The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-11-11
Subm ts a Statement of the
COuntry's Requirements.
SLIGHTLY MODIFIED.
The Plan of the Attorneys Gen.
eral Might Be Accepted.
President Will Take Sugges-
tiOns Under Adyisement.

Washington, Nov. 11.-Eugene E.
Prussing, a Chicago lawyer, for three
years president of the Citizens asso-
citation there, called on the president
to present his views on corporate re-
forms.
The president read and discussed
with interest the brief statement
which Mr.. Prussing submitted. 1t
follows:
\ Currency reform, antitrust law
amendments and railroad regulation
naturally will claim the first places in
CONGRESSES attention; general corpora
ton reform in its various phases may
fairly be classed second in Importance.
Long and varied experience in corpor-
alton matters leads me to offer these
suggestions:
1.-The first question, that of jurisdic-
ton of the federal government, will in
each instance be the challenge of the
opposition. Successful effort, there
fore, must be along the line of least
resistance; that is to say, in harmony
with the principles of states rights
and loyal government, as we'll as the
sentiments based upon these, even IL
extreme.
National control of interstate COM
merce corporations, as distinguished
from national incorporation of all or
most corporations, will be readily
granted by most men or potn pdrlles-
All Records Open.
Compulsory publicity of accounts.
the subjection of books, papers and
plans to inspection, etc, of govern
ment officials will easily be accom-
pIished.
s"The new step advised by the as
sociation of attorney generals, slight
ly modified, will be in the right direc-
ton and will be approved by states
rights men and federalists alike. The
association recommends that the right
to hold stock in any other corporation
should be denied to all interstate COM
merce corporations. 1t seems to me
that the purpose of this, namely, to
compel the real owners of a corpora
ton to do business in their own name,
can be achieved by requiring the cor
poration owning stock in another, and
the corporation in which it owns
stock to list such owners and stock
holdings respectively in every case in
the department Of commerce. Thus
honest holding companies will be per-
mitted, and yet protected against pos
sible assault of local taxation or other
discriminating laws, just as
national banks are now, while the
public in turn will have knowledge of
whom it is dealing with, and can pro-
tect itself.
1.-The change of state banks and
trust companies to national banks,
which can be accomplished by single
act, will also be popular, and can be
along states right lines.
Banking Law Changes.
''The proposed change is this: Give
national banks two additional powers
and their consequences.
complying. with the general state laws
on that Eject wherever they exist and
in the District of Columbia.
"2. To accept trust savings and
-
counts of tine total of these. making
proper rules for notices of withdraw
als-andNallow as small a percentage
of reserves as to these deposits, and
also the making of solid bond and
mortgage and other savings bank in
vestments of the funds so received.
''Thus every national bank becomes
the full competitor of state banks and
will be forced to become national
banks
aGo at the general corporation
problem in a similar manner. Enlist
Keep the subject of incorporation and
ordinary control a state concern: make
the local laws harmonic if possible,
by appointing a commission to investi-
talent: Root. Choate, Dillon, Mora.
wetz and others of that type will be
glad to serve for patriotic reasons and
a result will be achieved in the form
OF a COOe DdS6O OH principles ana 0X-
periences suited to our dual govern
ment and varied conditions-just as 1t
was in Germany in 187O-75 in the en-
actment of laws by Prussia and the
other states of the empire which have
served the purpose and stood the test
of time.
Roosevelt Pleased.
''I am sending my paper with re-
quest for comments to tho members of
the American Bar association and to
the great majority of names i;i the Ill
rectory of directors. thus reaching
persons Immediately in
touch with the situation. The replies
already received indicate an intelligent
generous and critical interest and no
doubt good fruit in the shape of sug-
gestions will result"
At the end of the interview the presi-
dent said:
And now, my dear sir I want to nav
you a compliment. I did not expect
you to give me single thing-instead
of that you have given me several prac
teal suggestions in concrete form
some of which are entirely new. II
hall study them with pleasure may
say you will soon see them reflected