New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-12-06

supply the constructive legislation per
, hitting and aiding the formation "
/ com binatious of capitaI into federal cor
porations. They should be subject 10
rigid rules as to their Organization ana
procedure. including effective ipubhcltN'
land To the closest supervision as TO tne
issue of stock and bonds by an execu-
| tive bureau or commission i'm the re
partment OF Commerce and LABOR
which in times of doubt they mlght wen
submit their proposed plans Tor lut"'c
| business II must be distinctly unueI
stood that incorporation under a leuetdl
| law could not exempt tho company i'u'
| formed and it's inCorporators and man
ayers from prosecution under the anti
| trust law for subsequent Illegal conduc',
| but the publicity of its procedure anu
/ the opportunity for frequent consul'a
| tiGn with the bureau or COMMISSION III
charge ~ the incorporation as 10 the
I legitimate purpose of its TRANSACTIONS
would offer It as great security against
successful prosecutions for violations OF
! the law as would be practical or wise,
Such a bureau or commission might
we'll he invested also with the duty al
ready referred 10. of aiding courts in the
| dissolution and recreation Of trusts WIFI
| In the law II should he an executive
tribunal Of the dignity and power or tne
! Controller Of the Currency or the inter
! state Commerce Commission. which now
exercise supervisory power over lnpor
tant classes of corporations under feo-
eral regulation.
The drafting Of such federal incor-
poration law would offer ample opportu-
nifty to prevent many manifest evils IN
corporate management to-day, including
irresponsibiIity OF control in the hands
oc the few who are not the real owners
incorporation Voluntary.
L recommend that the federal charters
thus to be granted shall be voluntary,
at least until experience iustifles manda-
tory provisions The beneht 10 be de
rived from the operation OF great busi-
nesses under the protection OF sucn
charter would attract all who are anx-
ious 10 keep within the lines Of the law
Other large combinations that fall 70
take advantage of the federal incor-
poration will not have a right 10 COM
plain If their failure IL ascrbed to I'M
Willingness to submit their transactions
10 the careful official scrutiny, compe-
tent supervision and publicity attendant
upon the employment of such charter
Only Supplemental Legislation.
The opportunity thus suggested for
federal Incorporation, il seems TO me, is
suitable constructive legislation needed
TO facilitate the sausrine OF great indus.
trial enterprises TO tho rule Of action laid
down by the antitrust law. This statute
as construed by the Supreme Court must
continue TO be the line Of distinction for
legitimate business. II must be enforced
unless we are 10 Danish individualisn1
from all business and reduce il 10 ono
common system, OF regulation or control
Of prices like that which now prevails
with respect to public utilities. and
which when applied TO all business would
he long step toward state socialism.
Importance Of Anti Trust Act.
The antitrust act Is the expression OF
the effort IF freedom loving people to
preserve equality OF opportunity. II Is
the result Of the confident determination
Of such a people 10 maintain their tut
ure growth by preserving uncontrolled
and unrestricted the enterprise of the
individual, his industry. his ingenuity.
his intelligence and his independent
courage.
For twenty years or more this statute
has been upon the statute book. All
knew its general purpose and approved
Many Of it's violators were cynical over
its assumed impotence. II seemed i'm
possible of enforcement. Slowly the
mills Of the courts ground, and only
gradually did the majesty Of the law as
sert itself. Many of its statesmen au-
thors died before II became a living
force and they and others saw the evil
grow which they had hoped TO destroy.
Now it's efficacy is seen; now its power
is heavy; now It's object Is near achieve
mont. Now we hear the call for its re-
peal on the plea that It interferes with
business prosperity. and We are advised
in most general terms how by some other
statute and in some other way the evil
we are Just stamping ont can be cured.
ii we only abandon this work Of twenty
years and try another experiment for
another term of years.
II is said that the act has not done
good. Can this he said in the face of
the effect Of the Northern Securities de-
cree? That decree was in no war so
drastic or inhihitive IN detail as either
the Standard oil decree or the Tobacco
decree: but did 1t not stop for ali time
the then powerful movement toward the