The CHAIRMAN. I will appoint the ranking Democrats, Mr. Brand and Mr. Stevenson, and the ranking Republicans, Mr. McFadden and Mr. Strong. Mr. GOODWIN. Mr. Chairman, may I ask permission to have two telegrams I received inserted into the record? The CHAIRMAN. Yes; I am sure there will be no objection. (The telegrams are as follows:) Hon. Godfrey G. Goodwin, Member of Congress. I strongly urge on behalf of the farmers of this State that the proposed amendment drafted by the attorney general of this State of the reconstruction. finance corporation act be adopted, so that the rural credit department of this and other States may participate in the benefits of this act with industry and finance. FLOYD B. OLSON, Governor of Minnesota. Congressman Godfrey G. GOODWIN, House Office Building: Following amendments to reconstruction finance corporation bill, House bill 5060, drafted by Attorney General Benson, as required, and sufficient to permit Minnesota Rural Credit Bureau obtaining low-interest loan from Federal Government to permit refinancing and lowering interest rates to 10,000 Minnesota farmer borrowers: Amendment 1. Amend H. R. 5060 by inserting immediately following the comma, after the word "determined," in line 10, on page 5 of the printed bill. the following: "to any State for use in operating a system of rural creditestablished and maintained by it." Amendment 2. Further amend said printed bill by striking out the period at the end of line 16 on page 5 of said printed bill and inserting in lieu thereof a semicolon and adding the following: "Provided. That loans to a State may be made upon the bonds thereof pledging the full faith and credit of such State." Amendment 8. Further amend said printed bill by inserting a comma after the word "loan." in line 25 on page 5, and adding the following: “except loans to a State." Amendment 4. Further amend said printed bill by adding a new sentence Immediately following the period in line 19 on page 6, reading as follows: For the purpose of consummating a loan to a State the corporation may submit a bid for the purchase of the bonds thereof where the law of such State requires such bonds to be sold upon competitive bids." Unless these amendments are made, finance corporation regarded by people of Minnesota as of no value to farmers who are suffering most acutely of all from present economic depression, and credit situation State has been forced to foreclose on more than 2,800 farms because borrowers can not meet interest, and taxes relief must be provided if farmers now holding loans, num. bering more than 10,000, can have their interest rate lowered materially will substantially help them to retain their farms. This can be done if State rural credit bureaus can obtain loans from Federal Government at low rates through finance corporation bill provides such credit for banks, insurance com panies, and other private credit corporations, why not for the farmers rural credit bureau bonds in Minnesota, and also in other States are backed not only farm land but by the resources and credit of the States themselves, surely they should be given same right as private corporations gind furnish any further data. MINNESOTA RURAL CREDIT BUREAU. (Whereupon the committee adjourned.) LIBERALIZING THE CREDIT FACILITIES OF THE FEDERAL RESERVE SYSTEM HEARINGS BEFORE THE COMMITTEE ON BANKING AND CURRENCY HOUSE OF REPRESENTATIVES SEVENTY-SECOND CONGRESS FIRST SESSION ON H. R. 9203 A BILL TO LIBERALIZE THE CREDIT FACILITIES FEBRUARY 12, 1932 UNITED STATES WASHINGTON: 1932 The CHAIRMAN. I will appoint the ranking Democrats, Mr. Brand and Mr. Stevenson, and the ranking Republicans, Mr. McFadden and Mr. Strong. Mr. GOODWIN. Mr. Chairman, may I ask permission to have two telegrams I received inserted into the record? The CHAIRMAN. Yes; I am sure there will be no objection. (The telegrams are as follows:) Hon. GODFREY G. GOODWIN, Member of Congress. I strongly urge on behalf of the farmers of this State that the proposed amendment drafted by the attorney general of this State of the reconstruction finance corporation act be adopted, so that the rural credit department of this and other States may participate in the benefits of this act with industry and finance. FLOYD B. OLSON. Governor of Minnesota. Congressman GODFREY G. GOODWIN, House Office Building: Following amendments to reconstruction finance corporation bill. House bill 5060, drafted by Attorney General Benson, as required, and sufficient to permit Minnesota Rural Credit Bureau obtaining low-interest loan from Federal Government to permit refinancing and lowering interest rates to 10,000 Minnesota farmer borrowers: Amendment 1. Amend H. R. 5060 by inserting immediately following the comma, after the word "determined," in line 10, on page 5 of the printed bill, the following: "to any State for use in operating a system of rural credits established and maintained by it." Amendment 2. Further amend said printed bill by striking out the period at the end of line 16 on page 5 of said printed bill and inserting in lieu thereof a semicolon and adding the following: "Provided, That loans to a State may be made upon the bonds