Chap. 291.—An ACT Directing the Board of Public Works to Sell to the
Richmond and Danville Railroad Company the Stock of the State in said
Company, and Authorizing said Company to Buy the same. .

Approved July 11, 1870.

1. Be it enacted by the general assembly, That the Rich-
mond and Danville railroad company be and it is herehy au-
thorized to purchase, and the board of public works is directed
to sell to the said company, all of the stock of the state of Vir-
ginia in the said company upon the following terms :

The said company is to pay and deliver to the said board of
public works for the state, the sum of twelve hundred thonr-
sand dollars of the bonds or certificates of debt of the state,
in twelve equal instalments of one hundred thousand dollars
each, the first payable on or before the expiration of six months
from the time of the acceptance of this act by the stockholders
of said company in general meeting; and the other instalments
successively, on or before a period of six months after each,
until the whole have been paid; and said instalments may be
anticipated by said company at its option. And whenever an
instalment of one hundred thousand dollars in said bonds or
certificates shall have been paid and delivered, the said board
of public works shall transfer to said company, on its books,
one-twelfth of the said stock of the state, so that when all the
instalments shall have been paid, all the said stock shall have
been transferred; and after one-twelfth of said stock shall have
been transferred to said company, as aforesaid, each stockholder
shall be entitled to cast, in person or by proxy, one vote for
each share of stock held in the said company, at all meetings
of the stockholders; and said railroad company is hereby au-
thorized and empowered to purchase either bonds or certifi-
cates of debt of the state, or both, for the purpose aforesaid.

2. Upon the transfer of four-twelfths of said stock to the
said company, the board of public works shall remove one of
the state directors, and thereupon, the board of directors of
the company, or the stockholders, if in session, may appoint a
director to supply the vacancy thus created; and upon the
transfer of four other twelfths of said stock, the board of pub-
lic works shall remove another of the state directors, and the
board of directors, or stockholders, if in session, shall supply
the vacancy thus created; and upon the transfer of the remain-
ing four-twelfths, the board of public works shall remove the
other state director, and the board of directors, or stockhold-
ers, if in session, shall supply the vacancy thus created; and
the interest of the state having been thus extinguished, the
stockholders of said company shall elect the president and all
of the directors.

38. Upon the acquisition of any portion of said stock as afore-
said, the said company shall be authorized to issue, sell, hy-
pothecate, or otherwise dispose of, for its own purposes, an
equal number of shares of the par value of one hundred dol-
lars; but so long as the said company shall hold the said stock,
or any part thereof, the president and directors may appoint
proxies to represent the same in all meetings of stockholders of
said company, unless otherwise provided by the stockholders
in general meeting; and upon the transfer of each and every
twelfth part of the stock of the state in said company as afore-
said, the vote of the state by its proxies, at every meeting of
the stockholders, shall be reduced by one-twelfth of the vote
to which the state is then entitled.

4. It, however, the Richmond and Danville railroad company
make default in the payment of any one of said instalments,
the board of public works, or the general assembly, if in ses-
sion, may, after four months’ notice, debar the said company
from any further benefit of this act: provided, that the rights
of the state and of the company then acquired by the receipt
of bonds or certificates of debt on the one part and the trans-
fer of stock on the other, shall remain unimpaired; and pro-
vided further, that if the board of public works or the general
assembly shall not elect to debar the company from the benefit
of this act as aforesaid, the proper legal proceedings may be
instituted, in the name of the state of Virginia, against the
said company for.the enforcement of the payment of said in-
stalment as provided by this act.

5. This act shall not be binding upon the Richmond and
Danville railroad company until its acceptance by a majority
of the private stockholders represented in a general or called
meeting; but the said company shall accept or reject this act
within six months after its passage.

6. This act shall be in force from its passage.