provisions of law relating to the registration and survey of distilleries, and the arrangement and construction of distilleries and the premises connected therewith; nor shall it be lawful for any person to engage in the business of distilling on any premises distant less than six hundred, Distilling withfeet in a direct line from any premises used for rectifying; tifying establishnor shall the processes of distillation and rectification both ment prohibited. be carried on within the distance of six hundred feet in a direct line. Section 3266, page 166. in 600 feet of rec ness without pay ing on business [SEC. 3281.] [Sec. 16, act of Feb. 8, 1875 (18 Stat., Rectifiers, liq307).] That any person who shall carry on the business carrying on busiof a rectifier, wholesale liquor-dealer, retail liquor-dealer, ment of special wholesale dealer in malt-liquors, retail dealer in malt tax. liquors, or manufacturer of stills, without having paid the special tax as required by law, or who shall carry on the business of a distiller without having given bond as Distiller carryrequired by law, or who shall engage in or carry on the without business of a distiller with intent to defraud the United bond, or with inStates of the tax on the spirits distilled by him, or any part thereof, shall, for every such offense, be fined not less than one hundred dollars nor more than five thousand Fine and imprisonment. dollars and imprisoned not less than thirty days nor more than two years. giving tent to defraud. And all distilled spirits or wines, and all stills or other Forfeiture. apparatus, fit or intended to be used for the distillation or rectification of spirits, or for the compounding of liquors, owned by such person, wherever found, and all distilled spirits or wines and personal property found in the distillery or rectifying establishment, or in any building, room, yard, or inclosure connected therewith, and used with or constituting a part of the premises; and all the right, title, and interest of such person in the lot or tract of land on which such distillery is situated, and all right, title, and interest therein of every person who knowingly has suffered or permitted the business of a distiller to be there carried on, or has connived at the same; and all personal property owned by or in possession of any person who has permitted or suffered any building, yard, or inclosure, or any part thereof, to be used for purposes of ingress or egress to or from such distillery which shall be found in any such building, yard, or enclosure, and all the right, title, and interest of every person in any premises used for ingress or egress to or from such distillery, who has knowingly suffered or permitted such premises to be used for such ingress or egress, shall be forfeited to the United. States. See sections 3242, and 3257. See references under section 3453, p. 359. Penalty for omitting to do things required where no punishment is imposed by any other section. (Sec. 3456, p. 361.) As to rectifiers carrying on business with intent to defraud. The provision declaring forfeiture of real estate not unconstitutional. (United States v. Distillery on West Front Street, 11 Int. Rev. Rec., 174.) Stock of W. L. D. not forfeitable by reason of nonpayment of special tax. (2000 Bottles of Liquors, 5 Ben., 265.) Forfeiture dates back.-Forfeiture dates back to the time the offense was committed, and operates at that time as a statutory transfer of the right of property to the Government. (United States v. Fifty-six Barrels of Whisky, 1 Abb., U. S., 93, 4 Int. Rev. Rec., 106; United States v. One Cask, etc., 10 ibid., 93; Henderson's Distilled Spirits, 14 Wall., 44; 15 Int. Rev. Rec., 119; United States v. McCoy's Distillery, 21 ibid., 165.) The title of the Government to the property infected with fraud vests from the time of its commission and the taint of fraud inheres in it even in the possession of an innocent purchaser. (United States v. Eight Hundred Caddies of Tobacco, 2 Bond, 305.) Where an act is committed by the owner of a distillery by which a forfeiture thereof is incurred under the revenue laws, and subsequently the owner conveys the property to an innocent purchaser without notice of the commission of the act, the property remains still subject to the forfeiture incurred. The conveyance, in such case, passes no title as against the United States. (16 Op. Atty. Gen., 41.) Forfeiture does not attach to spirits acquired after the offense. (United States v. One Water Cask, 10 Int. Rev. Rec., 93.) Forfeiture denounced against distillers for carrying on business without having given bond, or with intent to defraud, and omission to keep books. (Sec. 3305, p. 201.) Extent of forfeiture.