NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
AS APPROVED ON FEBRUARY 2, 1935
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Approved Code N. 230---Aimendment No. 1
Registry No. 401-1-01
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Approved Code No. 230-Amendment No. 1
AMENDMENT TO CODE OF FAIR COMPETITION
PAPER BAG MANUFACTURING INDUSTRY
As Approved on February 2, 1935
APPROVING AMENDMENT OF CODE OF FAIR COMPETITION FOR THE
PAPER BAG MANUFACTURING INDUSTRY
An application having been duly made pursuant to and in full
compliance with the provisions of Title I, of the National Industrial
Recovery Act, approved June 16, 1933 for approval of an amendment
to the Code of Fair Competition for the Paper Bag Manufacturing
Industry, and a hearing having been duly held thereon and the an-
nexed report on said amendment, containing findings with respect
thereto, having been made and directed to the President:
NOW, THEREFORE, on behalf of the President of the United
States, the National Industrial Recovery Board, pursuant, to au-
thority vested in it. by Executive Orders of the President, including
Executive Order No. 6543-A, dated December 30, 1933 and Execu-
tive Order No. 6859, dated September 27, 1934, and otherwise; does
hereby incorporated by reference, said annexed report and does find
that said amendment and the Code as constituted after being
amended comply in all respects with the pertinent provisions and
will promote the policy and purposes of said Title of said Act, and
does hereby order that said amendment be and it is hereby ap-
proved, and that the previous approval of said Code is hereby
amended to include an approval of said Code in its entirety as
amended, such approval and such amendment to take effect ten (10)
days from the date hereof, unless good cause to the contrary is
shown to the National Industrial Recovery Board before that time
and the National Industrial Recovery Board issues a subsequent
Order to that effect.
NATIONAL INDUSTRIAL RECOVERY BOARD,
By W. A. HARRIMAN, Adminristrative Officer.
JOSEPH F. BATTLE,
WASHINGTON, D. C.,
February 2, 1935.
REPORT TO THE PRESIDENT
The White fHoule.
S;: This is a report on an amendment to the Code of Fair Com-
petition for the Paper Bag Manufacturing Indlustry which was
approved by you on January 26, 1934.
The purpose of this amendment is to provide for the approval
of a budget for the basic Code Authority and the several divisional
Executive Authorities, and to make contribution to Code adminis-
tration expense compulsory upon tihe members of the Industry.
The Deputy Administrator in his final report on said amendment
of :aid Code having found as herein set. forth and on the basis of
all the proceedings in this matter:
The Board finds that:
(a) The amendment of said Code and the Code as amended are
well designed to promote the policies and purposes of Title I of
the National Industrial Recovery Act including the removal of
obstructions to the free flow of interstate and foreign commerce
which tend to diminish the amount thereof, and will provide for
the general welfare by promoting the organization of industry for
the purpose of cooperative action of labor and management under
adequate governmental sanction and supervision, by eliminating
unfair competitive practices, by promoting the fullest possible utili-
zation of the present productive capacity of industries, by avoiding
undue restriction of production (except as may be temporarily re-
quired), by increasing the consumption of industrial and agricultural
products through increasing purchasing power, by reducing and re-
lieving unemployment, by improving standards of labor, and by
otherwise rehabilitating industry.
(b) The Code as amended complies in all respects with the perti-
nent provisions of said Title of said Act, including without ,limita-
tion sub-section (a) of Section 3, sub-section (a) of Section.7' and
sub-section (b) of Section 10 thereof.
(c) The Code empowers the Code Authority to propose the amend-
ment on behalf of the Industry as a whole.
(d) The amendment and the Code as amended are not designed
to and will not permit monopolies or monopolistic practices.
(e) The amendment and the Code as amended are not designed
to and will not eliminate or oppress small enterprises and will not
operate to discriminate against them.
(f) Those engaged in other steps of the economic process have
not been deprived of the right to be heard prior to approval of said
For these reasons the amendment has been approved.
For the National Industrial Recovery Board:
W. A. HARRIMAN,
FEBRUARY 2, 1935.
AMENDMENT TO CODE OF FAIR COMPETITION FOR
THE PAPER BAG MANUFACTURING INDUSTRY
The Code of Fair Competition for the Paper Bag Manufacturing
.Industry is hereby amended as follows:
By deleting Article II, Section 5 thereof and substituting therefore
5. It being found necessary in order to support the administration
of this Code and to maintain the standards of fair competition estab-
lished hereunder and to effectuate the policy of the Act, the Code
Authority and the Executive Authorities of the Subordinate Codes
of the several divisions of the Industry are hereby authorized:
(a) To incur such reasonable obligations as are necessary and
proper for the foregoing purposes, and to meet such obligations out
of funds which may be raised as hereinafter provided and which
shall be held in trust for the purposes of this Code and the Subordi-
nate Codes for said several divisions.
(b) To submit to the National Industrial Recovery Board (here-
inafter referred to as b the Board ") for approval, subject to such
notice and opportunity to be heard as the Board may deem necessary
(1) an itemized budget for the Code Authority and for the several
Executive Authorities of the estimated expenses of the Code Author-
ity and said Executive Authorities for the foregoing purposes and
(2) an equitable basis upon which the funds necessary to support
such industrial and divisional budgets shall be contributed by mem-
bers of the Industry and of the said several divisions.
(c) After such budgets and bases of contribution shall have been
approved by the Board, to determine and obtain equitable contribu-
tion as above set forth by all members of the Industry and of the
members of the said respective divisions and to that end, if neces-
sary, to institute legal proceedings therefore in the name of the Code
Authority or the Executive Authority of the division concerned as
the case may be.
'(d) Each member of the Industry and each member of each divi-
sion thereof shall pay his or its equitable contribution to the expenses
of.maintenance of the Code Authority and of the Executive Author-
ity of each division of the Industry of which he or it may be a mem-
ber, determined; as hereinabove provided, and subject to rules and
regulations pertaining thereto issued by the Board. Only members
of the Industry complying with the General and Subordinate Codes
and contributing to the expenses of their administration as herein-
above provided, unless duly exempted from making such contribu-
tions, shall be entitled to participate in the selection of members of
the Code Authority or any Executive Authority or to receive the ben-
efits of any of the voluntary activities of such Authoritiesort or to make
use of any emblem or insignia of the National Recovery Adminis-
(e) Neither the Code Authority nor any Executive Authority of
any division of the Irilustry shlall either incur or pay any obligation
substantially in excels of the aniount thereof as estimated in its ap-
proved budget, and shall in no event exceed the total amount con-
tained in the approved budget, except upon approval of the Board,
and no subsequent budget shall contain any deficiency item for ex-
penditures in excess of prior budget estimates except those which the
Board shall have so approved.
Approvell Code No. 2.3---Amnendalnt No. 1.
Registry No. 401-1-01.
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