Evening star., 1932-07-28
DIRECTORS Of RED"
BANK PLOT HUNTED
National Conspiracy IS Laid
to Authors of Propagan-
da Found in Pontiac.
Ry the Associated Press

BY the Associated Press.
CHICAGO, July 28-Authors Of COM
munistic propaganda found in a Pom
tiac, Mich, hotel were sought today by
the secret service and detectives every
where as the directors of Nation wide
campaign against the confidence of
bank depositors.
Chicago bankers, Government officials
and Michigan police unhesitatingly
blamed the Communist party for a sys-
tematized attack on the integrity OF
financial institutions in many large
cities, particularly the runs which
threatened every bank in Chicago last
month. II was said by C. L. Smith,
prosecuting attorney at Pontiac, to have
been backed by Soviet Russia.
william z. Foster, Communist candi-
date for President, denied his organiza-
ton had sponsored whispering cam
paign against the First National Bank
of Pontiac, or that man known as
George Rowland, in whose room sedi-
tious letters were found, was a member
Of the party.
Object to National Search.
Rowland" was believed today to be
really George E. Powers, once candi-
date for president Of Queens Borough
in New York City and with a record
for criminal syndicalism in Michigan
-, Ia ef NCf "a q YN(li
trap In his raided hotel room and be-
came the object of a national dragnet
Illinois drastic sedition law. provid-
ing 20 years imprisonment and directed
against ANY one who advocates ref
OF nation of the Government by vio-
lence or any other unlawful means,
was eyed as the handiest weapon should
any radicals be caught and connected
with the Pontiac literature.
For the letters were signed Yours
for the revolution" and some discussed
bringing about the unrest which will
lead to the revolution"
Forty Banks Closed.
Chicago's June bank runs closed
more than 40 institutions, including
two in the loop, and caused the city's
soundeSt financial citadelS to store up
wards of $l00,000,000 in cash on hand
in order to meet demands of depositors
The situation here, no longer acute
appeared definitely linked with refer
ences in the Pontiac letters sent from
Chicago, advising Rowland" that there
was much progress here and "consid-
cradle runs on jugs in loop"
Melvin A. Traylor, president OF the
First National Bank and former head
of the American Bankers Association
blamed the radicals. He said he be-
lieyed the plot TO be Nationwide and
tnat he had reports from many cities
that a similar system was used In
frightening depositors by anonymous
telephone messages.
Rowland's letters told of a plan
discussed but abandoned, of starting
simultaneous runs in many key cities.
Tell Of Radicals Plots.
other Chicago bankers told how
radicals opened 800 to 400 bank ac'
counts and then Withdrew them stimuli
taneously. spreading news of the run.
The American Vigilant Intelligence
Federation identified "Comrade H. g.
Rowland's Cleveland correspondent, a.
Harry Cannes, director of agitation anC
nronaganda for the New York district
They said he was in Chicago during
1881, when bank runs first became seri-
"W. B." Rowland's Chicago In
formant, they said, was Herbert Newton
alias Gilmer Brady, colored man, with
offices at Communist headquarters or
west Madison street, who was indicted
in Atlanta for criminal syndicalism anc
now is studying sociology at the Univer-
sity Of Chicago.