§ 10.1-603.22:1. Pledge of loans to secure bonds of Authority.
The Authority is empowered at any time and from time to time to pledge,assign, or transfer from the Fund to banks or trust companies designated bythe Authority any or all of the assets of the Fund to be held in trust assecurity for the payment of the principal of, premium, if any, and intereston any or all of the bonds, as defined in § 62.1-199, issued to finance anyproject. The interests of the Fund in any assets so transferred shall besubordinate to the rights of the trustee under the pledge, assignment, ortransfer. To the extent funds are not available from other sources pledgedfor such purpose, any of the assets or payments of principal and interestreceived on the assets pledged, assigned, or transferred or held in trust maybe applied by the trustee thereof to the payment of the principal of,premium, if any, and interest on such bonds of the Authority secured thereby,and, if such payments are insufficient for such purpose, the trustee isempowered to sell any or all of such assets and apply the net proceeds fromthe sale to the payment of the principal of, premium, if any, and interest onsuch bonds of the Authority. Any assets of the Fund pledged, assigned, ortransferred in trust as set forth above and any payments of principal,interest, or earnings received thereon shall remain part of the Fund butshall be subject to the pledge, assignment, or transfer to secure the bondsof the Authority and shall be held by the trustee to which they are pledged,assigned, or transferred until no longer required for such purpose by theterms of the pledge, assignment, or transfer.
§ 10.1-603.22:1. Pledge of loans to secure bonds of Authority.
The Authority is empowered at any time and from time to time to pledge,assign, or transfer from the Fund to banks or trust companies designated bythe Authority any or all of the assets of the Fund to be held in trust assecurity for the payment of the principal of, premium, if any, and intereston any or all of the bonds, as defined in § 62.1-199, issued to finance anyproject. The interests of the Fund in any assets so transferred shall besubordinate to the rights of the trustee under the pledge, assignment, ortransfer. To the extent funds are not available from other sources pledgedfor such purpose, any of the assets or payments of principal and interestreceived on the assets pledged, assigned, or transferred or held in trust maybe applied by the trustee thereof to the payment of the principal of,premium, if any, and interest on such bonds of the Authority secured thereby,and, if such payments are insufficient for such purpose, the trustee isempowered to sell any or all of such assets and apply the net proceeds fromthe sale to the payment of the principal of, premium, if any, and interest onsuch bonds of the Authority. Any assets of the Fund pledged, assigned, ortransferred in trust as set forth above and any payments of principal,interest, or earnings received thereon shall remain part of the Fund butshall be subject to the pledge, assignment, or transfer to secure the bondsof the Authority and shall be held by the trustee to which they are pledged,assigned, or transferred until no longer required for such purpose by theterms of the pledge, assignment, or transfer.
§ 10.1-603.22:1. Pledge of loans to secure bonds of Authority.
The Authority is empowered at any time and from time to time to pledge,assign, or transfer from the Fund to banks or trust companies designated bythe Authority any or all of the assets of the Fund to be held in trust assecurity for the payment of the principal of, premium, if any, and intereston any or all of the bonds, as defined in § 62.1-199, issued to finance anyproject. The interests of the Fund in any assets so transferred shall besubordinate to the rights of the trustee under the pledge, assignment, ortransfer. To the extent funds are not available from other sources pledgedfor such purpose, any of the assets or payments of principal and interestreceived on the assets pledged, assigned, or transferred or held in trust maybe applied by the trustee thereof to the payment of the principal of,premium, if any, and interest on such bonds of the Authority secured thereby,and, if such payments are insufficient for such purpose, the trustee isempowered to sell any or all of such assets and apply the net proceeds fromthe sale to the payment of the principal of, premium, if any, and interest onsuch bonds of the Authority. Any assets of the Fund pledged, assigned, ortransferred in trust as set forth above and any payments of principal,interest, or earnings received thereon shall remain part of the Fund butshall be subject to the pledge, assignment, or transfer to secure the bondsof the Authority and shall be held by the trustee to which they are pledged,assigned, or transferred until no longer required for such purpose by theterms of the pledge, assignment, or transfer.
