Abilene weekly reflector. [volume] (Abilene, Kan.) 1888-1935, 1908-02-06
TURN ON THE LIGHT.
Herbert Knox Smith Says Publicity
Is the Cure for Corpora
tion Evils.
PUBLIC MUST KNOW FACTS
II 10 Not Existence Of Industrial
Power But Its Abuse That 10 the
Real ProbIem--Bureau Of
Corporations Needed.

Washington, Feb. 4.-Public opinion
has been prompt and efficient in the
correction Of commercial evils when
those evils are stated specifically.
This is one of the conclusions reached
by Herbert Knox Smith, commission
er Of corporations, and expressed in
the annual report Of the operations
of the bureau of corporations made
public Monday. Naturally, under
present conditions, the real power of
public opinion reaches only such
cases as may be specifically stated"
Thus" says Commissioner Smith,
"the experience Of the bureau seems
to point logically to the need for
an extension Of such results by the
creation of a general administrative
system Of supervision Of interstate
corporations which shall give, in sub
stantially the same form as is fur
nished now for few corporations,
the essential facts relating to all the
great interstate corporations. Wheth-
er the system takes the form Of fed
eral license plan or a simple re-
quirement that interstate corporations
shall make reports and submit their
books to a federal bureau is Of little
consequence so long as the informa-
ton necessary for publicity is oD-
tanned. The thing that is important
is to arrive at system which will
accomplish the result; which will en-
able the government to deal with
such corporations in the main by ad-
ministrative supervision, rather than
by judicial procedure; whose
methods will be preventive rather
than penal; and, most important Of
ALL system which will afford a per-
manent practical ground for contact
and cooperation between the govern
ment officials charged with this work
on the one hand and corporate man
ayers on the other hand.
1T is believed that the time is ripe
for such a system, The bureau has
had increasingly, but the voluntary
cooperation and assistance of most |
of the large corporations involved In
the subject matter Of the bureaus in
vestigations. This assistance given |
by the leaders OF industry has been
very encouraging. especially in Its
indication of the attitude Of many |
Of the ablest men of the country and
the attitude of the public at large to-
ward the fundamental objects for
which this bureau was created.
There is no need that such federal
supervision should derogate from the
proper powers Of the states. The
business Of today is transacted under
which from a commercial
are purely national, with
no reference to state lines, but the le-
gal status of these businesses is still
ielimited almost wholly by state sta
tus a discrepancy which has been
The cause Of many existing evils. Cor
Dorate commence, as carried on by
hose great companies whose opera
ions substantially constitute the
whole problem before us is national,
md has been deliberately made ma
.lonal; the control over them should,
% some extent at least, be also ma
.ional. -
1t is with such information as the
bureau Of corporations is able, under
he Law, to collect and publish shat
he great corrective force Of opinion
AN be intelligently and efficiently d.
,ected at those industrial evils that
constitute the most important OF our
present problems.
Corporate combination, as such,
appears to be not only an economic
but also largely an accom-
)llshed fact. 1t is not the existence
II industrial power, but rather its
misuse, that Is the real problem. The
government should direct its attention
oward preventing unfair methods,
md toward keeping open the oppor-
.unities for competition In industry"