown, was apprehended at Douglas, Ariz., by customs patrolmen when he attempted to transfer 7 two and one-half gallon jars, 2 quart jars, and 3 pint jars, containing a net total of 8 kg. 335 gm. of prepared opium of an anhydrous morphine content of 13.55 percent from a truck he was driving to a parked unattended automobile. Investigation dis­ closed that this opium came from Navajoa, Sonora, Mexico, and was produced in the Guatavampo section of the State of Sonora, passing through the hands of a commission agent at Navajoa, and then being sent by automobile via the Sonora River route through Arispe to the Agua. Prieta section, and from thence to the American border. Matty was indicted and will be prosecuted. The seizure was reported to the Mexican Government. Escoboza Case On April 16, 1938, Mariano Escoboza, Mexican citizen, was arrested by a customs officer at Douglas, Ariz., when he offered to sell 680 gm., net, of unlabeled prepared opium. Escoboza admitted that he had obtained the opium at Agua Prieta, Sonora, Mexico. A report cov­ ering this seizure was transmitted to the Mexican Government. Escoboza is being held in jail awaiting trial.

Dr. Davidson-Eddie Weir Case Dr. W. H. Davidson and Eddie L. Weir, American citizens, were arrested by customs officers at a point on the Bisbee-Tucson Highway, near Bisbee, Ariz., on May 5, 1938, when a search of their automobile revealed the presence therein of two unlabeled tins of prepared opium, weighing 45 gm. net, and containing 8.88 percent anhydrous morphine. Dr. Davidson, wrho was knowTn as a notorious narcotic smuggler, TRAFFIC 1ST OPIUM 35 stated that he purchased the opium in Nogales, Sonora, Mexico, from a Chinese named Lay and that he intended to sell it in Tucson, Ariz. The two defendants were remanded to jail awaiting trial. On June 15, 1938, Dr. Davidson died in a prison hospital. The case against the other defendant is still pending A copy of the report covering this seizure was transmitted to the Mexican Government.

Moore-Cavaness Case

On June 19, 1938, four 8-ounce glass bottles of prepared opium, of a total net weight of 1 kg. 134 gm., and containing 10.36 percent anhy­ drous morphine, were seized by customs patrolmen at Yuma, Ariz., from James Lee Moore, after this person had offered to sell the opium to an officer. Later, Thomas Jefferson Cavaness was arrested in connection with this seizure. Both defendants will be prosecuted. As the opium appeared to be of Mexican origin, the case was reported to the Mexican Government.

Bustamente Case

On November 17, 1938, customs patrol inspectors at Douglas, Ariz., seized five cocoa cans, containing 1 kg. 304 gm. of prepared opium, with an anhydrous morphine content of 9.55 percent from one Modesto R. Bustamente, Mexican citizen. This seizure resulted from information that Bustamente would attempt to smuggle a quantity of prepared opium into the United States for sale at Douglas. The case was brought to the attention of the Mexican Government. Bustamente will be prosecuted.

Joseph Bonura Case

In July 1938, and again in November 1938, Joseph Bonura was arrested at New Orleans, La., in connection with cases in which narcotic and customs officers purchased or seized 1 kg., 538 gm. of heroin. Joseph Bonura was the leader of an important ring of illicit narcotic distributors in New Orleans. He has a record of several prior convictions for violations of the Federal narcotic laws. At the time of his arrest three of his brothers were confined in Federal peni­ tentiaries for narcotic offenses. Upon his plea of guilty, Joseph Bonura was sentenced to 5 years’ imprisonment. After serving this time he will still be under an additional sentence of 10 years’ imprison­ ment which was also imposed, but suspended. Thirteen other per­ sons involved in these cases received shorter penitentiary sentences. Among the drugs seized were 387 gm. of heroin which were found in a package nearly full, made up to appear to be a sausage casing. This package is believed to be of European origin. 36 TRAFFIC IN OPIUM

Miller Brothers Case

After the Beland organization (previously reviewed in this report under “W orld Wide Products” heroin) had been disrupted, another combination headed by three brothers, George Miller, Johnnie Miller, and Walter Miller, of Dallas, Tex., came into prominence. As the result of an extended investigation, 52 persons were arrested in November and December 1938 and were subsequently indicted. Ten automobiles and one truck were seized. D uring the investigation a narcotic officer, pursuing two members of the ring, saw them throw an object from an automobile. Retriev­ ing this on the supposition that it was narcotics, he found it to be a dynamite bomb with the fuse lighted. By quick action he removed the fuse and detonator, rendering the bomb innocuous, and escaped without injury. Of the 52 persons indicted in this case, 48 have already been convicted. Sentences imposed on some of the ring leaders are as follows: George Miller, 7 years imprisonment, 5 years additional suspended. Johnnie Miller, 7 years imprisonment, 5 years additional suspended. Walter Miller, 5 years imprisonment suspended. Roy Sistrunk, 3 years imprisonment, 5 years additional suspended. Fred Guthrie, 3 years imprisonment, 5 years additional suspended. Aubrey Aeby, 5 years imprisonment, 5 years additional suspended. Pauline Rogers, 5 years imprisonment, 5 years additional suspended. Addie Wilkie, 5 years imprisonment, 5 years additional suspended. R alph Moore, 5 years imprisonment, 5 years additional suspended. Marjorie Collins, 5 years imprisonment, 5 years additional sus­ pended. H. W. Highnote, 5 years imprisonment, 5 years additional sus­ pended. The total amount of narcotic drugs purchased or seized in this case was 1 kg., 78 gm. The narcotics bore no m arks or labels indicating their origin. Boyd Penn Case

On October 8, 1938, Boyd Penn was arrested at Houston, Tex., in connection with a case in which 114 gm. of heroin were purchased or seized. Learning that he still continued his traffic in narcotics, officers resumed surveillance of this violator and on December 22 he was again arrested after he had been trailed to a point in the woods about 15 miles from Houston where the officers found that he had concealed 244 gm. of heroin in a thermos jug buried in the ground. These drugs bore no marks or labels indicating origin. Both cases as to Penn are still pending. This trafficker is an owner and trainer of race horses, and has three times heretofore been convicted of violations of the Federal drug laws. Female defendants arrested in Miller Brothers Case. w ... '

Male defendants arrested in Miller Brothers Case — two of whom threw dynamite bomb while being pursued. TRAFFIC IN OPIUM 37

Biaggio Angelica et al., Case­

in the latter part of 1938, after an extensive investigation during which approximately 522 gm. of heroin and 117 gm. of morphine were purchased or seized, a case was developed against Biaggio Angelica. At that time Angelica was the head of the most important illicit drugs distributing organization in southern Texas. Seventeen other persons were involved in the case with him. Upon conviction, the principals received prison sentences as follows: Biaggio Angelica, 10 years; Joe Macey, 10 years ; Perry C. Smith, 9 years; Lula Tyra, 30 months; Dr. Perry W. Weeks, 4 years ; William Self, 18 months. Other minor defendants received smaller sentences. The narcotic drugs obtained in this case bore no marks or labels indicating their origin.

SIGNIFICANT CASE OF ILLICIT TRAFFIC IN THE PANAMA CANAL ZONE

Moran-Goodridge Case

Only one case concerning violation of the narcotic laws in the Panama Canal Zone was reported during the year. On July 19, 1938, near the Pacific entrance to the Canal, while customs officers, acting on information that had been received, were waiting in a launch, a package was thrown overboard from the Steamship Santa Barbara. It was picked up by Felix Evans Moran (alias Felix Evans), Pana­ manian, and Ainsley Goodridge (alias St. Clair), Barbadian, who had been waiting therefor in a cayuca. On being overtaken by the customs launch, Moran was observed to remove the lid from a metal container and to sink the container and contents in the xvater im­ mediately after which three bottles appeared on the surface of the water for a moment and then sank. By diving overboard an inspector retrieved one of the bottles which was later identified as cocaine hydro­ chloride. The bottle had a cork stopper, covered with waxed paper tied with string and sealed with red sealing wax, bearing the impression FR. It bore a label 1 inch by 1% inches, with repeated imprinting of the word “Roche.” Both of the defendants were tried in the District Court, Balboa, Canal Zone, and found guilty ; Moran was sentenced to imprisonment for 1 year and to pay a fine of $1; Goodridge was sentenced to im­ prisonment for 6 m onths and to pay a fine of $1. The names of the accomplices aboard the Santa Barbara were not discovered. 38 TRAFFIC IN OPIUM

SIGNIFICANT CASES OF ILLICIT TRAFFIC IN THE HAWAIIAN ISLANDS Canadian Pacific Steamship “Empress of Ja p a n ” Case The most important seizure in the Hawaiian Islands during 1938 occurred toward the end of the calendar year, namely, on December 15, 1938. This seizure consisted of 80 five-tael tins of prepared opium of the familiar “Yick Kee” brand, weighing 15 kg. 110 gm., and was made on the Canadian Pacific steamship Empress of Japan. It was the largest prepared opium seizure effected in Hawaii in 3 years. The seizure resulted from investigation by narcotic agents, customs officers, and alcohol tax unit investigators of the activities of one Ching Chung Hee, notorious narcotic smuggler, who was implicated in a case in 1928 involving 3,338 five-tael tins of prepared opium. Ching attempted to bribe a narcotic agent to permit the opium to be delivered in Honolulu, and this officer pretended to acquiesce, thus obtaining much incrimi­ nating evidence. A previous attempt by Ching to unload the opium in November 1938 had failed, as the opium could not be extricated from its place of concealment. The scarcity and high price of drugs in the Hawaiian Islands are indicated by the fact that Ching promised the narcotic agent $8,000 for his assistance in landing the opium. Ching, who was on parole from a previous narcotic conviction, was recommended for a 2-year term in that case. In the present case, following his plea of nolo contendere, Ching Chung Hee was given a prison sentence of 7 years and was fined $2,500. A codefendant, Wong Yim, stood trial, was convicted, and sentenced to 10 years’ imprisonment and to pay a fine of $500. Another defendant, Sim Muk, testified for the Government and received a jail sentence of 22 months. The seizure w'as reported to the Hong Kong authorities. Mole Case Acting on information that a person named Mole employed on the steamship M onterey w ould bring a quantity of narcotics into Honolulu, narcotic agents, customs officers, and local police arranged to have this person watched upon his arrival at Honolulu. He was observed early on the day of April 13, 1938, leaving the vessel and proceeding to the cafe operated by Eddie Chin Wan. Later that day he returned to the cafe, and contacting Chin, went with the latter to a rear room of the cafe. Investigating officers then took the two men into custody. A search of the person of Mole disclosed that the opium, consisting of six 5-tael tins, weighing 1 kg. 135 gm., net, wras concealed in a linen belt tied tightly to his abdomen with twine. The tins were of the familiar “Yick Kee” brand. Apparently, Mole purchased tlds opium in Sydney, Australia. The seizure was called to the attention of the British Government. Subsequently, Mole was sentenced to 6 years imprisonment. Eddie Clfin Wan is still under investigation. TRAFFIC IN OPIUM 39

Seizure oj Opium in Tins Which Bore Stamps Purporting to Have Been Issued by the Shanghai Opium Monopoly Suppression Bureau

On January 30 and February 9, 1938, narcotic agents at Honolulu, seized two 5-tael tins bearing the “Rooster and Elephant” brand, and containing a total of 378 gm. of prepared opium from a Chinese named Young Dow and an American citizen by the name of Paid H. Boggs. Each tin bore the narrow adhesive stamp issued by the Shanghai Opium Monopoly Suppression Bureau. Others arrested were Samuel K. Oneha and Charles B. Makanui, and Ho Yee. The persons ar­ rested have previous criminal records. Boggs and Oneha, in particu­ lar, specialize in “flim-flamming” strangers by selling them molasses disguised as opium. Ho Yee was sentenced to 5 years’ imprisonment. Young Dow received a sentence of 1 year and 1 day. Imposition of sentence as to Paul H. Boggs was suspended and he was placed on probation for 5 years. The cases against Samuel K. Oneha and Charles B. Makanui were disposed of in a similar manner.

Review of Seizures Listed According to Country of Origin

Country Case Belgium______Devine______25-26 Do______Vlyminck, S. S. Alex Van Opstal 23 China: Shanghai______Horvath, Pinson, et al., U. S. S. 29 Chaumont. Shanghai toHawaii ______Boggs, Young Dow______39 France______Scala, Mazzi, et al., S. S. Arsa______18-19 Do______Rio, S. S. Paris______12 Do______Leifer______19 Do______Peterson, Riley, et al______20 Do______Smith______20 Do______Chapman______21 British Empire: Hongkong______S. S. Silveryew______18 Do______S. S. Granville______26 Do______S. S. Don Jose______26-27 Do______S. S. President Cleveland______28 Hongkong toHawaii______Ching Chung Hee______38 Australia______S. S. Monterey______27 Australia to Hawaii______do______38 Straits Settlements______Wong Chong______28 Italy------S. S. Conte Di Savoia______22 Do______S. S. Rex______22 Japan: Kobe______Mills, S. S. President Jefferson______14, 27 Mexico------Munoz______27-28 Do------Bateman, English______33-34 Do------Guerrero______34 40 TRAFFIC IN OPIUM

Review of Seizures Listed According to Country of Origin—Continued Country Case Page Mexico______M atty______3 4 Do______Escoboza______3 4 Do______Davidson, Weir______3 4 D o______Moore, Cavaness______3 5 D o______Bustamente______3 5 Do______Almestica______4 5 D o______Aponte______46-47 Yugoslavia______Pozzecco, Ossich, et al., S. S. Ida 21-22 Curacao______Sow Kim, S. S. Santa Elena______24 Brazil: Santos______Rios, Rodriguez, S. S. Parnahyba 4 7

Illicit Traffic by Post, Express, Railway, and Air Narcotic agents at New Orleans, acting on information that Charles Dinelli was soliciting mail order narcotic business in New Orleans, ordered a quantity of heroin to be delivered in that city.This heroin, consisting of 231 gm., net, was received on September 1and 10, 1938, and was seized. In the meantime, the mailing of the heroin from Chicago, 111., was covered by narcotic agents in that city, and on September 9, 1938, Dinelli was arrested, 567 gm. of heroin being found in his possession. Later that day, a search of his premises resulted in the seizure of an additional 1 kg. 673 gm. of heroin. On October 26, 1938, Dinelli was sentenced in Chicago to 7 years’ im­ prisonment. He has a lengthy criminal record, including numerous narcotic charges and convictions. Louis Waller stein, alias “Limbo,” an important figure in the illicit narcotics traffic in New York City and whose activities and previous conviction were described in the report by this Government entitled “Traffic in Opium and Other Dangerous Drugs” for the year ending December 31, 1932, was arrested in August 1938, when he was in­ volved with nine other persons in the wholesale distribution of illicit narcotics from New York into Illinois and several Southern States. Evidence disclosed that Wallerstein had made shipments of several lots of narcotics through the mails to Chicago, 111., and to southern cities. He entered a plea of guilty to charges brought against là and was sentenced to 7 years’ imprisonment.

Nonnarcotic Substances Falsely Labeled as Narcotic Drugs Seizures in the South Central area of nonnarcotic substances falsely labeled as narcotic drugs and presumably smuggled into the United States from Mexico, showed a still further decrease as compared with seizures of such goods effected in 1936 and 1937, there being but two such seizures reported. TRAFFIC IN OPIUM 41

On March 7, 1938, United States Coast Guard officers of the Air- Patrol Detachment at Las Cruces, N. Mex., in cooperation with a narcotic agent, seized from one Carlos Misques 15 tins falsely labeled as morphine, which proved to contain 425 gm., net, of common chalk cut in cubes. The tins bore the following label: “Chambretin Morfin.” Further details concerning this false label m ay be found in the annual report of the United States Government for the calendar year 1936. On January 26, 1938, customs officers at Brownsville, Tex., found thirty 1-ounce tins of brucine, a nonnarcotic substance, hidden under a barrel in the rear of a bathhouse. There were no identifying marks or labels. However, the brucine was in cube form and was packed in 1-ounce tins similar to those ordinarily containing morphine. In­ vestigation resulted in the arrest of several persons, one of whom confessed that he and his associates cut the brucine into cubes and packed it in tins to represent morphine. Those arrested were charged with conspiracy to violate the customs and narcotic laws, but no convictions were obtained. On June 22, 1938, police at Washington, D. C., arrested three persons on suspicion. Found in their possession were two amber- colored bottles containing 1 kg. of a substance falsely labeled as heroin, which proved to be sodium bicarbonate. The bottles were marked as follows: “Argus Gesellschaft m. b. h.—Inhalt—Heroin Hydrochloride—96 pet., Berlin.” Although these labels were obviously spurious, photographs were forwarded to the German Government for its information, with the result that on September 20, 1938, the Reich Criminal Police reported that there is not, nor lias been, any firm of “Argus G. m. b. h., Berlin” ; further, that the spelling of the word “Kuhl” (cool or fresh) in the note on the lower margin of the label as “Kuehl” is not usual in German, which would indicate that the label is false. The three prisoners were eventually released by the police. Police officers at Boston, Mass., on December 3, 1938, arrested one Larry York, in possession of 2 kg. 268 gm. of a substance he was offering for sale as cocaine. Further investigation disclosed that the drug was in fact procaine and no violation of the Federal laws was involved.

Seizures oj Medicinal Preparations Containing Narcotic Drugs There appeared to be a slight decrease in the importation into the United States of Chinese medicinal preparations containing narcotic drugs, and it is believed that this was due partly to the fact that most thorough examination was given all such importations and importers warned against future shipments of a similar nature. It would appear that most of these preparations are manufactured in Canton and 44 TRAFFIC IN OPIUM

Junction City, Ky., had sold hundreds of grains of morphine to drug peddlers, narcotic agents finally succeeded in accumulating sufficient direct evidence to warrant the arrest of this physician on September 21, 1938. Simultaneously 14 other individuals who were involved in the case were also arrested. This physician was proved to be the source of supply of tax-paid morphine tablets for the use of addicts in that part of the country, as well as for customers attracted there from neighboring localities by the ease with which the tablets could be purchased. Between June 1936 and October 1938 Dr. Gragg pur­ chased approximately 39,000 morphine tablets. H e was ordering 1,000 tablets every 10 days and selling them to one Arley Brown, of Somerset, Ky. Brown in turn supplied small dealers in the vicinity, and the price eventually paid by the addicts themselves varied from 25 to 50 cents for each tablet. Dr. Gragg’s arrest was effected after he had made a sale to Arley Brown and Gentry Denham of 795 one- half grain tablets of morphine. He admitted that his unlawful acts had extended over a long period of time and that he had been making sales of morphine to Brown for a period of 11 months. He had also falsified his drug records in order to cover up his excessive sales. The headquarters of the peddlers in Somerset was unique in that it was located in a “jungle” on the outskirts of the town. It was, in reality, a dense thicket reached by a dirt road, and at the point where the road ended a narrow path led back into the thicket where the peddlers lived in the open or in crude shelters. Hundreds of empty cans around the thicket testified to the established residence there of these small-time dealers. Customers would drive up in cars, blow the automobüe horn three times, whereupon the small sales were made to them. Dr. Gragg was found guilty on each of two indictments and was sentenced to serve 5 years in the penitentiary. Arley Brown pleaded guilty and was given a 5-year sentence. Brown was also a flagrant violator of the narcotic lawrs, had been addicted to narcotics fora number of years, and was the main connection between Dr. Gragg and the addicts at Somerset. His history included trial in the State court for the death of a boy in connection with furnishing him morphine. In commenting on the above case one of the Louisville, Ky., newspapers carried the following editorial under date of September 23, 1938: THEY GET THEIR MEN A Junction City doctor, who made $12 a day at it the last 2 years confessed to Federal narcotic agents that he has been supplying morphine tablets to peddlers operating in Somerset’s “ jungles." It wras a cheap business all around, considering its wholesale nature, the harm it did, and the addicts it attracted to Somerset. A supply of 1,000 tablets every 10 days averaged 100 a day, which the doctor bought at 3 cents apiece and sold for 15 cents to peddlers who charged a quarter. The trade in 36,500 tablets netted TRAFFIC IN OPIUM 45 the doctor $4,380 a year on an investment of $1,095; the peddlers divided $3,650 from a business for which poor devils put up $9,125. The returns were not commensurate with the risk, the extent of which the 13 principals rounded up with the goods on them probably never appreciated. There is little chance of evading the narcotic laws long and the agents know more about the business than any of the operators do. They don’t act till they have the evidence and they are past masters at collecting it. For a year these agents have been working on the case. Their undercover men have mingled with the peddlers and bought the stuff. It is a marvelously efficient corps that can work that long and never arouse the suspicion of their quarry whose nefarious traffic makes them cautious. The Narcotic Bureau also has established excellent relations with local law-enforcement officers and never fails to give them a full share of the credit for accomplishment, as they did in this instance, mentioning by name every Somerset and Pulaski County officer who participated in the raid. A dulteration Adulteration in varying degrees has been found in the morphine, heroin, and cocaine sold in the illicit traffic. Two hundred and fifty separate chemical analyses of morphine seizures, 3,132 analyses of heroin seizures, and 10 analyses of cocaine seizures were made during the calendar year 1938 to determine the percentage of purity, and it was found that the morphine ranged from 6 to 100 percent pure; heroin from less than 1 to 100 percent pure; while cocaine ranged from 8 to 100 percent pure, the average percentage of purity being 99.75 percent for morphine, 27.54 percent for heroin, and 79.16 percent for cocaine.

I l l ic it T r a f f ic in M a r ih u a n a 2 (Cannabis Sativa, L.)

