Evening star. [volume] (Washington, D.C.) 1854-1972, 1900-01-06


Speaking Of remedies against monopolies
in any form, he said the people of this
country had suffered from too much hap
hazard and incomplete legislation. He made
number of suggestions for legislation
Which he thought We're worthy of consider
alton by the commission and of practical
application when developed. These sug
gestions. in brief, follow:
l. Each state should make stricter
classification of corporations, under its
general corporation statutes. and, by
statutes. and through the courts. express
and enforce more strictly the doctrine of
ultra wires, and thus keep each corporation
within its legitimate functions. Penalties
should he imposed. including forfeitures Of
charter, for acts ultra wires.
=. Each state should SO readjust the LAYS
regarding all corpora tons, private we'll
as quasi public. that their corporate func-
items shall b" exercised Under as much and
as careful official inspection as will make
them fairly answcrable to the public. and
prevent them from exec eding their charter
powers, and from violations of law, IN
known to the public.
3. Each state can provide that no foreign
corporation shall do business. within its
borders without conforming TO its laws.
4. Each state can provide that the stock
holders of a local corporation shall not
combine, by agreement with the stock
holders of amy other corporation of the
same. or any other state, to organize cor
pcration under the laws of the same, or ans,
other state. and sell or exchange his shares
in the old corporation for shares in the
new corporation, when the effect of such
agreement and the formation of the cor
porati0n hereunder is III general restraint
of trade and tends to produce virtual
MONOPOLY
Congressional Action suggested
,. Let Congress provide by statute that
the corporation organized under the laws
late the laws of another state, as being in
restraint of trade and commerce, or tending
to create a monopoly, cannot engage in iu-
tcrstatn commerce between any other state
and such prohibition state. To obvia tie the
effect Of such cases as hold that the cor
poration Of one state is a citizen of that
state. as for instance those giving juriSdic-
tiOn to federal courts that ground let
Congress, by statute, declare that foreign
corporations have no right, citizens of
one state. to do business in another state.
q. Let Congress provide that no state
shall be allowed to grant Incorporation to
any corporation or association which is
formed for the purpose OF restraining inter-
state commerce, or establishing and main
tanning monopoly in any commodity or
thing, to be sold to the citizens of the sew
eraI states and if such corporation is form
ed. and engages in business for any Of such
unlawful purposes, the Attorney General.
or any district attorney under his direction
sildIl Apply ior an ihJulctIon restraining
such corporation or association from carry
ing on any such business. And jurisdiction
should be given to the United States cir
cult court. a court of equity, to enjoin
such corporation or association, and all
persons acting for 1t, or under contract
with it, from exercising its functions in an
other state, and from sending its commod-
ities into any other state
He also adopted the suggestion Of Repre-
sentative Newlands for such legislation by
Ia wing Congress exercise the power of
taxation vested in the federal government