The Tupelo journal., 1911-12-08

&oQ t00 1SkOEuey B0ueI&1 were BTe6t
" aided in framing the decree in the
tobacco trust dissolution by an ex-
pert from the bureau OF corporations.
Federal Corporation Commission Pro
posed.
do not set forth In detail the terms
and sections OF a statute which might
supply the constructive legislation per-
hitting and aiding the formation Of
combinations of capital into federal
corporations. They should be subject
to rigid rules as to their organization
and procedure, including effective pub
licity, and to the closest supervision as
to the issue of stock and bonds by an
executive bureau or commission in the
department of commerce and labor. to
which In times of doubt they might
well submit their proposed plans for
future business. 1t must be distinctly
understood that incorporation under a
federal law could not exempt the COM
pany thus formed and its inc%orporators
n managers from prosecution under
the antitrust law for subsequent lille
gal conduct, but the publicity Of it's
procedure and the opportunity for fire.
quent consultation with the bureau or
commission in charge Of the incorpora-
tion as to the legitimate purpose Of its
transactions would offer It as great BE-
curity against successful prosecutions
for violations of the law as would be-
practical or wise.
SnCh q hVYroQU nV cnpnppfcof0r MIGHT
well be invested also with the duty al
ready referred to. Of aiding courts In
the dissolution and recreation of trusts
within the law. 1t should be an execu-
tive tribunal Of the dignity and power
Of the comptroller of the currency or
the Interstate commerce commission,
which now exercise supervisory power
over important classes Of corporations
under federal regulation.
The drafting of such a federal incor-
poration law would offer ample oppor-
tunity to prevent many manifest evils
In corporate management today. in
GLIDING Responsibility Of control in
the hands OF the few who are not the
real owners
Incorporation Voluntary.
I recommend that the federal char
tiers thus to be granted shall be volun
tary, at least until experience justifiee
mandatory provisions. The benefit to
be derived from the operation OF great
businesses under the protection OF
such a charter would attract all who
are anxious to keep within the lines
of the law. Other large combinations
that fail to lake advantage OF the fed
eral Incorporation will not have a
right to complain II their failure L.
ascribed to unwillingness to submit
their transactions to the careful scru-
tiny, competent supervision and pub
licfty attendant upon the enjoyment
of such a charter.
Supplemental Legislation Needed.
The opportunity thus suggested for
federal Incorporation. 1t seems to me.
is suitable constructive legislation
needed to facilitate the squaring OF
great Industrial enterprises to he rule
of action laid down by the antitrust
law. This statute Is construed by
the Supreme court must continue to
be the line OF distinction for legfti-
mate business. 1t must be enforced,
unless we are to Danish ~individualism
from all business and reduce 1t to n
common system OF regulation or con-
troll of prices like that which now pre-
walls with respect to public utilities
and which when applied to all bust
ness would be a long step toward state
socialism.
importance OF the Antitrust Act.
The antitrust act Is the expression
Of the effort Of a freedom-loving peo-
ple to preserve equality OF opportun-
ity 1t is the result of the confident
determination of sush a people to
maintain their future growth by pre-
serving uncontrolled and Unrestricted
the enterprise of the individual, his
ingenuity. his intelligence and his in
dependent courage.
For twenty years or more this stat
ute has been upon the statute book
All knew of its general purpose and
approved. Many of its v~iolators were
cynical over its assumed impotence.
It seemed impossible of enforce
ment. Slowly the mills OF the courts
ground, and only gradually did the ma
iesty of the law assert itself. Many
of It's statesmen-authors died before 1t
became a living force. and they and
others saw the evil grow which they
had hoped to destroy. Now. Its eff
cacy is seen: o Its power is heavy:
now It's object Is near chievement
Now we heal the call for its repeal on
the plea that it interferes with bush
ness prosperity. and We are advised In
most general terms how, by some
other statute and in some other way.
the evil we are just stamping out can
be cured. If we only abandon this work
Of twenty years and try another ex-
periment for another term OF years.
It is said that the act has not done
rood. Can this be said In the face OF
the effect of the Northern Securities
decree?
That decree was In no way so dras-
tic or inhibitive In detail rs either the
c<.rAarA OIL decree or the tObAccO de-