New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-03-04
LEGISLATION FOR TRUSTS.
A CHANCE FOR A TALENTED LAwMAKER-
WHAT TIRE SENATE coMMIrrEK's INVESTIGATION is

WHAT THE SENATE CoMMITTEEs iN'ES'io"
THOUGHT TO HAVE AccoMPisHfp.
Colonel George Hiss was asked BY a lhibo ~,
reporter yesterday II he was prepared W hv the
views on tho results of the trusts tIa rdnScrcd
senate Committee on oe"Si"i
q while and then replied: a..
az ,,,nk that The TRIBUNE Is right IN saying 'n"'
Nh. committee have accomplished etca' uo"A' ~
ea,sc hoy have taken this whole ma''c' 'oa '.S
,ca,m Of rumor and report and have piousn. ~ n.o
,hc ,caln, OF ascertalned facts Dut th''A i
TpmuxE is wrong IN suprosng that any "s"e,oo
h.recu tho committee and their counsel has han any
.r.ot d, limiting tho amount OF knowledge acquirou.
Nm The contrary, whatever Disagreement thoo was 'o
FATHER 10 more In bringing out information IMAM
- Tho surpress,on of II. And In fact, there was
little disagreement either between counsci OF couso'
and committee, between members OF the comm''oe'
,,uch less than might be inferred from some OF INC
reports. N
aOf course tho committee did not investigate all
NJ the trusts or anything Ike all, did they get 10
the bottom OF any Of the trusts in the sense OF prihg
ing out all the details Of their past actions. ihcfe
ives no time 10 do this even had the committee been
so disposed But tho theory on which the comm'''co
nrocoeded wa, 10 look into trust far az to soc
the principles Of Its organization as found In the nsru
mcnt creating It, and its practical work'ng' a. SNOW"
BY It's operations This was all that was neoosS"i'
or oven proper TO require to enable the comm'eo 70
report what IL any, legislation upon tho subject "a
trusts necessary
A pirricuIT MATTER TO DRAW THE LINE
.Tbere Was n constan inducemont to 60 further
than this, and to get at matters which really came
within the scope OF private business vi co"rse, ''
committee did not get ut everything when "o"o nav
hoou desirable In all the trusts TO throw Dgh' upon
Tho necessity Of legislation but they got at enough
with every one of them to show that thcrc ought 10
be some legislation. When the officers OF inc 'l"SS
freely produced their agreements and answered. ro"u
lly as to their operations, 1t was not necessary ~
follow them up with tho same persistent c'ossoA
animation AS when they undertook TO wi'hnoiu III
formation ~,
nTo tho surrrlse OF every one tho Standard OH
rrust which was reserved with tho expectation that
there would he a prolonged fight with theH' oaiiio
forw ard, produced their agreement, winch hao away
previously been kept profound secret anu B''c i'i
statements. OF course, these statements were o"o
sided, In a measure, and presented INC view nios'
favorable to tho trust, but IL was so clear 'ha' on
,uch statements the case made out Tor some
legislation In much less time upon the examination
NJ that trust than had been supposed necessary y"
the other hand the sugar trust people pers's'oh"5
sought TO avoid giving information. 1t took there
fore mure time and much more aggressive System
Of cross OK animation. But as result, We many 90,
at all NECESSARY details though II tie committee had
had moro time j, personally, should have Dccn e'au
10 follow I'D the operations OF that trust
little more particularly in its effect In limiting con
petition for crude sugar In this MARKET
TWO DIFFERENT CLASSES OF TRUSTS.
at sbould bo noted that the committee invcsti-
rated two widely different classes Of combinations
One class Of combination Is the trusts, Strictly spea
Ing In those the persons engaged IN BUSINESS ior
the purpose OF preventing competition, reeua'hs
nr,ces ecopomizing the conduct Of business and In
crossing their profits transicr their properly al"
It's absolute control to certain trustees "heh 's 10
,oned in by all those engaged in particular business
IL seems to secure absolutely TO the trust It's oohuo
II not Its monopoly, and Just In proportion as 'ne
partjes engaged In tho business como INTO such us
in that proportion do they absolute control In
the market These trusts have all tho powers WIN
mono Of the limitations Of corporations their AURA
ton need not be limited they subject to no super
v,sIon. they ARC a new creation, to which legislation
must be adapted. II would hardly be WISE 10 iofoia
their existoncc but cannot DO denied that they may
periorm-thcy have perfcrmed-to some extent pehe-
fetal function.
"This IS particularly true so far as relates to the
s,ate of New.York For some of the trusts here have
brought to this all tho capital and The Ieonha'y
advantages derived fiom tho practical concentration
Of business here which otherwise wond 10 sca''c'co
over tho whole country. Take, for instance, the COT
ton seed oil trust Apart from the possible oplcc,oh 10
10 found in speculative dealings In Its cettncacs, u
has como here established It's Office here, bargains Tor
the sale of its products here while mono OF us man
ufaoturng operations arc carried on wthih many
hundreds Of miles of this slate 1t thus brings 10 inc
State business which under any other system could
hardly horc.
NOT AN UNMIXED EVIL
"Tho Standard on Trust certainly has brought
about largo reduction IN tho price OF rehhed pc
troleum, or al any rate this has accompanied 'h0
operations of tho trust. But Its enormous aesIcs"
hon Of nearly SlOO00o,00O capital con'roiieo Wy
uine men acting with all the mmunitics OF corpora
tion without the Limitations Of corporation ought 10
no brought under the control Of statute law.
"Just what that law should be Is point upon when
the wisost individuals may all differ, and upon which,
without any knowledge upon the subject, presume
The members Of the committee Will differ II IS un-
fortunate that tho question comes up just peioro
Presidential election Is to be held for 1t ohefs IN
aucements TO dcmagogsm, which tho human nature OF
nj, legislators WILL fear, not be OF the knd 10 re-
sist Indeed, there not wanting inuIcat'ohs 'ha'
thore Is an attempt to convert the question INTO one
out Of which political capital Is to BIO made, ana thero
may be Ia both parties who VIII be ooish enough
TO enter to sec which shall go the fur'h's'
that track
"Tho other class Of combinations arc simply cases
whore persons engaged In one class OF business enter
into contracts among themselves incndod 10 cohuoi
production limit competition and Increase prices.
This sort Of combination is old, and experience mas
usually shown that, matter how strongly people
ara hound upon paper such combinations arc not IN
fact or lasting.
WHERE LEGISLATION IS NEEDED.
"some of those investigated by the committee are
Of such nature that 1t seems that there should DC
some legislation the subject, though IL IL dnicui.
to any Take, for instance the free stone COM
bnaton In which 1t Appeared that substantially ell
the owners Of free stone have made agreement With
the Master stonecuters Association In this city that
they will sell no to any one Ia this city except
10 members Of that association, while tho association
agrees to buy Of no one but thcm; yet tho Master
stonecuttes Association Is, TO say the least unwi
inc IN admit new members, and requires any now
member to pay $500 admission OF course, this tends
70 nreyent any active young mechanic Tho desires 10
thu llgp
snxrc for a permit 10 engage in business, nom csta',
iishlng himself and keeps him Ia subordinate posi-
ton an HIS lie Such things ought net TO be- The
legislature ought TO stop IT, ,,,
sstll you viii SEQ the difficulty In framing iegsla,
t,on when Won como to reflect that IL you say no
persons shall combine among themselves to limit me
production of any article or to control us SAFE you
L. I.-a a.sa Of al