St. Landry democrat., 1878-03-23

and pledge to the State for that pur
pose its first mortgage bonds, secured 10y
a first mortgage OF all its property, rea
and personal, both present and future
and whether now constructed or here
after to he built, and such deposit ant
pledge shall be OF an amount exceeding
in each case 10y one-fourth the amount
OF State bonds delivered to said com
pany. The said company, on resolution
of its board uf directors, is authorized
to make such a mortgage, and the saint
shall cover and affect as a first mort.
gage all property OF said company
whether real OF personal, present ol
future, now owned or hereafter acquired
| and whether now constructed or here
after constructed. The amount of bonds
secured by said mortgage shall not ex-
ceed five millions of dollars, it beiug
| intended that one half Of the same may
| be pledged to the State as aforesaid, aud
the other half disposed OF to other par
ties. The said mortgage bonds shall
have forty ears to run shall bear i'll
terest at SIX per cent per annum shall
have seml-annual coupons attached, and
said coupons shall fall due at or prior to
the time at which the coupons OF the
said State bonds shall fal! due, and the
interest paid ON its said bonds by the
company to the State as pledge shall at
once form IA fund and be used topssy the
interest on the State bonds which shall
have been issued to the company. The
said company shall further bind itself
in said pledge to extinguish annually
fifty thousand dollars OF said State
bonds, commencing five years after the
completion OF its line to Shreveport aid
continue the extinguishment at such
hf<A %-4
maturity OF said State bonds, and du-
ring the last five years it shall, under
the same pledge, agree to take up and
extinguish one-tifth each year of the
amount OF said State bonds then out
standing; it being understood aud
agreed, however, that whenever said
company shall SO extiDgui>h any of the
SAID State bonds, it may withdraw from
said pledge and deposit, and the State
Will surrender to the company the pro-
portlOnal amount of the company's
mortgage bonds heretofore deposited
aud pledged as aforesaid; aud further,
that the said railway company may at
any time redeem and deliver to the
State any valid State bonds equal in
value to those herein authorized to be
Issued, AMI may thvrtupun withdraw
from such pledge, and the State shall
then return to said company the pro-
pOrtlulal amUuntOf the runIl,any's mort
gage bonds so pledged as aforesaid
SEC. 3. To furthtr secure the punctual
payment ut the State bonds to b.. issued
hereunder, it Is provided that in any
case hen Il sufficient sum is not pro-
vi.ed 10y the railway com pany, us afOre-
said, to meet a maturing coupon, it shall
be the duty of the State Auditor, or
gage bonds pledged by the company, to
uOrtgage bonds, after ten days adver-
tisenlelt, of pay the said coupon and
the expenses IT sale.
SEC. 4. The first issue of State bonds
under this act shall be made as soon as
the act shall take effect, but shall bc
for the sum of $250,000 only, represented
by the work already done Oh said rail-
way. Thereafter all issues of said State
bonds shall he ut tile rate OF $4,000 per
mile for every section of ten miles of
road graded, bridged and lnetaleu, to be
shown by the certificate of the certifi-
cate OF the engineer of the company
and one Of the State engineers, or, If
the nt1ice nf State Enein.Ara shall -:
.."..oer exist, of IL civil engineer detailed
by the Governor, 1t the said company
shall acquire any railway on it's line,
already constructed. in whole or in part,
such acquired railway, when found or
put in fair running order, shall be taken
as Il part of the railway of said com
PAM, with reference to which State |
bonds shall be issued under this act ut
the rate 0f $4,000 per mile of the same,
whenever the saline shall he certified as
aforesaid.
SEC. 5. The proceeds realized from
said State bonds by said company shall
We applied strictly to the construction /
,nd work of said railway and the Gov
.rnor may from time to time require an
account from the said railway company
IT the application OF said PROCEEDS.
SEC. 6. This ACT shall take effect from
md after its passage.
(Signed) LOUIS BUSH,
speaker of the House OF Representatives
(Signed) LOUIS A. WILTz,
Governor and President of
the Senate.
Approved March II, 1878.
(SigheO FRANCIS T. NICHOLAS,
Governor of the State OF Louisiana.
true copy; s-@-
WILL a. STRONG,