New-York tribune., 1920-03-02

tematic lawbreaker masquerading un-
der legal forms and which not only
had to be stripped Of it's disguises, but
arrested in it's illegality. A decree of
dissolution was the manifest instru-
mentality and inevitable. We think it
woud be work Of sheer supereroga-
tion to point out that decree in that
case Or in the Standard Oil case fur
nishes an example for a decree in this"
Days Dissenting Opinion
The dissenting opinion of Justice
Day, concurred in by Justices Ptney
and Clarke, declared:
This record seems to leave no fair
room for doubt that the defendants,
| the United. States Steel Corporation
and the several Subsidiary corporations
which make up that organization, were
formed in violation of the Sherman
act. | am unable to accept the conclu-
sion which directs a dismissal Of the
bill instead of following the we'll
settled practice, sanctioned by pre-
v'ous decisions of this court, requiring
the dissolution of combinations made
in direct violation of the law.
ut appears to be thoroughly cstab-
lished that the formation of the cor
porations, constituted combi-
ton of law, and intended to remove
competition and to directly restrain
trade. ! agree with the conclusions of
Judges Woolley and Hunt, expressed in
the court below, that the combinations
were not submiss ions to business con-
ditions, but were designed to control
them for illegal purposes, regardless of
consequences.
THE enormous over-capitalization of
companies and appropriation of $780,
| 100000 in stock to promotion expenses
were represented in the stock issues
of the new organizations thus formed
and were the basis upon which large
dividends have been declared. This
record shows that the power obtained
by the corporation brought under it's
control large competing companies
which were of themselves illegal COM
binations and succeeded to their power
1t is the irresistible conclusion
that great profits to be derived from
unified control were the object of these
organizations.
Msintained Prices by Pools
"The contention must be rejected
that the combination was an inevitabl
pelling union of endeavor.
"Tor many years, as the record dis
closes, this unlawful organization ex-
erted it's power to control and ma aintain
prices by pools, associations, trade
meetings and as the result Of discus
sion and agreement at the so-called
Gary dinners where the assembled
trade opponents secured cooperation
and joint action through the machinery
Of special committees of competing
concerns and by prudent provision took
INTO account the possibility of defec-
ton and the means of controlling and
perpetuating that industrial harmony
which arose from the control and
maintenance of prices.
at inevitably follows that the cor
poration violated the law in its for
nation and by it's immediate practices.
The power thus obtained from the
comb animation of resources, almost un-
limited in the aggregation of COM
peting organizations, had within its
control the domination of the trade
and the ability to fix prices and re-
strain the free flow of commerce upon
scale heretofore unapproached in
the history of corporate organization
| in this country
Notorious and Continued Violation
"These facts established, as it seems
10 me they are, by the record, it follows
| that IT the Sherman act is to be given
efficacy there must be a decree undoing
so far as is possible, that which has