§ 54-53. Corporate powers.
§54‑53. Corporate powers.
Said land mortgage associationshall have power:
(1) To make loans, theconditions of which shall be approved by the Commissioner of Banks if thesecurity taken therefor is to be used as the basis for a bond issue undersubdivision (3) hereof, and to accept as security for any such loan a firstmortgage upon improved or partially improved agricultural lands within thisState. Such loan shall not exceed, however, sixty‑five percent (65%) ofthe value of such real estate so conveyed, according to the appraisal made asherein provided.
(2) To purchase firstmortgages, heretofore or hereafter issued against North Carolina agriculturallands, either improved or partially improved, from persons or firms resident ofthis State or corporations organized under the laws of this State engaged inthe colonization or settlement of North Carolina lands and to whom suchmortgages were issued, if, after investigation, the plan of settlement orcolonization followed by such person, firm or corporation is approved by theCommissioner of Agriculture as beneficial to the settler or colonist, and ifthe lands against which such mortgages are issued are found by the saidCommissioner to be in fact agricultural lands suitable for agriculturalpurposes and the terms and conditions of the loans made by such person, firm orcorporation are just and reasonable, or from banks or trust companies organizedunder the laws of this State, or of the United States, to do business in thisState, to which such mortgages were issued direct by the borrowers. Each suchmortgage shall be payable on the amortization plan maturing in not less than 20years. The request for an investigation leading to such a purchase of mortgagesfrom persons, firms or corporations engaged in the settlement or colonizationof North Carolina lands shall be accompanied by a deposit, the amount of suchdeposit to be determined by the Commissioner of Agriculture. Upon completion ofthe investigation the Commissioner of Agriculture shall render a statement ofexpense accompanied by a remittance of any unused balance of such deposit, butno mortgage shall be purchased until the lands against which the same is issuedhave been appraised as hereinafter provided for the appraisal of land for aloan by the land mortgage association and such mortgage is approved by allmembers of the loan committee.
(3) To issue bondssecured by the pledge of the mortgage so taken or purchased.
(4) To pledge the noteand mortgages so taken or purchased under the provisions of subdivisions (1)and (2) hereof as security for the bonds of the land mortgage associationreferred to in subdivision (3) hereof. (1925, c. 223, s. 5; 1931, c.243, s. 5.)