Page:United States Statutes at Large Volume 49 Part 1.djvu/360

 74TH CONGRESS. SESS. I. CH. 164 . JUNE 3, 193 5. 315 occurring within a period of two years commencing July 1, 1936 and no payment of the principal portion of any installment of any ei Payments ts on prin- such loan outstanding on the date of the enactment of the Farm Credit Act of 1935 shall be required prior to July 11, 1938, if the borrower shall not be in default with respect to any other condition or covena nt of his mo rtgage. " (b) Effective July 1, 1935, the second sentence of such paragraph er Loans ad" by Fed- "Twelfth" is amended by striking out the following : "the rate of Vol.48, p.43; V.s.C., inte rest on such loa ns for s uch five -year pe riod sh all be 5 per cen tum p.429 . in lieu of 41/2 per centum ", and inserting in lieu thereof : " the rates Rates of interest . of interest paid for the respective periods above specified shall be one-half of 1 per centum per annum in excess of the rates of interest paid during the corres ponding periods by borrowers on mortgage loans made through national farm loan associations". SEC. 4. The fourth sentence of section 24 of the Federal Farm National Farm Loan Lo an Ac t, as amended (U. S. C., Supp. VII, title 12, sec . 913), is Associations ; di further amended by striking out the period at the end thereof and 47Vol. 39;t. 380; Vol. inserting in lieu thereof a colon and the following "Prov ided, p .438 ., That the declaration and payment of any such dividend shall be Approval required . subject to the approval of the Land Bank Commissioner ." SEC. 5. (a) Paragraph (1) of subsection (a) of section 202 of the credit Federal intermediate Federal Farm Loan Act, as amended (U. S. C., Supp. VII, title 12, Vol . 48, p . 271 ; sec . 1031), is further amended by striking out that portion of the u .S.C.,p.444. paragraph which follows the second semicolon and inserting in lieu Discounts and loans thereof the following : and to discount for, or purchase from, any to banks for coopera- produ ction credit assoc iation or ba nk for coope rative s orga nized ti Vol auth r p2s a . 48, under the Farm Credit Act of 1933, or any production credit associa- tion in which a Production Credit Corporation organized under such Act holds stock, with its indorsement, any note, draft, bill of exchange, debenture, or other such obligation presented by such association or bank, and to make loans and advances direct to any Collateral required. such association or bank secured by such col lateral as may be approved by the Governor of the Farm Credit Administration ;". (b) Paragraph (3) of subsection (a) of such section 202, as Commi ssion on amended, is further amended by striking out the period at the end drafts, etc ., upon banks by cooperative associa- thereof and inserting in lieu thereof a comma and the following
 * tions.

" at such rates of commission as may be approved by the Governor Vol. 49, p. 272. of the Farm Credit Administration ." c Subsection d of such section 202, as amended U. S. C. Su Rates f interest ; ~ ( ~ Pli ° discount rates . VII, title 12, sec . 1034), is hereby repealed. Vol. 42, p. 1456, re- SEC. 6. (a) Subsection (a) of section 203 of the Federal Farm peD bentures. Loa n Act (U . S . C ., title 12, sec. 1041) is amended by striking out uValC 42,p. 1456 ; p.445 the proviso and inserting in lieu thereof the following : " Provided, That the aggregate amount of the outstanding debentures and simi-authori Aggregate ate mount lar obligations issued individually by any Federal intermediate credit bank, togeth er wit h the amount of ou tstand ing co nsolid ated d eben- tures issued for its benefit and account, shall not exceed ten times the surplus and paid-in capital of such bank ". (b) Such section 203 (U . S . C ., title 12, sees . 1041-1043) is further Vol. 42, p. 1456. amended by adding at the end thereof the following new subsections "(d) - Whenever it shall appear desirable to issue consolidated Consolidated dben- debentures of the twelve Federal intermediate credit banks and to tures se ll the m thro ugh a common selli ng age ncy, a nd the Feder al int er- mediate credit banks shall, by resolutions, consent to the same, the u . S. C.,p.445. banks may issue and sell said debentures subject to the provisions of this section and the provisions of section 21 of Title I of this Act, insofar as applicable . As used in this Act, the term ` deben- sty a benture" con- tures' includes such consolidated debentures.
 * issue and sale.