New-York tribune., 1922-03-08

" p-4SHiNGION, a Nurclt = (By
The Associated Press ).-Tlto teut OF
The bo7sl; Ioon provisions Of the pro-
posed soldier bonus biu foilows IN
full:
(a) That a loan may be made to any
veteran prior TO September 80. 1925,
upon his adjusted service certificate
only In accordance with the provisions
OF this section.
(b) Any national bank. or ANY bank
or trust company Incorporated under
the laws Of any state, territory, posses
sion or District of Columbia (herein-
after in this section called "bank") is
| authorized to loan to any veteran upon
his promissory note secured by his ad-
justed service certificate with or
without the consent of the beneficiary
thereof) any amount not in excess Of
SO per centum Of it's loan basis Gas de
fined in subdivision + Of this section.
such loan to mature on or before Sep
tember so. 1926. The rate of interest
charged upon the loan by the bank shall
not exceed by more than 2 per centum
per annum the rate charged at the date
OF the loan for the discount of CONNER
cial paper under section l3 of the
Federal Reserve act by the Federal Re-
serve Bank FOR the Federal Reserve
district in which the bank is located.
To Take Up Unpaid Loans
(c) If the veteran does not pay the
prlncipa! and interest Of the loan with
III six months after its maturity. or in
any event BY September 80, 1925. the
bank shall present the certificate and
the note TO the Secretary OF the Treas
ury not earlier than May so, 1895, and
not later than October Is, 1925. The
Secretary shall thereupon cancel the
note and the certificate aud pay to the
bank the amount of the unpaid principal
due 1t, and the unpaid interest accrued
a. the rate fixed by the note, up to the
date Of the check issued to the bank.
The difference between so per centum
OF the loan basis Of the certificate at
the time Of its receipt by the Secretary
and the amount so paid TO the bank
shall DO Immediately paid by the Secrc-
tary TO the veteran if living. In case
OF the veterans death after the ex-
piratioD OF the six months after the
maturity of the loan or IN the case Of
such difference shall be paid to the
beneficiary under the certificate. cx
cepc that if such beneficiary dies be-
fore the veteran and no new beneficiary
IS named, or if the beneficiary in the
first instance has not yet been named.
then the payment shall be made TO the
estate Of the veteran
II the veteran dies before the princi-
pa! is due the amount Of the unpaid
principal and the unpaid interest ac-
crued up to the date Of his death shall
be Immediately. due and payable III
such case, or i the veteran dies after
the principal is due but before The ex-
p'Iation OF the six months sfter the
principal is due, or before October |,
1923, the bank shall upon notice OF
death present the certificate and note
TO tne Secretary who shall thoreupon
cancel the note and pay to the bank In
1uI satisfaction of its claim the
amount OF the unpaid principal and
interest at the rate fixed in the note,
accrued UP TO the date Of the check
issued TO the bank, except that if prior
10 the payment the bank is notified Of
the death by the Secretarv Of the
treasury and fails 10 present the GER
tlhcate and note to the Secretary with
IN hfteen days after notice such inter
cse snail be only up TO the fifteenth duv
s1ter such notice. The Secretary shall
oeducc the amount SO paid from the
race value (as determined under Sec
tlon sod Of the certificate
Thirty-Day Notice on Defaults
When any loan IS in default the bank
shall within thirty davs thereafter
notify the Secretary of the Treasury of
the facts relative to tho note. the na,oa
oI me veteran and the number OF his
The loan basis of any certificate ~
any time shall, for the purposes of this
section be The amount of the adjusted
service credit plus interest thereon
from October I, 1922, to such time, at
compounded annually. '''
made under this section by the Secro-
tary Of the Treasury to anv banI' m
less The note, when presented to hin,
IS accompanied by an affidavit made bv
an officer of bank before a notary
public or other officer designated for
the purpose by regulation Of the Secre-
rsry, and stating that the hank hss
not charged or collected or sttemnfed
TO charge or collect, directly. or in
directly, any fee or other compenss-
tion except interest as authorized hv
this section) in respect to or becanse
Of any loan made under this sectior
by the bank to veteran. ANY bank
which, or director, tfficer or emplovee
tnereof, who does so charge, collect or
attempt TO charge or collect anv such
zee or compensation, shall be liable 10
the veteran for penalty Of 500. to
the veteran ~
nTo oy.y- of