The Brinkley argus., 1918-10-11

the satisfaction of encumbrances upoi such lands, which, in the judgment Q: said board, were incurred or assumed oy said applicant for the aforesaid purposes.
 Sec. 6. Every applicant for a farm loan shall state clearly in his applies ton the purposes for which such loaa is desired, and upon its approval by the board this statement shall be deer- 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 prevent any farm owner from sellin or leasing lands subject to such li cumbrance; but if he shall violate h. said contract by applying the money borrowed to purposes other than thos stated in his application or enunerate herein, or If he shall lease such lan or sell them to any person not fuiflii- ing the conditions and purposes pro- 9ided for herein. said board is author ized and directed to require the repaT-- ulent of said loan upon six months mo- tce, and said note or contract gsh&i' 'ontain a clause providing therefor.
 Sec. '. Such loans shall be repatc rith interest accruing in annual in- 'tallments on the amortization plan. "ch installments hei0g fixed al spr9 ums as will cover tho interest rate Nd Will lf0u1ddLe the d"bt m 2 pHflfN' De agreed on betw said bon
 I the applicant, said period to N~ Ot less than five nor more than tAtrtN, i& years; but any debtor may ltCn''. ate any part or all of his inc ah' edness
 amounts Of $5A co or mUltiDieA fhrr"- upon any amortization payment ate
 Sec. 5. The rate of interest o7 ,oo7n III be five per cent per anru''; pre-. ided. that no Farm Credit Bonis sha0 .,-l lf ri 'tded further that the board shall re- tuire each applicant to pay an iniiia! 'harge of 1 per cent of the loan gra nj d. the minimum charge to be 510.0o 70 cover the cost of appraisal and ex animation Of title.
 Sec. 9. All surplus funds occruine from the operation of the system Of rural credits herein provided for. after paying interest accruing on the afore- said 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 known as the Arkansas Rural Credit Reserve Fund" Said Arkansas Rural rredits Reserve Fund shall be loaned on farm lands in the manner herein provided for the Arkansas Rural Credit Loan Fund. and the interest &C., cruing from loans made from said Ar kansas Rural Credits Reserve Fund shall be added to 1t and become par IT IL. The Sa1d Arkansas Rural tref't Reserve Fund shall be irreducible. eM .ept that 1t may be drawn upon to r,i aburse the State for loss incurred { ne administration of said system ural credits.
 Sec. 10. The Legislative Assembl nall provide in such detail as it shal 'eem advisable for the carrying ou, d administering of the provisions nt is amendment and shall provide ad- quate safeguards against tho us" ot 'nch loans as an aid to the purchas- lg and holding of lands for the pur- 'Oses of speculation. Such sAfeguards ball include clear definitions Of the erms Operate" and occupy" used erein. In the absence of such legis- atien. and subject to the same afte, $ enactment. the State Land I}ta -G hall proceed to administer said SIS "rn of rural credits under rules a4-
 ~2l2tions provided by itself, hut sub.
 to the provisions herein contaire'
 Sec. l1 The provisions of the On
 ftUtion of Arkansas in coneic' ,vi'E
 is amend nent are he"ehv YeDea'e4 !,
 fa r only as thow ccuaic+ F7o- e7.-itq .Ne provisions of tbio an1err7s .--
 ,'l be scie-n~oc'tt and shall tat,.
 ect apd he in en>ration eN days af-
 their approval and adoption by fhe
 0ple of Arkansas
 Approved hv the Governor. and flad
 'he office Of fhe Secretary of State n IT 1o1-
 r n elector ,enw vote for Or aan'nst hove aHsars',,,,
 ~-t.ness my ofefo' efr,-atl,ro -ste 2lth day Of Ap fefs
 tSeall "'0'' TE.RAl..
 Secretary of SL@re