Evening star., 1945-01-03
II Of Ward Officials
Discharged as Army
Tjqhfens lis Control
key the Associated Press.

~ tAAS <ASSoSANbSa ACoos
CHICAGO, Jan. 3.-The Army,
waving a big stick, frightened its con-
troll today over the Federally-seized
Montgomery Ward 81 Co. properties
in seven cities across the Nation.
Acting swiftly, Army officials yes
terday moved to gain complete au-
thority in operating the big mail
order house facilities. The first step
was the ousting Of II company off,
cials who, Army men said, remained
defiant since the military took over
last Thursday and had refused to
cooperate in the Governments
operation.
The alleged interference in the
Army's operation was being investi-
gated for the first time by Federal
grand jury and Federal attorneys
had filed 18 affidavits in connection
with the Governments petition for
an injunction to prevent company
interference and declaratory judg-
ment upholding legality of the seiz-
ure, ordered by President Roosevelt.
A Federal court hearing Is scheduled
next Monday.
Eight Called by Jury.
Eight men have been subpoenaed
by the grand jury so far. Yesterday
two Army officers, Capt. Charles
Timblin and 1t Max Harrelson, and
two company men. H. l.. Pearson,
vice president and treasurer, and
M. S. Shinnick, chief of plant pro-
lection service. appeared before the
tribunal
Mr.. Shinnick was recalled today.
Others subpoenaed were Stanley
Houda. company chief of guards,
and three watchmen, Joseph Jensen,
H. Walker and Phillip Mccarthy.
Federal prosecutors said testimony
probably would be completed today
They indicated the investigation
would be held open thereafter.
Byron Expects Cooperation.
Maj. Gen. Joseph w. Byron, mill
tary manager. who directed the
Army's movements yesterday, said
that officials or other employees dis
missed for non-co-operation with
the Army faced possible Selective
Service reclassif1cation. Interference
with Army operation, he said in
potsers in the plant. might result
in severe penalties"
Later Gen. Byron said there was
increasing indication that the War
Department will have the co-opera-
ton of great majority'' of the
company's employees in stores under
Government operation. Comment
ing on the dismissal of the officials.
who were replaced by Army officers,
Gen. Byron said The War
Department has been given a duty
to perform and it cannot continue
in Government service those who
refuse to support their Govern
ment in the execution of this mis-
sion. I trust that the few persons
in this group will speedily recognize
their obligations.
Three Ward officials and Army
officers appeared before the grand
jury yesterday, marking the first
time in the history of the dispute
between the Government and Wards
the grand jury had acted in the
case.
Avery Remains In Office.
Wards board chairman, Sewell l..
Avery, who has maintained that the
seizure was unconstitutional, re-
manned in his office yesterday and
told reporters he had no comment
to make. Gen. Byron, In his af-
fidavit, said that Mr.. Avery did not
recognize the order authorizing the
seizure. He said further that the
board chairman had refused to CO.
operate since the military, took over
and had told him he still considered
himself in charge Of the properties.
The military managers affitavit said
that Mr.. Avery related that only
by court order would he cooper
ate in operation by the Army.
Following yesterdays seizure of
two Wards warehouses in Detroit,
the Army now is directing opera
tions in 16 properties-l0 retail
stores, mail order houses and
3 warehouses. The seizure Of
all the facilities eliminated labor
disputes of long standing and refusal
of Wards to comply with War Labor
Board directives for union main
tenance of membership and wage
ipcraoenc