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Show ROOSEVELT VOICES KNOX'S VIEWS IN REGARD TO TRUST LEGISLATION WASHINGTON, Jan. 7.-The following abstract .of the Attorney-General's recommendations rec-ommendations regarding trusts and combinations, com-binations, which were made public nt some length yesterday, was given out at the White House last night. It represents the general attitude of the Administration on this subject and was authorized by the President: Preliminary: The people do not desire the business of tho country to be Interfered Inter-fered with beyond the regulation necessary neces-sary to control combinations where they act Improperly and correct any tendency toward monopoly. In this country, where money is cheap and abundant and within the reach of keen and capablo men, monopoly mo-nopoly will be Impossible If competition is kept free. Small enterprises have certain advantages advan-tages over large combinations and will live and thrive if assured of an open and fair field. Rebates and discriminatory rates constitute one of the chief restrictions restric-tions on competition. They unjustly . swell the earnings of favored concerns and, supporting a vast volume of capital stock which represents nothing but unfair un-fair advantage over rivals, contribute largely to the upbuilding of monopoly. The situation respecting toansportatt wi discriminations and the entry of ln-pendent ln-pendent capital Into new industries has lately been improved. It is now known that the amount of capital embarked In Independent enterprises In the past two years at least equala the total capital of the great combinations formed within the previous twelve years. "With assurance against predatory competition, com-petition, this Improvement will continue. Individual Industrial experience, with .he certainty of secure employment for capl-1 capl-1 tal. may be trusted to compete effectively with such selflBh combinations as are not formed for sound' economic reasons, but merely in order to capitalize the country's prosperity for the benefit of their promoters. pro-moters. The existence of most of these combinations has not Increased the productive pro-ductive capacity of the country; they have merely acquired the ownership of pre-existing industries. That all discriminatory practices affecting af-fecting Interstate trade be made offenses to be enjoined and punished. Such legislation to be directed alike against those who give and those who receive re-ceive illegal advantages, and to cover discrimination in prices as against competitors com-petitors in particular localities resorted to for the purpose of destroying competition. competi-tion. In order to reach producers guilty of these offenses who are, as producers, merely beyond national control, a penalty should be Imposed1 upon the interstate and foreign transportation of goods pro- duced by them, and Federal courts should be given power to restrain such transportation trans-portation at the Government's suit. Such legislation Is necessary because ' the existing Interstate commerce law does not give an effective remedy In this class of cases against either shipper or carrier. Tho casus omissus in the Interstate commerce act should now be supplied by Imposing a penalty upon carrier and beneficiary alike, . and by giving to the courts the risht to restrain all such Infractions In-fractions of the law. The prohibition against carriers should be limited to those subject to the act to regulate commerce. Only carriers operating opera-ting a line of railroad or a rati and water line as one line are required to publish their rates and adhere to them. It Is Impracticable Im-practicable to control lines operating wholly by water. Rates of water transportation trans-portation are necessarily open to the freest competition, are Invariably low by comparison, and thus naturally furnish the standard of reasonableness without ex ureas regulation. It should be unlawful to transport traffic traf-fic by carriers subjert to the Interstate Commerce act at lass than the published t rate, and all who participated In violating violat-ing the law should be punished. Provision Pro-vision should also be made to reach corporations cor-porations and combines which produce wholly within a State, but whose products prod-ucts enter interstate commerce. This provision should relate first to concerns which fatten on rebates; second, to concerns con-cerns which sell commodities below the general price in particular localities or in any other way In particular localities seek to destroy competition. There should be a comprehensive plan to enable the Government to get at all the facts bearing upon the organization and practices of concerns engaged in interstate in-terstate commerce, not with a view to hampering any legitimate business of such concerns, but in order to be In position po-sition to take action, if necessary. To this end a commission or special bureau bu-reau in the proposed Bureau of Commerce Com-merce should be created, whose duty It I should be to Investigate the operations of concerns engaged In interstate or for- elgn commerce, to gather information and data, enabling it to make recommendations recommenda-tions for additional legislation to report to the President. This would be a first step in securing proper publicity. This commission should have authority to ln- I quire into the management of all concerns con-cerns doing an Interstate business, whenever when-ever It becomes necessary or desirable; it should have the authority to call for reports from them, to compel testimony from all witnesses and the production of books, papers, etc. These recommendations- are based on the central thought that the first step should be taken by a law aimed at what are certainly known to be unreasonable practices directly restrictive of freedom of commerce, and by a law securing some Governmental supervision, as outlined above. A special act should be passed at once to speed the final decision of cases pending or to be raised under the present anti-trust law, providing for the hearing of such cases by a full bench of Circuit Judges and a direct appeal from the Circuit courts to the 8ucreme Court oX the United States. |