In 1928, Olof Ljungstrom of Detroit, Michigan submitted a pair of unusual aircraft proposals to NACA which featured boundary layer removal via a primitive form of jet engine, in which a piston engine drove an axial flow turbine blower inside the aircraft. The power plant is reminiscent of that used by the Caproni Campini N.1, which first flew August 27, 1940. However, the Ljungstrom design did not feature a combustion chamber and was less advanced than the N.1, which was not a true jet itself but a “motorjet” or ducted fan type. Ljungstrom appears to have been employed as an engineer in the aircraft division of the Ford Motor Company, as W.B. Mayo, the head of this organization, sent the proposals to Edward P. Warner, Assistant Secretary of the Navy for Aeronautics, on Ljungstrom’s behalf.
Great article, many pics
http://retromechanix.com/articles/aerospace/ljungstrom-internal-propulsion-aircraft-projects-1928/