IC 4-11 ARTICLE 11. LOANS OF STATE FUNDS AND
MORTGAGES 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 that
may hereafter be executed, for loans of money of any of the trust or
other funds of the state, authorized by law to be loaned, being the
same are hereby declared not to be invalid on account of the amount
of such loan being for a larger sum than was, is, or may be
contemplated or authorized by law, but the same are hereby declared
to be as valid and obligatory, in every respect, as if the loan for
which the same are executed had been for no greater amount than
was, 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 by
law; validity of title to land; liability of officers
Sec. 2. No borrower shall be permitted to defend any suit brought
for the recovery of any such money on the ground that the officer
who made the loan loaned a greater sum than the law authorized; nor
shall any title to land, or lands and tenements, be deemed invalid
because the mortgage upon which it was or may be sold was or is or
may be for a sum greater than the law authorized to be loaned;
provided, however, that this chapter shall not be so construed as to
release any officer charged with the loaning of said funds, or any of
them, or his or their securities, from any liability incurred after
August 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 principal
or the interest of any loan from the sinking fund, surplus revenue
fund, congressional township fund, college fund or any other of the
trust or other funds of the state, suit shall, in the first instance, be
brought upon the bond in every case where the obligor is considered
responsible and where the mortgage is considered insufficient; and,
ultimately, for any deficit, proceedings may be had upon the
mortgage 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 doubtful
solvency, and the property, when offered for sale, will not bring the
amount due on the mortgage, the state herself may bid in the property
for what the same may be deemed worth, and hold the mortgagor
liable upon his bond for the deficiency: Provided, however, That if
the state shall subsequently sell any land so bid in for more than the
amount of principal, interest, damages and costs due from the
mortgagor 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 officers
having charge of said funds shall not prevent substitutions, but such
substitutions may be made by the borrower, or any third person by
his consent where the officer having control of the fund believes the
interest of the fund will not suffer thereby: Provided, The mortgaged
security shall, in no case, be diminished, but may be increased, if
deemed 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 greater
amount of funds than he is authorized by law to lend commits a Class
B misdemeanor. (Formerly: Acts 1855, c.54, s.6.) As amended by Acts 1978, P.L.2,
SEC.405.
IC 4-11 ARTICLE 11. LOANS OF STATE FUNDS AND
MORTGAGES 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 that
may hereafter be executed, for loans of money of any of the trust or
other funds of the state, authorized by law to be loaned, being the
same are hereby declared not to be invalid on account of the amount
of such loan being for a larger sum than was, is, or may be
contemplated or authorized by law, but the same are hereby declared
to be as valid and obligatory, in every respect, as if the loan for
which the same are executed had been for no greater amount than
was, 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 by
law; validity of title to land; liability of officers
Sec. 2. No borrower shall be permitted to defend any suit brought
for the recovery of any such money on the ground that the officer
who made the loan loaned a greater sum than the law authorized; nor
shall any title to land, or lands and tenements, be deemed invalid
because the mortgage upon which it was or may be sold was or is or
may be for a sum greater than the law authorized to be loaned;
provided, however, that this chapter shall not be so construed as to
release any officer charged with the loaning of said funds, or any of
them, or his or their securities, from any liability incurred after
August 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 principal
or the interest of any loan from the sinking fund, surplus revenue
fund, congressional township fund, college fund or any other of the
trust or other funds of the state, suit shall, in the first instance, be
brought upon the bond in every case where the obligor is considered
responsible and where the mortgage is considered insufficient; and,
ultimately, for any deficit, proceedings may be had upon the
mortgage 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 doubtful
solvency, and the property, when offered for sale, will not bring the
amount due on the mortgage, the state herself may bid in the property
for what the same may be deemed worth, and hold the mortgagor
liable upon his bond for the deficiency: Provided, however, That if
the state shall subsequently sell any land so bid in for more than the
amount of principal, interest, damages and costs due from the
mortgagor 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 officers
having charge of said funds shall not prevent substitutions, but such
substitutions may be made by the borrower, or any third person by
his consent where the officer having control of the fund believes the
interest of the fund will not suffer thereby: Provided, The mortgaged
security shall, in no case, be diminished, but may be increased, if
deemed 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 greater
amount of funds than he is authorized by law to lend commits a Class
B misdemeanor. (Formerly: Acts 1855, c.54, s.6.) As amended by Acts 1978, P.L.2,
SEC.405.
IC 4-11 ARTICLE 11. LOANS OF STATE FUNDS AND
MORTGAGES 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 that
may hereafter be executed, for loans of money of any of the trust or
other funds of the state, authorized by law to be loaned, being the
same are hereby declared not to be invalid on account of the amount
of such loan being for a larger sum than was, is, or may be
contemplated or authorized by law, but the same are hereby declared
to be as valid and obligatory, in every respect, as if the loan for
which the same are executed had been for no greater amount than
was, 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 by
law; validity of title to land; liability of officers
Sec. 2. No borrower shall be permitted to defend any suit brought
for the recovery of any such money on the ground that the officer
who made the loan loaned a greater sum than the law authorized; nor
shall any title to land, or lands and tenements, be deemed invalid
because the mortgage upon which it was or may be sold was or is or
may be for a sum greater than the law authorized to be loaned;
provided, however, that this chapter shall not be so construed as to
release any officer charged with the loaning of said funds, or any of
them, or his or their securities, from any liability incurred after
August 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 principal
or the interest of any loan from the sinking fund, surplus revenue
fund, congressional township fund, college fund or any other of the
trust or other funds of the state, suit shall, in the first instance, be
brought upon the bond in every case where the obligor is considered
responsible and where the mortgage is considered insufficient; and,
ultimately, for any deficit, proceedings may be had upon the
mortgage 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 doubtful
solvency, and the property, when offered for sale, will not bring the
amount due on the mortgage, the state herself may bid in the property
for what the same may be deemed worth, and hold the mortgagor
liable upon his bond for the deficiency: Provided, however, That if
the state shall subsequently sell any land so bid in for more than the
amount of principal, interest, damages and costs due from the
mortgagor 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 officers
having charge of said funds shall not prevent substitutions, but such
substitutions may be made by the borrower, or any third person by
his consent where the officer having control of the fund believes the
interest of the fund will not suffer thereby: Provided, The mortgaged
security shall, in no case, be diminished, but may be increased, if
deemed 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 greater
amount of funds than he is authorized by law to lend commits a Class
B misdemeanor. (Formerly: Acts 1855, c.54, s.6.) As amended by Acts 1978, P.L.2,
SEC.405.
