The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1849-03-28

Sec. That for the purpose Of connecting the nsvi
CATION Of the osnsl Of this company With toa cans
pany are hereby empowered TO erect ana co astract
either . bridge squeduct ~ to tbs said com psuy
may seem most cenve across the river Delaware
tbs western tsrm'n alton Of the said anal
provided aSsys that the said bridge usduct shall
To constructed In such that tho same shall
not unnecessarily interfere With tds navisanou or
fisheries Of the said river; asd provided that the
visions OF this section shall not take effect until sui-
lar power Ia conferred upon the said company by the
State Of Pennsylvania.
Companies suoh this where the stock Is scattered
and continually changing hands revery liable to abuss
by those having the control Of them and the Of
the stockholders is frequently saorinoed to answer
some sinister purpose. The first section ofthe supple
ment, merely reduces the number Of shares Of the
existing stock The 3D. 4th, 5th and 9th sections d.
rect the mode Of subscription and acceptance of
the charter and relinquish the banking privileges
Of the company. The 9TH section, reduces the mum
Der Of directors and the 9Th and last section suths
rises the building Of aquaduot bridge over the
Delaware river, II the consent Of Pennsylvania be
obtained.
1t will be readily perceived that all Of the supple
ment which is Of much Importance IL embraced In the
I'd section, which authorizes the said Company to
issue eleven thousand hundred and ATTY shares
of stock preferred STOCK to boar such Of
dividends the board Of directors may prescribe to
enable tho said company to perfect their canal"
Now In reference to this act 1t will be ct once
that b not required that tbs whole number of shares
any particular part thereof Of the preferred stook
should be subscribed In order to make tho subsorp.
ten valid and binding. appears that preferred stock
may be issued from 500 to the whole amount. The
rate Of dividends to be declared the preferred stock
Ii left exclusively with the directors, and they may
make them large absorb ell tho earnings Of tho
canal leaving nothing for the present stockholders.
t. <l.t.-
bound to prescribe what the dividends shall bs ON
this preferred STOCK before subscription or After or
whether 1t may not be increased altered afterwards
II settled before and consequently, whether the per-
Sons taking the stook after they tho control
Of the company, can regulate the dividends. The
more reasonable course not construction however
would be- that the rates Of dividends should b. settled
before the books are opened. 1t Is generally supposed
that this company is now indebted $500 900 and
as this debt is alleged to be by mortgage this
new stock could not be preferred this debt There
FORE 1t Is probably plated that the bondhoders
will, by an understanding and arrangement with tho
directors take this preferred stock exchange for
their bonds.
We spprehend that very little, II any more Of this
preferred stock will be taken than tho Of the
bonds and Other debts Of the company If this should
be the case, then the sot and proceedings under it
foreclosure Of tho mortgage to speak more strictly
foreclosure by the directors under this act and by
this mode Of foreclosure all the questions of usury
now 90 much dreaded Wall street, would be avoided
when the fact is notorious that the company, in
cases, received only about 40 per cent on tho
par value of the bon1s-and the holders of the pre-
ferred stock would absolutely tho CANAL and the
present stock would be worthless. Instead Of en-
closing their proxies as requested Is important that
all the stockholders should be present at the meeting
by the 9th section Of the supplement 1t appears
that thirds Of the stock voting be fsvorable-not
twothrds Of the whole capital ssock-t is an accsp
lance Of the charter.
appears to US that meeting CT the board of di.
recors should have been called at tho Same time and
place with the meeting for the election of directors
and acceptance Of supplement to charter for the pur
pose of having definite understa uding how the ex-
tensive Of the directors in relation to the pre-
ferr.d etoek should be exercsed and at that meeting
Q statement Of the affairs Of the company, with the
amount paid to Office 6. Sc should be reported We
informed that nothing has been received by the
stockholder and that the interest due the boads