The courier-index., 1918-10-04

tAe satiwfaotion of eaoumDrauces upon suoh taads. which. in the judgment of said board. were incurred or assumed by said applicant for the aforssaid purposes.
 Sec. S. Every applicant for . farm loan shall state clearly in hts appiisa- ton tbe purposes for which such loan Is desired, and upon it's approval by ed part of the note or contract under which the loan Is granted But no failure to apply such funds to tho purposes stated in such application or enumerated herein shaii inyalidate 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 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 tuihli- ing tho conditions and purposes pro- vided for herein. said board Is author ized and directed to require tho repay ment Of said loaE upon six months no- tics. and said note or contract snail contain . clause providing therefor.
 Sec. ', Such loans shall he repaid with interest accruing in annual in- stailments on the amortization plan. such fnstaliments being fixed at such sums as will cover the interest rate and will liauIdats the debt in . period to be agreed between said board and the applicant. said period to be not less than Ave nor more than thirty six years: butt any debtor may liaui- date any part or all of his indebtsdn ess in amounts of $50.00 or multipiss there of upon any amortization payment date.
 See. (. The rate of interest on loans shall bs dvs per cent per annur: pro vided that no Farm Crsdtt Bonds shall ha Iaas ha vided further that the board shs. re- auire each applicant to pay an initial charge of per cent of the loan grant : ed. the minimum chargs to bs 5000 to cover the cost of appraisal and ex- animation of title.
 Sec. s All surplus funds accruing T from the operation of the system or rural credits herein provided for. after said sonds. and all operating and other expenses arising from the administra- ton of said system of rural credits.
 shall be placed in the State Treasury and become a part of a fund to bs 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 shall be added to 1t and become . part
 of tt. The said Arkansas Rural Credits Reserve Fund shall be irreducibie. ex- | cept that 1t may be drawn upon to re- imburse the State for loss incurred In the administration of said system of | rural credits.
 | Sec. 10. The Legislative Assembly | shall provide in such detail as it shall l deem advisable for the carrying out | and administering of the provisions of | this amendment. and shall provide ad- equate safeguards against the use or such loans as an aid to the pdrchas- | ing and holding of lands for the pur- l poses of speculation. Such safeguards | 'haii include clear definitions of the | terms operate" and occupy used 'erein. Tn the absence of such iegis- ation. 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. H. The provisions of the Con l stitution of Arkansas in conflict with
 this amendment are hereby repealed, in | SO far only they conflict herewith | The provisions of J this amendment | shall be self-executing. and shall take | effect and be in operation so days af- | ter their approval and adoption by the | people of Arkansas.
 l Approved by the Governor. and flec Il in tho office of the Secretary of State March IT, 1917;
 | Each eIector may, -ote for or against the above amendment.
 l Witness my official signature this
 the z4th day of April 1918
 l Secretary of State