People ex rel. Lafayette, Bloomington & Mississippi Railroad v. Board of Supervisors

Citations

• 63 Ill. 142

Syllabus

<p>Municipal subscriptions to railroads—of the rate of interest the bonds should, bear, in a particular case. The charter of a railroad company, authorizing municipal subscriptions to its capital stock, provided that if a vote of the people of the municipality to whom the question should be submitted should result in favor of subscription, the proper authorities should issue bonds therefor, “drawing interest at the rate of ten per cent per annum.” The .preceding portion of the same section, providing for the submission of the question of subscription to the legal voters, contemplated that the propositions submitted to the people should specify the rate of interest the bonds should bear: Held, that while, if the propositions submitted to a vote should specify a certain rate of interest, the authorities would have no power to issue bonds bearing a different rate, yet, where the propositions submitted the question of subscribing stock and issuing bonds therefor to bear not to exceed ten per cent interest, the action of the voters giving the required authority should be construed as an assent to the subscription of stock, to be paid for in bonds bearing the rate of interest prescribed by the act—ten per cent.</p>