-All personal property used in the unlawful business or in any other business openly carried on upon the premises is forfeited, even if the owner had no participation in or knowledge of the unlawful acts. The forfeiture of lands and buildings does not reach beyond the right, title, and interest of the distiller, or of such other persons as have consented to the carrying on of the business of a distiller upon the premises. (United States v. Stowell (1890), 133 U. S., 1; 36 Int. Rev. Rec., 30.) An engine is part of a house, and goes with it. (Walker v. Sherman, 20 Wend., 635.) As to the boiler, engine, pump, vats, and tanks. (United States v. Stowell, 133 U. S., 1; 36 Int. Rev. Rec., 30.) Amount of real estate liable to forfeiture. (United States v. Piece of Land, 1 Sawyer, 84; 11 Int. Rev. Rec., 126.) Nothing can be plainer in legal decision than the proposition that the offense therein defined is attached primarily to the distillery and the real and personal property used in connection with the same, without any regard whatsoever to the personal misconduct or responsibility of the owner, beyond what necessarily arises from the fact that he leased the property to the distiller and suffered it to be used and occupied by the lessee as a distillery. (Dobbins's Distillery v. United States, 96 U. S., 395; 24 Int. Rev. Rec., 21; U. S. v. Blair, 3 Int. Rev. Rec., 67; Fed. Cas. 14, 607.) A mortgage given by the distiller before the unlawful acts were committed is good as against the United States if the business was not carried on by the morgagee's permission or connivance. (U. S. v. Stowell, 133 U. S., 1; 36 Int. Rev. Rec., 30.) Forfeiture of distillery. (T. D., 589.) Distillery liable to forfeiture without regard to the culpability of the owner of the property. Mechanics' liens can not be enforced in State courts after seizure by the marshal in forfeiture proceedings. (Heidritter v. Elizabeth Oil-Cloth Co. (1881), 6 Fed. Rep., 138. The principles of law upon this subject are clearly and fully announced in Distillery v. United States (96 U. S., 395), and cases cited. (United States v. Two Bay Mules (1888), 36 Fed. Rep., 84.) Operation of forfeitures against innocent persons. (United States v. One Barrel Whisky, 4 Int. Rev. Rec., 146; United States v One Still, 5 Blatch., 403; 5 Int. Rev. Rec., 189; United States v. Twenty-one Barrels High Wines, 6 ibid., 213; Distilled Spirits, etc. (mortgage), 2 Ben., 486; 8 Int. Rev. Rec., 81; United States v. Whisky, 11 ibid., 109; United States v. Distillery at Spring Valley (leading case), 11 Blatch., 255; 18 Int. Rev. Rec., 59; Dobbins v. United States, 6 Otto, 395; 24 Int. Rev. Rec., 21; United States v. One Copper Still (mortgage), ibid., 317; 8 Biss., 270; Thacher's Distilled Spirits, 103 U. S. (13 Otto), 679; 27 Int. Rev. Rec., 144; U. S. v. Three Copper Stills, 47 Fed. Rep., 495; U. S. v. 220 Patented Machines (Jacobs), 99 Fed. Rep., 495; T. D., 54.) As to person allowing ingress or egress over premises to or from a distillery. (Gregory v. United States, 17 Blatch., 325; 26 Int. Rev. Rec., 27.) Principal liable for acts of agent. The acts of the agent Liability of employer for acts of servant. (United States v. Presumption and burden of proof. (One Hundred and The burden of establishing the right of forfeiture is on the Intent to defraud. (U. S. v. Simmons, 96 U. S., 360; 24 Int. Effect of acquittal.-If a person is tried for the same offense Evidence. (Quantity of distilled spirits, 9 Int. Rev. Rec., 9; United States v. Blaisdell, ibid., 82; United States v. Staton, 25 ibid., 10; United States v. Dobbs, 15 ibid., 9.) The abandonment by the Government of an action for forfeiture does not affect its lien on the seized property for unpaid taxes. (Aiken v. Bean, 8 Biss., 83; 23 Int. Rev. Rec., 351.) sons while oper [SEC. 3281a.] [Sec. 9, act of Mar. 1, 1879 (20 Stat., 327)]. Arrest of perWhere any marshal or deputy marshal of the United ating illicit disti States within the district for which he shall be appointed lery. shall find any persons or person in the act of operating an illicit distillery, it shall be lawful for such marshal or deputy marshal to arrest such person or persons, and take him or them forthwith before some judicial officer named in section one thousand and fourteen of the Revised Statutes, who may reside in the county of arrest or if none, in that nearest to the place of arrest, to be dealt with according to the provisions of sections ten hundred and fourteen, ten hundred and fifteen, ten hundred and sixteen of the said Revised Statutes. Section 1014, Appendix, page 389.. Warrants of arrest for violations of internal-revenue laws, page 402. (XII Comp. Dec., 803; IV ibid., 338, 340.) There is no repugnance between this section and section 19, act of March 28, 1896, page 402. (16 Comp. Dec., 669.) SEC. 3282 (as amended by sec. 5, act of Mar. 1, 1879 (20 Mash, wort, Stat., 327)]. No mash, wort, or wash, fit for distillation and vinegar. or for the production of spirits or alcohol, shall be made or Penalty. Vinegar factory not to be a distillery. * * * fermented in any building or on any premises other than a distillery duly authorized according to law; and no mash, wort, or wash so made and fermented shall be sold or removed from any distillery before being distilled; and no person, other than an authorized distiller, shall, by distillation, or by any other process, separate the alcoholic spirits from any fermented mash, wort, or wash; and no person shall use spirits or alcohol, in manufacturing vinegar or any other article, or in any process of manufacture whatever, unless the spirits or alcohol so used shall have been produced in an authorized distillery and the tax thereon paid. Every person who violates any provision of this section shall be fined for each offense not less than five hundred