Law of July 11, 1860

ARTICLE 1.-Companies holding concessions for public works may issue obligations to an amount equal to the sum total of the capital invested in place of the limit of 50 per cent prescribed by the law of July 11, 1856. The subscription necessary to authorize the formation of the said companies remains fixed at 50 per cent of the capital stock, in place of the two-thirds required by the law of June 3, 1855, and that cited in the preceding paragraph.

ART. 2. In companies of.this class, which enjoy a stable subvention consisting of the payment of a part of the capital invested, whether from the funds of the State, or of the provinces or of the municipalities, said subvention shall be considered as capital stock only for the purpose of issuing obligations as the companies receive said subsidy.

ART. 3. The assessments whose payment is indispensable according to the provisions of article 5 of the law of July 11, 1856, in order to authorize the formation of these companies, can not be less than an amount equivalent to 10 per cent of the capital stock.

ART. 4. When companies holding concessions for public works acquire a new railway line, canal, or any other work distinct from that which constitutes its corporate object, it may pay the purchase price in obligations to the limit which the selling company is allowed to issue according to the provisions of article 1.