56-58 - Purposes for which stock, etc., may issue.
§ 56-58. Purposes for which stock, etc., may issue.
A public service company may issue stocks and stock certificates or otherevidences of interest or ownership, and bonds, notes and other evidences ofindebtedness payable at periods of twelve months or more after the datethereof, for the following purposes and no others, namely:
(1) For the acquisition of property (including stocks, stock certificates orother evidences of interest or ownership, and bonds, notes and otherevidences of indebtedness of other persons, firms, associations orcorporations when the acquisition thereof has been approved and authorized bythe Commission);
(2) For the construction, completion, extension or improvement of itsfacilities;
(3) For the improvement or maintenance of its service;
(4) For the discharge or lawful refunding of its obligations; or
(5) For the reimbursement of moneys actually expended from income, or fromany other moneys in the treasury of the public service company not secured byor obtained from the issue of its stocks or stock certificates or otherevidences of interest or ownership of bonds, notes or other evidences ofindebtedness payable at periods of twelve months or more after the datethereof, for any of the aforesaid purposes except maintenance of service incases where the applicant shall have kept its accounts and vouchers for suchexpenditures in such manner as to enable the Commission to ascertain theamount of moneys so expended and the purposes for which such expenditureswere made.
(1934, p. 221; Michie Code 1942, § 4073(3).)