§ 824 That during the period of postponement of foreclosure such banks shall charge the mortgagor interest at a rate not exceeding 4 per centum per annum on the aggregate amount of such delinquent taxes and defaulted interest and principal with respect to which loans are made pursuant to this section. The amount loaned to any joint stock land bank under this section shall be made without reappraisal: Provided, That the amount loaned with respect to any mortgage on account of unpaid principal shall not exceed 5 per centum of the total unpaid principal of such mortgage, and the total amount loaned to any such land bank with respect to any mortgage shall not exceed 25 per centum of the total unpaid principal of such mortgage. (b) No such loan shall be made with respect to any mortgage unless the Land Bank Commissioner is satisfied that the mortgagor, after exercising ordinary diligence to pay nis accrued delinquent taxes, and meet accrued interest and principal payments, has defaulted thereon; and unless the bank shall have agreed to the satisfaction of the Land Bank Commissioner that during the period of postponement the bank will not foreclose such mortgage unless the property covered thereby is abandoned by the mortgagor or unless in the opinion of the Land Bank Commissioner such foreclosure is necessary for other reasons. (c) Each such loan shall be secured by an assignment to the Land Bank Commissioner of the lien of the taxes and/or of the bank's mortgage with respect to which the loan is made: Provided, That the part of each such lien so assigned representing the interest and principal due and unpaid in any such mortgage which has been assigned to the farm loan registrar shall be subordinate to the existing lien of the bank for the balance of the indebtedness then or thereafter to become due under the terms of such mortgage; but the Land Bank Commissioner may require the bank to furnish additional collateral as security for such loan, if such collateral is available to the bank. (d) The Land Bank Commissioner is authorized to make such rules and regulations as may be necessary to carry out the purposes of this section and to make the relief contemplated immediately available. (May 12, 1933, c. 25, § 31, 48 Stat. 47; June 16, 1933, c. 98, § 80 (a), 48 Stat. 273; June 3. 1935, c. 164, § 17 (a), (b), 49 Stat. 318; Aug. 19, 1937, c. 704, § 3, 50 Stat. 703.) "Farm Credit Administration" mentioned above was substituted for "Federal Farm Loan Board" pursuant to the Executive Order cited thereto, which is set out in full at the beginning of this chapter. Insolvency; receivership; acquisition of assets by other banks; loans by acquiring bank in additional States. In any case where a joint stock land bank has been, or may be, declared insolvent and placed in the hands of a receiver by the Farm Credit Administration, any Federal land bank or joint stock land bank may, in the manner as may be prescribed by the Farm Credit Administration and with the approval of the Farm Credit Administration, acquire the assets and assume the liabilities of said joint stock land bank in the hands of a receiver. Any joint stock land bank which has acquired or may hereafter acquire the assets and § 16 which has assumed or may hereafter assume the "Farm Credit Administration" mentioned in the text was sub- Making loans or issuing tax-exempt bonds prohibited after May 12, 1933, except in circumstances permitted under § 810 of this title. See that section. For receivers of joint stock land banks, see also § 963 of this title. § 831 POWERS OF FARM CREDIT ADMINISTRATION Enumeration. The Farm Credit Administration shall have power (a) Organizing and chartering banks and loan associations; authorizing increase of stock.-To organize and charter Federal land banks, and to charter national farm loan associations and joint stock land banks subject to the provisions of this subchapter, and in its discretion to authorize them to increase their capital stock. (b) Reviewing and altering interest rates.-To review and alter at its discretion the rate of interest to be charged by Federal land banks for loans made by them under the provisions of this subchapter, said rates to be uniform so far as practicable. (c) Granting or refusing authority to issue bonds. To grant or refuse to Federal land banks, or joint stock land banks, authority to make any specific issue of farm loan bonds. (d) Making rules and regulations as to charges on loans. To make rules and regulations respecting 8 17 8831 the charges made to borrowers on loans under this (e) Requiring reports, etc.; examining banks and (f) Prescribing form and terms of bonds and surety bonds. To prescribe the form and terms of farm loan bonds, and the form, terms, and penal sums of all surety bonds required under this subchapter and of such other surety bonds as they shall deem necessary, such surety bonds to cover financial loss as well as faithful performance of duty. (g) Regulating payments between banks.