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Show USURPATION OF C h a m b c r of C o i r. ni c v c c o t United States Attacks Trade Commission. W ASM INCITON. SVpt- 1. Usurpation oi' power, nu n iciciua ami ir.ijust abuse of pusinoss inlet v.-- ts a iv anutuji oh.iros in.uic against tin- ieilcr.il trade eommis-Mon eommis-Mon .m.l laid before ('resident W llson by iJio I'li.unK'i" oi Commerce of the United St.'JCS. h: : lott" to I lie president, made public loii'shl b the o.-sani.atlon. the directors ;'.ppVO C -"'d S'.thlllit a 1 CpOl'l lli'tH'MMUMIl'-; iho tr.ide avi'iuiion as an irresponsible that h.s lost the i-oi'in'. nee of the public piul asUni: tho president to ivmedy ,;s oor!i I ion b fillip.:; t o ex-Mil a-tiH-Ks in ttio i-n-viber'n'P with able men 'who'-v interests v 'H bo sine!.- to i be commission's- work."' Tin- report was. ore-imvc ore-imvc In' tin- chamber's tVdotal undo com-Jp;" com-Jp;" wnu'n K,'h r UntMj, a flii- Scven Chiu'ges. ' I; presents the l'oU'w i:i seven enares: The continision has1 undertaken the coiif- -,f functions beyon-! in. own j.ins.iiot ion to the detriment of its proper usefulness. "The eomni iss'on Ikus heun t lie study rf inpormm si t nations, bm beca iiso of leil'.ilint: interest or tor other teasont, rot apparent has Left its. work ineonip'ete. "The commission's pioeoiurr, or initially orer1.v ano appropriate, has heeil changed v'nhout public notice, or nonce to con- II, e eot:in:isK'ii i'. 1 e-s of publicity. 'Trominent tea t ures of the com mission's mis-sion's recent !'ood in vest i nation s ere si;tersive oi common iastiee. "In present inc imormation m .-oupress a -i'i the p'lb'.ie the commission has I teen hr-xess of the accuracy and f a nkness m!;!.-1i its positron amt liie ejreir.nstances riai ire. "The cote, mission. b;is departed troni the fianlaninta : purpose for w hioh it was l sta L'lished." The report sets forlh that it does not undertake to criticize in detail specific uets of the eommission. but rather to ;..-ini out mistakes i n principles of con-, d.:et. The president is assured that the chamber and 1 1 s committee, u hio'ii has; followed the work of the eommission since its orcaniza tion. three years a --Co. does inn represent special business interests. After otuotin from the president's address ad-dress to congress on the propos.il to create the federal trade commission, t he report says: "It sra ve promise of becoming a constructive con-structive bod . expert in ana lsis and in in tor mat ion. able to surest sound national na-tional noncies foe ptweutin.s: abtu-cs and for encouraging proper development in the great field of American business enterprise. enter-prise. Not Up to Expectations. "The cxneetat ions that were supported now he'rr: disappointed t In-stead In-stead of bein-r a body with permanency in its peroiuiel " t he commission in fact has in its mem be rsh ip. a ler but tlu ce years, none of the first ippointees." Rfyrrirsr to the fact that "ivo com-miBjTiers com-miBjTiers ami a prominent momhm- of its sThave been .simultaneously candidates VT:- political preferment." the report con- ti'iues: . "t'onditions such as these inevitably iead . impressions that the commission is no (oneer a resi'Onsible body approa.ohin.sr its "."Hios wiUi serious puimose o promote public interests alone; that it seeks ;i?andizemeut for itself and its meni-oei;tnd meni-oei;tnd tliat it lacks the impartiality essentia! to any public agency which is to speak with authority and to promote th common cause of th? na.tion rather than to create discord, confusion and disorganization." dis-organization." In support of the charcre that the commission com-mission has taken on improir functions, the report cites the commission's newsprint news-print report and its efforts to supervise distribution of coal before creation of the pip! administration. Tn both th-se activities, ac-tivities, the report says, the commission "'as inaccurate in fin ures of -osts and 'vit-ak recklessly alike wi national in-t'-rests and personal rights." At the s-'iirre time it is charced the hntiy failed in its constructive task of point insr nut hry-x trade assoc'at'ons may be improved nm instead denounced these institutions. Investieatious of the lumber industry, f resale pi i-e practices and of bituminous bitumin-ous coal prndU'tion wnre started hut irver complplj, the report and tli-as5 ?rr. cite as c-:amplrs of pernnt-tin- pubiK- intciest Lo suffer and wasting l":blic money. Unfair Practices. In dealing with -the subject of unfair ""rthons of competition, says the report, Hi? commission originally crave business I'jncerns opportunity to reiriedy their actiees before makincr public comilaiuts. but "the prwedure now has be?n so fliancred that the commission itself has become an instrumentality for unfair-Ties..