New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-04-01

.r,-itr,,S+ law or relieving any person or
corpora ton from the full penalties OF that
Law Mr. Root discussed at some iehe'h
the decision of the Supreme court III '"e
Northern Securities case. ms case he
said expressly excludes from the purVieW
IF its decision the simple purchase OF STOCK
Of o connecting railroad. He declared that
.be critics of the bill had not correctly
t,,errreted the decision of the court The
r7,ere purchase of stock by railroad II
connecting line might or might not De pur-
suant TO a conspiracy in restraint or trade
ne said.
IRE language of the section would put
an effectual stop TO all stock Juggling pE
railroads in competing lines It's erect was
70 strengthen the Sherman act ana 10
make that act easy and certain or enforce
ment.
III IS ? step in advance, Mr. Root Con-
,in,,ed IT is an advance from theory to
practise. It is an advance from he"spaPe
denunciation to judgment In the courts 1t
e an advance to an effective remedy.
Mr. Rnot said that the only fault he found
with the section was that il was such
radical forward step in legislation that it
might be beyond the constitutional power
Of Congress 1t was a question whether
I
ton should not acquire stock in another
state corporation even though that acquire
neut was not in restraint OF trade. He be
Iieved however that the Northern Securi-
ties case was a stepping stone which
would enable the court to reach the con-
clusion that il is within the constitutional
r,cyyer of Congress 10 forbid the acquisition
by one railroad of stock in another COM
peting railroad, on the theory that the re-
lationship between the roads was Of such a
character as to come within the law pro-
hibiting restraint of trade
CoIIoquy with Bailey.
After Nj Root had declared that Sec
fion u is the greatest. boldest and most
radical step that has Yet been taken in
the regulation Of interstate commerce" he
had IN extended colloquy with Senator
Bailey. Mr. Bailey admitted that the sec
tion was a great forward step. but he felt
mat the limitations contained in it would
make lawful mergers which are now un-
lawful
Mr. Root again reviewed the Northern
Securities decision and declared that moth
ing prohibited by the Sherman act would
be permitted under the proposed section.
Ege said that each case would have TO be
determined according to it's own circum-
stances, and be had no doubt that in the
great majority of cases the acquisition of
stock i'm competing line would come
within the inhibition Of the antitrust act.
Mr. Bacon took issue with Mr.. Roots
assertion that the fixing of rates b. the
government would lead to government
ownership. He said that FOR thirty years
the railroad commission OF Georgia had
had such power
Mr. Root replied that there would be
found 10 be a vast difference between state
and government control. The chief func-
ZION of ownership was the fixing Of rates.
he said. and he argued that If the state
could fix rates IT could so control them
as TO reduce them 20 a point where it
might be necessary TO take absolute con-
tFoi.
Mr. Aldrich asked Mr.. Bacon whether he
was in favor Of giving the Interstate Com
n.erce Commission power To fix the rates
on all the railroads OF Georgia. Mr.. Bacon
replied that ne would not favor turning
over control ~ all the railroads 10 the COM
mission.
Tie Senate devoted some time to IN.