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Show COMMITTEE DRAFTS THE LJiLOl BILL .Measure Is Expected to Make Provision for Necessary Neces-sary Farm Credits WASHINGTpN Dec 24 A land uan bill which is expected to have the api ro nl of tho admin stratlon was om 1 ted today by a sub committee of tho jo nt congressional committee on r ral cred ts Bene tor Holl s was au thor ul to present the measure to the f 11 o nmlttee on lanuary Already t has been forn ally af pro od by prac t cally tho ent re membership of the nmmittee Tho b 11 would provide a comprchen se farm mortgage cr 1 ts system un der the coi trol and superv sion of a fo leral laud bank board of five mem bers to bo aj po ntod by the pres dent w th the approval of the senate The country wo Id be divided into twshe dlstr is ea h w th a regional land bunk hav ng a capital stock of $500,000 to 1 o ssued m 110 shares for purchase 1 v the publ Any such stock not taken w th n n netv days by pr vate cap tal or 1 a lo al loan organizat on content l lated by the b 11 would be subscribed bv the federal government Business would be done d rectly be tween tbe regional banks and tbe local bodies which farmers would be author zed to organ ze n the form of cooperate co-operate e farm loan associations or joint stock banks charters for which would be passed on bv the land bank board AppI cations for loans approved by the local organizat ons would be rec ommended to the regional bank of the district The banks would be author Ized to loan out capital stock or to sell bonds to obta n suff cient funds to mako the loans and tbe farmers would be charged as nterest the interest on the bonds plus 1 per cent In order to reduce the rate of nterest on the bonds the b II w II pro vile they mnst be ac ceptal le Y the banks ss secur ty for the depos t of publ c funds T e borrow assoc ations wo Id be dvdtii nto two classes those organ zed ti th I ra ted 1 ab 1 1 es and those w th u li n ted I ab 1 t es They would appra se the land on wbch a farmer sought to obta n monev an 1 would them selves become liable for the loan Thus tbe bonds would be backed by the regional banks the local assoc a-t a-t on the borrowing farmer and a mort fage on tbe land given to the atsocia on Out of the r prof ts regional banks ull mate woull ref nd to tho go ern ment such mone as t m ght have in vested in the enterprise Payment of the nortgages by borrowers would be made on the installment lan runn ng for a period of not excend ng thirty bu ) ears The land banks would be permitted to ac ept sa ngs depos ts and in cer ta n sj qc f ed cases to employ spec al agenc es includ ng trut compan es and sav n s banks to nake loans The completed bill is a co nprebens ve measure embod ng many of the f ea tu es of the Holl s B lkle bill of the last ongress anl most of the underlv ng pr nc pies of the Fletcher Moss h )l fostered bv the I n t-d States eonm s s on on n ral red ts senator Fletcher pres dent of the romm s. on vas in con s Hat on today w th tho sub committee p 1 w 1 support tho n tas re |