IC 4-11
    ARTICLE 11. LOANS OF STATE FUNDS ANDMORTGAGES TO STATE

IC 4-11-1
    Chapter 1. Procedures for Collection of Loans

IC 4-11-1-1
Loan greater than amount authorized by law; validity of security
    Sec. 1. The bonds, mortgages, notes, or other evidences of debt,or instruments of writing, executed by any person or persons, or thatmay hereafter be executed, for loans of money of any of the trust orother funds of the state, authorized by law to be loaned, being thesame are hereby declared not to be invalid on account of the amountof such loan being for a larger sum than was, is, or may becontemplated or authorized by law, but the same are hereby declaredto be as valid and obligatory, in every respect, as if the loan forwhich the same are executed had been for no greater amount thanwas, by law, in such case contemplated or authorized.
(Formerly: Acts 1855, c.54, s.1.)

IC 4-11-1-2
Suits for recovery of loan; defense; loan greater than authorized bylaw; validity of title to land; liability of officers
    Sec. 2. No borrower shall be permitted to defend any suit broughtfor the recovery of any such money on the ground that the officerwho made the loan loaned a greater sum than the law authorized; norshall any title to land, or lands and tenements, be deemed invalidbecause the mortgage upon which it was or may be sold was or is ormay be for a sum greater than the law authorized to be loaned;provided, however, that this chapter shall not be so construed as torelease any officer charged with the loaning of said funds, or any ofthem, or his or their securities, from any liability incurred afterAugust 17, 1855, for breach of duty.
(Formerly: Acts 1855, c.54, s.2.) As amended by P.L.5-1984, SEC.39.

IC 4-11-1-3
Default; suits
    Sec. 3. When any default is made in the payment of the principalor the interest of any loan from the sinking fund, surplus revenuefund, congressional township fund, college fund or any other of thetrust or other funds of the state, suit shall, in the first instance, bebrought upon the bond in every case where the obligor is consideredresponsible and where the mortgage is considered insufficient; and,ultimately, for any deficit, proceedings may be had upon themortgage as now authorized.
(Formerly: Acts 1855, c.54, s.3.)

IC 4-11-1-4
Mortgage sales; state bidding in property; surplus sale proceeds    Sec. 4. In all cases where the mortgagor is considered of doubtfulsolvency, and the property, when offered for sale, will not bring theamount due on the mortgage, the state herself may bid in the propertyfor what the same may be deemed worth, and hold the mortgagorliable upon his bond for the deficiency: Provided, however, That ifthe state shall subsequently sell any land so bid in for more than theamount of principal, interest, damages and costs due from themortgagor or mortgagors, he or they shall be entitled to the surplus.
(Formerly: Acts 1855, c.54, s.4.)

IC 4-11-1-5
Substitutions; diminishing security
    Sec. 5. The laws limiting the amount to be loaned by the officershaving charge of said funds shall not prevent substitutions, but suchsubstitutions may be made by the borrower, or any third person byhis consent where the officer having control of the fund believes theinterest of the fund will not suffer thereby: Provided, The mortgagedsecurity shall, in no case, be diminished, but may be increased, ifdeemed insufficient.
(Formerly: Acts 1855, c.54, s.5.)

IC 4-11-1-6
Offenses of officers; loaning greater amount than authorized
    Sec. 6. An officer who recklessly lends to any person a greateramount of funds than he is authorized by law to lend commits a ClassB misdemeanor.
(Formerly: Acts 1855, c.54, s.6.) As amended by Acts 1978, P.L.2,SEC.405.