New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-10-27

entered.
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in the iron and steel trade OF the South,
eliminated a competitor and unlawfully
acquired a power which is n menace to
the welfare Of the country, and should
be destroyed"
Combinations other than written pools
and agreements, the government
charges. were entered into by the mem
bers of the corporation at various meet
ings. One in New York City on January
II, 1911, Is specified. The governments
petition says:
Under the auspices OF the corpora
ton these interests, naturally competi-
tive. but harmonized by this network Of
correlations and overshadowed and dom
mated by the power of the corporation
arising from its pre-eminence in the
business and the irresistible strength Of
its alliances, come together from time to
time, find out the views OF the corpora
ton in respect Of prices and output.
and all hitherto affected by pools and
formal agreements reach a common UNI
Outstanding and purpose and proceed to
carry them out.
Great and Dangerous Power"
1T is not here alleged that merely as
sembling and mutually exchanging In
formation and declaration of purpose
amounts to an agreement or combination
In restraint Of trade. These meetings
and their results have gone further.
What they actually accomplished shows
the great and dangerous power achieved
by the corporation through unlawful
combination exercised over the trade and
| commerce of. the country. The concerted
action taken has prevented fluctuations
in prices and competition.
AT the meetings have been repre-
scented, Of the iron and steel trade in
| the United States, fully 90 per cent Of
the total. In no line Of business In the
world at any time has there been such
a large percentage of those engaged in
business as the percentage of those in
this country who at these meetings go
along day by day, hand in hand pursu-
ing the same course.
AT the time Of one of these meetings,
there was not in this country a demand
| for more than 80 per cent Of the total
| producing capacity in the lines OF those
there represented. and there was not
enough business TO go around and there
was no possible way Of protecting them
selves from competition except by COM
ing To an understanding that each would
be satisfied with a proportion of the
business, which was understood by all,
and this understanding was carried out,
and no one of them competed for the
recognized business Of the others.
THE main purpose of the meeting Of
January II, 1911, was the question of
maintaining or changing the prices Of
the commodities in which they dealt A
majority came TO a consensus which
was accepted and followed by all
AT these meetings they not only ex-
changed information, but advocated con-
troll of prices, and reached a common
understanding, which was followed
under solemn admonition. that they
were bound by an obligation more es-
timable than life.
These meetings brought about the
maintenance OF prices. 1t was under
stood by them that they were travelling
| together and that they were going to
stand together.
This meeting OF January II, 1911, was
attended by about eighty representatives
Of iron and steel concerns being large
ma jority in number and output Of such
concerns in the United States. They I'M
derstood that the purpose was to con-
slider the prices Of iron and steel. that
| the consensus Of opinion was that the
prices should not be lowered but that
they should be maintained, and that, by
virtue Of what occurred, they were In
honor bound 60 each other to maintain
them. In fact, they, in pursuance or
this action, did maintain them"
Attached to the BILL among many other
exhibits OF alleged agreements. is a
| statement showing the extent TO which
the Steel Corporation is represented in
the directorates OF other concerns. 1t
shows George +. Baker az director in
hfty-six others; Edmund G. Converse in
twenty eight, William r.. Corey in thir-
ty-two and j. Pierpont Morgan in fifty
one. OF this the government petition
says:
Under the policy OF the corporation
there grew up community of interest
and a power to influence action to a
common purpose, never exceeded I'm the
commercial history of the world. There
came into existence a system of inter
lacing Of directorates which embraced
almost the entire commercial and sfinan-
cial powers OF the country.
In addition 10 the defendant companies
already named the following are parties
TO the suit:
Union Steel Company, Clarion Steel
Company, West Missabe Land Company,
Limited; Wright Land Company. Limit
ed; Davis Land Company, Limited;
Wells Land Company. Limited; Stone
Land Company Limited; WabigOn Iron
Company, Minosin Iron Company, Nibi-
wa Iron Company, Wenona Iron Com
pany, Minawa Iron Company, Leonard
Iron Mining Company, Arthur Iron Min
ing Company, Fillmore Iron Mining Com
pany, Harrison Iron Mining Company,
Jackson Iron Mining Company, Polk Iron
Mining Company. Tyler Iron Mining
Company Van Buren, Iron Mining Com
pany.
STANLEY EXPECTED SUIT
Came Earlier than Steel Trust