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H. R. 14359. An act to amend an act entitled "An act to establish a uniform system of bankruptcy throughout the United States," approved July 1, 1898, and acts amendatory thereof and supplementary thereto;

H. R. 14724. An act making appropriations for the Navy Department and the naval service for the fiscal year ending June 30, 1934, and for other purposes;

S. J. Res. 134. Joint resolution authorizing the Secretary of War to receive for instruction at the United States Military Academy, at West Point, Manob Suriya, a citizen of Siam;

S. J. Res. 178. Joint resolution authorizing the Secretary of War to receive for instruction at the United States Military Academy, at West Point, Julio Rodriguez Arrea, a citizen of Costa Rica; and

S. J. Res. 179. Joint resolution authorizing the Secretary of War to receive for instruction at the United States Military Academy, at West Point, Tisheng Yen, a citizen of China.

The Vice President thereupon signed the same and they were delivered to the committee to be presented to the President of the United States.

APPROPRIATIONS FOR TREASURY AND POST OFFICE DEPARTMENTS
Mr. Oddie submitted the following conference report:
The committee of conference on the disagreeing votes of
the two Houses on amendments numbered 1 to 16 inclusive,

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the end thereof the following: special delivery messengers in the Postal Service, but in the case of such messengers, the sum of $400 shall not be included in the calculation of the rate of their compensation for the purposes of this title; ". (2) Section 106 is amended by striking out "except judges whose compensation may not, under the Constitution, be diminished during their continuance in office" and inserting in lieu thereof “except judges, whose compensation, prior to retirement or resignation, could not, under the Constitution, have been diminished."

(3) Section 216 is amended by striking out the period at the end thereof and inserting in lieu thereof a colon and the following: “Provided further, That no employee under the classified civil service shall be furloughed under the provisions of this section for a total of more than ninety days during the fiscal year 1934, except after full and complete compliance with all the provisions of the civil service laws and regulations relating to reductions in personnel."

(4) Section 317 is amended by striking out the period at the end thereof and inserting in lieu thereof a colon and the following: "Provided further, That no part of any appropriation for 'public works,' nor any part of any allotment or portion available for ‘ public works' under any appropriation, shall be transferred pursuant to the authority of this section to any appropriation for expenditure for personnel unless such personnel is required upon or in connection with 'public works.''Public works' as used in this section shall com

of the Senate to the bill (H. R. 13520), making appropria-prise tions for the Treasury and Post Office Departments for the fiscal year ending June 30, 1934, and for other purposes, having met, after full and free conference have agreed to recommend and do recommend to their respective Houses as follows:

That the Senate recede from its amendments numbered

3, 4, 7, 8, and 9.

That the House recede from its disagreement to the

amendments of the Senate numbered 2, 5, 6, 10, 11, and 13, and agree to the same.

Amendment numbered 1: That the Senate recede from its disagreement to the amendment of the House to the amendment of the Senate numbered 1, and agree to the same. Amendment numbered 12: That the House recede from its disagreement to the amendment of the Senate numbered 12, and agree to the same with an amendment as follows:

Restore the matter stricken out by such amendment,

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amended to insert in lieu of the sum $19,000,000" named in such amendment, the sum $15,000,000; and the Senate agree to the same.

Amendment numbered 14: That the Senate recede from its disagreement to the amendment of the House to the amendment of the Senate numbered 14, and agree to the same with an amendment as follows: In lieu of the matter proposed to be inserted by the House amendment insert the following:

