Chap. 255.—An ACT to amend an re-enact sections 2591 and 2601 of the Code
of Virginia, in relation to the settlement of the public debt, and to author-
ize the board of sinking fund commissioners to fund certain bonds of the
Chesapeake and Ohio Canal Company, of the face value of $6,500.00.

[S B 131]
Approved March 16, 1920.

1. Be it enacted by the general assembly of Virginia, That sections
twenty-five hundred and ninety-one and twenty-six hundred and one
of the Code of Virginia, in relation to the settlement of the public
debt, be amended and re-enacted so as to read as follows:

Sec. 2591. Obligation to be held for verification; exceptions;
limits as to time.—The commissioners of the sinking fund are hereby
authorized and required to receive on deposit for verification, classifi-
cation and exchange, such of the said obligations of the State as may
be presented to said commissioners, the said verification and exchange
for the new bonds of the obligations so deposited to be conducted in the
same manner as hereinbefore provided with respect to the obligations
deposited with the same bondholders’ committee, and the said commis-
sioners of the sinking fund shall issue to and distribute amongst said
depositing creditors, after they have fully complied with the terms of
said section, in exchange for the obligations so deposited, bonds au-
thorized by this section as follows, namely: To each of the several
classes of said depositing creditors the same proportions as the same
class received under the distribution made by the commission of the
creditors represented by the bondholders’ committee. No coupon bonds
shall be received which do not have attached thereto all coupons matur-
ing after July first, eighteen hundred and ninety-one; but for any such
coupons as may be missing, coupons of like class and amount, or face
value thereof in cash, may be received, the said cash, if paid, to be
returned if proper coupons are tendered within six months thereafter,
and each depositor shall, when he receives his distributive share of
the said new issue of bonds, pay to the commissioners of the sinking
fund three and one-half per centum in cash of the par value of the
bonds received by him, and said sinking fund commissioners shall
cover the fund thus received into the treasury of the Commonwealth.
All bonds issued under the provisions of this section shall carry interest
from the semi-annual period next preceding the date of funding.

Sec. 2601. Time for funding may be extended—The commis-
sioners of the sinking fund are authorized, if it shall seem to them for
the best interest of the Commonwealth, to make an extension of the
time for the funding of the outstanding evidences of debt due by the
Commonwealth not heretofore funded, under said act of February
twentieth, eighteen hundred and ninety-two; all bonds issued under the
provisions of this section shall carry interest from the semi-annual
period next preceding the date of funding.

And whereas, pursuant to an act approved March twelfth, nine-
teen hundred and twelve, entitled an act to amend and re-enact an act
approved March eleventh, nineteen hundred and eight, etc., Robert W.
Hunter and Julian S. Jones, executors of the estate of the late R. H.
Stuart, on the first Monday in January, nineteen hundred and fourteen,
filed their petition in the circuit court of the city of Richmond
against the board of sinking fund commissioners, complying in all re-
spects with the provisions of said act and setting up their claim on
account of certain bonds of the Chesapeake and Ohio Canal Com-
pany, on each of which is endorsed a guaranty pledging the faith of
this Commonwealth for their punctual payment with interest and the
ultimate redemption of the principal, and showing further that the
said canal company is totally insolvent as to this debt, and has been
for many years; and,

Whereas, the said suit has been decided by the supreme court of
appeals in favor of said petitioners on all legal and constitutional ques-
tions raised therein; and,

Whereas, this is a just and equitable claim and the Commonwealth
has no further defense to make against it; now, therefore,

Be it further enacted by the general assembly of Virginia, That

the board of sinking fund commissioners be, and they are hereby
authorized and directed to inspect the following bonds of the Chesa-
peake and Ohio Canal Company, and if found genuine and having the
said endorsement of the Commonwealth thereon, to fund the same
as old unfunded obligations of the Commonwealth, under the provisions
of the act entitled an act to provide for the settlement of the public
debt of Virginia, approved February twentieth, eighteen hundred and
ninety-two, said bonds being described as follows, to-wit:

Bonds of the said Chesapeake and Ohio Canal Company, guaranteed
by the Commonwealth, numbers six hundred and fifty-two, six hun-
dred and fifty-three, six hundred and fifty-four, six hundred and fifty-
five, six hundred and fifty-six, six hundred and fifty-seven, seven hun-
dred and twenty-six, of five hundred ($500.00) dollars each, issued
February first, eighteen hundred and forty-nine, payable thirty-five
years after date, with interest thereon at six per centum, evidenced
by coupons attached; and numbers seven hundred and twenty-five and
seven hundred and twenty-seven, of five hundred ($500.00) dollars
each, issued March first, eighteen hundred and forty-nine, with six
per cent interest thereon, evidenced by coupons attached ; and numbers
one thousand four hundred and eleven and one thousand four hundred
and twelve, of one thousand ($1,000.00) dollars each, issued October
first, eighteen hundred and forty-nine, with six per cent interest
thereon, evidenced by coupons attached, said coupons being for semi-
annual interest, and payable on the first day of January and first day
of July of each year; the first of the said coupons attached to each of
the said bonds being due July first, eighteen hundred and sixty-five.

2. All acts and parts of acts in conflict with this act are hereby
repealed.

3. As this is a matter material to the proper conduct of public
affairs, this act shall be in force from its passage.