Fey played a vital role in the violent suppression of the Republikanischer Schutzbund (Republican Protection League) and, during the 1934 Austrian Civil War, of the Social Democratic Workers' Party .

A career officer since 1908, Fey in the rank of a major fought with the Common Army in World War I and was awarded the Military Order of Maria Theresa in 1916.

As his political career proceeded, he increasingly rivalled with Heimwehr leader Ernst Rüdiger Starhemberg; both commanders backed the rise of Chancellor Dollfuß and his successor Kurt Schuschnigg, only to be largely disempowered after the implementation of the authoritarian Federal State of Austria (Ständestaat).

After the chancellor had suspended the sessions of the National Council, Fey on 15 March 1933 concentrated Heimwehr forces to occupy the Austrian Parliament Building, however, any operation was aborted by the Vienna police.

[2] The resistance of the Schutzbund to a government search for weapons at the headquarters of its Linz branch on 12 February 1934 sparked the Austrian Civil War.