thereof pledging the full faith and credit of such State." Amendment 3. Further amend said printed bill by inserting a comma after the word "loan." in line 25 on page 5, and adding the following: "except loans to a State." Amendment 4. Further amend said printed bill by adding a new sentence immediately following the period in line 19 on page 6, reading as follows: For the purpose of consummating a loan to a State the corporation may submit a bid for the purchase of the bonds thereof where the law of such State requires such bonds to be sold upon competitive bids." Unless these amendments are made, finance corporation regarded by people of Minnesota as of no value to farmers who are suffering most acutely of all from present economic depression, and credit situation State has been forced to foreclose on more than 2,800 farms because borrowers can not meet interest, and taxes relief must be provided if farmers now holding loans, numbering more than 10,000, can have their interest rate lowered materially will substantially help them to retain their farms. This can be done if State rural credit bureaus can obtain loans from Federal Government at low rates through finance corporation bill provides such credit for banks, insurance com panies, and other private credit corporations, why not for the farmers rural credit bureau bonds in Minnesota, and also in other States are backed not only farm land but by the resources and credit of the States themselves, surely they should be given same right as private corporations glad furnish any further data. MINNESOTA RURAL CREDIT BUREAU. (Whereupon the committee adjourned.) LIBERALIZING THE CREDIT FACILITIES OF THE FEDERAL RESERVE SYSTEM HEARINGS BEFORE THE COMMITTEE ON BANKING AND CURRENCY HOUSE OF REPRESENTATIVES SEVENTY-SECOND CONGRESS FIRST SESSION ON H. R. 9203 A BILL TO LIBERALIZE THE CREDIT FACILITIES FEBRUARY 12, 1932 UNITED STATES WASHINGTON: 1932 The CHAIRMAN. I will appoint the ranking Democrats. Mr. Brand and Mr. Stevenson, and the ranking Republicans, Mr. McFadden and Mr. Strong. Mr. GOODWIN. Mr. Chairman, may I ask permission to have two telegrams I received inserted into the record? The CHAIRMAN. Yes; I am sure there will be no objection. (The telegrams are as follows:) Hon. GODFREY G. GOODWIN, Member of Congress. I strongly urge on behalf of the farmers of this State that the proposed amendment drafted by the attorney general of this State of the reconstruction finance corporation act be adopted, so that the rural credit department of this and other States may participate in the benefits of this act with industry and finance. FLOYD B. OLSON, Governor of Minnesota. Congressman GODFREY G. GOODWIN, House Office Building: Following amendments to reconstruction finance corporation bill. House bill 5060, drafted by Attorney General Benson, as required, and sufficient to permit Minnesota Rural Credit Bureau obtaining low-interest loan from Federal Government to permit refinancing and lowering interest rates to 10.000 Minnesota farmer borrowers: Amendment 1. Amend H. R. 5060 by inserting immediately following the comma, after the word "determined," in line 10, on page 5 of the printed bill, the following: "to any State for use in operating a system of rural credits established and maintained by it." Amendment 2. Further amend said printed bill by striking out the period at the end of line 16 on page 5 of said printed bill and inserting in lieu thereof a semicolon and adding the following: "Provided, That loans to a State may be made upon the bonds thereof pledging the full faith and credit of such State." Amendment 3. Further amend said printed bill by inserting a comma after the word "loan." in line 25 on page 5, and adding the following: “except loans to a State." Amendment 4. Further amend said printed bill by adding a new sentence immediately following the period in line 19 on page 6, reading as follows: For the purpose of consummating a loan to a State the corporation may submit a bid for the purchase of the bonds thereof where the law of such State requires such bonds to be sold upon competitive bids." Unless these amendments are made, finance corporation regarded by people of Minnesota as of no value to farmers who are suffering most acutely of all from present economic depression, and credit situation State has been forced to foreclose on more than 2,800 farms because borrowers can not meet interest, and taxes relief must be provided if farmers now holding loans, numbering more than 10,000, can have their interest rate lowered materially will substantially help them to retain their farms. This can be done if State rural credit bureaus can obtain loans from Federal Government at low rates through finance corporation bill provides such credit for banks, insurance com panies, and other private credit corporations, why not for the farmers rural credit bureau bonds in Minnesota, and also in other States are backed not only farm land but by the resources and credit of the States themselves, surely they should be given same right as private corporations glad furnish any further data. MINNESOTA RURAL CREDIT BUREAU. (Whereupon the committee adjourned.) |