New-York tribune., 1905-08-12
REGULATION OF TRUSTS.

/ " Ille main features OF national govern
mental policy should he the effort To secure
adequate and effective supervisory and reg-Ila-
loFy control over all great corporations doing
| an interstate business. Much of the legislation
aimed to prevent the evils connected with the
enormous development of these great corpora
i IONS mas been Ineffective partly because it
aimed at doing too much and partly because il
! oIa not confer the government a really
eincent method OF holding any guilty corpora
strant ~ "a The er1oTt to prevent all
sraLht OF competition, whether harmful or bene-
nclaL has been n-judged; what is needed is
not so much the effort 10 prevent combination
%s Vlsllant and effective control of the COM
olnauons formed, go as TO secure inst and
equitable dealings their part alike toward the
public generally. toward their smaller eon,
employ. III 'he'i
FURTHER LEGISLATION NEEDED
Under the present laws we have in the last
Iouf years accomplished much that is of suh
stahusl value: but the difficulties in the wav
hsxe ns,;e eeeh so great as to prove that further
Iegislation is advisable, Many corporations
SNOW themselves hoRoFably desirous TO obey
the law but. unfortunately some CORPORATIONS
sti1ft h.f "Iheh can be suggested by the highest
ability, or secured by the most lavish expendf-
lure ture az money TO defeat the purposes of the
laws on the statute books
MOI only the men in control of these cor
poFatlons. but the business world generally
ought ta realize that such conduct is in aI,ary
way perlloHs, and constitutes menace TO the
OF great property.
relatively small portion of the very rich men
engaged In handling the largest corpora tions in
me country; but the attitude of these compare
lively few men does Undoubtedly harm rla
country, and, above all. harm the men of large
means by the lust but sometimes misguided
popular Indignation to which IL gives rise Tho
consolidation in the form Of what are nonuIarIy
called trusts OF corporate interests of in,r7ans
Fsiue mas tended To produce unfair restraints
or trade OF an oppressive character. and these
unfair restraints tend TO create great artificial
monopolies
VERY BIG CORPORATIONS VIOLATE LAW
The violations OF the law known as the anti
trust law, which was meant 10 meet the con-
ultlons thus arising, have more and more be-
come confined TO the larger combinations. the
very ones against whose policy of monopoly and
oppression the policy of the law was chiefly
directed Many of these combinations by secret
methods and by protracted litigation are still
uiSlseiy seeking TO avoid the consequences Of
their illegal action A
The government has very properly exercised
uoaerauon In attempting to enforce the criminal
provisions of the statute; but it has become our
conviction that in some cases such as that of at
49, ' I9tu Vi tne oeeI packers recently in
olcted In Chicago. IL is impossible longer to show
leRtency. Moreover IL the exIsriDy Law rroves
10 De inadequate, SO that under established rules
OF eFlaence clear violations may not be readily
proved, defiance of the law must inevitably lead
TO further legislation. This legisla ton may be
more drastic than would prefer If SO il must
be distinctly understood that IL will be because
or the stubborn determine ton OF some Of the
great combinations in striving to nrevent the on
roFcement OF the law il stands by every de-
vice, legal and illegal
Very many of these men seem to think that
the alternative is simply between submitting 10
the mild kind of governmental control we advo-
cate and the absolute freedom to do whatever
they think best They are greatly in error
Either they will have 70 submit to reasona BILE
supervision and regulation by the national
authorities. or else they will ultimately have 10
submit 10 governmental action Of a far more
drastic type Personally. I think our people
would be most unwise II they let any exaspera-
tion due TO the OF certain great corporatfons
drastic action Gh0
pose such action. But the great corporations
are themselves to blame If by their opposition
10 what is legal and Just they foster the popular
Ieeling which tells for such drastic action.
SUPERVISION BY GOVERNMENT
Some great corporations resort to every tecbni-
cal expedient 10 render enforcement of the law
impossible and their obstructive tactics and re-
fusal to acquiesce In the policy Of the law have
taxed 10 the utmost the machinery Of the De-
partment of Justice In my judgment Congress
may Well inquire whether = should not seek
believe that all corpora tons engaged in inter
state commerce should be under the supervision
OF the national government
do not believe in taking steps hastily o.
rashly. and 1t may be that all that is necessary
in the immediate future is TO pass interstate
commerce bill comforting upon some branch OF
action to remedy the abuses in connection with
railway transportation. But in the end. and in
my Judgment at a time not very far on we
shall nave to, or at least shall find that we
ought 20, take further action regards all cor
nous Increase in interstate trade. resulting from
the Industrial development Of the last quarter
OF a century. makes II proper that the federal
government should, so far as may be necessary
to carry into effect its national policy. assume
degree OF administrative control Of these great
corporations.
SUGGESTED PrvEnv
II may well be that we shall find that the only
effective way OF exercising this supervision Is
10 require all corporations engaged in interstate
commerce to produce proof satisfactory, say
10 the Department OF Commerce, that they are
not parties 10 any contract or combination or /
engaged In any monopoly IN interstate trade IN /
violation OF the antitrust law, and that their /
conduct certain other specified points is /
proper: and moreover, that these corporations I
right 90 engage in such commerce. 10 furnish any
evidence OF any kind TO their trade between .
the States whenever so required by the Depart
uaept Of Commerce.
eral States. provided by statute that foreign cor
porations may lawfully conduct business within
their boundaries only when they produce certih- /
Gates that they have complied with the require .
ments OF their respective States: I'm other words
that corpora tions shall not enjoy the privileges i
and immunities afforded by the State govern
nents without first oomn'"ing with the policy .
OF their laws Now. the benefits which corpora i
tions engaged In interstate trade enjoy under .
the United States government are incalculable: /
and in respect OF such trade the jurisdiction 4
OF the federal government Is supreme when II /
chooses to exercise II.
When as is now the case. many OF the great
corporatfons consistently strain the last re-
sources OF legal techncaiity TO avoid obedience
" a law for the reasonab BILE regulation of their
business. the only way effectively 20 meet this
attitude on their part II 70 give TO the executive
department OF the government more direct