Bond held under
an option to purchase or subject to some other condition; bond of an authorized
issue, but not yet issued, being held by a trustee until additional funds
are needed for improvements or expansion.
Such bonds can be released only upon compliance with the terms
of the mortgage provisions governing the issuance of additional bonds.
Thus escrow bonds are that part of an authorized issue which remains
unissued with the trustee until new financing is to be accomplished.