Omaha daily bee., 1911-06-03
ovERNMENT MUST TAKE CHARGE
Chief Executive Officer of Steel Trust
Still on Stand.
STEEL WOULD WELCOME CHANGE
Would Be Glad if Government Would
Dictate Prices.
INTERNATIONAL STEEL COMBINE
Supervision of BiE Corporations, He
Thinks, should Extend TO the
Fixing of Prices by RespOn-
sibIe Federal Authority.

WASHINGTON. June albert H Gary,
chief executive officer Of the United States
Steel corporation resuming his testimony
before the house steel trust" investigating
committee today d,no-e.r1 the sherman
antitrust law as archei- and declared that
governmental control c- e,- porations event
ually would come.
Mr.. Gary asserted that the steel corpora
ton would welcome such Caange and would
be glad II the government would go so far
as 70 dictate the prices Of steel products.
In explanation Of the reported world wide
trust Mr.. Gary said that conference
would be held in Brussels July and 6,
next 10 organize an International steel iu-
stitute similar TO the American Iron and
Steel institute The latter, he asserted. was
formed to prevent Generalization in trade
and 10 permit an exchange Of ideas for the
betterment Of the steel industry.
In no instance, Mr.. Gary said. had there
been any attempt at an unlawful combina-
tion or an expressed or implied agreement
Mr.. Gary said he would do all he could,
morally and legally 10 further the proposed
international institute.
Increased prices are TO be charged for steel
rails in the near future. according to Mr.
Gary. Higher cost Of labor and raw ma
terial together with a demand for heavier
rails was given as the reason for the pro-
posed advance.
Mr. Gary yesterday was about TO ex-
plain all that l hope to do and just what
plans are when the committee chairman.
Just before adjournment interrupted him
with his statement relating to the reports
Of a projected international trust and OF
the charge that Mr. Garys ''able and eff
ficient management" was responsible there
for, Mr.. Gary briefly denied it and averred
that he would answer the allegations more
fully today.
For Enforced Publicity.
Soon after the committee met today Mr.
Gary declared that enforced publicity and
government control OF corporations must
come even as to prices. He said he be-
lieved the Sherman antitrust law was too
archaic TO deal with modern situations and
never could fully prevent great eombina-
tiOns Of capital. When the United States
Steel corporation wanted, he said, was
some responsible and official department
Of government to whom it could go and
say what prices can Te charge and just
what can we do?''
Personally, believe the Sherman act"
said Mr.. Gary. does not now and never
will fully prevent the organizing Of great
combinations Of capital believe We must
come TO enforced publicity and govern
mental control Of corporations.
DO you mean government control even
as to prices?" Mr.. Stanley asked
Yes, even az to prices. So far as am
/ concerned, speaking for the United States
/ Steel corporation, l would be very glad II
We could know exactly where we stand
and could be free from the dangers and
/ criticism Of the public l wish we could
/ go to some responsible governmental source
and says, Here are our facts, here is our
business, here is our property and our
cost OF production, and could be told just
what prices We could charge and just what
We could do"
| Mr.. Gary said the real problem was not
the making Of big profits but it was rather
the establishment Of a definite understand
ing Of the legal situation.
| do / understand that you believe in
strict governmental supervision OF cor
porations7" asked Representative LAttleton
OF New York.
sherman Law Is Archaic.
| Yes. I do" said Mr.. Gary. Il know
that is radical position, but something
must be done"
is it your conviction" Mr.. LittIeton In
quired that the Sherman antitrust law
is archaic and unable to deal with the
modern situation"
| Yes
! DO not the interpretations OF that law
I practically order a continuance OF the old
competitive system as opposed TO co-opera-
tive modern methodist"
| 4 am afraid they do" Mr.. Gary replied.
We don't want q condition Of uncertainty
In which we don't know just what We
have a right 10 do"
! Representative Young Of Michigan asked
Mr.. Gary II he thought the national gov
! ernment had right TO fix prices OF COM
modities IN interstate commerce.
| Ny opinion" said Mr.. Gary. 'is that
30 far as IL relates to interstate commerce
the federal government has that right"
| Mr.. Gary asked II the United States
Steel corporation was in a position 10 fix
prices said that cooperative business
methods had made it possible for big cor
porations to influence prices.
we cannot dominate them" he said. It
is not the big corporation that changes
prices so much as the small corporations
that cut prices and force the big ones to
come down"
Plan for Worlds Institute
! Taking up the subject Of the reported in
| ternatlonal trust" and the Gary dinners,