The Chickasha daily express. (Chickasha, Indian Territory [Okla.]) 1899-current, 1914-12-14
Committee Named TO
Handle Cotton Fund

Ben F. Johnson, member of tn,
state committee appointed to handle
Oklahoma's share of the S135, ,000, ,0O(
cotton fund, has recommended the
following committee for Grady coun
ty: NJ. c. Cannon, vice-president Ok
lahoma National bank; T. H. Dwyer
president Chickasha National bank;
ED. F. Johnson. cashier Citizens Ma
tional bank; M. f. Courtney, presi-
dent Farmers State bank.
These appointments must be vail
fled by Secretary McAdoo.
Information concerning the proceed.
ure to be followed in obtaining loan
from the fund is contained in the fol-
lowing paragraphs from the regula-
tions issued by the general cotton loan
committee
Each loan shall be evidenced by a
note in form approved by the cotton
loan committee and in addition to the
guarantee fund, hereinafter described,
shall be secured by cotton on the
basis of cents per pound for mid
ding in such quantities as to provide
a margin OF 20 per cent above the
fact amount OF the loan; provided,
however, that, since 100 bales is the
customary commercial unit for cotton,
unless otherwise determined by the
cotton loan committee in particular
instances. no loan shall he made upon
security of less than that quantity.
"As evidence of the security offered,
each note rendered with an applica-
tion for loan must be accompanied
by receipts of approved warehouses
and by evidence of proper insurance.
All cotton accepted as security must
be located in warehouses, or other
buildings, under the ownership and
control of some person, firm or cor
poration other than the borrower, and
in approving such loans the local and
state committees shal respectively
pass upon the character OF the ware
houses, the form and sufficiency of the
receipts and of the insur-
ance and shall be satisfied that such
cotton is free from all liens except
that created by the loan or loans from
the fund to the borrower, and the said
likewise sh be satisfied
that the cotton Offered It's security is
Of the grade or grades specified in the
application, none Of which shall be
under low middling.'
"All expenses, such as warehouse
and insurance premiums, shall
be borne by the borrower
In addition to the security hereinbe-
fore specified. every applicant grant
Cd loan from the fund shall pay to
the cotton loan committee a sum
equal to per cent Of the face amount
of the loan granted, which sum the
applicant shall authorize the. cotton
lean committee to deduct or withhold
from the proceeds of such loan.
"All sums so paid, together with all
interest earned from the investment
thereof shall constitute a mutual bor-
rower's guarantee fund to be drawn
upon in the following order of prior
tiles; first. for the payment Of ex-
penses of administration, which it is
estimated will in no event exceed one
eighth Of / per cent Of the total fund
Tor which provision is herein made
second, to make up any deficiency in
the amount available for payment Of
the class A certificates with interest,
and third, tS make up any deficiency
in amount available for class B GER
ificates with interest, whether such
result from losses sustain
ed by reason of any loans made from
Inc said fund or otherwise; the bal
ance, including all interest earned
BALANCE including all interest earned
thereon, Shall be returned pro rata to
The borrowers.
"All applications for loans shall be
made not later than February l, 1915,
md except as hereinafter provided, all
oans made shall mature on February
|, 1916, or, at the option of the Dor
-ower, may be paid thirty days after
notice. II payment is thus anticipat-
ID, interest must be paid to the inter