(315 ILCS 20/40) (from Ch. 67 1/2, par. 290)
Sec. 40.
Stocks
and mortgages unlawfully issued.
All shares and certificates of shares and all Mortgages of a
Neighborhood Redevelopment Corporation issued without an order of the
Redevelopment Commission approving such issuance, except the issuance of
common shares upon pre-incorporation subscription, shall be void; and
likewise every share and certificate of share and every Mortgage issued
with the approval of the Redevelopment Commission, but not conforming in
its provisions to the provisions, if any, which it is required by the order
of approval of the Redevelopment Commission to contain, shall be void, but
no failure in any other respect to comply with the terms or conditions of
the order of approval of the Redevelopment Commission shall render void any
such security except as to a corporation or person taking the same with
notice of the failure to comply with the order of the Redevelopment
Commission.
(Source: Laws 1941, vol. 1, p. 431.)
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