Cleveland County herald., 1918-05-23

The satisfaction OF encumbrances upon
such lands, which, in the judgment of
sara board, We're incurred or assumed
oy said applicant for the aforesaid
purposes.
Sec. 6. Every applicant for farm
. IAN snail state clearly in his applica-
ION the purposes for which such loan
- desired, and upon it's approval by
ne BOARD this statement shall be deem
ca a part of the note or contract under
Nnich the loan is granted. But no
tailufe to apply such funds to the
puIposes stated in such application or
enumerated herein shall invalidate
.p9h When once made, nor shall any
Ling herein contained be deemed to
prevent any farm owner from selling
~ easing lands subject to such in
cuhbrance; but if he shall violate his
s soiu contract by applying the moneys
borrowed to purposes other than those
atee IN his application or enumerated
uereln. or II he shall lease such lands
or sell them to any person not fulfill
ing the conditions and purposes pro-
Flaed for herein, said board is author
IHed and directed to require the repay
taeht OF said loan upon six months no,
tice, and said note or contract shall
contain clause providing therefor.
oec. Z. Such loans shall be repaid
YIN interest accruing in annual IN
ailments on the amortization plan,
sueh installments being fixed at such
ana viii liquidate the debt in a period
70 be agreed on between said board
ana the applicant, said period to be
not less than Ave nor more than thirty
Si& years; but any debtor may liqui-
aate any part or all of his Indebtedness
III amounts of $4,000 or lnultiples there
date
sec. 8. The rate OF interest on loans
snail be Ave per cent per annum; pro-
' In mn do CHI
pc sold for less than par; and pro-
NIoed further that the board shall re-
qulfe each applicant to pay an initial
o od of l per cent of the loan grant
eo, the minimum charge to be $1,000
70 cover the cost of appraisal and ex-
animation OF title
sec. g. All surplus funds accruing
rom the operation OF the system or
Iaral credits herein provided FOR after
paving interest accruing on the afore-
SAID bonds, and all operating and other
expenses arising from the administra-
tlon OF said system of rural credits,
shail be placed in the State Treasury
ata become part of fund to be
RhoWn as the hATKansas Rural Credit
HeseFRs Fund" Said Arkansas Rural
Gfealta Reserve Fund shall be loaned
on rafm lands in the manner herein
provided for the Arkansas Rural
Crealt Loan Fund, and the interest ac-
Gfuihg from loans made from said Ar
hahSas Rural Credits Reserve Fund
shail De added to 1t and become a part
o. II Ihe said Arkansas Rural Credits
deserve Fund shall be irreducibIe ex-
cept that 1t may be drawn upoD is re-
impufSe the State fer loss Incurred in
the ADMIN nl&traloB al said system of
rural eFedltS.
seS. 10. The Legislative Assembly
shan provide in such detail as it shall
deem advisable for the carrying out
ana administering of the provisions of
TINS amendment and shall nrevide ad-
eauate safeguards against the use of
soch lqa4s IS "a aid ia the purchas-
ing and holding of lands for the pur-
poses of SPECULATION, Such safeguards
snail Include clear definitions of the
terms Operate" and occupy" used
herein. In the absence of such legis-
iatlon, and subject to the same after
Its enactment, the State Land Board
snail proceed to administer said sys-
tenn OF rural credits under rules and
regulations provided by it6eif, but sub
1ect TO the nr3FisloRs herein contained.
stttHfton Of Arkansas in CONFLICT with
tnls amendment arc, hereby repealed. in
So faf only. as they conflict herewith.
The provisions OF this amendment
snail be se1f-executing, and shall take
effect and be in operation so DAYS af-
ter their approval and adoption by tn e
people Of Arkansas. ---, - 7
: Approved by the Goye,t.a4, and filed
In the office 81 the Secretary of State,
March ~, 4S1f.
Each elector may vote for or against
the above amendment
Witness my official signsture this.
the 24th day Of April 1919.
lSealI ROM j. TERRAL,
Secretary of State