Chap. 246.—An ACT to amend the Code of Virginia by enacting and incorporating
therein a new section to be designated as section 4071-a, authorizing the State
Corporation Commission, under certain conditions, to order a temporary re-
duction or increase of the rates of any public utility company doing business
in this State. : [S B 329]

Approved March 27, 1934

1. Be it enacted by the General Assembly of Virginia, That the Code
of Virginia be amended by enacting and incorporating therein a new
section, to be designated as section forty hundred and seventy-one-a,
which new section shall read as follows:

Section 4071-a. Whenever the State Corporation Commission, pend-
ing an investigation had upon its own motion, or upon complaint, is of
the opinion and so finds after an examination of any report or reports,
annual or otherwise, filed with the commission by any public utility,
together with any other facts or information which the commission
may acquire or receive from an investigation of the books, records, or
papers, or from an inspection of the property of such public utility, that
the net income of such public utility, after reasonable deductions for
depreciation and other proper and necessary reserves, is in excess of
the amount required for a reasonable return upon the value of said
public utility’s property, used and useful in rendering its service tc
the public, and if the commission is of the opinion and so finds in said
cause that a hearing to determine all of the issues involved in a fina.
determination of rates of service will require more than ninety days
of elapsed time, the commission shall have the power, in case of suct
emergency, and it is hereby given authority, to enter a temporary order
after not less than ten days’ notice to said public utility of its con
templated action and affording to it reasonable opportunity to introduce
evidence and to be heard thereon, fixing a temporary schedule of rates

which order shall be forthwith binding upon said public utility ; pro
vided, however, that the commission’s power to order reductions it
rates and charges of any public utility by means of such temporary}
order, is limited to reductions which will absorb not more than th
amount found by the commission to be in excess of the amount ot!
income, as determined by the commission, necessary to provide a reason.
able return on the value of the property of said public utility as founc
by the commission as aforesaid; and provided, further, however, thai
no such temporary order shall remain in force or effect for a longet
period than nine months from its effective date, and a further perioc
not to exceed three months in addition if so ordered by the commis:
sion; and provided, further, that if upon a final disposition of the
issues involved in such proceeding, the rates or charges as finally deter-
mined by said commission, or the court having jurisdiction of the sub-
ject matter, are in excess of the rates and charges prescribed in said
temporary order, then and in such event, such public utility shall be
permitted, over such reasonable time as the commission shall fix, tc
amortize and recover, by means of a temporary increase over and above
the rates and charges finally determined, such sum as shall represent
the difference between the gross income obtained from the rates and
charges prescribed in said temporary reduction order, and the gross
income which would have obtained, during the period such temporary
reduction order was in effect, based upon the same volume, from the
rates and charges finally determined.

Whenever the State Corporation Commission, upon petition of any
public utility, is of the opinion and so finds, after an examination of
the reports, annual or otherwise, filed with the commission by such
public utility, together with any other facts or information which the
commission may acquire or receive from an investigation of the books,
records or papers, or from an inspection of the property of such public
utility, or upon evidence introduced by such public utility, that the net
income of such public utility, after reasonable deductions for depreci-
ation and other proper and necessary reserves, is less than the amount
required for a reasonable return upon the value of said public utility’s
property used and useful in rendering service to the public, and is of
the opinion and so finds that a hearing to determine all of the issues
involved in the final determination of the rates or service will require
more than ninety days of elapsed time, the commission shall have power,
in case of such emergency, and it is hereby given authority, to enter a
‘emporary order fixing a temporary schedule of rates, which order shall
be forthwith binding upon said utility and its customers; provided, how-
ever, that when the commission orders an increase in the rates or charges
of any public utility by means of such temporary order, it shall require
such utility to enter into bond in such amount and with such security
1s the commission shall approve, payable to the Commonwealth, and
conditioned to insure prompt refund by such public utility, to those
ntitled thereto, of all amounts which such public utility shall collect
eive in excess of such rates and charges as may be finally fixed
etermined by the commission, and provided, further, however,
o such temporary order shall remain in force or effect for a longer
| than nine months from its effective date, and a further period
exceed three months in addition if so ordered by the commission.
An emergency existing, this act shall be in force from its passage.