Sec. 4. (a) The provisions of the following sections of Part II of the legislative appropriation act, fiscal year 1933, are hereby continued in full force and effect during the fiscal year ending June 30, 1934, namely, sections 101, 102, 103, 104, 105, 106, 107 (except paragraph (5) of subsection (a) thereof), 108, 109, 112, 201, 203, 205, 206 (except subsection (a) thereof), 211, 214, 216, 304, 315, 317, 318, and 323, and, for the purpose of continuing such sections, in the application of such sections with respect to the fiscal year ending | June 30, 1934, the figures "1933" shall be read as "1934"; the figures "1934" as "1935"; and the figures "1935" as “1936”; and, in the case of sections 102 and 203, the figures "1932 shall be read as 1933 "; except that in the application of such sections with respect to the fiscal year ending June 30, 1934 (but not with respect to the fiscal year ending June 30, 1933), the following amendments shall apply:

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(1) Section 104 (a) is amended by striking out the period at the end thereof and inserting a semicolon and the follow- | ing: “and (12) special delivery messengers in the Postal Service."; and section 105 (d) (2) is amended by adding at

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all projects falling in the general classes enumerated in Budget Statement Numbered 9, pages A177 to A182, inclusive, of the Budget for the fiscal year 1934, and shall also tion of vessels under appropriations for Increase of the include the procurement of new airplanes and the constructhe Budget, or by the President in the cases of the War DeNavy.' The interpretation by the Director of the Bureau of partment and the Navy Department, of public works,' as

defined and designated herein, shall be conclusive."

(5) Section 104 (b) and section 106 are amended by strik

ing out "(except enlisted)"; section 104 (b) is amended by striking out" does not include the active or retired pay of the enlisted personnel of the Army, Navy, Marine Corps, or Coast Guard; and "; and section 105 (d) is amended by adding at the end thereof the following new paragraph:

"(8) The enlisted personnel of the Army, Navy, Marine Corps, and Coast Guard."

(b) All acts or parts of acts inconsistent or in conflict with the provisions of such sections, as amended, are hereby suspended during the period in which such sections, as amended, are in effect.

(c) No court of the United States shall have jurisdiction of any suit against the United States or (unless brought by the United States) against any officer, agency, or instrumentality of the United States arising out of the application, as provided in this section, of such sections 101, 102, 103, 104, 105, 106, 107, 108, 109, or 112, as amended, unless such suit involves the Constitution of the United States.

(d) The appropriations or portions of appropriations unexpended by reason of the operation of the amendments made in subsection (a) of this section shall not be used for any purpose, but shall be impounded and returned to the Treasury.

(e) Each permanent specific annual appropriation available during the fiscal year ending June 30, 1934, is hereby reduced for that fiscal year by such estimated amount as the Director of the Bureau of the Budget may determine will | be equivalent to the savings that will be effected in such appropriation by reason of the application of this section and section 7.

Sec. 5. Effective the first day of the month next following the passage of this act, in the application of Title I of Part II of the legislative appropriation act, fiscal year 1933, and section 4 of this act, in any case where the annual rate of compensation of any position is in excess of $1,000, the provisions reducing compensation shall not operate to reduce

the total amount paid for any month to any incumbent of any such position unless the total amount earned by such incumbent in such month exceeds $83.33: Provided, That any such reduction made in any case where the total amount earned by any such incumbent in any month exceeds $83.33 shall not operate to reduce the total amount to be paid to such incumbent for such month to less than $83.33.

Sec. 6. (a) Sections 103 and 215 of the legislative appropriation act, fiscal year 1933, shall be held applicable to the officers and employees of The Panama Canal and Panama Railroad Company on the Isthmus of Panama, and to officers and employees of the United States (including enlisted personnel) holding official station outside the continental United States, only to the extent of depriving each of them of one month's leave of absence with pay during each of the fiscal years ending June 30, 1933, and June 30, 1934.

(b) During the fiscal year 1934, deductions on account of legislative furlough shall be made each month from the compensation of each officer or employee subject to the furlough provisions of Title I of Part II of the legislative appropriation act, fiscal year 1933, as continued by section 4 (a) of this act, at the rate of 83 per centum per month regardless of the number of days of such furlough actually taken by any such officer or employee in any month.

