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Community Outreach Program The FBI in Detroit has not always been known by that name. In 1924, when the office was opened as an investigative arm of the Department of Justice, it was known simply as the Bureau of Investigation. In July, 1924, F. H. Hessler was appointed the first Special Agent in Charge (SAC) of Detroit and served in this capacity for the next several months. This occurred during a time when the newly appointed Director of the Bureau, a young man named J. Edgar Hoover, was in the process of realigning the FBI and its personnel. In October, 1924, Fred L. Parker was named SAC and served for one year until October, 1925.
Detroit was a bustling city during this time and Prohibition was the law of the land. Rumrunners from Canada frequented Detroit's shorelines and Belle Isle was a common destination for these "entrepreneurs." Criminal groups such as Detroit's "Purple Gang" controlled much of this illicit activity and acted ruthlessly in enforcing their will.
From January, 1927, until May, 1930, T.C. Wilcox served as the SAC of the Detroit office of the Bureau of Investigation. His tenure encompassed the great stock market crash of 1929 which led to be the worst economic depression ever experienced by this country. The Great Depression hit especially hard in Detroit due to the city's close ties to the automobile industry. More than 5.3 million cars had been built during 1929 and that number fell to just over 3 million in the following year.
The Detroit office welcomed a new SAC in September, 1930. Herman Hollis was destined to advance quickly in the Bureau. He was here for only nine months, but just long enough to see the opening of a wonderful tunnel which linked the city of Detroit to Windsor, Ontario, a Canadian city situated uniquely enough, to the south of Detroit. The tunnel took two and one-half years to build, cost a total of $25 million, and was constructed under the swift currents of the Detroit River. Agent Hollis left Detroit in April, 1931, and transferred several more times in the next year. In 1934, he was assigned to the busy Chicago office where he would be forever remembered as one of the two Agents involved in a shootout with infamous gangster "Babyface" Nelson. Agent Hollis and Inspector Samuel Cowley were killed during this gun battle, but were able to inflict wounds on Nelson which resulted in his death the following day.
The Bureau's Detroit office saw a number of acting SAC's during the next two years. It was not until May, 1932, that the office would have a permanent SAC once again assigned to lead it. William Larson served in this capacity for three years.
During the mid to late 1930s, the economic crisis eased in the country and in Detroit as well. Automobile production steadily increased and more workers returned to their jobs. Significant changes were occurring in the city as major construction projects were initiated and transportation expanded. The Bureau underwent it's own changes during this time including a change of the organization's official name in 1935 from the Bureau of Investigation to today's Federal Bureau of Investigation.
H.H. Reinecke was designated SAC for Detroit in January, 1936, and served until February, 1937. His replacement, J.C. Newman, functioned in this capacity for the next 15 months and was replaced by John S. Bugas in May, 1938. SAC Bugas served in this role until January, 1944. It was his tenure that witnessed entry of America into World War II and the establishment of Detroit as "The Arsenal of Democracy." All of the major automobile manufacturers were heavily involved in the war effort, building planes, tanks, bombs, and guns. Henry Ford, inventor of the renowned Model-T automobile and patriarch of the Ford Motor Car company, was typical of the Detroit industrialists instrumental in the effort against the Axis powers. Ford oversaw construction of the Willow Run B-24 Liberty Bomber plant which was churning out 650 planes per month by the end of 1944. This plant accounted for 70 percent of all B-24 production in the nation during 1945, the last year of World War II.
In January, 1944, R.A. Guerin was appointed SAC of Detroit and served until October, 1946. On September 5, 1944, SAC Guerin and the 130 or so Special Agents assigned to the Division had their day interrupted when Detroit experienced a slight earthquake. Fortunately, no serious damage ensued from the quake.
The office experienced a growth spurt on November 1, 1945. The Grand Rapids Field Office, located in Grand Rapids, Michigan, was consolidated into the Detroit office. Grand Rapids became a satellite office of Detroit or, as it is known in Bureau vernacular, a Resident Agency. At that time, the office was located in Room 400 of the Grand Rapids National Bank Building.
