Page:United States Statutes at Large Volume 49 Part 1.djvu/359

 314 "Person" "Co rpor atio n". Restric tions on loans to corpo rations. Loans; time for mak- ing extended. Ante, p. 306. Vol.48,p. 347. For m of. Lim itat ion on amount of bonds re- moved. Vol. 48, p. 345. Fe der al lan d ban ks may execute releases, etc ., on behalf of Comm issi oner or Cor- poration. Vol.48,pp.48,347. Federal Farm Loan Act, amendments. Vol. 39, p.372; Vol. 48, p. 43; U.S. C., p. 429. Post, pp. 592, 1829, 1912 . Interest rates on loans. 74TH CONGRESS. SESS. I. CH. 164. JUNE 3, 1935. of a deceased farmer ; (2) the term ' person' includes an individual or a corporation engaged in the raising of livestock ; and (3) the ter m `co rporat ion' includ es an y inco rpora ted as socia tion ; bu t no such loan shall be made to a corporation (A) unless all the stock of the corporation is owned by individuals themselves personally actu- ally engaged in the raising of livestock on the land to be mortgaged as security for the loan, except in a case where the Land Bank Commissioner permits the loan if at least 75 per centum in value and number of shares of the stock of the corporation is owned by the individuals personally actually so engaged, and (B) unless the owners of at least 75 per centum in value and number of shares of the stock of the corporation assume personal liability for the loan. No loan shall be made to any corporation which is a subsidiary of, or af filiated ( either dir ectly or t hrough sub stantial i dentity of stock ownership) with, a corporation ineligible to procure a loan in the amount applied for ." (d) Such section 32, as amended, is further amended by striking out the eighth and ninth sentences and inserting in lieu thereof the following : "Until February 1, 1940, the Land Bank Commissioner shall, in his name, make loans under this section on behalf of the Federal Farm Mortgage Corporation, and may make such loans in cash or in bond s of the c orporation, or if ac ceptable t o the borr ower, in consolidated farm loan bonds ; but no such loans shall be made by him after February 1, 1940, except for the purpose of refinanc- ing loans previously made by him under this section. As much as may b e necessar y of the a ssets of t he corpora tion, incl uding the bonds (and proceeds thereof) issued under section 4 of the Federal Farm Mortgage Corporation Act, may be used for the purposes of this se ction ." (e) Such section 32, as amended, is further amended by inserting at the end thereof the following : "Any Federal land bank, when duly authorized by the Land Bank Commissioner and the Federal Farm Mortgage Corporation, shall have the power to execute any instrument relating to any mortgage taken to secure a loan made or to be mad e under th is section, or relati ng to any property i ncluded in any such mortgage, or relating to any property acquired by the Land Bank Commissioner and/or the Federal Farm Mortgage Cor- poration. Any such instrument heretofore or hereafter executed on behalf of the Land Bank Commissioner and/or the Federal Farm Mortgage Corporation by a Federal land bank, through its duly authorized officers, shall be conclusively presumed to have been duly authorized by the Land Bank Commissioner and the Federal Farm Mo rtgage Corpo ration. " SEC . 3 . (a) Effective July 1, 1935, the first sentence of paragraph " Twelfth " of section 12 of the Federal Farm Loan Act, as amended, is amended by striking out the following : " w ithin two y ears after su ch date, s hall not e xceed 41/2 per centum per annum for all i nterest payable on installment dates occurring within a period of five years comme ncing sixty days after the d ate t his pa ragra ph tak es ef fect ; and no payment of the principal portion of any installment of any such loan shall be required during such five-year period if the bor- rower shall not be in default with respect to any other condition or covenant of his mortgage ", and inserting in lieu thereof the following : " after such date, shall not exceed 31/2 per centum per annum for all interest payable on installment dates occurring within a period of one year commencing July 1, 1935, and shall not exceed 4 per centum per annum for all interest payable on installment dates