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facilities where, in the discretion of the Administrator of Veterans' Affairs, the public interest requires that such employees should be excepted from the provisions thereof. As to those employees excepted from the provisions of the act of March 3, 1931, seven hours chall constitute a workday on Saturday and labor in excess of four hours on Saturdays shall not entitle such employees to an equal shortening of the workday on some other day or to additional compensation therefor.

Sec. 12. Assignments of officers of the Army, Navy, or Marine Corps to permanent duty in the Philippines, on the Asiatic station, or in China, Hawaii, Puerto Rico, or the Panama Canal Zone shall be for not less than three years. No such officer shall be transferred to duty in the continental United States before the expiration of such period unless the health of such officer or the public interest requires such transfer, and the reason for the transfer shall be stated in the order directing such transfer.

Sec. 13. The, act entitled "An act to provide for deducting any debt due the United States from any judgment recovered against the United States by such debtor," approved March 3, 1875 (U. S. C., title 31, sec. 227), is hereby amended to read as follows:

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That when any final judgment recovered against the Sec. 7. No administrative promotions in the civil branch United States duly allowed by legal authority shall be preof the United States Government or the government of the sented to the Comptroller General of the United States for District of Columbia shall be made during the fiscal year | payment, and the plaintiff therein shall be indebted to the ending June 30, 1934: Provided, That the filling of a vacancy, United States in any manner, whether as principal or surety, when authorized by the President, by the appointment of an it shall be the duty of the Cumptroller General of the United employee of a lower grade, shall not be construed as an States to withhold payment of an amount of such judgment administrative promotion, but no such appointment shall equal to the debt thus due to the. United States; and if such increase the compensation of such employee to a rate in plaintiff assents to such set-off, and discharges his judgment excess of the minimum rate of the grade to which such or an amount thereof equal to said debt, the Comptroller employee is appointed, unless such minimum rate would General of the United States shall execute a discharge of the require an actual reduction in compensation: Provided fur- debt due from the plaintiff to the United States. But if such ther, That the restoration of employees to their former | plaintiff denies his indebtedness to the United States, or grades or their advancement to intermediate grades follow- | refuses to consent to the set-off, then the Comptroller Gening reductions of compensation for disciplinary reasons shall | eral of the United States shall withhold payment of such not be construed to be administrative promotions for the further amount of such judgment, as in his opinion will be purposes of this section. The provisions of this section shall sufficient to cover all legal charges and costs in prosecuting not apply to commissioned, commissioned warrant, warrant, the debt of the United States to final judgment. And if such and enlisted personnel, and cadets, of the Coast Guard. debt is not already in suit, it shall be the duty of the Comptroller General of the United States to cause legal proceedings to be immediately commenced to enforce the same, and to cause the same to be prosecuted to final judgment with all reasonable dispatch. And if in such action judgment shall be rendered against the United States, or the amount recovered for debt and costs shall be less than the amount so withheld as before provided, the balance shall then be paid over to such plaintiff by such Comptroller General of the United States with 6 per centum interest thereon for the time it has been withheld from the plaintiff.”

Sec. 8. All officers and employees of the United States Government or of the, government of the District of Columbia who had reached the retirement age prescribed for automatic separation from the service on or before July 1, 1932, and who were continued in active service for a period of less than thirty days after June 30, 1932, pursuant to an Executive order issued under authority of section 204 of Part II of the legislative appropriation act, fiscal year 1933, shall be regarded as having been retired and entitled to annuity beginning with the day following the date, of separation from active service, instead of from August 1, 1932, and the Administrator of Veterans' Affairs is hereby authorized and directed to make payments accordingly from the civil service retirement and disability fund.

Sec. 9. The allowance provided for in the act entitled "An act to permit payments for the operation of motor cycles and automobiles used for necessary travel on official business, on a mileage basis in lieu of actual operating expenses," approved February 14, 1931 (U. S. C., Supp. V, title 5, sec. 73a), for travel ordered after the date of enactment of this act shall not exceed 2 cents per mile in the case of travel by motor cycle or 5 cents per mile in the case of travel by automobile.

