The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1903-01-06
HEAR FROM KNOX.
Senator HOar and Congressman
Littleffeld Receive Letters
From Attorney General Knox
on Subject of Trusts.
THEY ASKED HIS VIEWS
1t Is Regulation and Not De-
structiOn That Is Wanted.
Should Be Careful Not to Over
do the Matter.
THEY ASKED HIS VIEWS


eral Knox has addressed identical let
ters to Senator Hoar, chairman of the
senate judiciary committee, and Repre-
sentative LittlefeId, chairman of thesub-
committee of the house judiciary COM
mittee. giving his views on the subject
of trusts. These letters are in reply to
communications sent him by Senator
Hoar and Mr.. Littlefield. asking the
views of Mr.. Knox. The letters en-
brace three subjects, the questions
which have been decided by the courts,
the questions which are pending in the
courts and suggestions respecting fur
ther legislation. Under the latter head
Mr.. Knox says:
In view of the wide experience of the
committee in dealing with legal and
economic questions, I venture upon the
line of suggestion with much hesitation
and feeling that the utmost the commit
tee desires in this respect is that some
concrete thing be set down that may be
considered in connection with other
views that may be presented as to what
might be done within the short period
OF this present congress.
I think it proper enough to briefly
premise such suggestions as I shall
make for immediate action by a state
they are based.
The end desired by the overwhelming
majority of the people of all sections of
the country is that combinations Of cap
ital should be regulated and not de-
stroyed, ana that measures should be
taken to correct the tendency toward
monopOlization of the Industrial busi-
ness of the country, assume thing
10 be avoided, even by suggestion, is
legislation regulating the business in
this country beyond such as viii accom-
plish this end.
In my Judgment, a monopoly in any
industry would be impossible in this
country, where money is abundant and
cheap and in the hands or within the
reach of keen and capable men if COM
petition were assured Of a fair and
open field and protected against un-
fair, artificial and discriminating prac-
tees.
Two or more persons or corporations
can not by any combination or any ar
rangement between themselves either
contract or expand the rights of others
to engage in a similar business. The
utmost they can do is to discourage
the disposition to do SO by restricting
the opportunities or by securing to
themselves some exclusive facilities or
ties upon exclusive terms
If the law will guarantee to the
small producer protection against
piratfcal methods in competition and
and available to him for the same tolls
charged to his powerful competitor, he
viii manage to live and thrive to an
astonishing degree.
'Individualism in production has its
advantages as well as combination
Small enterprises, not uncommonly
spring up and those within the shadow
Of the larger ones. though enjoying
control of sources of raw material, fuel
and transportation facilities, yet re-
alizing large profits on output through
direct. personal, interested manage
ment."
Mr. Knox suggests legislation di-
rected against those who give and re-
ceive advantages enabling discrim-
ination in prices as against competi-
tors. This to take the form of penaliz-
ing the transportation of goods and
federal courts, should be given the pow
er to restrain such transportation. He
says the present law is not sufficient to
meet existing conditions The opera
tions of any law on the subject should
be limited to common carriers. subject
to the act to regulate commerce.
An additional provision should be
made, he says, to reach corpora t1Ons,
combinations and associations which
produce and manufacture wholly within
a state. but whose products or sales en-
ter into interstate commerce It should
relate, first. to such concerns as fatten
on rebates in transportation. and. Sec
O1l. TO concerns winch sell DG1OW lnc
general price of a commodity, or wan
tonly seek to destroy competition. A
comprehensive plan should be framed to
ena BILE the government to get at all the
facts bearing upon the organization and
practices of concerns engaged in inter
state and foreign commerce essential to
a full understanding and to compel OBJ
servation Of the law.
He recommends a commission to aid
in carrying out the act of July 2, 1896,
which shall make an investigation into
the operations of corpora tions and com
binations, with authority to make such
inquiries and have power to require re-
ports from them and their officers.
No person should be excused from pro-
ducing books. contracts. etc. in courts.
Continuing Mr. Knox says:
Legislation to correct trust abuses
should be developed with great care, for
it is not nearly so important to act
! quickly as to act wisely
He recommends legislation to hurry
/ final decisions in cases pending and
which may be raised under the anti
trust law.