§ 5-1.4-7-2 — Default; appointment of trustee to represent holders of bonds or notes

Indiana § 5-1.4-7-2

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 1.4: LOCAL PUBLIC IMPROVEMENT BOND BANKS
• Ch. 7: Default of the Bank

Text

If the bank:
(1) defaults in the payment of principal or interest on an issue of
notes or bonds after they become due, whether at maturity or upon
call for redemption; or
(2) fails or refuses to comply with this article or defaults in an
agreement made with the holders of an issue of notes or bonds;
and there is no trustee under a trust agreement, then the holders of
twenty-five percent (25%) in the aggregate principal amount of the
outstanding notes or bonds of that issue, by instrument filed in the
office of the clerk of the county and executed in the same manner as a
deed to be recorded, may appoint a trustee to represent the holders of
those notes or bonds for the purposes provided in this article.

Legislative History

As added by P.L.42-1985, SEC.1.