Sec. 10. Whenever by or under authority of law actual expenses for travel may be allowed to officers or employees of the United States, such allowances, in the case of travel ordered after the date of enactment of this act, shall not exceed the lowest first-class rate by the transportation facility used in such travel.

Sec. 11. From and after the date of enactment of this act, the provisions of the act of March 3, 1931 (U. S. C., Supp. V, title 5, sec. 26a), shall not apply to any employees of the Veterans' Administration homes, hospitals, or combined

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Sec. 14. Section 319 of Part II of the legislative appropriation act, fiscal year 1933, is repealed as of June 30, 1932; and the rate of interest to be allowed upon judgments against the United States and overpayments in respect of internal-revenue taxes shall be the rate applicable thereto prior to the enactment of section 319 of such act.

Sec. 15. Section 322 of Part II of the legislative appropriation act, fiscal year 1933, is amended by adding at the end of the section the following proviso: ": Provided further, That the provisions of this section as applicable to rentals shall apply only where the rental to be paid shall exceed $2,000 per annum."

Sec. 16. Title IV of Part II of the legislative appropriation act, fiscal year 1933, is amended to read as follows: "Title IV-Reorganization of Executive Departments 'Declaration of standard

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"Sec. 401. The Congress hereby declares that a serious emergency exists by reason of the general economic depresstion; that it is imperative to reduce drastically governmental expenditures; and that such reduction may be accomplished in great measure by proceeding immediately under the provisions of this title.

"Accordingly the President shall investigate the present | other officer of the United States, in his official capacity or organization of all executive and administrative agencies of | in relation to the discharge of his official duties, shall abate the Government and shall determine what changes therein | by reason of any transfer of authority, power, and duties are necessary to accomplish the following purposes:

"(a) To reduce expenditures to the fullest extent consistent with the efficient operation of the Government.

"(b) To increase the efficiency of the operations of the Government to the fullest extent practicable within the

revenues;

"(c) To group, coordinate, and consolidate executive and administrative agencies of the Government, as nearly as may be, according to major purposes;

from one officer or executive agency of the Government to another under the provisions of this title, but the court, on motion or supplemental petition filed at any time within twelve months after such transfer takes effect, showing a necessity for a survival of such suit, action, or other proceeding to obtain a settlement of the questions involved, may allow the same to be maintained by or against the head of the executive agency or other officer of the United States to whom the authority, powers, and duties are transferred. "(c) All laws relating to any executive agency or function transferred or consolidated with any other executive agency or function under the provisions of this title, shall, in so far as such laws are not inapplicable, remain in full force and effect, and shall be administered by the head of the execu"(e) To eliminate overlapping and duplication of effort; tive agency to which the transfer is made or with which the and

"(d) To reduce the number of such agencies by consolidating those having similar functions under a single head, and by abolishing such agencies and/or such functions thereof as may not be necessary for the efficient conduct of the Government;

"(f) To segregate regulatory agencies and functions from those of an administrative and executive character.

"Definition of executive agency

consolidation is effected.

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"Sec. 402. When used in this title, the term 'executive | elimination shall make provision for winding up the affairs agency' means any commission, independent establishment, of the executive agency eliminated or the affairs of the board, bureau, division, service, or office in the executive | executive agency with respect to the functions eliminated, branch of the Government and, except as provided in section as the case may be. 403, includes the executive departments.

