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American-Born Blond Is Reported Key in Probe of Red Ring By *K« Associated Press NEW YORK. July 21.—The World Telegram said today in a copyright ed article that a beautiful blond's tip to the FBI on a large Russian spy ring led to the Federal grand jury investigation culminating in in dictments of 12 top Communist of ficials. The World-Telegram reported the following: The unnamed woman. New Eng land-born, suffered pangs of con science and decided she could no longer sabotage her native coun try. Her fantastic story, incredible to FBI agents at first, turned out to be completely true. She told the FBI that 50 Govern ment employes of all ranks were members of the ring. The FBI still does not have enough evidence to Indict, but is remaining relentlessly on the trail of ring members. Their biggest stumbling block is that Fed eral courts still do not admit wire tapping evidence. Got Control of Ring. The woman, graduate of a noted women's college and an official of a purported relief organization during the war. had been a minor Commu nist Party member for years. Grad ually she was taken into Communist confidence and in the midst of the war. when her immediate superior died, found herself in control of the spy ring. She was given information by about 50 men and women Govern ment employes, all Communists, ranging from clerks to one man of near cabinet authority. Nearly all. due to FBI pressure, no longer are on the Government payrolls. Among the secrets the woman and her agents turned over to the Rus sians were the first plans of the B-29. still under wraps, and com plete data on R-D-X, a plastic ex plosive. She furnished the Soviet with almost daily figures on Ameri can production of planes and other war material. * OOP was Almost tsroKen. From a White House official she learned one day that American in telligence officers were about to break the Russian secret code—-a break, incidentally, which might have.informed American authorities , of the existence of thespy ring. The Russians presumably quickly changed their code. Working for the woman was a man high in the councils of the Office of Strategic Services who would meet the woman on a Wash ington street corner and turn over secret information to her. Others working for her included a personal adviser of President Roose velt. a high Army Air Force officer, an official of the War Production Board, members of the Office of War Information and persons informed of policy from other strategic Gov ernment agencies. None received money for their activities. They turned over the information because they were loyal members of the Communist Party. After informing the FBI, the woman retained many of her old associates | for more than a year to give the FBI s a chance to check her story. Once, with FBI agents watching.1 she met a high official from the Soviet Embassy in Washington. She received an envelope containing j several thousand dollars from him. j The official came to New York toj press the money on her because he believed she was weakening. Communists (Continued From First Page.) charge, was called for “the purpose] of organizing as the Communist Party of the United States of America a society, group and as sembly of persons dedicated to the Marxist-Leninist principles of the overthrow and destruction of the Government of the United States by force and violence." Federal officials said the maxi mum penalty upon conviction under the Smith Act is 10 years' impris onment and a fine of $10,000 for each charge. Those arraigned last] night in New York were indicted on two charges each. The Communist Party statement (aid: 'The American people can now see to what desperate provocations (President) Truman is driven in an] effort to win the election, by hook or crook. * * * and * * * indict ment of the Communists is neatly timed to embarrass the New Peo ples Party now holding its found ing convention in Philadelphia." Baldwin Sees ‘Coincidence’. In Philadelphia. C. B. Baldwin, campaign manager for Mr. Wal laces New' Party, said today: For the first time in our history the Government has moved to out law a political party." He also told a news conference! ft was a ••remarkable coincidence" i that the Government should move] against the Communist Party dur- ] ing tne same week when the Wal-1 lace “New Party " convention is to j begin. A reporter asked what Mr. Bald-! win meant by calling it a “remark-: able coincidence." Smiling, he replied: ‘‘I’ll leave that to you.” The exchange went on: Reporter: "Is that an admission] there are Communists in the Wal lace party?” Mr. Baldwin: “I made no admis sions." "Assumes lisa Party. Another reporter: "Are there any Communists in the Wallace move ment?” Mr. Baldwin: "I assume that ( there are.' A third reporter: "Are you con-i vinced that the Communist Party! is a political party?” Mr. Baldwin: "I assume it's a po litical party.” Mr. Baldwin read a statement on the indictment of the Communist leaders. "This indictment is an effort to illegalize and outlaw the Com munist Party,” he said. “I am not. of course, familiar with the evidence the Government in tends to present. Recent history,: however, teaches us that the sup pression of the Communist Party j in any country has been followed by an assault on the civil liberties of other political minorities, and par ticularly the labor movement.” Foster and Dennis Statements. After their arraignment, both Foster and Dennis issued state ments. Foster said “this frameup is an attack upon the Communist Party, upon trade unions and upon the New Party and every democratic process in the United States. It is a step taken by the Government to force the United States into fascism •nd war.” Dennis said, “If the administra NEW YORK.