The Nevada County picayune., 1918-05-02

the satisfaction of encumbrances upon 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- tlon the purposes for which such loan IS desired, and upon it's approval by 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 a loan when once made. nor shall any thlng 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 aid contract by applying the moneys borrowed to purposes other than those stated Tn his application or enumerated herein. or if he shall lease such lands 1r sell thcm to anN pe"son rot f&lfill- in~ the c0ndi ious '}3 purposes pro- rided for herein. Yail bo1rd is author- i%'d and Gi"cct"d to require the repay n"nt Of said '1S.r upon six rlcnths' mo- tee. md said note or "3utr" ct shall contain c'"'sc rrovidir~ therefor.
 Sec. :. !.r' .'''-s shaI he fcpad "-'', t.zsa,e..t a,.. ,..ssa.~ fa ann.al in %ta'l- .aiS O. tho -=senrt jzation r'an, '''"h insta' s'l .r h4 fixed - ssch sutrs ae v.t1f ccvta s..s iE'are.t rate nd wfft t--f-t,'1' -, t. i-, . period 'o he aeroo1 cr hate n said board .'d fbe t"Dji~N.lt sai, -.t'' i0d to be ct l"ss tha'. evn ae8.=issaa- thnn thirty i3. ye@sa; bU, i.:.. G0btor '.av Iiaui- date any part or all of his ir" h.edness in amounts of 5000 or multi1'" there Of upon any amortization payment date.
 Sec. 8. The rate of interest on loans shall be five per cent per annuln: pro- vided, that no Farm Credit Bonds shall be sold for less than par; and pro- Vided further that the board shall re- quire each applicant to pay an initial charge of l per cen, of the loan grant ed. the minimum charge to be S10.00 to cover the cost of appraisal and ex- animation of title.
 Sec. g. All surplus funds accruing from the operation of the system of rural credits herein provided for. after paying interest accruing on tn" afore- said bonds, and all operating Gn other expenses arising from the a".1inistra- tion of said system of rufa1 credits, shall be placed in the Stat" treasury and become a part of ''rd to be known as the "Arkansas '"~al Credit Reserve Fund" Said f,'-r"4as Rural Credits Reserve Fund sh"'l be loaned on farm lands in the .r.,nner herein provided for ths ansas Rural Credit Loan Fun1 "rH the interest ac- cruing from l0" de rom said Ar kansas El''s' Nredits Nos"rVe Fund eH@'l hs e3ie6 to it ar ht co',,c part 9f i>. "5se st ','sane. l''., edits Goeerve !sunG sl;all be st' ,s't.e.ale ex- ~art that it r"@s hc drf''vn iron to re- -2hu.ree tho Strte Cor iaer i-ctirrod in .''" Confederation of !G s=stass of it'""l c'3 dit
 Sec. To- The Legislative Assembly shall provide in such detail a $ it shall deem advisable for the carrying out and administering of the provisions of this amendment. and shall provide ad- equate safeguards against the use of such loans aS ar Hid to the purchas- ing and holding of lands for the pur- poses of specula tior- such safeguards 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 its enactment. the State Land Board shall proceed to administer said sys- tenn of rural credits under rules and regulations provided by itself but sub jeCt to the provisions herein contained.
 Sec. II. The provisions of the Con- stitution of Arkansas in conflict with this amendment are hereby repealed, in so far only as they conflict herewith. The provisions of this amendment shall be self-executing. and shall take effect and be in operation 60 days af- ter their approval and adoption by the 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 the above amendment
 Witness my official signature this, the 24th day Of April, 1918.
 tSeall TOM J. TERRAL,
 Secretary of State
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