The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-04-17
Amendment Giving Congress Power to
Deal With Trusts.
AN EXTENSION OF THE SHERMAN ACT
Judge Ray, Chairman of the Judiciary Com
mittee. Gives Out a Summary Of the
Proposed Measures, Explaining
Their Provisions.
(By the Associated Press

directed against trusts were determined
upon today by the special subcommittee
On trusts of the House Judiciary Com
mittee. The special sub committee has
spent many days examining the various
remedies proposed and the conferences
We're not concluded until late hour to-
day. AS agreed upon the remedy is two
fold, namely, constitutional amendment
giving Congress full power to deal with
trusts and new antitrust law making
the following extensions to the Sherman
Act:
First, requiring the branding or mark
ing Of trust made goods shipped out of
a State, so as to be easily identified as
the product of a trust
Second prohibiting the interstate traf-
fc of trust made goods not so branded and
making them subject to seizure and
condemnation.
Third, requiring corporations having
capital over 81 ,000, 600 or doing an an
nual business of $1,000.000 to file a report
of their affairs with the Secretary of
State.
Fourth, providing the process of in
junction against combinations sending
trust made goods from State to State or
tc foreign countries.
Fifth, prohibiting the use of the mails
to concerns and their officials proven
to be trusts.
Judge Ray. of New York Chairman Of
the Judiciary Committee. and of the Spe-
cial Sub Committee on Trusts, gave out
the following summary of the measures:
THE Sub-committe of the Committee
on the Judiciary today agreed to report
to the full committee a proposed Consti-
tutional amendment, which provides that
Congress shall have power to define, regu-
late, control, prohibit or dissolve trusts,
monopoles or combinations, whether ex-
listing in the form Of a corporation or
otherwise and which further provides
that the several States may continue to
exercise such power in any manner not in
conflict with the laws of the United
States.
1.-THE necessity for this amendment
grows out of the fact that it is held
by the Supreme Court of the United
States that manufacture and production
are not part of interstate commerce and
cannot be reached under the interstate
commerce clause Of the Constitution even
though monopoly in manufacture Indirect
ly affects of controls such commerce.
Therefore, monopoly in manufacture is
not restrainable by Congress even when
it controls the output of an article of
necessity to all the people in all the
States and fixes the prices at will.
Another measure amends the act of
July End. 1890, being an act to protect
trade and commerce against unlawful re-
straints and monopoly and known as the
Sherman Act. The proposed bill in
creases the penalties fixed by that act
and adds thereto five new sections. The
new sections relate to producing and
manufacturing corporations and assoca-
items organized or managed fer the pur-
pose of controlling or monopolzing man
ufacture or production or so conducting
their business as to monopoliZe manufac-
ture.
1T provides that corporations and asso-
Citations organized and carrying on bust
ness for such purpose shall mark goods
shipped without the State in which pro-
duced and that the same shall not be
transported or carried without such
State when not SO marked either upon the
good themselves, the packages contain
ing same or the ears in which shipped
Articles of commerce not marked may
be seized and condemned when made a
part of interstate commerce. 1t is furth-
er provided that corporations and asso-
Citations organized with or having a capt.
tai stock of one million dollars or over, or
doing a business of one millions dollars
or over per annum shall before being
permitted to transport their product into
any other State or territory file with the
report making substantially the same
showing now required of railroad and
steamship companies engaged in inter-
state commerce.
1T further provides that corporations
and associations formed or carrying on
their business for the illegal purposes
aforesaid may be restrained from carrying
on inter- state or foreign commerce, and
also provides that when such corpora
tions or associations are adjudged Illegal
within the meaning of the act, it and it's
officers and members shall be prohibited
the use of the mails in aid of their illegal
designs. Penalties are imposed for viola
tions of the act and jurisdiction is con-
ferred upon the circuit and district courts,
and it is made the duty of the Attorney
General and of the several district at
torneys of the United States to institute
all proceedings civil and criminal, neces-
sary to. prevent or punish violations of
the act which is to take effect June 30th,