The Commission

Congress will hear of it. Congress will speak of it. (Congressmen already are speaking of it.) Congress made it. Congress can unmake it. And, very likely, Congress will do something about it--It, the Federal Trade Commission. Back of the question which began to be agitated last week, is a bit of history going back to 1914: In that year, the Commission was created by Congress. Its business was to investigate complaints made to it of alleged unfair practices in trade (misbranding of commodities, price-cutting to put competitors out of business, etc., etc.)-If it found the alleged practices to be true, it was to issue an order to cease and desist (similar to an injunction). The Commission was to have five members appointed by the President, confirmed by the Senate, serving terms of seven years each. Not more than three members may be of the same political party. President Wilson filled the Commission and, because of the long term of office, his appointees were a majority of the Commission until a few weeks ago. Some 8,000 complaints were made to the Commissior; in eleven years. It took action ir about 1,000 of these cases. Of late, Congress has got more and more in the habit of asking the Commission to make investigations. Recently, President Coolidge appointed W. E. Humphrey, onetime (1903-17) Congressman from Washington, his pre-Convention campaign manager in the West, to the Commission. Then things began to happen--for the first time the conservatives were in control. Two overt acts:

1) The new majority changed the Commissioner's rules so that much less of the Commission's finding will be given out--aiming to keep all matters secret unless unfair practices are proven and an order to cease and desist is issued. 2) The new Commissioner, Mr. Humphrey, requested the Attorney General for an opinion stating whether one house of Congress has authority to order the Commission to undertake investigation in cases where no specific unfair practice is alleged. If the answer says that one house of Congress has not power, the LaFollette resolution for investigation of the bread trust and the Norris resolution for investigation of the power trust will probably be dropped. Significance. Congress has sometimes used the Commission for political purposes. The two overt acts above described are designed to render the Commission less effective as an instrument for uncovering material for political use. The two Democrats on the Commission, Messrs. Huston Thompson and John F. Nugent, declare that these changes will also render the Commission powerless to fulfill the functions for which it was established. Congress is sure to have something to say about it. Already remarks are passing. Remarks: Commissioner Humphrey: "If the Commission must respond to every resolution of either house of Congress, then it is entirely within the power of either house to control the Commission's activities. Then it would be entirely within the power of either house to use the Commission absolutely as a publicity bureau to spread such propaganda as the whim of the hour might dictate." Senator Butler of Massachusetts: "I believe the time has arrived when, for the best interest of our country and in justice to ourselves, we can honestly ask that the Government give us credit for our good intentions and the sincerity of our activities by halting the multiplication of supervising agencies. The Government, with justice to the members of the great American industrial family, can go further and begin an elimination of certain of the boards, bureaus, departments and commissions of Paul-Prying activity, and accomplish a substantial saving of the public payroll without any loss of public service." Senator Borah of Idaho: "It seems to me that the best thing to do with reference to the Federal Trade Commission is to abolish it. It is perfectly apparent that it is not going to be of any service to the country. . . . "After a commission of this kind comes under the influence of factional politics and political pressure from the outside, it can be of no possible service to the people. The Commission is no longer a protection for the small business interests--the purpose of its creation cannot, under existing conditions, be realized." Senator Norris of Nebraska: "The Commission should be abolished. It was set up as a judicial tribunal, but by the appointment of Humphrey, the Administration has been able completely to destroy the judicial character of the Commission and turn it into a rubber stamp. Only crooked business can prosper by the new rules of secrecy."