Kenneth Folks’ New Zealander colleagues saw him as “aggressive, discourteous, and impertinent“. They leaked those assessments to the press, and within a few months of his arrival, local newspapers ran editorials that compared him to Reichsfuhrer SS Heinrich Himmler, whom he slightly resembled physically. Newspapers also questioned whether Folkes’ Security Intelligence Bureau (SIB) was too much like the Gestapo – and an inept one at that. SIB men were derided as mediocrities, draft dodgers, and incompetent snoops given to blunder after blunder.
In one episode, SIB men subjected an innocent American in charge of geophysical survey work to “stealthy pursuit” that was not stealthy at all. In another bungled endeavor, they conducted a five-day sting to try and “trap a suspected spy” at a Wellington hotel, that was an open secret to “the innocent suspect, the hotel staff, and half the town“. The SIB and its head were widely ridiculed as hapless spy catchers who futilely spun their wheels in out of the way New Zealand with no spies to catch. Then salvation and serious work seemed to arrive in the form of career criminal Sydney Ross.
On March 29th, 1942, just one day after he was released from prison broke, homeless, and without prospects, Sydney Ross met with the Minister of National Service, Robert Semple. He told the minister that a Nazi agent, recently landed by submarine, had tried to recruit him to join a sabotage cell. It was part of a vast network whose tentacles stretched across the country. Semple immediately took Ross to see Prime Minister Peter Fraser – apparently, it was real easy back then to meet the head honchos of New Zealand’s government.
As it happened, Fraser had just received classified reports from Australia, where real spy rings had been uncovered. He was thus primed to accept that his country could have similar rings. The prime minister referred Ross to Major Kenneth Folkes, and the head of the SIB saw the recently released felon as a godsend. Finally, here was a real threat and an opportunity for his men to round up real spies and shut up the critics. Folkes gave Ross money, a car, and accommodations, and set him up as an undercover agent with the alias “Captain Calder” to gather intelligence on the Nazi network.
Sydney Ross reported back to Major Folkes about the results of his undercover work. Over a three months span, he gave the SIB head alarming information, which Folkes passed in turn on to New Zealand’s government. Apparently, enemy subversives were more widespread and dangerous than anybody had imagined. They planned to blow up key targets, kidnap or assassinate Prime Minister Fraser, Minister of National Service Semple, and other cabinet members, all as a prelude to a Japanese invasion. Ross claimed that the network was headed by his prison pal Alfred Remmers, now in the last stages of leukemia, and that Remmers’ house in Wellington was the conspirators’ base of operations.
In July, 1942, Folkes demanded that the government supply him with troops, declare martial law, and grant his SIB emergency powers to arrest and detain suspects without trial. Before he suspended civil rights throughout New Zealand, Fraser asked the police to investigate. In no time, they discovered that the supposed “Nazi headquarters” was occupied by an elderly government clerk, a dry cleaners, and three nurses. All were innocent of any foreign contacts, let alone subversion and espionage. To Folkes’ horror, it began to dawn on him that the SIB might have committed yet another blunder, this one the worst yet.
The Collapse of a Scam That Wrecked the Credibility of New Zealand’s Spies
As his scam began to unravel, Sydney Ross grew desperate to hang on to his employment as an “undercover agent” and the gravy train that went with it. To keep the hoax alive, he resorted to yet another elaborate hoax to bolster his story. He dug a deep hole in a forest, lacerated his back with barbed wire, then staggered to the roadside, where he gave a passing driver £10 to summon help. He then claimed to have been tortured by Nazis and forced to dig his own grave at gunpoint, before he miraculously escaped. However, doctors who inspected his wounds figured out that they were self-inflicted. The story of the “Impudent Jailbird” who had hoaxed Major Kenneth Folkes and the Security Intelligence Bureau, whose men had been “blatantly hoodwinked” hit the newspapers in late July, 1942.
The SIB’s latest blunder was the final straw. The embarrassed organization was taken over by the commissioner of police, and the now-thoroughly-discredited Major Kenneth Folkes was sent back to Britain in disgrace. Ross returned to prison, where he remained until his release in 1946, shortly before his death at age 37 of tuberculosis. It was an anticlimactic end for a man who had almost brought martial law to, and the ended the rule of law in, New Zealand. After the war, Folkes returned to his job with a Midlands carpet manufacturer, and died in obscurity in 1975. A self-promoter and fabulist to the end, his headstone described him as a recipient of the Distinguished Service Order. There is no record that he had ever received such an award.
