1876.] OF THE SENATE. 931

an official letter, stating the money will be paid to the Treas-
urer of said Company when in funds." Smoot says, in his
testimony, that the State Treasurer did not regard the affi-
davit as sufficient, and accordingly we find another affidavit
dated the following day, (February 6th, 1873,) executed by
Smoot, Fant and Winder in Baltimore city, filed the same
day in Annapolis in which they swear, "That fifty per cent
tum has been actually paid in money to the Treasurer of the
said Southern Maryland Railroad Company, by other sub-
scribers than the State of Maryland, to the capital stock of
the said Southern Maryland Railroad Company on their re-
spective shares, which said fifty per centum amounts to the
sum of $500,000." The same day the Treasurer of the State,
as appears from his official letter, writes Smoot, advising
him that the papers were all satisfactory, and that the amount
of $160,000 would be paid as soon as the Treasury was in
funds. Armed with this letter from the Treasurer, improp-
erly given, as we think, the President of the Company is
enabled to borrow the money the following day from James
Sloan, Jr., of Baltimore city, making an assignment to
Sloan of the State's subscription, in which assignment, it is
stated, that the same is made to cover the amount of $65,-
000 due the Company, "as evidenced by the letter of the
Treasurer of the State of Maryland, dated the 6th day of
February, 1873, and addressed to the said Smoot and Fant."
On the 3rd day of June, 1873, the Comptroller issued his
warrant to James Sloan, Jr , assignee of the Southern Mary-
land Railroad Company, for the sum of $65,000, and on the
25th of November, 1873, another warrant for $16,500 to
Alexander Brown & Sons, the assignees of said Company,
these two amounts being fifty per centum on the State's sub-
scription.

By what authority of law, or on what proper proof
these warrants were issued, the undersigned are unable
to say. The law of 1868, chapter 454, expressly provides
as follows : "And the said Treasurer shall, out of any
unappropriated money in the Treasury, pay the installments
on each share of the capital stock of said company or com-
panies, for which he shall subscribe as aforesaid, on the
warrant of the Comptroller, which the latter officer is hereby
directed to issue, as the said installments may be called for
by the County Commissioners of said county, and agreeable
to the provisions of the Act incorporating said company or
companies," as the Act incorporating the Southern Maryland
Railroad Company, (Acts of 1868, chapter 150,) expressly
provides in Section 10, "that there shall be paid on every
share of such stock, two dollars at the time of subscribing

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