Repository: UIHistories Project: Board of Trustees Minutes - 1936 [PAGE 830]

EXTRACTED TEXT FROM PAGE:

1936]

UNIVERSITY OF ILLINOIS

827

revenues, the operating expenses and the net operating income of the Trust Property, and the revenues from the Trust Property paid to the Trustee, all during the six month period ending on the next preceding December 31 or June 30, as the case may be, and an analysis of surplus of such period, and a balance sheet covering the Trust Property as at the end of such period. ( b ) On or before the 1st day of March of each year beginning with the 1st day of March next succeeding the Completion Date, a similiar statement with respect to the year ending on the next preceding December 31 certified as correct by a certified public accountant satisfactory to the Trustee. ( c ) From time to time such other information concerning the revenues and expenses of the Trust Property as the Trustee or the Government, so long as it shall hold any of the Bonds, may reasonably request. The Foundation further covenants and agrees that the Trust Property and all books, records, accounts, documents, and vouchers relating to the operation, maintenance and repair thereof, and relating to the construction of the Project, shall at all times be open to inspection of any bondholder and of the Trustee, and to such accountants or other agents of any bondholder or the Trustee as such bondholder or the Trustee (as the case may be) may from time to time designate, but the Trustee need not require any such inspection. All such statements shall be prepared in accordance with standard accounting practice, in reasonable detail, and in form satisfactory to the Trustee. The statements provided for in (a) and (b) above, when submitted, shall be accompanied by a declaration by the person signing the same to the effect that all employees and officers of the Foundation who collect or hold funds of the Foundation derived from the operation of the Trust Property are bonded; that the Trust Property and every part thereof is in good condition and repair and is insured against the hazards required to be insured against by this Indenture; and that the Trustee has in its possession prepaid insurance policies therefor covering a period at least six months following the date of the statement submitted. The Foundation, upon the written request of the Trustee (which the Trustee shall be under no obligation to make unless requested so to do in writing by the Government, so long as it holds any of the Bonds, or by the holders of not less than ten per cent (10%) in prinicipal amount of the outstanding Bonds issued hereunder) shall furnish such additional reports and information as it may reasonably require. The Trustee shall, upon request, exhibit to the holder of any Bond the statements received by the Trustee under the provisions of this Section and may supply such holder with any information obtained by it as provided in this Section. The Foundation shall keep such records and publish such statements relating to the Trust Property as may be required by law. Section 8.06. The Foundation covenants that it will at any and all times do, execute, acknowledge and deliver, and cause to be done, executed, acknowledged and delivered, all such further acts, conveyances, assignments, transfers, and assurances in law as the Trustee or the Government, so long as it holds any of the Bonds, shall reasonably require for the better assuring, conveying, transferring and confirming unto the Trustee all and singular the Pledged Estate, whether acquired before or after the execution and delivery hereof, and that it will cause this Indenture, and any and all additional instruments executed pursuant to the provisions hereof, at all times to be kept recorded or filed as a lien on real estate and personal property in such manner and in such places as may be necessary or required by law in order fully to preserve, continue and protect the security of the Bonds, the superior or lien of this Indenture on the Pledged Estate, and the rights and remedies of the Trustee, and that they will pay any tax legally due upon any recording or filing of the Indenture or upon the issuance of Bonds hereunder and will punctually and fully comply with all requirements of any and every recording tax law or other law affecting the due recording or filing of this Indenture or of any such additional instruments. Section 8.07. The Foundation covenants and agrees that without the consent