The enactment during 1937 of national legislation covering mari­ huana enables the Federal Government to deal with the traffic in this drug in the same effective manner as it deals with opium and coca leaves and their derivatives. Considerable progress was made during the year in dealing with the marihuana traffic, which constitutes a serious enforcement problem. The traffic in this drug is separate and distinct except in isolated instances from the traffic in other drugs, both as to sellers and users. During the year Federal officers reported 1,191 violations of the Marihuana Tax Act, involving 1,542 seizures of marihuana in various forms, and 1,088 arrests. The total number of seizures reported by Federal and State officers during the year amounted to 1,611. These involved 3,978 kg. 404 gm. of bulk marihuana, 1,216 kg. 919 gm. of marihuana seeds, 18,712 marihuana cigarettes, and approximately 43,155 plants. In addition the Federal Government, in cooperation with State and municipal enforcement agencies throughout the coun­ try, conducted a program of marihuana eradication involving approxi­

2 For information regarding legitimate cultivation see IX , M arihuana (Hem p). 46 TRAFFIC IN OPIUM mately 54,092 metric tons of marihuana growing on 9,589 hectares of land, of which 29,438.5 m etric tons growing on 5,218.7 hectares of land were definitely reported to have been destroyed. All 48 States of the Union and the Territory of Hawaii have control legislation of some nature on marihuana. Many State and city officers throughout the country have been quick to realize the dangers of the drug, and have taken hold of mari­ huana enforcement problems in a most commendable manner. Numerous police departments have been educating their forces in the recognition of the marihuana plant. There have also been initiated numerous independent local campaigns to eradicate the plant from vacant lots and backyards in various localities where it has been found growing. The widespread dissemination of educational material during the year is bringing forcibly before the notice of the people the extremely pernicious effects of marihuana smoking and the necessity for eradi­ cating it. Unquestionably these combined efforts have materially discouraged any attem p t to organize the illicit traffic on a large scale. (Unlike other drugs, marihuana is not generally handled by well-organized distributing syndicates.) The authorities, however, feel obliged to pay special attention to marihuana law violations. One of the most disturbing elements in connection with the illegal use of this drug is its potential danger to a different group. Young people not previously contaminated with drugs appear to be especially susceptible to the marihuana smoking practice. Sm uggling.—There was some petty smuggling of marihuana into the United States by seamen on vessels touching at Central and South American ports. Several of the most im portant of such cases, grouped by the ports at which they occurred, are as follows:

NEW YORK, N. Y. On September 27, 1938, customs officers at New York City dis­ covered five bags containing 1 kg. 765 gm., net, of marihuana con­ cealed on the steamship Orizaba coming from Veracruz. Enrique Almestica, fireman on the vessel, was arrested and was subsequently sentenced to 6 months’ imprisonment. A second marihuana seizure, amounting to 1 kg. 644 gm., was made on the steamship Orizaba by customs officers at New York City on October 19, 1938. The case is still pending. On December 28, 1938, a customs guard at New York found in a ventilator in the steward’s washroom of the steamship Brazil, coming from Buenos Aires, via Santos, Rio de Janeiro, and Trinidad, a pack­ age of marihuana, weighing 280 gm., net. Customs agents investi­ gating the seizure were informed by certain crew members of the TRAFFIC IN OPIUM 47 vessel that the marihuana belonged to Miguel Aponte, steward. A search of this person revealed one marihuana cigarette. Another marihuana cigarette was found in his locker. The prisoner stated that he was a marihuana smoker and that the cigarettes were for his own use. However, he claimed that he knew nothing about the mari­ huana found in the ventilator, nor would he divulge its origin. The defendant is being held for prosecution.

BALTIMORE, MD.

On October 31, 1938, customs officers at Baltimore, M d., seized 1 kg. 899 gm., net, of marihuana from Augustine Rios and Joe Rodrigues, seamen on the Brazilian steamship Parnahyba coming from Santos. Subsequently, sentences of 2 years were imposed on each of the defendants. Internal traffic.—Few of the cases of internal traffic reported under the Marihuana Tax Act are of sufficient international interest to be set out in detail. A number of cases involving violations of this act or the various state laws for the control of marihuana, are sum­ marized in the succeeding paragraphs under headings indicating the localities in which they occurred.

N EW YORK, N. Y.

Among important cases developed during the year concerning inter­ state distribution was that against one Jose Samaniego and others. The principals were residents of New York City. They learned that large supplies of marihuana were available in southern Minnesota and sent agents to that territory. Marihuana prepared for smoking was subsequently shipped from Minnesota to New York and to Chicago, 111., where it was distributed in the illicit traffic. Records obtained in the investigation indicated that approximately 294 kg. 835 gm. of marihuana prepared for smoking had been distributed in New York by this organization. As a result of the investigation, two persons were convicted in Minnesota, two in Chicago, and six were convicted at New York City. NEWPORT, KY.

On February 24, 1938, police officers of Newport, Ky., arrested Ralph Bridewell for the possession of stolen property. While search­ ing his premises they found a total of 8 kg. 306 gm. of marihuana, to which he acknowledged ownership and claimed to have purchased it from a man whose name he did not know. On February 25, 1938, his brother, Harry Bridewell, was arrested for the sale of marihuana cigarettes. Both pleaded gudty and each was sentenced to serve a term of 5 years in the Penitentiary. Each had previously served a penitentiary term for violations of the liquor laws. 48 TRAFFIC IN OPIUM

NEW ORLEANS, LA.

Investigations conducted in New Orleans during the months of April to July 1938, resulted in a series of purchases of marihuana cigarettes from 13 members of the Albano gang and the securing of evidence against another member of the gang. On August 18, 1938, the grand jury returned indictments against 14 of these individuals 12 of whom either were convicted or pleaded guilty, and received sentences ranging from 17 months to 3 years. Two of the defendants have not been apprehended.

After having made purchases of marihuana cigarettes from all four members of a ring of marihuana traffickers during the period from May 10 to July 7, 1938, narcotic officers arrested Russel Saia, A nthony Cangimilla, and R alph LaCoste. Saia and Cangimilla were tried, convicted, and each sentenced to 30 months in the peni­ tentiary. LaCoste pleaded guilty and received a sentence of 17 months. Roy Saia, the fourth member of the ring, is under indict­ ment but has not yet been apprehended.

COLUMBUS, OHIO

On April 24, 1938, W illiam Bronston was observed by narcotic and police officers as he was about to make a sale of marihuana from his automobile parked at the rear of 387 Charles Street, Columbus. Seeing the officers he leaped from the car, ran down the alley and escaped. The marihuana concealed in his car, consisting of about 227 gm. was seized. Officers entered the premises and arrested Thomas Claridy who was in possession of marihuana cigarettes. William Bronston was subsequently arrested after a hard fight and gun battle, he being under the influence of marihuana at the time. He was tried and convicted on June 7, 1938, and received a sentence of 5 years and $1,000 fine. The case against Claridy was ordered nolle prossed by the court. MEMPHIS, TENN. On October 4, 1938, police officers of Memphis, Tenn., received information that Joe Lang, Orlando Hodge, and Mary Jones were planning to rob Mary Jones’ aunt and with the proceeds therefrom to proceed to Chicago for the purpose of selling marihuana. They were arrested on the same date and 411 gm. of marihuana and 147 marihuana cigarettes were seized. They admitted that they had pro­ cured the marihuana on a plantation in Mississippi about 50 miles from Memphis, and divided it, and they had planned after committing the robbery to take the marihuana to Chicago and sell it. On October 14, 1938, all three pleaded guilty. Hodge and Lang each received a sentence of 3 years and $1,000 fine, both having previous criminal records. Mary Jones was placed on probation for 3 years. TRAFFIC IN OPIUM 49

VI. Other Information.

E d u c a t io n a l W o r k Much effort has been expended during the year on preventive educational work, particularly regarding the abuse of marihuana. In regard to education of this type, it is felt that if the material is not very carefully worked out there might be grave danger of creating curiosity among the youth which would have a tendency to be harm ­ ful rather than beneficial; in fact, it is thought that marihuana educa­ tional talks shoidd be confined to adults, who in turn can properly inform their own children. It is considered wise to guard against the danger of persons not fully conversant with the question broadcasting lectures and informa­ tion on narcotic drugs. Too much stress cannot be laid on the importance of obtaining the cooperation of persons who can speak with authority on the subject, and in such manner that no element of curiosity or desire to experiment could possibly be aroused in the minds of listeners as to the nonmedical use of drugs. The public response has evidenced appreciation and support of this trend, and great assistance has been rendered by various women’s organizations, particularly by the National Woman’s Christian Temperance Union, the General Federation of Women’s Clubs, and the numerous parent- teacher organizations throughout the country in the widespread dissemination of educational m aterial on illicit use of narcotic drugs. There has been increased demand for speakers and for written information on the narcotic and m arihuana problems, manifesting an active desire on the part of many worthy civic organizations and citizens to be of assistance. Over 150 addresses were delivered, on request, by various super­ visory officials of the Bureau to organizations throughout the country such as the various medical associations, various police schools and State police training schools, the Woman’s Christian Temperance 1 iiion, the American Legion, various churches, hospital groups, and lodges, Kiwanis, Rotary, and other clubs, colleges of pharmacy and science, parent-teacher associations, Associations of University Women, Peace Officers’ Training Schools, Peace Officers Associations, and other interested groups. The Commissioner of Narcotics personally fulfilled a number of lecture engagements before national groups on the narcotic problem. As of interest, there is quoted below the text of an address before the Eighth Annual Forum on Current Problems Facing America, held under the auspices of the New York Herald-Tribune in New lork City during October 1938: 50 TRAFFIC IN OPIUM

The speech by Honorable H. J. Anslinger, Federal Commissioner of Narcotics, on

T h e I m p o r t a n c e o f C o o p e r a t i o n i n N a r c o t i c W o r k a n d t h e G o v e r n m e n t 's F i g h t o n M a r i h u a n a This Forum is a fitting place to review your Government’s progress in suppress­ ing the abuse of dangerous drugs. For over a quarter of a century, the American Government has waged a relentless fight. We were the first to issue a call to other nations of the world for cooperation in suppressing the international illicit traffic. It is gratifying to review the growth of this humanitarian movement from the first consultation at Shanghai in 1909 among six great powers of the world to a cordial cooperation which now embraces the entire group of civilized nations. It is inspiring to know that this is one problem on which all nations have agreed to work together, with definite results, for the betterment of mankind. So, largely through American leadership, all nations have joined in a world­ wide union for the protection not only of their own citizens but of the whole race against this common enemy. With this solemn object in mind, international covenants containing strict pledges for national legislation and international cooperation are contained in The Hague Convention of 1912 and the Narcotic Limitation Convention of 1931. The 1931 treaty, ratified by 63 nations, repre­ sents the most stupendous blow that has ever been dealt the international illicit traffic in narcotics. This commitment cut surplus manufacture in other countries which had been feeding our illicit traffic by 30 tons annually and reduced addiction throughout the world. In time, by striking at the root of the evil, we hope to achieve—through inter­ national cooperation—world limitation of the production of raw opium. Thus it will be possible to enter upon a new and important stage in the suppression of the abuse of narcotic drugs. Just as the American Government led the nations to international action, it has taken the leadership in getting at the basic truth of drug addiction, and in rehabil­ itating the unfortunate addict, particularly those of emotional instability who use drugs as a cowardly retreat from reality. In Federal institutions at Lexington, Ky., at Fort Worth, Tex., and at Alderson, W. Va., disintoxication, rehabilitation, and social adjustment go forward at great pains and at justified expense. The addict’s economic drag on communities is thus removed. The Treasury Depart­ ment’s research work on drug addiction has attracted the admiration of the entire world. We are gradually loosening the grip of a cruel slave master. Now we have reduced addiction to opium and its derivatives to about one nonmedical drug addict in every 3,000 of the general population, as against the one in every 1,000 that we found in this country some years ago. Our Government has carefully worked out a control program on narcotic drugs which includes: 1. Close international cooperation with all countries. No nation standing alone can cope with the problem. 2. Effective control of the manufacture and distribution of narcotic drugs for medical needs. 3. Treasury Department coordination of Coast Guard, Customs, and Narcotic Bureaus to curtail smuggling and the illicit traffic. 4. Complete cooperation with all States, 40 of which have enacted the Uniform State Narcotic Drug Act. 5. Federal rehabilitation hospitals for the treatment of drug addiction and to remove causative factors of addiction. Due to this well-woven pattern, thousands of potential youthful recruits to narcotics, such as opium, morphine, heroin, and cocaine, have been prevented from entering t h e slavery of narcotic addiction. TRAFFIC IN OPIUM 51

MARIHUANA

In the fight against narcotics, each victory leads to a new field of battle. Our most recent enemy is marihuana, the use of which as a narcotic was virtually unknown in the United States a decade ago. Out on the battlefront we must ask the actual help of every person. It is a new peril—in some ways the worst we have met and it concerns us all. About 1935, we were stunned with the rapid wildfire spread of this drug; and by the following year it had become such a major menace as to call for the enact­ ment of national-control legislation. Nearly every State had suffered from the insidious invasion of this drug. It spread to new circles not previously contam­ inated by drug addiction; to young impressionable people.

LEGISLATION We urged and obtained marihuana legislation in all of the 48 States. Then to coordinate the problem Congress passed the Marihuana Tax Act of 1937, bringing the drug under Federal control. This new law requires all persons dealing with the drug in any way to register with the Government and pay a special tax. It restricts the use of marihuana, or hemp, to industrial, medical, and scientific purposes. Violations are punishable by 5 years imprisonment. We are studying the practicability of having marihuana brought within control as a noxious weed, thus giving municipal authorities an additional eradication weapon. HISTORY AND EFFECTS The origin of marihuana is shrouded in the mists of antiquity. For centuries, it has been a problem in many parts of the world. Homer was its prophet, Marco Polo its advance courier. Abroad it is called Kif, Dagga, Bhang, Charas, Ganja, and Hashish. In the argot of the underworld it has colloquial, colorful names such as reefers, muggles, hay. Marihuana destroys mental fabric; insanity frequently results from its con­ tinued use. Our only way of testing it is to try it on dogs. If the dog’s legs get tangled up, the drug is potent. If you go on giving the dog marihuana, his brain is destroyed. Unlike opium, which is the good in Jekyll and the bad in Hyde, marihuana is Hyde only. The medical profession, which knows it as Cannabis sativa, has practically abandoned its use because of its unpredictability and extreme vari­ ability of effect. It depresses, it stimulates, it turns wrong into right, it incites to violence. It distorts speech, vision, hearing, space, and time. No one can fore­ tell the result of its use. PREVALENCE AND USES The plant has been found growing wild along river beds, along the roadside, in vacant lots. Sometimes illicit growth is camouflaged by planting it in the midst of cornfields, but marihuana soon raises its head above the corn. Ordinary hemp is the same plant as marihuana. Hemp is cultivated for the production of fiber, and has been known in America since 1630; while the name 'marihuana” has only recently been applied to the same hemp plant in connection with its abuse as a narcotic. It is incorrectly termed “loco weed.” During 1937 hemp, or marihuana, was legitimately grown on many acres in Illinois, Kentucky, Wisconsin, and Minnesota, for fiber and seeds. The fruits or seeds of the plant form a constituent of commercial oil and bird food, but before it can be used as bird food all hemp seed must now be sterilized to destroy its ger­ minating power. This is done for the reason that most of the present wild growth is due to birdseed dissemination. 52 TRAFFIC IN OPIUM

IDENTIFICATION AND RESEARCH

The plant is tall, stately; an object of beauty, sometimes called a Green Goddess but in that beauty there lurks a coiled rattlesnake. Until recently, the definition of Cannabis sativa (marihuana) in the Interna­ tional Convention and in all State laws was based upon the traditional conception that the active principle of the drug is present only in the flowering tops of the female or pistillate plant. Recent chemical tests show that the active principle up to 50 percent is contained in the leaves of the male or staminate plant. The definition of marihuana in legislation must, therefore, be made all inclusive. Little is known about the chemistry of the narcotic principle which causes damage. The Treasury Department is conducting intensive studies and research investigations on the isolation and structure determination of the active con­ stituents occurring in Cannabis sativa as w^ell as its effects on the human being. Several universities are helping in this program. The Federal Government is also cooperating with committees set up by the League of Nations to conduct research and study abuses. We gladly furnish aid to various States in educating enforcement agents and State and municipal chemists concerning marihuana and its identification.

ENFORCEMENT We have (as of October 1, 1938) arrested 1,000 illicit traffickers of this drug since October 1, 1937, the date Federal legislation went into effect. This measure will prove an effective weapon in combating the illicit traffic. Courts have dealt severely with these traffickers who poison their fellow man for gain and crush his spirit. Judges sometimes brand such peddlers as being worse than murderers. With the cooperation of city, county, and State officials throughout the country during the past 4 months, we have destroyed 16,000 tons of marihuana or approxi­ mate! } 7 10,000 acres distributed over nearly every State in the Union. In several years we shall have destroyed the major growth. In accomplishing this enormous task our Government has removed a great potential danger to the health and welfare of the youth of our land.

CONCLUSION Law enforcement is the responsibility of the Federal and local police. The duty of cooperation in this work is yours also. If you have sound reason to believe that marihuana is being used or sold illegally; if you know of a tract of land where it grows or is being cultivated contrary to law; you should report these infractions to the police authorities. The Bureau of Narcotics will gladly test any plants which are suspect. II we cannot send an agent, we will give proper guidance as to destruction. We urge you to familiarize yourselves with the appearance of the plant and to be on the watch for it everywhere. The abuse of marihuana can be stamped out through correct preventive educa­ tional work. You can do this without sensationalism. If youth is properly informed about the dangers of marihuana, that knowledge should not invite experimentation. You must pledge yourselves to the task of preventive educa­ tion. The time to stamp out marihuana is now—before it places an indelibile stamp upon the easily molded mentality of our youth, who seem to be its chief victims. Here is a challenge to every right-thinking person! A challenge which dares anyone to be so remiss as to stand idle against this menace. I wish heartily to commend the many officers of the General Federation of Women’s Clubs, the Woman’s Christian Temperance Union, and parent-teacher organizations throughout the land on the admirable stand they have taken toward enlightenment of the public and breaking down general apathy and indifference TRAFFIC IN OPIUM 53 re g a rd in g the sordid traffic in contraband drugs. I believe that informed public opinion is the most powerful weapon with which to fight this dangerous public enemy. The Bureau of Narcotics has furnished assistance to various States toward educating enforcement agencies and State and city chemists and police organizations concerning the identification of marihuana. It is considered very important that all police officers be instructed as to the recognition of marihuana and the marihuana plant.

C o u r t s In passing sentence on Jacob Lvovsky, who pleaded guilty in Federal Court to being a wholesale smuggler of drugs and was sentenced to 7 years in Federal prison and a fine of $15,000 on five separate counts in the indictment, District Judge William Bondy of the Southern District of New York, in January 1938, made the following praise­ worthy statem ent: Can you give two chances in a case of murder? I think this is worse than murder. Would you give him two chances in the case of murder? I would rather be the victim of a murderer than a man selling narcotics. If he was an addict I might have some sympathy for him. But where people prey upon the weakness of a man—where they sell narcotics to these unfortunate addicts, I think there is no adequate punishment. This case (which was reviewed in detail in the 1937 Report on Traffic in Opium and Other Dangerous Drugs) involved a narcotic drug smuggling conspiracy of world-wide ramifications, and resulted in the indictment of 30 persons, members of a ring headed by Jasha Katzenberg, Jacob Lvovsky, and Louis Buchalter, alias Lepke, of New York. The smugglers obtained their narcotics in the Japanese Concession of Tientsin, China, smuggling into the United States in approximately a year sufficient drugs to supply the needs of 10,000 addicts for th at period. Katzenberg was sentenced on November 30, 1938, to serve 10 years in the penitentiary and fined $10,000. As of interest in connection with this case, the following syndicated editorial which appeared in the press throughout the country, is quoted. DRUG SMUGGLER Public enemies of the bandit and kidnapper stripe become notorious by the spectacular nature of their crimes; their operations put their names in the news. The law abiding hear comparatively little of ringleaders in the illicit drug traffic until, like all criminals, they are finally undone by the law; furtive secrecy is characteristic of the whole despicable business. But the cover under which it thrives may at the same time serve to cloak the drive of the law against it until authorities are read}' to “break” the case. All of which brings us to Yasha Katzenberg, whose name until recently the average reader might not have identified as that of a major public enemy. But the 810,000 fine and 1 0 -year prison sentence imposed upon him the other day in New Tiork attest his status, nor is the penalty severe in view of his record. He 54 TRAFFIC IK OPIUM

was one of the chief narcotics smugglers extant, described by a League of Nations committee as “an international menace.’’ When prohibition ended he turned from bootlegging to heroin smuggling. He was far from a petty peddler; his drugs were sneaked in by the trunkful, every such consignment wrorth about $125,- 000. In the course of his career the business totaled an estimated volume of $10,000,000. Murder, bribery, and all the other loathsome standbys of the under­ world racket made it possible. Such was Yasha Katzenberg, exacter of millions in tribute from human misery and degradation. The trapping by Federal agents of this rat and his aides is a warning to others of their kind still at large. A noteworthy precedent was established by the Fifth United States Circuit Court of Appeals in AprU 1938, when it affirmed what was probably the severest sentence ever imposed for violation of a Fed­ eral narcotic law. In affirming sentences of three Texas men, who had been convicted in connection with the operation of a vast narcotic distributing organization in the Texas-Louisiana area, one of which sentences was for 52 years’ imprisonment, the court said: The sentences are unusually, and in one case, extremely severe. But the crimes are serious ones, and the judge sentencing for each of the offenses had the power to make the aggregate several times what he did. The sentences are neither cruel nor unusual in the constitutional sense. If this attitude prevaüed in all districts of the United States, it would prove a powerful deterrent to the drug traffic ; in districts where it does prevail, the fact that severe penalties inflicted are having a salutary effect is proved by the increased difficulty that officers of the Bureau now experience in arresting traffickers in those sections. Thus while an encouraging trend toward adequate punishment is ap­ parent in certain districts, nevertheless narcotic law violators receive average imprisonments which are only approximately one-third of the average maximum sentence applicable to such violations.

R e c id iv is m in N a r c o t ic L a w V io l a t o r s The fact that the majority of narcotic law violators are major crimi­ nals is shown by the Uniform Crime Reports for 1938, issued by the Federal Bureau of Investigation of the Department of Justice. (See table 5 in appendix of this report.) Of the narcotic drug law violators arrested during the year, 60.9 percent had previous records and arrests. A study of the criminal history of 1,762 cases during 1938 wherein the defendants had prior convictions, showed 4,714 prior convictions of major offenses and 2,119 minor offenses, or a total number of prior convictions disclosed, 6,833. During the year the Federal Bureau of Narcotics secured from the Federal Bureau of Investigation of the Department of Justice, and made available for use at trials of the respective defendants, the crimi­ nal history and records of 4,028 persons arrested for violation of the Federal narcotic laws. With this criminal background of defendants made available to them, it is possible for the courts to impose on nar­ TRAFFIC IX OPIUM 55 cotic racketeers sentences which will prove sufficiently severe to act as deterrents, and to insure that these persons will not be returned to society while the likelihood is so strong that they will revert to a life of crime.

N u m b e r o f N a r c o t ic D r u g L a w V io l a t io n s C o m p a r e d W it h N u m b e r o f O t h e r C r im e s The relationship of narcotic drug law violations to the general crime picture in the United States is approximated by the following figures: Arrests for all offenses against State laws and municipal ordinances, January 1-December 31, 1938------554, 376 Of these, narcotic drug law offenses numbered------4, 164

D e p o r t a t io n o f A l ie n s The deportation under authority of legislation approved in 1931 of aliens convicted of one or more violations of the Federal narcotic laws continues to serve the purpose of eliminating a number of these illicit traffickers. In every case where the convict is, prim a facie, an alien, the conviction is reported to the Bureau of Immigration and Natural­ ization of the Department of Labor, which makes further investiga­ tion to determine whether the person is actually an alien and whether there is any bar to deportation. The alien is not deported until his release from confinement under the sentence imposed. Action is taken by the Bureau of Immigration and Naturalization causing warrants of deportation to be issued in all cases of deportable aliens convicted and sentenced. Under the Federal deportation law of 1931, alien narcotic drug addicts who are convicted of violations of the Federal internal-revenue narcotic drug laws not involving sale are not deportable. The statistical table showing the result of action taken in deporta­ tion cases, with respect to convicted violators of the Federal narcotic drug laws, during the calendar year 1938, together with the number of cases previously reported and pending on January 1, 1938, will be found in the appendix in table 7. The table shows the deportation of 53 aliens during the year.

