The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1912-08-03
Claim Gary Dinners Were
Held to Control
Prices
ROOSEVELT ACTION
is GIVEN AIRING
Control of Corporations by Federal
Government Is Not Approved.
Insinuated That Panic of
1907 Was Artificial

washington, August 2-The report OF
the majority of the committee OF the
House Of Representatives directed InoFe
than a year ago to investigate the United
States Steel corporation. was submitted
to the House today by Representative
Stanley of Kentucky, chairman of the
committee.
The report was signed by the chairman
and Representatives Bartlett of Georgia,
MeGilncuddy OF Maine, Beal of Texas
and Lttleton of New York, democrats
Representatives Gardner of Massaehu-
sets, Danforth of New York, Young OF
Michigan and Sterling Of Illinois, repuo-
iicans, dssented from the report of the
majority.
Representative Sterling submitted his
individual views ia a minority report and
Representative I.ittleton, democrat. dis
senting from the recommendations of the
majority for amendment OF the sherman
antitrust law, filed his views.
Representatives Gardner aud Danforth
will unite in another minority report
which Representative Young will sign
and add to it his own findings as to ths
facts surrounding the organization and
operation of the steel corporation.
The report of the majority deals with
the steel trust from its inception aud de-
scribes the various steps by which J Z,
Morgan and his associates built up the
corporation. In addition to recommenda-
tions for legislation suggested as remedial
the democratic members OF the eom"tttee
make general accusation against the men
responsible for the organization
Morgan Beneficiary
| J. p. Morgan and his associates are held
| up as being the beneheiaries of enormous
/ profits realized from the overcapitaliza-
ton OF the subsidiary companies Of We
Steel corporation and later Of the corpora
ton itself.
Judge g. H. Gary and his dinners TO
steel manufacturers are credited with
scheme by which prices and territory were
controlled by the Steel trust after pool
ing agreements were discarded,
Former President Roosevelt is indicted
for making the control of the Steel trust
absolute. and Is charged with being re-
sponsible for the gigantic stature which
the trust has attain ed.
The United States Steel corporation is
! fayad as sp enemy OF organized fa5or ae-
c1scd OF lowering. the sociological ccnctie
tions OF its employees and OF contributing
to American industry workmen and WORK
methods un-Amerlean and foreign to the
best interests of labor.
Principal stockholders Of the Steel cor
poratlon are accused of exerting pow-
erful and injurious Influence on the BUSH
ness OF the United States by means Of
control exercised through uterloelsing d.
rectorates OF railway and Industrial or
ganzations.
The activity OF the corporation in poll
tics Is laid bare and its influence de-
scribed and the Steel trust as q tariff
beneficiary and its part I'm the making
of the Payne-Aldrich tariff act are
touched upon by the democrats
Legislation Recommended
The committee recommends legislation
to cure trust evils and to meet existing
conditions II condemns the Steel cor
poration but does not invade the iuris-
dietion Of the United States court in.
which there Is now pending government
suit for It's dissolution.
Early in its report the committee sets
forth that it would Investigate "as II no
proceeding on the part Of the. United
States government were pending
against said corporation. but not for the
purpose Of determining the questions in
volyed in the action brought by the gov
ernment"
The government suit Is to discover IL
the United states Steel corporation is in
violation of the Sherman ANTITRUST law"
! In summing up its conclusions the ma
| jority report says:
The control of corporations by the fed
eral government recommended by Mr..
| Carnegie, Judge Gary and others is not
| approved. Whatever may be the evil re-
suits of the elimination of competition
from the steel business. it does not justify
such a remedy and could not be cured
by IT, Such control. semi-sOcialistic in
It's nature, is beyond the power vested by
the constitution In the federal Congress.
''rhe abuses mentioned in this report
can In a great measure be remedied by
giving to the operations OF the United
states Steel corporation and other like
corporations the widest publicity. and by
the strict enforcement OF laws specifically
inhlbting the employment OF cunning de-
vices by which an unfair advantage over
competitors is secured. The bureau OF
corporations possesses the authority to
thoroughly investigate the Internal ar
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