-To require Federal land banks to pay forthwith to any Federal land bank their equitable proportion of any sums advanced by said land bank to pay the coupons of any other land bank, basing said required payments on the amount of farm loan bonds issued by each land bank and actually outstanding at the time of such requirement. (h) Suspending or removal of directors, registrars, appraisers, and examiners. To suspend or to remove for cause any district director or director at large, or any registrar, appraiser, examiner, or other official appointed by the Farm Credit Administration under authority of sections 651-664 of this title, as amended, the cause of such suspension or removal to be communicated forthwith in writing by said Administration to the person suspended or removed, and in case of a district director or director at large to the proper Federal land bank, Federal intermediate credit bank, production credit corporation and regional bank for cooperatives. over (i) Exercising supervisory authority (j) Incidental powers. To exercise such inci- Authorization to make rules and regulations, see § 665 of this title. "Farm Credit Administration" and "administration" mentioned in the text were substituted for "Federal Farm Loan Board" and "board," respectively, pursuant to the Executive Order cited thereto, which is set out in full at the beginning of this chapter. § 17 § 841 APPLICATIONS FOR FARM LOAN BONDS Application; to whom made; collateral security; schedule. Any Federal land bank, or joint stock land bank, which shall have voted to issue farm loan bonds under this chapter, shall make written application to the Farm Credit Administration, through the farm loan registrar of the district, for approval of such issue. With said application said land bank shall tender to said farm loan registrar as collateral security first mortgages on farm lands qualified under the provisions of sections 771, 801– 808, or 811-824 of this title [sections 12, 15, or 16 of the Federal Farm Loan Act, as amended], or United States Government bonds, not less in aggregate amount than the sum of the bonds proposed to be issued. Said bank shall furnish with such mortgages a schedule containing a description thereof and such further information as may be prescribed by the Farm Credit Administration. (July 17, 1916, c. 245, § 18, 39 Stat. 375; Mar. 27, 1933, Ex. Or. 6084.) Joint stock land banks prohibited from issuing tax-exempt bonds after May 12, 1933, except in circumstances permitted under 810 of this title. "Farm Credit Administration" mentioned in the text was substituted for "Federal Farm Loan Board" pursuant to the Executive Order cited thereto, which is set out in full at the beginning of this chapter. § 18 8 842 Verification of schedule; investigation and appraisal of securities tendered; decision as to application. Upon receipt of the application provided for in section 841 of this title said farm loan registrar shall verify the schedule also provided for in said section and shall transmit said application and said schedule to the Farm Credit Administration, giving such further information pertaining thereto as he may possess. The Farm Credit Administration shall forthwith cause to be made such investigation and appraisement of the securities tendered as it shall deem wise, and it shall grant in whole or in part, or reject entirely, such application. (July 17, 1916, c. 245, § 18, 39 Stat. 375; Mar. 27, 1933, Ex. Or. 6084.) "Farm Credit Administration" mentioned in the text was substituted for "Federal Farm Loan Board" pursuant to the Executive Order cited thereto, which is set out in full at the beginning of this chapter. 8 18 8843 Transmission of decisions to land bank and registrar; information to be furnished by registrar. The Farm Credit Administration shall 8 18 promptly transmit its decision as to any issue of "Farm Credit Administration" mentioned in the text was sub- 8 844 8851 Written approval of issue requisite.-No issue of farm loan bonds shall be authorized unless the Farm Credit Administration shall approve such issue in writing. (July 17, 1916, c. 245, § 18, 39 Stat. 375; Mar. 27, 1933, Ex. Or. 6084.) "Farm Credit Administration" mentioned in the text was substituted for "Federal Farm Loan Board" pursuant to the Executive Order cited thereto, which is set out in full at the beginning of this chapter. ISSUE OF FARM LOAN BONDS Duties of registrar on approval of bond issue. Whenever any farm loan registrar shall receive from the Farm Credit Administration notice that it has approved any issue of farm loan bonds under the provisions of sections 841-844, he shall forthwith take such steps as may be necessary, in accordance with the provisions of this chapter, to insure the prompt execution of said bonds and the delivery of the same to the land bank applying therefor. (July 17, 1916, c. 245, § 19, 39 Stat. 376; Mar. 27, 1933, Ex. Or. 6084.) "Farm Credit Administration" mentioned in the text was substituted for "Federal Farm Loan Board" pursuant to the Executive Order cited thereto, which is set out in full at the beginning of this chapter. 818 8 19 § 852 Rejection of application; return of collateral security. Whenever the Farm Credit Administration shall reject entirely any application for an issue of farm loan bonds, the first mortgages and bonds tendered to the farm loan registrar as collateral security therefor shall be forthwith returned to said land bank by him. (July 17, 1916, c. 245, § 19, 39 Stat. 376; Mar. 27, 1933, Ex. Or. 6084.) "Farm Credit Administration" mentioned in the text was substituted for "Federal Farm Loan Board" pursuant to the Execu tive Order cited thereto, which is set out in full at the beginning of this chapter. § 19 |