New-York tribune., 1913-11-17
Victor Murdoch to Present
"Trust TripIetS" Designed
to Destroy MonopolleS.
PROVIDE FOR COMPETITION
Bills Establish Interstate Trade
Commission with Drastic
Powers to Supervise
Big Corporations.

gressive trust triplets'-three bills, en-
bodying the national Progressive proposals
10 create an interstate trade commission,
TO prohibit unfair competition and to sup
press monopolies.
These measures are the joint production
of MIR. Murdoch, Dean William Draper
Lewis, of the University Of Pennsylvania
Law School, Herbert Knox Smith, ex-
Commissioner Of Corporations, and Donald
r.. Richberg, director of the Progressive
National Legislative Reference Bureau
These three bills" Mr.. Murdock said.
"are the most advanced proposals for So
luton of the nations greatest problem
They will put the quietus forever upon the
libel that the Progressive party stands for
the acceptance Of monopoly. If enacted
they will solve the trust problem in Its en-
tiretv. Briefly, they will accomplish three
things:
"First-They will wipe out monopoly
"Second-They will atfirmatively estaD-
lish the maintenance of fair competition
specifically and in terms and by clear cut
definition.
"Third-They will create a trade COM
mission TO relieve the courts of admins
trative functions in business regulation ana
to bring quick and adequate relief 10 the
small business man.
Monopoles Defined.
probably the most interesting feature of
tho hills is the definition of two kinds OF
monopoly-that created with the aid or
unfair competition, business built up on ali
artificial basis, and that established on
basis naturally tending to monopoly Inc
bills make the distinction for the first time
I'm legislation clearly and completely, ana
provide for equally vigorous action for the
protection of the community against both
natural and artificial monopolies.
This programme is not mere denunciation
or taboo for all monopoly, but DEFINITE IN
telligent means are provided for deailng
with monopolistic power and terminating
its existence.
",rbe first bill. to create an interstate
trade commission provides for com
President for seven-year terms. expiring In
rotation, carrying salary OF Slo'oOV
rear. The jurisdiction Of the commission
is limited to corporations and business
combinations having gross annual receipts
tfrom business in the United States) eX-
ceeding So 900. 900. This provision is to
prevent the swampipg Of the commission
with investigating a myriad of small con-
Germs.
''The commission is given plenary power
TO obtain complete information concern
ing the organization. conduct, management
security holders, financial condition ana
business transactions Of companies subject
TO its supervision and to require complete
access at all reasonable times to their rec
ords. books. accounts. minutes, papers and
all other documents, including the records
OF their executive or other committees.
"The commission is empowered to criti-
else and make public all cases of material
overcapitalizatioD, unfair competition, mis-
representation or oppressive use OF credit
"It IS provided that assistance shall be
rendered the courts in enforcing DEGREES OF
dissolution entered under the Sherman act.
which is not repealed. but to which. these
measures are supplementary
Aimed at Unfair Competition.
THE second BILL to prohibit and pre-
vent unfair competition declares that
unfair or oppressive competition in com
merce among the several states ana WIN
foreign nations as hereinafter dehneo Is
hereby declared TO be unlawful
"The bill enumerates the well known
forms Of unfair trade practices including
favors from common carriers price cut
ting in special localities, procuring dishon-
est conduct from employees OF competitors
making oppressive exclusive contracts
maintaining secret subsidiaries, the use OF
interlockng directorates to sthe compe-
tition and finally any other business prac-
tices involving unfair or oppressive COM
petition
The commission is empowered TO issue
its order after due notice, restraining a
concern from any designated form Of un-
fair competition and to invoke the aid OF
the federal courts TO compel obedience to
its decrees
by the second bill. therefore the COM
mission is given the power to prevent the
domination Of commerce by those who
seek to obtain commercial leadership
through violating the ethics Of honorable
business men or through the use Of some
special privilege which should be fur
nished TO all alike.
There still remains the question of
dealing with the menace of monopolistic
mower not based 'on artificial advantages
obtained through misconduct, but which
is the natural result of acts In themselves
not wrongful, but resulting in a condition
lntolerable for the best interests Of the
smaller business man and the consumer.
Here bill No. presents a definite and
new solution.
To Protect Commerce.
by the third BILL TO protect commerce
against monopolies.' the commission is
empowered TO investigate cases where
there is complaint that business organi-
zation is exercising substantially monop-
olistic power The definition Of such
power is stated as being whenever such
corporation or association not being sub
ject TO the obligation of public service in
the given industry in question, exercises
control over a sufficient portion OF such
industry or over sufficient factors therein
10 determine the price policy in that in
dustry.. either as 20 raw materials or fin
ished or partly finished products This
power Is declared contrary TO public policy.
IF on investigation OF an alleged mo-