The Louisiana Democrat. [volume] (Alexandria, La.) 1845-1918, 1878-03-20

to the New Orleans Pacific Rail
way Company; TO provide mean
for the payment Of the priacipa
and interest; TO authorize the com
pany to make its mortgage bond
and secure them by first mort
gage of present and future proper
ty; to provide pledge of salt
mortgage bonds TO the State ant
the terms thereof; and to regulat,
the use of the proceeds of salt
State bonds.
SECTION l. Be it enacted bv thu
Senate and House of Representative.
of the State Of Louisiana, in Genera
Assembly convened. That the Gov
ernor be and be is hereby authorized
and required to issue to the New Or
leans Pacific Railway Company, ,
corporation described in Act No. II
of 1876, bonds Of the State of Louisi
ana, to an amount not exceeding in
all 100000, according to the pro
visions ofthis act. Said bonds shall
be of $1,000 each, shall have forty
years to run, shall bear interest at
the rate of six per cent per annum,
payable semi annually, and shall
have semi-annual coupons attached.
They shall be signed by the Cover.
nor Of the State, and countersigned
by the Auditor and Secretary of
State and shall have the seal of the
State affixed. The conpons shall be
payable to the bearer, and shall have
The engraved signature of the Audi
tor in office at the time said bonds
shall be engraved.
SEC. 2. To provide for and guaran.
tee the prompt payment of the inter
est on said bonds, as it shall mature,
and OF the principal of said bonds,
on or before the expiration of the
period during which they are to run,
the New Orleans Pacific Railway
Company shall deposit with the Au.
ditor of Public Accounts and pledge
to the State for that purpose it's first
mortgage bonds, secured by a first
mortgage of all its property, real and
personal, both present and future,
and whether now constructed or here
after to be built, and such deposit
and pledge shall be of an amount ex
ceeding in each case by one fourth
the amount of State bonds delivereda
to said company. The said compa
ny, on resolution of its board of di
is authorized to make such
mortgage, and the same shall cover
and effect as first mortgage all
of said company, whether
real or personal, present or future,
now owned or hereafter acquired.
and whether now constructed or
hereafter constructed. The amount
IF bonds secured by said mortgage
shall not exceed five millions of dol |
ars, 1t being intended that one half
If the same may be pledged to the
State as aforesaid, and the other halt
disposed of to other parties. The
laid mortgage bonds shall have forty
ears TO run; shall bear interest at
Xix per cent per annum; shall have
coupons attached, and
ald coupons shall fail due at or prior
o the time at which the coupons of
he said State bonds shall fall due.
md the interest paid on its said
'onds by the company to the State
8 pledge shall at once form a fund
nd be used to pay the interest on
he State bonds which shall have
zen issued to the company. The
aid company shall further bind it,
elfin said pledge to extinguish an
ually fifty thousand dollars of said
tate bonds, commencing FIVE years
fter the completion of it's line to
hreveport and continue the extin. !,
uishment at such annual rate up to
We years prior to the maturity of
aid State bonds, and during the last
We years it shall, under the same
Ledge, agree to take up and extin
uish one-tiftieth each year of the
mount of said bonds then outstand.
1g; it being understood and agreed,
owever, that whenever said compa.
y shall so extinguish any of the {
aid State bonds, it may withdraw
'om said pledge and deposit, and
he State will surrender to the CON-
any the proportional amount of the
mortgage bonds thereto
IRE deposited, and pledged az afore-
aid; and further, that the said rail.
ay company may at any time re-
eem aud deliver to the State any
aid State bonds equal in value to