Page:United States Statutes at Large Volume 47 Part 1.djvu/183

 name of "Porto Rico" shall be held to refer to such island under and by the name of "Puerto Rico."

Approved, May 17, 1932.



[CHAPTER 191.] AN ACT

To amend Title II of the Federal Farm Loan Act in regard to Federal intermediate credit banks, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 202 (a) of Title II of the Federal Farm Loan Act, as amended (U . S . C ., title 12, ch . 8, sec . 1031), is hereby amended by substituting a semi- colon for the period at the end of clause (3) and adding thereto the following new matter : " and to accept drafts or bills of exchange issued or drawn by any such association when secured by warehouse receipts and/or shipp ing documents covering s taple agricultural products as herein provided ." SEC. 2. Section 205 of Title II of the Federal Farm Loan Act, as amended (U. S. C., title 12, ch. 8, sec. 1061), is hereby amended by adding at the end thereof the following new matter : " In the event that there shall be an impairment of the paid-in capital of any Fed- eral intermediate credit bank, the Farm Loan Board, at su ch ti me or times as it deems advisable, may determine and assess the amount thereof against the other Federal intermediate credit banks on such equitable basis of apportionment as it shall prescribe . Each bank against which such an assessment is made shall, out of its surplus and/or to an ext ent up to 50 per centum of its net earnings, in accorda nce with the terms of such assessment, pay the amount thereof as soon as possible to the bank having the impairment . In p lUsti liiz ati i eofnisur such event payments into the surplus fund and payments of the franchise tax prescribed by this chapter shall be determined on the basis of the net earnings remaining after providing for the payment of any such assessment ." SEC. 3. Section 206 (b) of Title II of the Federal Farm Loan Act Special res erve and 9 surplus funds. as amended (U . S . C ., title 12, ch . 8, sec. 1072), is hereby amended C Vol.42,p.1457;; U .S. (effective January 1, 1932) by striking out the first two sentences of. p.317,amended. said section and substituting therefor the following new matter "After all necessary expenses of a Federal intermediate credit bank Net earni ngs to be have been paid or provided for, the net earnings shall be paid into a ap plied to. surplus fund until it shall amount to 100 per centum of the sub- scribed capital stock of such bank, and thereafter 50 per centum of such earnings shall be paid into the surplus . Whenever the surplus p lRestora tion of sur- thus paid in shall have been impaired it shall be fully restored before payment of the franchise tax herein prescribed . After the tas ayment of franchise aforesaid re quirements of this secti on have been fully met a nd, except as otherwise provided in this Act, 50 per centum of the net earnings shall be paid to the United States as a franchise tax ." SEC. 4 . Section 207 of Title II of the Federal Farm Loan Act, as am ende d (U. S . C., title 12, ch . 8, sec . 1081), is hereby amended by striking out the period at the end thereof and substituting a colon together with a proviso as follows : " Provided, That in view of the lia bility o f all Fe deral in termedia te credit banks f or the d ebenture s and other such obligations of each bank under this Act, the banks shall, in accordance with rules, regulations, and orders of the Federal Farm Loan Board, enter into adequate agreements and arrangements among themselves by which funds shall be transferred and/or made available from time to time for the payment of all such debentures and other such obligations and the interest thereon when due in accordance with the terms thereof." May 10, 1932 . [S. 2409 .] (Public, No. 138 .] Federal intermediate credit banks. Vol . 42, p . 1455; Vol. 43, p. 1264 ; Vol. 46, p. 816 . 17.S. C.,p.316; Supp. V, p. 133. Ac cept ance of secu red drafts, etc, of coopera- too agricultural asso- ciations . Impairment of capi- tal of any cre dit hank. Vol.42,p. 1457. 1'.S.C.,p . 317 . Proportionate assess- me nt of amount th ere- of against member banks, authorized . Payment . Liabilit y on deb en- tures . Vol. 42, p. 14.58; U.S.C., p-317, amend- ed. Proviso . Mu t u a l arrange- ments for tr ansf er of funds to mee t co nti n- gencies. 