180.220 Trustee to be appointed -- Trust indenture.

175 words·~1 min read·/ky/chapter-180/180-220

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

(1)Each issue of the bonds shall be further secured by a trust indenture made between

the department and a trustee.

(2)The trustee shall be a trust company or bank having the powers of a trust company,

having its principal office in Kentucky, and at the time it begins to function as

trustee, it shall have a combined capital and surplus of at least one million dollars

($1,000,000). The trustee shall be satisfactory to the original purchasers of the

bonds.

(3)The trust indenture may contain those provisions customarily found in trust

agreements securing the bonds and debentures of corporations, and shall set forth

the duties and covenants of the department in respect to bridges to be constructed or

purchased and the conservation and application of funds and the insurance of

money on hand or on deposit and the rights and remedies of the trustee and the

holders of the bonds, restricting in reasonable manner the individual right of action

of bondholders in favor of action in their behalf by the trustee and purchasers.