Part 20
By and large, the antitrust laws can be effectively applied to combat restraints upon the domestic and foreign commerce of the United States whether the practices, agreements or conspiracies complained of have their inception in this country or elsewhere.
It has become an accepted principle of law that acts done or agreements entered into in a foreign jurisdiction, even though lawful there, may be prosecuted or enjoined in this country where the effect or result of such acts or agreements is a violation of our laws. This principle has been applied in antitrust cases, and agreements which restrain our trade with foreign nations have been uniformly declared illegal. Our courts may control foreign citizens or corporations operating wholly in foreign territory, where their operations extend into the domestic and foreign commerce of this country, just as we may undoubtedly control the activities of our own citizens and our own corporations which impinge upon our domestic and foreign trade and commerce.
The mere fact that a combination is formed in a foreign country does not prevent the application of our laws where it affects the foreign commerce of this country and is put into operation here. Conversely, combinations or agreements entered into in the United States and adversely affecting the foreign trade of this country are subject to the antitrust laws even though the acts done to effectuate the restraints are performed outside this country. It is recognized that some cartel arrangements are instigated by or under cover of foreign governmental authority, but unless the cartel arrangements complained of are solely participated in by the foreign government, the situation is not altered.
While a foreign sovereign may have immunity from suit, such immunity does not apply to private individuals or organizations even though they may be acting pursuant to the laws of their own country, or as agents for their government or though a foreign government may have a substantial financial interest in the challenged organization and activities.
The practical difficulty of acquiring personal jurisdiction over some of the foreign individual or corporate participants in a cartel which affects our foreign or domestic commerce is often confused with the question of whether or not a violation of our antitrust laws is involved. This, however, is a technical problem depending upon an aggregation of facts rather than a question of substantive law involved in restraints upon commerce.
The following is a list of antitrust cartel cases instituted by the Department of Justice since 1937:
_Aircraft Accessories_: Bendix Aviation Corporation, et al.; complaint filed November 19, 1942; postponement of trial requested by War and Navy Departments.
_Alkali_: United States Alkali Export Assn., Inc., et al.; complaint filed March 16, 1944; argument had May 10, 1944 on motions to dismiss.
_Aluminum_: Aluminum Company of America, et al.; petition filed April 23, 1937; judgment denying Government relief filed July 23, 1942; on appeal.
_Chemicals_: Imperial Chemical Industries, Ltd., et al.; complaint filed January 6, 1944.
_Chemicals and Petroleum (Including Synthetic Rubber)_: Standard Oil Company (N. J.), et al.; complaint filed March 25, 1942; consent decree entered March 25, 1942; supplemental judgment filed April 7, 1943. Information filed and pleas of nolo contendere on March 25, 1942; fines levied totaled $50,000.
_Dyestuffs_: Allied Chemical & Dye Corp., et al.; indictment returned May 14, 1942; Attorney General acquiesced to postponement of trial until it will not interfere with defendant’s war production. General Dyestuff Corp., et al.; indictment returned December 19, 1941; pending on preliminary motions.
_Fertilizer_: American Potash & Chemical Corp., et al.; complaint filed May 15, 1940; consent decree entered May 21, 1940. Chilean Nitrate Sales Corp., et al.; indictment returned September 1, 1939; dismissed as to 18 defendants June 3, 1941 to August 28, 1942; pleas of nolo contendere by 6 defendants August 28, 1942; fines levied totalling $35,000. Allied Chemical & Dye Corp., et al.; complaint and consent decree entered May 29, 1941. Imperial Chemical Industries (N. Y.), Ltd., et al.; complaint and consent decree February 17 and 18, 1942. Mutual Chemical Company of America, et al.; indictment returned June 26, 1942; Attorney General acquiesced to requests by War and Navy Departments for postponement of trial. Synthetic Nitrogen Products Corp., et al.; complaint and consent decree, September 5, 1941.
_Fluorescent Lamps_: General Electric Company, et al.; complaint filed December 9, 1942; Attorney General acquiesced to postponement of trial requested by War and Navy Departments.
_Fuel Injection Equipment_: American Bosch Corp. and Donald P. Hess; complaint and consent decree, December 29, 1942.
_Glass Bulbs_: Corning Glass Works, et al.; indictment returned August 28, 1940; pleas of nolo contendere and fines totalling $47,000 September 9, 1941.
_Gyroscopic Instruments_: The Sperry Corporation, et al.; complaint and consent decree entered September 1, 1942.
