Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-01-23
TRUST BILL OUTLINED
MR.. POWERS DECLARES IT rs
MOST CONSERVATIVE.
He Believes That It's Enactment is
Wholly Within the Constitutional
Power Of the House.

"a most conservative measure, and one
lying wholly within the constitutional power
Of Congress to enact" This is the charac-
terization Of the measure for the regulation
of trusts by Representative Samuel Powers,
q member Of the House subcommittee
which framed the bill.
"Isfeel confident that no one will regard
the bin as an extreme measure" continued
Mr.. Powers. "At the same time it is a
decided advance in legislation already en-
acted for the prevention Of capitalistic
evils.
1.-THE bill which is just completed has
three principal features:
"First-Publicity as to corporations en-
gagged in interstate commerce.
Decentralization Of rebates or dis
elimination in rates and service by trans
portatiOn companies.
'Third-Prevention Of monopoly and Of
devices to destroy competition by the I'M
warranted cutting of prices.
1.-The committee has been very careful
to do nothing more than necessary to pre-
vent violations of existing laws through
more adequate means for their enforcement
No corporation is endangered by any of the
provisions of this bill unless it is engaged in
the violation of law. The provisions re-
garding publicity are we'll guarded. I do
not assume that the interstate commerce
commission will exercise the discretion
given to it in calling for reports from cor
porations except for good cause. The pro-
vision that all corporations hereafter Gre
ated shall, upon entering upon interstate
commerce, file a return is likely to have a
strong influence in preventing the organiza-
ton of corporations which are overcapital-
lied"
Both Mr.. Powers and Mr.. Littlefield pre-
dict that the bill will go through the House.
1t will not be called up, however, until the
latter part Of next week, and Mr.. Littlefeld
will go to Boston Sunday for the investiga-
ton OF coal transportation.
Twelve Sections in the Bill.
The bill is in twelve sections and begins
with the publicity feature, to which the
first four sections are devoted. Section 8
deals with the rebate problem, while section
6 seeks to prevent the creation Of monopo-
lies. The remainder of the bill is devoted
to penalties, court jurisdiction and proceed
ure. The new regulations are to be made
operative on May l next.
The first provision Of the publicity fea-
ture is that every corporation hereafter or
ganized shall make return to the inter-
state commerce commission before engag-
ing in interstate or foreign commerce; that
every corporation now engaged in interstate
or foreign commerce shall make an annual
return to the interstate commerce commits
sion If called for by the commission.
Returns From Corporations.
In the returns referred to must be shown
the method of organization of the corpora
ton, the amount and value Of its author
lied and issued capital stock and how much
of this stock is common and how much pre-
ferred, and how much of the capitalize ton
represents cash and how much property Of
other descriptions. and whether any earn
ings or earning capacity have been included
in the capital; also the names of all officers
and agents of the corporation and copies
Of all rules, regulations and bylaws gov
erning 1t. Blanks for this information are
to be supplied by the commission. The sec
ton also provides that an officer or agent
of the corporation may be examined under
oath as to the matters set forth In the re-
turn. The return is to be sworn to by the
president and treasurer of the corporation
and a majority Of its board of directors. If
the return is not made within the time re-
quired the corporation may be enjoined
from engaging in interstate commerce until
the return is made The penalty for MAX
ing false return Is prosecution under ex-
listing statutes against perjury. An alb
stract of the returns made is required to be
published annually by the interstate COM
merce commission. The same authority is
conferred on the interstate commerce COM
mission to look INTO the management of the
business of all corporations as the commits
porations, and provision for the employ
ment Of such additional clerks and agents
as may be necessary is made.
Prohibition of Rebates.
The section prohibiting rebates seeks to
strengthen the law now in force by making
both the shippers and the carrier who are
parties to the agreement for rebate or dis
elimination liable to punishment by fine
of not less than $1,000. The present law
makes the carrier and the agent of the
carrier only so liable.
An attempt is made to prevent monopoly
and control in the production, manufactu
and sale of articles entering into interstate
commerce by providing that any corpora
ton attempting in any locality, either by
discrimination In price or by giving special
privileges as rebates for the purpose of
destroying competition, and with the in
tent OF increasing such price after such
competition has been destroyed, shall be
forbidden to use any Of the facilities or in
struments Of interstate commerce for such
purpose. This section is aimed directly at
any attempt by ombination to crush out
the small competitor. There is also penalty
Of not less than $1,000 provided against
carriers for transporting the goods of cor
porations which have been forbidden to
use the Instruments Of interstate COM
merce according to the above regulation
Power to Force Testimony.
There Is a section providing that no per-
son may be excused from testifying or pro-
ducing books and papers in actions brought
under the terms Of the bill, on the ground
that such evidence would tend to incrimi-
nate him. Jurisdiction is given to the
several circuit courts in suits in equity
brought under the bill. Parties outside the
jurisdiction of the court where a case is
being tried may be made parties to the
suit.
Persons injured in business by CORPORA
tions acting In violation of any of the pro-
visions of the bill may recover threefold
the injury sustained. through proper legal
procedure.