The daily sentinel., 1912-10-17

lates securing, but which has not as yet
been granted to II. such public utility may
apply 10 the commission for an order pre-
llmlnary to the issue OF the certificate
The commission may thereupon make an
| order declaring that II Will Thereafter.
upon application. under such rules and
regulations us II may prescribe, Issue thr
desired certificate. upon such terms and
conditions ns It may designate. after the
public utility has obtained the contemp-
lated franchise or permit. Upon the pre-
sentation to the commission of evidence
| satisfactory to II that such franchise OF
permit has been secured by such public
utility, the commission shall thercupon Is
| sue such certificate.
Section II. Every public utility corpora
tion shall have the right to purchase or
otherwise acquire. and 10 take. hold. owr
sna sinl control on any part or ; al 9f the cap'n ~
| the same general business. Organized or
existing under or by virtue Of the laws Of
business In this state. any other state
| or territory. occupied about TO be oc-
cunied by such purchasing utility; pro.
| vidcd. however. that n utility may not
| purchase the stocks or bonds OF another
| mess
Section, ~, Ca) 4 public utility may IS.
] sue stocks and stock certificates, and
bonds, notes and other evidences OF In
dehtedness payable at periods of more
than twelve months after the date thereof
Tor tho following purposes. and no others,
namely, for the ACQUISITION Of property.
or for the construction completion. eNten-
sion or improvement OF It, facilities. plant.
system and instrumentnlitics- or for tn
I improvement or maintenance Of Its service.
or Tor the discharge or lawful rcfunding
OF It's obligations. or for the reimburse
mcnt OF moneys actually expended from
Income or from any other moneys In the
treasury Of the public utility not secured
by or obtained from the Issue Of stocks
or stock certificates. or bonds. notes
other evidences NJ Indebtedness of sucn
public utility. within five years next prior
/ TO the filing Of an application with the
/ rOnfuiasiOu for the rguufred oufbprfyntipn. NJ
for any Of the aforesaid purposes except
mninienance NJ service md replnccments.
/ In cases where the applicant shall have
/ kent us account md vouchers for such
expenditures In such manner TO enable
the commission TO ascertain the amount
/ Of moneys 80 expended and the purposes
/ for which such expenditure was made:
provided. that srch public utility. In nddi-
I tion to the other requirements of law.
shnll first have secured from the com
mission m order authorizing such Issue
md stating the amount thereof and the
| purpose or purposcs to which the Issue or
the proceeds thereof Rrc 70 he applied,
and that. In the opinion OF the commits
sion. the money. nrunerty or labor TO he
| procured or Maid for hv such Issue ls rea
sonahlv rennlred for the puroose or pur'
poses specified in the order. and that, eN-
cept ms otherwise pcrmlttcd In the order
In the case Of bonds. notes or other evil
denccs Of Indebtedness such purpose or
purposes are not. IN whole or In part.
reasonably rharrcnhlc 20 operating cx'
nenses or to Income. To, enable II to de
Y
tho commission NAV hold hearing. and
NAV Ke snch additional inquiry or In
yes,iFatlon. and examine such witnesses,
books. papers, documents aud contracts
md REQUIRE tho f'llnr of s"ch data Ne ~
NAV deem Of assistance The commission
may nv lts order grant permission fcr
fhc Issue of such stocks or stock ccrtlf
ratns. or bonds. notes or other cvider"eS
OF Indebtedness In the amount anplied for,
NAV attach 10 the rvcrclse NJ It's pormis
sion such condition or conditions rs II may
dccm Reasonable md necessary. The com
mission ninv authorize issues or bonds
less than. cnnlvalcnt m ar r-eatNr than
RI" authorized nr subscribed car''NI stock
or public utility corporation. No nuhllc
r''ity shall without the consent Of the
comm'ssion nnnlv tho Issue of nny stock
or stock certificate or bond. note or other
evidence OF Indebtedness or nnv mart
thereof or any proceeds thereof to an, |
nurposc not snecificd IN tho rommlssion,s
order. or to any ,nnrposc specified in the
amount authorized for such purpose. or is-
sue or dlsnosc of tho snro on nnv tcrl,,s
'"ss favorable than those specif'ed IN such
order, or n modification thereof A pub.
lc utility may Issue notes for prnncr ,,u.
noses and not I'M violation VI any provision
~ this act or tny other act. payable Mt
"ftcr the date bf issuance Of the same
without tho cod Hscnt m the cormtssion /
hut no ,such nttc. shall. in whole or
IN part. he refunded by any issue OF stocks
NJ stock CERTIFICATES or Of bonds notes
~ nnv term or character or any other evil
Teurc Of Indebtedness. without the con
seni % the commission. Tho commission
shall have No mower to authorize the enc
itnllZation of the right 10 he corpora
ti~r.
Chl The commission shall have the now
or to require public utilities TO account for
the disnositlon ~ the proceeds Of nll sales
OF stocks and stock certlflcntcs and bonds
notes md other evidences Of Indehtcdness
N such form md detail ms II may deem
lndNisNhle. and to establish such rules and
regulations as Il nav deem reasonable and
necessary To lnsrr" tho dispositlon of sucl,
proceeds for the purpose or purposes speci.
fled In It's order
tcl FNccpt rs In this net provided MI
stock and every stock certificate. md every
hond, note or other evidence OF Indebted.
ness OF public utility issned without an
snmc then in effect shall he void and
likewise all stock and every certificate
and every wSd. note or other evidence OF
indebtcdnG,{ sof public utility issued
with th w horlzatlon Of the commission.
hut auN yontorming In Its nrovisIons 10
~ prnNijslons, u any, which It is required
comm,,sYon to contain. shall he void; hrt
NO taithre In any other respect 10 comply
w'n I'VE terms or conditions OF the order
OF Authorization Of the commission shall
render void any stock or stock ccrtiflcnte
or any bond. motto or other evidence Of
Indebtedness, cNcept as to cornorotIon Nv
person taxing the same otherwise than In
good faith and for value and without
actual notice
tdl Every public utility which directly
or indirectly, lsSres or cnuscs 10 bc Iss,,cd
any stock or stock cNrfihratc or bond note
or other ey'dcrre Of Indebtedness. exccpt Us
PROVIDED y" fhls net. In unn-con formltv
with tho lnwfr order of tho commissio,,
authorizing ~" same. and contrary TO the
provisions of TITS a"'. and Of the constItn.
tnn o. laws of this stat" or which mr..
plies the proceeds from the snln thereor
or nnv nart thereof. 10 anv purnose other
Than tho nurnose Or nnrnnsrs snecifIcd tr
the commissions order, ms herein provided
In W ar to
snecificd In the commissions order in cx-
cess OF the amount In said order authorized
for such purnose, Is snhicrt ia penalty
of not less than five hundred dollars nor
more than twenty thousand dollars for
onch offcnsc
tel Every officer. agent or emnlovee of
rrhilc rtultv and every otbsr ,arso,
who knowingly authorizes. DIRECTS aids in
ISSUES or executes ~ cnuses 70 he Issred or
executed, nrv stock or stock certificate
or hond note or other evidence or indehi
cdness. HNccnt as nrnvidcd IN this nct In