_Hormones_: Ciba Pharmaceutical Products, Inc., et al.; information filed and pleas of nolo contendere, December 17, 1941; fines of $18,000. Roche-Organon, Inc., and Elmer H. Bobst; information filed and pleas of nolo contendere, December 17, 1941; fines of $6,000. Schering Corporation, et al.; information filed and pleas of nolo contendere, December 17, 1941; fines of $24,000; complaint and consent decree entered same day. Swiss Bank Corporation; complaint and consent decree, December 17, 1941. Julius Weltzien and Schering Corporation; information filed and pleas of nolo contendere, December 17, 1941; fines of $6,000.
_Incandescent Lamps_: General Electric Company, et al.; complaint filed January 27, 1941; Attorney General acquiesced to postponement of trial requested by War and Navy Departments.
_Magnesite Brick_: Harbison-Walker Refractories Company, et al.; indictment returned January 20, 1941; pleas of nolo contendere and fines of $76,500, July 22, 1941; pending as to Veitscher Magnesitwerke Aktiengesellschaft and Magnesit Co., Ltd., whose motion to vacate services of summons has been referred to a special master, also as to Magnesit Industrie Aktiengesellschaft.
_Magnesium_: Aluminum Company of America, et al.; complaint filed; consent decree entered April 15, 1942; indictment returned January 30, 1941; pleas of nolo contendere, April 15, 1942, and fines of $104,993. To be set for trial as to I. G. Farben and Dietrich Schmitz. American Magnesium Corporation, et al.; indictment returned January 30, 1941; pleas of nolo contendere and fines of $15,003, April 15, 1942; case to be set for trial as to I. G. Farben and Gustav Pistor. Dow Chemical Company, et al.; indictment returned January 30, 1941; pleas of nolo contendere and fines of $20,004, April 15, 1942; to be set for trial as to I. G. Farben.
_Matches_: Diamond Match Company, et al.; complaint filed May 1, 1944.
_Military Optical Instruments_: Bausch & Lomb Optical Company, et al.; indictment returned March 26, 1940; pleas of nolo contendere and fines of $41,000, May 27, 1940 and March 5, 1941; pending as to Carl Zeiss (a German firm). Complaint filed July 9, 1940, and consent decree entered same day as to all defendants except Carl Zeiss.
_Molybdenum_: Climax Molybdenum Company, et al.; complaint filed August 19, 1942 and consent decree entered August 21, 1942.
_News Reporting_: The Associated Press, et al.; complaint filed August 28, 1942; Decree for Government January 13, 1944; appeal of defendants docketed in Supreme Court, April 13, 1944.
_Newsprint Paper_: Crown Zellerbach Corporation, et al.; indictment returned July 12, 1939; 6 defendants pleaded nolo contendere and were fined $30,000, May 2, 1941; remaining defendants dismissed.
_Pharmaceutical Products_: Alba Pharmaceutical Company, Inc., et al.; information filed, pleas of nolo contendere, and fines of $26,000, September 5, 1941; complaint filed and consent decree entered same day. The Bayer Company, Inc., et al.; complaint filed and consent decree entered, September 5, 1941. Merck & Company, Inc., et al.; complaint filed October 28, 1943; Government moved to join the Alien Property Custodian as party plaintiff, May 8, 1944.
_Photographic Materials_: General Aniline & Film Corporation, et al.; indictment returned December 19, 1941; pending on preliminary motions. Dietrich A. Schmitz, et al.; indictment returned December 19, 1941; pending on preliminary motions.
_Plastics_: E. I. du Pont de Nemours & Company, et al.; indictment returned August 10, 1942; Attorney General acquiesced to postponement of trial requested by War and Navy Departments.
_Quebracho_: The Forestal Land, Timber and Railways, Ltd., et al.; complaint filed December 20, 1943; pending on preliminary motions. The Tannin Corporation, et al.; indictment returned November 24, 1942; pleas of nolo contendere and fines of $59,003, January 12, 1943 and April 19, 1943; dismissed as to the remaining defendants, August 24, 1943.
_Titanium Compounds_: National Lead Company, et al.; indictment returned June 28, 1943; case set for trial on October 3, 1944; complaint filed July 1, 1944.
_Tungsten Carbide_: General Electric Company, et al.; indictment returned August 30, 1940; superceding indictment returned October 21, 1941; Attorney General acquiesced to postponement of trial requested by War and Navy Departments.
APPENDIX II
_Bibliography_
Arnold, Thurman W., _The Bottlenecks of Business_, New York, 1940.
