§ 902 T1 TLB 1:J.—»—BANI1'.S t and ("\`Cl`)’ j<>iut-stock land bank, shall somianmlally carry to 1 ree<~2·ve a<~ro1::1t 25 por coutmn of its Het oamimgs until eaid E reserve amount shall show a credit balance equal to 20 per- ('t‘lll.Ull`l of tlxe‘ou_tstaudin;;· capital stock of said land bank. \’\’l1es10ve·r said reserve S1l&ll·_llt1VG been impaired, said balance _ of 20 per cgntuzn shall be fully re.stored before any dividends 1 are plaid, . After said resexweg has ro:1cht·d the sum of{20 per I contmu of the outstanding capital stotik, per c0rltum,of.tht `€ not earnings shall be a11n`u:1lly added lherot0._ For the period I of two years ‘fl‘(!1l1 the date when uuyldofaixlt occurs in the * payment of the interest, {lll]&;lI'llZ21[l()1l_ installments, or principal '* on any first mortgage, by l}<»th 11101‘tg€1;;‘<»1‘ and indorsor, the amount so defaulted shall be carried to a suspense account, · and at the omlof the two-year period spevified, unless collected. 1 shall be klebiteei to reserve a`c<·oalnt. (July 17, 1916, c.· 245, I § 23, 39 Stat. 379.) _° . ‘ _ _ I 902. Dividends orybalance of net earnings; investment of ·‘ reserves.~——After deducting the 25_pe1·- coritum or the per ‘ centum lxereinbeifore directed to be deducted for credit to re- 1 serv; accomxt, any Federal land bank or jUl1lt'·S{OlIk land bank ~ may declare"‘a dividend to Shtll;(§llOl(,l€1'S of the whole or.a11y_ l part of the balance Yof its not earnings-. The reserves of land ‘ l,·ank's·ahall be inyostecl in·aeo0rdar1ce with rules and regu1a· j tions to be prest·ril>ed hy the Federal F arm `Loan Board. (July_ ‘ 17, 1916, c. 245, § 23, 39 Stat. 379.) L ~ RESERVE AND DIVIDENDS OF NATIONAL FARM LOAN , . ASSOCIATIONS 1 911. Reserves; am0unt.—>~Every—nation-al farm loan aSsocia· ° tion shall, out ot its net earnings, semiannually carry to re- _. serve account a sum not less than 10 per centuiu `otsueh net ‘ eamizxgs until said reserve accouq; shall show a credit balance J t equal ‘to 20 per centum of the outstanding capital stock of said ‘ association. (July 17, 1916, c. 245,5 39‘tStat._ 379.) W J 7 R912. Making good impairment ~0f reserve.——Wl1enew·er" the l reserve provided for in the preceding section shall have fbeen impaired, said credit balance of 20 per centum shall be hfully restored before any dividends are paid.` After said reserve has ` reached said sum of 20 per centum, 2 per-centu;11 of the net. earnln?gs shall be annually added thereto. (July 17, 1916, e. 245, § 24,.39 Stat. 379.) _ ‘ —' · i_ ; h “F 913. Dividends on balance of net ear¤ings.—·¥—After deducting d the 10 per cexitunm or the 2 lper ,ceutum'_hereinbefore directed to be credited to`_reserve account, said [association may, at its _ disoretion, declare a dividend to shareholders of the whole or any part _0i_.the balance of said net earnings. (July 17, 1916, e. 245,5 24, 39 Stat; 379.) ·V ~ ’ . 914. Investment of; reserves.-—The reserves · of farm. loan M associations shall be invested in. accordance with rules and ‘ regulations to be prescrlbed“b¥. the Federal. Farm-Loan Board, (July 17, 1916,1:. 245, 'I 24, 30 Stat, 379.) - _ . " ‘ 9l5. Disposition of reserve on ·liqnidatien.J—Wlxenever any farm loan association shall be voluntarily liquidated a‘·eum equal to its reserve account as herein required shall be paid d · to and heeome the property oi the Federal land bank in which — auch loan hesobialxon may be a shareholder. (July-17, l916,. c. 2}:5, § 24, 39 Stat. 379.) A - ‘ -. · ‘ _ _ DEFAULTED FARM LOAl§<S 921,. Notice to associations or agents of ddaalt under mort-, gage: making good.-—-It there shall defanlt under the terms of any inderaed Hrnt- mortgage held by a Federal land bank ,under the provisions of this chapter, the National Farm Iioan Association through which said mortgage was received by said ‘ Federal land bank shall be notlhed of mid default. Said nano- F ciatton may thereupon he required, within thirty days after auch notice, to make good such default, either by the payment of the amount unpaid/thereon` in cash-` or by the substitution of an equal aknount of Federal iarm loan honda, with- all un-
