§ 4317 — Dissolution

Whenever an authority desires to discontinue its operations, it shall make application to DSHA for permission to dissolve. Permission to dissolve shall be given only upon the showing, satisfactory to DSHA, that all projects undertaken by the authority have been completed or abandoned with the approval of DSHA, that provision satisfactory to a majority of its creditors, holding a majority in the amount of claims, has been made, and that the continued existence of the authority would not serve the public interest. Notice of such application for permission to dissolve shall be given to all creditors of the authority in such manner as DSHA approves. If the application to dissolve is granted, DSHA shall either (1) designate an agent to take possession of the authority, to dispose of all of its property in the manner authorized herein, and, after paying or making provisions for the debts and liabilities of the authority and the expenses of dissolution, pay the balance remaining, if any, into the General Fund of the State; or (2) DSHA may, after proper provision has been made for paying or meeting the debts and liabilities of an authority and the expenses of dissolution, approve an agreement conveying the property of the authority to the State, provided that no debt or obligation of the authority shall become the debt or obligation of the State by virtue of such conveyance, unless expressly assumed by the State.

Legislative History

39 Del. Laws, c. 16, § 19 ; Code 1935, § 5471; 31 Del. C. 1953, § 4318; 57 Del. Laws, c. 679, § 5B ; 71 Del. Laws, c. 357, § 17