The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1897-04-13

ticulars or respect hereinafter men
toned that is to say, that it is advised
that the Governor of North Carolina
has not the sole appointing power Of
eight of it's Board Of Directors, and it
is further advised that under the pro
viz ions of section 43 of the act of the
9th day of January, 1849 and of sec,
ton 3 of the act of the 14th day OF Feb
ruary, 1855, being annexed to para
graph 1 of plaintiffs bill OF complaint
as a part of Exhibit A" the Governor
of the State of North Carolina has the
power Of appointment at tie general
annual meeting of the stockholders OF
this defendant, by and with the advice
of his Council, of eight Of this defend
ants Board of Directors, which said
Council is, by section II of Article 3 Of
the Constitution Of the State of North
Carolina, composed of the Secretary OF
State, the Treasurer, Auditor and Su-
p~erintendent of Public Instruction Of
said State; and it is further advised
that neither the said Governor o his
Council have, under the provisions of
the charter of this defendant, any
power to remove the eight or any part
of that number of the Board Of Direct
ors of this defendant except at the gen
eral annual meeting of it's stockholders;
or that the Governor of said State has,
except in the manner hereinbefore
pointed out, the control Of the corporate
management Of this defendant.
8 It admits that state ments con
tanned in the paragraphs numbered
from 4 to 6 both inclusive Of the plain
tiff's bill of complaint are true.
4 1t believes that the statements
contained in the paragraphs numbered
from Z to Is both inclusive of the plain
tufts bill Of complaint are true.
5. It admits that the statements con
tanned in paragraphs numbered from
II to 81, both inclusive, of plaintiffs
bill of complaint are true, except in the
particulars or respect hereinafter men
toned; that is to say, that it is advised
that the deed Of lease executed on the
10th day of August, 1895, a copy of
which is annexed to paragraph II Of
the plaintiffs bill Of complaint and is
marked, Exhibit ''E, =" is a separate and
independent contract from the deed of
lease dated 6 ptember 18th, 1871, and
made a part Of plaintiffs bill, a copy
of which is marked Exhibit "B," and
that said deed of lease dated the 163h
day Of August, 1895, is not by legal
effect as it was not in fact simply an
extension and modification of said lease
of September 18th, 1871; and it is ad
vised that the lease of the 10Th day of
August, 1895, does not stipulate that
the railroad and it's properties shall be
subject to taxation like other railroads
in the State of North Carolina without
immunity therefrom, but it admits
that from the monies paid it under
said lease Of August 18th, 1895, by the
plaintiff, the Board of Directors of this
defendant have been able to declare
dividends of profits exceeding SIX per
cent. per annum, and in consequence
of which the property of this defend
ant, Heretofore exempt from taxation
by the provisions of section 8 of the
act of the 14th day of February, 1855,
has been subject to taxation as other
railroad property in the State of North
Carolina, but only while and as often
as it's dividends of pre- fits exceed six
per centum per annum.