1878. ] OF THE SENATE. 141

is hereby, authorized and empowered to issue the bonds of
the said Company, under its corporate seal, and signed by
the President, and countersigned by the Treasurer thereof,
to the total amount of five hundred thousand dollars, for the
purpose of putting and keeping the said Chesapeake and
Ohio Canal and its works, in good condition and repair,
for the payment of the current expenses of the said canal,
and for the providing of such supply of water as may
be necessary to make the said canal effective as a means
of transportation; and the said bonds shall be issued in
sums of not less than one hundred dollars each, and each,
of said bonds shall be payable twenty years after date
to bearer, redeemable, however, at the pleasure of the Com-
pany at any time after the expiration often years from their
respective dates, and shall bear interest in the mean time at
the rate of six per centum per annum in equal half yearly in-
stalments on the first days of January and July in each and
every year, according to the tenor of the coupons for said in-
terest to be attached to the said bonds. And the said bonds
shall express upon their face that the same are issued under
the provisions of this Act, and without any preference or
priority over each other, are preferred and are absolute liens
on the revenues, tolls and property of the said Chesapeake
and Ohio Canal Company to be paid and discharged in pre-
ference to any other claims or liens upon the said Chesapeake
and Ohio Canal Company, or its works or property, and in
preference to any bonds which may be subsequently issued by
the said Chesapeake and Ohio Canal Company, for the pur-
pose of putting and keeping the said canal and its works in
good condition and repair for the payment of the current ex-
penses of the said canal, and for the providing of such sup-
ply of water as may be necessary to make the said canal
effective as a means of transportation; and the President and
Directors of the said Chesapeake and Ohio Canal Company
shall have power to sell and dispose of so many of said bonds
as may be necessary on such terms as to them may seem
proper, and to apply the proceeds thereof to the putting and
keeping of the said canal and its works in good condition and
repair, to the payment of the current expenses of the said
canal, and to the providing of such supply of water as may
be necessary to make the said canal effective as a means of
transportation, and to no other use or purpose whatsoever,

SEC. 2. And be it enacted, That the said Chesapeake and
Ohio Canal Company be, and is hereby, authorized to secure
the payment of the principal and interest of the said bonds
to the amount of. five hundred thousand dollars, authorized to
be issued by this Act as aforesaid, by the mortgage of the