Newport daily independent., 1918-10-08

tne sntisraetion Of encunpra nces upot ,dch lands. which, in the judspert of said boafd were incurred or aA4tat-ieo by said applicant for the aforesaid purposes.
 Sec g. Every applicant for a farm loan shall state clearly in his appiica- ton the purposes for which suea log is desired and upon fts approval oy the board this sta sement shall be dcep- I'd part of tl.c notcNor contract uEder which the loan is granted But no failure to apply such funds to the purposes stated in such application CT enumerated herein shall invalidate loan when once made nor shall any thing herein contained be deemed Q prevent any farm owner from selling or leasing lands subject to such in- crmbrarce; but if he shall violate his said contract by applying the rponeYs borrowed to purposes other than those stated in his implication or enumerated herein. ON if he shall lease such la nds or sell them to my person not fuluii- ing the conditions and purposes pro- vided for herein. said board IS author ized and directed to require the repay ment of said loan upon six months no tice. and said note or contract shall contain a clause providing therefor. :.
 Sec. z. Such loans shall be repald with interest accruing n annual in stallments on the amortization plan such installments being fixed at suct sums will cover the interest rat and will iiquidate the debt in a perioo 70 be agreed on between said board md the applicant said period to De not less than five nor more than thirty six years; but any debtor may liqui- date any part or all of his indebtedness in amounts of s50.00 or multiples there- of upon any amortization payment date.
 Sec. 8. The rate of interest on loans shall be five per cent per annum; pro vidcd. that no Farm Credit Bonds shall be sold for less than par; end pro vided further that the board shall re- quire each applicant to pay an Initial charge of 1 per cent Of the loan grant ed, the minimum charge to be $loo0 to cover the cost of appraisal and ex- animation of title.
 Sec. 9. All surplus funds accruire from the operation of the system of rural credits herein provided for. after paying interest accrIing on the afore- said bonds and all ope~ating and oth e1 expenses arising from the administra- ton of said system of rural credit shall be placed in the State Treasury and become a part of furd to Nf known as the Arkansas Rural Credit Reserve Fund" Said Arkansas RuSn Credits Reserve Fund shall be loaned on farm lands in the manner hereis provided for the Arkansas Plural Credit Loan Fund. and the interest ac, cruing from loans made from said Ar kansas Rural Credits Reserve Fun shall Dc s5ded to t aud become Q pnf Of 1, T,.- said Arkansas Rural Credit Reserve Fund shall be irredueihle ex ecpt that il may be drawn upon to re fnburse the State for loss incurred IT he administration of said system of rural credits.
 Sec. 1o The Legislative Assembl' shall provide in such detail as if sha 1eein advisable for the carrNing of and administering Of the provisions z his amendment and shall provide a6 eqaate safeguards against the use ing and holding Of lands for the pNr ooses of speculation. Such safcguard' hall include clear definitions of t.s erms operate" and "occupy" uset leretn. Tn the absence of such legis qlion, ard subject to the safne afte it's enactment. the State Land Boar hall proceed to administer said SIS sm of rural credits under rules an 'eEulaticns provided by itself but sub ieet to the provisions herein contained
 Sec. h. The provisions of the Con ititution of Arkansas in conflict wifi this amendment are hereby repealed il 70 far only as they conflict herewith The provisions of this amendment shall be self-executins, and shall take feet and be in operation 60 days af ter their approval and adoption by the people of Arkansas
 Approved by the Governor and filed n tke office of the Secretary of State March IT. 1917
 Each elector may vote for or against he above amendment.
 Witness my official signature this, ne 24th day of April 1918.
 TSsaIi TOM J. TERRAI4.
 Secretary of State