1990-03-07 Minutes - Laserfiche WebLink

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error with respect thereto shall constitute cause for a failure or refusal by the successful bidder to accept delivery of and pay for the Bonds. At the time of delivery of the Bonds the approving legal opinion of Baker & Daniels, bond counsel, of Indianapolis, Indiana, as to the validity of the Bonds, together with a transcript of Bond proceedings, the printed Bonds with such legal opinion printed thereon, and closing certificates in the customary form showing no litigation, will be furnished to the successful bidder at the expense of the Authority. In addition, unless bond counsel is able, on the date of delivery, to render an opinion to the effect that, under existing law: (1) the interest on the Bonds is exempt from income taxation in the State of Indiana (subject to qualification with respect to the Indiana franchise tax on corporations transacting the business of a financial institution in Indiana, as set forth in the proposed form of bond counsel opinion in the Official Statement); and (2) the interest on the Bonds is excluded from gross income for federal income tax purposes and the Bonds are not "private activity bonds" under Section 141 of the Internal Revenue Code of 1986, as amended, the successful bidder shall have the right to rescind the sale, and in such event his good faith deposit will be returned. The Authority was"organized in compliance with IC 36-7-14.5, for the purpose of financing local public improvements, including the Project (as defined in the Trust Agreement)` to be financed with the proceeds of the Bonds, for lease to the South Bend Redevelopment Commission (the • • 1~~ u -ix-