Evening star., 1955-07-20
|UAW Indicted
For Activities in
|1954Campaign
Jury Charges Use
Of Union Funds in
McNumuru Ruce

DETROIT, July 20 (P.-A
Federal grand jury today indicted
the CIO United Auto Workers
Union on charges Of violation Of
the Federal Corrupt Practices
Act in politics.
The grand jury accused the
4 " million member union of
using general union funds to
finance political activities in the
1854 congressional campaign.
This was the campaign in
which Patrick v. McNamara,
Democrat, supported by the
UAW and other labor groups, de-
Ifeated the then Senator Homer
Ferguson, Republican.
G. o. p. Leader Filed Charges
A weekly union-sponsored ra-
dio program was involved in the
charges brought by the Mich
Iigan State Republican Central
Committee.
John Feikens, committee chair
man, filed the charges with the
Justice Department last March
The Grand Jury's indictment
named only the union itself
None of it's officers, who include
CLIO President Walter Reuther
was named. Mr.. Reuther also is
president of the UAW-CIO.
Organized labor took a large
role in the 1854 campaign. The
UAW and other labor groups
were among the strongest sup
porters of Mr.. Mcnamara in op-
position to Senator Ferguson.
Program Investigated
The. grand jury also inquired
into the financing of the JAWS
weekly sponsored program
Meet the UAW-CIO," over
WJBK-TV, Detroit station. Guy
Mum of the union is moderator
of the program.
The indictment, containing
four counts. charges the. unior
Violated a section of the act
which prohibits banks. corpora.
tions and labor organizations
from using general funds fol
political purposes.
A maximum penalty of $4,000
Is provided in event of convic.
tion on any of the counts.
At the time the grand jury in.
vestigation began, and since, of.
flcers Of the UAW charged Re.
publicans were attempting to in.
terfere with the franchise oi
working people.
Emil Macy, UAW secretary
treasurer, said the investigation
was inspired by Mr.. Feikens ano
Postmaster General Summerfield
Mr.. Summerfield is a Michigan
man.
Union Issues Denial
The union, after the indict-
ment was handed down, issued
q statement denying it had acted
wrongly and welcoming "this op-
portunity to test the validity anc
scope of this law"
The union said it "deplores the
fact that Republican politicians
have been able to use the courts
in their frantic effort to save
.Iface :"
Mr.. Macy, a witness before
the grand jury. said at the time
Iof charges and counter-charges
over the investigation that unior
members contributed to $4,000
Ito Mr.. McNamara's campaign
Ibut that all of it was given vol.
unfairly, and none was dues
money.
Charges $5,985 Was Spent
The indictment specifically
charges the union with illegally
spending 1895. It said this
money came from union dues
and was not from voluntary po-
litical contributions or subscrip-
tions" of union members.
A 23-man grand jury returned
the indictment before United
States District Judge Arthur A
IKoscinski. The Governments
case was presented by Warren
Olney, III, ., assistant United
States attorney general and head
of the Criminal Division of the
Justice Department, and Fred w
Kaess, United States attorney for
Eastern Michigan.
The unions charge that MIR
Feikens and Mr.. Summerfleld in
spired the grand jury investi-
cation was challenged by George
E. Wood, chief assistant United
States attorney.
Mr.. Wood said the unions
charge was absolutely not true"
In Washington Attorney Gen.
eral Brownell said the UAW has
not attempted to conceal its
expenditures, nor has it at
tempted to hide the fact that
they we're made in connection
with the 1854 primary and gen.
eral election"
THE position of the union,
Mr.. Brownell said in a state
ment. appears to be simply that
the statute is unconstitutional
and hence unenforceable."
The Attorney General said the
Supreme Court never has passed
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