(1) A statutory mortgage lien shall exist upon the industrial building so acquired in favor of the holders of the bonds and coupons. The industrial building so acquired shall remain subject to the statutory mortgage lien until the payment in full of the principal of the bonds, and all interest due thereon. Said statutory mortgage lien shall be effective from and after the recording of a lease of the property, which has been acquired by the issuer of the bonds, to the lessee corporation, and said lien shall attach to all of the property described in said lease, including machinery, equipment and appurtenances described therein in either general or specific terms. No filing or recording or notice of said lien on property held or thereafter acquired by the issuer from the proceeds of the bonds shall be required under the Uniform Commercial Code.
(2) If there is any default in the payment of principal or interest of any bond, any court having jurisdiction of the action may appoint a receiver to administer the industrial building on behalf of the city or county, as the case may be, with power to charge and collect rents sufficient to provide for the payment of any bonds or obligations outstanding against the building, and for the payment of operating expenses, and to apply the income and revenue in conformity with KRS § 103.200 to KRS § 103.280 and the ordinance referred to in KRS § 103.210.
History: Amended 1976 Ky. Acts ch. 241, sec. 4. — Created 1966 Ky. Acts ch. 119, secs. 2(2) and 3.