-." Oharg-es of unfairness, often initiated in-itiated by a jealous competitor, the report re-port declares, are preferred by the commission com-mission and made public without srivinK tiie accused firm advance notice of the ctnrpes, or sufficiently definite infornia-" 'ion or, tiie charK"s to enable it to make Tuoper an-wer. v idlc by filing about ISO fori no oumpla int - and disrosi njr of oidy ul'out thirty, cri vip. lull publicity to the original coniplai ut s with meaner a n-louncement n-louncement of dismissals, the commission commis-sion has ca used rcat injustiue, injury and confusion. In criiicism of methods adopted during 'lie recent iuvi-s; icr 1 1 ion o V: parUiac: industry, the report s;'s. a spcei.d coun"-'d coun"-'d l I'ntncis J. Hi-neyt was (MPii',)'etl at f:;int)0 a yc;v and expf-nes. "altiioui;h :t had been sti'.lcl to a com mi t : ft. of cou-Vri-rs:-. 1 1 1 ; I. t he salary would at the Ale of ?,j(.Uin." i his i ncjui i-y tiie commission "sc-IC'-bV documents ah-early in its possession . and hd th'nL presented to it at public sessions h' iy spci-u crums-'l." sa-s the rr poi-l. refuslncr to pf-rmit firms that were nioiilioned in tin' (Jcuments to offer any t'timon' or pioducc ot!u-r doeuments. it rxamiiu'r : itiu'sss o; its own ciioos-i' ciioos-i' cr ;md prevented cr:-s-cxaminntton by tl' rnncerns at whi'ii it was made clear die proceed i n::s v. ere directed. At each r'ly the special -ou:,si'i or otiur liitiii-1,f,r.i liitiii-1,f,r.i of the st:; IT let if be knoscn tlint the ovfi-nn-ent contemplated taking over and 'p (!: i ir.pr tin- i n.iust ry. "Tics strancro spectacle ended in Chi-'"icro Chi-'"icro in Kebruai y. i;tist when an apnlica-ti'a apnlica-ti'a was made on b(dialf of th- commis-v'nn commis-v'nn for a search warrant under a sec- j 'i"n of the rspion.icre act and the circuit J 'oiirt of appeals ouashrd I he warrant.. "The result of the commission's course was not to give information to the public, buL to place the commission in the position of seeking to created prejudice which would support an apparently preconceived purpose to inaugurate, yoverntnent owner- j shin of the business." j lie 'erring to the commission's receu t j report to congress on profiteering Die report says: "The commission again showed ity lack of responsibility by giving such form and content to a report as to make gen-end gen-end charges of a calumnious nat uro against business enterprises without supporting sup-porting ili charges with adequate lacts. The commission couched its charges in ! sensational terms unwarranted by the facts set ouL For example, it spoke! of 'bare-faced fraud,' 'monopolistic control.' con-trol.' 'manipulation of the markoLs by il- '. ictal th vices.' and 'preying with shameful shame-ful avarice upon consumers. "It even resorted to hearsay in reciting, 'it is understood that producers of airplane spruce in the northwest have taken ad- n nlage of a Uird governments.' "Intrinsic faults in this report are even : more serious. Tlio commission criticized the principle or fixed prices which every j other agency of the government h:is approved ap-proved as a means of at once regulating Die market and obtaining the increased prcxluction the nation requires. It finds the profits of producer? of southern south-ern pine "unusually axid unnecessarily large.' Yet the price-fixing committee of the government, having before it the comniisciion's own figures of costs, has recently increased the price for southern pine to the government by approximately 10 per cent." The report concedes that individual profiteers exist and should be prusccuted vigorously, but adds: 'The existence of individual error and crime is no reason for condemnation of the whole community or any pa rt of it by broad accusations and innuendo." Menihers of the fed end trade commis-1 commis-1 sion are William H. Colvcr, chairman ; John V. Fort and Victor Murdok. Joseph K. "Davies and William J . Harris, recently resigned membership to seek senatorial nominations in Wisconsin and Georgia, respectively. Francis J. Honey, special counsel during the packers inquiry, was a candidate for the Democratic Demo-cratic nomination for governor of California. |