A u to m o b il e s S e iz e d f o r V io l a t io n o f t h e F e d e r a l N a r c o t ic L a w s On January 1, 1938, there were cases pending against 92 automobiles valued at $35,168, 2 trucks valued at $850, 1 wooden boat valued at $50, and 1 bicycle valued at $10. During the calender year 1938 155 automobiles valued at $66,014, 6 trucks valued at $1,925, 1 motor­ cycle valued at $150 and 1 bicycle valued at $15 were seized in con­ nection with violations of the Federal narcotic laws. 56 TRAFFIC IX OPIUM

The following table shows the disposition of the 259 vehicles valued at $104,182: Value 114 cars -- $41, 400 3 trucks _ -- 1,450 1 bicycle- 1 0 1 wooden boat.- 50 Completely destroyed by fire. 2 cars. 900 19 cars ______11,582 30 cars. _ __ -- 14,240 1 truck__ 250 82 cars ______- - 33, 060 4 trucks _ _ _ -- 1,075 1 motorcvcle___ 150 1 bicycle____ 15

2 5 9 ______104, 182 Of the 138 vehicles forfeited, 80 were delivered under statutory authority to field narcotic law enforcement officers for use pursuant to the performance of their official duties, while 44 were sold at public auction for the sum of $1,973.30, and 14 were delivered for official use to other Federal agencies.

A u t o m o b il e s S e iz e d f o r V io l a t io n o f t h e M a r ih u a n a T ax Act During the calender year 1938, there were 16 automobiles va’ued at $4,395 and 1 bicycle valued at $15 seized for violation of the Marihuana Tax Act. The following table shows the disposition of the 17 vehicles valued a t $4,410: Value Forfeited by court order______1 car______$475 Forfeited summarily______5 cars______510 Returned______1 car______450 Pending______9 cars______2, 960 1 bicycle______15

Total______17______4,410 Of the six cars forfeited, one was delivered to the Bureau for official use and five were sold at public auction for the sum of $165.

T h e f t s Thefts of narcotic drugs from wholesale drug houses, retail pharma­ cists, and physicians reported during the calendar year 1938, were not only greater in number than those reported during 1937, but also involved larger quantities of drugs. The frequency of such thefts notwithstanding the precautions taken against them is an indication of the difficulties encountered by the addict and peddler in securing their supplies of narcotics in the illicit traffic. A schedule of such thefts by enforcement districts is set out in table 8 in the appendix. TRAFFIC IN OPIUM 57

L o st O r d e r F o r m s Official narcotic order forms, which must be used to cover all sales or transfers of narcotic drugs under the law, are issued and sold to registrants by the Federal Government. From time to time some of these official order forms are lost by or stolen from registrants, who are required thereupon to report the loss to the Commissioner of Narcotics. During the calendar year 1938, 10 thefts and 210 in­ stances of unaccounted for losses of such order forms were reported to the Bureau of Narcotics. The Commissioner sends a monthly list of such lost forms, showing their identifying serial numbers, to registrants who are authorized to make sales of drugs, with instructions to refuse to honor those reported as lost or stolen when and if presented, but to report the circumstances, transmitting the order form or forms to the Bureau of Narcotics for investigation.

D iv e r s io n s Following the successful prosecution during 1936 and 1937 of a number of physicians and druggists who were engaged in large-scale violations of the narcotic laws, conditions with respect to the diversion of drugs from legitimate channels to nonmedical uses have noticeably improved. Such diversions remain, however, a significant problem.

S t a t e B o a r d s Under authority of the Federal law approved June 14, 1930, as amended, the Commissioner of Narcotics, on behalf of the Secretary of the Treasury, continued furnishing the respective licensing boards in the several States with information in cases where licensed physi­ cians, dentists, veterinarians, osteopaths, or pharmacists had been convicted of violations of the Federal narcotic drug laws or had been reported by investigating officers as being addicted to the use of nar­ cotic drugs. Assistance has been rendered these boards in the prose­ cution of such persons with a view' to the revocation or suspension of the licenses heretofore issued them and the consequent withdrawal of their right to purchase, sell, or dispense narcotic drugs. Statistical tables showing the number of convicted or addicted physicians, dentists, veterinarians, osteopaths, and pharmacists whose cases were reported to and pending before the various licensing boards at the beginning of the calendar year 1938, the number of persons whose cases were reported during the year, and the action taken thereon as reported to the Commissioner of Narcotics, together with the number of persons whose cases wTere pending at the end of the calendar year 1938, will be found in the appendix as tables 6, 6—A, 6-B, 6-C, and 6-D. 58 TRAFFIC IN OPIUM

B. RAW MATERIALS VII. Raw Opium. Raw opium is not at present lawfully produced in the United States. All supplies thereof are imported under official permit, and such importation is permitted only for the manufacture of its derivatives for medical and scientific purposes. There is no exportation of raw opium from the United States to any other country. All medicinal derivatives of opium used in the United States are manufactured from the imported opium since the importation of such derivatives is prohibited. Importations of raw opium during the calendar year ended Decem­ ber 31, 1938, are shown in the appendix, tables 9 and 9-B. Importers of raw opium pursuant to special permit generally use the entire supply obtained by importation for their own manufacture, with only occasional sales of small quantities to pharmaceutical manu­ facturers for making tinctures and extracts. The revenue represented by the opium imported during the calendar year 1938 was $448,197.43, based on an im port duty of $3 per pound and an internal-revenue tax of 1 cent per ounce, or 16 cents per pound upon the same opium. The total Federal revenue for the calendar year 1938, internal-revenue collections and customs duties, was $5,816,653,802.69. VIII. Coca Leaf. The coca leaf is not grown in the United States, all supplies thereof being imported. A comparative statement of importations of coca leaves for the 14-year period from 1925 to 1938, inclusive, will be found in the appendix, table 10. The revenue represented by the coca leaves imported during the year 1938 was $119,559.54, based on an import duty of 10 cents per pound and an internal-revenue tax of 1 cent an ounce, or 16 cents a pound upon the same leaves. IX. Marihuana (Cannabis sativa L., Indian Hemp). During the year 1938 hemp was grown on about 534 hectares in the States of Kentucky and Wisconsin for seeds and fiber. Of this approximately 480 hectares were grown in the State of Wisconsin for fiber, mainly for cordage purposes. The crop grown in Kentucky was cultivated for both the fiber and seed, approximately 37 hectares being grown for fiber and 17 for seed. The production of hemp seed amounted to approximately 10,250 kg. No one registered during the year to grow the plant for the flowering or fruiting tops for the production of cannabis for medicinal purposes. It is not believed that the plant will be cultivated for this purpose in view of the tax of $1 an ounce which is imposed under the act on the TRAFFIC IN OPIUM 59

transfer of the flowering tops, the whole plants, or any extracts or preparations made therefrom. Importations of hemp seed during 1938 totaled 233,276 kg. 861 gm. as compared to 216,416 kg. 303 gm. during 1937. While the impor­ tations for 1938 are slightly in excess of 1937 they are still far below those made during 1936 when 28,536,334 kg. 930 gm. of seeds were imported. The internal-revenue tax of 2 cents per pound, effective August 21, 1936, on the importation of these seeds remained in effect during 1938. The im portations of hemp seed during the years 1930 to 1938 are shown in table 10-A in the appendix. The Federal supervision of the authorized production and distri­ bution of hemp for industrial and medicinal purposes is accomplished by a control of production exercised through a system of annual returns covering the essential details of cultivation, harvesting, and produc­ tion; a control of the distribution by producers, manufacturers, and dealers exercised through a similar system of monthly and quarterly returns required of manufacturers and dealers, covering complete details of all transactions involving manufacture, purchase, sale or transfer, and a system of serially numbered official order forms or certifications of the collector of internal revenue, required before any transfer of such products can be made ; and a control of dispensing for medicinal purposes exercised through official inspections of the records of druggists and practitioners. As a basic qualification for engaging in the international trade either as importer or exporter, one must be registered in the appro­ priate classification under the Marihuana Tax Act. With respect to importations, in addition to being so registered the importer must in each case present to the collector of customs at the port of entry a document issued by the collector of internal revenue of the district showing th at an official order form for the procurement of the mari­ huana has been issued and that the transfer tax of $1 per ounce has been paid, except that hemp seeds may be imported by a registered importer without the use of official order forms or payment of transfer tax, but such importer must present to the collector of customs a certificate issued by the collector of internal revenue for the district showing him to be properly registered and thereby qualified to import such seeds. With respect to exportations to countries which regulate the importa­ tion of cannabis, in addition to being registered as a manufacturer, producer, or dealer or being qualified as an official of the Federal or a State Government, the exporter must procure a permit from the Com­ missioner of Narcotics authorizing the exportation, and the application for the export authorization must be accompanied by an import permit issued by the Government of the country of destination or other evidence that the applicant has complied with the requirements of the 148600— 39------5 60 TRAFFIC IN OPIUM

laws and regulations of such country with respect to the proposed ship­ ment. Exportations to countries which do not regulate such importa­ tions, while not specifically prohibited, are subject to the transfer tax of $100 per ounce or fraction thereof on the total quantity of the drug or preparation exported, and it is not expected that any such exportations will be made. As a basic qualification for engaging in the internal trade, one must be registered in one or more of the five classes specified in the act. Every person who imports, manufactures, produces, compounds, sells, deals in, dispenses, prescribes, administers, or gives away marihuana, unless an official of the Federal or State Government dispensing mari­ huana in the course of his official duty, is therefore required to register with the collector of internal revenue for the district his name and place of business, and to pay an occupational tax, the amount of which is determined by the type of business conducted. Such registration must be renewed and the occupational tax paid annually. Those registered in the first class include importers, manufacturers, and compounders of marihuana. The second class of registrants is composed of producers. The third class of registrants is composed of dealers. The fourth class of registrants is composed of physicians, dentists, veterinary surgeons, and other practitioners. The fifth class of registrants is composed of producers, and other persons, other than importers, manufacturers, producers, and com­ pounders, who use marihuana in a laboratory for the purpose of research, instruction, or analysis. On June 30, 1938, there were 13 persons or firms registered in class 1, 371 in class 2, 1,179 in class 3, 2,097 in class 4, and 5 in class 5.

Research W ork on M arihuana 3

Conducted during 1938 by the Bureau of Narcotics Laboratory

The intensive research work on Cannabis sativa initiated by the Bureau of Narcotics laboratory during 1937, was continued during 1938. On April 30, 1938 a plot of Cannabis was planted on the low­ lands of the Department of Agriculture Experimental Farm (in co­ operation with the United States Department of Agriculture), in Arlington, Va., which was adjacent to the plot planted for the 1937 investigation. The plot consisted of 12 rows, 3% feet apart and 130 feet long, the inner 10 rows being divided into 10 parts each, thus forming 100 sections, 96 of which were utilized for planting the 6 agronomic varieties studied. Each variety was planted in 16 scattered plots.

* Copies of a detailed report on this work have been furnished to the League of Nations for distribution to the members of the Opium Advisory Committee. TRAFFIC IN OPIUM 61

Early growth was slow, presumably due to drought. Some male plants began flowering when only 18 inches tall, but all continued to grow as the season progressed to an average height of 9 feet. By June 10 male flowers began to appear among the Roumanian varieties, and by July 28 the sex of all plants was apparent. By September the males were fast being denuded. The varieties planted were seed from Roumania, Manchuria, China, and Italy. The researches undertaken by the laboratories of the Bureau have been directed toward the ultimate development of unimpeachable methods for the qualitative and quantitative testing of the physio­ logical active principle or principles of cannabis, and, in cooperation with the United States Department of Agriculture toward the ulti­ mate development of a strain of industrially useful hemp which would be innocuous from a narcotic standpoint. In outlining the strict test requirements referred to, it is recognized that where plant material itself is available for examination suitable methods for qualitative identification are at hand. This is not true of substances extracted from the plant. Methods at present available, especially the alkaline Beam test, have been studied and found wanting. The chemical character of the active principle is unknown and must be disclosed before progress may be certain. The contribution made during 1938 by the Bureau of Narcotics laboratory in pursuance of the outlined objectives, clarifies certain controversial questions and shows that— 1. Petroleum ether is not the only solvent useful in making Beam tests. 2. The male Cannabis plant responds to the alkaline Beam test with frequency and intensity equal to that of the female. 3. Heating Cannabis resin above 45°-50° C. does not destroy physiological activity. 4. It does not appear possible to assay the physiological activity of Cannabis by intensity of response to the alkaline Beam test. 5. The substance responsive to the alkaline Beam test is elaborated at all stages of growth of the Cannabis plant. In the research looking toward development of a strain of hemp free from narcotic activity, a project of Cannabis plant breeding was studied which is at present dependent on alkaline Beam test results. It is recognized that these are probably not significant of physiological potency but the results may prove useful in predicting the course of future experiments when reliable assay methods become available. In the study of conditions governing capacity to respond to the alkaline Beam test, it was noted that a great variation in capacity to respond to the alkaline Beam test occurs between different agro­ 62 TRAFFIC IN OPIUM nomic varieties of Cannabis. Individual plants of three Roumanian varieties and one Italian variety responded far more frequently and intensely than did either Manchurian or Chinese. Relative to the isolation and characterization of the active principle or principles of Cannabis, it is pointed out that Cannabis resin is being separated into fractions by molecular (high vacuum) distillation and that certain of such fractions are decidedly more potent than the original resin. C. MANUFACTURED DRUGS

X. 1. Internal Control of Manufactured Drugs. The internal control of manufactured drugs is accomplished by: (1) A control of manufacture exercised through a system of monthly and quarterly returns covering the essential details of all manufac­ turing operations, carefully scrutinized in the course of thorough administrative examination and audit, supplemented by official inspections of the manufacturers’ premises, operations, and records by technically qualified inspectors who verify such records and returns and inventory ea,ch narcotic substance in stock; (2) a control of distri­ bution by manufacturers and wholesale dealers, exercised through a system of serially numbered official order forms required to be used for all transactions of purchase, sale, or transfer, and by a system of monthly returns which report the complete details of every such transaction, which return are scrutinized in the course of a thorough administrative examination and audit, supplemented by official inspections of their places of business, operations, and records by technically qualified inspectors who verify their records and returns and inventory each narcotic substance in stock; and (3) a control of dispensing exercised through official inspections of the prescription records of druggists and the dispensing records required to be main­ tained by physicians, dentists, and other practitioners and through official inspections of the premises, operations, and sales records of persons who manufacture or deal in preparations of low narcotic content sold directly to the consumer for medical use. This system of control is supplemented by arrangements with the several manufacturers and wholesale dealers for the placing of serial numbers on all packages containing 1 ounce or more of morphine or cocaine and the keeping of permanent sales registers from which the identity of each successive purchaser of a particular package can be ascertained when the name of the manufacturer and the serial number of the package are known. While this has been required only for the drugs morphine and cocaine, and only for packages containing 1 ounce or more in quantity, a number of manufacturers actually apply such numbers to each package of their production regardless of the kind or quantity of drug which it contains. These serial numbers and the registers in which they are recorded are of value in ascertaining the TRAFFIC IN OPIUM 63 points at which drugs are diverted from legitimate channels into the illicit traffic. All manufacture of opium and coca-leaf derivatives is effected from imported materials. Limitation of manufacture of the basic opium and coca-leaf alkaloids commences with a limitation set upon the quantities of raw materials made available to manufacturers. The annual estimates for manufacture are prepared in accordance with article 6, section 1, of the Narcotics Limitation Convention of 1931, and only those quantities of crude opium and of coca leaves which are calculated on the basis of experienced factory efficiency to be necessary for the manufacture of the drugs included in such estimates are made available. The total of these predetermined quantities is allocated to the several manufacturers in accordance with the ratios of their ex­ perienced requirements and their existing or available stocks. There­ after, the quarterly return of each manufacturer is promptly examined and the total manufacture to date of each derivative ascertained in order that the necessary action may be taken in the event that produc­ tion of any derivative in excess of estimates is in prospect. Difficulty is experienced, however, in arriving at satisfactory es­ timates of the annual requirements in sufficient time to furnish the formal reports of such estimates by August 1 of the preceding year as is required by the provisions of the Narcotics Limitation Conven­ tion of 1931. This difficulty is due principally to the impossibility of accurately foretelling at so early a date the quantity of each drug which will remain in the hands of manufacturers and wholesale dealers as stocks at the beginning of the year for which the estimate is being made. At the time when such estimates must necessarily be made, no dependable data are available to indicate for the current year either the consumption trend of the several drugs or the probable yield of such drugs from the opium to be made available for their manufacture, much of which frequently has not then been imported or assayed. These factors are controlling influences in determining the quantity of any particular drug which will remain on hand at the beginning of the following year. Accordingly, the estimates as originally subm itted provide only for expected consumption and ex­ ports during the year. The requirements for adjustment of stocks are reported by supplemental estimates submitted after the actual stocks at the beginning of the year have been ascertained, such procedure being provided in the model administrative code. Upon determination of the total manufacture to be authorized for the year, allotments distributing the total quantity to be manu­ factured during the year were issued to the several manufacturers. This plan has operated very effectively in limiting production to actual requirements. 64 TRAFFIC IN OPIUM

Since neither the importation of manufactured narcotics nor the return to the United States of narcotics which have been exported is permitted under the law, there are no quantities to be deducted from the manufacturing estimates under provision (i) of article 7 of the Limitation Convention. The quantities of confiscated drugs utilized for domestic consumption are insignificant and consist only of small quantities of crude opium, opium derivatives, and cocaine turned over to other Government establishments for medical and scientific uses. Diacetylmorphine, or heroin, is not manufactured in the United States. The law governing imports and exports of narcotics, known as the Narcotic Drugs Import and Export Act, limits importations to raw opium and coca leaves, and prohibits the importation of diacetyl­ morphine itself and of opium for the manufacture of diacetylmorphine. The supplies of opium and diacetylmorphine on hand June 7, 1924, the date the prohibition became effective, were not affected thereby, but shortly thereafter manufacturers discontinued all production of diacetylmorphine and the stock has gradually diminished until only a small quantity remains. In view of its present exaggerated market value in the United States arising from its demand for rare and isolated medical uses, there is no occasion for any exportation of heroin except as it may be contained in minute quantities in exported specialty preparations, but no heroin or preparations thereof were exported in 1938. Manufacturers have been instructed that the annual estimates for the United States include estimates for the manufacture of morphine, codeine, ethylmorphine, dihydromorphinone, thebaine, and cocaine only, and that no other phenanthrene alkaloid or derivative of opium or ecgonine alkaloid or derivative of the coca leaf may be produced for the trade unless and until the approval of the proper governmental authorities has first been obtained and estimates therefor have been submitted in accordance with the provisions of the Narcotics Limita­ tion Convention of 1931. Since the convention came into effect, the Commissioner of Narcotics has had occasion to consider applications for authorizations to manufacture small quantities of dihydromorphine (paramorfan), diliydrodesoxymorphine D (desomorphine), dihydroco- deinone (dicodide), eucodal, eucodin, dinitrophenylmorphine, monoac- etylmorphine, and benzoyl-ecgonine, all for scientific or experimental purposes, but no manufacture of these products for the trade has yet been authorized. Those drugs falling in group II of the Narcotics Limitation Con­ vention of 1931 are subjected to the same rigid control as those in group I, no distinction being made between the two groups under the laws of the United States. The manufacture of all derivatives of opium and of coca leaves is confined to those establishments and premises which are duly registered under the Federal law, and only TRAFFIC IN OPIUM 65 such persons or firms as are so registered are permitted to import, export, manufacture, sell, distribute, or transfer such drugs. Records are required to be maintained continuously and reports or returns to be rendered monthly and quarterly, covering the details of all trans­ actions of importation, exportation, manufacture, sale, or transfer.

2. Licenses. No change was made during 1938 in the qualifications for engaging in the international or internal trade in narcotic drugs, and the system of import permits and export authorizations remains the same, except for the changes in form and procedure set out under III, Control of International Trade. 3. Manufacture. Three establishments were authorized to import raw opium during the year for the purpose of manufacturing medicinal, powdered, and granulated opium and for extracting alkaloids for sale or export as such. These are as follows: Merck & Co., Inc., Rahway, N. J. Mallinckrodt Chemical Works, St. Louis, Mo. New York Quinine & Chemical Works, Inc., Brooklyn, N. Y. The following opium derivatives were produced during the year by these three establishments, both for domestic use and export: Powdered opium. Methylmorphine. Granulated opium. Ethyl morphine. Morphine. Papaverine. Diliydromorphinone. Narco tine. In addition a small quantity of eucodal was produced for analytical and clinical research. A fourth establishment, Hoffmann-La Roche, Inc., Nutley, N. J., was authorized to import raw opium for the purpose of extracting the alkaloids therefrom, not for sale as such but for use exclusively in the manufacture of its specialty, pantopon. The following four additional establishments w'ere authorized to import comparatively small quantities of raw opium for the purpose of manufacturing medicinal opium, tinctures, and extracts: Parke, Davis & Co., Detroit, Mich. Eli Lilly & Co., Indianapolis, Ind. Sharp & Dohme, Inc., Philadelphia, Pa. E. R. Squibb & Sons, Brooklyn, N. Y. These establishments do not extract alkaloids. They do, however, manufacture tablets and pharmaceutical preparations from alkaloids purchased by them from alkaloid-extracting manufacturers. 66 TRAFFIC IN OPIUM

Alkaloid-extracting manufacturers render returns each quarter to cover the details of their manufacture. These quarterly returns cover the full details of the crude materials on hand and substances in process of manufacture or conversion at the beginning and end of each quarter ; the importations, quantities used in manufacture and conversion, and manufacture therefrom. In addition to the quarterly returns each manufacturer is required to submit monthly returns covering the full details of each receipt or disposition, including the date, the serial number of the official order form pursuant to which the transaction was made, the name, address, district, and registry number of both the consignor and consignee, and the name and quan­ tity of the drug involved. These returns are carefully examined and audited in the Federal Bureau of Narcotics to determine whether proper yields from the raw materials are obtained, whether all transactions of purchase, sale, or manufacture have been properly accounted for, and whether the stocks of raw materials, materials in process, and finished drugs in the possession of each factory are properly and fully reported. In addition to this audit special representatives of the Bureau make periodic inspections of factory "premises, study their operations, examine factory records, inventory all stocks, and verify the reports of substances on hand. The establishments specified below were authorized to import coca leaves for the purpose of producing cocaine: Merck & Co., Inc., Rahway, N. J. Maywood Chemical Works, Maywood, N. J. The Maywood Chemical Works, in addition to importing coca leaves for the manufacture of cocaine, was also authorized to import a further supply of coca leaves for the purpose of manufacturing therefrom a nonnarcotic flavoring extract, as authorized by law. All cocaine, ecgonine, and salts, derivatives, and preparations from which cocaine or ecgonine might be made, which were contained in such additional supplies of coca leaves, were destroyed under the super­ vision of a personal representative of the Commissioner of Narcotics.

