REPORT OF THE COMPTROLLER OF THE TREASURY. xiii

I declined to compromise the rights of the State, directed the
collecting attorney, in whose: hands my predecessor had placed
the accounts, to press by distraint, and other suits being insti-
tuted by attorneys who claimed to represent all the large oyster
packers, I turned over all matters of law to the Attorney-Gen-
eral, who is representing us and I am entirely satisfied taking
care of the rights of the State.

I recommend a careful consideration of this matter by your
honorable bodies and the oyster question generally, with a view
to insure the prompt payment of this tax, which seems to be
necessary to enforce the system of inspection and the protection
of the oyster beds.

TAX ON FOREIGN CORPORATIONS.

Section 68 of Article 23 of the Code of Public General Laws
provides that "every foreign corporation which has a usual
office or place of business in this State, except insurance com-
panies, hereinafter provided for, but including any corporation
which is engaged in this State permanently or temporarily and
with or without a usual place of business therein * * * *
shall, before doing business herein,file with the Secretary of
State, who shall record the same (1) a certified copy of its
charter or certificate of incorporation" and then follows the
enumeration of certain statements required to be made, among
which is the following "and the amount of capital employed
in this State."

Section 70 of said Article further provides that every foreign
corporation, except certain companies therein exempt, "shall at
the time of filing its annual certificate, to wit, before the first
day of April in each and every year, pay to the State Treasurer,
for the use of the State, a franchise tax for such year at the fol-
lowing rate, that is to say, the sum of twenty-five dollars for
every full fifty thousand dollars of capital employed by it in
this State up to five hundred thousand dollars, but in no case
less than twenty-five dollars: if the amount of such capital is
more than five hundred thousand dollars and not more than
five million dollars, then an additional amount equal to one-
fortieth of one per cent, on the excess; and if.more than five