1330                               Laws of Maryland                          [Ch. 758

(3) Such bonds may be sold at not less than par at public sales
held after notice published prior to such sale in a newspaper having
a general circulation in the area in which the municipality is lo-
cated and in such other medium of publication as the municipality
may determine or may be exchanged for other bonds on the basis
of par: Provided, that such bonds may be sold to the Federal
Government at private sale at not less than par and, in the event
less than all of the authorized principal amount of such bonds is
sold to the Federal Government, the balance may be sold at private
sale at not less than par at an interest cost to the municipality of
not to exceed the interest cost to the municipality of the portion of
the bonds sold to the Federal Government.

(4) In case any of the public officials of the municipality whose
signatures appear on any bonds or coupons issued under this sub-
title shall cease to be such officials before the delivery of such bond
or, in the event any such officials shall have become such after the
date of issue thereof, said bonds shall nevertheless be valid and
binding obligations of said municipality in accordance with their
terms. Any provision of any law to the contrary notwithstanding,
any bonds issued pursuant to this subtitle shall be fully negotiable.

(5)   In any suit, action or proceeding involving the validity or
enforcement of any bond issued under this subtitle or the security
therefor, any such bond reciting in substance that it has been issued
by the municipality in connection with an urban renewal project,
as herein defined, shall be conclusively deemed to have been issued
for such purpose and such project shall be conclusively deemed to
have been planned, located and carried out in accordance with the
provisions of this subtitle.

(6)   All banks, trust companies, bankers, savings banks and in-
stitutions, building and loan associations, savings and loan associa-
tions, investment companies and other persons carrying on a bank-
ing or investment business; all insurance companies, insurance as-
sociations, and other persons carrying on an insurance business;
and all executors, administrators, curators, trustees, and other fidu-
ciaries, may legally invest any sinking funds, monies, or other funds
belonging to them or within their control in any bonds or other
obligations issued by the municipality pursuant to this subtitle, pro-
vided that such bonds and other obligations shall be secured by an
agreement between the issuer and the Federal Government in which
the issuer agrees to borrow from the Federal Government and the
Federal Government agrees to lend to the issuer, prior to the matu-
rity of such bonds or other obligations, monies in an amount which
(together with any other monies irrevocably committed to the pay-
ment of principal and interest on such bonds or other obligations)
will suffice to pay the principal of such bonds or other obligations
with interest to maturity thereon, which monies under the terms
of said agreements are required to be used for the purpose of pay-
ing the principal of and the interest on such bonds or other obliga-
tions at their maturity. Such bonds and other obligations shall be
authorized security for all public deposits. It is the purpose of this
section to authorize any persons, political subdivisions and officers,
public or private, to use any funds owned or controlled by them for
the purchase of any such bonds or other obligations. Nothing con-
tained in this section with regard to legal investments shall be