330

LAWS OF MARYLAND.

B after ten years, and class C after five years, and

shall be exempt from State, county and municipal

taxation, and shall not be disposed of until bids

therefor have been duly advertised.

72. To provide means for punctual payment of

the interest on said bonds, and to create a sinking

Sinking fund.

fund to pay the principal thereof at maturity, so

much of the four hundred dollars heretofore required

by section thirty six of this act, to be paid annually

by the county commissioners for Dorchester county

to the said town commissioners for corporate pur-

poses, is hereby set apart and appropriated annually,

and the said town commissioners are hereby re-

quired out of said amount to pay first, the semi-

annual interest on said bonds, and second, the

balance of said sum of four hundred dollars which

may annually remain, after the payment of the in-

terest on said bonds as aforesaid, shall be set apart

for a sinking fund; and the said town commission-

ers shall, in addition to the said balance, annually

set apart the sum of two hundred dollars out of the

Annually set
apart.

town levy for a sinking fund to pay said bonds as

they mature, and they shall annually invest the said

sums which are hereby pledged and appropriated

for a sinking fund in first mortgages on real estate,

Maryland State bonds, United States bonds, Dor-

chester county bonds, or the town bonds, for the re-

demption of the bonds or certificates of debt that

may be issued under the provisions of section

seventy one of this act, and a separate account shall

be kept of said fund, and if the said commissioners

shall fail or refuse to punctually apply the money

appropriated as aforesaid to the payment of the in-

terest on said bonds, or to set, apart and invest the

moneys mentioned and appropriated as aforesaid for

a sinking fund, they shall for each of said offences

Penalty for
failure.

severally be liable to a penalty of three hundred

dollars, to be enforced by indictment of the grand

jury for said county, or be recovered by an action

of debt by the State's attorney for said county, in

the name of the State of Maryland, and any pen-

alty collected or enforced as aforesaid shall be paid

over by the State's attorney to the treasurer of said

town for corporate purposes.

Approved April 3, 1882.