Page:United States Statutes at Large Volume 59 Part 1.djvu/284

 [59 STAT. National farm loan follows: "The secretary-treasurer shall be eligible for membership Loannommittees. on the loan committee. The board of directors may empower (a) the loan committee to elect applicants to membership and (b) any three members of said committee to act as the loan committee in approving loans on behalf of the association and in electing applicants to mem- bership in the association. No action by the loan committee shall be valid where the full committee is acting unless unanimously approved by all members or where any three of its members are acting as herein provided unless approved by all such members." (b) The first sentence of the fifth paragraph of section 9 of the 39 Stat.3. Federal Farm Loan Act, as amended (title 12, U. S . C . 745), is further amended by inserting after the words "by a majority vote New members. of the directors" the following: ", or by the loan committee where said committee has been empowered to elect applicants to member- ship, and". 39Par. iS. SEC. 2. The first, second, and third paragraphs of section 10 of the Federal Farm Loan Act, as amended (title 12, U. S . C . 751, 752, and 753), are further amended to read as follows: Investigation as to "Whenever an application for a mortgage loan is made to a national applicant's character, e antcs aater, farm-loan association, the loan committee provided for in section 7 Ante, p. 265. of this Act shall forthwith make, or cause to be made, such investiga- tion as it may deem necessary as to the character and solvency of the Security offered; re- applicant, and the sufficiency of the security offered. The committee Port. may request a report on the value of the security by a land bank 39 Stat. 360. appraiser appointed under the authority of section 3 of this Act, in aeq.; supp. Iv, 6. which event such an appraiser shall investigate and make a written report to the association upon the security offered. The committee shall cause written report to be made of the results of such investi- gation or investigations as it has required to be made and shall, if it concurs in such report, approve the same in writing. No loan shall Notice tcoalit be made unless the report of the committee is favorable. After the termsof loan. investigation required in this paragraph has been made, the asso- ciation has requested and received a report upon the value of the security by a land bank appraiser, and the loan committee has reached an agreement as to the amount and terms of the loan which may be offered to the applicant, if such amount is not in excess of 65 per centum of the normal value of the security offered as determined by said appraiser the secretary-treasurer may notify the applicant of the amount and terms of the loan approved by the loan committee: Pro- Condition. vided, That any such notice shall contain a statement that the amount and terms of the loan offered to the applicant are subject to and conditioned upon subsequent approval or disapproval by the Federal land bank. Rnorts to Federal "The written report required in the preceding paragraph, together with any report made by a land bank appraiser, shall be submitted to the Federal land bank with the application for the loan, and the land bank shall examine said written report when it passes on the loan application which it accompanies, but it shall not be bound by the value placed upon the property by the loan committee. Referene of a'ppli- "Before any mortgage loan is made by any Federal land bank, cation to appraiser. or joint-stock land bank, it shall refer the application to one or more of the land bank appraisers appointed under the authority of section 1239SU. S5. d 3 of this Act, and such appraiser or appraisers shall investigate and e,. ; supp. rv, 1 67. make a written report on the security offered for said loan: Pro- vided, That if a land bank appraiser has made a report on said security to the national farm-loan assationtion, the Federal land bank need not request an additional report. No such loan shall be made by said land bank unless the written report of the land bank appraiser is favorable." PUBLIC LAWS-CH. 204JUNE 30, 1945 266

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