Pine Bluff daily graphic., 1918-06-20
she satisfaction of encumbrances upoA

sho satisfaction of encumbrances upoA such lands. which, in the Judgment Of 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 applica- 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 be 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 stated in his application or enumerated herein. or if he shall lease such lands or sell them to any person not fuiill- ing the conditions and purposes pro- vided for herein, said board is author- ized and directed to require the repay ment of said loan9upon six months mo- tice and said note or contract shall contain a clause providing therefor :.
 Sec. z. 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 cnd will liqudate the debt in Q period to be agreed on between said board md the applicant. said period to be ,ot less than five nor more than thirty iX years; but any debtor may liqui- late any part or all of his indebtedness in amounts of $50.00 or multiples there of upon any amortization payment date
 Sec 8. The rate of interest on loans shall be five per cent poi annum: pro- vided that no Farm Crehit Bonds shall be sold for less thanfpar; and pro- 9h;s sidsa flu further t that the hoard shall ,ts re- ed. the minimum cha Fge to be slo.oo to cover the cost Nf Appraisal and ex- amination of titie
 from the operation of the system of rural credits herein provided for after paving interest accruing on the afore- said bonds, and all operating and other tion of said system of rural credits. shall be placed in the State Treasury and become part of a fund to be known as the "Arkansas Rural Credit Reserve Fund" Said Arkansas Rural Credits Reserve Fund shall be loaned 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
 
 Of 1t. The said Arkansas Rural Credits Reserve Fund shall be irreducible. ex- cept that it may be drawn upon to re- imburse the State for loss incurred in the administration sof said system of rural credits.
 Sec. To- The Legislative Assembly shall provide in such detail as it shall deem advisable for the carrying Aout and administering of the provisions of this amendment, and shall provide ad- eQuate safeguards against the use of such loans as an aid to the purehas- ing and holding of lands for the pur- shall include clear definitions of the terms operate" and occupy" used herein. In the absence of such legis- lation. and subject to the same after it's enactment. the State Land Board shall proceed to administer said sys- tenn of rural credits under rules and regulations provided by itself, but sub- feet to the provisions herein contained.
 Sec. II. The provisions of the Con- stitution of Arkansas in conflict with shis amendment are hereby repealed. in so far only as they conflict herewith. The 4provisions of this amendment shall fbe self-executing. and shall take effect and be in operation 60 days af- people of Arkansas.
 Approved by the Governor. and filed in 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.
 L0eall TOM J. TERRAL.
 Secretary oe StatA