Show NATIONAL FARM LOAN associations organization section 7 ten farm owner besle leg ing loans aggregating or more may Y far form each an H association sec bee 7 if affairs are administered dIt Cd by five directors including president vice vice president and 0 loan committee of three serving without comper compensation and by a secretary sc treasurer with a sal ary ry fixed by the farm I 1 louo board and ad paid old by the he association CAPITAL STOCK see bee 8 slater 5 each 9 carry log ing double liability 8 may be owned aimed only IY by bra borrowers beamerr borr owera merr who ree are required to subscribe 5 per cent of that to load I 1 la the capital stock of the th which la in turn subscribes an equal amount of in the federal lead land bank 51 8 1 shares are pill for far 1 in cash ill or 9 the amount may be added to the face of tile the loan and retired in amortization pa nt at par 1 in such case the face of the lonn an shall not at exceed the 50 per cent and 20 per cent tire icat citation on sec 7 M on an shadrea here may inny h be levied for alic operating peri ting elpi anses if funds are c not ti otherwise ther wise oval avat tible lib lc POWERS sec lo 10 0 to appraise loi 1 for fir mort aage g e kroull Iro ull its ita III loan I 1 committee m fita e of ala tance e e sec bee 11 T to ind indorse e hall become became d liable able for far tile mortgages of 11 its share be holdel 3 rf az r see sec it 11 to recene and diliver the proceeds of I 1 bonns to borrowers bee 11 to acquit I 1 mol dispose of if property proper tv necessary to for ill the convenient Is I 1 VH of it its busl bus irosa nesa see sec 11 to biens certificates ot if do de po posit it fol foi not longer thin one ye year or and to pay 4 per cent interest Int intel elest est therso thereon into far farm loin bonds at it the federal land bank of its is ds let sec 7 to rei re receive i rod nod transmit to the federal lead land book bank payments of in hect and ad principal and ad amortization tion payments LOANS sic ic 12 loima shall hall be seemed by B first red to mortgages mor tRagEs g on in land sit ill it its 1 land d caf bank tile distinct t section 1 ie 12 to run from 5 to 40 years with fill amortization and with ad dit ional optional prepay menta after di flie S y years IS sec er 12 Il interest terest a on I 1 loans slat not net exceed 8 6 per cent per annum I 1 OD tile the unpaid principal bee 12 Borm borrowers borower shall py pay 8 per cent simple boull lH interest on in defeat defaulted t d pa ments see sec 12 L loans I 1 may 1 be a made tor far 11 the following purposes purpose and ad for or no an other under der penalty a n to purchase land for gral tural b to purchase equiha equipment I 1 fertil 1 lyer and live flie stock for the op operation ibm of ther the mortgaged farm 1 to pro provide id buildings building and for the ho improvement pro I 1 eat of farm lands d to pay debts at time of organization set on of the first ficat est lonal far farm loan association irbin the county see sec 12 51 maximum SIm 1 loan 10 minimum loan see sec 12 0 no o 1 loan shall exceed 50 per cent of the value of the load land floor mortgaged I 1 and ad 20 PC per met cent of ill the I 1 fermano permanent it I 1 in rated mired ampro improvements ments see sec 12 M loans shall be made tie to any IS person r who Is not ot at t the time a or aon shortly to be become eo engaged g d in the culta batio n of t the e farm mar mortgaged te gage d N sole I 1 to al all appl applications icat 1 f for 0 I 1 loans arm 0 originate with the no national t f farm loan associations or agents g at and ad all loans are made ad and ad closed by the federal land book banks this does not a I 1 opp apply d y to j joint I 1 t stock land books banks TAXATION sec 26 same as applies I 1 to federal land caba baalis SPECIAL PRO provisions VISIONS see sec 9 associations may retain as commission on one eighth of I 1 per cent ia unit from no interest pa ments on 1 the unpaid principal of to loans see sec 9 associations may any borrow from federal land bu banks u ke at 6 per cent annual interest up P to one fourth of lie its total stock holdings I 1 in said old book bank see bee 24 Rs reserves res rod and dividends NO it limit it to Is placed on distributions but I 1 one after the reserve account cco at built rr 21 ra up t faoro net act earnings equals 20 per cent of the capital talk and ad after 2 PC per coal cent of the net earnings ana annually ny there thereafter lifter are added to the amse receive S lie ac count be bec 25 D defaults must he made good within ill 30 do dava after notice so sec 2 20 9 P provision asim 1 is made do for dl dissolution I nad the appointment of a to re |