The Problem of Industrial Alcohol’s Diversion During Prohibition
Throughout the recent pandemic, many health professionals thought that the government did little to combat Covid-19. They especially thought that the enforcement of the restrictions and regulations necessary to combat the virus’ spread was too lax. About a century ago, back in the 1920s, the case was the opposite. Then, many health professionals thought that the government had done too much – as in way, way, too much – and had exhibited excessive vigor in its fight against the consumption of alcohol. An example of such excess was Uncle Sam’s deliberate poisoning of alcohol stocks it knew would end up consumed by the public.
It began as the Holiday Season approached in 1926, and the administration of President Calvin Coolidge was determined to force celebrants to abide by Prohibition. The federal ban on the sale of alcohol had opened the floodgates for organized crime to smuggle alcohol from abroad into the US, and for bootleggers to distribute it throughout the country. However, there was also a major domestic source of booze: industrial alcohol. Bootleggers routinely diverted it from its intended uses and into liquor. Some eager beaver government officials decided to do something about that.
The diversion of industrial alcohol to booze got under the skins of some zealots in the US Treasury Department, responsible for the enforcement of Prohibition. So they decided to doctor the industrial alcohol supply with dangerous substances such as methanol. At least 10,000 people died as a result, and many more were blinded or suffered other serious injuries. Despite Prohibition, America saw a rise in the consumption of alcohol in the mid-1920s. The law was openly flouted, with too many speakeasies to count let alone raid.
They were supplied by bootleggers who acted with impunity and near open defiance of law enforcement. So the federal government decided to go after a key source of the illegal booze: the still legal industrial alcohol stocks. In its industrial form, such alcohol is undrinkable. However, bootleggers figured out ways to make it fit for human consumption. Thus, in 1926, the federal authorities mandated that the amount of harmful chemicals in industrial alcohol be greatly increased. As seen below, the results were immediate – and tragic.
Uncle Sam Sent Countless Drinkers to the ER With Alcohol Poisoning
Throughout the 1926 Holiday Season, America’s emergency rooms saw an unprecedented spike in alcohol poisoning. By New Year’s Eve, 1926, New York City alone saw many fatalities. As the city’s medical examiner put it: “The government knows it is not stopping drinking by putting poison in alcohol. It knows what bootleggers are doing with it and yet it continues its poisoning processes, heedless of the fact that people determined to drink are daily absorbing that poison … Knowing this to be true, the United States government must be charged with the moral responsibility for the deaths that poisoned liquor causes, although it cannot be held legally responsible“.
Wherever we go, alcohol is bound to be near us. Even for those who don’t drink and have no beer or wine in their fridges or liquor in their cabinets. Alcohol is found as an additive in their fuel tanks, and many household products such as nail polish, disinfectants, hand sanitizers, and perfumes contain alcohol. In 1906, the federal government mandated that chemicals be added to grain alcohol intended for industrial use, to make it undrinkable. Alcohol thus treated is known as “denatured” alcohol or “wood spirits”. The mandate was met with little resistance from the manufacturers of industrial alcohol.
The addition of chemicals to industrial alcohol stocks to denature them made them exempt from the liquor taxes imposed on drinkable alcohol. As a result, industrial alcohol manufacturers were more than happy to comply with the government directive to denature their stocks. People determined to remove chemical additives from denatured industrial alcohol could do so if they really wanted to. Some did just that, with a process known as “renaturing”. However, with legal alcohol readily available, and often quite cheap, there was little incentive to go through the trouble.
That changed with the enactment of Prohibition, and the resultant scarcity of regular drinkable booze. Liquor did not disappear from America because of Prohibition: massive amounts of drinkable booze were smuggled into the country by bootleggers. However, Prohibition disrupted the supply chain, and even smuggling on a massive scale was not enough to meet the demand. So bootleggers began to produce massive amounts of liquor in the United States. They sourced it from stolen or otherwise diverted stocks of industrial alcohol.