4. Trade and Distribution. The extent of the manufacture, sale, and distribution of narcotic drugs and preparations in the legitimate trade may be gaged some­ w hat by the num ber of persons registered in the various classes under the law, these several classes having been previously described. On June 30, 1938, there were 175 persons or firms registered in class 1 as importers, manufacturers, producers, and compounders, which figure includes the factories authorized to import crude opium and coca leaves for the purpose of manufacturing medicinal opium and ex­ tracting morphine and cocaine. There were 1,286 persons or firms TRAFFIC IN OPIUM 67 registered in class 2 as wholesale dealers in taxable narcotic drugs on June 30, 1938. The remaining four classes of registered persons included retail dealers (druggists), registered in class 3; physicians, dentists, veterinarians, and other practitioners lawfully entitled to distribute, dispense, give away,, or administer narcotic drugs and preparations to patients upon whom they in the course of their pro­ fessional practice are in attendance, registered in class 4; manu­ facturers and distributors of preparations and remedies not subject to commodity tax because of low narcotic content, registered in class 5 ; and persons not registered in class 1, but lawfully entitled to obtain and use in a laboratory narcotics for the purpose of research, instruc­ tion or analysis, registered in class 6. On June 30, 1938, there were 51,579 registrants in class 3, 156,654 in class 4, 136,937 in class 5, and 54 in class 6. The figure for those registered in class 5 includes persons or firms also registered in one or more of the other classes. Statistical tables showing registrations under the Federal narcotic laws, the quantities of crude opium and coca leaves held at the beginning of the year by the importing m anufacturers, the quantities of crude drugs imported during the year, the quantities used for extraction of alkaloids and manufacture of tinctures and extracts, the quantities of alkaloids produced for conversion into other drugs, the sales of such manufactured drugs, the stocks of crude and manu­ factured drugs on hand at the end of the year, the exportation of drugs during the year, and shipments of drugs to insular possessions, will be found in the appendix, tables 9 to 19, inclusive.

C o n s u m p t io n The per capita consumption of opium in the form of all its salts, derivatives, and preparations,"amounted to 7.3493 gr. or 476.235 mg. for 1938. This is slightly less than the consumption figure for 1937, due mainly to a decrease in the consumption of morphine and codeine. These per capita consumption figures are ascertained by converting the quantities of the several opium products consumed to terms of original raw opium on the basis of the average assay of opium im­ ported and the actual manufacturing yields obtained therefrom, then dividing this equivalency by the officially estim ated population of continental and territorial United States, including insular possessions other than the Philippine Islands, 132,686,900. Because the entire quantity of the several opium products con­ sumed, in terms of raw opium, is used in making the computations, as shown in the appendix in table 20, the per capita consumption arrived at in each instance will be higher than the actual per capita consumption by hum an beings, due to the fact th at the entire quan­ tities consumed include not only the indeterminable miscellaneous losses by fires, floods, breakage, and deterioration on the shelves of 68 TRAFFIC IN OPIUM retailers and dispensers, but also the unascertained quantities which are used by veterinarians in the medical treatment of animals. The cocaine and its salts sold during the year to registrants dis­ pensing directly to consumers is equivalent to 764 kg. 597 gm. of cocaine alkaloid. This is equivalent to 11,798,938 gr. and indicates a per capita consumption of 0.08892 gr. or 5.762 mg. of cocaine alkaloid during the year. (See appendix, table 21.) With the increasing emphasis on supervision over the legitimate manufacture and distribution of narcotic drugs there has long been a tendency toward the concentration of these activities in the hands of fewer and more responsible manufacturers and wholesale dealers. This tendency, which has been constant since such registrants were first required to render an accounting of their operations, continued during the year 1938. Thus, while the trend since 1922 in the number of persons registered in the dispensing groups as retailers, practitioners, and dealers in tax-exempt preparations has been generally upward, the number registered as manufacturers and wholesale dealers has consistently decreased. The number of manufacturers registered on June 30, 1938, represented 61 percent of the number registered on June 30, 1930, and the corresponding figure for wholesale dealers was 75 percent The consumption of individual drugs as reflected in the sales by manufacturers and wholesale dealers shows variations from year to year, due to seasonal influences and prevailing economic conditions. During the year 1938 the consumption of opium and its derivatives in all forms showed a decrease. Likewise the consumption of cocaine was less in 1938 than in 1937.

D. OTHER QUESTIONS

XI. Chapter IV of The Hague Opium Convention of 1912. The Government has no additional information to submit with reference to the execution of the provisions of chapter IV of The Hague Convention. XII. Prepared Opium. There is at present no lawful manufacture of prepared opium in the United States. The importation of prepared opium, or of opium prepared for smoking, into the United States, the admission of the substance for transfer or transshipment to another country, and the exportation thereof to another country are absolutely prohibited. It is believed that there is comparatively little opium smoking in the United States among the native population, although there continues to be a certain indulgence in the habit, more particularly among the alien population, especially the Chinese. There were reported during the year 6 cases of violations of the law governing the manufacture of smoking opium, as compared with 42 in 1937. These TRAFFIC IN OPIUM 69 do not include the offenses of possession or sale. Eighteen such cases were pending on January 1, 1938. Of these 24 cases, prosecution was instituted in 6, with 6 convictions, leaving 18 such cases pending at the close of the year. A total aggregate sentence of 8 years 10 m onths 1 day, and an aggregate fine of $153 were imposed upon those con­ victed. These figures, however, have been included in the statistical table of enforcement activity of Federal narcotic officers under the Federal internal-revenue narcotic laws. A total of 602 kg. and 982 gm. of smoking opium was seized and confiscated during the calendar year 1938. The exact origin of this smoking opium could not be definitely determined, but the great bulk was undoubtedly manufactured and packed somewhere in the Far East, since it was seized from vessels arriving directly or in­ directly from far eastern ports in the manner hereinbefore described in the discussion of seizures. When no longer needed as evidence, all smoking opium seized is destroyed by the Government. XIII. Other Drugs. See Studies in Drug Addiction under chapter II. XIV. Excerpts of Remarks Made by the American Representative (Stuart J. Fuller) at the Twenty-Third Session of the Opium Advisory Committee of the League of Nations at Geneva, June 13, 1938, Concerning the Nar­ cotics Situation in the Far East. We have before us today for consideration and study the annual report of the Chinese National Government on the traffic in opium and other dangerous drugs for the calendar year 1936. In the past, I have been one of the severest critics of the Chinese annual reports. I have criticized them drastically, because I knew that their incompleteness and inaccuracies caused them to present to the public a thoroughly misleading picture of the sincere efforts which were being exerted in China to combat the drug evil. Today I take pleasure in express­ ing appreciation of the completeness and of the informative nature of China’s 1936 report. I think that the members of the committee will undoubtedly agree with me that this report is unquestionably the best w'hich the Chinese Govern­ ment has yet presented and that it could well serve as a model of completeness to many other Governments. Detailed discussion of that report I leave to my colleagues of the committee and turn now to the condition in China as it was in 1937 and as it is today. * * * With regard to Manchuria and Jehol.—From all of the information that I have been able to obtain, there has been no real or effective improvement during the past year in the conditions obtaining in respect of addiction, illicit import, illicit traffic, or opium production. The regime still functioning in that area promul­ gated an elaborate law and regulations thereunder, but both of these appear to be designed solely to secure to the Government Monopoly the profits from manu­ factured drugs as well as those from raw and prepared opium, and neither con­ tains provisions that would tend to discourage addiction or would effectively hamper promiscuous distribution. In the last of March, the monopoly shops were selling opium freely to all and sundry without restrictions and without the pro­ duction of permits. Where is this opium coming from? As was pointed out in this committee last year, Chosen (Korea) has for some years past been one of the principal suppliers of raw opium illicitly introduced into 70 TRAFFIC IN OPIUM

Manchuria and this movement has been openly encouraged, aided, and abetted by the Government General of Chosen. In 1932, in reply to an inquiry made by the American Government, the Japanese Government stated th a t the Government General of Chosen had made arrangements to give to the Governments General of Taiwan and Kwantung a portion of the raw opium produced in Chosen in exchange for morphine produced as an incidental in the manufacture of smoking opium in Taiwan and in exchange for morphine confiscated in the Kwantung Leased Territory. The reply further stated that there had been no change in the policy previously followed in regard to the production of raw opium in Chosen, that policy being to produce no more than the quantity necessary for consumption in Chosen, and that there would be no increase in the area devoted to poppy cultivation. But there seems to have been a quick change in that policy, for the area so cultivated rose from 1,068 hectares in 1932 to 2,240 hectares in 1933. In February 1937, the Chosen authorities publicly admitted that they had for some years been shipping some 41,000 pounds of raw opium annually to Manchuria and stated that thev proposed further to exploit this illicit traffic, would subsidize it, and expected" to add, in the years 1937, 1938, and 1939 to the area already devoted to poppy cultivation, some 995 hectares. As importations of raw opium from Chosen into Manchuria between January and April 1937, totalled 29,000 lb. it appears that the Government General of Chosen is continuing to increase its contribution to the illicit opium traffic. Chosen appears to have reported exports directly to Manchuria as follows: Kilograms

1933 ______1-8 9 9 1934 6 , 808 1935 ------, ------3 ’ 7 5 2 1936______11,238 The quantities which went by way of the Kwantung Leased Territory are not clearly known. Opium has also been imported from Iran and, apparently, from Turkey. * * * Examination of the published returns for 1935, 1936, and 1937 indicates that the imports of opium from Turkey are thought to have been:

1 9 3 5 ______MY. 504, 475 1936"".-. ' ______MY. 829, 156 1937 ______MY. 926, 814

Similarly, the imports from Iran are thought to have been:

l g 3 5 „ ______MY. 360, 000 1936 ______m y . 484,497 The Iran figures for 1937 are not yet available. * * * I am not in a position asyet to present exact figures for the export to Man­ churia in 1937 of Iranian raw opium, allof which is illicit,but there are indications that the quantities of such opium were greater than in 1936. The opium crop harvested in Manchuria and Jehol in 1937 is reported to have been a good one. The poppy was cultivated in 12 of the 16 Provinces and, from a cultivated area of 177,000 acres, there was collected a total quantity of 2,796,000 pounds or 1,271,000 kg. A large part of this crop went to supply the heroin factories in Hopei, particularly in and around Tientsin. The production in Jeho has been estimated at three times that of 1936. The crop collected in Hsingan West has been estimated at double that collected in 1936. ******* TRAFFIC IN OPIUM 71

Furthermore, it should be pointed out that the areas actually under poppy cultivation in Manchuria and Jehol have in the past been far from identical with the authorized areas, a fact which has been publicly admitted by the regime at present functioning in th a t part of China. It is reliably reported that, in 1937, 52,560 acres which had not been authorized therefor were devoted to poppy cultivation. As to the manufacture of narcotic drugs in this area, it is reported that the Opium Monopoly Administration continues to maintain and operate narcotic drug factories in Mukden and Chengteh, the output of which is far beyond all possible medical needs of Manchuria and Jehol, and a laboratory in Harbin. The Mukden factory has been reported as turning out from 75 to 100 kg. daily of morphine and heroin. The Chengteh factory is stated to be turning out mostly base or crude morphine for export to factories at and near Tientsin there to be used in the manufacture of heroin. Private manufacture of opium derivatives has apparently migrated from Manchuria, Jehol, and the Kwantung Leased Territory to Tientsin and other parts of Hopei Province. When we come to the abuse of narcotic drugs, there appears to be no decrease whatever in Manchuria or in Jehol in either pipe addiction or addiction to manu­ factured drugs, nor does it appear that the business interests concerned anticipate any decrease. The budget estimates for 1938 anticipate that receipts from sales by the opium monopoly will increase from the estimated MY. 47,850,000 of 1937 to MY. 71,045,200 in 1938, an increase of 48%o percent. The Manchukuo Opium Monopoly appears to have been doing a lucrative and constantly increasing business. According to a series of articles by Kei Miyakawa which was circulated to the members of the committee a t this session and which had been published in the Manchuria Daily News in February 1938, the monopoly, in the first 5 years of its existence (1933-37, inclusive) expended Man­ churian yuan 86,852,558 in the purchase of opium and received in payment for opium sold Manchurian yuan 134,671,662. This represents a gross profit of 55 percent. The author states th a t in 1933 and 1934 the monopoly’s operations showed Manchurian yuan 22,630,345 expended for the purchase of opium as against Manchurian yuan 19,883,759 received in payment for opium sold, repre­ senting a deficit of Manchurian yuan 2,746,586 or 1 2 percent on the cost of the opium purchased. The article, however, states that the operations of the succeed­ ing 3 years were very much more successful, opium purchased having cost Man­ churian yuan 64,282,113 and opium sold having brought in Manchurian yuan 114,747,903—a gross profit of 78% percent. The article states that in the 5 years 1933-37, inclusive, the Government purchased 41,000,000 taels of opium and sold 35,000,000 taels. It does not state what became of the balance of 6,000,000 taels (500,000 pounds or 227,363 kg.). While the funds prosper, public health continues to suffer. The municipal sanitary authorities at Harbin state that, in.the 7 months, January to July 1937, inclusive, 1,793 unclaimed corpses were picked up in the streets and alleys of that city, of which 1,485 had died as a result of narcotic addic­ tion. In Mukden, police statistics showed 67 deaths in November 1937, reported to be due to narcotic addiction. By October 1937 addiction among the Japanese m Manch,uria had increased to such an extent that the sanitarium maintained at \w ^ en ^ *he Kwantung Bureau was crowded and became obliged to limit its admissions to Japanese, refusing longer to care for Chinese. The increasing addic- ion among the Japanese is reported to be heroin addiction, which is more difficult o detect than opium smoking. I have been unable to learn of anything real being °ne about the ash heaps of Mukden and Harbin, the final resting places of thou­ sands of victims of narcotic addiction, which were described to you last year. 72 TRAFFIC IN OPIUM

In China between the Yellow River and the Great Wall, which has for some time past been controlled by the northern Japanese army, conditions are far worse than they were a year ago. * * * The Chinese Central Government’s pro­ visional antiopium and antinarcotics laws and regulations were rescinded by order No. 33 of the Peiping “Provisional Government” dated February 24, 1938. All persons who were being detained under these regulations were promptly released from prison. There has been no legal control of the narcotics trade in North China since the beginning of August 1937, and, except for the possible future establishment of a monopoly and for possible minor Chinese police regulations, no control of the trade seems likely under present conditions. Illicit traffic is flourish­ ing and clandestine manufacture has increased and has extended its operations beyond the wildest dreams of its promoters. The manufacturer has at his com­ mand a seemingly unlimited supply of raw material in the shape of crude morphine from the Manchukuo Opium Monopoly factory in Jehol and Iranian opium brought in from Manchuria. To illustrate to you the particular interest which my Government has in the continuance in North China of this disgraceful state of affairs, I need cite but one case out of several illicit traffic cases which had their base and origin in the Japanese Concession in Tientsin. In seizure reports and in statements before the Illicit Traffic Subcommittee, particulars have been presented showing how, in a period of some 15 months, 650 kg. of heroin were exported to the United States from the Japanese Concession in Tientsin by a single one of the several gangs operating in this trade. They experienced no difficulty whatever in purchasing in that concession all of the heroin that they desired. As you are aware, 650 kg. constitutes about two-thirds of the entire world’s legitimate need for heroin for a year. It represents, in round figures, 10 million gr. Adulterated to the 10-percent purity now generally met with in the illicit traffic in the United States, this would amount to 100 million gr. of the adulterated product, enough to supply some 1 0 , 0 0 0 addicts for a year— 1 0 , 0 0 0 of my countrymen held for a year in a slavery worse than death because those in control of North China fail to meet their obligation to limit the manufacture and control the distribution of narcotic drugs, while the regime in control in Manchuria itself manufactures and supplies the raw material. ******* The Japanese Government shares with the American Government and with other Governments a well-recognized obligation to limit to medical and scientific needs the manufacture of narcotic drugs and to cooperate in the effort to prevent the use of those drugs for purposes other than medical and scientific. The actions in respect of narcotic drugs of the provisional regime at Peiping and of the regime at present functioning in Manchuria and Jehol can hardly be regarded as limiting the manufacture or controlling the distribution of narcotic drugs; and it should be pointed out that, in the light of the situation existing in North China, the Japa­ nese Government has an inescapable responsibility for the importation of opium into that territory in contravention of the laws of China. I put it to you that it is to be profoundly regretted that the Japanese Govern­ ment has not exercised that restraining influence which it is in a position to exercise upon the authorities of the provisional regime, who have been proceeding in contravention of existing conventions and in disregard of local law. I venture to express the hope that the Japanese authorities, both civil and military, will lose no time in putting an end to the state of affairs now obtaining in the parts of China under their control or of which they are in military occupation. The situation in the Yangtsze Valley east of Hankow is far from clear. Due to the hostilities which have taken and are taking place in that region, it is prob­ ably premature to attempt observations on the situation there. TRAFFIC IN OPIUM 73

In Shanghai, control appears to have broken down completely except in the French Concession and in the International Settlement, in both of which areas the police have continued their efforts to prevent illicit traffic. Shanghai has been full of rumors and apprehension is felt lest the city, unless definite measures are adopted before long, will suffer the narcotic plague that has been brought to Harbin, to Mukden, to Tientsin, and to Peiping. In Shanghai, however, what has to be faced is now becoming clearer and the prospect is such as to cause all foreign nations as well as the Chinese deep concern. Huge quantities of Iranian opium are reliably reported to have arrived in North China and in Shanghai consigned to the Japanese Army and to Japanese firms, while further large consignments are en route to those destinations under similar auspices and still others are on order. * * * On December 29, 1937, the Japanese S. S. Muko Maru is reliably reported to have left Bushire for the Far East carrying 1,500 chests of Iranian opium shipped to the Far East by Japanese interests. This means 240,000 pounds or 109,000 kg. I should like to ask the Japanese representative whether he can give us informa­ tion as to the destination and eventual use of this 109 tons of raw opium of Mgh-morphine content, which was shipped under unusual circumstances. I am reliably informed that, during the first 3 months of 1938, orders were placed in Iran by Japanese interests for 2,900 chests of Iranian opium of which 1,128 chests went forward to the Far East in the first 17 days of March 1938. It may be mentioned th a t 2,900 chests is, roughly, 464,000 pounds or 211,000 kg. The 1,128 chests already shipped is, roughly, 180,500 pounds or 82,000 kg. The balance of the order, 129,000 kg., on March 17 remained to be shipped. Included in the shipments made in March was one of 428 chests (or a little over 31 tons) reliably reported to have been shipped from Bushire to Tangku by a well known Japanese commercial house, one of the largest corporations in Japan, on March 14,1938, by the Japanese S. S. Singapore Maru. In the case of this ship­ ment, I am reliably informed that Wang Ke-ming, acting in the name of the so-called “North China Provisional Government” issued, under date of March 12, 1938, to Isamu Fujita, the Mitsui Bussan Kaisha agent at Macao, a secret administrative order which purported to authorize the importation. It should be noted that this order was dated only 2 days before the shipment left Bushire. I am reliably informed that the Singapore Maru arrived in Shanghai at 11 a. m. April 12 and sailed the same day at 3:15 p. m. Flying the Japanese military transport flag, she had anchored in the river section known as No. 35 buoy, which is about 3 miles down river from the customs jetty on Shanghai Bund. As far as has been ascertained, no cargo was landed on this occasion, but ship stores may have been taken aboard. The lot of 428 chests from the Singapore Maru is reported to have arrived in Tangku and to have been distributed under the control of a Japanese army officer a t Tientsin, 300 chests having been sent to Shanghai where they arrived April 22d, via Dairen, and were taken over by the Japanese Army. I should like to ask the Japanese representative whether he can give us any information in regard to this transaction and any information as to what became of the additional 550 chests carried by the Singapore Maru. I am also informed th a t efforts have been under way for some time to sell, under the control of a colonel of the Japanese Army who has been entrusted by that army with arrangements for the sale of opium in the Shanghai region, 460,000 pounds of Iranian opium which was consigned in care of the Mitsui Bussan Kaisha at Shanghai. This is 2,875 chests. I am informed that delivery of these sales is to be against cash and will be made under Japanese military supervision to any Part of central China now occupied by the Japanese Army. As the country for miles around Shanghai has been completely devastated, all business is at a standstill, and the purchasing power of the people has disappeared, 74 TRAFFIC IN OPIUM

there is actually no market at all for these huge quantities of Iranian opium unless it is disposed of in the form of heroin and that mostly for export to Europe and America. What the Japanese Army will do with this vast quantity of Iranian opium remains to be seen. The report is that the colonel referred to, through his Japanese assistant and with the aid of representatives of the Mitsui Bussan Kaisha, ia negotiating with the so-called Consolidated Tax Bureau of Tatao (or provisional regime set up by the Japanese Army in Shanghai) to establish a large heroin factory in Shanghai. Cheap heroin cigarettes which sell at prices lower than opium are already making their appearance for sale to the Chinese in the parts of Shanghai under Japanese control and offers are being made to sell heroin in large quantities for export to the United States and Europe. I have been furnished with particulars of one sale of Japanese-owned Persian opium in Shanghai under circumstances which point to intention to use it for the manufacture of heroin. In addition to the 428 just mentioned as shipped by the Mitsui Bussan Kaisha, the Singapore Maru also carried 550 chests of Iranian opium destined for Tangku, a total cargo of 978 chests for China shipped by Japanese companies in a Japanese ship to a country the law of which prohibits the import of opium. Three days later, another Japanese ship, the Shanghai Maru, is reliably reported to have left Bushire with 150 chests destined for the Far East. I wonder if the Opium Advisory Committee, to whose attention the Japanese representative last year called the newly enacted laws for punishing Japanese who import opium into China or who deal in opium therein, would be willing to suggest to the Japanese representative that these transactions of Japanese sub­ jects in China should be investigated and reported upon even if they cannot be adequately punished. Lest it seem strange that I make no inquiry of the Iranian representative. I may explain that it is because his predecessor has repeatedly made it clear to the Committee that the Iranian Government, while asking for import certificates, makes no inquiry into their authenticity and retains no record of documents which may have been presented as purporting to be such certificates. As to South China.—In addition to the 320 tons of Iranian opium to which I have referred as being on order or already in China for Japanese account, Japanese interests are reported as having on storage in Macao 1,000 chests of Iranian opium, or 72% tons. It is not yet clear whether this is a shipment that recently left Iran or whether it represents a purchase from Macao stocks. The Committee will recall that the stocks left from the old Macao opium farm have never been fully accounted for and were a few years ago offered for sale by an officer of the Macao Opium Monopoly who was later discharged. It will also recall that my questions as to those stocks, reputed stored in the Banco Ultramarino at Macao have never been answered. I should like again to inquire whether the Portuguese representative can give us any information on this subject or will endeavor to have it investigated. Now we come to Southwest China.—It will be recalled that, a year ago, available information indicated that, in the crop year 1936-37, there had been a very ma­ terial reduction in the quantities of raw opium produced in Southwest China,i.e., Yunnan, Kweichow, and Saechuen, provinces which are under control of the Chinese National Government. Information available at present in regard to production in those provinces in the crop years 1937-38 is far from complete. I may say, however, that it does not indicate any increase nor does it indicate any decrease. To conclude, I may point out that, in brief, the situation in the parts of China under control of the Chinese National Government continues to give evidence of TRAFFIC IN OPIUM 75 sincere effort with encouraging results. The situation in Macao continues to call for explanation. The situation in the parts of China under Japanese control is worse than ever and gives cause to the entire world for serious apprehension.

