Page:United States Statutes at Large Volume 41 Part 1.djvu/484

 srxrrsrxrrr oouennss. sm. rr. cH. 91. 1920. 463 Federal control. The amount under clause (3) may be set off a ainst 'm;§‘_§!’*;'{,{7';g},' W'- either or both of the amounts under clauses (1) and (2), so far as ` deemed wise by the President, but onl to the extent permitted Lim**°*i°¤’· under any contract now or hereafter meat between such carrier and the United States in respect to the matters of Federal control, or, where no such contract exists, to the extent permitted under paraaph (b) of section 7 of the standard contract between the United States and the carriers relative to deductions from compensation: Pmm Provided, That such right of set-off shall not be so exercised as to s¤¤»n»'¤¤u to pm. prevent such carrier from having the sums required for interest, "§§‘§€§u‘L`§,‘§§,?,'“d‘{$f taxes, and other corporate charges and expenses referred to in para- $¤¤d¤·¤*<=· a h (b) of section 7 of such standard contract, accruing during Fbcieral control, and also the sums reqiqlired for dividends declare and aid during Federal control, inclu g, also in addition, a sum equal) to that proportion of such last dividend which the period between its payment and the termination of Federal control bears wming ca im a,_ to the last regular dividend period: And provided further, That such rome. P right of set-off shall not be exercised unless there shall have first been paid such sums in addition as may be necessary to provide the carrier with working capital in amount not less than one twenty- fourth of its operating expenses for the calendar year 1919. Fm . °,md€md_ (b) Any remaining indebtedness of the carrier to the United States mss rgiuimtmmsnts, in respect to such a ditions and betterments shall, at the request of °t°‘ the carrier, be funded for a period of ten years from the termrnation of Federal control, or a shorter period at the option of the carrier, with interest at the rate of 6 per centum per annum, payable semiannually, subject to the right of such carrier to ay, on any interest-payment Swim mba gm day, the whole or any part of sucli) mdebtedness. Any carrier Y ' obtaining the funding of such indebtedness as aforesaid shall give, in the discretion of the President, such security, in such form and upon such terms, as he may prescribe. C mm tm tw (c) If the President and the various carriers or any of them, shall mr irqmpmgi imitatenter into an agreement for funding, through the medium of car °d“°“· trust certificates, or otherwise, the indebtedness of an such carrier to the United States incurred for equipment ordered fliir the benefit of such carrier, such indebtedness so funded shall not be refundable under the foregoing provisions. Ti t I th (d) Any other indebtedness of any such carrier to the United States inatiilixiiitg. mi ° °r which may exist after the settlement of accounts between the United States and the carrier and is then due shall be evidenced by notes payable in one year from the termination of Federal control, or a shorter period at the option of the carrier, with interest at the rate C ummlsmmy of 6 per centum per annum, and secured by such collateral security ° ' as the President may deem it advisable to r uire. E ummm em (e) With respect to anylsbonds, notes, or dtlier securities, acquired perrditted trsectaaeé under the provisions of t section or of the Federal Control ct or °°j‘f,,’°%_,5,,_ of the Act entitled "An Act to provide for the reimbursement of the ’ United States for motive power, cars and other uipment ordered for railroads and systems of tran§por·tation under Fgeral control, and for other purposes/' approved ovember 19, 1919, the President shall have the right to make such arrangements for extension of the time of payment or for the exchange of any of them for other securities, or partly for cash and partly for securities, as may be provided for in any agreement entered into by him or as may in his judgment seem desirable. t (f) Carriers may, by agreement with the President, issue notes or c,§S§§’°b§." J§§;§Z¤§,,'Z other evidences of indebtedness, secured by equipment trust agree- *¤*¤”°¤°°m°°°$· ments, for equipment purchased durin Federal control by or thrqilrph _ the President under section 6 of the dlederal Control Act, and 0- V°L ‘°' *°‘ *5* cated to such carriers respectively; and the Eling_of such equipment trust a eements with the Commission shall constitute notice ereof to all tile world.