The Ward County independent. [volume] (Minot, Ward County, N.D.) 1902-1965, 1914-01-22

ID lawfully 0ntltle0 10 commence lt0
business, the comptroller shall give to
such association certificate, under
his hand and official seal, that such
association is authorized to commence
such business. But the comptroller
may withhold from an association his
certificate authorizing the commence
ment of business whenever he has rea-
son to suppose that the shareholders
have formed the same for any other
than the legitimate objects of this
title.
Sec. z. That upon the deposit with
the Treasurer of the United States by
any farmers loan association of the
promissory note, payable in annual in
stallments as follows: Three per
centum per annum for three years,
four per centum per annum for three
years, seven per centum per annum
for three years, eight per centum per
annum for three years, nine per cen.
tum per annum for three years, and
ten per centum per annum for five
years, until said note and interest are
fully paid, beginning twelve months
after the date of the note, and shall
deposit with said note the promissory
notes of the shareholders payable to
said trustees for the use of the United
States in amount equal to the capital
stock of such association with mort
cages as aforesaid to secure the pay
ment of said notes and interest there
on, accompanied by policies of insur-
ance of the validity Of such mort
cages, and the same are to be approx
ed by said Comptroller of the Cur
rency to be in proper substance and
form according to the purposes and
intent of this Act; and it appearing
that said notes and mortgages are
ton in payment of shares of it's stock
and deposited as collateral security
with the Secretary of the Treasury
to secure the payment of the note of
the association as aforesaid, and to Sc
cure the immediate payment of any
installment Of said association note
with proper cost in case default shall
be made in the payment of any such
installment at the time it becomes due,
and thereafter or as often as any in
stallment becomes due in which there
is any default in payment and the said
trustees having deposited with the
said secretary their undertaking of
the Office of trustees Of said securities
for the use of the United States, to-
gether with their official oaths and
bonds for the faithful discharge Of
their duties,( the Secretary of the
Treasury shall then place the notes !
made by the shareholders and the
securing the payment
thereof in the possession of such trus-
tees, of such association shall be en-
titled to receive from the Comptrol-
er of the Currency circulating notes of
the United States to an amount equal
to the par value of the stock of said
association; and it shall be the duty of
said trustees to safely keep said mort
cages and the shareholders notes Sc
cured by the same, and to collect the
said notes and the interest as the same
becomes due, and out of such collec-
lions to pay the Treasury of the
United States the stipulated annual
as they fall due on the
note of the association, and such paw
ments shall be credited on the note of
the association, and in case there is
any default on the part of any maker
Of any of said notes, according to the
terms thereof, or If taxes are allowed
TO become lien upon the land mort
gagged to secure any of said notes, to
proceed at once to collect the whole of
said mortgage thus in default with in
terest and the costs thereof; any mon
eys collected by the trustees over and
above the amount required for the an
nual payment for any year due to the
United States shall be paid to into the
treasury of such association.