Daily press. [volume] (Newport News, Va.) 1896-current, 1910-01-08

INDUSTRIAL ABUSES LuutI ituCidl PiV-
lection. II should be said that the
measure contemplated does not re-
peal the Sherman antitrust law and
is not to be framed so as TO permit
the doing of the wrongs which II IS
the purpose OF that law to prevent,
but only to foster q continuance and
advance of the highest industrial ef-
ficiency without permitting industrial
abuses.
Objections.
Such a national Incorporation law
will be opposed. first, by those who
believe that trusts should be COM
pletely broken up and their property
destroyed. 1t will be opposed, second,
by those who doubt the constitution
atty of such federal incorporation.
and even if it is valid object 10 L rs
too great federal Capitalization. 1t
will be opposed. third. by those who
will insist that a mere voluntary in
corporation like this will not attract
to its acceptance the worst of the Of
tenders against the antitrust statute
and who VII therefore propose IN
stead OF il q system of compulsory
licenses for all federal corporations
engaged in interstate business.
Let us consider these objections IN
their order. The government is now
trying 10 Dissolve some of these com
binations, and it is not the intention
of the government to desiSt in the
least degree in ints effort 10 end those
combinations (which are today mo-
nopolizing the CONNIE rec of this coun-
try: that where it appears that the
acquisition and concentration OF prop
erty go TO the extent of creating
monopoly or of substantially and d.
rectly restraining interstate commerce,
Il Is not the intention of the govern
| ment to permit this monopoly TO eX-
list under federal incorporation or to
transfer TO the protecting wing of the
| federal government a state corpora
| ton now violating the Sherman Act.
| But it is not, and should not he. the
policy of the government to prevent
reasonable concentration of capital
| which is necessary to the economic
| development of manufacture, trade,
and commerce.
Second There are those who doubt
| the constitutionality of such federal
Incorporation. The regulation of inter
terstate and foreign commerce is GER
| tainly conferred in the fullest measure
| upon congress. and if for the purpose
| of securing in the most thorough man.
1 ind e c
shall insist that it may provide and
authorize certain agencies TO carry
| on that commerce. it would seem TO
| be within it's power.
| Even those who are willing TO con-
cede that the Supreme Court may sls-
tain such federal incorporation are In
clined to oppose it on the ground OF
| its tendency to the enlargement of
the federal power at the expense of
the power of the states. 1t is suffi-
| cient answer to this argument to say
| that no other method can be suggest
ed which offers federal protection on
the one hand and close federal super
vision on the other of these great or
\ carnations that are in fact federal
J because they are as wide as the coun-
| try and are entirely unlimited in
| their business by state lines. Nor Is
| the Capitalization of federal power
under this act likely TO be excessive.
Only the largest corporations would
| avail themselves of such a law. be-
cause the burden of complete federal
supervision and control that must
| certainly be imposed TO accomplish
| the purpose of the Incorporation
would not be accepted by an ordinary
| business concern.
Only Three Courses.
The thi,d objection. that the worst
offenders will not accept federal In
corporation. is easily answered The
DEGREES of Injunction recently adopted
! in PROSECUTIONS under the antitrust
law are so thorough and sweeping
that the corporations affected by
them have but three courses before
them:
First. they INST resolve themselves
into the component parts in the diff
| ferent states, with a consequent loss
to themselves of capital and effective
organization and to the country OF
concs ntrated energy and enterprise;
or
Second. in defiance of law and IN
der some secret trust they must at
tempt to continue their business IN
violation of the federal statute. and
| tins incur the penalties of contempt
and hri,O on a, inevitable criminal
; r. osecution Of the individuals named
in the decree and their associates; or.
Third. they must reOrganize and ac-
cept in good faith the federal charter
7 suggest
The attorney general. a, my sug-
gestion. has drafted a federal incor-
porat.cn bill. embodyiDg the views