dollars nor more than five thousand dollars, and be imprisoned not less than six months nor more than two years: Provided further, That nothing in this section shall be construed to apply to fermented liquors, or to fermented liquids used for the manufacture of vinegar exclusively. * * * But no worm, goose-neck, pipe, conductor, or contrivance of any description whatsoever whereby vapor might in any manner be conveyed away and converted into distilled spirits, shall be used or employed or be fastened to or connected with any vaporizing apparatus used for the manufacture of vinegar; nor shall any worm be permitted on or near the premises where such vaporizing process is carried on. Nor shall any vinegar factory, for the manufacture of vinwithin 600 feet of egar as aforesaid, be permitted within six hundred feet of any distillery or rectifying house. But it shall be lawful for manufacturers of vinegar to separate, by a vaporizing process, the alcoholic property from the mash produced by them, and condense the same by introducing it into the water or other liquid used in making vinegar. Vinegar with over 2 per cent of alcohol. Secs. 3276,3277, 3278 applicable. Vinegar fac tories before Mar. 1, 1879. No person, however, shall remove, or cause to be removed, from any vinegar factory or place where vinegar is made, any vinegar or other fluid or material containing a greater proportion than two per centum of proof spirits. Any violation of this provision shall incur a forfeiture of the vinegar, fluid, or material containing such proof spirits, and shall subject the person or persons guilty of removing the same to the punishment provided for any violation of this section. And all the provisions of sections thirty-two hundred and seventy-six, thirty-two hundred and seventy-seven, and thirtytwo hundred and seventy-eight of the Revised Statutes of the United States are hereby extended and made applicable to all premises whereon vinegar is manufactured, to all manufacturers of vinegar and their workmen or other persons employed by them. Act of June 14, 1879 (21 Stat., 20). That any vinegar factory for the manufacture of vinegar, established and operated as a vinegar factory prior to March first, eighteen hundred and seventy-nine, may be operated for the manufacture of vinegar by the use of alcoholic vapor within such distance less than six hundred feet of any distillery or rectifying house under such regulations as the Commissioner of Internal Revenue may prescribe with the approval of the Secretary of the Treasury. Manufacture of vinegar by the employment of alcoholic vapor. (25 Int. Rev. Rec., 157; Regulations No. 7 revised, p. 226.) United States v. Prussing (2 Biss., 344); United States v. Distillery (23 Int. Rev. Rec., 147). Rectifiers making a wine mash. (T. D. 1437, Cir. No. 731.) On and after September 1, 1909, rectifiers prohibited from making a so-called wine mash and using the product thereof in the production of compound liquors.-Provisions of Internal Revenue Circular 731 (suspended by Mimeograph Circular 599) reestablished. (T. D. 1528, August 7, 1909.) Postponement until October 1, 1909, of operations of regula- Wine mash-Disposition of product on hand-Enforcement of Defining the formula which may be used in the manufacture Production of so-called "pomace wine." (T. D. 1645.) distilling be. Saturday and 1 a. SEC. 3283. No malt, corn, grain, or other material shall, No process for be mashed, nor any mash, wort, or beer brewed or made, tween 11 p. m. of nor any still used by a distiller, at any time between the m. of Monday. hour of eleven in the afternoon of any Saturday and the hour of one in the forenoon of the next succeeding Monday; and every person who violates the provisions of this sec- Penalty. tion shall be liable to a penalty of one thousand dollars. Relative to use of yeast rake on Sunday. (29 Int. Rev. Rec., 137.) Relative to the use of pumps on Sunday. (30 Int. Rev. Rec., 45.) Using mate of storekeeper. SEC. 3284. Every distiller or person employed in any ial or removing distillery who, in the absence of the storekeeper, or per-spirits in absence son designated to act as storekeeper, uses, or causes or permits to be used, any material for the purpose of making mash, wort, or beer, or for the production of spirits, or removes any spirit, shall forfeit and pay double the amount of taxes on the spirits so produced, distilled, or removed, and in addition thereto be liable to a penalty of one thousand dollars. Penalty. Emptying fer SEC. 3285 [as amended by sec. 3, act of May 28, 1880 (21 Stat., 145) and act of June 22, 1910 (36 Stat., 590).] Every fermenting tub shall be emptied at or before the end of menting tubs. the fermenting period; no fermenting tub in a sweet-mash distillery shall be filled oftener than once in seventy-two hours, nor in a sour-mash distillery oftener than once in ninety-six hours, nor in a rum distillery oftener than once in one hundred and forty-four hours, nor in a distillery where the filtration-aeration process is employed, that is, where the mash after it leaves the mash tub is passed through a filtering machine, before it is run into the fermenting tub, and only the filtered liquor passes into the fermenting tub, and 72170°-11-12 Filtration-aeration process. |