While memories of the 1944 earthquake were undoubtedly still on the minds of Detroit office employees, another natural disaster struck the southeastern Michigan area on June 17, 1946. A tornado touched down resulting in significant damage to the city of Windsor. Several individuals were killed during the storm. The Detroit FBI office turned out to render assistance to the Canadians resulting in a City Counsel of Windsor resolution expressing appreciation for our efforts.
The 1950s are remembered as halcyon days for America and Michigan as well. Woodward Avenue, known far and wide for cruising and drive-through hamburger stands, was an immensely popular place for youngsters. That new medium known as television took off like wildfire in Detroit where locals such as Soupy Sales and Bob McFea as "Bozo the Clown" became legends overnight. The Gerber Baby Food company of Michigan began marketing their products in supermarkets in order to feed the new baby boomers. The Kellogg's Company of Battle Creek, Michigan, introduced a newfangled brand of cereal, already containing sugar. In 1955, a retail outlet known as J. L. Hudson Company opened one of the first shopping malls in the United States in Southfield, Michigan. It was appropriately christened "Northland." One of the first freeways in the country the Davison expressway, helped facilitate traffic. In the Detroit FBI office, Harry T. O' Connor had been appointed SAC in 1946. He was to remain in that position until September, 1951. This relatively lengthy tenure was offset by more frequent turnover during the next few years. From 1951 through 1955, the office saw four different SACs, including J.A. Robey, E. Scheidt, F. H. McIntire, and C.W. Brown. By February 24, 1956, the office had Resident Agencies opened not only in Grand Rapids, but in Ann Arbor, Flint, and Lansing as well. In less than two years, the number of Resident Agencies had increased to 17 cities throughout Michigan and included Ann Arbor, Flint, Lansing, Saginaw, Battle Creek, Bay City, Benton Harbor, Ironwood, Jackson, Kalamazoo, Marquette, Monroe, Muskegon, Pontiac, Port Huron, Sault Ste. Marie, and Traverse City.
In October, 1958, Thomas J. Gearty was named SAC of Detroit. At that time, the office was located in the United States Post Office and Courthouse at 231 West Lafayette in Detroit, the site of the present day U.S. Courthouse. The Sault Ste. Marie Resident Agency had closed by this time, leaving the state with 16 Resident Agencies. Between those 16 satellite offices were assigned a grand total of 35 Special Agents.
SAC Gearty was replaced by SAC Donald S. Hostetter in July, 1959. SAC Hostetter held this position until September, 1962. It was during this time that Agents of the Detroit office located and apprehended Thomas Viola, a Top Ten fugitive who was on the run for unlawful flight to escape the crime of murder. On July 24, 1962, Detroit Special Agents, assisted by offices from the Detroit Police Department, located and apprehended Charles Wolfe, Norman Brandt, and Richard Stegeman, three escapees from a Kansas jail. These arrests were effected within four hours of the Agents learning of the escape.
In September, 1962, Bernard C. Brown was designated SAC of Detroit. By this time, Detroit was in the process of acquiring the moniker "Motown." The recording studio "Hitsville" either had or would soon have under contract such Detroit singing sensations as Martha Reeves, The Temptations, The Supremes, Marvin Gaye, and Smokey Robinson. On January 2, 1964, Agents of the Detroit office located and arrested two fugitives involved in the theft of rare books, coins, and documents from the National Archives in Washington, D.C. Sixteen cartons of stolen merchandise valued in the hundreds of thousands of dollars were recovered as a result of this investigation.
In February, 1965, Paul H. Stoddard replaced SAC Brown as the Agent in Charge of the Detroit Division. He would serve in this capacity until May, 1970.
Since the late 1970s, the Detroit Division of the FBI has been located at its current site in the Patrick V. McNamara Federal Office Building. While the office has undergone and been witness to many changes since its beginning in the early part of the century, the commitment of the people that work here and their desire to pursue violations of Federal laws in a fair and equitable fashion, remains constant.
