Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1910-01-08

to the zone of laWfulnesS without los
! ing TO the country the economy Of
management by which in our domestic
| trade the cost of production has been
| materially lessened and in competition
with foreign manufacturers our foreign
trade has been greatly increased.
| Through all our consideration OF this
| grave question, however, We must In
sist that the suppression of compet-
ton. the controlling of prices, and the
monopoly or attempt to monopollZe IN
| inter state commerce and business,
are not only unlawful. but contrary to
the public good, and that they must
be restrained and punished until ended.
! ] therefore recommend the enact
ment by congress Of a general law pro
viding for the formation Of corpora
| tons to engage in trade and commerce
| among the states and with foreign
| nations, protecting them from undue
interference by the states and reguiat-
| ing their activities. so as to prevent
| the recurrence, under national au-
| spices, of those abuses, which nave
| arisen until the state control SucI
| a law should provide for the issue OF
stock of such corporations to an
| amount equal only to the cash pad IN
on the stock; and if the stock be Is
sued for property, then at fair Valu-
alton, aScertained under arproNaI and
supervision of federal authority, after
| a full and complete disclosure of all
| the facts pertaining to the value OF
such property and the interest thereon
| of the persons to whom it is proposed
to issue stock in payment Of Sucl
property. 1t should subject the real
and personal property only of Such
corporations to the same taxation as
| is imposed by the states within which
it may be situated upon other similar
! property located therein, ana it should
require such corporations to file full
and complete reports of their opera
lions with the department of commerce
and labor at regular intervals. Cor
| porations organized under this act
should be prohibited from acquiring
and holding stock in other corporations
| Except for special reasons upon APP
| prevail by the proper federal autnorltH)
| thus avoiding the creation, under Nd
| tional auspices, of the holding capital
with subordinate corporations IN dl1-
ferent states, which has been such an
effective agency in the creation OF the
great trusts and mOnonolies.
If the prohibition of the antitrust act
against combinations in restraint of trade
is to he effectively enforced, it is essential
that the national government SHAH pro-
vide for the creation of national corpora
tons to carry on a legitimate business
throughout the United States. The con-
hicting laws of the different states OF the
union with respect to foreign corpora
tons, make it difficult. if not impossible,
| for one corporation to comply with their
requirements so as TO carry on business
| in a number of different states.
To the suggestion that this proposal of
| federal incorporation for industrial COM
| binatons is intended to furnish them a
refuge in which to continue Industrial
| abuses under federal protection, it should
| be said that the measure contemplated
| does not repeal the Sherman antitrust
| law and is not to be framed so as to per-
nit the doing OF the wrongs which it is
| the purpose of that law to prevent, but
only to foster a continuance and advance
of the highest industrial efficiency with
out permitting industrial abuses.
Such national Incorporation law Will
be opposed. first, by those who believe
that trusts should be completely broken
up and their property destroyed; it will
be opposed second, by those who doubt
the constitutionality of such federal in
corporation and even if it is valid, object
to it as too great federal Capitalization.
It will he opposed, third. by those who VIII
insist that mere voluntary incorpora-
ton like this will not attract to its ac-
ceptance the worst of the Offenders
against the antitrust statute and who
will therefore propose instead of it syS-
TEN of compulsory licenses for all fed
eral corporations engaged in interstate
business.
Let us consider these objections in their
order. The government is now trying to
dissolve some of these combinations, and
it is not the intention of the government
to desist in the least degree in its efforts
to end these combinations, which are to-
| day monopoliZng the commerce of this
country; that where it appears that the
| acquisition and concentration of prop
| erty go to the extent Of creating mono
| ply or of substantially and directly re-
straining interstate commerce, it is not
| the intention of the government to per-
| NIT this monopoly to exist under federal
| corporation or to transfer to the protect
| ing wings of the federal government
state corporation now violating the Sher-
| man act. But it is not and should not
| be. the policy of the government to pre-
| vent reasonable concentration of capital
| which is necessary to the economic de-
velopment Of manufacture. trade, and
| commerce. This country has shown
power of economical production that has
| astonished the world and has enabled us
to compete with foreign manufacturers in
| many markets. 1t should be the care of
| the governmnt to permit such concentra-
| ton of capital while keeping open the
| avenues of Individual enterprise, and the
| opportunity for a man or corporation
| with reasonable capital to engage in bust
| ness If we would maintain in our pres
| ent business supremacy we should give
| to industrial concerns an opportunity to
| reorganiZe and to concentrate their legi-
| innate capital in q federal corporation,
| and to carry on their large business with
in the Inns of the law.