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Federal Aid to Be Barred from Housing Projects Stipulating Restrictive Covenants

The Federal Housing Authority and the Veterans Administration will not guarantee loans on property for housing placed under racial or religiols restrictions by recorded covenants after Feb. 15, 1950, it was announced here over the week-end. The announcement constitutes implementation of the recently announced anti-discrimination policy in Federal-aided housing. The new rules apply to all types of loan insurance granted by the government.