—COMMUNIST PARTY LEADERS RELEASED IN CUSTODY OF COUNSEL AFTER ARRAIGNMENT—Six men, described by Federal authorities as members of the Communist Party National Board, are shown leaving Federal Court last night following arraignment on charges of advocating the over throw of the United States Government. Released in custody VW- .'• ■■■.V.-AV. v --w.Ty^y^.jTO,iyji,WUWWp)WWWWMH—IWH—H— II of counsel are (left to right): William Z. Foster, head of the Communist Party of America; Jacob A. Stachel, educational secretary; Henry Winston, organizational secretary; New York City Councilman Benjamin Davis; Eugene Dennis, general sec retary, and John B. Williamson, trade union secretary. CARL WINTERS, Chairman, Michigan State Council of the Communist Party. JOHN W. GATES, Editor 0/ the Daily Worker. IRVING POTASH, Manager of the CIO Furriers Joint Council of New York City, GILBERT GREEN, District chairman for the Communist Party in Chicago. « -- tion was interested in indicting the advocates of force and violence it would have to indict itself for its bipartisan policies, the advocates of atomic war, the advocates of lynch ing against the Negroes of the South and those who attack trade unions with tear gas and bombs. “We stand and fight f6r peace and progress and democracy. Because we stand in the way of force, that is why we are being attacked to day." Foster, who succeeded Earl Browder as chief of the American Comttitmist Party, has been af filiated with the party since 1919 and three times has been the party's candidate for United States Presi aent. At thfc arraignment last night be fore Federal Judge Vincent Leibell. Foster and the five other defendants stood silent and impassive. But Abraham Unger, one of the defense attorneys for the group, told the judge: “The outrageous character of these indications should be clear to the court. The data on which these indictments were found should be conclusive to even a layman that no crime is concerned, but rather the political activities of citizens. “It is clear that this case will be fought relentlessly and determinedly by the defendants to vindicate them selves and guard against the sort of thing that is taking place tonight. This is an attempt to cut under the rights ol persons as to their political beliefs. These defendants will fight this fight on behalf of the people.” Promises ‘American Trial’. Judge Leibell lold Mr. Unger that an indictment constitutes ‘‘only a charge and does not usually set forth proof." and then added: "They'll have an American trial.” "I hope so, your honor," Mr. Un ger replied. "Don't worry about that," Judge Leibell said. "They will!" The Communist Party statement described the arrests as an "Amer ican version of the Reichstag fire” and said they were “the domestic counter-part of the criminal bi partisan attempts to turn the war in Berlin from cold to hot. It will be used for this purpose in the special session of Congress . . .” The statement also said that the Democrats were "seeking to brand" Mr. Wallace's party as "criminal” and went on to say that “among the opponents of Wall Street's two old parties and their candidates are the Communists, who also join with all other pregressives in supporting the New People’s Anti-War Party.” "Like the Communists who faced their Nazi prosecutors after the burning of the Reichstag,” the statement added, "we accuse our accusers of betraying the national interest to the interest of the giant i trusts, and of seeking to subvert America's democratic institutions I and replace them with a fascist dlc I tatorship.” He then said the American people should be alerted to the "threat to their Democratic rights.” Mr. Baldwin said he understands the grand jury has been sitting In the case for more than a year and— “I put it to you. gentlemen of the press, whether the timing of the ; indictments and arrest* could per i haps be anything more than a ! coincidence.” i BRICK AND COAL IMMEDIATE DELIVERY • ALASKA • Cool Cr Brick Co. NA. 5885 CH. 7700 J ROBERT G. THOMPSON, Chairman, New York State Communist Party. —AP Wirephotos. GUS HALL, Chairman, Ohio State Com munist Party. Russian (Continued From First Page.1* short of war with Russia, are pre paring new diplomatic moves in a determined effort to produce a peaceful solution if at all possible. These moves will be aimed at ex hausting all the diplomatic resources available in an effort to induce the Russians to lift their blockade of the German capital before resorting to steps that might increase the risk of war. Gen. Marshall told questioners that he could not say at the moment whether the new moves planned in clude another note to Moscow or an appeal to the United Nations. He also refused any comment