Ballande, Laurence, _Essai d’etude Monographique et Statistique sur les Ententes Economiques Internationales_, Paris, 1936.
Boehm, Franz, _Wettbewerb und Monopolkampf_, Berlin, 1933.
Borkin, Joseph and Welsh, Charles A., _Germany’s Master Plan_, New York, 1943.
Burns, Arthur R., _The Decline of Competition_, New York, 1936.
Clark, John B., _Control of Trusts_, New York, 1912.
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_Index_
Abbe, Dr. Ernst, 144
Abbott Laboratories, 92, 95, 96, 110
Acetol Products, Inc., 87, 91, 93, 105, 110
Addison’s disease, 61, 73
Agriculture, Dept. of, 109
Aircraft accessories, 252
Airplanes, 157
Alba Pharmaceutical Co., 256
Alien Property Custodian, 34, 59, 64, 76, 81, 125, 140, 143, 178, 200, 219, 220, 256
Alig Agreement, 222
Alkasso (See United States Alkali Export Ass’n.), 193, 199–204, 252
Allied Chemical and Dye, 181, 253
Allies, 215, 240
Aluminum, 11, 33, 221, 222, 236, 253
Aluminum Co. of America, 221–225, 253, 255
Aluminum production, French, 6
American Bosch Corp., 254
American Magnesium Corp., 221–223, 255
American Medical Ass’n., 90, 106
American Potash and Chemical Corp., 200, 202, 253
American Tanners, Ltd., 122
American Telephone and Telegraph Co., 21
Animal Industries Bureau, 109
Antitrust Division of Dept. of Justice, 35, 83
Antitrust laws, 38, 48, 58, 77, 130, 154, 176, 198, 205, 250, 251
Argentina, 71, 113–115, 119, 165, 176, 183, 184
Armistice, 215
Army Air Corps, 22, 23, 25
Arthritis, 57, 91
Associated Press, 256
Asthma, 91
Atabrine, 229, 230
Atlantic Charter, 10, 209
Atlantis S. A. Panama, 69, 70, 71
Ayerst, McKenna and Co., 89
Badische Anilin und Sodafabrik A.G., 211
Barkey, J. A., 121
Barney, L. D., 85, 87, 97, 100, 104
Barrett Co., 241
Bartholomew, Sir Clarence, 185
Barton, L. E., 126
Basal Agency, 122
Bauer, K. A., 173
Bausch and Lomb G.m.b.H. Frankfort-on-the Main, 155
Bausch and Lomb Optical Co. (Rochester), 24, 142–175, 255
Bausch, Carl L., 155
Bausch, Dr. Edward, 154, 165, 166, 170, 171
Bayer, 205 (See Germanin), 55
Bayer Co., Inc., 256
Bayliss, 60
Belgian Congo, 1
Belgian Solvay (See Solvay et Cie), 202–204
Bell Laboratories, 21
Bell System, 22
Bendix Aviation Corp., 218, 252
Berst-Forster-Dixfield Co., 185–189, 191
Beryllium, 34, 47, 220
Beryllium Corp. of America, 220
Binoculars, 143, 166, 170–174
Blacklisting, 101
Blumenfeld, Joseph, 127, 129
Bobst, Elmer H., 254
Boehringer and Sons, C. F. (Mannheim), 61, 74–76
Bombsights, 144, 156
Borden Co., 89, 106
Bosch, Robert, A. G., 214
Brazil, 113, 114, 176, 183
British Cabinet, 5, 8
British Laporte Co., 133
British Match Corp., Ltd., 185
British Maxium, 223
British Purchasing Commission, 217
British Titan Products, Ltd., 133, 134
Brodbeck, James, 72
Bryant and May, Ltd., 185, 189, 190
Bulbs, glass, 254
Buna, 212
Buttle, N. A., 101
California Alkali Export Ass’n., 193, 199–204
Canada, 16, 79, 132, 176–178, 181, 186, 187, 190, 203, 217, 218, 225
Canadian Industries Ltd., 134, 181, 184, 225
Canadian Titanium Pigments, Ltd., 134
Carnation Co., 106
Carpenter, Walter Samuel, Jr., 179
Casado extract, 118
Chamberlain, Joseph, 5
Chemical and Pharmaceutical Enterprises, Ltd., 64, 68–70
Chemical Marketing Co., 215
