Page:United States Statutes at Large Volume 47 Part 1.djvu/737

 12d CONGRESS. SESS. I. CH. 520. JULY 21, 1932. 713 (e) The Reconstruction Finance Corporation is further author- credit g eorpor~sun~ ized to c reate in any of th e twelve Federal l and-bank districts where Establishment in it may deem the same to be desirable a regional agricultural credit ?etsy land bank dis corporation with a paid-up capital of not less than $3,000,000, to be subscribed for by the Reconstruction Finance Corporation and con ap traetie ld F e paid for out of the unexpended balance of the amounts allocated corporation. and made available to the Secretary of Agriculture under section 2 subscription of the Reconstruction Finance Corporation Act. Such corporations shall be managed by officers and agents to be appointed by the i. P Reconstruction Finance Corporation under such rules and regula- tions as its board of directors may prescribe. Such corporations are cnAdv for ~ hereby authorized and empowered to make loans or advances to etc. farmers and s tockme n, the proce eds of which are to be us ed for an agricultural purpose (including crop production), or for the rais- ing, breeding, fattening, or marketing of livestock, to charge such Interest, etcs rates of interest or discount thereon as in their judgment are fair and equitable, subject to the approval of the Reconstruction Rediscounting paper. Finan ce Co rpora tion, and to r edis count with the Reco nstru ction Finance Corporation and the various Federal reserve banks and Fed- eral intermediate credit banks any paper that they acquire which is eligible for such purpose. All expenses incurred in connection with operating expenses, the operation of such corporations shall be supervised and paid by the Reconstruction Finance Corporation under such rules and reg- ulations as its bo ard of di rectors m ay prescr ibe. (f) All loans made under this s ection, and a ll con tracts of th e security required. character described in pa ragr aph (1) of subsection (a), shall be fully and adequately secured. The corporation, under such condi- tions as it shall prescribe, may take over or provide for the admin- istration and liquidation of any collateral accepted by it as security for such loans. Such loans shall be made on such terms and con- Promissory note s to ditions, not inconsistent with this Act, as the corporation may pre- be gi ven for loans. scribe, and may be made directly upon promissor notes or by way of discount or rediscount of obligations tendered for the purpose, or othe rwise in suc h form and i n such amount and a t such inter est Proviso. or discount rates as the corporation may approve : Prov ided , That coForrig secur ities as no loans or advances (except loans under subsection (c )) shal l be made upon foreign securities or foreign acceptances as collateral. (g) Eac h such loan may be made for a period not ex ceedin g thre e Maturity, etc . years, and the corporation may, from time to time, extend the time of paym ent of any s uch lo an, th rough renewal, subs tituti on of new obligations, or otherwise, but the time for such payment shall not be extended beyond five years from the date upon which such loan was made originally : Provided, That loans or contracts of the „~ or relief, eta character described in subsection (a) may be made for a period not exceeding ten years : Provided further, That loans or contracts Ext ensi ons in cer of the character described in paragraph (1) or (5) of subsection `II cases. (a) may be made for a period exceeding ten years when at is the judgment of the board of directors of the corporation that it is necessary to purchase securities as provided in such paragraphs and that it i s not pra cticable to requir e the rei mbursemen t of the corpo- ration, within ten years, through the repurchase or payment of such securities, or in any other manner. (h) The corporation may make loans under this section at any Co tin cetoJanu. time prior to January 23, 1934. ary 23, :934. (i) No fee or commission shall be paid by any applicant for a No commission to be loan under the provisions of this section in connection with any charg ed. such application or any loan made or to be made under this section, and the agreement to pay or payment of any such fee or commis- sion shall be unlawful.