Evening Republican, Volume 22, Number 296, Rensselaer, Jasper County, 10 December 1919 — NOTED LAWYERS DEFEND FEDERAL FARM LOAN ACT [ARTICLE+ILLUSTRATION]

NOTED LAWYERS DEFEND FEDERAL FARM LOAN ACT

McAdoo, Hughes and Wickersham Appear in Kansas City Court as Champions of Land Banks, Which Have Given Farmers $300,000,000 at Low Interest Rates.

America's system of rural credits was upheld in the federal court in a suit which questioned the constitutionality of the law creating federal land banks and joint stock land banks. Charles E. Smith, a stockholder in the Kansas City Title and Trust company, brought suit to enjoin this.corporation from purchasing the bonds of these banks, contending that because these securities are exempt from .federal, state and local taxation, they were issued In violation of the Constitution of the United States and contending also that congress had no authority to create such banks. Judge Van Valkenburgh gave his decision immediately at the close of the arguments, holding that the law is constitutional. An appeal was taken and-the case will now go to the United States Supreme court for final decision. The validity of the farm loan act being thus attacked, the government of the United States, the federal land banks and the joint stock land banks became parties to the suit. Mr. McAdoo represented the government as assistant to the attorney general and also, together with George W. Wickersham, attorney general under President Taft, represented the joint stock land banks of which there are now 27. Former Justice of the Supreme court Charles E. Hughes represented the federal land banks.