§53-36  Dissolution.  (a)  After
termination of any tax exemption granted pursuant to section 53-38, whether by
expiration or by any other cause, or if prior thereto the redevelopment
corporation elects to pay to the county the total of (1) all accrued taxes for
which the exemption was granted and received, (2) interest at the rate of five
per cent a year thereon, and (3) any additional amount with or without
interest, not exceeding five per cent a year, prescribed in the contract
between the redevelopment agency and the corporation as a condition precedent
to the enjoyments of the privileges granted by this section, the redevelopment
corporation may voluntarily dissolve, and title to the project may be conveyed
in fee to the owner or owners of its capital stock or to any corporation
designated by it or them for the purpose, or the redevelopment corporation may
be dissolved and reconstituted pursuant to appropriate laws relating to the
formation and conduct of corporations, after providing, in any case, for the
payment of all current operating expenses, taxes, indebtedness and all accrued
interest thereon, and the par value of and accrued dividends on the outstanding
stock of the redevelopment corporation.  If, after making the provision and
after the conveyance of the project, a cash surplus remains in the treasury of
the redevelopment corporation, the cash surplus shall, upon dissolution, be
paid into the redevelopment fund of the county.  After the dissolution and
conveyance or the reconstitution, any tax exemption granted to the
redevelopment corporation pursuant to section 53-38 shall cease and terminate,
and the provisions of this part regulating redevelopment corporations only
shall become and be inapplicable to the project.



(b)  If prior to the expiration of the
thirty-five-year period the project is sold for any reason, the redevelopment
corporation shall dissolve and any tax exemption granted to the redevelopment
corporation pursuant to section 53-38 shall cease and terminate.  In such case
the stockholders and income debenture certificate holders shall in no event
receive more than the par value of their stock and the face value of their
income debenture certificates with accrued and unpaid dividends or interest
upon such stock and income debenture certificates, and any remaining surplus
shall be paid into the redevelopment fund of the agency.



(c)  In no event shall a redevelopment
corporation be voluntarily dissolved unless provision is made for the payment
in full of the remaining balance of principal and interest due or unpaid upon
any mortgage on its property or any part thereof, but any project may, with the
consent of the agency, be conveyed and transferred to the agency subject to the
mortgage and accrued interest.



(d)  Unless the agency consents to the
voluntary dissolution of a redevelopment corporation, the corporation shall not
dissolve except in accordance with subsections (a) and (b) of this section or
upon the expiration of the period of corporate existence as fixed by its
articles.



(e)  The contract with the agency may contain
such other provisions for the dissolution of the redevelopment corporation as
may be deemed advisable, not inconsistent with the provisions of this section.



(f)  Upon dissolution as provided in this
section, the provisions of this part regulating redevelopment corporations only
shall become and be inapplicable to the project and its owner or owners.



(g)  Nothing in this section shall have the
effect of releasing the successors in interest of the redevelopment corporation
from covenants, conditions, restrictions, and limitations running with the land
and not appropriate solely to a redevelopment corporation. [L 1949, c 379, §19;
RL 1955, §143-35; HRS §53-36]