Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1867-04-03

L
with said commissioners And if the hold
ors OF three iourths in amount Of said bonds
do not subscribe for such stock in exchange
therefor, then said commissioners shall re-
turn TO each subscriber the bonds 80 by him
deposited
| Sec. 3 When the holders of three fourths
in amount Of said bonds shall have subscribed
Tor such capital stock in exchange for said
bonds in the manner herein provided, said
commissioners shall certify the fact under
their hands and seals, and cause such certif-
cate 10 be- recorded in the Office Of the Score
tary Of state. And said commissioners shall
then call the first meeting of said stock
holders for the organization of said company
To be holden ut Rutland on some dav hv said
commissioner. TO be designated. And ten
| days notice shall he given by said commits
sioucrs of the time aud place OF said meet
ing to each of said stock holders. either per
sonally or by mail, properly directed and
| post paid
Sec. C. The officers of said corporation
who shall Doc chosen ut said first meeting
shall be not less than FIVE. nor more than
nine directors And said directors shall
elect one Of their number as president. and
| shall appoint treasurer and n clerk And
all said officers shall hold Office for one wear,
and until others nre duly elected or appoint
ed in their stead
See. :. When said corporation shall have
been duly formed and Organized under the
provisions of this act, it shall become vested
with all the powers, rights. privileges and
| franchises for maintaining and operating
said railroad, which were vested in and en-
loyed by said Rutland and Burlington Rail
road Company And it shall be subject To
like duties and liabilities And shall likewise
succeed 10, hold and enjoy all rights. benefits.
title and advantage derived or 10 be derived
| by the trustees Of said second mortgage or
decd OF trust under any decree of foreclosure
OF the same OF Of sale Of said road and
mortgagcd property And all rights, title
and interest acquired by said trustees under
any such foreclosure or sale shall vest in
said corporation. And said corporation may
ot once take possession of and maintain and
operate said railroad subject 20 all existing
rights Of other parties, and may proceed in
any manner it may deem expedient, either
by purchase or otherwise, 70 obtain the title
ana ownership on the use and benefit Of the
whole estate and To satisfy the interests or
claims, undivided or otherwise of any other
party or parties interested ia said railroad
or any part thereof And until the interests
OF such other parties shall become vested in
such new corporation, said corporation shall
be the trustees thereof, and shall be account
able therefor a. such
Sec g. said corporation shall be author
lied upon vote Of their directors 10 issue a
preferred or guaranteed stock for the purpose
VI satisfying, paying or Purchasing prior
claims or membranes upon or interests in
SAID road and property, and not exceeding in
amount the amount Justly due upon said
PRIOR claims or membranes And such
stock may be exchanged for such prior claims
or membranes upon such terms as NAV bel
agreed on And said preferred or ruaran-
tecd stock when 20 issued shall be entitled
90 receive dividends from the earnings and
income OF said corporation at the rate of
seven per cent per annum, payable ecmi-an-
nuallyi free Of United States tax before any
other dividends shall be made thercfrom
And said corporation shall pay and shall be
liable 20 pay such dividenda on said preferred
stock sem-annually from their earnings or
income And until declared interest ehall
be added 10 each dividend from the end of
the half year when the same should be de
clared And no dividends shall be paid on
the common stock Of said corporation until
"A dividend Is made on said preferred stock.
nor while any scmi-annual dividend on said
stock or interest thereon. herein provided
for, remains undeclared And no mortgage
OF sad road and property, or any part there
Of, shall be made by said corporation that
shall take precedence of said preferred or
guaranteed stock in the application of the
income OF said corporation
See. g. No preferred or guaranteed stock
shall be issued by said corporation unless an
equal amount Of claims or membranes on
said road and property prior to that OF said
corporation shall be thereby satisfied. retired
or exchanged therefor And il riv such
preferred OF guaranteed stock shall be issued
in violation Of the provisions of this section.
the directors of said corporation shall be
personally liable to any holder Of such stock
for such damages as he may sustain in CON
sequence Of such over issue
Sec. 10. Said corporation shall be author
lied and empowered to make any bylaw. not
inconsistent with the provisions of this act
nor with the laws of this State, and to make
any and all lawful contracts touching the
satisfaction, adjustment or payment Of prior
membranes on said road and property
See. II. Said corporation shall be au
thorized TO make the preferred stock herein
provided for convertible into common stock
of said corporation at the option Of the
holder
Sec. II. This act shall be subject 10 the
action of any future Legislature, to amend,
alter or repeal, as the public good may
require
Sec 10. rhissact shall take effect from
its passage.
Approved March %, 1867
An Act TO enable the towns therein named
TO aid in the construction Of the Montpe.
lier and St. Johnsbury, and Essex County
Railroad