247—An ACT to amend and re-enact an act requiring non-resident persons,
sociations, partnerships and corporations establishing and/ or maintaining
place of business in this State for the advertising, offering and/or sale of
curities to appoint, by written power of attorney, the secretary of the
ymmonwealth and his successors in office, as the agents of such non-residents,
on whom may be served any process against, or notice to such non-resident ;
provide for the admissibility in evidence of certified copies of the power
attorney provided for; to empower the State Corporation Commission to
join or restrain the advertising, offering and/or sale of securities by such
m-residents, and their agents and employees; and to prescribe penalties,
proved March 23, 1932, so as to make the same applicable to persons, associa-
ys, partnerships and corporations establishing and/or maintaining places
business in this State for the purpose of dealing in and/or handling
curities on commissions or otherwise. [S B 331]

Approved March 27, 1934

Be it enacted by the General Assembly of Virginia, That an act
ed an act requiring non-resident persons, associations, partnerships
orporations establishing and/or maintaining a place of business in
State for the advertising, offering and/or sale of securities to
nt, by written power of attorney, the Secretary of the Common-
h and his successors in office, as the agents of such non-residents,
whom may be served any process against, or notice to such non-
ent; to provide for the admissibility in evidence of certified copies
ie power of attorney provided for; to empower the State Cor-
ion Commission to enjoin or restrain the advertising, offering
or sale of securities by such non-residents, and their agents and
oyees; and to prescribe penalties, approved ‘March twenty-third,
een hundred and thirty-two, be amended and re-enacted so as to
as follows:
ection 1. It shall hereafter be unlawful for any non-resident per-
partnership, association or corporation, who or which established
or maintains a place of business within this State for the purpose
lvertising, offering and/or for the sale of securities, in any manner
yr dealing in or handling securities on commission or otherwise, it
State, to advertise, offer and/or sell securities or deal in or handle
rities on commission or otherwise, unless such non-resident person
1ership, association or corporation, shall, by written power of at
vy, appoint the Secretary of the Commonwealth and his successo:
fice, as the agents of any such non-resident person, partnership
ciation or corporation, upon whom shall be served any proces:
against, or notice to, any such non-resident person, firm, co- partnership
corporation, association or society, in any action or pr oceeding arising
out of the advertising, offering and/or sale of securities or the dealing
in or handling securities on commission or otherwise, or in furtherance
thereof within this State and the Secretary of the Commonwealth shall
be authorized to enter appearance in behalf of such non-resident per-
son, firm, co-partnership, corporation, association or society. The ser-
vice of process shall only be made upon the Secretary of the Common-
wealth, or in his absence, upon the person in charge of his office. A
copy of such power of attorney, duly certified and authenticated, shall
be filed with the Secretary of the Commonwealth, and copies thereof
duly certified by the Secretary of the Commonwealth shall be received
as evidence of service in all courts of this State. No judgment shall be
entered against any such non-resident under this section until after
the process has been served, as aforesaid, at least ten days. Notice of
the service of such process on the Secretary of the Commonwealth shall
be given to non-residents specified herein in the same manner as pro-
vided for by section thirty-eight hundred and forty-six of the Code of
Virginia, nineteen hundred and nineteen, and the fees allowed by sec-
tion thirty-eight hundred and forty-six shall be applicable to this act.

Section 2. (a) For the purpose of this act the State Corporation
Commission shall have jurisdiction to forthwith enjoin any non-resident
as specified herein, who or which shall fail to comply with the provisions
of this act unon the filing of an affidavit with the clerk of the State
Corporation Commission by any resident of this State, and such affida-
vit shall set forth such facts as will clearly indicate that any non-resi-
dent subject to the provisions of this act has failed to comply with said
provisions, from advertising, offering and/or selling securities or of the
dealing in or handling securities on commission or otherwise, or in
furtherance of the advertising, offering and/or of securities or of the
dealing in or handling securities on commission or otherwise, within this
State, either temporarily or permanently, as may be advisable for the
protection of the public.

(b) Service of process in any proceeding by virtue of the provisions
of section two of this act shall be upon the person in charge of the
place of business of such non-resident, and for the accomplishment of
the nurnoses of this act such service shall be sufficient and valid.

Section 3. (a) Any person employed by any non-resident specified
aerein who shall do any act in furtherance of the advertising, offering
and/or sale of securities or of the dealing in or handling securities on
‘ommission or otherwise, for or on behalf of any such non-resident
vho or which has failed to comply with the provisions of this act, shall
ye liable to any purchaser in any action growing out of the sale of
ecurities to such purchaser for the full purchase price, together with
ll taxable court costs and a reasonable attorney fee.

(b) Any person employed by any non-resident specified herein who
hall do any act in furtherance of the advertising, offering and/or sale

of securities or of the dealing in or handling securities on commission
or otherwise, for or on behalf of any such non-resident who has failed
to comply with the provisions of this act shall be guilty of a misde-
meanor and upon conviction thereof shall be fined not more than five
thousand dollars.

Section 4. Nothing in this act shall be construed as making any non-
resident as specified herein liable for taxes where the business being
conducted is interstate in character.

Section 5. If any section of this act shall be declared unconstitu-
tional for any reason, the remainder of the act shall not be affected
thereby.

2. An emergency existing this act shall be in force from its passage.