Assistant Chief Grady suffered a fatal heart attack and died Friday, July 4, 1947, shortly after responding to the scene of an automobile accident during a soap box derby in the town. The accident occurred a short distance away. Assistant Chief Grady ran up a hill to the accident scene, in 100-degree temperatures, and assisted with pulling the victims from the car. He collapsed shortly after returning to the derby.

Assistant Chief Grady had served with the Muscatine Police Department for over 30 years and was 58 years old. He was survived by his daughter and 18 grandchildren.

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