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paper issued, or purporting to have been issued,
by any such bank or association, knowing the same
to be falsely altered or spurious, shall be punished
by a fine of not exceeding $5,000 or by imprison-
ment not exceeding five years, or both. (July 17,
1916, c. 245, $ 31, 39 Stat. 382.)

$983

$ 31

Charging or receiving unauthorized fee or commission; disclosing names of borrowers.-Other than the usual salary or director's fee paid to any officer, director, or employee of a national farm loan association, a Federal land bank, or a joint stock land bank, and other than a reasonable fee paid by such association or bank to any officer, director, attorney, or employee for services rendered, no officer, director, attorney, or employee of an association or bank organized under this subchapter shall be a beneficiary of or receive, directly or indirectly, any fee, commission, gift, or other consideration for or in connection with any transaction or business of such association or bank. No land bank or national farm loan association organized under this subchapter shall charge or receive any fee, commission, bonus, gift, or other consideration not herein specifically authorized. No examiner, public or private, shall disclose the names of borrowers to other than the proper officers of a national farm loan association or land bank without first having obtained express permission in writing from the Land Bank Commissioner or from the board of directors of such association or bank, except when ordered to do so by a court of competent jurisdiction or by direction of the Congress of the United States, or of either House thereof, or any committee of Congress or of either House duly authorized. Any person violating any provision of this paragraph shall be punished by a fine of not exceeding $5,000 or by imprisonment not exceeding one year, or both. (July 17, 1916, c. 245, $ 31, 39 Stat. 382; June 16, 1933, c. 98, § 80 (a), 48 Stat. 273.)

§ 984

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Fraud and embezzlement.—Any person connected in any capacity with any national farm loan association, Federal land bank, or joint stock land bank, who embezzles, abstracts, or willfully misapplies any moneys, funds, or credits thereof, or who without authority from the directors draws any order, assigns any note, bond, draft, mortgage, judgment, or decree thereof, or who makes any false entry in any book, report, or statement of such

association or land bank with intent in either case
to defraud such institution or any other company,
body politic or corporate, or any individual person,
or to deceive any officer of a national farm loan
association or land bank or any agent appointed to
examine into the affairs of any such association or
bank, and every person who with like intent aids or
abets any officer, clerk, or agent in any violation of
this section, shall be punished by å fine of not
exceeding $5,000 or by imprisonment not exceeding
five years, or both. (July 17, 1916, c. 245, $ 31,
39 Stat. 382.)

$ 985

$ 31

False pretenses as to character of bonds or cou-
pons.-Any person who shall deceive, defraud, or
impose upon, or who shall attempt to deceive,
defraud, or impose upon, any person, firm, or cor-
poration by making any false pretense or repre-
sentation regarding the character, issue, security,
or terms of any farm loan bond, or coupon, issued
under the terms of this subchapter; or by falsely
pretending or representing that any farm loan
bond, or coupon, issued under the terms of this
subchapter by one class of land banks is a farm
loan bond, or coupon, issued by another class of
banks; or by falsely pretending or representing
that any farm loan bond, or coupon, issued under
the terms of this subchapter, or anything contained
in said farm loan bond, or coupon, is anything
other than, or different from, what it purports to be
on the face of said bond or coupon, shall be fined
not exceeding $500 or imprisoned not exceeding one
year, or both. (July 17, 1916, c. 245, § 31, 39
Stat, 382.)

The following acts constitute misdemeanors, and the
commission of any such acts subjects any person to fine
or imprisonment, under the provisions of an Act of May
24, 1926, which are included in $$ 583-588 of chapter 5
of this Title; for any bank, banking association, trust
company, corporation, association, firm, partnership,
or person not organized under the provisions of chapter
7 of this Title to advertise or represent that it makes
Federal farm loans or advertise or offer for sale as
Federal farm loan bonds any bond not issued under the
provisions of chapter 7 of this Title, or make any use of
the word “Federal” or the words “United States,
any other word or words implying governmental owner-
ship, obligation or supervision in advertising, or offering
for sale any bond, note, mortgage, or other security not
issued by the Government of the United States or under
the provisions of said chapter 7, or some other Act of
Congress.

or

Detection and arrest of violators. The Secretary of the Treasury is hereby authorized to direct and use the Secret Service Division of the Treasury Department to detect, arrest, and deliver into custody of the United States marshal having jurisdiction, any person or persons violating any of the provisions of sections 981–987. (July 17, 1916, c. 245, $ 31, 39 Stat. 382.)

§ 987

$ 31

False statements by mortgagee relating to sale of mortgage to Federal land bank; overvaluation of land securing such mortgage.-Any mortgagee who shall knowingly make any false statement in any paper, proposal, or letter, relating to the sale of any mortgage, to any Federal land bank under the provisions of section 781 of this chapter, as amended, or any appraiser provided for in this subchapter who shåll willfully overvalue any land securing such mortgage, shall be punished by a fine of not exceeding $5,000 or by imprisonment not exceeding one year, or both. (July 17, 1916, c. 245, $ 31, 39 Stat. 382, June 16, 1933, c. 98, $ 78, 48 Stat. 272.)

