Evening star., 1938-07-01
MONOPOLY PROBE
IS FACING HITCH
Conflict in Views Is Seen
as Committee Holds First
Session Today.

Already apprehensive that conflict
ing viewpoints on the purpose and
procedure OF the inquiry may compli-
cate or even obstruct the task, the
l2-man special committee named to
study monopolistic business practices
was to hold its first formal meeting
this afternoon.
Selection of a chairman, probably
Senator O'Mahoney. Democrat, Of
wyoming, and an initial outline of
the scope Of the investigation were
expected to be the first items Of busi-
ness, probably all that will be at
tempted this week.
With the committee split evenly
between congressional and depart
mental members, the former group
has indicated themselves more inter-
ested in the prospects Of legislation
during the coming winter, while the
departmental delegation was under
stood to favor an intensive fact-find-
ing inquiry into business practices and
concentration of financial power be-
fore attempting to write any legis-
lation.
witch Hunt" Denied.
Denying that the study will turn
into a witch hunt" against Ameri-
can business or finance, Senator
O'Mahoney also has discounted the
predictions of friction between the
two halves of the committee
I'VE will work like unit" he said.
There is no reason for any cross
purposes.
other point of view. Senator King,
Democrat, of Utah said he was very
much opposed to having executive de-
partments mixed up in q legislative
function" He predicted the members
from the administrative agencies would
control the investigation because they
have the votes and most Of the money"
(Of $50o,ooO appropriated for the
investigation. 100000 was for the
committee and 100000 for re-
search by Federal agencies at the
direction of the President.)
In any event the first major task
before the committee was to correlate
and condense the vast resources of in
formation on the Nations economic
organization which has been compiled
by Government agencies dealing with
business. These include the Federal
Trade and Securities Commissions and
the Justice, Treasury, Commerce and
Labor Departments.
Borah Is Satisfied.
Senator Borah. Republican, of Idaho,
who has devoted much Of his 81 years
in the Senate to studying the monopoly
question. is understood to feel that
information already available gives
adequate basis on which to build new
legislation.
He has discussed with some COM
n1ittee members the idea that wit
nesses should be asked to help work
out remedy" rather than. pri-
marily, to give information on con-
ditions.
Some Of the administration Of
ficials, on the other hand, desire to
draw from witnesses information on
certain phases Of big business prac-
tice, such as monopolistic control Of
specific industries, the cause and effect
Of rigid prices, the economic justifi-
cation Of "bigness" in a single in
dustry and the opinions Of business
men themselves on what bad" prac-
tices can be eliminated
The groundwork for this diverse
type of inquiry was laid in a series
Of conferences between top-ranking
tndustrialists and administration pol
icy makers. The conferences were
arranged by Prentiss L. Coonley Of
the Business Advisory Council
Participants included Thurman w.
Arnold, Assistant Attorney General
in charge of antitrust cases and a
key member of the committee, and
Thomas Corcoran and Benjamin
Cohen. Government attorneys and
presidential aides who were reliably
reported to be taking important roles
behind the scenes.
The committee probably will not
begin hearings until fall. 1t must
report to Congress next January, but
can continue to work for two years
after that