The Washington herald., 1921-04-30
COMPLAINT ISSUED
ON STEEL BUSINESS
BY FEDERAL BOARD
pittsburgh Plus Price"
Forms Ground for Nu-
mefous Protests.
RIGHT QUESTIONED
Action Is Taken After 2,700
Purchasers of Products
State Cases.
CONTINUED FROM PAGE ONE.

nun = ~. N-
an amount equivalent to the freight
10 the point of destination. which
thev contend. means that the Gary
steel fabricator who runs his own
truck to the Gary, Ind, steel mill
and purchases steel manufactured al
that plant must pay the price
charged in Pittsburgh plus an
amount equaling the freight rate
from Pittsburgh to Gary.
Judge Gary, Of the steel corpora
,ion. at a preliminary hearing here
July 3, 1918, strongly urged the
commission to 60 into the matter
stating that in his belief the com
mission should have jurisdiction
over the matter. and that 1t was
matter for the commission 10 set
tie adding that the protested prac-
ties was duplicated in whole or In
mart by a great majority of other
basic industries of the country
Charges In Complaint.
rr counlaint charges that the
United States Steel Corporation mas
complete control over business coz
ducted nv the subsidiaries, trans
portation materials used in the
roanufacture of iron and steel. and
products made therefrom in inter-
state commerce; that the corpora
tion through certain Of it's subsidi-
aries owns and controls over 70
per cent of the total iron ore de-
posits in the Lake Superior district;
that II owns and controls the
greater part of iron ore deposits in
Alabama; that it owns and controls
the ultimate iron ore supply OF the
United States; that it owns and con-
trolls the major number Of railroads
and lake transportation systems
which carry iron ore from mines to
manufacturing plants; and that 1t
likewise owns and controls coal
mine. and limestone quarries neces-
sary in manufacture Of steel.
Company Assets.
The complaint sets out that the
corporation has capital stock out
standing ss6s,5s3.60o with a box
value exceeding S1,500.o00.000 and
that it has through its subsidiaries
gross assets aggregating consider
ably over s., 900, ,o00, 900. 1t is claimed
the Steel Corporation does an an
nual business amounting approx
mately to $500, 900, 900.
hC dAoO NhoA So Nho1
of the total production in the United
States respondents manufacture and
sell approximately 40 per cent Of
the crude steel in the form of in
gots; approximately As per cent of
semi-fnished rolled steel; approx
mstely As per cent of finished rolled
iron and steel products; and ap-
proximately so per cent of other
steel products. Many Of the COM
petitors of the Steel Corporation
and Its subsidiaries, the complaint
states, do not manufacture steel,
but purchase the semi-hnished rolled
steel from the manufacturers and
fabricate from them various kinds
of steel products.
Control 145 Plants.
The complaint alleges that the cor
poration. through its subsidiaries,
controls and utilizes 145 plants
for the manufacture of its products,
these plants being located princi-
pally in Pennsylvania, Ohio, New
York, New Jersey. Delaware, Mary
land, Massachusetts,. Connecticut,
Alabama, Kentucky, West virginia,
Illinois, Indiana, Minnesota, wis
consin. Michigan. Kansas. California
and Washington.
Home once Governs Prices.
Paragraph fve of the complaint
charges that the corporation for at
least seven years has issued price
quotations and schedules covering
rolled steel manufactured by its
subsidiaries and that these quota
tfons are adopted by all OF the
subsidiaries and their competitors
substantially as their schedules or
quotations of prices, and that this
alleged practice OF steel manufac-
turers in fixing uniform prices sue
ceeded the custom which formerly
prevailed whereby such manufac-
turers openly met at intervals and
agreed upon prices which they were
to charge and maintain.
Paragraph also recites that be-