The 



>. 



'I 



' 



luinois A^cultural Assodatm 



Published monthly by the Illinois Agricultural Association at 165 So. Main St., Spencer, Ind. Editorial Offices, 008 So. Dearborn St., Chicago, 111. 

 Application for transfer of second class entry from Marshall, 111., to Spencer, Ind., pending. Acceptance for mailing at special rate of postage pro- 

 vided in Section 412, Act of Feb. 28, 1925, authorized Oct. 27, 1925. Address all communications for publication to Editorial Offices, Illinois Agri- 

 cultural Association Record, 608 So. Dearborn St., Chicago. 



Number 11 



NOVEMBER, 1931 



Volume 9 



Set Up Corn Credit Machinery 



State Department of Agriculture Acts to Carry Out Grain Storage Act 



As we go to press, headquarters for 

 the National Corn Credit Cor- 

 portion are being established in the 

 Fisher Building, Chicago, and the neces- 

 sary machinery is being set up to make 

 loans to Illinois farmers on corn sealed 

 by the state in cribs on the farm. 



Harry Laird of Des Moines, Iowa, 

 was employed as general manager of the 

 Corporation at a meeting of the direc- 

 tors on November 5. Mr. Laird arrived 

 in Chicago November 9 to open head- 

 quarters for the Association and set ma- 

 chinery in motion to carry out the pro- 

 visions of the plan heretofore an- 

 nounced. 



Directors of the Corporation chosen 

 at the meeing on November 4 when in- 

 corporation papers were forwarded to 

 Springfield, include George S. Milnor, 

 president; Earl C. Smith, vice-president; 

 George A. Ranney (International Har- 

 vester Company) , secretary; C. E. Hufif, 

 John H. Hogan (Continental Illinois 

 Bank & Trust Company) , C. E. Hearst 

 of the Iowa Farm Bureau, and Mark 

 Woods, Nebraska farmer and banker. 



$2,300,000 Authorized ^ v 



The National Corn Credit Corpora- 

 tion has authorized capital stock of $2,- 

 500,000. It is incorporated under the 

 provisions of the Illinois Agricultural 

 Co-operative Act of 1923. 



The Federal Farm Board through the 

 Farmers National Grain Corporation has 

 set aside $500,000 for stock in the 

 Credit Corporation which will be im- 

 mediately available. This is being 

 matched by stock subscriptions from 

 the following: • . 



Continental Illinois Bank & Trust 

 Co., First National Bank, Central- 

 Republic Bank & Trust Co., Harris 

 Trust & Savings Bank, Northern Trust 

 Co., International Harvester Co., John 

 Deere and Co., Sears Roebuck & Co., 

 Montgomery Ward & Co., Armour & 



Co., Swift & Co., Cudahy Packing Co., 

 Wilson & Co., Quaker Oats Co., Stand- 

 ard Oil Co. of Indiana, and other in- 

 terests. 



Arrangements have been made with 

 the Federal Intermediate Credit Banks 

 of St. Louis and Omaha by which the 

 credit corporation will have available 

 through rediscount from eight to ten 

 million dollars for loans to producers 

 of corn. 



Latest word from Springfield indi- 

 cates that Stuart Pierson, State Director 

 of Agriculture, has been making prog- 

 ress toward organizing the necessary 

 machinery throughout the corn pro- 

 ducing counties to carry out the Illinois 

 Grain Storage Act. Committees to ad- 

 minister the Act under the supervision 

 of the State Department have been se- 

 lected in most of the principal corn- 

 producing counties. 



Coimty sealers at this writing are be- 

 ing appointed to inspect the cribbed 

 corn, measure it, and issue warehouse 

 certificates to the owner for use as col- 

 lateral in obtaining a loan through the 

 Credit Corporation. 



Loans Payable July 15 



Present plans provide that all loans 

 secured from the National Corn Credit 

 Corporation will be due and payable 

 July 15, 1932, although such loans may 

 be paid off at any time prior to that 

 date. Forms will be available at County 

 Farm Bureau offices as soon as they can 

 be prepared, printed, and delivered. All 

 applicants for loans must be owners of 

 the corn on which the loan is desired 

 and such corn must be free of liens, or 

 else waivers giving priority signed by 

 the lienholders must be given before it 

 will be accepted as collateral. 



The procedure for securing a loan, 

 according to plans developed to date, 

 will be as follows: The psospective bor- 

 rower will first make application at the 



County Farm Bureau office to have his 

 cribbed corn inspected, and if found in 

 satisjfactory condition, measured and ; 

 sealed by the local sealer. He will re- ,. 

 ceive a warehouse certificate setting 

 forth the amount of corn under seal. 

 It is contemplated that he will then 

 proceed to the local bank acting as 

 agent for the Corn Credit Corporation, 

 and fill out an application for a loan. 

 The prospective borrower will then sign » 

 a note for the amount of the loan and 

 attach the warehouse receipt as col- . 

 lateral. The local bank will transmit 

 these papers to the office of the National ^ 

 Corn Credit Corporation in Chicago 

 where the general manager will receive 

 the application and if found satisfactory 

 will advance the money. v. 



■ May Pay Off Loans 



The National Corn Credit Corpora- 

 tion under the agreement between the 

 borrower and said Corporation, will 

 have authority to designate the market- 

 ing agency through which the corn is 

 to be sold so long as the loan is un- 

 paid. , , 



The borrower may pay the loan off 

 at any time on or before July 15, 1932, 

 in which case he may sell the corn any- 

 where he pleases. 



Those interested may communicate 

 with the National Corn Credit Corp., 

 Room 708, F^her Bldg., Chicago. The 

 rate of interest on loans will not exceed 

 ^V2% unless the money market mate- 

 rially advances. It is contemplated that 

 loans will be made at from 6 5 to 75% 

 of the farm market value of the corn at 

 time of filing application. Indications 

 are that local banks will make many 

 loans direct, but if they do not desire 

 to make the loan direct, the application 

 accompanied by warehouse receipts 

 should be sent through local bank to 

 National Corn Credit Corp. 