ADDITIONAL STATEMENT June 21, 1938 Since I had the privilege of speaking to this assemblage several days ago on the situation in the Far East, certain additional information has reached me by telegraph which is of a nature so startling and so serious th a t I feel it should be brought a t once to the attention of the Opium Advisory Committee. I am reliably informed that, about April 3, 1938, an armed Japanese vessel reached Macao from Iran carrying something over 2,000 chests of raw Iranian opium. Of these, 1,100 chests were landed a t Hak Sha Wan (Black Sand Bay) a suburb of Macao. The report is to the effect that, under cover of night, these 80,000 kg. of opium were escorted by Portuguese troops to the Banco Nacional Ultramarino in the city of Macao, where they were left for safekeeping. Prior arrangements had been made by Chinese opium traffickers and the Japanese owners of the opium with high Macao authorities for the landing and storage of the drug. The transaction is reported to have been carried out under the personal direction and supervision of the head of the Macao Opium Monopoly. Of these 1,100 chests disembarked at Macao, 500 chests or 36,363 kg. were later shipped to Japanese consignees a t Shanghai. The vessel is reported to have gone from Macao to a port in Formosa, where the balance of the opium, about 1,000 chests (72,727 kg.), was landed. I should like to inquire whether the Portuguese, Japanese, and Iranian repre­ sentatives will undertake to ask their respective governments to report on thie case under the terms of article 23 of the Narcotics Limitation Convention of 1931.

148800—39------6 APPENDIX

C h a r t 1.— Age Distribution of Narcotic Addiction in Metropolitan Areas, as Disclosed by New York C ity A rrests d u rin g 1937. (T o ta l A d d icts A rre ste d —1592) (Acknowledgment is made of the courtesy of the New York City Commissioner of Police in making available the information on which this chart is based.)

Opiua Derivatives ugo Opium Sacking 26}

Marihuana. - Cannabis I Cocaine I 2

Opiua D erivative Addicts - ty Age Groups

Less than 20 y rs . 20 to 29 y re. 50 to 39 y rs . UoU. Uo to yrs. Jo4

50 to 59 yr».

60 to 69 y re . ■ 19

70 to 79 y re . I 3

Opiua Smoking Addicts - by Age Groups

20 to 29 y rs.

30 to 39 y rs.

40 to U9 y rs. 50 to 59 y rs .

6 0 to 6 9 yrs, ■ 12

Marihuana Addicts - 1>y Age Groupe

Less than 20 y rs . H 18 20 to 29 y rs . H H i 78

30 to 39 y rs. H 26 40 to *9 y re. I 12

50 to 59 y rs . I 2 70 to 79 y rs . I 1 76 TRAFFIC IN OPIUM 77

T a b l e 1.— Number of violations of the Narcotic Drugs Import and Export Act and customs laws reported during the calendar year 1988, and their disposition, and the penalties Violations reported------513 Defendants presented for prosecution------149 Defendants convicted------98 Defendants acquitted------24 Penalties: Aggregate sentences imposed------266 years, 7 months, 9 days Total amount of fines imposed------$60, 895. 00 Number of vessels upon or in connection with which narcotic drugs were seized on account of failure tomanifest ------89 Amount of penalties assessed against such vessels 1______$455, 830. 00 Amount of penalties collected------$8 , 454. 18 i a statute places a liability upon the m aster or owner of a vessel in the amount of $25 per ounce for each ounce of smoking opium discovered on board the vessel which has not been manifested. This penalty automatically attaches, except that the master or owner of a vessel used as a common carrier shall not be liable to the penalty if it appears that neither the master nor any of the officers nor the owner knew, and could not, by the exercise of the highest degree of care and diligence, have known that smoking opium was on board. A penalty is also imposed upon the master or owner of a vessel arriving at a port of the United States with respect to any narcotics, other than smoking opium, found on board the vessel without being included or described in the vessel's manifest, said penalty being $50 for each ounce of heroin, morphine, or cocaine, an d $10 for each ounce of crude opium . A further provision of the customs laws gives to the owner or master of the vessel the right to file with the Secretary of the Treasury a petition setting forth any facts which in the judgm ent of the latter official should warrant relief being granted from the assessment of the full penalty. The purpose of this provision is to grant to a master or owner equitable relief when it is clearly shown that they have exercised every precaution to prevent the bringing aboard of smoking opium or other narcotics intended for illegal introduction into the United States. Hence, the penalties finally collected are but a part of the penalties originally assessed, due to the showing made by and on behalf of masters and owners of preventive measures taken by them. N o te—I t is not possible to show the occupations of the persons prosecuted as shown in the above table, but it is believed that they have no known lawful occupation or profession, with the exception of those few persons who were employed as members of crews of vessels plying between this country and foreign ports.

T a b l e 1-A.— Number of violations of Federal internal revenue narcotic laws reported during the calendar year 1988, with their disposition, and the penalties

Ite m R egistered Unregistered T o ta l

Persons reported for crim in a l violations: 559 2,508 3,067 29687 716 Persons tried in courts: 91 1,711 1,802 4 198 202 4 505 509 5 96 101 Persons convicted: » 84 1,660 1,744 189 1923 4 495 499 4 92 96 Persons acquitted: 7 51 58 1 9 10 10 10 1 4 5 Penalties: Aggregate sentences imposed, in years: * 181 3,834 4,015 7 222 229 9 964 973 Joint cases in S tate co u rts...... 1 111 112 See footnotes a t end of table. 78 TRAFFIC IN OPIUM

T a b l e 1—A.— Number of violations of Federal internal revenue narcotic laws reported during the calendar year 1938, with their disposition, and the penalties—Con.

Ite m R ep o rted Unregistered

P en a ltie s—C o n tin u e d . Total amount of fines imposed: F ed eral cases in F ed eral co u rts ...... $9, 776.15 $169, 392. 37 Federal casçs in State courts______$4,170.07 Joint cases in Federal courts______$100.00 $32,859,00 Joint cases in State courts______$1,097.00 $1,177. 75 Number of cases compromised:3 Federal cases______- .... 173 J o in t cases______9 Total amount accepted in cases compromised: Federal cases______$19, 335.00 $500.00 Joint cases______$305.85

i These figures include 11 persons who were placed on indefinite probations and 5 persons whose sentences were indefinitely suspended. * These figures include definite probationary sentences aggregating 382 years and sentences aggregating 44 years which were suspended. Sentences aggregating 4,540 years running concurrently with those in­ cluded in these figures were imposed in addition thereto. > In addition to the 184 cases in which compromises were accepted, 6 cases involving tax liability were closed on payment of taxes and penalties amounting to $63.31. N o t e s.—T his table also includes 6 convictions in the Federal courts of violations of the laws governing the manufacture of smoking opium, the convicted persons receiving aggregate sentences of 8 years, 10 m o n th s, 1 day , and aggregate fines of $153. T hese sentences a n d fines were im posed u n d er indictments containing counts also charging violations of narcotic laws other than the smoking opium law. Cases described as Federal are those made by Federal officers working independently, while those de­ scribed as joint are those made by Federal and State officers working in cooperation with each other. The column headed Registered (registered under the Harrison narcotic law, as amended), represents practi­ tioners of the healing arts and druggists who were prosecuted for narcotic-law violations, while the column headed Unregistered represents persons whose occupations cannot be determined, but who were in the main underworld characters.

T a b l e 1—B.—Number of violations of the Marihuana Tax Act of 1937 reported during the calendar year 1938, vnth their disposition and penalties

U nregis­ Item Registered tered Total

Persons reported for criminal violations: 10 733 743 2 446 448 Persons tried in courts: 477 477 71 71 295 295 23 23 Persons convicted:1 466 466 66 66 287 287 19 19 Persons acquitted: 11 11 5 5 8 6 4 4 Penalties: Aggregate sentences imposed, in years:1 824 824 92 92 437 43: 14 14 Total amount of fines imposed: $21,876 $21,876 1,700 1.700 15,601 15,601 Joint cases in State courts...... 100 ICO 1 These figures include 6 persons who were placed on indefinite probations. . . 2 These figures include definite probationary sentences aggregating 74 years and sentences aggregatin? > years which were suspended. Sentences aggregating 339 years running concurrently with those includedm these figures were imposed in addition thereto. There was 1 case involving tax liability which was closed on payment of tax and penalty amounting to

Cases described as Federal are those made by Federal officers working independently, while those descn^ as joint are those made by Federal and State officers working in cooperation with each other. The colt®" headed Registered (registered under the M arihuana Tax Act of 1937) represents practitioners of the arts and druggists who were reported for marihuana-law violations, while the column headed Unregistere represents persons whose occupations or professions cannot be determined, but who were in the main under­ world characters. TRAFFIC IN OPIUM 79

T a b l e 1-C.— Comparative statement of quantity of drugs seized,1 violations, con­ victions, sentences, and fines under Federal narcotic laws, calendar years 1931 to 1938, inclusive

1931 1932 1933 1934 Item K ilo ­ K ilo­ K ilo­ G ram s G ram s G ram s K ilo­ G ram s gram s gram s gram s gram s Drugs seized or purchased: 1,403 498 284 799 487 526 353 36 1,124 596 223 394 113 86 86 579 2, 528 94 508 193 600 612 439 615 Violations reported (num ber) : 575 902 863 1,872 4,460 4,267 3,529 3,826 5,035 5,169 4,392 5,698 Convictions (num ber) : 133 103 137 203 2,995 2, 785 2,453 2 471 3,128 2,888 2,590 2,674 Sentences imposed (years), including 9.867 6.740 R 680 fi. 591 Fines imposed (amount in dollars)— $163,514.38 $115,147. 82 $136,274.40 149,193.67 Automobiles seized (n u m b e r).------146 130 121 100 1935 1936 1937 1938 Item K ilo­ K ilo­ G ram s G ram s K ilo­ K ilo­ G ram s gram s gram s gram s G ram s gram s Drugs seized or purchased: 306 345 377 913 437 889 651 874 Internal traffic------205 647 63 371 133 949 130 164 Total ...... 511 992 441 284 571 38 Violations reported (num ber) : 2,268 2,063 2 603 588 3,727 3,468 3,468 3,195 Total...... 5,995 5,531 4,071 3, 783 Convictions (num ber) : 191 155 119 95 2, 927 2,725 2,458 2, 436 3,118 2,880 2,577 2,531 Sentences im posed (years), including 8.669 7 285 9.999 9. 869 Fines imposed (amount in dollars) ... $200,904. 38 $155,164. 83 $224, 754.11 $218, 572.34 Automobiles seized (n u m b e r)...... 104 97 171 155 1 Seizures are stated in terms of the actual quantities of all drags in the forms in which seized. 1 The decrease during 1937 and 1938 in the number of cases reported pertaining to registered persons is largely due to th e fact th a t th e B u rea u no longer includes as cases reports show ing m erely technical or m inor violations of th e regulations.

T a b l e 2 .— Results of enforcement activity by State and municipal enforcement officers under the State narcotic drug laws, in the calendar year 1938

A ggregate sen te n ­ 3 - ces imposed State courts rep o rted fugitives II I Criminal violations Persons deceased Total fines im posed Persons tried in Persons acquitted Persons convicted Persons becoming Cases d ro p p ed D ays o M o n th s Arkansas 1 1 1 $100 California 553 (i) (i) (i) C1) « 0) 0) 1,305 Connecticut... 67 23 19 4 Georgia... 1 1 1 3 Illinois 334 268 222 46 10 6,976 Maryland 16 16 9 7 5 Massachusetts .. 1 1 1 1 Nebraska___ 8 New York 2,036 2.028 21, 743 84 209 3,440 North Carolina___ 1 1 1 6 North Dakota, _ . 5 Pennsylvania 3 118 109 97 12 79 15 2, 680 Rhode Island 7 6 4 4 2 1 4 4 Texas 610 353 283 56 14 566 Virginia. 1 1 1 1 __ ___ 1 i PfJo information not available. , sentenced to penal institutions. , Pennsylvania Department of Health reports 2,702 investigations made. 1 case discontinued on p a y m e n t of costs. 80 TRAFFIC IN OPIUM

T a b l e 3.— Gross weight and calculated anhydrous alkaloid content of the variout narcotic drugs seized at ports and borders under the Narcotic Drugs Import and Export Act during the calendar year 1938

Gross weight in form N e t w eight in terms of anhydrous alka­ seized Conversion loid Kind of drug and form in which seized factor used

K ilogram s G ram s K ilogram s Grams

64 741 570 991 17 256 1 395 0.753629 1 51 13 349 .8714 11 632 248 .771914 191 14 .8120 11 111 .902072 100 Miscellaneous drugs______752 Note.—The first column represents the kind of drug seized; the second column represents the gross weight of the drug in the form in which seized; the third column shows the conversion factor used with reference to morphine, heroin, codeine, dionin, and cocaine salts; while the last column represents the net weight, with respect to morphine, heroin, codeine, dionin, and cocaine salts, of the anhydrous alkaloidal content for each kind of drug, based on a calculation which ignores any adulteration, no quantitative chemical analyses having been made to determine the adulteration present in any given seizure.

T a b l e 3 -A .— Gross weight and calculated anhydrous alkaloid content of the various narcotic drugs seized in the continental United States under the Federal internal revenue narcotic laws during the calendar year 1938

Gross weight in form Percentage N et weight in terms seized Conversion of an h y ­ of anhydrous alkaloid Kind of drug and form in which factor used drous alka­ seized Kilograms Grams loid Kilograms Grams

5 729 31 991 48 230 10 543 75.43 7 953 81 237 24.00 19 497 75 0. 771914 58 306 71.41 218 Miscellaneous drugs______5 NOTE.—The first column represents the kind of drug seized; the second column represents the gross weight of the drug in the form in which seized; the third column shows the conversion factor used with reference to codeine salts; the fourth column represents the average percentage of anhydrous alkaloid based on chemical analyses of 250 samples of morphine, 3,132 samples of heroin, and 10 samples of cocaine made during the calendar year 1938, while the last column represents the actual net weight of the anhydrous alkaloids of morphine, heroin, codeine, and cocaine, taking into account the conversion factors and the per­ centages of purity shown in the third and fourth columns, respectively.

T a b l e 3-B.— Comparison of quantities of narcotic drugs seized at ports and border! under the Narcotic Drugs Import and Export Act, and in the continental Untied States under the Federal internal revenue narcotic laws, calendar years 1937 and 1938 [Gross weight of drug in form seized]

Increase Decrease

Kind of drug and form Q u a n tity Q uantity in which seized P er­ Per­ cent­ cent­ K ilo­ K ilo- K ilo­ Kilo- G ram s G ram s G ram s age Grams age gram s gram s

O pium : 87 523 70 470 17 53 19.48 344 205 602982 258 777 75.18 10 6555 550.00 Tinctures and ex- 946 486 460 48.63 19 537 11 938 7 599 38. W 118 146 94 586 23 560 19.94 205 323 118 57. 56 13 14 1 7 70 827 417 410 49.56 Miscellaneous drugs_____ 426 757 331 77.70

T o ta l______571 838 782 38 210 200 36.76 TRAFFIC IN OPIUM 81

T a b l e 3-C.—Number of seizures and quantity of cannabis (marihuana) seized during the calendar year 1938 by Federal enforcement officers

B u lk m ari­ M a rih u a n a N u m ­ C iga­ h uan a seeds ber of rettes ing sei- (n u m ­ p lan ts (n u m ­ ber) K ilo­ K ilo­ G ram s G ram s ber) gram s gram s

narcotic officers—State: 26 90 1 202 290 15 65 176 4 1 58 105 696 10 296 637 113 59 258 73 350 49 683 38 7 1 853 4 57 11 164.5 90 11 47 511 4 219 92 26 9 4 177 57 6,939 29 650. 5 27 891 1 21 16 264 138 266 16 80 427 25 59 2 603 52 637 8 945 122 3,139 15 933 44 381 3 96 12 11 974 623 42 58 504 25 665 686 10 26 16 269 40 371 2 14 28 775 64 1 91 484 3 878 43 13 15 68 9 554 32,420 10 6 2 449 2 5 142 36 598 8 862 18 44 856 118 2.435 18 987 1 855 97 1,332 54 846 1 604 62 200 6 725 1 218 18 188 2 960 5 670 78 1,113 34 866 186 2 94 10 193 399 Texas...... 167 1, 748. 5 17 31 4 670 426 4 47 63 51 172 1 632 55 339 26 14 9 542 6 1 6 5 23 313

T o tal...... 1,435 17,076.5 511 11 175 32 39,975

customs officers—Port: 1 3 486 1 21 62 641.5 14 88 1 85 3 4 9 270 24 607 2 574 3 3 11 308 New York, N. Y 12 10 1 862 10 141 11 1 14 15 15 5 950 1 3 2 907 3 112

T otal...... 107 817.5 46 746 25 549 Grand total...... 1,542 17,894 557 757 198 581 39.975 82 TRAFFIC IN OPIUM

T a b l e 3-D .— Summary of marihuana eradication program, by States, calendar year 1938

M arihuana located but not M arihuana destroyed reported destroyed T otal

E stim ated E stim ated S tate E stim ated q u a n tity E stim ated q u a n tity E stim ated q u a n tity Esti- area area (hectares) (hectares) area M etric K ilo­ M etric K ilo­ M etric K ilo­ (hectares) tons gram s to n s gram s tons gram s

30 0.005 30 0.005 56 .010 56 .010 1 328 .235 1 328 .235 4 536 0.804 4 536 11 .002 11 .002 4,643 343 823.149 171 215 30.352 4,814 558 853.501 4,707 263 834. 480 7,298 313 1,293.808 12, 005 576 2,128.288 17 229 3.126 17 229 3.126 2 59 .365 11,992 288 2,125. 860 11,994 347 2.126 225 597 . 106 597 106 685 .121 685 .121 50 597 8. 969 6 693 1.186 57 290 10.155 2,279 932 404.175 2,279 932 404.175 51 .009 51 .009 188 609 33. 435 4, 775 753 846. 621 4,964 362 880.056 8 278 1.4678 278 1.467 516 270 91. 521 516 270 91.521 91 207 16.168 91 207 16.168 24 466 4.337 24 466 4.337 352 955 62. 570 50 607 8. 971 403 562 71.541 Pennsylvania____ 166 382 29. 495 353 844 62.728 520 226 92.223 55 694 9.873 55 694 9.873 5, 713 286 1, 012. 822 5, 713 286 1, 012.822 315 .055 315 .055 215 .038 215 .038 10, 617 596 1,882. 234 10,617 596 1,882.234

29,438 454 5,218. 767 24, 653 249 4,370. 330 54,091 703 9,589.097

T a b l e 4.— Number of seizures and quantity of cannabis (marihuana) seized during the calendar year 1938 by State and municipal enforcement officers

Growing Bulk marihuana Marihuana seeds plants N u m b e r C igarettes S tate of (num ber) seizures Kilograms Grams Kilograms G ram s Number

23 300 595 20 412 48 1 100 1 7 10 158 7 680 2 11 2 595 1 227 1 22 794 2 997 926 2,500 5 316 1 247 9 6 178 39 505

1 18 1 14 969

T o ta l______69 818 3,420 647 1,018 338 3. ISO TRAFFIC IK OPIUM 83

T able 4 - A.— Quantities of narcotic drugs seized as reported by State officials, calendar year 1938 [Gross weight in form in which seized]

C alifornia N ew Y ork Pennsyl- Rhode Island Texas Kind of drug K ilo­ K ilo­ gram s G ram s gram s Grams Grams Grams G ram s

1 237 1 297 Opium in tinctures and ex- 695 44 28 7 1 16 273 4 170 674 43 2 5 65 14 1 0)

i Seizure of 1,172 fluid ounces of prep aratio n s containing various q u an tities of m iscellaneous drugs reporte d .

T a b l e 5 .— Percentage of all persons arrested in the United States during the calendar year 1938 having previous fingerprint records

Offenses Percent Offenses P ercen t

60.9 38. 2 59.0 37.4 58.8 36.1 Robbery______50.7 Other traffic and motor vehicle laws_____ 35.8 Forgery and counterfeiting______50.5 Offenses against family and children _____ 33.4 49.4 Stolen property; buying, receiving, etc... 31.5 46.5 30.7 45.6 30.2 44.7 30.1 43.3 29.7 43.0 27.0 42.0 26.8 40.9 22.7 40.8

1 Only 17 fingerprint cards were received representing arrests for violation of parking regulations.

T a b l e 5-A.— Comparison of narcotic and marihuana law violators with total Federal prisoners, on June 30, 1938 Male prisoners convicted of Federal offenses and confined on June 30, 1938: For all offenses______19, 856 For narcotic drug law violations______1, 899 For marihuana law violations______304 Female prisoners convicted of Federal offenses and confined on June 30, 1938: For all offenses______938 For narcotic drug law violations______373 For marihuana law violations______11 Male prisoner patients confined in United States Public Health Service Hospital at Lexington, Kv., on June 30, 1938______800 T a b l e 6 .— Number of persons, by class authorized to obtain narcotic drugs legally, reported for narcotic irregularities, and disposition of cases by 0 ° State licensing boards— Physicians

Reported for narcotic Irregularities Action taken

P ro b a ­ N o t D e­ Pending action on tions D ism issed li­ Licenses ceased Dec. 31,1938 Licenses w ith o u t without dis­ censed Pending action on Reported during suspend­ P ro b atio n s Admonitions D ec. 31, 1937 1938 revoked narcotic ciplinary ac­ ed p riv i­ tion leges

S tate N M U I P O IN C I F F A R T XSo lr r j .sts >.S >.a g'5 § g 1 | 8.2 8.2 8.1 Ü1 S i

A lab am a...... A rizona...... A rk an sas...... California1...... C olorado...... D istric t of C olum bia F lo rid a «...... G eorgia...... Illin o is...... In d ia n a ...... K an sas...... K e n tu c k y ______L o u isian a ...... M ain e ...... M a ry la n d ...... Massachusetts...... M ich ig an ______M in n e so ta ______Mississippi______30 M isso u ri______M o n ta n a ...... N e b ra sk a ______Now Jersey ______N ew M exico______10 I 1 N e w Y o r k ----- 6 i N o r th Carolina.. 2 (i 20 l 21 N o r th D a k o ta ... 1 1 1 l l l 1 1 4 3 1 1 1 1 O k lah o m a______2 13 7 1 2 r 1 ’"I" 2 12 O regon______2 1 1 1 1 1 1 .. Pennsylvania___ 4 2 1 1 "T 3 . . South Carolina... 12 7 2 12 7 2 S outh D a k o ta ___ 2 2 Tennessee______32 11 1 8 3 6 5 3 30 13 1 9 1 4 5 5 1 13 6 4 utah.:::::::::::: 5 1 1 4 1 V erm ont...... 1 1 V irginia...... 5 3 1 1 W ash in g to n ...... 1 1 1 1 1 1 .. West Virginia___ 1 1 2 1 1 1 —- 1 1 1 - W isconsin...... 2 1 2 1 W yom ing...... 1 1 ..

