Los Angeles herald., 1910-02-08

BILL DERELICT
ADMINISTRATION WILL NOT
FATHER 1T
TAFT SPONSOR, BUT DECLINES
TO BURDEN PARTY
President Says, However, Proposed
Law Contains Several "Con-
mendabIe" Features; Won't
Urge the Lawmakers
IAssociated Pressl


WASHINGTON, Feb. Tho fedora
Incorporation bill introduced in con-
gress today is not to be pressed foi
passage at-this session.
If the bill should pass, President Taft
has stated his willingness to stand as
its sponsor but the president told sew
eral callers today that he would not
make the incorporation bill an ad-
ministration measure. He declared he
felt he had no right to do so, and that
it did not rank with the proposed
amendments to the interstate COM
merce law, the postal savings bank
and the measure designed for the con-
servation' of natural resources.
These latter We're promised in the
platform on which the president was
elected, and he feels that the party
is responsible for their passage at this
session of congress.
President Taft believes there are
many things in the incorporation bill
that will commend themselves to the
legislators. He will not attempt TO in
fuence senators or representatives in
its favor, however.
The bill now goes to the judiciary
committee of congress for considera-
ton.
Wall street interests. inclined at first
to look upon the idea of federal
charter with the utmost favor, were
rather rudely awakened when it was
learned that the president would in
sist that in any bill passed on this
subject there should be included the
provision that nothing in the act
should be construed as eXempting cor
porations from the operation of the
antitrust act.
A great many corporations, it is said,
We're looking forward to a federal char
ter as an Indication that past sins
would be forgiven, provided there were
no more transgressions in the future.
Had Talk with Taft
Frank D. Vanderlip and George w.
Perkins of New York. who saw the
president last week, told him that the
corporate interests were anything but
pleased with the character of the pro-
posed measure, and that few If any
corporations would take advantage OF
the act.
The president, it is understood, re-
torted that the act was q voluntary one
and thta the corporations that did not
care to come under federal control need
not do so. He thought in time, how
ever, once the provisions of the act
were complied with, they would appeal
to corporations and that they would
come to see the many advantages that
the act contains.
AS to eXempting companies with red
eral charters from the operations OF
the antitrust law, the president SAID
that was impossible.
The constitutionality of the proposed
act is a serious question, however, as
it Would deprive the states of jurisdic-
ton over corporations holding federal
charters.
Already Attorney General Wicker
sham is being piled with inquiries re-
garding various features of the bill.
He has explained that the organiza-
tions whose operations are covered/by
it are amenable to national authority,
for the reason that they thus have but
one MASTER against forty-six they
might have did the repeal of their
charters or punishment for offenses
rest with the states.
There are a number of reasons ad-
vanced why more satisfaction may be
secured by giving the federal courts
jurisdiction. Litigation in the federal
courts is more economical and more
rapid, and a federal jury is less liable
to prejudice.
One of the main objections to the bill
is the denial of the right of state juris-
diction over the corporations, but the
officials believe that after the law has
had a working chance it may be posi-
BILE to modify its provisions to make
them less Objectionable from the state
point of view.