The sun., 1918-09-02

ure as to unfair methods Of competition.
While the commission through its an
nual reports and testimony before Con-
gressional committees has given tho
public and Congress to understand that
before II Issues a formal complaint II
notifies the party complained OF regard
ing the nature OF the charges and af-
lords him an opportunity TO state his
side OF the case or to deeist II he ac-
knowledges improperly. the commission,
IN TACT, has SO changed it's procedure
that II. itself has become an instrument
Tor unfairness. the committees report
declares.
Methods Are Criticised.
There seem to be indisputable in
stances 1t says. ''ln which a defendant
has had the first intination through SER
vice or a formal complaint that any Of
ms business methods were in question
Inc allegations OF unfairness on his
part, founded upon an ex parte preseIt-
tation by a competitor or disgruntled
customer whom he will not be able to
race before the commission (since the
commission becomes the formal COM
piainan). supplemented by the commits
uohs investigations to an extent that
are unknown to him, are given to the
newspapers by the commission with a
release date placed as much as Ave days
IN ADVANCE, In order that widest possible
publicity may be obtained for the alle-
cations.
In these statements to the newspa-
pers the commission has disclosed con-
crete Information as to the particulars
OF thealleged offence, whereas II has
placed In the formal complaint served
upon the defendant only general state
A..t.
PENDANT OF the charges he had to meet.
AS consequence. defendants have had
70 consult the newspapers to identify
the circumstances alleged to constitute
the unfair method of competition in
question. Accordingly, when the de-
PENDANT comes before the commission
Tor hearing he feels that his case has
been pretudged."
or abuses OF its powers OF publicity
the report condemns the commissions
ACTON In giving TO the press a state
ment at the time of Its first order issued
regarding resale prices in which 1t was
said manufacturer could not indicate
prices to a retailee This apparently
prohibited, 1t Ia declared, the use of
price lists and the printing OF prices on
PACKAGES. but the commission let it be
informally understood in answer to indi-
vidual inquiries that 1t did not prohibit
these, though giving no Official explana-
ton. Two months later. 1t Is set forth,
the true situation was presented through
the medium OF another decision.
Accused of CareIessness.
An example of carelessness in issuing
press notices is cited in the commits
sion's announcement early this year that
the margin ON gasolene between the re-
nners' costs and wholesalers prices had
ranged from IS to SIS barrel Sub
seQuently, and only after eighteen DAYS,
the commission. 1t is pointed out, issued
a correction placing the margin at from
30 cents TO $3.50.
To prove its assertion that the COM
mission was biased in its recent food
investigation. the committee points out
that the commission proceeded with the
apparent purpose OF creating in advance
public impression that allegations con-
corning the artificial control OF important
rood products were true In this con-
nection. the report declares the com,
mission selected documents already in
Its possession and had them presented
to 1t az public sessions by its special
counsel. refusing to permit concerns that
were mentioned in the documents to
oner any testimony or produce other
documents -
1T examined Witnesses OF its own
choosing and prevented cross-examina-
tion by the concerns at which il was
made clear the proceedings were directed.
Al each city the special counsel or other