Page:Federal Reporter, 1st Series, Volume 10.djvu/267

 BALSXON V, CBITTENDBN. 255 �pany's bonds issued as aforesaid, the lien and morlgages held by the state; and where trustees, to who'm said company thereafter conveyed its road, etc.; sub- ject to said lien, to secure the payment of bonds issued by it, paid into the state treasury, as a payment of all liability due by said company to the state in con- sequence of said loan of credit, a sum of money equal in amount to the face value of all outstanding bonds issued by the state to said company, and the interest which would come due thereon on the first of the following July, but failed to obtain an assignment of the state's lien, and only received a receipt on account : Held, that said state had a riglit to enf oroe its lien against said road in case of failure on said company's part to pay when due the interest coopolis maturing on the following January ; and that said trustees were not entitled, by the terms of said act of 1865, to an assignment of the lien of said state, unless they paid into the treasury of said state a sum equal in amount to the face value of all outstanding bonds issued by said state, as aforesaid, and all outstanding coupons which were, or had bcen, attached to said bonds, whether due or not, together with all other indebtedness due or owing by said company to said atate by reason of the latter having issued its bonds, as afore- said, or paid interest thereon.. �2. Samb — Article 4, § 50, asd Aiiticle 15, 4 1 of the Schbdtilb of the Coi;- �STITUTION OF THE STATE OF JIlSSOUKI, OF 1875, CONSTRDED. �Said act qt 1865 veas not repealed by the articles of the constitution of the state of Missouri, approved November 30, 1875, by which it is provided that the general assembly shall have no power to relcase, alienate, or alter the lien held by the state upon any railroad, but that the same shall be in force in Bccordance with the original terms upon which it was acquired, and that the provisions of all lawa inconsistent with said constitution should cease upon its adoption. �Motion for an Injunction. �This was a motion -pendente lite to restrain Thomas T. Crittenden, governor of the state of Missouri, from selling, or advertising for sale, the Hannibal & St. Joseph Eailroad. The facts upon which the motion was based are substantially as f ollows : �On February 22, 1851, an act was passed by the legislature of Missouri pro- viding for the issue of state bonds, in the sum of one aud a half million dol- lars, to the Hannibal & St. Joseph Eailroad Company, as a loan of credit to said company. It was provided in that act that the bonds to be issued shall be redeemable after 20 years from date, bearing 6 per cent, interest, pay- able semi-annually in New York. They were made payable to the order of and delivered to the company, and transferred by the indorsement of the pres- ident thereof. On delivery of the bonds the company should lile its certificate of acceptance thereof, in the office of the secretary of state, under its corporate seal and the signature of its president. �The following are the remaining material sections of said act: �" Sec. 4. Each certificate of acceptance so executed and filed as aforesaid shall be recorded in the said office of the secretary of state, and shall thereupon become and be, according to all intents and purposes, a mortgage of the road of the company, executing and filing their acceptance as aforesaid, and every part and section thereof, and its appurtenances, to the people of this state, for ��� �