You're right. It banned the sale, manufacture, and transportation of alcohol. According to your cites of the 2nd Circuit, POSSESSION of alcohol should have been banned as well, as ANY alcohol would of had to have been manufactured and transported in order for it to exist. As such, it WOULD effectively be banned under current day guidelines.
However, even the feds didn't want to push the envelope back then, as they knew that people weren't stupid enough to allow them to get away with something so unconstitutional.
False. Read it.