Iron County register. [volume] (Ironton, Iron County, Mo.) 1867-1965, 1910-01-13
able or can be introduced Into the stat.

able or can be introduced into the stat
I'm considering violations of the anti
trust law we ought, Of course, not 10
forget that that law makes unlawful,
methods Of carrying on BUSINESS Hhieh
before its passage were regarded as evil
dence of business sagacity n success,
and that they were denounced In TINS act
not because Of their intrinsic immoral
ity, but because OF the dangerous re-
suits toward which they tended, the con-
centration of industrial power IN the
hands of the few, leading to oppfes-
sion and injustice. In dealing, therefore,
with many of the men who have used
the methods condemned by the statute
for the purpose OF maintaining a proht-
change by them In She method OF do
ing business, and enable them 10 BRING X
back into the zone of lawfulness, wltaoul
losing to the country the economy o.
trade the cost of production has been
materially lessened, and in compeution
with foreign manufacturers our foreign
trade has been greatly increased.
Asks National Corporation Law.
81 therefore recommend the enactment
by congress of a general law provlcing
for the formation of corporations 10 on
gage in trade and among t.e
states and with foreign nations, protest.
ing them from undue interference by the
states and regulating their activities so
as to prevent the recurrence, unuef ma
tional auspices, of those abuses which
have arisen under state control. SUCH a
law should provide for the issue of stock
Of such corporationas to an amount equal
only to the cash paid in on the stock;
and If the stock be issued for property,
then at a fair valuation ascertained UNI
der approval and supervision of federal
authority after a full and complete dis
closure of all the facts pertaining to the
value of such property and the interest
therein of the persons TO whom 1t ls
proposed to issue stock in payment of
such property. 1t should subject the real
and personal property only of such cor
porations to the same taxation as i'm
posed by the states within which 1t may
be situated upon other similar property
located therein, n it should require
such corporations to file full and com
plete reports of their operations with the
department of and labor at
regular intervals. Corporations organized
under this act should be prohibited from
acquiring and holding stock in other cor
porations Except for special reasons upon
approval by the proper federal author
ity), thus avoiding the creation, under
national auspices, of the holding company
with subordinate corporations in different
states which has been such an effective
agency in the creation of the great trusts
and monopolies.
State Laws Conflict.
III the prO01DlLlOn OIL the ANTITRUST dCl
against combinations in restraint of trade
is to be effectively enforced, it is essen.
tial that the national government shall
provide for the creation of national cor
porations to carry on a legitimate busi-
| ness throughout the United States. The
| conflicting laws of the different states of
| the union with respect to foreign corpora"
lions make it difficult, IL not impossible,
for one corporation to comply with their
requirements so as to carry on business
in q numhar of different states.
"To the suggestion that this proposal OF
federal Incorporation for industrial COM
binations is intended to furnish them q
refuge in which to continue industrial
business under federal protection. 1t
| should be said hat the measure contem-
plated does not repeal the Sherman anti
trust law and is not to be framed SO as
to permit he doing of the wrongs which
it Is the purpose of that law to prevent,
but only to foster a continuance and ad-
vance of the highest industrial efficiency
without permitting industrial abuses.
''Such a national Incorporation law will
be opposed, first. by those who believe
that trusts should be completely broken
up and their property destroyed. 1t will
be opposed, second, by those who doubt
the constitutionality of such federal in
corporation and even If 1t is valid, object
to 1t as too great federal Capitalization
1t will be opposed, third, by those who
will insist that a mere voluntary incor-
poration like this will not attract to its
assistance the worst of the offenders
against the antitrust statute and who
will therefore propose instead Of it a sys-
TEN Of compulsory licenses for all feder-
al corporations engaged in interstate
business.
LET US consider these objections in
their order. The government is now try
ing to dissolve some of these combina-
tons and it is not the intention of the
government to desist in the least degree
in its effort to end these combinations
| 1trIt1h owe tfN-1or tYonnnJNp1iyi1D ihn 1nro-
merce of this country; that where it APP
pears that the acquisition and concen-
tration of property go to the extent of
creating Il monopoly of substantially and
directly restraining interstate commerce,
it is not the intention of the government
to permit this monopoly to exist under
federal incorporation or to transfer to
the protecting wing of the federal gov
ernmen of a state corporation now VIC
1ating the Sherman act. But it is not,
and should not be, the policy of the gov
eminent to prevent reasonable concen-
tration of capital which is necessary to
the economic development of manufac-
ture, trade and commerce.
May Doubt Constitutionality.
"~second-There are those who doubt the
constitutionality of such federal incorpor-
alton. The regulation of interstate and
foreign commerce Is certainly conferred
in the fullest measure upon congress-, and
if for the purpose of securing in the most
thorough ann that kin of regulation,
congress shall insist that it may provide
and authorize agencies to carry on that
commerce., 1t would seem TO be within its
power, this has been distinctly affirmed
with respect to railroad companies doing
an interstate business and interstate
bridges. The power of Incorporation has
been exercised by congress and upheld
by the supreme court in this regard.
Why, then, with respect to any other
form of interstate like the sale
| nf arnnIC anrncc cta tn hp11r1la ,iou md f,tr
foreign countries, may the same power
not be asserted? Indeed, it is the very
fact that they carry on interstate COM
merce that makes these great industrial,
concerns subject to federal prosecution
and control. How far as incidental tc
the carrying on of that it may
he within the power of the federal gov
eminent to authorize the manufacturer Of
goods, is perhaps more open to discus
sion, though a recent decision of the su
preme court would seem to answer tina
question in the affirmative.
"The third objection, that the worst of
tenders will not accept federal incorpora
ton, is easily answered. The DEGREES o
injunction recently adopted in prosecu
tons under the antitrust law are 81
thorough and sweeping that the corpora
tions affected by them nave but thre
courses before them:
First, they must resolve themselve
into their component parts in the differ
ent states, with a consequent loss t
themselves OF capital and effectlVe riga
ization and to the country Of concGi
trated energy and enterprise; or second
in defiance of the law and under som
secret trust they must attempt to con
tinue their business in violation Of tn
federal statute, and thus incur the per
alties of contempt and bring on an in
evitable criminal prosecution of the ind.
viduals named In the decree and their as
sociates; or
Third, they must reorganize and &C
cept in good faith the federal charter
suggest a federal compulsory license Law
urged as a substitute for a federal incol
) p%oration law, is unnecessary except t
3 reach that kind of corporation which, b
{ virtue of the considerations already az
. vanced, will. take advantage voluntaril
l Of an Incorporation law, while the otht
. state corporations doing an interstat
:, business do not need the supervision {
$ the regulation of federal license an
would only be unnecessarily burdene
thereby"