Page:United States Statutes at Large Volume 52.djvu/1042

 52 STAT.] 75TH CONG., 3D SESS.-CH. 601-JUNE 23, 1938 carriers; and it may employ special agents or auditors, who shall have authority under the orders of the Authority to inspect and examine any and all such lands, buildings, equipment, accounts, rec- ords, and memoranda. The provisions of this section shall apply, to the extent found by the Authority to be reasonably necessary for the administration of this Act, to persons having control over any air carrier, or affiliated with any air carrier within the meaning of section 5 (8) of the Interstate Commerce Act, as amended. CONSOLIDATION, MERGER, AND ACQUISITION OF CONTROL Acts Prohibited SEc. 408. (a) It shall be unlawful, unless approved by order of the Authority as provided in this section- (1) For two or more air carriers, or for any air carrier and any other common carrier or any person engaged in any other phase of aeronautics, to consolidate or merge their properties, or any part thereof, into one person for the ownership, management, or operation of the properties theretofore in separate ownerships; (2) For any air carrier, any person controlling an air carrier, any other common carrier, or any person engaged in any other phase of aeronautics, to purchase, lease, or contract to operate the properties, or any substantial part thereof, of any air carrier; (3) For any air carrier or person controlling an air carrier to purchase, lease, or contract to operate the properties, or any substan- tial part thereof, of any person engaged in any phase of aeronautics otherwise than as an air carrier; (4) For any foreign air carrier or person controlling a foreign air carrier to acquire control, in any manner whatsoever, of any citi- zen of the United States engaged in any phase of aeronautics; (5) For any air carrier or person controlling an air carrier, any other common carrier, or any person engaged in any other phase of aeronautics, to acquire control of any air carrier in any manner whatsoever; (6) For any air carrier or person controlling an air carrier to acquire control, in any manner whatsoever, of any person engaged in any phase of aeronautics otherwise than as an air carrier; or (7) For any person to continue to maintain any relationship estab- lished in violation of any of the foregoing subdivisions of this subsection. Power of Authority (b) Any person seeking approval of a consolidation, merger, pur- chase, lease, operating contract, or acquisition of control, specified in subsection (a) of this section, shall present an application to the Authority, and thereupon the Authority shall notify the persons involved in the consolidation, merger, purchase, lease, operating contract, or acquisition of control, and other persons known to have a substantial interest in the proceeding, of the time and place of a public hearing. Unless, after such hearing, the Authority finds that the consolidation, merger, purchase, lease, operating contract, or acquisition of control will not be consistent with the public interest or that the conditions of this section will not be fulfilled, it shall by order, approve such consolidation, merger, purchase, lease, operating contract, or acquisition of control, upon such terms and conditions as it shall find to be just and reasonable and with such modifications as it may prescribe: Provided, That the Authority shall not approve any consolidation, merger, purchase, lease, operating contract, or acquisl- tion of control which would result in creating a monopoly or monopo- 1001 Scope. 24 Stat. 380; 48 Stat. 218. 49 U.S. C.§5 (8). Consolidation, merger, and acquisi- tion of control. Acts prohibited. Power of Authority. Provsos. Monopolies forbid- den.

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