The Board of Trade may by Licence authorize a Company applying for it to construct and work or to work as a light Railway the whole or any Part of a Railway which the Company has Power to construct or work.
Before granting the Licence the Board of Trade shall cause due Notice of the Application to be given, and shall consider all Objections and Representations received by them, and shall make such Inquiry as they think necessary.
A light Railway shall be constructed and worked subject to such Conditions and Regulations as the Board of Trade may from Time to Time impose or make : Provided, that (1) the Regulations respecting the Weight of Locomotive Engines, Carriages, and Vehicles to be used on such Railway shall not authorize a greater Weight than Eight Tons to be brought upon the Rails by any One Pair of Wheels; (2) the Regulations respecting the Speed of Trains shall not authorise a Rate of Speed exceeding at any Time Twenty-five Miles an Hour.
If the Company or any Person fails to comply with or acts in contravention of such Conditions and Regulations, or directs any one so to fail or act, such Company and Person shall respectively be liable to a Penalty for each Offence not exceeding Twenty Pounds, and to a like Penalty for every Day during which the Offence continues ; and every such Person on Conviction on Indictment for any Offence relating to the Weight of Engines, Carriages, or Vehicles, or the Speed of Trains, shall be also liable to Imprisonment, with or without Hard Labour, for any Term not exceeding Two Years.
The Conditions and Regulations of the Board of Trade relating to light Railways shall be published and kept published by the Company in manner directed with respect to Byelaws by Section One Hundred and Ten of " The Railways Clauses Consolidation Act, 1845," and the Company shall be liable to a Penalty not exceeding Five Pounds for every Day during which such Conditions and Regulations are not so published.