The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1914-05-11

Initiated by Chamber Of Commerce OF
Committee - Voting to Be For or
Against Seven Recommendations.
Result to Be Made Public.
Washington. A referendum rela-
tive to the proposed interstate trade
commission bill recently reported into
the house of representatives by the
committee on interstate and foreign
commerce was initiated by the cham
Der of IN Of the United States
of America. 1t goes to the 543 com
mercial organizations in forty-seven
states. and the votes of these organiza-
tions, when recorded, will be made
public.
The referendum is based on the re-
port of a special committee composed
of two business men, The committee
presents its recommendations in such
form that the membership of each or
ganization is enabled to express its
opinions by voting for or against the
various proposals.
The seven definite recommendations
to be supported or rejected are:
That there be created an interstate trade
commission of at least five members, ap-
pointed by the president and confirmed
by the senate, not more han a mere ma
jority of whom shall be Of the same pc
litical party.
That jurisdiction OF the commission in
conducting investigation extend to all cor
porations engaged in interstate or foreign
except such as are amenable to
the interstate commission. ut
has not been judicially determined wheth-
er or not banks are engaged In interstate
commerce, but 1t is not understood to be
the purpose of the bill creating an inter
state trade commission to include banks
among the corporations placed within the
| jurisdiction of the commission)
| That the commission should not now be
| given authority TO advise applicants con
| corning the legality Of proposed contracts.
| combinations etc, under the Sherman act.
That the annual reports Of corporations,
II required, should at the outset be con
| fined to those of the larger corporations
| (say, TO those having capital resources OF
| $5,000,000 or more or TO those having an
annual income OF $2,5Oo.OOO and to such
other classes of corporations as the com
mission may officially determine.
That In the annual reports made to the
| commission corporations ought not to be
| required to disclose trade processes, shop
| costs. classification of sales and profits
| among particular articles, names of Gus
toners or other like private information.
That the publication of facts obtained
by the commission be confined to such as
arc TO the public interest.
That congress should direct the COM
4 va4wufnV, - sa.r1GFfna4n .rI -, - zA,
gress at the earliest practicable date on
the ACCESSIBILITY of amending the Sherman
| act to allow a greater degree of corpora
| tion In the conduct and for the protection
| Of the foreign trade.
In suggesting that the membership
of the commission should be composed
of five members rather than three as
proposed in the present house bill, the
committee argues that since a large
proportion of interstate business of i'm
p%ortance is now transacted by corpo
rations the duties of the commission
will be so important that so small &
membership as three is inadequate
The committee also concludes that
commission may earn a greater degree
of popular confidence for nonpartisan
ship and impartiality than a depart
mental official can hope to attain. The
| committee also is convinced that the
larger commission would provide fol
| different points OF view and opportu.
| nifty for the inclusion of business eX-
| perience,
The committee believes that there
| shonId No no discrimination as TO the
kinds of corporations with which the
| commission deals, since such a limita-
ton might develop a suspicion of fla
voritism, 1t says Neither size nor
any other arbitrary standard of classi-
fication is a sure criterion of lawful
ness or unlawfulness under the anti
trust acts or under any other laws"
The committee is convinced that the
general jurisdiction of the commission
should not extend TO persons aud part
nerships, giving this reason:
CAS- a matter of business judgment,
individuals and partnerships as such
viii not engage in interstate or for
eign trade on q scale sufficiently large
| as to have the potentially of effecting
a restraint of trade or creating a mo-
nopoly. Before their business assumes
a character or a volume that creates
possibilities of illegality under the anti
| trust acts they are under n practical
| necessity of adopting the corporate
| form with its limited liability and 9TH
err advantages"