188 148 25 1 8 51 58 3 2 22 7 5 2 5 3 2 3 2 2 2 1 72 52 8 1 3 8 128 123 17 M U I P O 2 IN C I F F A R T

i These physicians, while not convicted and apparently not addicted to narcotic drugs, * 1 of these physicians was reported to the board during 1938, while an addiction case were reported because of evidence of narcotic irregularities. included in this chart under the heading “Pending action on Dec. 31, 1937” was still i In addition to these reported cases, the State authorities, as a result of independent pending before the board. investigation, instituted action before the board against 8 physicians on account of nar­ * 2 of these physicians were reported to the board during 1938, while an addiction cotic irregularities. 1 physician was placed on probation without narcotic privileges for 5 case with respect to each, included in this chart under the heading “Pending action on years. The board restored the licenses of 5 physicians, but placed these physicians on Dec. 31, 1937" was still pending before the board. probation for 5 years, without narcotic privileges. The licenses were revoked with 7 T h is physician w as reported to th e board durin g 1938, w hile an addiction case, included respect to 2 physicians who had previously been placed on probation without narcotic In this chart under the heading “Pending action on Dec. 31, 1937” was still pending privileges. before the board. * The license of 1 of these physicians was revoked for failure for 3 years to pay the annual * T h is to tal (51) includes fi physicians rep o rted to th e board d u ring 1938, w hile an addic­ State registration fee. tion case with respect to each, included in this chart under the heading “Pending action * In addition to these reported cases, the State authorities, as a result of independent on Dec. 31,1937” was still pending before the board. (See footnotes, 5, 6, and 7 above.) investigation, restored the license of 1 physician but placed him on probation without narcotic privileges for 5 years.

00 Oi 8 6 TRAFFIC IN OPIUM

T a b l e 6 - A .— Number of persons, by class authorized to obtain narcotic drugs legally, reported for narcotic irregularities, and disposition of cases by State licensing boards— Dentists

Reported for narcotic irregularities Action taken

P ro b a­ Pending action tion R eport­ D ism issed w ith ­ on Dec. 31,1938 Pending action Licenses w ith o u t ed d u r­ out disciplinary S tate on Dec. 31,1937 revoked narcotic action ing 1938 p riv i­ leges

F o r F or F or F or For F o r a d ­ convic­ F o r a d ­ convic­ F o r ad­ For ad­ convic­ d iction convic­ diction convic- tio n tion tion tion diction diction

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 11 1 1 1

T o ta l...... 7 5 1 3 1 1 3 4 1

T a b l e 6 - B .— Number of persons, by class authorized to obtain narcotic drugi legally, reported for narcotic irregularities, and disposition of c a s e s by State licensing boards— Veterinarians

Reported for narcotic irregular­ Action taken ities

P ro b a­ D is­ Pending action tion m issed on Dec. 31,193S Pending action Reported dur­ Licenses w ith o u t w ith o u t S tate on Dec. 31, 1937 ing 1938 revoked narcotic disci­ p rivi­ plinary leges action

For For F o r F o r F or ad ­ F o r F o r a d ­ F o r ad­ For ad­ For ad ­ convic­ convic- convic­ convic­ diction convic­ diction diction diction tio n diction tio n tion tion

District of Colum- 1 1 1 1 1 1 1 1 1 1 1 1 1 T ennessee______. 1 1 2 2 3 1 1 1 1 1 3 1 TRAFFIC IN OPIUM 87

T a b l e 6-C .— Number of persons, by class authorized to obtain narcotic drugs legally, reported for narcotic irregularities, and disposition of cases by State licensing boards— Osteopaths

Reported for narcotic irregularities A ction ta k en Pending action on Dec. 31,1938 Pending action on Reported during State Dec. 31,1937 1938 pti o £ r

F o r con­ N o t con­ N o t con­ victed or F o r con­ F or ad ­ F o r con­ F o r ad ­ viction viction diction victed or viction add icted 1 addicted 1 diction

1 1 1 1 1 1 1 1 1 3 3 1

Total______4 1 1 4 1 5

i These osteopaths, while not convicted and apparently not addicted to narcotic drugs, were reported because of evidence of narcotic irregulartiies. 90 TRAFFIC IN OPIUM

T a b l e 9.— Importations of crude opium into the United States during the calendar year 1938, by country of export and country of production

Country of production

Countrj from which Turkey Yugoslavia exported to the Afghanistan Bu4 aria United States K ilo­ K ilo­ K ilo­ K ilo­ G ram s G ram s G ram s G ram s Kilo­ gram s gram s gram s gram s grams Grams

E n g la n d ...... 62,040 582 27,702 188 29,494 827 4,247 434 596 133 1,270 57 1,270 57 Turkey in Europe.. 1,024 381 1,024 381

T o ta l______64,335 20 29,996 626 29,494 827 4,247 434 596 133

T a b l e 9 -A .— Allotments of crude opium granted to importers, by calendar yean 1931 to 1938, inclusive

Calendar year Kilograms Grams Calendar year K ilogram s Grams

1931 ...... 61,779 914 1935______52,163 656 1932 57,289 304 1936______65,771 1933 ______45,541 141 1937______83,914 1934 ...... 45,339 291 1938______79,378 579

T a b l e 9-B.— Importations of crude opium into the United States by calendar years 1925 to 1938, inclusive

Calendar year K ilogram s Grams Calendar year Kilogram s Grains

46,655 326 1932______59,292 1926 ...... 64,837 217 1 9 3 3 ....______52,520 723 1927 ...... 64,927 312 1934______61,454 272 1928 ______44,586 41 1935______32,147 614 1929 ______76,993 593 1936______87,188 438 1930 ...... 54,243 805 1937______130,064 m 1931 61,165 681 1938______64,335 20

T a b l e 10.— Importations of coca leaves into the United States by country of produc­ tion, by calendar years, 1925 to 1938, inclusive

Country of production

Calendar year P eru Jav a

K ilogram s G ram s Kilograms Grams Kilograms Grams

1925..______42,457 334 29, 797 244 72,254 578 1926 - ______61,292 963 72,054 91 133,347 5t 1927 ______84,377 162 30,217 724 114, 594 m 1928 ______56,108 86254,558 485 110,667 347 1929 ______51,503 544 10,114 418 61,617 962 1930...... 67,623 745 22,075 410 89,699 155 / 67,143 845 } 55,605 89 221,235 525 1931______1 i 98, 486 591 1932...... 67,652 322 33,972 18 101,624 340 1933______58,899 132 * 22,799 914 81,699 46 f 58,223 281 83 85,551 171 1934______1 i 4, 480 807 } 3 22,847 J 60,142 655 ) 34,326 246 110,330 782 1935...... \ i 15.861 881 J 67,607 416 ] 34,248 398 171,389 634 193 6...... X 1 69,533 820 / 67,371 775 } 34,012 587 189,598 231 193 7...... \ i 88, 213 869 560 / 67,041 } 33,999 660 208,581 675 19 3 8 ...,______1 « 107, 540 455

i Im p o rted u n d e r sec. 6 of act. of Ju n e 14, 1930, for th e purpose of m a n u factu rin g a nonnarcotic flavormS extract, all cocaine and ecgonine content of the leaves being removed and destroyed under Governnze supervision. 2 Of this quantity, 998 gm. were imported under special permit for experimental purposes. 3 Of this quantity, 2 kg. 268 gm. were imported under special permit for experimental purposes. TRAFFIC IN OPIUM 91

T a b l e 10-A.— Importations of cannabis seed (hempseed) into the United States by calendar years, 19SO to 193S. inclusive

Calendar year K ilogram s Grams Calendar year K ilogram s G ram s

2,446,503 147 1935______52, 942, 804 332 1, 630,975 336 1936______28, 536, 011 340 2,891,581 108 1937______216, 461 303 2,058, 610 421 1938______233, 276 861 1934...... 5,888,279 866

T a b l e 11.— Number of persons registered under Federal narcotic laws on June 30, each, year 1921 to 1938, by classes

C lass 5— Class 1— Class 4— C lass 6— Physicians, M anufac­ Importers, Class 2— Users for C lass 3— dentists, tu rers of m anufac­ W hole­ an d deal­ purposes turers, R etail veterin ar­ of research, sale dealers ians, and ers in com ­ dealers exem pt in stru c­ pounders, other prac­ tion, or titioners p rep a ra­ etc. tions analysis

649 2,948 47,233 160,906 83,391 516 2.467 42,942 147,677 74,656 410 2, 256 45, 356 147,891 90,492 364 2,060 46, 416 143, 232 96,975 339 1,959 48,187 144,711 113, 413 322 1,826 48, 459 143,879 119,146 306 1, 778 48, 523 144,056 120,699 296 1,784 50, 601 145,379 120,877 291 1,751 51,568 146,588 123,784 287 1,725 53,118 148,079 127,594 263 1,605 53, 227 149,025 128, 757 253 1, 523 52,539 148, 556 128,192 226 1.467 51,744 146, 632 123,123 218 1,426 49,907 144,643 121,200 206 1,405 51,080 148,317 124,457 192 1, 356 51, 481 152,421 127, 631 181 1,353 51.488 153,951 133, 741 175 1,286 51, 579 156, 654 136,937

N o te.—The figures for persons or firms registered in each class include persons or firms also registered in one or more of the other classes. T a b l e 11-A.-—Number of persons registered under the Marihuana Tax Act on June 30, 1938, by classes ■Class 1—Importers, manufacturers, and compounders______13 Class 2—Producers (growers)------371 Class 3—Dealers, wholesale and retail______1, 179 Class 4—Physicians, dentists, veterinarians, and other practitioners 2, 097 ■Class 5—Users for purposes of research, instruction, or analysis------5 Total______3, 665

T a b l e 12.— Statement of crude opium imported, held in customs bond, and released to manufacturers during the calendar year 1938

Crude opium Ite m K ilogram s G ram s

68,152 860 64,335 20

132,487 880

78,724 216 1 461 147 53. 302 517

Total...... 132,487 | 880

1 Opium upon importation for storage in custom bond is entered at the invoiced or declared entry weights. Due to loss of moisture, discrepancies in the invoiced weights, etc., there are frequently differences between the entry and withdrawal weights. The opium withdrawn during the year was entered at 79,185 kg. 363 gm., but was found upon withdrawal to actually weigh 78,724 kg. 216 gm., a difference of 461 kg. 147 gm. 148600— 39------7 92 TRAFFIC IN OPIUM

T able 12—A.— Statement of crude opium and coca leaves received, used, and held as stocks by importing manufacturers during the calendar year 1938

R aw o pium R aw coca leaves Item Kilograms Grams K ilogram s Grams

521 375 196 972 Imports released to manufacturers during 1938...... 78, 724 216 1 208, 581 675 496 910 T o ta l...... — ...... 79, 245 591 209,275 557

74, 663 37 101,538 130 2,144 72 Used for manufacture of tinctures, extracts, and other 1,078 273 i 107, 540 455 2 410 1,357 799 196 972

T o ta l...... 79, 245 591 209,275 557

i Of th e q u a n tity of coca leaves im p o rted 107,540 kg. 455 gm ., from w hich ap proxim ately 824 kg. cf cocaine were producible, were imported and used under sec. 6 of the act of June 14, 1930, for the manufacture of nonnarcotic flavoring extracts. All cocaine and narcotic substances contained therein were extracted and completely destroyed under Government supervision.

T a b le 13.— Statement of original manufacture from crude opium, coca leaves, and morphine, by importing manufacturers during the calendar year 1938

M orphine for Crude opium Crude opium Crude coca codeine, ethyl- for tinctures Crude opium for medicinal for alkaloids leaves for morphine, opium and extracts alkaloids dilaud id, and Ite m apomorphine

K ilo­ Kilo­ Kilo- K ilo­ G ram s G ram s G ram s G ram s Kilo­ Grams gram s gram s gram s grams

6 776 12 445 2,187 305 26, 052 135 296 536 P laced in process d u ring 1938- 2,144 72 1,078 292 74,663 38101,53S 120 6,865 481

T o ta l______2,150 848 1,090 737 76,850 343 127, 590 255 7,162 17 Removed from process as 2,090 67 1,090 737 68,842 348 85,667 738 6,164 653 Remaining in process Dec. 31, 1938______60 7818,007 99541,922 517 997 364

2,150 848 1,090 737 76,850 343 127,590 255 7,162 17 T a b lb 14 — Statement of principal drugs produced for sale , soZd and held as finished stocks by importing manufacturers during the calendar year 1 9 3 8

Dihydromor- E th y lm o r- Medicinal Methylmor- C ocaine T h e b ain e M orphine phinone (di- phine (codeine) phine (dionin) opium la udid) Item K ilo­ K ilo­ K ilo­ K ilo­ K ilo­ K ilo­ K ilo­ G ram s G ram s G ram s G ram s G ram s G ram s G ram s gram s gram s gram s gram s gram s gram s gram s

O n h an d Ja n . 1, 1938.. 1,204 967 136 815 139 678 7 768 104 99 623 P ro d u ced d u rin g 1938 4, 086 296 1, 759 398 1 5, 726 228 232 522 784 629 301 T o ta l...... 5, 291 263 532 5,865 906 240 290 888 924 Produced as—

M edicinal o p iu m ______2, 656 915 M U I P O IN C I F F A R T Tinctures, extracts, etc. 1,429 381 Refined alkaloid ... 3 430 1,036 315 523 301 S u lp h ate sa lt ...... 1, 542 3,178 743 28 Phosphate salt— ...... 1, 510 858 Hydrochloride salt_____ 135 312 697 57 A cetate s a l t .,...... 294 H y d ro b ro m id e sa lt...... 507 Meconate salt ...... 85 N itra te sa lt _____ 255 P a n to p o n ...... 139 338 T ropococaine...... "766" T o ta l...... 296 5, 726 784 Sold domestically, principally to pharmaceutical manufac­ tu re rs ...... - ...... 1,829 336 1,489 879 26 4,740 971 209 560 744 344 Exported by importing manufacturers...... 879 170 28 7 711 Used for extraction of alkaloids...... """579 464 U sed for eucodal ...... 417 Losses in handling, remanufacturing, packaging, etc ______3117 764 907 85 227 85 Used by importing manufacturers in exempt preparations.. 673 896 O n h a n d D ec. 31,1938______2, 090 803 403 385 *72Ï' 1,121 251 30 "617" 136 "446* T o ta l. 263 30 532 5,865 906 240 290 728 16 924

1 Of this quantity, 502 kg 182gm., represents natural codeine having been extracted from the presence in the finished product of the full assayable narcotic content manufacturers the same opium as that used to produce the morphine during the year. find it necessary to actually use more opium, or other narcotic, in the manufacture of a 2 This figure represents not only actual losses sustained from time to time due to adhe­ preparation than is represented by the standardized finished product. Particularly is sion to equipment, wastage in tablet-punching and molding machines, breakage in han­ this true in the manufacture of tinctures, etc., where some decomposition of the assayable dling, wastage in packaging, etc., but also indicates medicinal opium and its products con­ alkaloid occurs during manufacture. Such differences between the actual narcotic used sumed in analyses. Manufacturers are subject to prosecution for misbranding under the and the assayable standard of the finished product are reflected in the accounting as various food and drug laws unless the finished product can be shown by assay to contain manufacturing losses and are also included in this figure. the full amount of each active ingredient which it purports to contain. In order to assure CO GO T a b l e 15.— Statement of principal drugs, produced, consumed, and held as stocks, calendar year 1938 CO

Dihydromor- M edicinal Methylmor- Ethylmorpbine Diacetylmor- Coca-leaf p rep ­ opium M orphine phinone (dil- Cocaine au d id ) phine (codeine) (dionin) phlne (heroin) arations Ite m

K ilo­ K ilo­ K ilo­ K ilo­ K ilo­ K ilo­ K ilo­ K ilo­ G ram s G ram s G ram s G ram s G ram s G ram s G ram s gram s gram s gram s gram s gram s gram s G ram s gram s gram s

4,026 365 1,939 502 37 506 3,334 865 153 513 573 57 3 317 106 226 4,086 296 1,759 398 25 89 5,726 228 232 522 784 629 Seized drugs released to governmental es- 8 618 Returned from dispensers for remanufac- 538 N M U I P O IN C I F F A R T Total to be accounted for...... 8,112 661 3,707 518 62 595 9,061 93 386 35 1,357 686 3 855 106 226 Consumption: Sales to retailers, practitioners, etc., 1,884 136 1,934 825 38 726 4,373 845 107 275 761 354 4 621 Used by governmental establish- 8 618 Used in analyses, lost in remanufac- 105 450 35 174 1 84 7 294 398 3 243 142 8 23

1,989 586 1,978 617 39 810 4,381 139 107 673 764 597 142 12 644

5 679 3 749 276 2 657 1 530 12 576 579 464 1,499 433 40 597 1,006 917 168 991 765 4, 038 499 1, 684 555 509 3, 670 380 107 841 580 513 2 94822 93 582

8,112 661 3,707 518 62 595 9,061 93 386 35 1,357 686 3 855 106 226

N o t e s . — Figures for stocks include all finished stocks held by manufacturers and wholesale dealers. Figures for medicinal opium represent the actual quantities of medicinal opium involved, either as such or contained in tinctures, extracts, etc. Figures for coca-leaf preparations are in terms of the actual quantity of raw coca leaves represented by the preparations. All other figures are in terms of the respective anhydrous alkaloids. TRAFFIC IN OPIUM 95

T a b l e 1 6 .— Taxable narcotic drugs exported from the United States by country of destination during the calendar year 1938

M edicinal o pium M orphine D ila u d id C odeine D ionin C ocaine

Country of destination

Australia------134 Bermuda------23 26 British Guiana...... — British Honduras...... 11 51 British West Indies------31 180 97 85 Canada------50 127 821 China - ...... 142 43 Ï75 26 Colombia ...... 60 Costa Rica...... 245 Cuba ...... r ------381 66 473 Dominican Republic------354 43 285 37 92 England ...... 49 Haiti...... 950 437 479 Honduras______480 201 Hong Kong ...... 78 457 463 India ------45 70 5 Newfoundland and Lab­ rador...... - ...... 49 27 32 2 New Zealand------350 Nicaragua______60 119 Panama...... 406 365 513 Union of South A frica— 21 Venezuela ------92 T o ta l- 141 276 419 1 530

N o t e .— Figures for medicinal opium represent the actual quantities of medicinal opium involved, either as such or contained in tinctures, extracts, etc. All other figures are in terms of the respective anhydrous alkaloids.

T a b l e 1 7 .— Taxable narcotic drugs shipped from the United States to the Philippine Islands during the calendar year 1938

Kind of drug Kilograms Grams

1 608 238 3 150

N o te .—All are in terms of the respective anhydrous alkaloids.

T a b l e 1 8 .— Taxable narcotic drugs shipped from the United States to Puerto Rico during the calendar year 1938

Kind of drug K ilogram s G ram s

27 74 Morphine____ 1 915 Dilaudid___ 153 Codeine_____ 11 225 Dionin. 72 250 Cocaine___ 1 608

N o t e .— Figures for medicinal opium represent the actual quantities of opium involved, either as such or contained in tinctures, extracts, etc. F igures for miscellaneous opium derivatives represent the actual q u an ­ tities of such derivatives. All other figures are in terms of the respective anhydrous alkaloids. 96 TRAFFIC IN OPIUM

T a b l e 19.— Report of the Government of Virgin Islands of the United States, of narcotic drugs received, dispensed, and on hand, calendar year 1938 ’

M edic­ M o r­ inal D ionin Cocaine Cocillana Paregoric o p iu m ph in e dC °"

" Kilo­ Kilo- Qrams Qrams Qrams Qrams Qrams grams Grams grams Gram O n h a n d Jan . 1, 1938...... 630 118 108 8 131 595 2 268 596 42 251 5 1 361 4 536 T o ta l...... 1,226 160 359 8 136 1 956 6 804

713 68 217 79 1 531 6 804 On h a n d D ec. 31, 1938...... 513 92 142 8 57 425

T o ta l...... 1,226 160 359 8 136 1 956 6 804

N o tb.—F igures for medicinal opium represent the actual quantities of medicinal opium involved, either as such, or contained in tinctures, extracts, etc. Figures for morphine, codeine, dionin, and cocaine are in terms of their respective anhydrous alkaloids. Figures for cocillana compound and paregoric represent actual quantitites of these preparations. 'Ï’a b l e 20.— Per capita consumption of opium , calendar years 1931 to 1938, inclusive [Figures are in terms of the crude opium represented by the quantities of the several drugs reported as consumedl

1931 1932 1933 1934 1935 1936 1937 1938 Form in which consumed M illi­ M illi­ M illi­ M illi­ M illi­ M illi­ M illi­ M illi­ G rains G rains G rains G rains G rains G rains G rains G rains gram s gram s gram s gram s gram s gram s gram s gram s

I. Drugs included in Geneva Conven­ tion or in group I of limitations convention: Opium, morphine, di- laudid, heroin, and pantopon ...... 2.8006 181.480 2.6842 173.940 2.5833 167.398 2.2987 148.953 2.3295 150.951 2. 2465 145.573 2.1153 137.071 2.0885 135.335 II. Drugs included in group II of limita­ tions convention: Codeine and d io n in ...... 2.8496 184.650 2.8853 186.960 2.5630 166.082 3.1667 205.203 3. 5181 227.973 3.8864 251.839 4.1383 268.162 250.102 3.8596 M U I P O IN C I F F A R T III. Preparations of low narcotic content not included in either convention: Tax-exempt preparations ______1.2986 84.150 1.1721 75.960 1.3049 84.558 1.2661 82.044 1.4205 92.048 1.6639 107.821 2.0658 133.864 1.4012 90.798

T o tal for all d ru g s...... 6.9488 450.280 6.7416 436.860 6.4512 418.038 6.7315 436.200 7.2681 470.972 7.7968 505.233 8.3194 539.097 7.3493 476.235

CO < 1 98 TRAFFIC IN OPIUM

T a b l e 21.— Per capita consumption of cocaine, calendar years 1931 to 1938, inclusive [Figures are in terms of the cocaine alkaloid represented by the quantities of cocaine reported as consumed]

Y ear G rains Milligrams Year G rains Milligrams

1931...... 0.10550 6.840 1935...... 0.09351 6.059 1932.09380 6.080 1936...... 095129 6.168 1933...... 09203 5.960 1937...... 09684 6.275 1934...... 09632 6. 241 1938...... 088923 5.762

