Page:United States Statutes at Large Volume 47 Part 1.djvu/759

 72d CONGRESS. SESS. I. CH. 522. JULY 22, 1932 . 735 and in such securities as fiduciary and trust funds may be invested in under the laws of the State in which the Federal Home Loan Bank is located. INCORPORATION OF BANKS, AND CORPORATE POWER S SEC. 12. The directors of each Fe de ral Home Lo an B ank shall, 81 Es organization co n in accordance with such rules and regulations as the board may pre- tificate. scribe, make an d file wi th the b oard at the earl iest pra cticable date after the establishment of such bank, an organization certificate which shall contain su ch information as the board may require. Upon the making and filing of such organization certificate with the board, such bank shall become, as of the date of the execution of its organization certificate, a body corporate, and as such and in its etc .utbori ty, duties, name as designated by the board it shall have power to adopt, alter, and use a corporate seal ; to make contracts ; to purchase or lease and hold or dispose of such real estate as may be necessary or con- venient for the transaction of its business, but no bank building Limitation on build. shall be bought or erected to house any such bank, nor shall any such ing. bank make any lease for such purpose which has a term of more than ten years ; to sue and be sued, to complain, and to defend, in any court of competent jurisdiction, State or Federal ; to select, employ, and fix the compensation of such officers, employees, attor- neys, and agents as shall be necessary for the transaction of its business subject to the approval of the board ; to define their duties, require bonds of them and fix the penalties thereof, and to dismiss at pleasure such officers, employees, attorneys, and agents ; and, by its board of directors, to prescribe, amend, and repeal by-laws, rules, and regulations governing the manner in which its affairs may be administered ; and the powers granted to it by law may be exercised and enjoyed subject to the approval of the board. The president of o be director map a Federal Home Loan Bank may also be a member of the board of directors thereof, but no other officer, employee, attorney, or agent tobe paid officer, cer, etc ., of such bank, who rec eives compensation, may be a member of the board of directors. Each such bank shall ha ve all such incidental powers, not inconsistent with the provisions of this Act, as are cus- tomar y and usual in c orpor ation s gene rally. EXEMPTION F ROM TAXATION SEC. 13 . Any and all notes, debentures, bonds, or other such obli- Ba nk oblig ations to gations issued by any bank shall be exempt both as to principal and on exempt from raze" intere st from all taxa tion (ex cept sur taxes, es tate, in heritanc e, and gift taxes) now or hereafter imposed by the United States, by any Territory, dependency, or possession thereof or by any State, county, municipality, or local taxing authority. The bank, including its Designated resources tai free . franchise, its capital, reserves, and surplus, its advances, and its Advances included . income shall be exempt from all taxation now or hereafter imposed by the United States, by any Territory, dependency, or possession thereof, or by a ny State, county, munici pality, authority ; except that in any re al property of the bank shall be Exception. subject to State, Territorial, county, municipal, or local taxation to the same extent according to its value as other real property is taxed . The notes, debentures, and bonds issued by any bank, with unearned Acceptance of notes coupons attached, shall be accepted at par by such bank in payment etc ;i onp aimed unearned of or as a credit against the obligation of any home-owner debtor of such bank. Incorporation and powers of banks. I
 * r' local taxing