Chemical pharmaceutical industry, 54
Chemicals, 253
Chepha, 64, 68–70
Chilean Nitrate Sales Corp., 253
Chimio (See Les Laboratoires Francais de Chimiotherapie), 61, 76
Chlorate of potash, 186, 190
Cholesterol, 89, 110
Church and Dwight, Inc., 200, 202
Ciba (Basle) (See Society of Chemical Industry (Basle)), 61, 72–81
Ciba Pharmaceutical Products, Inc., 72, 254
Climax Molybdenum Co., 255
Cocomalt, 89
Cod Liver Oil with Viosterol, 97, 100
Commander Larrabee Co., 89
Commerce and Industry Ass’n., of N. Y., 193
Commercial Pigments Corp., 130
Compania Sud-Americana de Explosivos, 182
Congress, 16, 36, 37, 192, 193, 197, 198, 217, 232, 243, 244, 250
Corning Glass Works, 254
Cortate, 73
Cotan, S. A., 120, 122
Crown Zellerbach Corp., 256
Czechoslovakia, 14, 129, 162
Davis, Charles Krum, 179
Davis and Co., R. B., 89
Delta Pharmaceutical Corp., 69–71
D.E.N., 241
Deutsche Gold-und-Silber Scheideanstalt, 215
Diabetes, 52, 53, 57
Diamond Alkali Co., Inc., 200, 202
Diamond Match Co., 185–191, 255
Dodds, E. C., 80
Doitsu Senryo Gomei Kaisha, 135
Dow Chemical Co., Inc., 200, 202, 221–225, 255
Drisdol, 103
Duisberg, Carl, 232
du Pont de Nemours and Co., E. I., 24, 124, 125, 130–134, 140, 141, 179–185, 218, 225–227, 241, 244, 245, 256
du Pont, Lammot, 179, 183, 226
Dusseldorf, peace of, 14, 16
Dyestuffs, 6, 30, 43, 184, 214, 215, 253
Dynamit Aktiengesellschaft, 182
Economy, American, 36–39, 51
Eddy Match Co., Ltd., 185, 190
Edison, Thomas, 44, 46
Egeler, Mr., 28
Ehrlich’s “Magic Bullet” (See Salvarsan), 47
Eisenhart, M. H., 165
Elley, H. W., 88, 92
Ely, Carl B., 116, 117
Engi, Dr. Joseph, 78
Ephedrine, 92
Ergosterol, 89–93, 103, 104, 111
Ergosterol, Irradiated, 98
Espionage, Nazi, 12
Ethyl Gasoline Corp., 24, 25, 26, 27
Explosives Industries, Ltd., 182
Fairburn, William A., 185–189
Falkland Islands, 240
Fauth Instrument Co., 144
Federal Trade Commission, 194, 195, 201
Federation of British Industries, 13, 235
Fertilizer, 253
Fleischmann Co., 87, 90, 93, 103, 105
Fluorescent lighting, 44, 254
Foreign Agents’ Registration Act, 209
Forestal Land, Timber and Railways, Ltd., 114, 116, 118, 121, 122, 256
Forinvent, 68, 70
Fortune Magazine, 168
Freedmen’s Hospital, 93
Fritzsching, E. T., 74, 75
General Aniline and Film Corp., 256
General Aniline Works, 31, 216
General Baking Co., 104, 105
General Dyestuff Corp., 253
General Electric Co., 42–45, 237, 254, 257
General Mills, 93, 104
General Motors Corp., 26, 180, 232
Geophysical Laboratory, 145
George, Lloyd, 5, 6
Germanin (See Bayer 205), 55
Germany, 5, 14, 15, 22–27, 33, 62, 64, 129, 135, 138, 142–147, 151, 161, 166, 175, 176, 182, 210–215, 219–221, 224, 227, 228, 231, 232, 235, 240, 246, 247
Glass container industry, 41, 42
Glucose-D, 89
Goodlass Wall Lead Industries, Ltd., 133
Good Neighbor policy, 10, 12, 209, 214, 230
Goodrich, 212
Goodyear, 212
Gordon Corp., William, 185, 187, 191
Graham crackers, 89
Great Britain, 14–17, 80, 132, 166, 216, 217, 224, 235, 237, 240
Grecian Navy Dept., 149
Hague, The, 150
Haight, George I., 84, 85
Hammond and Carpenter Corp., 120
Harbison-Walker Refractories Co., 255
Hayfever, 91
Hess, Donald P., 254
Hitler, Adolf, 142, 143, 146, 150, 154–159, 162
Hoffman-La Roche, Inc., 73, 74
