§ 10-515
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/md/economic-development/10-515A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§10–515.
(1)The Corporation may secure a bond by a trust agreement between the Corporation and a corporate trustee.
(2)A corporate trustee may be any trust company or bank that has the powers of a trust company in or outside the State.
(3)A corporation or trust company incorporated in the State may:
(i)act as depository of bond proceeds or revenue; and
(ii)furnish any indemnity bond or pledge security that the Corporation requires.
(b)The trust agreement or the resolution that provides for the issuance of a bond may:
(1)state the rights and remedies of bondholders and any trustee;
(2)contain provisions to protect and enforce the rights and remedies of bondholders;
(3)contain covenants stating the duties of the Corporation as to the custody, safeguarding, and application of money;
(4)restrict the individual right of action of bondholders;
(5)provide for the payment of the bond proceeds and revenues to an officer, board, or depository that the Corporation determines with the safeguards and restrictions that the Corporation determines; and
(6)provide for the method of disbursement of the bond proceeds and revenues, with the safeguards and restrictions that the Corporation determines.
(c)Expenses incurred in carrying out a trust agreement may be treated as a part of the cost of operation of the Corporation.