U.S. Denies a Permissive Stand on Antitrust Laws

WASHINGTON — The Justice Department today denied it has deliberately failed to enforce antitrust laws on mergers, but critics accused the Administration of being so lax that states have been forced to try to preserve business competition.

Sen. Howard M. Metzenbaum (D-Ohio), who heads the Senate antitrust subcommittee, opened a hearing by accusing the Administration of fostering the most permissive merger climate in 70 years in order to advance the philosophy of free enterprise.

The result has been a reduction of competition that leads to increased prices for consumers, he said.

“The basic message is: ‘Relax,’ ” Metzenbaum said. “ ‘Let big business do what it wants.’ ”

Charles Rule, acting assistant attorney general and head of the Justice Department’s Antitrust Division, disagreed.

“The department has enforced and will continue to enforce the antitrust laws with respect to mergers,” he said, “to ensure that those transactions that threaten significant harm to consumers are not permitted to occur.”

Rule said that mergers often perform beneficial functions and that recent increases in merger activity should not be viewed with concern.

Anthony Celebrezze Jr., attorney general of Ohio, said he does not dispute that some mergers are beneficial but said the Justice Department is not doing what it must to fight anti-competitive mergers.