§ 8-4-1-20 — Financing of operations; loans and issue of security

Indiana § 8-4-1-20

• Jurisdiction: Indiana
• Art. 4: ORGANIZATION AND OPERATION OF
• Ch. 1: Incorporation of Railroad Companies

Text

A railroad may, from time to time, borrow such
sums of money as they may deem necessary for completing or
operating their railroad, and issue and dispose of their bonds for any
amounts so borrowed, for such sums, and at such rate of interest as is
allowed by the laws of the state where such contract is made, and
mortgage their corporate property and franchises to secure the payment
of any debt contracted by the railroad; and the directors of the railroad
may confer on any holder of any bond issued for money borrowed as
aforesaid the right to convert the principal due or owing thereon into
stock of said company, at any time not exceeding fifteen (15) years
from the date of said bond, under such regulations as the railroad may
adopt; and the railroad may sell their bonds, either within or without
this state, at such rates and prices as permitted by law, and such sales
shall be as valid as if such bonds should be sold at par value.
Formerly: Acts 1852, 1RS, c.83, s.19. As amended by
P.L.146-2017, SEC.9.