The Little River news., 1918-07-31

ehe satisfaction of eHcumorAneeo upon such lends. which. in the Judgment of by said applicant for the aforesaid purposes.
 Sec. 6. Every applicant for farm, loan shall state clearly in his applica- 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 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 la nd $ or sell them to any person not fulfill ing the conditions and purposes pro- vided for herein. said board is author ized and directed to require the repay mert of said loan upon six months mo- tice. and said note or contract shall contain a clause providing therefor.
 Sec. '. Such loans shall be repaid xith interest accruing in annual in- .taliments on the amortization plan. 'uch installments being fixed at such sums as will cover the interest rate md will liquidate the debt in a period to be agreed on between said board nd the applicant said period to be 'ot less than five TOT more than thirty K years; but any debtor may liCui- tate any part or ali of his indebtedness n amounts of $50.0o or multiples there ,f upon any amortization. payment late
 Sec. 8. The rate of interest on loans hall be five per cent per annum: pro- fided. that no Farm Credit Bonds shall oe sold for less than par: and pro- 'ided further that the board shall re- 'iuire each applicant to pay an initial d. the lpinimum charge to be 5000 o cover the cost of appraisal and eX- animation of title.
 Sec. 9. All surplus funds accruing rom the operation of the system of rural credits herein provided for. after paying interest accruing on the afore- aid bonds. and all operating and other .xpenses arising from the administra- ion of said system of rural credits. hall be placed in the State Treasury <nown as the Arkansas Rural Credit Reserve Fund" Said Arkansas Rural 'redits Reserve Fund shall be loaned on farm lands in the manner herein 'redit Loan Fund, and the interest &C., :ruing from loans made from said Az 'Sansas Rural Credits Reserve Fund hall be added to it and become part 'i IL. AHc stIu LATkduSdS ItuTdi \TcOltS Reserve Fund shall be irrcducible, ex- .ept that it may be drawn upon to re- mburse the State for loss incurred in he administration of said system of ural credits.
 Sec. 10. The Legislative Assembly 'hall provide in such detail as 1t shall iecm advisable for the carrying out nd administering of the provisions of his amendment. and shall provide ad 'quate safeguards against the use of uch loans as an aid to the purchas- ns and holding of lands for the pur- 'oscs of speculation. Such safeguards hall include clear definitions of the erms operate" and Occupy" used ation. andS subject to the same after -ts enactment. the State Land Board hall proceed to administer said sys- em of rural credits under rules and esulations provided by itself, but sub "ct to the provisions herein contained.
 Sec. II. The provisions of the Con- titution of Arkansas in conflict with his amendment are hereby repealed in 70 far only as they conflict herewith. The provisions of this amendment hall be self-eXecuting, and shall take feet and be in operation 60 days af- CT their approval and adoption by the .cople of Arkansas.
 Approved by the Governor and fled T the office of the Secretary of State. Iarch 17. 1917.
 Each elector may vote for or against ae)above amendment.
 Witness my official signature this, he 24th day of April. 1918.
 lSeal] TOM J. TEERAL.
 Secretary of State.