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At a regular meeting of the federal Reserve Board aeid in the office of the Board on 7ednesday, December 5, at eleven A. M., PEEZENT: Mr. Harding, presiding, Delano, Mr.:Tarburg, Mr. miller, Mr. Williams, Mr. Willis, Secretary. Mr. Hamlin, The minutes of the meeting of the Board held on December 3, wore read and, on motion, approved. Certain errors in press reports regarding the appointment of Yr. . I. Kent having been called to the attention of tne Board, it was, on motion, voted that the Governor be authorized to du whatever is nossible to secure a correct pubj.ication of the matter by the newspapers. A copy of the revised discount rate saeet, embodying all charges and recommendations made by the Board in the recent past, was presented and, on motion, the rates therein named were aplroved and ordered printed in the forthcoming issue of the Bulletin. A proposed form of trade acceptance submitted by Mr. Lewis E. Pierson of New iork, together with an oathion of Counsel regarding the same, were submitted and, on motion, referred to Committee No. 2. Letters and correspondence were thereupon submitted and acted upon as follows: Frem Mr. J. J. O'Brien regarding notes given nted and for the purpose of house construction; prese ordered filed. From Governor Seay of Richmond, relative to notes; the present cost of preparing Federal Reserve sted presented and discussed, and the Governor reiue Assistto hand the eorrespo det.ce in the matter to an', Secretary of the 1'rensur:7 J. H. Moyle. From lar. J. H. amith relative to war consered filed. vation of ca)ital; presented and order From Mr. L. B. 2ranklin asking for the use of the Assembly Room on December l for a meeting of Secretary authorLiberty Loan committees; read and thc have the use ized to Inform Mr. Franklin that he may of the room as requested. buildFrom Governor Rhoads relative to r, new noted. ing for the sank tt Philadel?hia; read and From Federal Reserve ',gent Hardy relative to ration paper; the eligibility of public service corpo the same aporoved. read and the Governor's reply to From Assistant Secretary of tne Treasury Leffingwell transmitting papers regarding the State taxation of nati nal ba- n;-s, read and referred to Committee No. 3. Governor Harding flaying stated that tno question of the stamp tax as applied to trade acceptances had been under discussion between Commissioner of Internal Revenue Roper nmd Mr. Harrison, discussion ensued, and t was, on moion, voted that it is the sense of the Board tnat Ur. Roper be informed tnat tho board would be ple.ased to have him ask for the exemption of trade acceptances from the stamp tax, unless such action, coupled. with the request for the exemption of member bank notes from taxation, would prejudice the chances of the latter proposal. Committee reports were presented and acted upon as follows: rrom Committee No. 1 recommending the temporary employment of nr. H. L. Heacock at 125 per month, effective today; approved. Outlining the oroposed policy to be pursued in charging off depreciation on furniture, fixtures, etc., prior to declaring dividends at Federal Reserve banks; approved and the report referred to the Executive Committee to dr-ft and transmit a letter to all Federal Reserve banks accordingly. From Committee ho. 2 recommending the grant of acceptance powers up to 100 of capital and sur- plus in favor of the First National Bank of Richmond; approved and the Secretary ordered to inform the applicant accordingly. Recommending the admission of the following nameu banks to the Federal Reserve system upon conditions specified in each case; approved and the banks admitted; Romeo Savings Bank, Romeo, Michigan, l'or 48 shares in the Federal Reserve Bank of Chicago. Highland Park state Bank, Highland Park, Mich., for BIO shares in the Federal Reserve Bank of Uhicao. Viles City Bank, Niles, Michigan, for 72 shares in the Federal Reserve Bank of Chicago. The Dime Savings Bank, Detroit, Michigan, for 1200 shares in the Federal reserve Bank of Chicago. Joliet Trust and Savings Ban, Joliet, Ill., for 75 shares in the Federal reserve Bank of Chicago, Truot Company ot' Georgia, Atlanta, Georgia, for 1200 shares