814 JOURNAL OF PROCEEDINGS. Mar. 17,

That by the Act of 1844, chapter 281, the State of Mary-
land did not agree to waive her rights and liens upon the reve-
nues of the Canal Company, except for the payment of the
preferred bonds and interest thereon. The operation of the
resolution; if carried into effect, would be to compel the State
to postpone her rights and liens to the payment of interest
on the accrued interest on said bonds, thereby compounding
the interest against the State from the time of the funding of
the coupons mentioned in the resolution, and more than
doubling the amount of interest which the Canal Company
would have to provide for before reducing the principal of said
bonds.

In view of these considerations, and of the fact that said
resolution was passed hastily, and under a misapprehension
on the part of the Board, of the terms of the Act of 1844,
the undersigned, on the 10th inst., addressed to the Presi-
dent of the Canal Company, the following note :

EXECUTIVE DEPARTMENT,
Annapolis, March 10, 1870.
Hon. J. H. Gordon,

President Chesapeake and Ohio Canal Company:
DEAR SIR :—The Board of Public Works of Maryland in-
tend to move for a rescinding of the resolution for funding
the overdue coupons of preferred and repair bonds, passed at
the last meeting of the stockholders of the Chesapeake and
Ohio Canal Company, at the next meeting of the stockhold-
ers of said Company. In the meantime we request and in-
struct the Canal Board not to take any action in furtherance
of said resolution until the next meeting of said stock-
holders.

Very respectfully, &c.,

[Signed.] ODEN BOWIE,

Governor.

LEVIN WOOLFORD,

Comptroller.
JOHN MERRYMAN,

Treasurer.

In accordance with these views it is our intention to re-
scind the said resolution at the next meeting of the stock-
holders of the Canal Company.

We are informed by the President of the Canal Company
that no action has" been taken under said resolution, and
that the wishes of the Board of Public Works, as expressed in
the above note, will be strictly carried out. The interest of the
State, in regard to this question, we therefore think, will