AND 13AN1{lNG 312 · m1tu1·€·<;l coupems attz2.c}1a·<l. (July 17, 1916, u. 245, § 25, 39 .;{m_ 280; Mar. 4, 1923, c-, 252, 'lfiue Ill, § 310, 42 Stat. 1477.) . EXl·3MPTI(>N FR<_§T>l\i TAXATION ·931. Land banks and loan associations; exemption from zaxaticm; gxcpptions; first mortgagesana bonds as instrumentulitics of Government.5-Es·cry Fcdeml land bunk am ryery natimml ffl1'111 10:111 associatiem, including {hc capital mel reserve or surplus fherpin and the..iuc0me derived tlmere>frx·n.¤, dmll bc exempt from Fcdcrulj State, mui1ic*ipa1l, sind local tam; lticm, ckcvpt taxes upon ruullebtutc held, pm·c:l1asc<l, (I1`.l“{ll·i(‘ll yy said ljank dr assdociatiou under 'the provisions of sect‘i··u [Gl and sc-2cti_0n 781 of this chixptcr. ’ First'm0rtgagcs c>i<>ce11t.·.1 to Federal land b8l}kS,'(!_1` t0·j0iut-stock land banks,-nucl farm man ·l’>ondsjiss110<1 under. the pnpyisiems of this chixpter, slum bcdpsemed ape] held t0` hc instrun1ex1mlitics of the GOYQl‘Xll]l(‘lzi nf the Fnitcd States, imd as such they and the income dvriw .1 thbrofrom shall be exempt from _Fpdéral,_Statc, 111m1icipaxl.·ml·l lqcul igixation. . (July 17, 1916, c. 245, § 26, 39 Stiit. 3S0.)` 932. Shares. in joint stock banksjhcluded in valuation `of personally for·Statc `taxation.—NotI1lug herein shall pwvem the shares in any jolnt-stock land bank fron; being include··l in {hc valuation of the personal property of the owner or lmlelw of suéh shares, irragscséiug taxes imposed by authority of uma State within `iiwhich the hankls located; but such aésessuwxlt and taxation shall be in` manner band`subjc·<:f"t0 thé c0m:'lit}m»sl and limitations contained in section 548 with réferénceto the shares of national banking associations. (July 17, 1916, c. 243. § 26, 39'Smt. 380.) , ` 933Q:Real property subject to taxation.4-—l#Iothing ·here_in shall be construed-to exempt the real property of Federal and joint-stock land banks and natiomgl fa.rm loan associations from 0itl1cr__.State, c0unt5¥,' .0`r m`uuic·ipal taxes, to the game exte-nf, according t0_its_ valuegas other will property- is taxedf (July 17, 1916, c. 235, § 26, 30 Stat. 380.) . ‘ ` A _1N\’ESTMENT—IN FARM LOAN BONDS, ` 941. Fiduciary and trust funds; security f¤~r phhlic dev p0sits;v—-·Farm loan bonds issued ulxdc1*_tlle‘provisians ot thischapter by Féderule land' banks 0°r_· j0i¤t·stqck' land _.b8l1kS shall be a lawful investment for all Hduciary and trust funds, {md méybe accepted as securltyfgr all pqbllé gieposits. (July 17, 1916, cs-245, § 27, 39 Stat. ‘ " _ ` 1942.. Buying and selling by meibelihnkn of Feécral ·rescrvc ¤y§temQ——Any member bank of the Federal reserve system may buy hud sell fdrmloan bonds iésued `umiar thé authority of this chapter. (July -17, 1916, c. 245, 5 27,89 Stat. 943. Buying and selling by reserve banks.--Any Federal reserve bunk may buy-and ‘sell·_§arm loari bonds issped under this'. clxwptcr to the same extent and subject to the séme li_n;itations placed upon the purchase and sale by said banks of State, county; district, aixd murxicipall bonds umlgr subsection lb) of scctloxi 355. (July 17, 1916, c. 245, { 27, 39. Stat. .380.) · - _`EXAMINATIONS 951; Land bank examiners; appointment; m1mbcr.——The — Federal Farm Loan Board shall nppqmt as many land bank examiners as in its judgment may béyrcquircd lo make carkrful éxslminuticns of the banks and associations pcrmittéd to do burincss under -this chapter. (Julj_17, 1916, c.‘°245,.$ 23, 39Stat.38Ql.) _ [ . ,_,' — $52. Pewers, duties, liabilities, and penaltieé; cxaminatjénsi re-ports.···—4-Land {mak examiners shgll be éubjecc lor the slimerequireménts, responsibilities Arid péhalties as are applicable to uktloual mak examlnem. Whénever dlreéted by the Federal Fprm Loan 'Bqarql, said examirxgers shall e1ramlneX‘the__c0nditi0r1 of any national firm loan. nssocigtlou and repqrt thdsnme tn the _,f~arm loan commissioner. 1 They shall examine . and _ report the condltlou of every Federal .ln¤g_Ahgr1k_and jqi¤t·gt0•;·k
