The Van Buren press., 1873-04-15
tor the enacting clause Of the house bill,
4 ;..o,, tho fDIln

TO the state, which shall deliver to the
treasurer of state certificates of full paid
preferred stock Of said company not liza
bile TO assessments, and which shall be
entitled to q dividend Of seven per
cent payable in money or bonds or past
due coupons, issued to aid in the con-
struction of railroads, before any divi-
dend shall be paid on any OF the other
stock of equal amount to the bonds is
sued to said company and other indebt-
edness and any railroad company now
existing. or which has been or may be
organized by purchasers or otherwise,
are authorized by vote Of the majority
Of the directors of said company to issue
and deliver to the treasurer of state the
amounts of preferred stock herein iudi-
Gated, which. VIII, n rendered and deliver
d by said company, shall release the
sa - from the payment OF the principal
Of said bonds delivered to said conn any.
and the interest or tax due or 10 fall due
thereon. and from any and all Liabilities
20 the state Of Arkansas arising out Of
he delivery of said bonds to said rail
road company, under ard by virtue of
the provisions of an act entitled An act
% aid in the construction OF railroads,
and from any other Indebtedness, and up
IN tender If said preferred stock, the
treasurer shall execute and deliver, in the
name and on behalf of the state, Il receipt
for said stock and discharge Of said rail
road company from the payment Of the
sad bonds, interest or tax due thereon.
nj any other indeb;cd IS for which
ock wns delivered; Prorided, That it
>lall be unlawful for he G vernor to is
SUE any bonds to any railroad company
which may be entitled to aid until otter
Mc expiration y n'nety days after the
passage Of this act, and not then if said
company shall accept any of its provi
SONS; Prsrided, Jurther, That anv rail
road company avaiing itself of the ben
efits of this section. whenever The board
OF directors, or a majority thereof, shall,
within ninety days from the passage OF
this act file with tie governor a written
acceptance Of the provisions of this act,
and Il release of the state from the fur
the issue of bonds, and the right to dc
mand the same, and the aid so surrender
ed shall not again be awarded or re-
awarded to any other railroad by the
"a lroad commissioners or other au,hori.
ty.
Sec. 2 That any and all dividends
which may be declared upon said rail
road stock delivered to the state shall tc
paid into the treasury, and may he paid
in money, bonds or past due ceupons,is-
sued bv the state to aid in the construct
ton of railroads, and, if paid in money.
the same shall be applied exclusively to
the payment of the interest Of said bonds.
and the principal when they become due.
and the holders Of any bond, issued un
der the provisions Of the act, to which
this act is supplemental, may, at any
time, surrender said bonds at the par
value thereof. and receive the stock held
by the state at par for said bond or
bonds
Sec 8 That the stock held by the
state. obtained in the manner herein spec
ilicd in railroads, shall have the same
rights only as the shares Of other stock
holders. except as to dividends, and the
governor shall at the proper time, dcslg-
nate some suitable person to vote said
stock at all meetings of the stockholders
Sec. 4 This act shall take effect aud
he in force from and after it's passage
The following minority report was sub
mittcd:
Mn PRESIDENT: The undersigned,
a minority Of your committee on finance.
entitled AN act amendatory Of and ex
panatory to an act to aid in the construc
ton of railroads, approved July 81, 1868.
report that they can not agree 10 the re
port of the majprty on his bill. and beg
leave to submit the following minority
report:
This amended bill, as reported bv a
majority Of the committee, is in its main
features as objectionable rs the original
The assumption Of the payment of these
bonds BY the state and the releasing o.
the railroads theretrom, is retained in this
amended bill, which is the main objection
as the power is unconstitutional. Sectior
l6. article 10, Of the constitution pro-
ides The state shall never assume the
debt Of counties, town, city or other COR
porations. unless such debts have been
created to repel invasion, suppress insur
rcction. etc, This bill at the start
makes the state assume debt Of 8l40,
600, now due from the Memphis and Lit
tie Rock railroad, as also $4,000 in
bonds, which the state merely loaned to
these different railroad companies
I'VE also hold that as this loan was
made and could only he made by the
consent Of the people. as per article 10.
section 6. of the constitution Of Arkan-
sas, that the state eau not assume the pay
ment Of the same, and release the rail
road companies from the same. without
like consent. Besides, we can find No
good reason why the state should as
sumo the payment Of these bonds anG
release the railroad companies thcrcfrom
at this time. We can see nothing to be
gained by It. Neither this amended bill
nor the original prescribes any limit of
time within which these railroads are to
lie completed 1t is contended that thr
lien Of the state prevents the companies
from further mortsaging their roads to
raise funds. aud at the same time it is
urged as an inducelnent that the state
should take stock and release the rail
road comp nies, that the state has no
lien. Are we to give them $4,000, 900 t.
to prevent their asking for more? This
bill does not prevent the balance OF the