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A Ghostly Tale

The Lady with the Lantern


In the early part of the twentieth century, the old city of St. Augustine became a hot bed of smuggling activity, thanks to the Volstead Act, which prohibited the import and sale of alcoholic beverages. Much of the illegal rum clandestinely brought into the United States from Cuba entered along the St. Augustine waterfront. The Casablanca Inn, then known as the Matanzas Hotel, became the setting for much of the bootlegging occurring during this time period. 


The proprietor of the hotel was an enterprising widow of high class, who was never one to pass up on an opportunity. She fell into league with the brigands, one of whom she took as her lover. The rumrunners set up shop in her boarding house and sold liquor to the guests and locals who were familiar with the operation. The rumrunners would stay at the property for a few days before carrying on to their next destination. 

Apparently, it was quite a lucrative business and the government sought to put an end to all this activity. The widow was questioned but remained silent as she worked out a plan. When she knew the bootleggers were coming through the inlet, she would climb to the roof of the building with a lantern in her hand. If the government officials were in town, she would wave her lantern back and forth several times. The bootleggers would then know to pass by and travel to the next port without stopping When the contraband liquor could be brought ashore safely, the infamous lady with the lantern would reap her rich reward. 


While her name remains unknown to this day, the lady of the house still makes her presence known. Residents across the Bay, those traveling by boat and pedestrians on foot have reported a light shining bright atop the Casablanca Inn on the Bay on a clear moonless night.


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