Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1914-01-10
Democratic Members Of House
Committee on Judiciary
Plan Measure for Extension
Of Sherman Law,
DRASTIC PROVISION
AS TO DIRECT0RATES
Purpose Is to Destroy Co0tro!
of Allied Corporations by
Same individuals and to
Prohibit Combinations,

teY moRn,na JOURNAL SPECIAL ltAsrp wREl
Washington. Jan. g.~A genera
ioutline OF the tentative draft ~ anti
trust legislation prepared by majority
members Of the house committee en
Judiciary for action by The full com
mittee subject % i conference with
President Wilson. heodne known to-
night
The proposed bills so far have NOT
the administration stamp and they
will be discussed at a conference hr
tween the president ana the commit
teemen ON the presidents return
The bills, drafted as q result OF the
conferences between Chairman clay-
ton Representative CarHn. OF Nir
ginla. chairman Of the trust sub-com-
mttee, ana Representative Wiovd. oi
Arkansas. Mccoy Of New Jersey and
others, cover these three main points
L. Intcrlockng directoratcs.
2. Trade relations and prices
8. Injunction proceedings and
damage suits hy individuals.
In every case. President Wilson's
idea Of providing penalties for indiVid-
uas as well as for corporations in
case of violations. has been followed.
II was decided thnl it would be bet-
ter TO draft a number of bills1instead
Of incorporating ull the ANTITRUST
propositions in an omnibus measure.
supplementary TO the sherman act
An attempt te define combinations
and conspiracies ln restraint of trade
, SO far as possible, has been mada IN
the bills already prepared
The bin to nhlbit interlocking d.
rectors Is regarded by the committee
members as The most important Of
the three. II deals not only with banks
ana trust companies. but applies to
every industrial corporation ensaged
in interstate trade The tentative draft
Of this measure provides
After the 23d Of December, 1914,
an officer or director Of a federal re-
serve bank. branch bank, national
bank or banking association or any
state bank. banking association or
trust company admitted TO member
ship In federal reserve hank shall
not iit an hiAAith ~ NhNNAtf VI hfhf
other bank. banking association or
trust company. or of any financial
corporation institution or association
engaged IN the business of hankins.
Nor shall ne engage IN the banking
business. individually or as a member
of "A firm or association engaged In such
business: nor shall he be an officer
or director Of any other corporation
organization or association. the prin-
clpal part Of whose authorized or ace
ual business Is TO buy sell or hold
the stock. bonds securities or evi-
denees Of Indebtedness of corpora
tions. organizations or associations, or
to finance the sale of such stuek.
bonds. securities or evidences of In
debtednrss 0r to negotiate loans 10
corporations. organizations or associa
tions nor OF any other corporation,
organization or association owning
stock Of on an interest In i corporation. (
organization or association conduct
Ing principally such authorized or
actual business.
"A director of Glass A Of federal
reserve bank may he an officer on a F
director or both an officer and d. +
rector. of one member bank
The other two classes are prohibit /
ed in the currency law from holding T
other offices.
This part Of the measure was draft +
ed hy Representative Mccoy of New
JERSEY and is understood to have the
approval of Chairman Clayton, ME-
Carin and other judiciary committee
members
The effect Of the industrial corpo
ration feature of the interloclling 81.
rcctorate bin, the committeeman say
would he Of the most sweeping char
acter. cuttng out the interlocking ar
and enabling the director
ships and control to pass to q large
army of new men, instead OF keeping
the industrial control of various lines
of activity in the hands of "a few.
Under It's terms, no officer er di-
rector in any industrial corporation
engaged In interstate trade would be
permitted to be any officer or diree-
tor In another industrial interstate
la allied business. Manu-
faeturers of railway cars. locomotives.
rails aud structural steel or nen en-
gagged In mining or selling coal would
be barred from becoming directors or
other officers or employees OF ruilroad
engaged IN interstate commerce, This
feature of the bill would not become +
until two years after passage
IN order to allow adjustment of busi
ness arrangements The other mea
sures would take effect immediaielx
upon passage.
The bill designed TO stop agreement
for regulation Of prices Is designed 10
stop the iixing by whole
salers Of the prices at which the man
ufaetured article shall be sold TO the
public and to prevent big business Il