when asked what measure of support the American position has from France, now in the midst of a governmental crisis. Marshall Sees Clay Tomorrow. Gen. Marshall said he expected to confer tomorrow’ morning with Gen. Clay. White House Press Secretary Charles G. Ross said earlier that President Truman planned to see Gen. Clay and Ambassador Robert D. Murphy, his political adviser, who is accompanying him, sometime this week. No definite time has been set for this White House conference, Mr. Ross said. Gen. Marshall usually goes over foreign policy developments with the President in a regular Thurs day conference. He was asked if Gen. Clay and Mr. Murphy might accompany him to the White House tomorrow, and replied that he did not know yet. This Government’s basic policy for dealing with the extremely deli cate situation in Berlin, made known authoritatively before Gen. Marshall's news conference today and pointed up by his statement, emphasizes three points: 1. A determination “not to be kicked out of Berlin.” This means, one informant said, that "if force is applied we will reply with force.” 2. An equally firm determination to do everything possible for peace ful solution of the crisis, including further diplomatic exchanges direct with Moscow and airing of the case before the United Nations if other moves fail. 3. Considerable restraint in both SELL YOUR JEWELRY WITH CONFIDENCE LIVINGSTON t CO. 1423 H ST. N.W. SOUTHERN BLDG. ME. 3440—ME. 2905 WRITTEN APPRAISAL AT MINIMUM FEES SILVER & GOLD PURCHASED Out-of-Tow* Inquiries Invited have resorted to a tremendous air! officials so as nqt to make the crisis any worse than it is and not close off any possibilities for peaceful so lution. Officials here stressed the need for calmness and composure in this country as part of the effort to pre vent. precipitation of war. Top American authorities want to make sure that if shooting does break out over the Berlin crisis the blame will rest on Russia and not on the Western powers. As one in formant put it, “If the Russians are determined to have a war, they can get it, but they will have to bring it about themselves.” Determined Not to Appease. Events of the last few weeks have not altered the conviction of officials here that Russia actually does not want war. At the same time, it is considered possible that the Russians may have decided that it is better to have it out now than later in view of the fact that they appear to be losing ground in Europe generally. *n this situation American policy- j makers are determined not to "ap pease, bend the knee or give any sign of weakness.” They hope to avoid, however, any growth of hysteria in this country or in Western Europe over the pos sibility of open conflict with the Soviet. Both President Truman and Secretary Marshall have called re peatedly in the past for the Ameri can people to keep cool. Clay to Return to Berlin. Secretary Royall said late yes terday that Gen. Clay is coming here at Mr. Royall’s request to “discuss the German situation''. and will return to Berlin at the end of the week. The talks were expected to cover i the problem of supplying Berlin by air from the Western occupation zones and the exact military situa tion in Europe as well as general policy matters. The immediate problem is caused; by the Russian blockade of rail and 1 highway traffic into Berlin from the Western zones, which the American, British and French governments contend violates their basic rights for free access to Berlin as a result of Germany's defeat. To provide the western sectors of Berlin with food and other es sential supplies, the western powers r Stop Cellar Dampness with STA-DRI The scientific min eral coating that actually SHEDS WATER. Lasker - Millwark - BaiUinj Malarial ... ■ * Ialkas4a. M., pkane Wl. (S22 •<•<«* NVEIOAlE MD ph*"t V" tut actions and words by United States operation, flying in hundreds of tons of supplies daily. It is estimated that many weeks of good flying weather remain in which the German capital may be supplied by air despite the Soviet blockade of surface transport. But bad weather and the need for more coal this fall may make the air supply inadequate. During the weeks Immediately ahead, then, the ingenuity of the western powers will be put to the full test to discover some means of reach ing a workable agreement with the Russians. Resort to other steps to try to break the blockade would not be justifiable until all diplomatic re sources are exhausted, officials here believe. There has been some speculation about possible retaliatory moves, such as economic sanctions,1 like hplding up Russian ships in western ports and cutting off all trade with the Soviet. One extreme step widely talked about is sending an armed' convoy through the Soviet zone to1 Berlin to test Russian willingness to resort to force to enforce the blockade. It appears certain in the light of present policy here, however, that no such, move will be undertaken ■ except as a last resort. 2,000,000 Jap Peasants Get Land in Reforms TOKYO. July 21.