The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1853-04-14

sc.Ir or VOTING In JOINT STOCK
COMPANIES.
The law of the recent session OF tue 'es's,A
,ure designed to increase the "e's"' v "o
s,.,s and large stockholders inthe proceedings
..a,,.ns.c,;ous of join, stock companies mas
,roxoked a considerable degree OF 'he 'ensuie
.ss Whether the State IS to blame
f., This. or what agency party may nave hao
:, :, we shall not undertake to say nu' since
.n.x,rsxa,ant view Of its consequences may
IT. sfTsct of lettering citizens from pur-
.h.s;ns stock, we think ii proper that we may
Gov something on the subject.
IT, ssl effect. so far as the Commonwealth
g concerned, will be togive her one vote for
.vsrv four shares she holds, instead Of one for
every ten, as formerly. The law also contains
q proriso that the State vote in meetings
Of stockholders, shall never exceed two-thirds
of the number of votes cast by others than the
State. When we recollect that the private
stock is chiefly held in amounts OF ten shares
. nd under, and that each holder of ten shares
and less. has vote for each of his shares, 1t is
verv pIain that the Commonwealth must be in
the inority.
But the best argument that can be Afforded is
the effect of the law on the voting of some one
of the companies. The President of the Gen.
1ral Railroad Company has furnished US with
q statement showing the effect on that eompa'
nv. The statement of the vote at the last an
nual meeting is based on the actual state oil
things at that time. Transfer OF stock and new
subscriptions change the result slightly; but
not in any material degree. The comparison
nav be considered fair representation of the
effect on that company, and as the mode OF SUBJ
scription in that company, and the amounts
held by private stockholders, are pretty much
the same as in other railroad and joint stock
companies, the comparison may be regarded as
a tolerably fair exhibit of the general effect on
joint stock companies.
On the 29th Oct, 1852 the scale of voting
boIJers 44OO
The Commonwealth 900
Majority for private st ock 34l0
would give $500
The Commonwealth 1882
Majority for private stock 1910
The diminuton of the ms jority of the private
stock it is true is considerable; but still the
majority is large. The law will have one eff.
feet that will be gratifying to corporations hold
ing stock in companies: which is, that it very
much increases their vote. For instance,
Richmond, (as we find it stated in the En-
quirer,) upon her $3.50, 900 Of stock in the DAN
vile Company gave $40 votes under the code,
while under the law of the last session she
will be entitled to 632, thus having her inau
ence nearly doubled. The city and other large
holders of stock profit by the new law as the
Commonwealth does-getting vote tor every
four shares.
This alteration in the scale of voting will
affect all charters granted siRce March, 1887,
when the general law prescribing certain gen.
eral regulations for the government OF Railroad
Companies was passed, providing that every
charter thereafter granted to Railroad Com
pany may be altered or modified by any future
Legislature in such mannsr as it may deem
proper, except that the works Or property of
Company shall not be taken from it without
compensation; nor its tolls be changed with
out its consent.
We suppose that the old Companies, char
tered before 1887, and whose charters have not
been brought under the general law by further
amendments made in the process of obtaining
further subscriptions from the State, cannot
be brought under the operation Of the new law.