The Lynden tribune. [volume] (Lynden, Wash.) 1908-current, 1911-12-14

|
! the business community Wha' u Wv ~
| avoided.
e.d..,, incarceration Recommended.
In a special message to congress on
Jan. Z, 1910, I ventured TO p0in' wi
the disturbance to business that woulo
probably attend the dissolution u 'Ae'e
offending trusts. I said:
"But such an Investigation 'ns po''
sible prosecution of corporations "nose
prosperity or destruction aHee.' ' ie
comfort not only Of stockholdeis' ou'
of millions of wage earners, elnpioyeeS
and associated tradesmen. must neces-
sarily tend to disturb the confluence
Of the business community 10 ory up
the now flowing sources OF capital
from its places Of boarding anu pro
duce a halt in our present PROSPERITY
that will cause suffering and strained
circumstances among the innocent
many for the faults Of the guilty Iew.
The question which ! wish IN this
message to bring clearly to tue con-
sideration and discussion OF congress-
f. whether. in order to avoid SUCH a
possible business danger. sohiethius
cannot be done by which these Dusi-
ness combinations may be onereo
means. without great financial us
turbance, of changing the character
organization and extent of their Dusl-
ness into one within the lines OF the
law under federal control and super
vision, securing compliance with the
antitrust statute.
Generally in the industrial combina-
lions called trusts the principal bust
ness is the sale of goods in many states
and in foreign markets-in other words,
the interstate and foreign business far
exceeds the business done in any one
state. This fact will Justify the fed
eral government in granting federal
charter to such a combination to make
and sell in interstate and foreign COM
merce the products Of useful manufac-
ture under such limitations as will Sc
cure compliance with the antitrust
law. It is possible so to frame stat
ute that, while 1t offers protection to
federal company against harmful, veX-
atious and unnecessary invasion by the
states. it shall subject it to reasona-
BILE taxation and control by the states
with respect to its purely local bust
ness.
Corporations organized under this
act should be prohibited from acquir-
ing and holding stock in other corpo-
rations Except for special reasons,
upon approval by the proper federal
authority, thus avoiding the creation
under national auspices of the holding
company with subordinate corporations
in different states. which has been
such an effective agency in the crea-
ton of the great trusts and monopo-
lies.
eff the prohibition Of the antitrust
act against combinations Sn restraint
of trade is to be effectively, enforced
1t is essential that the natidha Astern-
ment shall provide for thejcreatlb, Of
national corporations to carry on ale
Ultimate business throughout the Unit
ed States. The conflicting laws Of the
different states Of the Union with re-
spect to foreign corporations make it
difficult, If not impossible, for one cor
poration to comply with their require
ments SO as to carry on business In Q
number of different states"
l renew the recommendation Of the
enactment of general law providing
for the voluntary formation of cor
porations to engage in trade and com
merce among the states and with for
eign nations. Every argument which
was then advanced for such law ant
every explanation which was at thai
time offered to possible objections has
been confirmed by our experience since
the enforcement Of the antitrust stat
ute has resulted in the actual dissolu
ton Of active commercial organiza
tiOns.
It is even more manifest now thar
it was then that the denunciation o.
cOnSpiracies in restraint Of trad'
should not and does not mean the de
NAL Of organizations large enough Il
be intrusted with our interstate anC
foreign trade. 1t has been made more
clear now than it was then that
purely negative statute like the anti
trust law may well be supplemented
by specific provisions for the building
up and regulation of Legitimate ma
tiOnal and foreign commerce.
Government Administrative Expert'
Needed to Aid Courts In Trust
OissoIutions.
The drafting Of the DEGREES in the
dissolution of the present trusts. Win
a view to their reorganization into le
Ultimate corporations, has made it es
pecially apparent that the courts are
not provided with the Administrative
machinery to make the necessary in
quiries preparatory to reorganization
or to pursue such inquiries, and they
should be empowered to invoke the
aid Of the bureau Of corporations ID
determining the suitable reOrganlza'
ton of the disintegrated parts. The
circuit court and the attorney general
We're greatly aided In framing the de-
cree In the tobacco trust dissolution by
an expert from the bureau Of corpora
lions.
DaA-