MAY BE DISSOLVED

Evening Post, Volume CXXIII, Issue 144, 19 June 1937, Page 27

MAY BE DISSOLVED

BIG AMERICAN COMPANY

The United States Government recently filed a suit, charging the £30,000,000 Aluminium Company of America with a violation of anti-trust laws. The dissolution of the corporation is demanded, says the "Daily Telegraph." The company was founded by Mr. Andrew Mellon, the Pittsburgh millionaire, who was Ambassador in London for a year until March, 1933. In its petition the Government asks for the rearrangement of the company's property so as to break its "monopolistic control," and names not only the parent corporation, but also twenty-five of its subsidiaries and thirty-eight of its directors and stockholders. , A statement by the Attorney-General explained that the 'action has been filed at this time owing to the rise m the price of ingots. This, the Department of Justice cited as "an act of oppressive and unreasonable price-fixing made in the face of a large increase in earnings." The suit alleges that the Aluminium Co. is a monopoly and has power to fix arbitrary and discriminative prices. Company officials expressed astonishment that the suit should be filed in view of the. findings both of the Department of Justice and the Federal Trade Commission during the exhaustive investigation which lasted eight years to 1930. , . ~ The action is the second major blow dealt by the Roosevelt Administration to 'the Mellon interests in Pittsburgh. The -earlier action, which is still unsettled, concerned a suit filed against Mr. Mellon, seeking a levy of an^extra assessment of more than £600 000 respecting his 1917 income tax and alleging illegalities in the preparation ot I that return.