—More than 2,000,000 Japanese peasants have be come landowners during the Allied occupation. Land reform laws sponsored by Japan's conquerors have resulted in the Japanese government buying 3,805.290 acres of farm land and the acquisition of another 425,756 acres in lieu of taxes. Dr. L. I. Hewes, scientific consult ant in headquarters' agricultural di vision, told a news conference today that 2,995.914 acres of such land has been resold to former tenant farm ers. yf \_ Truck Driver Killed TRENTON, N. J., July 21 OP).— Allen Owens Clark, 32, of Box 13, East New Market, Md., was killed today when a tractor-trailer truck he was driving was in collision with a similar vehicle on Route 25 at Robbinsville. Police and emergency squads worked 40 minutes to extri cate his body from the cab of the truck. You Have Not "STEPPED OUT” Until You Have Heard KURT HETZEL Rina the 200 Year ! IWclius * %cl( ta C BACCHUS BELL at TED LEWIS' and play The Maine Stein Sony on his STEINWAY at Mld-niie, when Special drink prices (Manhattan and Martinis are 43c each) prevail. Monday Thru Friday, between 12 and 2 A.M. Communists Held in New York Are Veteran Leaders of Party By tho Associated Press NEW YORK, July 21.—The 12 men charged yesterday with advocating overthrow of the United States Gov ernment come from the top layer of the American Communist Party. A." are members of the party's national board. Most have been affiliated with the party many years. Three now are facing deportation proceedings on charges of being alien Communists. William Z: Foster, 67, party chair man, has been a member of the party sine* 1919. Three times he has been its candidate for President, and twice before he served as na-. tional chairman. In July. 1945, Foster took com mand of the party at its postwar rebirth. During the war, he was one of 11 vice presidents of the interim Communist Political Association, He was Communist candidate for President in 1924, 1928 and 1932, and was named party chairman in 1933 and 1938. Three Facing Deportation. Eugent Dennis, general secretary of the party, is said to have been a member since 1926. In May, 1947, Dennis was indicted in Washington for failure to appear before the House Committee on Un-American Activities. He was fined $1,000 and sentenced to a year in jail. The case has been appealed.j The three men currently facing deportation proceedings are John B. Williamson, Jacob A. Stachel and Irving Potash. Williamson, the party's trade unions secretary, was arrested last February 10, and held at Ellis Island until March 6. Potash, manager of the CIO Fur riers Joint Council of New York City, was arrested March 2, detained on Ellis Island with Williamson and three others, and released March 3. Both Potash and Williamson are free on $3,500 bond. Their detention at Ellis Island was marked by a hunger strike. Potash, bom in Russia, has been in the United States since 1915. He also is an officer of the CIO Inter national Fur and Leather Workers Union of New York City. Davis a Councilman Since 1943. Stachel, the party's educational secretary, was arrested June 1 and held for deportation proceedings on charges of being an alien Com munist. He was freed the same day from Ellis Island on $3,500 bond. Born in Galicia, now a part of the Soviet Union, Stachel is charged with entering the United States il legally in 1931, and later joining a subversive organization. Henry Winston, colored. Com munist Party organizational secre tary. formerly was a member of the national executive board of the Young Communist League. Benjamin Davis, also colored, a New York City councilman, twice nas been Communist Party candi date for attorney general of New' York State. He withdrew from the race after receiving the nomination in 1942. In 1946, named as candidate for Senator, he withdrew and entered the race for State attorney general. Davis has been a New York City councilman since 1943. Worker Editor Also Held. Gilbert Green of Chicago, district chairman of the Communist Party in Chicago, formerly was national CIO Glass Union Officers To Sign Non-Red Oaths By the Associated Press CHARLESTON- W. Va.. July 21.— The Federation erf Glass, Ceramic and Silica Sand Workers of America, CIO, resolved last night that its officers must sign non-Communist affidavits. Delegates to the eighth biennial convention voted that "any person who is a member of the Communist, Nazi, or Fascist Party, or anv person whose belief is in the overthrow of the United States Government shall be barred from holding any elective or appointive office, including priev anceman and committeeman in the federation. "Any person holding an elective or appointive office, including griev resolution continued, "must sign a non-Communist affidavit.” There was no indication as to whether the resolution was expected to effect any personnel changes. secretary of the Young Communist League. Robert G. Thompson, chairman of the New York State Communist Party since August 20, 1945, was named Communist gubernatorial candidate in New York in 1946. He later withdrew from the race and ran for controller. At the time,! he said he was withdrawing to back' a common front against Gov.! Thomas E. Dewey, seeking re-elec tion as New York governor. Carl Winters is chairman of thei Michigan State Council of the Com-! munist Party. John W. Gates has been editor since 1947 of the Daily Worker, of ficial party organ. 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