New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-02-09
From The rrihune Rureau.l

- ANif1 ne ITinCne
washington. Feb. s.-The character OF
the correspondence which is reaching not
only the President. but practically all the
prominent members of the administration,
regarding the proposed federal lncorpora-
'lon legislation indicates a most surprising
ana widespread misunderstanding OF the
proposition A great number OF prominent
business men appear to have peen lAiied
INTO fancied security by the unwarranted
declarations of those antagonisuc 10 the
administration that President Iaft pro-
posed federal incorporation as harbor
OF refuge" for those trusts which have
violated the Sherman law. Now that they
ind the administration proposition Is moth
ing of the kind, they are disposed 10 COM
plain that they have been deceived, and
many Of them appear TO be IN
state Of mental panic regarding the prob
able effect on the financial situation OF the
decisions of the Supreme Court in the
pending trust cases. The extent to which
ordinarily well posted business men have
been deceived by unwarranted newspaper
reports may be a lesson TO them in prov
ing the danger of accepting the sensa-
tional and untrustworthy reports which
too often find their wav into the opposi-
ton press regarding the aims and pur-
poses OF the administration. In the opln-
ion OF the administration, il is highly i'm
portant that the purpose of its proposition
should be clearly understood. the extent
to which 1t would, If enacted. mitigate the
effects Of the expected decisions realized,
and the limit beyond which il will afford
no relief understood.
a prominent member of the administra-
ton likens the proposed law 10 a group Of
boats offered to those threatened by a
flood, and which they may easily attach to
their verandas in anticipation Of the rising
waters. Carrying out the metaphor. this
official frankly says that the pToffered
boats will neither avert the flood nor en-
able the householder TO save all his house
hold effects. but that they will enable him
TO save the lives of his family and some of
his effects: furthermore. that no one boat
will accommodate all the members OF the
family, but that by separating the family
and putting g part in each boat, all lives
and some effects may be saved. In other
words. there is 10 purpose on the part of
the administration 10 provide method
whereby a trust may reorgGnize and con-
time the control Of its entire property
under one management but it is main
tanned that number OF federal corpora
tiors could purchase all the actual prop
ertv of a trust. the dissolution Of which
was forced by the Sherman law. and that
such federal corporations. so long as they
refrained from entering into conspiracy
70 control the industry through the estao-
lishment of a monopoly, could carry on
the industry. OF course, such loss as en-
sued from the destruction of the monopo-
Hsric control of an industry would nave 10
he borne by those who have hitherto en-
loved the benefits thereof
We assumed that. OF course, you mao oe
yjsed some means by which the great ana
,ood trusts were to be saved from financial
loss. and We are vofully disappointed by
the measure you propose Moreover the
Presidents declaration that it is the duty
and the purpose of the Executive 10 dlrecI
an investigation by the Department OF Jus
&C. -+ro7,gf, the grand jury or otherwise,
into the history. organization and purposes
of all the Industrial companies with re-
sne,.t 10 which there is any reasonable