Bisbee daily review., 1911-12-06

been such an effective agency in tho creation of the great trusts and mo nopolies.
 If the prohibition of the antitrust act against combinations in restraint of trade is to be effectively enforced. it is essential that the national gov ernment shall provide for the crea- ton of national corporations to carry on a legitimate business throughout the United States. The conflicting laws of the different states Of the Union with respect to foreign cor. porations make it difficult, if not i'm possible. for one corporation to com ply with their requirements SO as to carry on business in a number of dif. ferent states
 I renew the recommendation of the enactment of a general jaw providing for the voluntary formation of cor porations to engage in trade and com meroe among the states and with for eign nations. Every argument which was then advanced for such law, and every explanation which was at that time offered to possible objec- tions, have been confirmed by our experience since the enforcement of the antitrust statute has resulted in the actual dissolution of active com mercial organizations.
 I, is even more manifest now than it was then that the denunciation oi conspiracies in restraint of trade should not and does not mean the de nial of organizations large enough to be intrusted with our interstate and foreign trade. IL has been made more clear now than it was then that a purely negative statute like the anti trust law may well be supplemented by specific provisions for the build ing up and regulation of legitimate national and foreign commerce.
 Government Administrative Experts
 Needed to Aid Courts in Trust
 Dissolution.
 The drafting of the decrees in the dissolution 1f the presen: trusts, with view ta their reorganization into lceitimatc cornOra'ions. has made II especially apparent that the courts are not provided with the admins trative machinery 10 make the nee essary inquiries preparatory to re 
 uuiries, and they should be empo" cred to invoke Ihe aid of the bureat Of corporatiOns Tn determining tho suitable reorganization of the disin tegrated parts. The circuit court ant the attorney general were greauJ aided in framing the decree in tht ] tobacco trust dissolution by an exper ] from the bureau of corporations. | Federal Corporation Commission Pro
 posed.
 | I do not set forth in detail thi { terms and sections Of a statute whici might supply he constructive legis
 latiop permitting and aiding the for nation of combinations of capital ir ! to federal corporations. They shoui' 1 be subject to rigid rules as to then organization and procedure, includin' 1 effective publicity, and 70 the closes l supervision as 10 the issue of stoci 1 and bonds by an executive bureau O | commission in the department of con merce and labor, to which in times Q doubt they might well submit thsl l proposed plans for future business. must be distinctly understood that il l corporation under a federal law coui
 not exempt the company thus forme'
 and its incorporafors and manager from prosecution under the anti-trus
 law for subsequent Illegal conduct
 hut the publicity of it's procedure an .he opportunity for frequent consul
 tation with the bureau or cOmmissic in charge of the incorporation as |
 the legitimate purpose of it's tran.
 actions would offer it as great secur ty against successful prosecution
 for violations of the law as would b
 practical or wise.
 Such a bureau or commission migh
 well be invested also with the dut already referred to, of aiding courts il the dissolution and recreation Q trusts within tie law. It should b an executive tribunal Of the dignit and power of the comptroller of tn currency or the interstate eommerc commission, which now exercise sT , pervisory power over importan classes Of corporations under federa |, regulation.
 The drafting of such a federal il , corporation law would offer ample Ol . Uortunity to prevent many manifes , evils in corporate management todsl
 including Responsibility of control i ,. the hands of the few who are not th f real owners.
 , incorporation VoIuntary. ? recommend that the federal cha P ters thus to be granted shall be 70 } untary, at least until experience ju tiiies mandatory provisions. The bel - eft to be derived from the operatio ] of great businesses under the prote 7 ton of such q charter would attraS 3 all who are anxious to keep withi :. the lines of the law. Other lars s combinations that fail to take advsn l age of the federal incorporation vi n not haze a right to complaint if the a failure is ascrihed to mgiilingness l. submit their transactions to the car @ fui official scrutiny. comDetent supe r vision and publicity attendant upo r. the enjoyment of such a charter. S Only Supplemental Legislation t Neeoed.
 T The opportunity thus suggested fC 5, federal incorporation. it seems to n e is suitable constructive legislatio e needed to facilitate the sduaring $ great industrial enterprises to tl rule of action laid down by the ant
 trust law. This statute as construe c frr Qtrr,ror,ar o-sr.-4 ,,,,,~k oo,4fv,r