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Show RURAL CREDITS RIDER CHANGED HOUSE FRAMES SUBSTITUTE FOR FARM LOAN PLAN ACCEPTED AC-CEPTED BY SENATE. Would Provide System of Farm Loan Associations to Make Loans on Farm Mortgages at 6 Per Cent Interest. Washington. A farm loan plan was written into the agricultural bill by the house Monday night after a long and vigorous fight. The rural credits amendment reported by the agricultural agricultur-al committee and generally accepted as having the sanction of the admin; istration wa3 revised by a series of amendments which revolutionized the proposal. As framed in the house, the plan would provide for a system of farm loan associations formed in individual communities to make loans on farm mortgage notes at not more than 6 per cent interest. These associations would form federal land 'hanks in districts dis-tricts corresponding to the present federal reserve districts for the purpose pur-pose of dealing in the mortgages held by the association and loaning to the association upon these mortgages. In these hanks the government would have a supervising and under certain circumstances a stockholding interest. They would be authorized to issue bonds based on their farm mortgage securities. The crux of the fight in the house came on an amendment to authorize the secretary of the treasury to issue Panama canal or other government bonds to the amount of $50,000,000 a ! year to take over the bonds of these land banks. The amendment was adopted in committee of the whole by a vote of 157 to 44. The administration proposal was a substitute for the McCumber direct, loan credits plan incorporated in the bill in the senate. It proposed a series se-ries of farm loan associations with a system of land banks under private ownership and control to handle the loans through the sale of bonds to the public. By a vote of 237 to 89 the house rejected the McCumber proposition and then the perfected Bulkley-Hollis amendment was agreed to without a roll call. The bill was seat to conference. |