T a b l e 22.— List of countries parties to The International O p iu m Convention, The Hague, Jan. S3, 1912 Albania. Iraq. Australia. Ireland. Belgium. Italy. Bolivia. Japan. United Kingdom of Great Britain and Latvia. Northern Ireland. Liberia. Brazil. Lichtenstein. Bulgaria. Luxemburg. Canada. Mexico. Chile. Monaco. China. Netherlands. Colombia. New Zealand. Costa Rica. Nicaragua. Cuba. Norway. Czechoslovakia. Panama. Danzig. Peru. Denmark. Poland. Dominican Republic. Portugal. Ecuador. Rumania. Estonia. Salvador. Finland. Siam. France. Spain. Germany. Sweden. Greece. Switzerland. Guatemala. Turkey. Haiti. Union of South Africa. Honduras. United States of America. Hungary. Uruguay. Iceland. Venezuela. India. Yugoslavia. TRAFFIC IN OPIUM 99

T a b l e 23.— List of countries ■parlies to the International Convention for limiting the manufacture and regulating the distribution of narcotic drugs, July 13, 1931

Afghanistan. Ireland . 1 Albania. Italy . 1 Australia. 1 Japan . 1 Belgium. 1 Latvia. 1 United Kingdom of Great Britain and Lithuania. 1 Northern Ireland . 1 Lichtenstein. 1 Brazil. 1 Luxemburg. 1 Bulgaria. 1 Mexico. ■Canada. 1 Monaco. 1 Chile. 1 Netherlands. 1 ■China. New Zealand. 1 Colombia. 1 Nicaragua. Costa Rica. 1 Norway. 1 Cuba. 1 Panama. Czechoslovakia. 1 Peru. Danzig.1 Poland. 1 Denmark. 1 Portugal. 1 Dominican Republic. 1 Rumania. 1 Ecuador. 1 Salvador. 1 Egypt. 1 San Marino. 1 Estonia. 1 Sa’udi Arabia. Finland. 1 Siam . 1 France.1 Spain. 1 Germany. 1 Sudan. 1 Greece. 1 Sweden. 1 Guatemala. Switzerland. 1 Haiti. 1 Turkey . 1 Honduras. 1 Union of South Africa. 1 Hungary. 1 United States of America. India. 1 U. S. S. R . 1 Iran. Uruguay. 1 Iraq.1 Venezuela. 1 1 Indicates countries (52) parties to the International Opium Convention, Geneva, Feb. 16, 1925, certain provisions of which the United States, a nonmember, has adopted by membership in the 1931 convention. In addition, Bolivia and Yugoslavia are parties to the 1925 convention. INDEX

A Page A and B Monopoly, Iranian Government label, seizures bearing______10, 24 Abba, Giovanni, arrest of------21 Abrahamowitz, A., alias (see Leifer, Isak)______19, 20 Act, Marihuana Tax, automobiles seized for violation of the ______56 number of persons in Federal prisons for violation of th e______16 seizures under the______15 Narcotic Drugs Import and Export, seizures under the______15 Addiction, drug------2-8 and crime, relationship between______6 - 8 reduction in the prevalence of______2-5 studies on______5,6 treatment for, number of convicted persons undergoing, . 16 unlawful prescribing for______42-45 Address of Hon. H. J. Anslinger before the Eighth Annual Forum on Current Problems Facing America______50-53 Administration______2 Administrative arrangements under international conventions______2 regulations and orders, new______1 Adoption of the Uniform Narcotic Drug Act in the District of Colum bia.. 1 Adulterant, use of novocaine as______15 Adulteration______45 Aeby, Aubrey, arrest of______36 Affirmation by court of sentences of narcotic-law violators______54 Air, illicit traffic by 1______40 Albano gang, arrest of members of______48 Alex Van Opstal, seizure ex steamship (Belgian)______13, 23 Alias Abrahamowitz, A. (see Leifer, Isak)______19, 20 Bernstein, D. (see Leifer, Isak)______19,20 Devan (see Devine, John David)______25, 26 Evans, Felix (see Moran. Felix Evans)______37 Feldman, Abraham (see Fried, A rthur)______24, 25 Gordon, Edward (see Gordon, Solly)______24, 25 Edward Sidney (see Gordon, Solly)______24, 25 Gordin, Simon (see Gordon, Solly)______24, 25 Jordon, Edward S. (see Gordon, Solly)______24, 25 Klein, Abe (see Imberman, H arry)______32, 33 Limbo (see Wallerstein, Louis)______40 Pryes, Emiel (see Brijs, Emile)______23 Russo, James (see Feraco, James)______32, 33 St. Clair (see Goodridge, Ainsley)______37 Aliens, deportation of______5 5 Almestica, Enrique, arrest of______46 101 1 0 2 INDEX

Page Alvarez, Manuel, arrest of______32, 33 America, address before the Eighth Annual Forum on Current Problems Facing______50-53 American Export Line Steamer Excalibur, seizure involving ______23, 24 American Legion, educational work with the______49 Representative at the Twenty-Third Session of the Opium Ad­ visory Committee, remarks made by the______69-75 Steamship President Cleveland case______28 Anderson, William, and wife, arrest of______32, 33 Angelica, Biaggio, arrest of______37 Annual estimates, narcotic drugs included in______64 preparation of______63, 64 difficulty in the______63 Anslinger, Hon. H. J., address made by______50-53 Antonio, seizure involving one______19 Aponte, Miguel, arrest of______47 Appendix______76-99 Appropriation for enforcement of Federal narcotic laws______1 Aquitania, smuggling ex steamship______25, 26 Area, Atlantic Coast, illicit traffic in the______17-26 North Central______30, 31 North Pacific Coast______26, 27 South Central______32-37 South Pacific Coast______27-30 Argentina, smuggling from______46 Arrests. (See names of individuals.) Arsa, seizure ex steamship (Italian)______18, 19 Ascione, Andrea, arrest of______19 Associations, parent-teacher, educational work of the______49 Atlantic Coast area, illicit traffic in the______17-26 Australia, smuggling from______14 Authorized importers of coca leaves______66 opium, crude______65 Automobiles seized______55, 56 B Baltimore, Md., seizure of marihuana a t______47 Bastida, Eugene, arrest of______29 Bateman-English case______33, 34 Bateman, Ivan E., arrest of______33, 34 Beland, Charles, arrest of______32, 33 Jacqueline, arrest of______32, 33 Joe, arrest of______32, 33 Lucy, arrest of______32, 33 Belgian steamship Alex Van Opstal, seizure ex______13, 23 Belgium, cooperation of the Government of______23 smuggling from ______22, 23 Belt, concealment in______38 Bernstein, D., alias (see Leifer, Isak)______19,20 Biaggio Angelica, et al. case______37 Board, Virginia State licensing, revocation of license by______43 Boards, State______57 Boat, disposition of seized______56 The Junk, case______17,18 INDEX 103

Page Boggs, Paul H., arrest of------39 Bomb, seizure of dynam ite------36 Bondy, Judge William, statement in sentencing drug smuggler______53, 54 Bonura, Joseph, arrest of------35 Books, concealment in------13 prayer, concealment in______19, 2 0 Boyd Penn case______36 Brand, Eagle, seizures bearing th e------11 Lam Kee, seizure bearing______28 Lo Fook Kee, seizures bearing______1 1 , 28 Red Lion (Lion and Globe), seizures bearing______11, 26, 27 Rooster and Elephant (Lam Kee-Macao), seizures bearing. _ 1 1 , 23, 29, 39 Tick Kee, seizures bearing______11, 38 Brazil, seizure ex steamship______46 Brazilian steamship Parnahyba, seizure ex______47 Breier, M., seizure involving______19, 20 Brew, Elbridge, arrest of______32, 33 John, arrest of______32, 33 Bridewell, Harry, arrest of------47 Ralph, arrest of______47 Brijs, Emile, alias Pryes, Emiel, arrest of______23 British authorities, cooperation of the______19, 20 steamship Glaucus, seizure involving______17, 18 Silvermllow case______28 Silveryew case______18 Bronston, William, arrest of______48 Brown, Arley, arrest of______43, 44 Bruce, Danny, arrest of______28 Brucine, seizure of______41 Buenos Aires, seizure ex steamship from______46 Buia, Angelo, seizure involving______25 Buia case______25 Buia, Ralph, arrest of______25 Bukovetz, Giacomo, arrest of______21 Bureau of Immigration and Naturalization, cooperation of the______55 Investigation, Federal, cooperation of the______54 Bustamente case______35 Modeste R., arrest of______35 Butler, Herbert L., arrest of______32, 33 C California, Los Angeles, seizure a t______29, 30 Camebolis, Mike, arrest of______27 Canadian Government, cooperation of the______- 26 Canadian Pacific steamship Empress of Japan case______38 Canal Zone, Panama, illicit traffic in the______37 Cangimilla, Anthony, arrest of______48 Cannabis (see M arihuana)______sativa L. (see M arihuana)______Carillot, Maurice, indictment of______17 Weber case______17 Case concerning heroin labeled Merck’s Co., Germany______30, 31 Catana, John, arrest of______32, 33 104 INDEX

Page Cavaness, Thomas Jefferson, arrest of------3 5 Central America, smuggling from— ------46 Area, North, illicit traffic in the______30, 31 South______32-37 Chandu registration card, seizure involving holder of------28 Chapman, Abe, arrest of______32, 33 case______2 1 George, arrest of______21 Chapter IV of The Hague Opium Convention of 1912______6 8 Chaumont, seizure ex United States Navytransport ------29 Cheong label, seizure bearing______29 Chia, Amoyo, seizure involving------26, 27 Manuel, seizure involving______26, 27 One, seizure involving______26, 27 China, smuggling from______12 Tientsin, smuggling from ______53 Chinese and Iranian opium, seizures of------1 1 arrest of tw o______26 medicinal preparations, seizures of______41, 42 seizure involving two Hong Kong______26, 27 Ching Chung Hee, arrest of______38 Kee Macao label, seizures bearing______11, 31 Chin Goe Shin, arrest of______26 Wan, Eddie, arrest of______38 Christian Temperance Union, National Woman’s, educational work of the. 49 Churches, educational work w ith .. ______49 Cigarettes, marihuana, prices of______14 sale and seizure of______48 City of Newport News, seizure ex steamship______21 Claridy, Thomas, arrest of______48 Classes of registration______6 6 , 67 Clemente, Jose, arrest of______26, 27 Cleveland, Ohio, report of Narcotics Section to the Fourth General Session of the Interstate Commission on Crime held at______7, 8 Clinics, narcotic drug, record discrediting theory of______4, 5 Clubs, educational work w ith______49 General Federation of Women’s, educational work of______49 Cocaine, adulteration of______45 destruction of______6 6 hydrochloride, seizure of______37 illicit traffic in______14 seizures of______14, 27 serial numbering of packages of______62 smuggling of______25, 26 Coca Leaf______58 leaves, authorized importers of______6 6 duty on______58 imports of______9, 58 control of______8 ,9 revenue from______58 tax on______58 Codeine, illicit traffic in______14 seizures of Japanese medicinal powder containing. INDEX 105

Page Cohen, S., seizure involving------19, 20 Colantonio, Nicolo, seizure involving______22 Collins, Marjorie, arrest of______36 Columbus, Ohio, seizure of marihuana a t______48 Comment, editorial------44, 45 on a drug smuggler______53, 54 Commissioner of Narcotics, address made bythe______50-53 Commission on Crime, Interstate, report of Narcotics Section to th e 7, 8 Comparative statement of seizures______15 violations______15 Comparison of narcotic drug law violators in Federal prisons with total prison population______16 Concealment in belt______38 books______13 fuel oil tanks______17, 18 olive oil tins______2 1 prayer books______19,20 sausage casing______35 thermos jug______36 Conciatore Gildo, arrest of______19 Conrad label, seizure bearing______20 Consumption______67, 6 8 Control, internal, of manufactured drugs______62-68 of international trad e______8 , 9 marihuana, Federal______59 State______46 Conte di Savoia, seizure ex steamship______22 Convention of 1912, Chapter IV of The Hague______6 8 Conventions, international, administrativearrangements u n d er..______2 Convictions (see names of individuals)______Cooperation, international______9 of the Belgian authorities______23 British authorities______19, 20 Bureau of Immigration and Naturalization______55 Investigation, Federal______54 Canadian authorities______26 French authorities______19, 20 governors of states______16 State licensing boards______57 State, in the control of m arihuana______46 Costa, Vince, seizure involving______28 Cotton variety of morphine, seizure of______29 Country of origin of seizures______39, 40 Courts______53, 54 Court, statement of in affirming sentences of Texas violators______54 sentencing New York drug smuggler______53 Crime, relationship between narcotic drug addiction and______6 - 8 report of Narcotics Section to the Interstate Commission on 7, 8 reports, uniform______54 Crimes, number of narcotic drug law violations compared with number of other______55 Criminal records of narcotic law violators,report on the______54 Crude opium (see opium, crude, raw)______106 INDEX

Page Cultivation of marihuana______5 ^ Curacao, seizure involving steamship from______2 4 Customs enforcement officers, cooperation of______1 5 | jg laws, seizures under______J5

D Davidson, Dr. W. H., arrest of______34, 35- death of______3 4 , 3 5 Decision No. 29, Treasury, approval of______1 Deleon, Pedro, arrest of______26, 27 Denham, Gentry, case involving______4 3 ; 4 4 Department of Justice, cooperation of the Federal Bureau of Investigation of th e------5 4 Deportation of aliens______5 5 Derivatives of opium, seizures of medical preparations containing______41, 42 Destruction of cocaine______6 6 m arihuana______45-48 Developments in the trend of the traffic______14, 15 Devine-Goon Lin case______25, 26 Devine, John David, alias De van, arrest of______25, 26 Diacetylmorphine, prohibition on (see also heroin)______64 Difficulty in the preparation of annual estimates______63 Dinelli, Charles, arrest of______40 Dispensing, internal control of______62-68 of morphine, unlawful______43, 44 Disposition of seized automobiles and vehicles______56 Distribution, and trade______6 6 - internal control of______62-68 number of persons registered for______6 6 , 67 District of Columbia, adoption of the Uniform Narcotic Drug Act in the 1 Diversion from legitimate channels, cases of______42-45 Diversions______57 Division of statistics, explanation of______15 Don Jose, seizure ex'steam ship______26, 27 Dr. Davidson-Eddie Weir case______34,35 Dross, opium, seizure of------23,31 Drug addiction (see Addiction, drug)______Drugs, manufactured______62 internal control of______62-68 narcotic, control of imports and exports of______8 , 9 in-transit shipments of______8 ,9 other______69 D uty on coca leaves______58 opium______58 Dynamite bomb, seizure of ______36

E Eagle brand, seizures bearing______11 Editorial comment on drug smuggler______53, 54 Federal narcotic law enforcement______4 4 ,45 Education on effects of marihuana______4& Educational work______49 INDEX 107

P a g e Empress of Japan, seizure ex steamship------38 Enforcement of Federal narcotic laws, appropriation for______1 officers, customs, cooperation of______15 results of State______16 English, John E., arrest of------33, 34 Escoboza case------34 Mariano, arrest of______34 Esposito, Luigi, arrest of------21 Estimates, annual, narcotic drugs included in ______64 preparation of______63, 64 difficulty in th e______64 supplemental, submission of______63 Europe, smuggling from------13 Evans, Felix, alias (see Moran, Felix Evans)______37 Examples of seizures------16-45 Excalibur, seizure involving steamship______23, 24 Exchange of information between governments______9 Experimental growth of m arihuana______60-62 Explanation on division of statistical data______15 Export authorizations, operation of system of______8 , 9 Exports of narcotic drugs------8 , 9 Exportation of marihuana, requirements for______59 Exporter of marihuana, qualification for______59 Express, illicit traffic b y______40 Extent of opium smoking______6 8 , 69

F Failla, Giuseppe, seizure involving______20 False labels, seizures bearing______13, 30, 31 Falsely labeled nonnarcotic substances, seizures of______40, 41 Far East, smuggling from the______11, 1 2 , 14 statements of Stuart J. Fuller concerning the narcotic situation in the______69-75 Federal Bureau of Investigation of the Department of Justice, cooperation of the______54 law controlling marihuana______9 governing imports and exports of narcotic drugs______64 the manufacture of smoking opium, violations of th e______6 8 , 69 narcotic laws, appropriation for enforcement of______1 automobiles seized under the______55, 56 persons serving sentences for violation of the______16 seizures under the______15 prisons, comparison of narcotic drug law violators with total popu­ lation in______16 number of persons in for violation of the Marihuana Tax Act______16 Federation of Women’s Clubs, General, educational work of the______49 Feraco, James, alias Russo, James,arrest of______32, 33 Formentos, Alberto, arrest of______26, 27 Forms, lost order______57

148600— 39------8 108 INDEX

Page Forum on current problems facing America, address before the Eighth Annual------z------50-53 France, smuggling from ______12, 14, 18-21 French authorities, cooperation extended by the______1 9 , 2 0 Fried, Arthur, alias Feldman, Abraham, case involving______24,25 Fuller, Stuart J., statements of______69—75

G Gelb, Solomon (see Gordon, Solly)______24, 25 General Federation of Women’s Clubs, educational work of the______4 9 Gennatiempo, Giuseppe, arrest of______19 Gerbino, Anthony, arrest of______22 German labels, seizure of non-narcotic substance with false______4 1 Gershofï, M., seizure involving______19, 20 Giantos, George, arrest of______27 Thomakas case______27 Giovicini, seizure involving one______23 Glaucus, seizure involving British steamship______17,18 Goodridge, Ainsley, alias St. Clair, arrest of______37 Goon Lin, conviction of______26 Gordin, Simon (see Gordon, Solly)______24, 25 Gordon, Howard, case involving______24, 25 Solly, aliases, arrest of______24, 25 case______24,25 Governments, exchange of information between______9 Governors of States, cooperation of______16 Gragg, Dr. Henry L., arrest of______43 Granville, seizure ex steamship______26 Gray, Thomas, arrest of______31 Growth of m arihuana______45-48 experimental______60-62 Guerrero case______34 Guerrero, Miguel, arrest of______34 Guthrie, Fred, arrest of______36

H

Hague Opium Convention of 1912, Chapter IV of T h e ______6 8 Hawaiian Islands, illicit traffic in the______38, 39 Held, John, case involving______24, 25 Hemp, Indian (see marihuana)______seed, importations of______59 requirements to import and export______59 tax o n______59 Heroin, adulteration of______15,45 illicit traffic in ______^ sale of______17 seizures of______13, 18-20, 22, 23, 25, 30, 31, 33-37,40 smuggling of______25, 26 World Wide Products,seizure of______32,33 Highnote, H. W., arrest of______Hildebrandt, William (Big Bill),arrest of successor to ______^0 Hodge, Orlando, arrest of______^ INDEX 109

Page Hoffman, Bruce, arrest of------31 Hong Kong, seizure involving Chinese in______26, 27 smuggling from------1 2 , 14, 18, 26, 28 Hopper, Roy, arrest of------32, 33 Horvath, Andrew, arrest of______29 Olson case______29 Hospital groups, educational work w ith______49 Ho Yee, arrest of______39

I Ida, seizure ex steamship------21, 22 Illicit traffic______10-48 by post, express, railway, and air______40 in cocaine______14 codeine______14 heroin______13 marihuana______14, 45-48 morphine______12, 13 opium, prepared______1 1 , 1 2 raw (crude)______1 0 , 1 1 the Atlantic Coast Area______17-26 Hawaiian Islands______38, 39 North Central Area______30, 31 Pacific Coast Area______26, 27 Panama Canal Zone______37 South Central Area______32-37 Pacific Coast Area______27-30 Imberman, Harry, alias Klein, Abe, arrest of______32, 33 Immigration and Naturalization, cooperation of the Bureau of______55 Import and Export Act, seizures under the Narcotic Drugs______15 Importations of Hemp seed, requirements for______59 marihuana, requirements for______59 Import certificates, operation of system of______8 ,9 Importers of coca leaves, authorized______6 6 opium, authorized______65 Imports and exports of narcotic drugs, law governing______64 of hemp seed______59 coca leaves______9, 58 opium______9, 58 Indian hemp (see marihuana). Indictments (see names of individuals). Information, exchange of______9 furnished State licensing boards______57 other______49 Ingram, William G., arrest of______29 Woods case______29 Inspection of operations______62 premises______62 records______62 Internal distribution and trade, control of______62-68 revenue narcotic laws, Federal, seizures under______15 tax on coca leaves______58 opium______58 1 1 0 INDEX

Page International conventions, administrativearrangements under...______2 coopération______g trade, control of______8 9 in marihuana, control of______5 9 Interstate Commission on Crime, report of Narcotics Section to the 7 , g traffic in marihuana______4 7 Intransit authorizations, system of______8 , 9 shipments of narcotic drugs authorized______8 , 9 Investigation, cooperation of the Federal Bureau of______5 4 Iranian Government A and B Monopoly label, seizures bearing______1 0 , 24 Iranian opium, seizures of Chinese and______11 Islands, Hawaiian, illicit traffic in th e______38, 3 9 Italian steamship Arsa case______10, 18, 19 Conte di Savoia case______22 Ida case______21, 22 Rex case______22 seizure ex______13,22 Italy, smuggling from------14, 21, 22

J James, Leslie, arrest of______32, 33 Willie Beland, arrest of______32, 33 Japan, smuggling from ______14,27 Japanese concession of Tientsin, China, smuggling from ______53 medicinal powder, seizures of______42 Jenkins, Bussell, arrest of______31 Jersey City, seizure a t pier a t______23, 24 Jones, Mary, arrest of------48 Jordon, Edward S. (see Gordon, Solly) ______24, 25 Jug, thermos, concealment in______36 Junction City, Ky., arrest of physician at______43, 44 Jungle case, The—Dr. Henry L. Gragg, Junction City, Ky______43-45 Junk Boat case______17,18 Justice, cooperation of the Federal Bureau of Investigation of the Depart­ m ent of______54

K Kahn, Bernard, case involving______24,25 Katzenberg, Jasha, sentence of______53 Kentucky, Junction City, arrest of physician at______43 Newport, seizure of marihuana at______47 Somerset, arrest a t______43,44 Kilburn, Frank, arrest of______20 Kiwanis Club, educational work with the______49 Konig, John, arrest of______30 Kuba, Irving, indictment of______1'

L Label, Cheong, seizure bearing______^9 Ching Kee, Macao, seizures bearing______Hi®' Conrad, seizure bearing______^ INDEX 1 1 1