in the Federal Reserve Bank of Atlanta. Charles Rive: Trust Company, Cambridge, Mass., for 250 shares in the Federal Reserve Bank of Chicago. First State Bank of Detroit, Detroit, Mich., for 390 shares in the Federal '2.eserve Bank of Chicago. Detroit Savings Bank, Detroit, Mich., for 900 shares in the Federal Eeserve Bank of Ohicat;o. The Rochester :;avinL:s Bank, Lochestt:r, Mich., for 36 shares in the Federall' . .esurve Ban'e, or Chicago. St. Anthony Pails Bank, Linneapoll'o, Minn., for 21( shares in the Federal Reserve Barn: of Minneapolis. From Committee ro. 2 recommending that the application of mi. E. T. Coman under the Clayton 1,ct and the Kern Lmendment thereto, De approved: granted. From the Committee on Cperation of the Federal Reserve Banl: of St. Louis commenting upon the Chief Examiner's report corcerning the condition of the St. Louis bank; read and noted. tipverl'or Hardin- )resent: business upon as fl1Ch vas acted follows: 41 statement that the United ;;.i.tats Treasurer has about .4'10,003,00J gold available for dep().sit with Tederai Reserve bank:,. 2‘fter discussior it was agreed that Jssistant - Secretary of the Treasury Leffingwell De asked to order such dejosits to be mode on n pro rata basis with the various banks, the Execuive Committee to indicate the plan of distribution. The Lecretry zas directed to report to the Governor in explanE,tion of a memorandum as to distribution, which had been tentatively submitted. A statement of conditions at the Federal Reserve Bar2r, of Atlanta as disclosed during the recent visit of examiners ct that place covering the conditions of organization and operation of the Bank and methods or work of the directors. The matter was discusse,, and, on motion, it was voted that the Governor visit the Atlanta Bank and attend the next meeting of directorE to De held on December 13, and ascertain the facts more fully. A statement concerning the plan of Federal Reserve Agent Ramsey to establish an acenc,: of tne Dallas Bank at El ?aso. The subject was discussed, but no action was taken. Papers and correspondence transmitted o-„, Lr. Strauss, relative to recent exchange negotiations with Lord Reading and others; referred to the Executive. A proposal from Federal Reserve Agent Hark, to appoint Mr. A. Ricnmond at Dudley Assistant YederP1 Reserve ;gent at 3,OUO per annum. The matte:- was discusse0, and, with tne informal recoLmendation of Committee ro. 1, the appointment was approved. A statement and letter from Federal :eserve Agent Hardy with reference to the appointment of an assistant auditor at Baltimore who would also tie assistant Federal Reserve agent; referrer to Committee Yo. 1, /4r. Hardy's letter to be returned to the Governor. A letter from Federal Reserve Lgent Hardy stating the condition of the American Trust Company or ChExlottee N. C., an apolicant for admission to the syste,:., was discussed and the documents referred to Committee ro. 3 with request thLt they be considered at a formal meeting ol7 the Committee at which Counsel should bJ present. Various matters relating to the forthcoming annual report. The subject was discusse, and members of tne board informtdly expressed their opinion with reference thereto. Mr. Miller submitted business as follows: A memorandum prepared by Chief Examiner Broderick relative to the question of clearing house examinations or the Pccific Coast. The memorandum was informally ap- proved, and Mr. miller was requested to telegraph Mr. Perrin the views of the Board. A statement with reference to the iuestion of credit expansior, touchea upon at the last meeting of the Board. The subject wcs informally discussed, and Mr. Miller submitted further statistical data to substantiate his oosition in the matter. The question of filling vacant directorships at Federal Reserve bani:s was briefly discussed, and special consideration was given to the question of reap:ninting Eedercl Reserve Agent Sawyer, but no action was taken. The problem of reports of menu:4er pan*Ks Lnd their frequency, was made a special order for tne meeting of Friday, December 7. On motion,, at 1 P. M. the hoard adjourned. APPIOVit1D: Secretary. Chairman
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