Richmond planet. [volume] (Richmond, Va.) 1883-1938, 1902-10-18
KNOX ON THE TRUSTS
Discussed by Attorney General at
~. Pittsburg Banquet.
POINTS OUT EVILS AND ABUSES

Ious Feature, As That Furnishes
Temptations For others-congress
TO Regulate Trusts.
Pittsburg. Pa, Oct Is. - Attorney
General Knox addressed the members
OF the Chamber Of Commerce at the
Hotel Schenley here last night. There
were 700 guests present. The sub
sect OF his address was "The Com.
merce Clause OF the Constitution and
the Trusts" Mr.. Knox was afterwards
entertained by w. H. Keech. chairman
OF the committee In charge OF the
meeting. In part Attorney General
Knox said:
The people, by common consent
have denominated the great Industrial
and other corporations now controlling
many branches Of commercial business.
trusts. That there are evils and abuses
In trust promotions, purposes, organi-
cations, methods, management and eff
tects none questions except those who
have prohted by those evils. That all
or any of these abuses are to be found
In every large organization called a
trust no one would assert who valued
his reputation for sane judgment
The conspicuous noxious features
OF trusts existent and possible are
these: DISQUALIFICATION, lack of pub
Hctty OF operation. discrimination In
prices to destroy competition, insult
Client personal responsibility of off,
GERS and directors for corporate man.
a.
lack of appreciation In their manage
ment Of their relations to the people,
for whose benefit they are permitted
TO exist.
"Overcapttaization is the chief of
these and the source from which the
minor ones flow. 1t Is the possibility
OF overcapitalization that furnishes
the temptations and opportunities for
most of the others. They should be
subject to visitorial supervision, and
full and accurate information as TO
their operations should be made regu-
larly at reasonable intervals. Secrecy
In the conduct and results of operation
is unfair to the non-managing stock
= holders, and should. as well for rea-
sons OF state, be prohibited by law.
The constitution provides: The
congress shall have the power to regu-
late commerce with foreign nations
and among the several states and with
the Indian tribes Plainly. the power
must reside somewhere, either in the
nation or in the states reservations /;
but the effect of present doubts is to
create dilemma under which, ap-
parently, all power vanishes, the states
saying, some OF us do and some of us
do not approve or permit monopolistic
production; that is our concern, but
when the products cross our borders
the problem passes beyond us and be
comes a matter OF national regulation
and control; and the nation appearing
TO reply, can deal with commerce
passing beyond any one state, but eff
fective regulation here may indirectly
Interfere with production, and that Is
a state matter which may not touch
And so the national and local sover
eighties halt and the delictum es
capes.
"Concedtng that the present law Is
not effective throughout the situation
we come to the final alternatives: May
not congress, under the existing con
stitutional grants, amend and extend
the law, and thus remedy its defects
and so effectively regulate national
and foreign commerce as to prevent
the sitting OF competition, the regu
1ating OF output and price, and the
restraining of national and interna
tional trader II the answer to this
question should be In the affirmative
a second question follows How might
congress so amend the present law?
81 do not scruple to say that In my
judgment the more thoughtful mind
reflects on the first question, the more
unhesitatingly Will an affirmative an
swer be returned.
1.-THE president said in his first mes
sage he did not think the authority OF
congress to protect the people against
the evils of the trusts had been ex
hausted. The views have expressed
are but an application of his. NV
whole purpose in what 1 have said is
to challenge the proposition that we
are helpless under our system of GOV.
eminent to deal with serious problems
which confront US In respect to our
greatest interests. Since the radical
questions of human rights and human
governments have been settled, the
production, preservation and distrlbu.
ton of wealth receive the chief atten,
4 ton of civilized peoples"
u --
Friday, October 10.
Oxford University, OF England, yes.