Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1870-02-27
NEW STATE RON0s


The following is the bill introduced u
the House yesterday by MIR. Steele, Chair
man of the House Committee of Finance
Ways and Means. 1t passed thefirstread
ing and was referred to the Committee Of
Finance, Ways and Means. One hundred
copies of the bill were ordered to be print.
| ed:
bill relating to the bonds issued to railroads and
| to fund the bonded debt of the State Of Ten,
nessee since the first day Of April, 1855.
Whereas, The people express manifest
| discomfort under the burdens and liabili-
ties of taxation imposed on them for the
payment of the principal of and interest
| on the bonds that have been sold at an ex-
tremely deprecated price, that have been
| issued and sold in violation of law or on
bonds that are in the hands of railroad
officials and without any benefit to the
State; therefore,
Section l. Be it enacted by the General
Assembly of the State of Tennessee, That
the several Presidents, Receivers and
Treasurers of all those Railroad Compa-
MES in Tennessee or elsewhere, to whom
bonds of the State have been issued under
any act or acts of the General Assembly
of the State of Tennessee, passed since
the first day of April, 1865, or that have
been turned over to them by their pre-
decessors in Office, be required to file and
deposit with the Comptroller of the Treas
ury an extract or statement sworn to from
his or their books, showing the amount
paid over to such Railroad Company
President, Receiver or Treasurer, as the
proceeds of the sale of said bonds or pOr-
tons of said bonds, and the time and
place of sale of said bonds, and the person
or persons to whom sold, and the Comp
troller shall require the exhibition of the
books of the Railroad Company, Presi-
dent, Receiver or Treasurer, or may re-
quire the evidence of any person or doeu-
ment in proof of the statement or extract
so made and filed, and after such proof
has been taken and recorded, and which
shall have been subscribed and sworn to,
the price thus shown and proved to have
been received for those bonds shall be the
value that shall govern and control the
Comptroller of the State in faithfully exc
cutting the provisions of this act
Sec. 2. Be it enacted, That the Govern
or or Comptroller is hereby forbidden to
issue to such railroad company or COM
panies any bonds authorized but not
yet issued; that they or either. of them
further be forbiddeRtO pay any interest
on the bonds issued and sold on more
than the amount realized and received
from them; and that they or the Treasurer
of the State shah never pay off the princi-
pal when due more than what was real
lied and received for them when sold;
that is to say if one thousand dollar
bond only sold for two hundred dollars,
interest shall only be paid on two hundred
dollars and so on in proportion; and that
when such bond of one thousand dollars
natures only principal of two hundred
dollars or whatever amount was received
shall be paid for its redemption.
Sec. 3. Be it further enacted, That it
shall be lawful for any person holding
such bonds to return them to the Comp
troller, with proper Authorization and
proof of what was realized and received
for them and when presented to the
amountof one thousand dollars, the Gov
ernor and Comptroller shall issue new
bonds to him, or them, to the amount of
their value as affixed in the first section
of this act, bearing six per cent interest
and payable as before. The bonds so de-
ivered shall be cancelled and recorded in
book kept fOrthat purpose by the Comp
| troller, and correct account of the new
bonds issued shall be kept, as now re-
| quired by law Such new bonds shall be
designated on their face as Funding
Bonds OF the State of Tennessee.
Sec. 4. Be it enacted, That all railroad
companies, or their officers, specified
above, are hereby forbidden to sell any
bonds yet in their possession that have
| been issued to them until authorized here
after by law, but shall return them to the
| Comptroller of the State, who shall re-
| ceipt for them; and if any bonds be sold
| in violation of this act the Governor,
| Comptroller, or Treasurer of this State
is hereby forbidden to pay principal or
| interest on such bonds.
| Sec. 5. BE it enacted, That the pro-
visions of this act shall not apply to the
bonds issued in funding the bonded debt
of the State that was due on or before the
first day of January, 1870, and unpaid.
| Sec. 6. Be it enacted, That any viola
ton of this act shall be felony, and upon
conviction thereof, the person found gull
ty shall be imprisoned in the Penitentiary
not less than three nor more than ter
years, and any false swearing under the
provisions of this act shall be perjury,
and shall be punished accordingly.
| Sec. Z. Be it enacted, That this &C
shall take effect from and after its pas
sage.