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In default of payment for twelve months, undertaking vested in secretary of Public Works Loan Commissioners, by way of mortgage for securing payment of all principal and interest due undersecurities duly issued, &c . before such mortgage takes effect.
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6. If any principal money or interest secured by any debenture or other security given under this Act shall remain unpaid after the expiration of one year after the same shall have become due, then the whole undertaking of the company by whom such debenture or security was given, and all their lands, works, rolling stock, and other property and effects of every kind, shall immediately on the expiration of such one year become vested in the secretary of the Public Works Loan Commissioners, freed from all mortgages, charges, or incumbrances whatsoever affecting the same, but by way of mortgage for securing payment of the principal monies and interest due and to become due under all debentures or other securities duly issued and registered by the company before the mortgage under this section takes effect, in the same order and priority, and with the same benefit of special security (if any) duly given, as may be then subsisting; and by virtue of the mortgage effected under this section the Commissioners shall, under their several Acts, have, as against the company, all the same powers, rights, and privileges as if such mortgage had formed the first charge on the property of the company, and had been originally made under the several Acts relating to the Commissioners for securing the amount of a loan advanced under those Acts, and default had been made in payment of the principal and interest due in respect of such loan.
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