The Brandon news. (Brandon, Miss.) 1892-1961, 1907-06-13
Extract From
Message Of
GOV. Mel aurin
10 the Mississippi Legislature,
in 1898,
Which Causes Bitter Attack on Him
From Charles Scott and Other
Big Railroad Lawyers.

Big Railroad Lawyers.
The eRevenueA Agent instituted suits against
the Yazoo e Mississippi Valley and Illinois,
Central Railroad Companies for about three
quarters Of million dollars, taxes alleged by|
|him to be due the State and the counties trav-
|ersed by what is known as the l., N. 0. e I'll
Railroad for the years 1892, 1893, 1894 and|
1893, on what was prior to the 24th Of Octob-
|er 1892, the property Of the Louisville, New
Orleans & Texas Railway Company. Payment
LOT these taxes was resisted on the alleged ex-
lemption Of the railroad company from taxaton|
because OF certain sections in the IegiSativel
|charters Of the railroad company extendng|
back as far as the Legislature Of 1870; and OIL
a section in an act authorizing the consoIda-
ltOn
One Of the defendants in this suit, the va
zoo C Mississippi Valley Railroad Company, is
the consolidation Of other railroad companies.
| The Mobile & Northwestern Railroad Com
|pany, Incorporated by Act Of the Legislature
approved July 20, 1870, contained a section,
numbered q, exenpting it from taxation until
Its profits should enable it to declare and pay
to the stockholders an annual dividend Of 8
per cent. upon its capital stock over and above
its debts and liabilities. See acts Of 1870,
lpage 269
| BY section Of an act to authorize the
Memphis & Vicksburg Railroad Company and
the Mississippi Valley & Ship Island Railroad
Company to effect consolidation this section
Fl was made to apply to the consolidated COM
lpany See Acts Of 1882, page 1913. This con-
lsolidation was never effected
But in March, 1884, an annendatory Act
was passed, authorizing the Memphis 6sVicks-
burg Railroad Company to consolidate with
any other company, which amendatory Act
1T is said, carried the exemption OF section q
TO such consolidated company. See acts Of
1884, page 936.
As will be seen by reference to the fourth
biennial report of the Railroad Commission,
page II, made on the 22d day Of November
1898, the Yazoo e Mississippi Valley Railroad
Company, West e East Railroad Company,
and Yazoo C Mississippi Valley Railroad Com
Ipany consolidated on the 3Oth Of November,
1885, and that the Louisville, New Orleans &
/ exas Railway Company was herewith con-
1solidated on the 24th day Of October, 1892.
See Department Reports, 1892-1893. This
consolidated company under the name Of the
Yazoo C Mississippi Valley Railroad Company
lis one Of the defendants in the suits have
mentioned, and claims exemption from tax
alton until its profits enable it to declare and|
lpay an 8 per cent dividend upon the costs oil
the roads construction, and that it has notI
Ibeen by its profits enabled to pay such div
lidend.
The railroad company, as claimed by the|
lRevenue Agent, contracted for the construc-|
ltion Of the railroad, or considerable part Of it.
with q corporation known as the Financial lrn-l
|provement Company the stock il. which WaSI
|oWned by the same persons who owned tnel
lstock Of the railroad company, and who Werel