Page Label, German, seizure bearing false_ _------41 Iranian A and B Monopoly, seizures bearing______10, 24 Les Etablissements Poulenc Freres, seizure bearing______29, 30 Merck (Germany), seizures bearing______13 Merck’s Co., Germany, seizure bearing______30, 31 Poulenc, Freres, seizures bearing______13 Red Lion, seizure bearing------23 Roche, seizure bearing______37 World Wide Products, seizures bearing______13, 32, 33 Labels, false, seizures bearing------13, 30, 31, 40, 41 LaCoste, Ralph, arrest of------48 Lam Kee brand, seizure bearing------28 Macao brand (see also Rooster and Elephant), seizures bearing. 11, 17 Lang, Joe, arrest of------48 Law, enactment of, changing name of the United States Narcotic Farm, Fort Worth, Texas______1 Law governing imports and exports of narcotic drugs______64 the manufacture of smoking opium, violations of the 6 8 , 69 Laws, customs, seizures under th e______15 narcotic drug, Federal. (See Federal narcotic drug laws.) number of violators of, undergoing treatment for drug addiction______16 recidivism in violators of the______54, 55 report on criminal records of violators of the______54 violations of, compared with numberof other crimes. 55 State narcotic, results of enforcement of the______16 Legislation, new______1 State, controlling marihuana______46 Leifer, Isak, arrest of______19, 20 ease______19, 20 Mrs. Gitel, indictment of______20 Leiner, Sigmund, arrest of______23 Les Etablissements Poulenc Freres label, seizure bearing______29, 30 License, revocation of physician’s______43 Licenses______65 Licensing boards, State, cooperation of______57 Limbo, alias (see Wallerstein, Louis)______40 Limitation of manufacture______63-65 Lion and Globe brand (Red Lion), seizures bearing______11, 18 Lodges, educational work w ith______49 Lo Fook Kee brand, seizures bearing______11, 28 Lopes, Frank, arrest o f-______32, 33 Los Angeles, Calif., seizure a t______29, 30 Lost order forms______57 Louisiana, New Orleans, violations of the Marihuana Tax Act at______48 -Texas organization, court affirmation of sentences of members of. 54 Luisi, Salvatore, arrest of______2 1 Lvovsky, Jacob, statem ent of court in sentencing of______53, 54 Lynchburg, Va., arrest of physician a t______42 M Macao, Ching Kee, Best Quality of Old Opium, seizure bearing label of 31 Lam Kee brand (see also Rooster and Elephant)______11, 17 seizures of prepared opium, manufactured in______1 2 1 1 2 INDEX

ïase Macey, Joe, arrest of------3 7 Makanui, Charles B., arrest of______3 9 Manufacture______65 limitation of------63-65 of smoking opium, violations of law prohibiting______6 8 , 69 Manufactured drugs, internal control of______62-68 Manufacturers of narcotic drugs authorized to import opium and coca leaves------65, 6 6 pharmaceutical, authorized to import opium______65 M arihuana (Cannabis saliva L., Indian H em p)______58 (Cannabis saliva L.), illicit traffic in______14, 45-48 cigarettes, prices of______14 control of imports and exports of------9 cultivation of______58 destruction of______45-48 education on______46 growth of______45-48 experimental______60-62 illicit traffic in______14, 45-48 interstate traffic in______47 number of registrations for trade in______60 qualification as exporter of______59 importer of______59 for trade in______:______60 research work in connection with______60-62 seizures of______14, 45-48 smoker, arrest of______47 smoking, practice of______46 smuggling of______46 State control of______46 system of control, Federal______59 Tax Act of 1937, automobiles seized for violation of th e 56 control provided by the______9 number of persons in Federal prisons for vio­ lations of th e ______16 number of violations of the______45 seizures under the______14, 15, 45-48 tax on______58 the transfer of______59,60 Maryland, Baltimore, seizure of marihuana at______47 Massachusetts, Boston, seizure of nonnarcotic substance a t ______41 clinical studies on drug addiction by the health department of______6 Materials, raw ______58 M atty case______34 Matty, Lorenzo, arrest of______34 Mazzi, Luigi, arrest of______19 McCann, Frank R., conviction of______^ McMullen-Hoffman-Jenkins-Gray case______31 William, arrest of______31 Medicinal powder containing codeine, seizures of______42 preparations, seizures of Chinese______41,42 containing narcotic drugs______41,42 Memphis, Tenn., seizure of marihuana at______48 INDEX 113

Page Merck (Germany) label, seizures bearing------13 Merck’s Co., Germany, label, seizure bearing ______30, 31 Methods of smuggling------15 Mexican citizen, arrest of------27, 28, 34 origin, seizures of------14 Mexico, Government of, destructionof opium poppies by______10 smuggling from------27, 28, 33-37 Michigan, University of, studies on drug addiction at the______5, 6 Miller Brothers case------36 George, arrest of------36 Johnnie, arrest of------36 Walter, arrest of------36 Mills case______27 Wesley S., arrest of------27 Minnesota, shipment of marihuana from------47 Misques, Carlos, arrest of------41 Mississippi, seizure of marihuana procured in ______48 Mole, arrest of one------38 Mole case______38 Monterey, seizure ex steam ship------27 Monthly returns, audit of______62, 66 examination of______62, 66 system of______62, 66 Moore-Cavaness case______35 James Lee, arrest of______35 Ralph______36 Moran, Felix Evans, alias Evans, Felix, arrest of------37 Moran-Goodridge case______37 Morphine, adulteration of______45 hydrochloride, seizures of______20, 22, 29-31 illicit traffic in______12, 13 prescribing of for drug addiction______43, 44 prices of______13 seizure of cotton variety of______29 seizures of______12, 13, 32, 33, 37 medicinal preparations containing______41, 42 serial numbering of packages of______62 Munoz case______27, 28 Sabos, arrest of______27, 28 N Narcotic drug clinics, record discrediting theory of______4, 5 laws (see Laws)______drugs (see drugs, narcotic)______adulteration of______45 authorized manufacturers of______65, 66 diversions of______57 import and export act, seizures under the______15 included in the annual estimates______64 nonnarcotic substances falsely labeled as______40, 41 prescribing of for addiction______42-45 produced from opium imported______65 seizures of medicinal preparations containing______41, 42 thefts of______56 114 INDEX

Page Narcotic Farm, Forth Worth, Tex., law changing name of______1 law enforcement by State officers______1 6 violators, recidivism in______54, 55 officers, average number of______15, ig National Research Council, study of drug addiction by the______5, § Woman’s Christian Temperance Union, educational work with the. 49 Nelson, Margaret (Mrs. Thomas), arrest of______3 0 Thomas, arrest of______3 0 case------30 New administrative regulations and orders______1 legislation______1 Mexico, Las Cruces, seizure of falsely labeled nonnarcotic sub­ stance a t______41 Orleans, La., violations of the marihuana tax act at______48 Newport, Ky., seizure of m arihuana a t______47 Newspaper comment______44,45, 53,54 New York drug smuggler, editorial comment on______53, 54 statement of court in sentencing______' 53 Herald Tribune, address under auspices of______50-53 seizure a t______46, 47 Nonnarcotic substances falsely labeled asnarcotic drugs______40, 41 North Central area, illicit traffic in th e______30, 31 Pacific Coast area, illicit traffic in the______26,27 Norwegian steamship Granville case______26 Novocaine, use of, as adulterant______15 Nowlin, Dr. J. Burton, arrest of______42 Number of aliens deported______55 automobiles seized______55 narcotic drug law violations compared with number of other crimes______55 officers, average______15,16 persons convicted undergoing treatment for drug addiction 16 in Federal prisons for violation of the Federal narcotic laws______16 Marihuana Tax Act______16 registered for trade anddistribution______66,67 in m arihuana______60 Numbering, serial, of packages______62

O Officers, customs, enforcement b y ______15,16 narcotic, average number of______15,16 state, enforcement by______16 Ohio, Columbus, seizure of marihuana a t ______*8 Oil tank, concealment in______17,18 Olive oil tins, concealment in______21 Olson, Ernest C., arrest of______29 Oneha, Samuel K., arrest of______39 Operations, manufacturing, inspection of______Opium Advisory Committee, statements of the American Representative a t the meeting of______69-75 bearing Iranian Government A andB Monopoly label, seizure of-- 24 INDEX 115

Page Opium, crude, control of imports of------8, 9 authorized importers of______65 duty on______58 imports of______9,58 internal revenue tax on______58 narcotic drugs produced from______65 pharmaceutical manufacturers who import______65 purchase of______18, 19 revenue from______58 seizures of ______18, 19, 21, 23, 24, 27, 28, 33, 34 smuggling of------25, 26 derivatives, seizures of medicinal preparations containing______41, 42 dross, seizure of------23, 31 poppies, destruction of by the Mexican Government______10 poppy seed pods, seizures of______42 prepared------68 illicit traffic in______11, 12 increase in quantities seized______11 prices of______12 prohibition of______68 seizure of bearing Shanghai Opium Monopoly Suppression Bureau stam ps------39 seizures of______11, 12, 17, 18, 23, 26-29, 31, 34, 35, 38 Chinese and Iranian______11 Opium, raw (see also opium, crude)______58 illicit traffic in______10, 11 prices of illicit______10, 11 seizures of______10 research in development of substitute for______5, 6 smoking, extent of______68. 69 paraphernalia, seizure of______28, 31 total seizures of______69 solution, seizure of______23 Order forms, lost______57 Oregon, Portland, seizure a t______26 Organization______2 Origin of seizures, country of______39, 40 Orizaba, seizure ex steamship______46 Ossieh, Antonio, arrest of______21 Other drugs______69 information______49 questions______68 P Pacific coast area, north, illicit traffic in the______26, 27 south, illicit traffic in the______27-30 Packages, serial numbering of______62 Panama Canal Zone, illicit traffic in th e______37 Pantopon, importation of opium for the manufacture of______65 Parent-teacher associations, educational work with the______49 Parnahyba, seizure ex steamship______47 Peace officers’ training schools, educational work with______49 116 INDEX

Page Penn, Boyd, arrest of______Per capita consumption______67 6 8 Persian Government. (See Iranian Government.) Peterson, Riley, Kilburn case______20 Walter J., arrest of______20 Pharmaceutical manufacturers who importopium ______65 Philippine steamship Don Jose case______26,27 Physician, arrest of______42-44 revocation of license of______4 3 Pier at Jersey City, N. J., seizure at______23, 24 Pinson, Robert, arrest of______29 Pods, seizures of opium poppy seed______4 2 Police training schools, educational work with the______4 9 Poppies, opium, destruction of______1 0 Poppy seed pods, seizures of______42 Portland, Oreg, seizure at______26 Post, illicit traffic by______40 Poulenc, Freres label, seizures bearing______13 Pozzecco, Bruno, arrest of______21 Prayer books, concealment in______19,20 Premises, inspection of manufacturing______62 Preparation of annual estimates______63,64 Preparations, medicinal, containing narcotic drugs, seizures of______41,42 Chinese 41,42 Prepared opium (see also opium, prepared)______6 8 Prescribing narcotic drugs for addiction, cases of______42-45 President Cleveland, seizure ex steamship______28 Jefferson, seizure ex steam ship______27 Prevalence of drug addiction, reduction in the______2-5 Prices of opium, illicit______10,11 m arihuana cigarettes______14 morphine______13 prepared opium______12 trend in______15 Prisons, Federal, comparison of narcotic drug law violators in with total prison population______16 number of persons serving sentences in for violation of the Marihuana Tax A ct______16 Production of hemp seed______58 Prohibition on diacetylmorphine______64 prepared opium______6 8 Pry es, Emiel, alias (see Brijs, Emile)______23 Public Health Service Hospital at Lexington, Ky., treatment in the------3,4 Fort Worth, Tex., designation of 1 research report on drug addiction by the United States______5,6 Publication on studies of drug addiction______5,6 Purchase of crude opium______18,19

Q Qualification for trade in m arihuana______59,61) narcotic drugs______66,67 Quarterly returns, operation of system of______62,66 Questions, other______INDEX 117

R Page Railway, illicit traffic by------40 Jîaw materials------58 opium (see also opium, crude)______58 Recidivism in narcotic law violators______54, 55 Records, inspection of------62 Red Lion brand, seizure bearing______26 Red Lion (Lion and Globe) brand, seizures bearing______11, 18 label, seizure bearing______23 Reduction in the prevalence of drug addiction______2-5 Registration for trade, classes of------60, 66, 67 number of______60, 66, 67 Regulations and orders, new administrative______1 Relationship between narcotic drug addiction and crime______6-8 Repetti, Divino, arrest of------19 Report of Narcotics Section to the Fourth General Session of the Inter­ state Commission on Crime______7, 8 Reports, uniform crime______54 Research Council, study of drug addiction bythe National______5, 6 on marihuana______60, 61 substitute for opium______5, 6 report on drug addiction______5, 6 Returns, monthly and quarterly, operation of system of______62, 66 Revenue from coca leaves and opium imported______58 Review of seizures listed according to country of origin______39, 40 Revocation of physician’s license______43 Rex, seizures ex steam ship______13, 22 Riley, Wesley L., arrest of______20 Rios, Augustine, arrest of______47 Roberts, George, arrest of______30 Roche label, seizure bearing______37 Rockefeller Foundation, participation in studies on drugaddiction ______5, 6 Rodrigues, Joe, arrest of______47 Rogers, Pauline, arrest of______36 Rooster and Elephant brand, seizure bearing______23, 29, 39 (LamKee-Macao) brand, seizures bearing______11, 17 Rotary club, educational work with th e ______49 Russo, James, alias (see Feraco, James)______32, 33 S Saia, Roy, indictment of______48 Russell, arrest of______' 48 St. Clair (see Goodridge, Ainsley)______37 Saitta, Salvatore, arrest of______22 Santa Barbara, seizure involving steamship______37 Elena, seizure involving steam ship______24 Santos, Brazil, seizure ex steamship from ______47 Sausage casing, concealment in______35 Scala, Menotti Della, arrest of______19 Schools, educational work with______49 Seed, hemp, importations of______59 production of______58 requirements for import and export of______59 tax on______59 118 INDEX

Page Seed, pods, seizures of opium poppy______4 2 Seizure a t Los Angeles, Calif______29,30 pier at Jersey C ity..------23,24 Portland, Oreg______26 ex United States Navy Transport Chaumont______29 involving Breier, M ______19, 20 Chia, Amoyo______26, 27 Manuel______26, 27 Cohen, S------19,20 Colantonio, Nicolo______22 Costa, Vince______28 Failla, Giuseppe______19,20 Gershofif, M ______19, 20 one Antonio______1 9 Giovicini______23 Vincenzo______22 Wong Chong______28 obtained in Yugoslavia______10 of Brucine______41 cocaine______27 hydrochloride______37 dynamite bomb______36 opium bearing Iranian (Persian) Government A and B Monop­ oly label______24 in tins with stamps of Shanghai Opium Monopoly Sup­ pression Bureau______39 solution______23 Seizures and violations______15,16 bearing false labels______13, 30,31 brands and labels (see brand and label). comparative statement of______15 country of origin of______39,40 examples of______16-45 ex steamships (see steamships). from Italian seamen______13 involving steamships (see steamships). of automobiles______55, 56 Chinese and Iranian opium______11 Chinese medicinalpreparations ______41, 42 cocaine______14 heroin______13, 18-20, 22, 23, 25, 30-37,40 m arihuana______14, 45-48 medicinal preparations containing narcotic drugs______41,42 Mexican origin______^ morphine______12, 13, 32, 33,37 of morphine hydrochloride______20, 22, 29-31 opium, crude______10, 18, 19, 21, 23, 24, 27. 28,33,34 dross______23,31 prepared______11, 12, 17, 18, 23, 26-29, 31, 34, 35,38 smoking paraphernalia______28,31 to tal______® vehicles______55,56 under customs laws______Federal narcotic laws. 13 INDEX 119

Page Seizures under the Marihuana Tax Act______15 Narcotic Drugs Import and Export A ct______15 Self, William, arrest of------37 Serial numbering of packages------62 Shanghai Opium Monopoly Suppression Bureau, seizure bearing stamps of. 39 smuggling from______29 Significant cases of illicit traffic in the Atlantic Coast area______17-26 Hawaiian Islands______38, 39 North Central area______30, 31 North Pacific Coast area______26, 27 Panama Canal Zone______37 South Central area______32-37 South Pacific Coast area______27-30 Sûverwûlow, seizure ex steamship (British)______28 SUveryew, seizure ex steamship (British)------18 Sim Muk, arrest of------38 Sing Boe, arrest of------26 Sing, Charles, arrest of------23 case______23 Sistrunk, Roy, arrest of------36 Smith, David W., arrest of------20 case______20 Perry C., arrest of______37 Smoker of marihuana, arrest of______47 Smoking of marihuana______46 opium, extentof ______68, 69 opium seizures, total of______69 violations of the law governing the manufacture of______68, 69 paraphernalia, opium, seizure o f ...______31 Smuggler, editorial comment on a drug______53, 54 Smuggling, ex steamship Aquitania______25, 26 from Argentina______46 Australia______14 Belgium______22, 23 Central America______46 China______12 Europe______13 Far E ast______11, 12, 14 France______12, 14, 18-21 Hong Kong _____ 12, 14, 18, 26, 28 Italy______14,21,22 Japan______14, 27 Mexico______27, 28, 33-37 Shanghai______29 South America______46, 47 Tientsin, China______S3 Yugoslavia______14, 21, 22 methods of______15 of cocaine______25, 26 heroin______25, 26 m arihuana______46 opium______25, 26 Somerset, Ky., arrest a t______43, 44 1 2 0 INDEX

Page South America, smuggling from ______46,47 Sow Kim, arrest of______24 Spalice, Mario, arrest of______22 Salvatore, arrest of______22 Stamps of Shanghai Opium Monopoly Suppression Bureau, seizure bearing. 3 9 State Board, Virginia, revocation of license by the______4 3 State Boards______5 7 control of m arihuana______4 5 officers, enforcement of narcotic law by______1 5 Statement of court in affirming sentences of Federal narcotic law violators. 5 4 sentencing drug smuggler______5 3 , 5 4 Statements of Fuller, Stuart J., concerning the narcotic situation in the Far E ast______69-75 States, cooperation of the governors of______16 which have adopted the UniformNarcotic Drug Act, number of.. 2 not adopted the Uniform Narcotic Drug Act______2 Statistical data, explanation of division of______15 tables______76-99 Steamship Alex Van Opstal,seizure ex______13, 23 Arsa, seizure ex______18,19 Aquitania, smuggling ex______25,26 Brazil, seizure ex______46 City of Newport News, seizure ex______21 Conte di Savoia, seizure ex______22 Don Jose, seizure ex______26, 27 Empress of Japan, seizure ex______38 Excalibur, seizure involving______23,24 Glaucus, seizure involving______17,18 Granville, seizure ex______26 Ida, seizure ex______21,22 Italian, seizure ex______10 Monterey, seizure ex______27 Orizaba, seizure ex______46 Parnahyba, seizure ex______47 President Cleveland, seizure ex______28 Jefferson, seizure ex______27 Rex, seizure ex______13, 22 Santa Barbara, seizure involving______37 Elena, seizure involving______24 Silverwillow, seizure involving______28 Silveryew, seizure ex______18 Steamships, Italian, seizures involving seamen on______13 Studies on drug addiction______5,6 Substitute for opium, research work on______5,6 Sullivan, Patricia, arrest of______30 Supplement No. 138 report on drug addiction______5 , 6 Supplemental estimates, submission of______63 System of control of m arihuana______59 narcotic drugs______import certificates and export authorizations, operation of 8 ,9 T Tables, statistical______76-99 Tanks, fuel oil, concealment in ______17, ^ Tax on coca leaves, internal revenue______^8 INDEX 121

P a g e Tax on hemp seed------59 marihuana------58 Tax on opium, internal revenue------58 transfer of marihuana------59, 60 Temperance Union, National Woman’s Christian, educational work of 49 Tennenbaum, Morris, arrest of------32, 33 Tennessee, Memphis, seizure of marihuana a t ------48 Tersky, Robert, arrest of------32, 33 Texas, Brownsville, seizure of falsely labeled nonnarcotic substance at 41 law changing name of United States Narcotic Farm, Fort Worth. _ 1 Louisiana organization, court statement in affirmation of sentences of members of______54 violators, court statem ent in affirming sentences______54 Thefts of narcotic drugs------56 order forms______57 Thermos jug, concealment in------36 Thomakas, George J., arrest of------27 Tientsin, China, smuggling from------53 Trade and Distribution______6 6 control of international______8 ,9 in marihuana, number of persons or firms registered for______60 qualification for______60 registration for______60 requirements for international------59 number of persons registered for______6 6 , 67 Traffic, developments in the trend of th e______14, 15 illicit (see also Illicit Traffic)______10-48 interstate, in marihuana______47 Training Schools, Peace Officers’, educational work w ith------49 police, educational work with the______49 Transfer of marihuana, tax on______59, 60 Transport Chaumont, United States Navy, seizure ex______29 Trash in, seizures of Japanese medicinal powder called______42 Treasury Decision No. 29, approval of______1 Treatment for drug addiction in the United States Public Health Service Hospital at Lexington, Ky., resultsof 3, 4 number of convicted persons undergoing 16 Trend in prices______15 of the Traffic, developments in the ______14, 15 Tsin Ho Zon, arrest of______32, 33 Tyra, Lulu, arrest of______37

U

Uniform Nacrotic Drug Act______1, 2 in the District of Columbia, adoption of 1 number of States which have adopted th e 2 States which have not passed the______2 United States Narcotic Farm, Fort Worth, Tex., change in name of______1 Navy Transport Chaumont, seizure ex______29 Public Health Service Hospital at Lexington, Ky., treatment for drug addiction in the______3, 4 Public Health Service Hospital, Fort Worth, Tex., designa­ tion of______1 research report ondrug addiction 5, 6 122 INDEX

Page University of Michigan pharmacological studies on drug addiction______5 , g Virginia chemical studies on drug addiction______5 , g V Vehicles, disposition of seized------5 g seizures of------55, 56 Vergetalis, Andrew, indictment of______1 7 Vincenzo, seizure involving one------22 Violation of the Federal narcotic laws, automobiles seized for______55, 56 M arihuana Tax Act, automobiles seized for______06 Violations, comparative statement of______1 5 of the law governing the manufacture of smoking opium 6 8 , 69 M arihuana Tax Act______45-48 seizures and______15,16 Violators, recidivism in narcotic law______54, 55 Virginia, Lynchburg, arrest of physician a t------42 State Board of Medical Examiners, revocation of license by 4 3 studies on drug addiction by University of______5, 6 Visciano, Frank, arrest of______21 Vlyminck, Edward, arrest of______23

W Wallerstein, Louis, alias Limbo, arrest of______40 Washington, D. C., seizure of falsely labeled nonnarcotic substance at 41 Weber-Carillot case______17 William, indictment of______17 Wechsler, Isidore, arrest of______23 Leiner case______23 Weeks, Dr. Perry W., arrest of______37 Weir, Eddie L., arrest of______34, 35 Wilkie, Addie, arrest of______36 Woman’s Christian Temperance Union, National, educational work of 49 Women’s Clubs, General Federation of, educational work of the______49 Wong Chong, seizure involving______28 Wong Yim, arrest of______38 Woods, Joseph, arrest of______29 World Wide Products Heroin, seizure of______32, 33 label, seizures bearing______13 Y Yee Hing Case, Ching Kee Macao Label------31 Yick Kee brand, seizures bearing,:______11,38 York, Larry, arrest of______41 Young Dow, arrest of______39 Yugoslavia, seizure obtained in______' 6 smuggling from______1 4 , 2 1 , 2 2 Z Zimmerman, Charles, arrest of______30 o