§364-9 Bonds. In addition to the $20,000,000, issued by the treasurer of the Territory, the director of finance may issue from time to time general obligation bonds of the State to an amount not exceeding $5,000,000 in the manner provided for by part I of chapter 39. The proceeds of such bonds shall be used solely for the making or purchase of veterans mortgages as provided in this chapter.

All repayments of principal on mortgages made or purchased under this chapter, all moneys received from the veterans administrator with relation thereto, all realizations on foreclosure of such mortgages, all interest received on mortgages made or purchased under this chapter, all fees and charges received from mortgagees or veterans under this chapter after service charges of mortgages have been paid, and all other moneys received from the veterans administrator shall be paid into a special fund in the state treasury, to be called the veterans bonds fund, and used first to pay the principal and interest on bonds issued under this chapter, and then to pay the expenses of the director in administering this chapter. All moneys in the veterans bonds fund are appropriated for the payment of principal and interest on bonds issued under this chapter and the payment of service charges to mortgagees, as the same become due and payable, and for payment of the expenses of the director in administering this chapter, including employees' salaries and other expenses in connection therewith. To the extent that moneys in the veterans bonds fund are inadequate to meet the principal and interest on bonds issued under this chapter, as the same become due for payment, such moneys in the general fund of the State as are not otherwise appropriated shall be used for such purpose.

If there are moneys in general, special, or revolving funds in the State which, in the director of finance's judgment, are in excess of the amounts necessary for the immediate state requirements, and if in the director's judgment the necessary financial operations of the State will not be impeded or hampered thereby, the director may make temporary loans therefrom for the purposes of this chapter. The loans shall in general comply with sections 36-23 and 36-24. [L 1953, c 211, §9; RL 1955, §350-9; am L 1961, c 193, §§2 and 3(4); HRS §364-9; am L 1973, c 28, §1; gen ch 1985]