Evening star., 1938-06-20
MONOPOL|ESQU|z
HELD OBJECTIVE
Both 0'Mahoney and Borah
Deny Witch Hunt Is Aim
of Inquiry.
BACKGROUND


has contributed materially to slump
IN business conditions. Department
Of Justice already has instituted
proceedings against Aluminium, Co.
of america and automobile finance
concerns.
BY the Associated Press.
Senators O'Mahoney, Democrat, of
Wyoming, and Borah, Republican, Of
Idaho, declared today that business
has nothing to fear from the Federal
investigation Of monopolistic practices.
They took issue with a statement Of
Representative Smell, Republican. of
New York, that he was concerned lest
the inquiry be made an instrument
for further unjustified attacks OIL
legitimate business"
My belief is" said Senator OMa-
honey, that this can be a co-opera-
tive, objective study of inestimable
value to business. have seen moth
ing to indicate any intent except to
find a solution Of a difficult economic
problem.
This is q task for men of intelli-
eence, tolerance and good will in bust
ness and government"
witch Hunt" Feared.
Senator O'Mahoney will be chair
man Of the 12-man committee, and
Senator Borah is one of the members.
Mr.. Smell had said that If the in
vestigation were turned into another
witch hunt against business" it would
be further deterrent to business
confidence and recovery"
Senator Borah declared, on the
other hand:
II venture the belief that the COM
mittee Is not proposing any WITCH
hunting program. We have great
problem and it is our business to do
what we can to advance a wise and
just solution for 1t.
Il do not believe that legitimate
business will have the slightest reason
to bs disturbed"
Offers of Cooperation.
Senator 'Borah said he already was
receiving offers of cooperation from
business men, some OF them represent
ing large interests.
He said he would suggest to the
committee, which will meet later this
week, that it spend most Of the sum-
mer in studying the problem raised
by the Presidents recommendation
for strengthening. the antitrust laws.
Hearings could be held this fall, he
said, and report prepared for the
opening Of Congress in January.
Senator O'Mahoney said this pro-
cedure might be followed, but added
the decision would be left to the COM
mittee, composed Of three Senators,
three House members and one repre-
sentative each from the Departments
Of Justice, Commerce, Labor. Treasury,
the Federal Trade Commission and the
Securities Commission.
Largest Of Funds.
The monopoly inquiry. for which
100000 was appropriated, will be the
largest Of several authorized at the
1898 session of Congress. Together
they will cost more than s850,000.
The congressional investigation of
the Tennessee Valley Authority, a
hackflre from an internecine struggle
among the power ''yardstick's" three
directors, already has begun. Congress
provided $4,000 for it, but the COM
mittee's request for tripling the amount
was lost IN the adjournment rush. On
July II the inquiry will move down
into the Tennessee Valley, where the
Government has invested millions Of
dollars.
A Senate committee. armed with
$4,000, will police all senatorial
election campaigns. 1t was ordered
to watch especially for any evidence
Of the Use Of Federal or State funds
70 aid candidates.
Survey of Phosphates.
A congressional inquiry asked by
President Roosevelt survey of
phosphate resources-got off to a
quick start Saturday by taking tes-
timony from Secretary Wallace and
Government experts. The group has
$4,000 to spend and will shift hear
ings to Idaho in mid-July
E1o ALI OtAACA yCd4 o. VIC SchdUC hdS
more separate Investigations under
way than has the House.
An inquiry into profit-sharing sys-
TENS asked by Senator Vandenberg,
Republican OF Michigan, and led by
Senator Herring, Democrat Of Iowa,
received $4,000. Informed persons
said hearings probably would be held
in Chicago.
The Senate Civil Liberties Commit
tee, which has spent 100000 in two
years Of investigations, expects to
resume public hearings early next
month with $4,000 additional funds
Chairman La Toilette, Progressive
Of Wisconsin, said the committee
would inquire into employers asso-
Citations.
Inquiry on Taxes.
A Senate inquiry into Federal
civil service is being led by Senator
Ellender, Democrat, of Louisiana, with
the comparatively modest sum of
s2,600.
An inquiry which might pay big
dividends Is study Of possible tax
alton Of Government salaries and Sc
eurities by Senator Brown, Democrat,
OF Michigan. 1t was given $4,000.
A separate House inquiry into "un-
American" activities with a S25,000
fund will require hearings in cities
throughout the Nation.
The House Campaign Expenditures
Committee was given $4,000, but
Representative Lewis, Democrat, of
Colorado said 1t was not looking for
trouble"
I'VE will be the policeman on the
corner" Mr.. Lewis added. II hope to
return q large share Of the $4,000
unspent."
l. c. c. Inspectors