Semi-weekly herald., 1907-12-05

dent OF a grant of supervisory power
to the government over these biz
concerns engaged in interstate bust
ness. This should be accompanied b.
provis on for the compulsory publica-
tion of accounts and the subiection OF
books and papers to the inspection OF
the government officials A beginning
has a'readT been made for such super
vision by the establishment of the
bureau of corporations.
The antitrust law should not pro.
hibit combinations that do no injus-
tice to the public, still less those the
existence OF which is on the whole
Of benefit to the public But even If
this feature of the law were abolished,
there would remain as an equally oh
1ectionable feature the difficulty and
delay now incident to its enforcement.
The government must now submit
to irksome and repeated delay before
obtaining final decision of the courts
upon proceedings instituted and even
victory. Moreover to attempt to con
troll these corporations by lawsuits
means to impose upon both the de
partment of Justice and the courts an
impossible burden; it is not feasible
to carry on more than n limited num-
her of such suits. Such a law to be
really effective must of course be
administered by an executive body,
and not merely by means OF lawsuits.
The design should be to prevent the
abuses incident to the creation of I'M
healthy and improper combinations
instead of waiting until they are in
existence and then attempting to de
stroy them by civil or criminal pro
cecdinGs.
A combination should not be tol
Grated If it abuse the power acquired
by combination to the public detr-
ment. No corporation or association
o. any kind should be permitted toI
engage in foreign or interstate con-
merce that is formed for the purpose
of, or whose operations create, mc
nopoly or general control of the pro
duction. sale, or distribution of any
one or more of the prime necessities
9f life or articles of general use and
<necessty. Such combinations ar
against public policy; they violate
the common law: the doors of the
courts are close to those who are pan
ties to them. and believe the congress
can close the channels of interstate
commerce against them for its protec.
ton. The law should make its prohi
bitions and permissons ls clear and
definite as possible. leaving the least
pnssible room for arbitrary action, OF
Athe executive, or of divergent in
terprete lions by the courts Among
the points to be aimed at should be
the prohibition. of unhealthy competi-
tion, such as by rendering service AT
an actual loss for the purpose OF crush.
Ing out competition, the prevention OF
initiation of capital, and the prohibition
Of a, corporations making exclusive
trade with itself a condition Of having
any trade with itself. Reasonable
agreements between, or combinations
of. corporations shall be permitted
provided they are first submitted TO
and approved by some appropriate
government body.
The congress has the power to char.
ter corporations to engage in inter
state and foreign commerce. and |
general law can be enacted under the |
provisions of which existing corpora
tons could take out federal charters
and new federal corporations could |
be created. An essential provision |
OF such law should be method o.
predetermining by some federal board |
o. commission whether the applicant i
for federal charter was an as
sociation or combination within the |
restrictions of the federal law Pro
vision should also be made for com
piete publicity il all matters AFFECT |
ing the public ard complete protec- |
lion to the investing public and the
shareholders in the matter of issuing
corporate securities. II an incorpora
tion law is not deemed advisable, q
license act for big interstate corpora
lions might be enacted; or a combina-
tion OF the two might be tried. The
supervision established might be ana
losous TO that now, exercised over
national banks. At least. the anti
trust act should be supplemented by
specific prohibitions of the methods
which experience has shown have
been of most service in epabling mo
nopolistic combinations to crush on
competition. The real owners OF a
corporation should be compelled toI
do business in their own rame. The
right to hold stock in other corpora
tons should hereafter be denied TO
Interstate corporations, unless on ap'
proval by the proper government off
cials. and a prerequisite to such ap-
satt a