Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-11-04
INCORPORATION LAWS
Congress May Pass One Especially
for the District.
ADVANTAGES TO Be DERIVED
Substantial Industries May Be Or
gained Here.
PROTECTION TO INVESTORS

The coming session Of Congress Will prob
ably consider subject relating to the laws
Nof the District of Columbia that Will be of
vital interest To the country at large. ana
especially TO all large industrial corpora
lions wherever they may be carrying on
their business.
This subject is in relation to an incor-
poratipn law 20 be enacted for the District.
hut which. from its uarure is apt to be-
come ma JjouaI in its scope, and To invite
here the great and most substantial indus
trial concerns Of the country.
If this plan should be successfully car
ried out it is likely that the District of Co
Iumbia would not only be known as the
home of the most substantial of the indus
trial corporations Of the country. but il
would receive a large revenue from this
source that would assist in improving the
capital and in adding 10 its features.
National incorporation Act.
The testimony that has been taken by the
Industrial commission has shown that
many of the men Interested in the organi-
zatiOn Of great Industrial concerns as well
as those who desire to increase the control
exercised over them by the public, favor
national Incorporation act to be passed by
Congress
The question of the constitutionality OF
such an act IS the stumbling block that its
advocates have met. and should national
incorporation act he considered by Congress
its cOnsututicnality would give rise to a
stubborn debate that would probably de
feat any prompt action.
This objection would come with especial
force from the south, where the antagOnlsm
10 Capitalization" would increase The OPP
position to such a measure.
An Act for the District.
should Congress see fit to pass a cumpTe
hensive inc0rporative act for the District
o: Columbia it is said no constitutional OBJ
lection to it could be urged successfully
and outside corporations could avail them
selves Of its use if they so desire.
The advocates of an extension of public
control over corporations would be pleased.
il * declared. with an act that would pro-
vide for annual reports 10 Congress con-
corning the corporate business and would
under certain conditions. allow government
al inspection Of its affairs
1t is said that such an act OF incorpora-
Jiru would have So many advantages that
il would in time attract the best corpora
tiuns Of the country.
The fact that only Congress could change
the provisions of incorporation here would
give a feeling of confidence in its stability
To- all those desiring 10 make use of il. and,
II publicity and governmental inspection
were provided for it. would result in con-
fijence on the part Of investors in concerns
conducted under such conditions
Only substantial Corporations.
Only a substantial corporation that could
afford To- allow such inspection would seek
incorporation. while the publicity and in
speCtiOn provided for would be Of such
character as to insure protection to in
vcstors while II would prevent the giving
out Of information that might be ruinous
To the corporation on account of any undue
advantage to se secured by a competitor
that was not subjected To such publicity.