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Show STEELGORPORATIOfi 1 FACES LEGAL FIGHT CHARGED BY WESTERN ASSOCI-ATI ASSOCI-ATI ON WITH VIOLATION OF TRUST ACT Utah, Wyoming, Montana and Colorado Interests Among Plaintiffs in Court Action. Violation of Federal Commission Charged. Washington. L'pon complaint, of the Western association of Uollcd Steel Consumers that the Culled Slates Sleel corporation anil other slccl producers pro-ducers act ill violation of Ihe federal trade commission acl and the Clayton antitrust act. In selling rolled steel on u I'illsljiirg basas, the federal trade commission Saturday announced that If had undertaken a thorough investigation investi-gation of the subject, wilh a view to determining whether a formal complaint com-plaint should be Issued. In its complaint com-plaint the Western association urges that Chicago should be made another basing point in fixation of steel prices. The action, which Is undertaken by the trade commission as a friendly suit, has been pronounced by K. II. (lary, chairman of the board of the United States Steel corporation, as "the biggest lawsuit ever tried in this count ry." The application for complaint made by the Western association, represented represent-ed by John S. Miller of Chicago, as counsel, says the membership comprises com-prises over 700 fabricators of steel. These are operating in Illinois, Indiana, In-diana, Michigan, Wisconsin, Minnesota, Minne-sota, Iowa, Kansas, Missouri, Montana, Nebraska, Oklahoma, Wyoming, Colorado Colo-rado and California, all being tributary tribu-tary to what is known as the Chicago district ;that the United States Steel corporation mill at (iary produces steel at a cost substantially lower than at the Carnegie plant of the steel corporation cor-poration at I'lttsburg or at other corporation cor-poration plants in Pennsylvania; that over one-fifth of the rolled steel made In the United States is made by the respondent at Oary, Ind. "The applicant submits that the normal, nor-mal, reasonable price for rolled steel should be measured by cost of production produc-tion with addition of reasonable profit, and without addition of a large nnd arbitrary increase which forms no part of the production cost and is over and above such reasonable profit." |