678 JOURNAL OF PROCEEDINGS [Mar. 22,

Tour Committee acting under the foregoing resolution,
proceeded to take testimony and submit to your Honorable
Body as a part of their report the evidence taken before them.

Tour Committee does not propose to make any extended
comment upon that testimony.

The Baltimore and Drum Point Railroad Company, incor-
porated by the Act of 1868, Chapter 364, had no corporate
power to acquire any interest in the Annapolis and Elkridge
Railroad.

The Annapolis and Elkridge Railroad Company never pos-
sessed any right to aid the Baltimore and Drum Point Rail-
road Company in the construction of its railroad. The Act
of 1872, Chapter 425, under the authority of which the An-
napolis and Elkridge Railroad Company issued bonds to the
amount of $400,000, and secured these bonds by a mortgage
of all its franchises and property, was enacted as appears by
its express terms, only for the purpose of enabling the An-
napolis and Elkridge Railroad Company to extend its own
road and to build branches from that road.

It cannot be pretended that the arrangements made be-
tween the Annapolis and Elkridge Railroad Company and
the Baltimore and Drum Point Railroad Company were
sanctioned by the Act of 1870, Chapter 476, Section 24, be-
cause that Act forbade any such arrangement unless it were
first approved by the Stockholders of both Companies as-
sembled respectively in general meetings. No such general
meetings of the stockholders of the respective companies as-
sented to the arrangements which ave disclosed by the tes-
timony.

It is perfectly evident therefore, that President Magruder
and his Board of Directors misapplied all these bonds of the
Annapolis and Elkridge Railroad Company, which were used
for any other purpose than the extension of the road of that
company or the building of branches to that road.

It is equally evident that the Baltimore and Drum Point
Railroad Company has no legal right or title to retain the
ownership or control of any stock in the Annapolis and Elk-
ridge Railroad Company.

It further appears that the Baltimore and Drum Point
Railroad was not completed within the time limited by the
Act of 186S, Chapter 364, Section 19, and that its charter is
therefore, by the express terms of that Act, null and void.

It can claim no advantage under the Act of 1876, Chapter
337, extending the time for the completion of its road,
because its President and Directors did not comply with the