"Power of President

"Sec. 403. Whenever the President, after investigation, shall find and declare that any regrouping, consolidation, transfer, or abolition of any executive agency or agencies and/or the functions thereof is necessary to accomplish any of the purposes set forth in section 401 of this title, he may by Executive order

"(a) Transfer the whole or any part of any executive agency and/or the functions thereof to the jurisdiction and control of any other executive agency;

"(b) Consolidate the functions vested in any executive agency; or

"(c) Abolish the whole or any part of any executive agency and/or the functions thereof; and

“(d) Designate and fix the name and functions of any consolidated activity or executive agency and the title, powers, and duties of its executive head; except that the President shall not have authority under this title to abolish or transfer an executive department and/or all the functions thereof.

"Sec. 404. The President's order directing any transfer, consolidation, or elimination under the provisions of this title shall also make provision for the transfer or other disposition of the records, property (including office equipment), and personnel, affected by such transfer, consolidation, or elimination. In any case of a transfer or consolidation under the provisions of this title, the President's order shall also make provision for the transfer of such unexpended balances of appropriations available for use in connection with the function or agency transferred or consolidated, as he deems necessary by reason of the transfer or consolidation, for use in connection with the transferred or consolidated function or for the use of the agency to which the transfer is made or of the agency resulting from such consolidation.

"Saving provisions

"Sec. 405. (a) All orders, rules, regulations, permits, or other privileges made, issued, or granted by or in respect of any executive agency or function transferred or consolidated with any other executive agency or function under the provisions of this title, and in effect at the time of the transfer or consolidation, shall continue in effect to the same extent as if such transfer or consolidation had not occurred, until modified, superseded, or repealed.

"(b) No suit, action, or other proceeding lawfully commenced by or against the head of any executive agency or

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"Effective date of executive order

Sec. 407. Whenever the President makes an Executive order under the provisions of this title, such Executive order shall be submitted to the Congress while in session, and shall not become effective until after the expiration of sixty calendar days after such transmission, unless Congress shall by law provide for an earlier effective date of such Executive order or orders: Provided, That if Congress shall adjourn before the expiration of sixty calendar days from the date of such transmission such Executive order shall not become effective until after the expiration of sixty calendar days from the opening day of the next succeeding regular or special session.

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"Sec. 409. The authority granted to the President under section 403 shall terminate upon the expiration of two years after the date of enactment of this act unless otherwise provided by Congress."

Sec. 17. The Bureau of Efficiency and the office of chief of such bureau are hereby abolished; and the President is authorized to designate another officer to serve in place of the Chief of the Bureau of Efficiency on any board, commission, or other agency of which the Chief of the Bureau of Efficiency is now a member. All records and property, including office furniture and equipment of the bureau, shall be transferred to the Bureau of the Budget. Appropriations and unexpended balances of appropriations available for expenditure by the Bureau of Efficiency shall be impounded and returned to the Treasury. This section shall take effect at the beginning of the third calendar month after the passage of this act.

And the House agree to the same.

Amendment numbered 15: That the Senate recede from its disagreement to the amendment of the House to the amendment of the Senate numbered 15, and agree to the same with an amendment as follows: In lieu of the matter proposed to be inserted by the House amendment insert 18; and the House agree to the same.

Amendment numbered 16: That the Senate recede from its disagreement to the amendments of the House to the amendment of the Senate numbered 16, and agree to the

same with an amendment as follows: In lieu of the matter proposed to be inserted by the first of the House amendments insert 19; and the House agree to the same.

TASKER L. ODDIE,

REED SMOOT,
HIRAM BINGHAM,
L. J. DICKINSON,
HENRY W. KEYES,
GEO. H. MOSES,
CARTER GLASS,
KENNETH MCKELLER,
SAM G. BRATTON,

JAMES F. BYRNES,
ELMER THOMAS,

Managers on the part of the Senate.
JOSEPH W. BYRNS,
WILLIAM W. ARNOLD,

LOUIS LUDLOW,

WILL R. WOOD

(Excepting air mail appropriation and abolishing Bureau

of Efficiency),

M. H. THATCHER

(Excepting air mail appropriation and abolishing Bureau of Efficiency),

Managers on the part of the House.

