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475.553 PAYING AGENT; DESTRUCTION OF OBLIGATIONS AND COU- <br />PONS. <br />Subdivision 1. The governing body may appoint as paying agent for an <br />issue of obligations one or more national banks, or banks incorporated under the <br />laws of any state. provided that no hank shall he appointed as paying agent for <br />obligations of any issuer except one within whose corporate lints the principal <br />office of the bank is situated, unless it is authorized to execute corporate trust <br />powers pursuant to the laws under which it is organized: and the governing body <br />may direct the treasurer to remit funds for payment of both principal and interest <br />to such paying agent although such paying agent has not complied with statutes <br />relating to public depositories. It may also direct the county treasurer to rent <br />any proceeds from assessments or taxes levied for payment of obligations directly <br />to such paying agent. In such case, the county treasurer shall furnish a duplicate <br />statement of each remittance to the treasurer of the municipality who shall enter <br />the amount on his hooks. <br />Subd. 2. The governing body may by resolution direct that all bonds, <br />obligations, coupons appertaining thereto, or any specified obligations or coupons, <br />when paid, shall be cancelled by the paying agent and destroyed as herein <br />provided. Before such authority is granted, the municipality shall enter into an <br />agreement with a bank or banking association incorporated under the laws of the <br />United States or of any state and authorized by such laws to exercise corporate <br />trust powers, specifying (a) the obligations and coupons to be destroyed, (b) the <br />method of destruction, (c) the information to be recorded in a certificate of <br />destruction to be delivered to the municipality and the paying agent, (d) the <br />indemnification of the municipality in the event of duplicate payment, wrongful <br />and improper payment to unauthorized persons and nonpayment to authorized <br />persons occurring as a result of any destruction of bonds, obligations, or coupons, <br />and (e) such other terms and conditions as may he determined by the governing <br />body of such municipality. Obligations and coupons may be destroyed by <br />cremation, shredding, or any other effective means. <br />Subd. 3. Certificates provided under subdivision 2 shall he retained in the <br />official records of the municipality and the paying agent. Such certificates may <br />subsequently be destroyed at the times and upon the conditions otherwise permit- <br />ted by law, but no earlier than the time of final payment and redemption of all <br />obligations of the respective issues to which they pertain. <br />v <br />