Chap. 39.—An ACT to prescribe the manner in which the Richmond
and Louisville railroad company shall pay the tax on its mortgage to
secure bonds hereafter to be issued.

Approved April 14, 1882.

Whereas the Virginia, Kentucky and Ohio narrow-gauge
railroad company have been consolidated with the Richmond
and southwestern railway company, under the name of the
Richmond and Louisville railroad company, by and with the
consent of the general assembly, given by an act approved
January twentieth, eighteen hundred and cighty-two; and
whereas the said Virginia, Kentucky and Ohio narrow-gauge
railroad company had before such consolidation, executed a
mortgage on its rights and property to secure bonds there-
after to have been issued, and when recording said mortgage
in Smyth county has paid to the clerk of the county court
thereof the sum of two thousand dollars as tax on said mort-
gage; and whereas it has been proved to the satisfaction of
this general assembly that the said mortgage has been since
then cancelled and released, and that no bonds were issued
under it; and whereas the Richmond and Louisville railroad .
company, the successor of the said Virginia, Kentucky and
Ohio narrow-gauge railroad company, is about to execute a
mortgage on the whole line of the railway to be constructed
by said company in the states of Virginia and Kentucky, of
which line said company proposes to construct three hun-
dred and eighty-five miles in the state of Virginia, and for
the purpose of aiding in the construction of said railway, is
about to issue bonds to be secured by said mortgage to an
amount not exceeding twenty-five thousand dollars per mile
of constructed road, including the superstructure thereof;
and whereas it has never been the intention of this general
assembly to impose a tax on bonds issued and used to con-
struct a railway in another state; therefore,

1. Be it enacted by the general assembly, That the Rich-
mond and Louisville railroad company is hereby authorized
to record any mortgage it may create in any county and
every county in which rights, property, or estate covered by
the mortgage lie, upon paying the legal fees for recording
the same, and shall not be required to pay the tax on the
bonds secured by the mortgage at the time of such record-
ing.

3. It shall be the duty of the said railroad company to
report to the commissioner of railroads, from time to time,
as its railroad in this state is constructed, and it shall be the
duty of the said railroad commissioner to inspect said rail-
road as constructed, and as soon as one hundred miles of
railway is completed, and the rails laid thereon, it shall be
the duty of Said railroad commissioner to certify that fact to
the auditor of public accounts, who shall forthwith charge
said Richmond and Louisville railroad company with the tax
on the bonds used to construct so much of said road so certi-
fied to have been completed, at the rate of twenty-five thou-
sand dollars per mile of constructed road; and the said audi-
tor of public accounts shall credit said Richmond and Louis-
ville railroad company with the two thousand dollars of tax
paid by the Virginia, Kentucky and Ohio narrow-gauge rail-
road company on their mortgage hereinbefore recited to have
been released, and shall require the Richmond and Louisville
railroad company to pay fortwith into the treasury the
amount of tax thus ascertained to be due the commonwealth
on the bonds so issued.

3. In case of failure to pay such tax on demand to the
auditor of public accounts, it shall be his duty to proceed to
collect the same by public sale of all the property, rights, and
franchises of the railroad, or so much thereof as may be
necessary, after due notice by advertisement in three daily
papers published in Virginia.
4. The tax on the bonds secured by the mortgage herein
allowed to be recorded without prepayment, is hereby ex-
pressly reserved and declared to be a first lien on the fran-
chises, property, and rights of said railroad company prior to
the lien of first mortgage.

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

Chap. 39.—An ACT to prescribe the manner in which the Richmond
and Louisville railroad company shall pay the tax on its mortgage to
secure bonds hereafter to be issued.

Approved April 14, 1882.

Whereas the Virginia, Kentucky and Ohio narrow-gauge
railroad company have been consolidated with the Richmond
and southwestern railway company, under the name of the
Richmond and Louisville railroad company, by and with the
consent of the general assembly, given by an act approved
January twentieth, eighteen hundred and cighty-two; and
whereas the said Virginia, Kentucky and Ohio narrow-gauge
railroad company had before such consolidation, executed a
mortgage on its rights and property to secure bonds there-
after to have been issued, and when recording said mortgage
in Smyth county has paid to the clerk of the county court
thereof the sum of two thousand dollars as tax on said mort-
gage; and whereas it has been proved to the satisfaction of
this general assembly that the said mortgage has been since
then cancelled and released, and that no bonds were issued
under it; and whereas the Richmond and Louisville railroad .
company, the successor of the said Virginia, Kentucky and
Ohio narrow-gauge railroad company, is about to execute a
mortgage on the whole line of the railway to be constructed
by said company in the states of Virginia and Kentucky, of
which line said company proposes to construct three hun-
dred and eighty-five miles in the state of Virginia, and for
the purpose of aiding in the construction of said railway, is
about to issue bonds to be secured by said mortgage to an
amount not exceeding twenty-five thousand dollars per mile
of constructed road, including the superstructure thereof;
and whereas it has never been the intention of this general
assembly to impose a tax on bonds issued and used to con-
struct a railway in another state; therefore,

1. Be it enacted by the general assembly, That the Rich-
mond and Louisville railroad company is hereby authorized
to record any mortgage it may create in any county and
every county in which rights, property, or estate covered by
the mortgage lie, upon paying the legal fees for recording
the same, and shall not be required to pay the tax on the
bonds secured by the mortgage at the time of such record-
ing.

3. It shall be the duty of the said railroad company to
report to the commissioner of railroads, from time to time,
as its railroad in this state is constructed, and it shall be the
duty of the said railroad commissioner to inspect said rail-
road as constructed, and as soon as one hundred miles of
railway is completed, and the rails laid thereon, it shall be
the duty of Said railroad commissioner to certify that fact to
the auditor of public accounts, who shall forthwith charge
said Richmond and Louisville railroad company with the tax
on the bonds used to construct so much of said road so certi-
fied to have been completed, at the rate of twenty-five thou-
sand dollars per mile of constructed road; and the said audi-
tor of public accounts shall credit said Richmond and Louis-
ville railroad company with the two thousand dollars of tax
paid by the Virginia, Kentucky and Ohio narrow-gauge rail-
road company on their mortgage hereinbefore recited to have
been released, and shall require the Richmond and Louisville
railroad company to pay fortwith into the treasury the
amount of tax thus ascertained to be due the commonwealth
on the bonds so issued.

3. In case of failure to pay such tax on demand to the
auditor of public accounts, it shall be his duty to proceed to
collect the same by public sale of all the property, rights, and
franchises of the railroad, or so much thereof as may be
necessary, after due notice by advertisement in three daily
papers published in Virginia.
4. The tax on the bonds secured by the mortgage herein
allowed to be recorded without prepayment, is hereby ex-
pressly reserved and declared to be a first lien on the fran-
chises, property, and rights of said railroad company prior to
the lien of first mortgage.

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