The Senate proceeded to consider the said report; and
Resolved, That the Senate agree thereto.
Ordered, That the Secretary notify the House of Repre-
sentatives thereof.

ADDITIONAL LOANS UNDER FARM LOAN ACT

Mr. Fletcher submitted the following conference report: The committee of conference on the disagreeing votes of the two Houses on the amendments of the House to the bill (S. 5337) to amend the Federal farm loan act, as amended, to permit loans for additional purposes, to extend the powers of Federal land banks in the making of direct loans, to authorize upon certain terms the reamortization of loans by Federal and joint-stock land banks, and for other purposes, having met, after full and free conference have agreed to recommend and do recommend to their respective Houses as follows:

That the Senate recede from its disagreement to the amendment of the House and agree to the same with an amendment as follows: In lieu of the matter proposed to be inserted by the House amendment insert the following: | That section 7 of the Federal farm loan act, as amended (U. S. C., title 12, ch. 7, secs. 711–722), is amended by adding at the end thereof the following new paragraph:

Whenever it shall appear to the Federal Farm Loan Board that national farm-loan associations have not been formed in any locality in the continental United States, or that the farmers residing in the territory covered by the charter of at national farm-loan association are unable to apply to the Federal land bank of the district for loans on account of the inability of such association to indorse such loans, the Federal Farm Loan Board may, in its discretion, authorize said bank, at any time within five years after this paragraph takes effect, to make direct loans to borrowers secured by first mortgages on farm lands situated within any such locality or territory. Except as herein otherwise specifically provided, all provisions of this act applicable with respect to loans made through national farm-loan associations shall, | in so far as practicable, apply with respect to such direct loans, and the Federal Farm Loan Board is authorized to make such rules and regulations as it may deem necessary with respect to such direct loans: Provided, That no such loan shall be made for more than $15,000. Each borrower who obtains a direct loan from a Federal land bank shall subscribe and pay for stock in such bank in the sum of $5 for each $100 or fraction thereof borrowed.

SEC. 2. Paragraph "Fourth" of section 12 of the Federal farm loan act, as amended (U. S. C., title 12, ch. 7, sec. 771), is amended to read as follows:

Fourth. Such loans may be made for the following purposes and for no other:

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(c) To provide buildings and for the improvement of farm lands; the term “improvement" to be defined by the Federal Farm Loan Board.

(d) To liquidate indebtedness of the owner of the land mortgaged incurred for agricultural purposes, or incurred prior to January 1, 1933.

(e) To provide the owner of the land mortgaged with funds for general agricultural uses.

SEC. 3. Subparagraph (b) of paragraph "Fourth" of section 13 of the Federal farm loan act, as amended (U. S. C., title 12, ch. 7, sec. 781), is amended by adding at the end thereof a new sentence to read as follows:

Every such bank may carry real estate as an asset, for a period of not exceeding five years, at its normal value but not to exceed the amount of the bank's investment therein at the time of acquirement of such real estate.

SEC. 4. Section 13 of the Federal farm loan act, as amended (U. S. C., title 12, chap. 7, sec. 771), as amended by adding at the end thereof the following new paragraphs:

Eleventh. At any time within five years after the date of this paragraph takes effect, any borrower who has obtained a loan from a Federal land bank may on application to such Federal land bank and upon approval of such application by the directors of the bank postpone the payment of any unpaid installment or installments in the manner herein provided in this section. Such postponed payment shall be made by paying at the time each succeeding annual installment is due, one-tenth of the amount of the postponed payment, and, in the case of semiannual installments, by paying at the time each succeeding semiannual installment is due, one-twentieth of the postponed payment, until the amount of such postponed payment has been paid. In any case in which the number of remaining installments due on the mortgage is less than ten, in the case of annual installments, or less than twenty, in the case of semiannual installments, the amount of the postponed payment shall be distributed proportionately over the remaining number of installment payments.

