§ 5-20-2-12 — Liability for bonds

Liability for Bonds. All bonds issued under
this chapter and the interest on them are limited obligations of the
county or municipality payable solely from the revenues and receipts
derived from or in connection with the home mortgages, from any notes
or other obligations of lending institutions with respect to which these
bonds are issued, or from the proceeds of these bonds or refunding
bonds and the investment income from them. No holder of any bonds
issued under this chapter has the right to compel any exercise of the
taxing power of the county or municipality to pay the bonds or the
interest or redemption premium, if any, thereon. The bonds are not an
indebtedness of the county or municipality or a loan of its credit within
the meaning of any constitutional or statutory limitation. Nor shall the
bonds be construed to create any moral obligation on the part of the
county or municipality with respect to their payment. It shall be plainly
stated on the face of each bond that it has been issued under the
provisions of this chapter and that it does not constitute an
indebtedness of the county or municipality or a loan of its credit within
the meaning of any constitutional or statutory limitation.
As added by Acts 1979, P.L.47, SEC.1. Amended by Acts 1981,
P.L.62, SEC.10.