Audubon Republican. [volume] (Audubon, Iowa) 1894-1925, 1921-06-16
FINANCIAL RELIEF FOR
IOWA FARMERS

Described by prominent corpor-
alton attorney as "the only concern
of its kind in the United States, and
the most advanced piece of financial
machinery yet attempted for the re-
lief Of the farmers" the recently
organized Iowa Farm Credits Cor
poration occupies a unique place in
the financial affairs of the nation.
Briefly stated the company is cap
| italized at $5,000,000. Il is organ
lied to finance farmers and farming
operations. 1t is. not bank, but
will do a re-discount business, loan
ing money on land, livestock and
warehouse receipts for grain. 1t
will begin operations with a paid up
capital of S1,00O,000. The stock
will be equally divided between the
Iowa Bankers and the Iowa Farmers
and the plan provides for about
$4,000 worth of it in the ninety
nine counties, in order to distribute
the holdings and make ii a state
wide enterprise.
There will be no preferred stock.
Every dollar of il will be common,
which means that there will be abso-
lutely no chance for any man or
group of men to get control, nor for
any one locality to exercise a dis
proportionate influence. Articles of
incorporation have been filed with
the Secretary of State, and the COM
pany will be ready to function short
ly after July 4th, when the new law
passed by the Thirty-ninth General
| Assembly, making such concerns pos
sible. will become operative.
The need for some such plan for
financing Iowa farmers has long
been apparent. Iowa has plenty OF
money with which to finance Iowa
business. Millions OF dollars have
drifted out of the state seeking in
vestment. At the same time Iowa
farmers have been compelled to de-
pend upon outside capital for loans,
often paying exorbftant rates of in
terest and submitting to exacting
commissions. The thing to do is
to mobilize Iowa resources, direct
the money into proper channels and
use IL at home. This is precisely
what the Iowa Farm Credits Cor
poration will do-conserve Iowa cap
ital for Iowa business.
The trouble in the past has been
the lack of enabling laws permit
ting the organization of financial
enterprises of this character. Dur
ing the recent session of legislature
the Iowa Farm Bureau Federation
set out to clear the way of legal OBJ
stacles by getting law to cover
this lack. A farm credits bill was
drawn by the Federation's attorney.
1t was sanctioned by banking in
terests and business interests gener-
ally, introduced by friendly law
makers and passed by both legis-
lative bodies without dissenting
vote. The law will become opera
tive July 4th.
L. A. Andrews, retiring president
of the Iowa State Bankers Associa-
ton, has been chosen to head the
company. Mr.. Andrews is widely
known in Iowa and tie middle-west.
Few men have worked harder than
he has to tide the agricultural inter-
ests of the state over the financial
emergency" of the last year. He
has vision, as we'll as practical bust
ness sense, a broad, sane outlook,
and believes religiously in the doc
trine of live-and-let-live. Business
interests generally will approve the
head of che new concern.
G. w. Hunt of Logan, ]. III. Nc
Cord of Spencer, e. III. Cunningham
of Cresco, and John Cavanaugh of
Des Moines, were chosen vice presi-
dents Frank Warner of Dies Moines
was elected secretary, and f. G.. Red
field OF the same city was chosen
treasurer.
The board of directors, about
equally divided between farmers
and bankers, is composed Of the fol-
| lowing men: l.. A. Andrews, OF
tumwa; c. w. Hunt, Logan; J. H.
McCord, Spencer; e. H. Cunningham
Cresco; John Cavanaugh, Frank
Warner, F. G. Redfield, ]. G.. Mitch
ell and Homer Miller, all of Des
Moines; w. p. Dawson, Aurelia:
M. v. Henderson, Hawkeye; C. J.
Wollenberg, Holstein; t. G. Cessna,
Grinnell: l.. S. Fisher, Edgewood;
M. c. Sweeney, Usage: d. McLaugh-
lin; Washington; T. Laskowski,
Council Bluffs: p. e. Wingert, Tip
ton; F. B. Yetter, Davenport: d.
Mackie, Vinton; G. Huntley. Chari-
ton; o. F. Freyer, Fairfield: Willis
Krizer and G. e. Beeman, Oskaloosa;
L. v. Carter. Lawn Hill; J. p. Kirby,
Estherville: w. w. Latta, Logan:
In Anderson T,amont. M X Frav