Twelfth. For the period of five years after the date this paragraph takes effect, every borrower shall pay simple interest on extended payments at the same rate of interest as | stipulated in the mortgage securing the loan as to payments not in default and by express covenant in his mortgage deed shall undertake to pay when due all taxes, liens, judgments, or assessments which may be lawfully assessed against the land mortgaged. Taxes, liens, judgments, or assessments not paid when due, and paid by the mortgagee, shall become a part of the mortgage debt and shall bear interest at the rate provided in the mortgage.

Thirteenth. When in the judgment of the directors conditions justify it, and with the approval of the Federal Farm Loan Board, to reamortize, in whole or in part, the aggregate amount remaining unpaid under the terms of any mortgage, and to accept payment of such aggregate amount on an amortization plan by means of a fixed number of annual or semiannual installments sufficient to cover the interest payable on the mortgage, and in addition thereto such amounts to be applied upon the principal as will extinguish the debt within an agreed period of not more than forty years from the date of the reamortization; to deposit such mortgages with the farm loan registrar as collateral security for farm-loan bonds at an amount not exceeding the principal of the original loan remaining unpaid at the date of such amortization; and with the approval of the Federal Farm Loan Board to charge the borrower an amount not to exceed the actual cost incurred in connection with such reamortization.

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Second. To loan on first mortgage except through national farm-loan associations as provided in section 7 and section 8 of this act, or through agents as provided in section 15, or direct to borrowers as provided in section 7.

(b) Section 14 of the Federal farm loan act, as amended, is further amended by adding at the end thereof the following new paragraph:

Sixth. To accept as additional security for any loan to any borrower under this act, or any installment on any such loan, any security other than Federal land-bank stock or mortgages on farm real estate; and the transfer to any Federal land bank of any security if it may not be accepted by the bank under this paragraph shall be void: Provided, That any bank may accept an assignment of the landlord's rent to the amount of any taxes paid on such land by the bank, or any interest due.

SEC. 6. (a) The fourth paragraph of section 19 of the Federal farm loan act, as amended (U. S. C., title 12, ch. 7, sec. 854), is amended to read as follows:

No mortgage shall be accepted by a farm-loan registrar from a land bank as part of an offering to securing farmloan bonds, either originally or by substitution, except first mortgages made subject to the conditions prescribed in sections 4, 7, 12, 15, and 16: Provided, That such registrar when authorized and directed to do so by the Federal Farm Loan Board, shall accept or retain in his custody as collateral, if otherwise eligible under the provisions of such sections, any first mortgage in connection with which the land bank depositing the same has agreed to defer for a period of not more than ten years the collection of the principal portion of maturing installments and to accept payment of the aggregate amount of such principal on an amortization plan by means of a fixed number of annual or semiannual installments sufficent to cover the interest payable thereon and in addition thereto such amounts to be applied on the principal after the expiration of the period of deferment as will extinguish the debt within an agreed period of not more than forty years from the date of such agreement.

(b) Section 19 of the Federal farm loan act, as amended (U. S. C., title 12, ch. 7, secs. 851-856), is further amended by adding at the end thereof the following new paragraph: Such farm-loan registrar shall also accept purchase money mortgages as collateral security in place of mortgages withdrawn. The banks shall have power to execute all necessary conveyances, transfers, and assignments to carry out this provision.

SEC. 7. The eleventh paragraph of section 21 of the Federal farm loan act, as amended (U. S. C., title 12, ch. 7, sec. 881), is amended by substituting in lieu thereof the following:

consolidated farm-loan bonds, and said registrar is authorized, at his discretion, to order any of such payments, or the proceeds thereof, wherever deposited or however invested, to be immediately transferred to his account as trustee aforesaid. Each bank shall maintain with the farm-loan registrar of its district collateral security for the issue of consolidated farm-loan bonds in an amount at least equal to the face amount of such bonds issued on its behalf.

