The Cairo bulletin., 1911-12-06

then they cannot be convicted ut the
time the union Is made, nor can they
be convicted later unless Il happen
that later on they conclude to sup.
press competition and take the usual
methods for doing so and thus estab-
fish for themselves n monopoly. They
can in such a case hardly complain II
the motive which subsequently IS Cts.
closed is attributed by the court TO the
original combination
New Remedies Suggested.
Much Is said Of the repeat of this
stntnte and Of constructive legislation
Intended TO accomplish Tie purpose
and blaze Il clear patti for honest tner.
chants aud business men 10 follow n,
nlay he TINT sacll II plan win ha
evolved. but submit that the distg.s.
SionS which have been brought ont In
recent Gays by the fear of the coi.
tinued execution OF the antitrust law
have produced nothing but gltterin.
@eneralities and have offered no line
Of distinction or rule OF action as dpti.
mite and as clear as that which the sli.
prone court itself lays down In en-.
forcing the statute.
Supplemental Legislation Needed. Not
Repsal or Amendment.
see no objection. and indeed I can
see decided advantages. In the enact.
ment Of a law which shall describe
and denounce methods Of competition
which are unfair and are badges of the
unlawful purpose denounced in the
antitrust law. The attempt and pur-
pose to suppress competitor by IN.
derselling him at price so unprofita-
Bile as to drive him out OF business or
the making Of exclusive contracts with,
customers under which they are re-
quired to give up association with 9TH
er manufacturers and numerous kin
bred methods for sitting competition
and effecting monopoly should be de-
scribed with sufficient accuracy In a
criminal statute on the one hand to-
enable the government TO shorten Its
task by prosecuting single misdemean-
ors instead Of an entire conspiracy and
on the other hand to serve the purpose
of pointing out more In detail to
the business community what must be
avoided. ISIS
Federal Incorporation Recommended. ,
In special message to congress on
Jan. 7. 1910. I ventured to point out
the disturbance to business that would
probably attend the dissolution of these
offending trusts said.
''But such an investigation and pos
sible prosecution of corporations whose
or destruction affects the
comfort not only of stockholders, but
Of millions of wage earners. employees
and associated tradesmen. must neces-
sarily tend to disturb the confidence
Of the business community, to dry up
the now flowing sources of capital
from Its places Of boarding and pro-
duce halt In our present prosperity
that will cause suffering and strained
among the innocent
many for the faults of, the guilty few.
The question which I wish in this
message to bring clearly to the con-
sideradon and discussion of congress
is whether. in order TO avoid such
possible business d%6ser, something
cannot be done by which these bust
ness combinations may be offered a
means. without great financial dis
turbance, Of changing the character.
and extent Of their bust.
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-
tons 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 federnl
charter to such 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. 1t is possible so to frame a stat
ute that, while 1t offers protection to
federal company against harmful, vex.
atious and unnecessary invasion by the
states, it shall subject 1t to reasona
BILE taxation and control by the states
with respect to It's purely local bust.
ness. 49,
Corporations organized under this
act should be prohibited from acquir
ing and holding stock IN other corpo-
ratlons 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 nm effective agency in the crea \
ton of the great trusts and monopo-
lies.
IF the prohibition of the antitrust
act against combinations in restraint
Of trade Is to be effectively enforced
1t is essential that the national govern
ment shall provide for the creation OF
national corporations to carry on le-
gitimate business throughout the Unit.
ed States. The conflicting laws Of the
different states Of the Union with re-
spect to foreign corporations make 1t
difficult, IL not impossible, for one cor
poration to comply with their require