Owingsville outlook. [volume] (Owingsville, Ky.) 1879-192?, 1921-05-05
.ALLEG ED UNFAIR.
COMPETITION CHARGED
IN INTERSTATE COMMERCE WAS
ISSUED BY FEDERAL TRADE
COMMISSION.
Complaints BY Various Users Of Steel
Products and Others Against the A.
legged Use OF the Devise Known as
"Thc Pittsburg Plus Price"

Western Newspaper linton News Service.
WaShlncton-A formal complaint
against the United States Steel Cor
pnration and IL subsidiary companies,
state commerce, was issued by the
Federal Trade Commission. Thus the
commission finally has decided that
it has sufficient jurisdiction To take up
the long-Stanling complaints 10y Ndri-
Gus users of steel products and others
against the alleged use 10y the Corpur-
alton Of the device known as The
PittSburg plus price
Ii was announced, however, that
the commission had divided three To
rwo, Chairman Thompson and Com
miSsionerS Pollard and NugCnt voting
for issuance Of the complaint, and
commissioners GaSkill and Murdoch
dissenting.
The corporation and its subsidiaries
are given 30 days, or until May 81, to
make formal answer Ia the complaint.
after which the ease will proceed 20
trial on its merits. The complaint was
issued under the Clayton antitrust
act and the law establishing the COM
mission, and the commissions an
nuunc"mcnt said the case was IAN out
growth of conditions complained of
steel in the Chicago, Duluth and Birm-
in"ham districts. by legislatures of
three states, by several municipalities
and by Chambers of Commerce and
many business organizations through
out the United States.
The "Pittsburg plus price" is de-
sCrihed at length in the commission
announcement, which says that under
il "all steel, except rails, wherever
made and whether made in the United
States Steel Corporation plants. or by
independents, is sold at the {. o. b.
PiItSburg price, plus an amount equiv
alcnt To the freight 10 point of dcsti-
nation" and as an illustration says
that this means that the Gary steel
fabricatOr who runs his own truck tO
the Gary Qnd) steel mill and pur-
chaSeS steel manufactured at that
plant must pay the price charged in
PittshurG, plus an amount equaling the
freight rate from Pitlsburg to Gary.
The complaint is not limited. how
ever, To the alleged use of this de-
vice. II charges specifically that the
steel corporation owns and controls
the ultimate iron ore supply in the
United States" and that because of
its power and influence through the
large percentage Of the steel manu-
featuring business done by ii and sup
ported by it, its consequent potential
power To embarraSS or destroy its com
petitors by unduly lowering its price
schedules is "tantamOunt to the nam
ing by the steel corporation of prices
that are to be charged by II me steel
manufacturers - TIE United States. -
The charge also is made that the
Steel Corporation, for at least seven
years, has issued from time to time
price quotations and schedules cover
ing rolled steel manufactured by its
anu lildI lntNC uuVld-
tions are adopted by all of the re-
spondent subsidiaries and their COM
petitOrs substantially as their QUOTA
tiOns of prices, and that this alleged
practice Of steel manufacturers in
fixing uniform prices succeeded the
custom which formerly prevailed,
whereby such manufacturers openly
met at intervals and agreed upon
prices which they were to charge and
maintain.
Other specific charges include:
That the United States steel Cor
pOration has complete control, super
vision and direction over the business
conducted by the subsidiaries named,
transportation materials used in the
manufacture of iron and steel, and
products made therefrOm in interstate
commerce.
THAT the United States Steel Cor
poration through certain of its re-
spOndent subsidiaries owns and con-
trolls over 80 per cent of the total iron
ore deposits in the Lake Superior
district, where is located the greater
part of the iron ore deposits in the
United States.