Holland, 27
Holman, Howard F., 185
Hooker Electrochemical Co., Inc., 200, 202
Hormones, 58, 59, 60, 61, 67, 69, 72, 74, 76, 254
Horton, Ralph, 103
House Judiciary Committee, 196, 198
Howard, Frank, 210
Howes Bros., 117
Hydrogenation, 22
Hydrogenation plants, 23
I. G. Farbenindustrie, 24, 25–27, 54, 84, 88, 124, 125, 129–132, 135, 137, 141, 180, 181, 184, 186, 190, 201–204, 211–213, 216–225, 228, 229, 232, 241, 255
Illinois, University of, 91
Imperial Chemical Industries, 125, 132, 133, 179–185, 199, 203, 204, 225–227, 241, 245, 253
Imperial Chemical Industries (N. Y.), Ltd., 200, 201, 204
Imperial Smelting, 133
Indiana Condensed Milk Co., 106
Industrias Chimicas Brazeileiras “Duperial,” S.A., 183
Industrias Quimicas Argentinas “Duperial,” S.A., 183
Instruments, gyroscopic, 254
Instruments, military optical, 255
Insulin, 52, 53, 60, 66
Interflash Signal Corp., 148
International Match, 189
International Products Corp., 114, 117, 119–122
International Standard Electric Corp., 167
Jackson Laboratory (du Pont’s), 31
Japan, 118, 129, 132–136, 186, 190
Japanese Titanium Co., 135
Jebsen, Gustav, 127, 128, 129, 133, 136, 137, 139
Jewett, Dr. F. B., 21
Justice, Dept. of, 3, 35, 39, 46, 58, 112, 176, 179, 185, 193, 195, 199, 204, 220, 225, 252
Kaiserism, 3, 5
Kamp, H., 72, 73, 76, 80
Keim, R. D., 97
Keuffel and Esser, 160, 168
Kewley, Joseph E., 254
Kies, W. S., 103
Kilgore, Senator Harley, 247
King, Kenneth T., 103
Kokusan Kogyo Kabushiki Kaisha, 135
Kovaks, S. S., 89
Krebs Pigment and Color Corp., 130
Kreuger, Ivar, 187, 188, 189, 190
Krupp Works (Germany), 42
La Chaquena, S. A., 120
La Forestal Argentina, S.A., 114, 117, 118
Lamps, electric, 43, 236
Lamps, flashlight, 28
Lamps, incandescent, 254
La Prensa, 119
Larson, W. N., 100
Lasdon, W. S., 75
Latin America, 12, 13, 68–71, 176, 214
Les Laboratories Francais de Chimiotherapie (See Chimio (France)), 61, 76
Lever Bros., 105
Light metals, 33
Lignite, 211
Lind, Paul Bertil, 185
Lion Match Co., Inc., 185, 187, 189
Literary Digest, 166
Lithopone, 126, 140, 141
Lomb, August, 155–161, 170
Lomb, Carl, 154, 165
London, University of, 86
Loose-Wiles Biscuit Co., 89
Magnesit Co., Ltd., 255
Magnesite Brick, 255
Magnesit Industrie Aktiengesellschaft, 255
Magnesium, 11, 34, 214, 220–224, 236, 237, 255
Magnesium Development Co., 222
Malaria, 57, 229
Matches, 186, 255
Mathieson Alkali Works, Inc., 200, 202
McGowan, Harry Duncan, 179, 181, 183, 226
Meade-Johnson and Co., 94, 95, 96, 99–101
Medical Research Council, 80
Meinhardt, 231
Merck and Co., Inc. (N. J.), 76, 176–178, 256
Merck, E. (Darmstadt, Germany), 76, 176, 177, 178
Merck, George W., 177
Mercurials, 178
Merrell Co., W. S., 98, 111
Metal and Thermit Co. of N. Y., 220
Metals, Alkali, 184
Methyl Methacrylate, 28, 29
Milas process, 88
Milk of Magnesia, 66
Mines, U. S. Bureau of, 221
Molybdenum, 255
Mond, Henry, 179
Monroe Doctrine, 214
Moore-McCormack Steamship Co., 121
Munich, peace of, 14
Mutual Chemical Co., of America, 254
Narcotics, 55, 178
Nathan and Co., Joseph (Great Britain), 84, 88
National Lead Co., 124–137, 140, 257
National Titanium Pigments Co., Ltd., 133
Navy, U. S., 143, 147, 148, 158, 163, 164, 166, 170–174