The Government Went Out of Its Way to Prevent the Reuse of Industrial Alcohol as Drinking Booze
The US Treasury Department, tasked with the enforcement of Prohibition, estimated that in the mid-1920s, around 60 million gallons of industrial liquor were stolen each year. Bootleggers then employed chemists to “renature” it, and return it to a drinkable state. Stolen and re-distilled industrial alcohol became America’s primary source of liquor. So in late 1926, the Treasury Department decided to up its game and revamp the denaturing formulas used to make industrial alcohol undrinkable. The new mix included many known toxins.
They included quinine, acetone, nicotine, formaldehyde, zinc, camphor, chloroform, iodine, kerosene, and gasoline. Most dangerous of all, the new formula required that at least 10% of the total volume must consist of methyl alcohol or methanol, commonly used today in antifreeze. The results were disastrous. The Treasury Department’s new formula made the process used by the bootleggers’ chemists up until that point to renature industrial alcohol all but useless, as it left them unable to separate out each of the harmful chemicals.
Whether Uncle Sam Had the Right to Poison Drinkers
Christmas Eve, 1926, was hectic in New York City’s hospitals. Just one of them, Bellevue, was inundated with dozens of people who fell seriously ill after they drank contaminated alcohol. By New Year’s Eve, 1,200 people in the Big Apple had been sickened by poisonous alcohol, and at least 400 had died. The city’s medical examiner assigned a toxicologist to examine confiscated whiskey, and based on the findings, issued an alert to warn the citizens that: “practically all the liquor that is sold in New York today is toxic“.
The impact fell heaviest on the poor: the rich and well-heeled could afford to consume the best liquor available, such as real whiskey smuggled in from abroad. As the medical examiner noted, most of those harmed by the repurposed industrial alcohol were those: “who cannot afford expensive protection and deal in low grade stuff“. When the public learned that the federal government had deliberately poisoned industrial alcohol stocks, an argument raged about whether it had the right to do so.
Many Argued that Drinkers of Poisoned Alcohol Deserved Their Fate
New York City’s medical examiner, Charles Norris, was among those who argued that it was unconscionable for the authorities to poison something they knew would be consumed by citizens. He wrote in the North American Review that: “In a word, wood alcohol is not ‘poison liquor.’ It is simply poison. If it gets into liquor, the liquor is poisoned “. New Jersey Senator Edward I. Edwards summed it up as “legalized murder“. The defenders of the government included Wayne B. Wheeler, of the Anti Saloon League.
As Wheeler told the New York Times: “The Government is under no obligation to furnish the people with alcohol that is drinkable when the Constitution prohibits it. The person who drinks this industrial alcohol is a deliberate suicide“. Defenders of the policy noted that the poisoned industrial alcohol was labeled poison, and pinned the blame on the bootleggers who nonetheless sold it for human consumption. To prohibitionists, the harm to drinkers was acceptable. Seymour M. Lawman, the Assistant Secretary of the Treasury in charge of Prohibition, told citizens in 1927 that the fringes of society that drink were “dying off fast from poison ‘hooch’“. If that resulted in a sober country, he continued, then “a good job will have been done“.
Government Officials Shrugged Off the Mass Poisoning of Drinkers
Prohibition’s enforcers ignored the furor, and continued to poison industrial alcohol. The resultant deaths continued to pile up. The New York Times archives from 1927 to 1933 contain many headlines about the damage. Not only deaths, but also blindness, hallucinations, and other side effects that sent poisoned drinkers to emergency rooms and left many with permanent damage to their health. June 20th, 1927: Three Die From Alcohol; February 28th, 1929: Alcohol Deaths Show Steady Rise; August 23rd, 1930: Alcohol Deaths Up 300% Since 1920; August 17th, 1932: Dies After Drinking Wood Alcohol. When large scale fatalities occurred, Prohibition agents shrugged it off.
In 1928, over thirty people died from alcohol poisoning in a single incident Manhattan, but US government officials declared that there was nothing they could do. A federal grand jury stated that industrial alcohol is not a beverage, but a recognized poison whose use and sale are regulated by state, not federal laws. As such, state authorities should look into its sale and improper use. As humorist Will Rogers quipped: “Governments used to murder by the bullets only. Now it’s by the quarts“. All in all, an estimated 10,000 people or more died from alcohol poisoning during Prohibition, and many more suffered serious damage to their health. The carnage finally ended with the end of Prohibition, when people regained access to regular booze, and thus no longer had to gamble with denatured industrial alcohol.
Where Did We Find This Stuff? Some Sources and Further Reading