Repository: UIHistories Project: Board of Trustees Minutes - 1948 [PAGE 811]

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BOARD OF TRUSTEES

[September 26

Board of Trustees, hereinabove referred to, and which are payable by their terms only from the net revenue of said Illini Union Building located on the campus of said University, in the City of Urbana, Illinois. It is hereby certified and recited that all acts, conditions and things required to be done precedent to and in the issuance of this bond by the Constitution and Statutes of the State of Illinois, and the applicable resolutions of said Board of Trustees of the University of Illinois, have been done and have happened and have been performed in regular and due form and time as required by law and that provision has been made for depositing the net revenue derived from the operation of said building with the said The Northern Trust Company, to be applied in the manner as hereinabove set forth. Bonds numbered 101 to 425, inclusive, of this authorized issue are redeemable as a whole prior to maturity at the option of the Board of Trustees of the University of Illinois on any interest payment date on or after October 1, 1949, and up to and including April 1, 1953, at par and accrued interest and a premium of two per cent of the principal amount thereof. Bonds numbered 286 to 425, inclusive, are redeemable as a whole at the option of the Board of Trustees of the University of Illinois or in part through operation of the sinking fund in the inverse order of their maturity, on and after October I, 1953 and prior to maturity thereof, at par and accrued interest and a premium of one per cent of the principal amount thereof. If sinking fund moneys are on hand sufficient to redeem some but not all of any maturity of said bonds numbered 286 to 425, inclusive, at any time when such bonds become redeemable, the said bonds to be redeemed shall be designated by lot in any usual manner by the Depositary hereinabove referred to. Notice of redemption shall be published once not less than thirty days prior to the date of redemption; such publication to be made in one newspaper published and of general circulation in the City of Chicago, Illinois, and when this bond shall have been called for redemption, interest thereon shall cease from and after the specified redemption date. This bond shall pass by delivery unless it is registered as to principal in the name of the holder on the books of registration of said University kept at the office of the Depositary hereinabove mentioned, such registration to be noted on the back hereof. After such registration no transfer hereof shall be valid unless made on such books by the registered holder in person or by attorney duly authorized in writing and similarly noted hereon, but this bond may be transferred in like manner to bearer, and thereupon transferability by delivery shall be restored and it may again from time to time be registered or transferred to bearer as before. Such registration, however, shall not restrict the negotiability of the coupons hereto appertaining, but such coupons shall be transferable by delivery merely and payable to the bearer thereof. This bond and all other bonds of this issue shall have all of the qualities of negotiable instruments, and during such time as this bond is payable to bearer, the same and each of the coupons hereto appertaining may be negotiated by delivery by any person having possession thereof, howsoever such possession may have been acquired, and any holder who shall have taken this bond while so payable to bearer or any of said coupons from any person for value and without notice shall thereby acquire absolute title to this bond or to such coupons as the case may be, free of any defenses enforceable against any prior holder and free from all equities and claims of ownership of any such prior holder, and the said University and any paying agent may deem and treat the bearer of this bond, or, if registered. the person in whose name it is registered and the bearer of any interest coupon appertaining hereto as the absolute owner thereof for all purposes. Said University of Illinois hereby covenants with the holder of this bond that it will keep and perform all the covenants and agreements in the resolution adopted by the Board of Trustees of said University of Illinois, authorizing the issue of this bond and the series of which it forms a part and as provided in the Deposit Agreement hereinabove referred to, and hereby irrevocably obligates itself to deposit the net revenue derived from the operation of said building with the said Depositary, to administer the said net revenue as provided for in and by said Deposit Agreement, and to establish from time to time charges and fees for the use of said building and to maintain and collect charges and fees sufficient to pay the cost of maintenance and operation of said building, and pay the principal of and interest upon all revenue bonds which by their terms are payable from such revenues until all of such bonds have been paid in full, both as to principal and interest.