(a) If any bond so issued, or interest coupon thereon, is not paid within six (6) months after its maturity, it shall be the duty of the chancery court of any county within the boundaries of the district, on application of any holder of the bond or interest coupon so overdue, to appoint a receiver to collect the taxes then due and thereafter to become due and which are authorized to be levied under the provisions of this subchapter.
(b) The proceeds of the taxes and collections shall be applied after payment of costs, first, to overdue interest, and then to the payment pro rata of all outstanding bonds issued as provided herein, which are then due and payable. The receiver may be directed by suit to foreclose the lien of the taxes on the lands, town lots, blocks, railroads and tramroads, telegraph and telephone lines, electric power lines, and other real property situate within the boundaries of the district.
(c) The suits so brought by the receiver shall be conducted in all matters as suits by the board of directors, as herein provided, and with like effect. The decrees and deeds therein shall have the same presumptions in their favor.
(d) However, the receiver shall be discharged when all such sums have been paid.