Orange County NC Website
Browse       Search
44 <br /> property securing the Bonds may be issued under the terms and conditions set forth <br /> in the Trust Agreement. <br /> Reference is made to the Trust Agreement and the Deed of Trust referenced <br /> above for the provisions, among others, with respect to the nature and extent of the <br /> security, the rights, duties and obligations of the County and the Trustee, the rights <br /> of the Owners of the Bonds and the terms upon which the Bonds are executed, <br /> delivered and secured, to all of which provisions the owner of this Bond, by the <br /> acceptance of this Bond, agrees. <br /> The Bonds are issued by means of a book-entry system, with one certificate <br /> for each maturity immobilized at The Depository Trust Company, New York, New <br /> York ("DTC"), and not available for distribution to the public. Transfer of beneficial <br /> ownership interests in the Bonds in the principal amount of $5,000 or any integral <br /> multiple thereof will be effected on the records of DTC and its participants pursuant <br /> to rules and procedures established by DTC and its participants. Principal and <br /> interest on the Bonds are payable to DTC or its nominee as registered owner of the <br /> Bonds. Neither the Trustee nor the County is responsible or liable for the transfer of <br /> ownership or payments or for maintaining, supervising or reviewing the records <br /> maintained by DTC, its participants or persons acting through such participants. <br /> If (a) DTC determines not to continue to act as securities depository for the <br /> Bonds or (b) the County so elects, the County and the Trustee will discontinue the <br /> book-entry system with DTC. If the County does not identify another qualified <br /> securities depository to replace DTC, the County will prepare and execute, and the <br /> Trustee will authenticate and deliver in exchange, replacement Bonds in the form of <br /> fully-registered Bonds. <br /> Prior to any transfer of any Bonds outside of the book-entry only system as <br /> contemplated above (including, but not limited to, the initial transfer outside the <br /> book-entry only system), the transferor shall provide or cause to be provided to the <br /> Trustee all information necessary to allow the Trustee to comply with any <br /> applicable tax reporting obligations, including without limitation any cost basis <br /> reporting obligations under the United States Internal Revenue Code Section 6045, <br /> as amended. The Trustee shall conclusively rely on the information provided to it <br /> and shall have no responsibility to verify or ensure the accuracy of such information. <br /> 19 <br />