Okolona messenger. (Okolona, Miss.) 1900-current, 1911-12-07

pfOuBnL out IN recent Gays py tHS ISaA
of the continued execution of the anti
trust law have produced nothing but gilt
tering generallties and have offered no
line of distinction or rule of action as deh-
mite and as clear as that which the SUI
preme court itself lays down in enforcing
the statute.
Supplemental Legislation Needed-Not
Repeal or Amendment.
1 see no o-bjection-and Indeed I can see
decided ~advantages-in the enactment Oh
a law which hall describe and denounce
methods of competition, which are unfair
and are badges Of the unlawful purpose
denounced in the antitrust law. The at
tempt and purpose to suppress a compeu-
tor by underselling him at a price SO un-
profitable as to drive him out Of business
or the making of exclusive contracts with
customers under which they are required
to give up association with other manu-
facturers, and numerous kindred METHODS
for sitting competition and erecting mo-
nopoly, should be described with sufficient
accuracy in a criminal statute on the one
hand to enable the government TO snort
en- its task by prosecuting single mlsde-
meanors instead of an entire conspiracy
and. on the other hand, to serve the pur-
pose Of pointing out more in detail to the
l9AiAN , NOAllAAAuAAAy "H
avoided.
Federal Incorporation Recommended
In a special message to congress on
January I, 1910, l ventured to point OUT
the disturbance to business that would
probably attend the dissolution OF
these offending trusts. l said:
But such an investigation and pos
sible prosecution of corporations whose
prosperity or destruction affects the
comfort not only of stockholders but OF
millions of We ge earners, employees,
and associated tradesmen must neces-
sarily tend to disturb the confidence OF
the business community, 10 dry up the
now flowing sources of capital from its
places of boarding, and produce a hait
in our present prosperity that VIII
cause suffering and strained circum-
stances among the innocent many Tor
the fault of the guilty few. The ques-
ton which 1 wish in this message TO
bring clearly to the consideration ana
discussion of congress is whether, In
order to avoid such a possible business
Danger, something cannot be done by
which these business combinations may
be offered a means, without great imam
cial disturbance, of changing the char
acter, organization and extent OF their
business into one within the lines OIL
| the law unueT lcu6Tdl COHliOl LIN u
pervisIon, securing compliance with the
antitrust statute.
Generally, in the industrial comol-
nations called Trusts the principal
business is the sale of goods in many
states and in foreign markets; In other
words, the interstate and foreign busi-
ness far exceeds the business done In
any one state. This act will justify
the federal government in granting a
federal charter to such a combination
to make and sell in interstate and for
eign the products of userul
manufacture under such limitations as
will secure a compliance with the anti
trust law. It is possible so to frame
a statute that while it offers protec-
ton to a federal company against
harmful, ~vexatious and unnecessary
invasion by the states, 1t shall subject
1t to reasonable taxation and control
by the states with respect to its pure
ly local business.
Corporations organized under this
act should be prohibited from acquir-
ing and holding stock in other corpora
ions Except for special reasons, upon
approval by the proper federal author
ity), thus avoiding the creation under
national auspices Of the holding COM
pany with subordinate corporations in
different states, which has been such an
effective agency in the creation of the
great trusts and m~onopolies.
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 Lne creation 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 corporations makes
It dihcult, II not impossible, for one
corporation to comply with their re-
quirements so as to carry on business
in a number of different states"
Federal Corporation Commission Pro
posed.
I do not set forth in detail the terms
and sections of a statute which migh
supply the constructive legislation permit
ting and aiding the formation of combina-
tons Of capital into federal corporations
They should be subject to rigid rules az
to their organization and procedure, In
Guiding effective publicity, and to tht
closest supervision as to the issue Of
stock and bonds by an executive bureau
or commission in the department o.
commerce and labor, to which In times o.
doubt they might we'll submit their pro
posed plans for future business. 1t mus
be distinctly understood that incorpora
ton under a federal law could not ex
empt the company thus formed and 1T
incorporators and managers from prose
cution under the antitrust law for sub
sequent Illegal conduct, but the publicit!
Of its procedure and the opportunity TO
frequent consultation as to the Legitimate
purpose Of its transactions would offe
- ~, vraot oao11ritU AGAINST SnFppggfl
prosecutions for violations of the Law
as would be practical or wise.
Such a bureau or commission nigh
well be invested also with the duty al
ready referred to, of aiding the court
I in the dissolution and recreation Of trust
within the law. 1t should be an execu
tive tribunal of the dignity and power o
the comptroller of the currency or tn
: interstate commission, whicI
now exercise supervisory power over i'm
portant classes of corporations under fed
eral regulation.
The drafting of such a federal incorpor
: alton law would offer ample opportunit
. to prevent many manifest evils in corpor
ate management today, including ire
sponsibihty of control in the hands o
, the few who are not the real owners.
Incorporation Voluntary.
. I recommend that the federal charter
! thus to be granted shall be voluntary, a
y least until experience j~usti1es mandator
, provisions. The benefit to be derive
u from the operation of great businesse
u under the protection of such a charte
: would attract all who are anxious to kee
within the lines of the law. Other larg
combinations that fail to take ~advantag
of the federal incorporation will not hay
a right to complain II their fallure
ascribed to unWillingness to submi