The Owosso times. (Owosso, Mich.) 1897-1926, 1911-12-08
apparent tnat the .

especially apparent that the 49,
are not provided with the administra
tive machinery to make the neces
sary inquiries preparatory to re
organization. or to pursue such In
quiries. and they should be empow
cred to invoke the aid of the burea,
of corporations in determining the
suitable reorganization of the disin
regrating parts. The circuit cour,
and the attorney general were great
ly aided In framing the decree in the
tobacco trust dissolution by an ex
pert from the bureau of corporations
Federal Corporation Commission Pro.
posed.
do not set forth in detail the terms
and sections of a statute which might
supply the constructive legislation per-
hitting and aiding the formation of
combinations of capital into federal
corporations. They should be subject
to rigid rules as to their organization
and procedure, including effective pub
licity, and to the closest supervision as
to the issue of stock and bonds by an
executive bureau or commission in the
department of commerce and labor, to
which In times of doubt they might
we'll submit their proposed plans for
future business. It must be distinctly
understood that incorporation under a
federal law could not exempt the COM
pany thus formed and its incorporators
and ma ma porc from prococ,ttOu ypAor
the antitrust law for subsequent ille-
gal conduct, but the publicity of It's
procedure and the opportunity for fire.
quent consultation with the bureau or
commission in charge of the incorpora-
ton as to the legitimate purpose Of it's
transactions would offer 1t as great Sc
curity against successful prosecutions
for violations of the law as would be
practical or WISE
Such a bureau or commission might
well be invested also with the duty al
ready referred to. Of aiding courts in
the dissolution and recreation Of trusts
within the law. It should be an execu-
tive tribunal Of the dignity and power
OF the comptroller Of the currency or
the interstate commerce commission.
which now exercise supervisory power
over important classes Of corporations
under federal regulation.
The drafting of such federal incor-
poration law would offer ample oppor-
tunity to prevent many manifest evils
In corporate management today, In
Guiding responsibility of control in
the hands of the few who are not the
real owners.
Incorporation Voluntary.
I recommend that the federal char
ters thus to be granted shall be volun-
tary. at least until experience justifies
provisions. The benefit to
be derived from the operation Of great
businesses under the protection OF
such a charter would attract all who
are anxious to keep within the lines
Of the law. Other large combinations
that fail to take advantage of the fed
eral incorporation will not have a
right to complain II their failure is
ascribed to unwillingness to submit
their transactions to the careful scru-
tiny, competent supervision and pub
Lefty attendant upon the enjoyment
Of such a charter.
Supplemental Legislation Needed.
The opportunity thus suggested for
federal Incorporation, It seems to me.
Is suitable constructive legislation
needed to facilitate the squaring of
great industrial enterprises to the rule
Of action laid down by the antitrust
aw. This statute Is construed by
he Supreme court must continue to
be the line OF distinction for legiti-
nate business. 1t must be enforced.
Unless we are to Danish individualism
rom all business and reduce It to one
common system Of regulation or con-
.rol OF prices like that which now pre-
rails with respect to public utilities.
Ind which when applied to all bust
less would be long step toward state
socialism.
Importance Of the Antitrust Act.
The antitrust act Is the expression |
# the effort of freedom-loving peo-
iiO W pa SSCi fV CQudiity VI OPPoituh
ty. 1t is the result of the confident
determination Of such people to
their future growth by pre-
erving uncontrolled and unrestricted
he enterprise of the individual, his
ingenuity, his intelligence and his in
dependent courage.
For twenty years or more this stat
tie has been upon the statute book.
NJ knew of Its general purpose and
pproved.. Many of it's violators were
ynical over its assumed impotence.
It seemed impossible of enforce
nent. Slowly the mills OF the courts
and only gradually did the ma
esty of the law assert ITSELF Many
+ It's statesmen-authors died before 1t
ecame a living force, and they and
theirs saw the evil grow which they
ad hoped to destroy. Now, its eff
acy Is seen; now its power is heavy;
ow its object is near achievement.
low we hear the call for It's repeal on
he plea that it interferes with bust
ess prosperity and we are advised in
lost general terms how, by some
Their statute and In some other way.
he evil we are lust stamping out can |