When any railroad shall be sold and conveyed by virtue of any mortgage or deed of trust or under and by virtue of any process or decree of any court of this State or of the circuit court of the United States, any company with which such railroad connects may purchase and pay for such railroad, may issue its own stock for such an amount as the purchasers may deem the full and fair value thereof and may hold and enjoy the railroad so purchased with all the rights, privileges and franchises and with the same rights to charge for tolls, transportation and car services and subject to the same restrictions as were held, enjoyed and limited by and in respect to the company of which the road may be so sold. But no person shall purchase or lease any railroad lying in whole or in part within this State, or any interest therein or shall operate any such railroad when such purchaser or lessee already owns, operates or is interested in a line or lines of railroad which, either alone or in conjunction with other connecting railroads lying within or without this State, can compete between any two or more points within this State and any such purchase, lease or acquisition is hereby declared to be null and void. Nor shall any person owning or exercising a controlling interest in any such competing company or companies, either directly or indirectly, purchase or lease, in whole or in part, any such railroad. Any incorporators or individuals so offending by making any such acquisition shall also forfeit any franchise or license which they may hold from this State to operate or hold the competing road which they own, operate or are interested in and the company owning the railroad so to be controlled shall forfeit its charter, franchise or license to own and operate such railroad.

HISTORY: 1962 Code Section 58-933; 1952 Code Section 58-933; 1942 Code Section 8292-1; 1932 Code Section 8238; Civ. C. '22 Section 4802; Civ. C. '12 Section 3133; Civ. C. '02 Section 2058; G. S. 1433; R. S. 1623; 1881 (17) 798; 1894 (21) 811.