Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-07-05
POWER over TRADE
Commission Proposed to Con-
troll Industrial Corporations.
WITH WIDE JURISDICTION
Board to Consist Of Five Members
and Be Non Partisan.
BILL BY SENATOR NEWLANDs
All Companies Subject to Provisions
to Be Registered-Penalties
and Obligations.
WITH WIDE JURISDICTION
BILL BY SENATOR NEwLANDs


tons as the interstate commerce commits
sion does the railroads is proposed in a
bill which Senator Newlands OF Nevada
introduced in the Senate this afternoon.
j The commission Is to have five members,
to be appointed by the President. with
the consent of the Senate, not more than
three Of whom shall belong to the same
political party. After 1t has become es-
tablished each member is to be appointed
| for ten years. The present force of the
bureau OF corporations of the Department
of Commerce and Labor IL to form the
nucleus OF the commissions force OF en-
ployes, and the commissioner OF corpora
lions is to become ex off1cio q member of
the commission.
| Scope Of Jurisdiction.
| Corporations engaged in interstate trade
| whose annual receipts exceed sJOOOOOO
are to be under the Jurisdiction of the
commission. but smaller corporations
may. if they desire, accept its jurisdic-
| ton.
| Before a company subject to the pro-
visions of the bill can engage in inter-
state trade it is required that it shall
be registered by the commission, after
making such satisfactory statements as
to capitalization, finances and operations
as may be required by the commission,
and such company is to be known as
United States Registered Company"
Reports will be required from all regis
tered corporations, and the information
thus obtained will be published, as Is now
done in the case of common carriers
subject to the interstate commerce COM
mission.
For improper financial organization, op-
pressive or unfair methods of competi-
ton, acceptance of determinations,
bates and concessions from common car
riers, refusal to allow the commission
access to books and papers or non-com-
pltance with any judicial decree rendered
under the Sherman antitrust law. the
commission is given power to cancel any
registration and. in extreme cases, debar
corporations from engaging in interstate
commerce. II the commission finds that
q corporation Is overcapitaliZed 1t has
power. as a condition of continued regis
tration, to require a readjustment of Sc
curities or assets OF the corporation.
No Power Over Prices.
The commission will have no power
to regulate prices. Senator Newlands
believes that can be added hereafter. il
1t is found necessary in order to in
sure fair competition and prevent
monopoly
Regarding the proposed law, Senator
Newlands said today:
The Standard Oil and tobacco trust
decisions demonstrate. what l have con-
tended for many years that there is
need of an Independent administrative
tribunal for the continuous control of
the big corporations engaged in inter
state trade. Had such legislation been
secured in place or in aid of the Sher-
man act, over twenty years ago, we
would have advanced as far in the
regulation of industrial corporations as
we have in that of railroads. and we
would now have all the benefits of the
evils that have attended the capital
ization. the financing and the opera
tions of the big corporations during
the past twenty years or almost un-
bridled license. For years I have been
urging that we should organize an in
dependent, quasi-judicial and admins
trative tribunal of great character and
dignity. as far removed from partisan
control as are the courts, with power
to investigate the big corporations, to
correct overcapitalization, bad prac-
tees and unfair competition. and to
recommend additional legislation to
Congress.
Compliments Attorney General.
1T was at first tempted to include a
provision transferring the enforcement
of the antitrust act from the Attorney
Generals office to this commission, Tor
the reason that prior to the administra-
ton OF the incumbent the administra-
ton of the antitrust act was fitful sub
ject to political influences and likely to
be affected by every political or financial
exigency. But as the Attorney Generals
office is now proceeding TO the satisfac-
ton of the country to break up the exist
ing trusts. thought II best not to compli
cate the new commission with the admin
fStration of the antitrust act.
THE interstate commerce commission
has large powers. and now employs about
600 men, 1t has won the entire conf
dence of the country. The process of evo-
luton through which IL has passed has
strengthened it and made 1t efficient. 1t
| is fortunate that, in creating the new
commission. We can avail ourselves OF the
| bureau Of corporations as the nucleus Of
| the organization. that bureau having also
passed through an evolutionary process
which will be a source of strength and
efficiency