Pine Bluff daily graphic., 1918-10-24

she satisfaction ot encumbrances upoA such lands, which, m the Judgment or said board. were incurred or assumed by said applicant for the aforesaid purposes.
 Sec. 6. Every applicant for a farm loan shall state clearly in his appllca- ton the purposes for which such loan
 IS desired, and upon its approval py the board this statement shall be deem ed part of the note or contract under which the loan is granted. But no failure to apply such funds to the purposes stated in such application or enumerated herein shall invalidate loan when once made. nor shall any thing herein contained De deemed to prevent any farm owner from selling or leasing lands subject to such in cumbrance: but if he shall violate his said contract by applying the moneys borrowed to purposes other than those stated in his application or enumerated herein, or if he shall lease such lands or sell them to any person not fulflll- 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 mo- contain a clause providing therefor.
 Sec. T.. Such loans shall be repaid with interest accruing in annual in- stallments on the amortization plan such installments being fixed at such sums as will cover the interest rate and will liquidate the debt in a period to be agreed on between said board and the applicant, said period to be 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 s5O.00 or multiples there of upon any amortization paymen' date.
 Sec. 8. The rate of interest on loan- vided. that no Farm Credit Bonds sh@' be sold for less than par: and pro 1idec further that the board shall re quire each applicant to pay an intiA ed. the minimum charge to be slo.et to cover the cost of appraisal and ex animation of title.
 Sec. g. All surplus funds accruins from the operation of the system of rural credits herein provided for. after paying interest accruing on the afore- said bonds. and all operating and other expenses arising from the administra- shall be placed in the State Treasur, and become a part of a fund to ht known as the Arkansas Rural Credit Reserve Fund" Said Arkansas RnrAl on farm lands in the manner herein provided for the Arkansas Rural Credit Loan Fund. and the interest ac- cruing from loans made from said Ar. kansas Rural Credits Reserve Fund shall be added to it and become a part of it. The said Arkansas Rural Credits Reserve Fund shall be irreducible. ex- eept that it may be drawn upon to re- imburse the State for loss incurred in the administration of said system of rural credits.
 Sec. TO- The Legislative Assembly shall provide in such detail as it shall leem advisable for the carrying out tnd administering of the provisions of this amendment and shall provide ad- aQuate safeguards against the use of such loans as an aid to the purchas- ing and holding of lands for the pur- poses of speculation. Such safeguar da
 ;hau include clear definitions of the 'erms Operate" and occupy" used herein. Tn the absence of such legis- 'ation, and subject to the same after its enactment. the State Land Board shall proceed to administer said sys- regulations provided by itself, but sub 'ect to the provisions herein contained. Sec. II. The provisions of the Con- stitution of Arkansas in conflict with his amendment are hereby repealed, in 10 far only as they conflict herewith. The provisions of this amendment shall be self-executing. and shall take fleet and be, in operation 50 days af- ser their approval and adoption by the 'eople of Arkansas.
 Approved by the Governor and filed n the office of the Secretary of State. March IT, 1917
 Each elector may vote for or against he above amendment.
 Witness my official signature thiA he 24th day of April. 1918.
 ISeal] TOM J. TERRAL. Secretary ofpStata