Keowee courier. [volume] (Pickens Court House, S.C.) 1849-current, 1914-11-04

! tees appointed to be subject to the
| approval of the central committee
! and all committees to serve without
compensation of any kind.
The banks Of the city of New
York have pledged themselves to sub
scribe to $50, 100000 of the $780,
OOO, 900 Of Glass A certificates, pro-
viding the remaining $50,OOO,OO0
shall be raised within q reasonable
, time under the supervision of the
| central committee by banks in non
| cotton producing States.
6 Per Cent Interest.
"All loans made from the fund ere
| ated shall bear interest at the rate Of
6 per cent per annum and all appli-
cations for loans must be made
through banks or bankers who shall
In each instance accompany the appli-
cation for such loans with a subscrip-
ton to Glass B certificates in an
amount equal to 25 per cent Of the
amount Of the loan applied for. The
subscriber to Glass B certificates ap-
plying for loan for a customer will
not be required to endorse the note Of
such customer and shall not be enti-
tied or permitted to receive from such
customer the payment of any COM
mission on account of obtaining such
loan
All loaQs made shall be first ap-
proved by the proper local committee,
by the appropriate State committee
and cy two members of the cotton
| loan committee. When applications
for such loans have been approved as
above provided the notes evidencing
same, together with the collateral re-
quired under the terms Of this plan,
mrst be forwarded to the office of
the cotton loan committee with in
structions as TO the disposition of the
proceeds and must, as stated, be ac-
cOmpanied with the subscription of
the bank or banker forwarding the
application to an amount of Glass B
certificates, equal to % per cent of
the amount applied for.
Glass Il Subscriptions.
GAS evidence Of the security offer
ed, each note rendered with an appli-
cation for loan must be accompa-
MED by receipts OF approved ware
houses and by evidence Of proper in
Surance. All cotton accepted as Sc
curity must be located in warehouses
or other buildings under the owner
ship and control Of some person,
firm or corporation other than the
borrower, and in approving such
loans the local and State committees
shall respectively pass upon the suff-
cheney Of such warehouse receipts and
insurance, and shall be satisfied that
such cotton is free from all liens eX-
cept that created by the loan or loans
from the fund to the borrower for
which such cotton is pledged as part
security for such loans, and the COM
mittees approving such loans shall
likewise be satisfied that the cotton
offered as security is of the grade or
quality specified in the application.
All expenses, such as warehouse
charges and insurance premiums,
shall be borne by the borrower.
Additional Security.
In addition to the security here
inbefore specified, every applicant
granted loan from the fund shall
pay to the cotton loan committee
sum equal to 3 per cent Of the
race amount Of the loan granted and
the applicant shall authorize the cot
ton loan committee to deduct or
withhold this amount from the pro-
ceedS OF such loan. All sums to be
paid together with all the interest
earned from the investment thereof
shall constitute a mutual borrower s
guarantee fund 20 be used, CD for
the payment of expenses of admins
tration, which it is estimated will in
no event exceed B of 1 per cent of
the loan fund created; (2) to make
III any deficiency in the amount avail
| able for payment of the Glass A and
Glass certificates with interest re-
sultinS from losses sustained by rea-
| son OF any loans made from the said
loan fund, or otherwise; the balance,
| including all interest earned thereon,
shall be returned pro rata to the bor-
rOwers.
The cotton loan committee shall
control the guarantee fund so created
and may, in its discretion, invest all
or any portion thereof Of Glass A
certificates herein provided for.
Mature iiefOre February 1, 1915.
"All applications for loans shall be
made not later than February
1918, and all loans made shall ma
ture on or before February ;, 1916:
Provided, however, thCt the central
committee, in its discretion, may au-
| thoriZe the cotton loan committee TO
extend any or all loans for a period
not to exceed six months after Feb
ruary |, 1916, if, in the Judgment of
said central committee, conditions al
that time Justify such extensions.
Calls for payment of subscriptions
to Glass A certificates shall be made
as nearly pro rata as possible. In the
event that on February /, 1915. ap-
plications for loans shall not have
been received to the extent Of the full
amount subscribed, the fund shall.
nevertheless, be closed at the amount
then applied for and loaned, and