ASSOCIATES OPPOSED RASKOB. Publication: The New York Times Dateline: Detroit, Michigan Date: 25 July 1928 Topics: General Motors, John Raskob

DETROIT, July 24.—Little surprise was created among those close to General Motors affairs by the announcement today that John J. Raskob has resigned his position as Chairman of the Finance Committee of General Motors. The move on Mr. Raskob's part was expected.

Yesterday there were rumors that a stormy session of the directors of General Motors would be held during the day in the course of which one faction would demand Mr. Raskob's resignation. Ever since the announcement of the appointment of Mr. Raskob as Chairman of the Democratic National Committee, dissension has been developing. It became a matter of record before the National Conventions that the Fishers were ardent Hoover supporters when it was disclosed that Fred J. Fisher and his associates had contributed $10,000 to the Hoover campaign fund, one of the largest contributions received.

There is said to have been a discussion of political affairs among the General Motors high officials in the early stages of the campaign, at which an agreement was reached that the corporation must remain neutral, and that nothing done by any executive which could be construed by the public as an endorsement of any candidate by the corporation.

It is said to be after this that Mr. Raskob accepted the Chairmanship of the Democratic National Committee. This precipitated a furore among General Motors officials, it was reported, with certain officials who favor Hoover demanding Mr. Raskob's resignation. The dissension was simmering when the further annoucement was made that the headquarters for the Smith organization would be established in the General Motors Building in New York.

It is believed that the purpose of Mr. Raskob's resignation as Chairman of the Finance Committee for the period of the campaign is to demonstrate that he is acting as an individual, thereby preserving the neutral attitude of the corporation. There is held to be no particular significance in the placing of the Smith headquarters in the General Motors Building.

The General Motors Corporation is a tenant in the building having its name in New York, and rental space is available in the same building. It was feared, however, by General Motors interests that the installation of the Smith headquarters in the building having the General Motors name upon it, would be taken to the public to mean that the resources of General Motors were behind Smith. The situation was complicated further by the fact that one of the Du Ponts, although the family is one of the pioneer Rupublican families of America, is solidly behind Mr. Raskob.

Mr. Raskob is credited generally with having been the agent who brought the Du Ponts into General Motors.