386.050 Housing authority obligations -- Authorized investments -- Security for

254 words·~1 min read·/ky/386-050

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

public deposits -- Negotiable -- United States bonds.

(1)This state and all public officers, cities, political subdivisions and public bodies, all

banks, trust companies, savings institutions, savings and loan associations,

investment companies and other persons carrying on a banking business, all

insurance companies, and other persons carrying on an insurance business and all

fiduciaries may legally invest any sinking funds, moneys or other funds belonging

to them or within their control in any bonds or other obligations issued by a housing

authority pursuant to the Municipal Housing Authority Act or the Rural Housing

Authority Act, and any additional amendments thereto, or issued by any public

housing authority or agency in the United States, when these bonds or other

obligations are secured by a pledge of annual contributions to be paid by the United

States or any agency thereof, or in any electric revenue bonds or other obligations

issued by the Tennessee Valley Authority.

(2)These bonds and other obligations shall be authorized security for all public

deposits and shall be fully negotiable in this state.

(3)Nothing in this section with regard to legal investments shall relieve any individual

or corporation from any duty of exercising reasonable care in selecting securities.

(4)Any county, municipality, or other taxing district may legally invest its sinking

funds, money, or other funds belonging to it or within its control in United States

Defense Bonds or any other bonds or obligations for the payment of which the faith

and credit of the United States Government is pledged.