The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1901-02-16

done. or property actually received, and
declares all fictitious increase OF stock or
Indebtedness to be void.
In pursuance of this provision OF the
constitution. the stock and bond law was
enacted. and It has since then been tho
aettled policy OF tho State TO limit the
amount OF all stock and bonds of q rail-
way company to q reasonable value OF It's
property, with tho privilege OF further
issuance under the contingency stated.
Upon reflection Is must be evident that
the bill under consideration not only con-
tlicts with the clause In the constitution
above quoted, hut dt Is also q radical de-
parture from the rule established by the
stock and bond law. In that the market
price OF the stock and bonds, aud not the
value OF the property. is made tho meas
urc of issuance.
Should this DO allowed the inducement
to depress the selling price OF the stock
and bonds. especially IL the ownership be
the same. VIII be great indeed, and IL can
not ho doubted that the temptng onpor-
tunites wluld be turned TO profitable ac-
count by those interested.
| The firth section of the bill presents
another most serious objection, In that 1t
authorizes the purchase Of street rail-
ways together with all their property.
real. personal or mixed. and including
franchises and privileges; hut II does not
provide for the cancellation OF the out
lstanding bonds IL any. OF such railways
when Purchased. SO as to make their
bonded Indebtedness correspond to their
reasonable value. In this day OF large
and easy capitalization It would be
small matter IL the bill should become
! law, for single corporation TO acquire
the ownerslfn and control Of the railways
OF several cities and to supply them with
4 al atr.r~ A1nn
such cities would be almost helpless ho-
fore so strong and influential corpora
| lion, W that OF water were added TO the
| privileges granted. It's power would DO
complete.
In the most lnropitIous circumstances
correct administration OF the affairs OF a
tlarge and growing city Is difficult task,
indeed and experience has demonstrated
the necessity for the exercise of the
greatest possible care in building up in
Huences that might become dominating
II Is safe to say that there are hardly
two cities in the state, N connected by
Ian interurban railway. owning tho street
railways In them both and with authority
TO supply tight and power, whose admin
istration would not in time and to a great
extent II not altogether, be controlled by
the owners OF such properties.
Finally. Il Is worthy Of note that the
bin does not reserve TO the legislature
! The COVER to alter. reform or amend char
tiers granted under It. In this it Is dit
fereni from the general Incorporation
law, and Il Is submitted. as question
worthy 81 consideration, II corporations
thus organized would not be protected
against further legislation EXCEPT In so
| far as u may be authorized by the consti-
tuition or by the terms OF the act itself
There Is undoubtedly necessity for leg
lislAtion authorizing interrogation for the
construction and operation Of interurban
railways and comforting all powers neces-
sAry and proper for the purpose, but II 10
also certain that such restrictions es TO
/ the Issuance Of stock and bonds should
/ he unused as are upon the line OF policy
that has been maintained since the enact
ment OF the stock and bond law
Joseph %. Savers. Governor.
For Cold In the Head
Laxative Bromo- Quinine Tablets.