Evening star., 1939-11-20
BY ]. A. FOX.

Dy -. hs o<As
Possibility that the fate of the
antitrust campaign the Department
of Justice is prosecuting in the
building industry will turn on SINH
lar proceedings involving the milk
trade was seen today as Thurman
Arnold, Assistant Attorney General.
outlined the policy of the Depart
ment of Justice in those cases where
labor is accused of combining in un-
lawful restraints of interstate COM
merce.
The milk case, arising in the Chi
cago shed, was argued in the Su-
preme Court last week, and a de-
cision there on one Of the points
that was raised---applicability of the
Sherman Antitrust Act to labor
unions-it was agreed by depart
ment lawyers. would be designed
to show just how far the Govern
ment would get in the building
cases where the trust laws are be-
ing invoked for the first time against
labor
Head of the antitrust division of
the department, Mr.. Arnold's eX-
PLANTATION was made in letter to
the secretary of Central Labor
Union at Indianapolis in response to
numerous requests for a definition
of what the Government considers
unlawful restraint" by unions.
Five Types Listed. iii
He listed. five types: --. q
Preventing use of cheaper ma
terials, improved equipment or more
efficient methods. :.
Compelling "the hiring of useless
and unnecessary labor"
Enforcing graft and extortion."
Enforcing illegally fixed prices"
Destroying "an established and le-
gitimate system of collective bar
gaining" .,-.... .. -.,.....
These. in substance, were the
same points Attorney, General
Murphy previously has. covered in
discussion of the building antitrust
drive. and have figured in indict-
ments obtained in Washington. ST.
Louis and some other cities where
labor leaders and builders are under
charges.
| Mr.. Arnold emphasized that the
antitrust laws should not be used
as an instrument to police strikes or
adjudlcate labor controversies, but
repeated that they should apply
, when union activities "haye no rea-
senable connection with wages,
hours. health. safety. the speedup
system or the establishment of the
right of collective bargaining.
Chicago Case Cited.
This principle also conforms to
the indictments already returned.
The Assistant Attorney General
cited the Chicago milk case as one
where price fixing is alleged = ex-
planning that there a labor union
is charged with combining with dis
tributors and producers to halt i'm
portation of milk by handlers who
refuse to maintain illegal and, fixed
prices"
The Milk Wagon Drivers Union,
an affiliate of the American Fed
GRAFTON of Labor, and seven officers
are named IN the indictments there
which cover 43 individuals and Il
corporations and groups, and in ar
gument before the Supreme Court
Joseph C. Padway, A. F. of L.
counsel, offered the same conten-
ton as was set up in behalf of
labor in the building indictment
here: That the Clayton Act is safe
guard against prosecution for what
the unions contend-and the Gov
ernment denies-are activities legi-
timately pressed to further the well
fare of their members.
The milk case was brought up by
the Government, the lower court
having voided the indictments on
the ground that the Secretary of
Agriculture is empowered under the
Agriculture Adjustment Act to reg
ulate the acts alleged to constitute
criminal offenses.
A labor demurrer to the local
building indictment, in which
Teamsters' Union officials are ac-
cused of fomenting strikes and boy
colts in a jurisdictional row with
operating engineers that since has
been settled, is now before Justice
Peyton Gordon in District Court.
While labor has been critical OF
the departments campaign, Mr.
Arnold said that every effort is
made to be fair. The practices
aimed at, he amplified, "go beyond
even the dissenting opinions of the
Supreme Court of the United States
which recognize broader scope fol
the legitimate activities of labor
unions than the majority opinions
In our anxiety to be fair to labor
we are not subjecting to crimina
prosecution practices which can be
justified even under the dissenting
opinions of the United States Su-
preme Court"