$ 991

$ 32

GOVERNMENT DEPOSITS IN LAND BANKS
Interest rate; security; maximum amount. The
Secretary of the Treasury is authorized, in his
discretion, upon the request of the Farm Credit
Administration, to make deposits for the temporary
use of any Federal land bank, out of any money
in the Treasury not otherwise appropriated. Such
Federal land bank shall issue to the Secretary of the
Treasury a certificate of indebtedness for any such
deposit, bearing a rate of interest not to exceed the
current rate charged for other Government deposits,
to be secured by farm loan bonds or other collateral,
to the satisfaction of the Secretary of the Treasury.
Any such certificate shall be redeemed and paid by
such land bank at the discretion of the Secretary of
the Treasury. The aggregate of all sums so
deposited by the Secretary of the Treasury shall
not exceed the sum of $6,000,000 at any one time.
(July 17, 1916, c. 245, $ 32, 39 Stat. 384; 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.

Federal land banks as depositories of public money, see $ 701 of this chapter.

$ 992

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Government guaranty of interest on qualified
Federal land bank bonds issued during limited
period; use of proceeds of such bonds; limitation
on aggregate amount of such bonds; payment of
interest by Government upon inability of issuing
bank; rights of Government after such payment.--
Until such time as the Land Bank Commissioner
determines that Federal farm loan bonds (other
than those issued under this paragraph) are
readily salable in the open market at a yield not
in excess of 4 per centum per annum, but in no
case more than two years after May 12, 1933, Federal
land banks may issue farm loan bonds as author,
ized under this subchapter, for the purpose of
making new loans, or for purchasing mortgages
or exchanging bonds for mortgages as provic
in paragraph "Second” of section 781 of this
chapter. The aggregate amount of the bonds
issued under this paragraph shall not exceed
$2,000,000,000, and such bonds shall be issued
in such denominations as the Land Bank Com-
missioner shall prescribe, shall bear interest at a
rate not in excess of 4 per centum per annum, and
shall be fully and unconditionally guaranteed as to
interest by the United States, and such guaranty
shall be expressed on the face thereof. In the
event that it shall appear to the Land Bank
Commissioner that the issuing bank or banks will
be unable to pay upon demand, when due, the
interest on any such bonds, the Secretary of the
Treasury shali, upon the request of the Com-
missioner, pay the amount thereof, which is
hereby authorized to be appropriated out of any
money in the Treasury not otherwise appropri-
ated. Upon the payment of such interest by the
Secretary of the Treasury the amount so paid
shall become an obligation to the United States
of the issuing bank or banks and shall bear interest
at the same rate as that borne by the bonds upon
which the interest has been so paid. After the
expiration of one year from May 12, 1933, if in
the opinion of the Land Bank Commissioner any
part of the proceeds of the bonds authorized to
be issued under this paragraph is not required
for the purpose of making new loans or for pur-
chasing mortgages or exchanging bonds for mort-
gages as herein provided, such bonds may be issued
within the maximum limit herein specified for
the purpose of refinancing any outstanding issues
of Federal farm loan bonds; but no such bonds
shall be issued after two years from May 12, 1933,
for the purpose of such refinancing. (July 17,

1916, c. 245, § 32, 39 Stat. 384; May 12, 1933,
c. 25, $ 21, 48 Stat. 41; June 16, 1933, c. 98, 9 80
(a), 48 Stat. 273.)

Limitation on issuance of bonds under this section, see $ 992a of this
chapter.

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$ 992a

Limitation of section 992.-After ninety days after January 31, 1934, no Federal land bank shåll issue any bonds under the provisions of section 992 of this Chapter, as amended, subject to the guarantee of interest on such bonds by the United States except for the purpose of refinancing any bond which is or has been issued subject to such guarantee of interest. (Jan. 31, 1934, c. 7, § 5, 48 Stat. 344.)

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$ 32

Bonds issued under section 992; delivery in payment of certain mortgages.-Any borrower who obtains a loan from a Federal land bank after May 12, 1933, may, at any time after the expiration of five years from the date such loan was made, tender to such bank on any regular installment date, bonds issued under this paragraph in an amount not to exceed the unpaid principal of his loan, and the bonds so tendered shall be accepted by the bank at par in payment of any part of such unpaid principal. (July 17, 1916, c. 245, $ 32, 39 Stat. 384; May 12, 1933, c. 25, $ 21, 48 Stat. 41.)

8 1011

§ 34

LIMITATION OF COURT DECISIONS Limitation of court decisions respecting validity of provisions.-If any clause, sentence, paragraph, or part of this subchapter or of subchapter III hereof shall for any reason be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair, or invalidate the remainder of said subchapters, but shall be confined in its operation to the clause, sentence, paragraph, or part thereof directly involved in the controversy in which such judgment shall have been rendered. (July 17, 1916, c. 245, $ 34, 39 Stat. 384; Mar. 4, 1923, c. 252, § 2, 42 Stat. 1454.)

$ 1012

$ 35

AMENDMENTS TO CHAPTER Reservation of right to amend.—The right to amend, alter, or repeal this subchapter or subchapter III of this chapter is hereby expressly reserved. (July 17, 1916, c. 245, $ 35, 39 Stat. 384; Mar. 4, 1923, c. 252, § 2, 42 Stat. 1454.)

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