When any Federal land bank shall surrender to the farmloan registrar of its district any consolidated Federal farmloan bonds, canceled or uncanceled, said land bank shall be entitled to withdraw first mortgages and bonds previously pledged as collateral in connection with any issue of consolidated farm-loan bonds to an amount equal to the consolidated farm-loan bonds so surrended and it shall be the duty of such registrar to permit and direct the delivery of such mortgages and bonds to such land bank.

The Federal Farm Loan Board may at any time call upon any Federal land bank for additional security to protect the | consolidated bonds issued under the provisions of this section. Each bank shall pay when due, without notice, all bonds and coupons issued on its behalf hereunder.

Every Federal land bank shall have power to exchange consolidated farm-loan bonds for farm-loan bonds previ| ously issued or assumed by it individually, with the approval of and under rules and regulations promulgated by the Federal Farm Loan Board.

Sec. 8. The balance of the $125,000,000 provided for the Federal land banks by the act of January 23, 1932, not heretofore used for the extension of loans or the making of new loans shall be used by such banks for the extension of loans and the making of new loans as authorized by this act and the Federal farm loan act, as amended. And the House agree to the same.

DUNCAN U. FLETCHER,
SMITH W. BROOKHART,
JOHN G. TOWNSEND, Jr.,

Managers on the part of the Senate.
HENRY B. STEAGALL,

W. F. STEVENSON,

T. ALAN GOLDSBOROUGH,

L. T. MCFADDEN,

JAMES G. STRONG,

Managers on the part of the House.

The Senate proceeded to consider the said report.
Pending debate,

IMPEACHMENT OF JUDGE HAROLD LOUDERBACK

At 12 o'clock and 20 minutes p. m. the assistant doorkeeper announced the presence in the Senate Chamber of the managers appointed by the House of Representatives, to wit, Mr. Sumners, Mr. Browning, Mr. Tarver, Mr. LaGuardia, and Mr. Sparks, to conduct the impeachment against Harold Louderback, United States district judge for the northern district of California, and they were assigned to seats provided for them.

Mr. Sumners announced that the managers on the part of the House were present to exhibit articles of impeachment preferred by the House against Harold Louderback, United States district judge for the northern district of California. The Vice President then directed the Deputy Sergeant at Arms to make proclamation; and

When any Federal land bank shall desire to participate in a consolidated issue of farm-loan bonds it shall make application to the Federal Farm Loan Board for the approval on its behalf of such issue and tender to the registrar approved farm mortgages, or obligations of the United States Government, as security therefor, and no banks shall participate in such consolidated issue until such application has been approved by the Federal Farm Loan Board. Such approved farm mortgages or obligations of the United States Government shall be held by each farm-loan registrar as collateral security for consolidated bonds, separate and apart from the mortgages and/or Government bonds held by him as collective security for the bonds previously issued or assumed individually by the Federal land bank of his district. Amortization and other payments on the principal "Hear ye! Hear ye! Hear ye! All persons are comof first mortgages held a farm-loan registrar as collateral | manded to keep silence, on pain of imprisonment, while the security for the issue of consolidated farm-loan bonds shall | House of Representatives is exhibiting to the Senate of the constitute a trust fund in the hands of the Federal land bank receiving the same and shall be applied or employed in the manner provided in section 22 with respect to payments on principal of first mortgages held as collateral for farm-loan bonds of individual banks.

Every Federal land bank shall notify the farm-loan registrar of the disposition of all payments made on the principal of mortgages held as collateral security for the issue of

The Deputy Sergeant at Arms having made proclamation in the following words:

United States articles of impeachment against Harold Louderback, United States district judge for the northern district of California."

Mr. Sumners, as chairman, read the resolution received from the House of Representatives on February 28, 1933, appointing the managers to conduct the impeachment against the said Harold Louderback, and instructing them to appear before the Senate and demand his impeachment and trial.

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