The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1912-08-02
Is Filed i'm the House by Ma
jOrity Members.
COL. ROOSEVELT is INDICTED
For Making 1t Absolute in Con-
troll of Business.
Charged With Being RESPONSE
BILE for It's Enormous Growth.

house of representatives directed more
thar a year ago to investigate the Uni
ted States steel corporation was sub
mitted to the house today by Repre-
sentative Stanley, of Kentucky, chair
man of the committee.
The report was signed by the chair
man and Representatives Bartlett OF
Georgia. McGillicuddy of Maine, BeaH
of Texas and Littleton of New York,
Democrats; Representatives Gardner OF
Massachusetts, Danforth of New York,
Young of Michigan and Sterling of IL
1inois, Republicans, disSented from the
report of the majo~ity. Representative
Sterling submitted his individual views
in a minority report and Representa-
tive Littleton, Democrat, dissenting
from the recommendations of the ma
jority for amendment of the Sherman
antitrust law, filed his views.
Representatives Gardner and Dan
forth will unite in another minority re-
port which Representative Young Will
sign and add to it his own findings as
to the facts surrounding the organiza-
tion and operation of the steel corpor-
alton.
The report of the majority deals with
the steel trust from its inception and
describes the various steps by which
J. P. Morgan and his associates built
up the corporation. In addition to rec
concentrations for legislation suggested
as remedial, the Democratic members
of the committee make general ac-
cusations against the men responsible
for the organization.
Benefciaries Pointed Out.
j. P. Morgan and his associates are
held up as being the beneficiaries of
enormous profits realized from the
Cvercapitalization of the subsidiary
companies of the steel corporation and
later of the corporation itself.
II, AT-c-
to steel manufacturers are credited
with scheme by which prices and
territory were controlled by the steel
trust after pooling agreements were
discarded.
Former President Roosevelt is indiot-
ed for making the control of the steel
trust absolute and is charged with be-
ing responsible for the gigantic stature
which the trust has attained.
The United States steel corporation
is fiayed as an enemy of organized
labor accused of lowering the socio-
logical conditions of its employees
and of contributing to American IN
dustry workmen and work methods
un-American and foreign to the best
interests of labor.
Principal stockholders of the Steel
corporation are accused of eXerting a
powerful and injurious influence on
the business of the United States by
means of control exercised through in
terlocking directorates of railway and
Industrial organizations
The activity of the corporation in
politics is laid bare and its influence
described, and the "steel trust as a
tariff beneficiary and its part in the
making of the Payne-Aldrich tariff act
are touched upon by the Democrats.
Legislation Recommended.
The committee recommends legisla-
tion to cure trust evils and to meet
existing conditions. 1t condemns the
Steel corporation but does not invade
he iris of States
court in which there is now pending a
government suit for its dissolution.
Early in it's report the committee
sets forth that il would investigate "as
if no proceeding on the part of the
United States government were now
pending against said corporation, but
not for the purpose of determining the
questions involved in the action |
brought by the government
The governments suit is to discover |
if the United States Steel corporation |
is "in violation of the Sherman anti
trust law
In Summing up it's conclusions the |
majority report says:
The control of corporations by the |
federal government, as recommended |
by Mr.. Carnegie, Judge Gary. and 9TH |
ers. is not approved. Whatever may |
be the evil results of the elimination |
of competition from the steel business, |
it does not justify such a remedy and |
could not succeed by it. Such a con- |
troll, semi-socialistic in it's nature, is (
beyond the power vested by the con- |
stitution in the fedaral congress.
Remedies for Abuses.
''The abuses mentioned in this re- |
port can in a great measure be reme- /
died by giving to the operations of /
the United States Steel corporation |
and other like corporations the wild
est publicity, and by the strict en-
forcement of laws specifically inhib- |
iting the employment of cunning de-
vices by which an unfair advantage
over competitors is secured. The bu- |
reau of corporations possesses the au- |
thority to thoroughly investigate the /
internal affairs of industrial concerns
doing an interstate business. Had the |
character of the steel corporation and !
the nature and extent of its operations |
been known to the people and to the |
president of the United States at the |
time of the absorption of the Ten
nessee Coal and Iron company, it is |
highly improbable that the chief ex-
ecutive would in 20 minutes have
given his consent to a merger fraught /
with infinite injury to the steel in |
dustry and to the public alike
The commissioner of corporations
should be required to report to con-
gress as well as to the president of |
the United States, at such times and
upon such conditions as it may pre-
scribe, and the law creating this bu- |
reau should be so amended as to make
such reports mandatory upon the
commissioner of corporations.
Source of Enormous Earnings.
THE enormous earnings of the steel
corporation are due not to degree of
afficiency not possessed by its com