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-t a sfecial meetinz of the Aderal C.el:crve :oard held in the of:IJe of the Jovernor on ,iednesd, June 1 at foAr p.m., 11 • ,c„retrar:. r. c1no qnvernor to - arpose of the stat(d that the 2 vni idcr- Lt. tc-Tnt • troller o: tie :,zrrency of Lhiz, .1%tc, tfie statee:It referred to Lein If ' JU"-- 14, 1917. fu Jirector of -a11isity, LIJ Of 1917. mic7. (-2he fo11ovinf st-tulert is :,abstar.tiLlly ;iven oat to sli)htly rt,vised, of a stLt(f-Tnt filch this aft:rnooL's 1:arerL). e: .june if, n17. ,id to,1 .y: The ,do:Ai)troller of the 'arm to -;.A.11-, ;ton fron 00r,i11; _re The reTorts o the testiLear coantry every sectioll of th L„n- E ,orlir.blc ad aLselfi 1. with are, ;:...rc . tc, both 7..;ation:a1 an1 to insare the caccess of the T,iborty "-t the time of the fivil .ar, throaL,h hearty coopoar Joverrrnent eration between the 1),,n.7, :„nd our to tai.cas eaal %moat .s able to place au banks all the of the tot1 resoires time. If it is the duty of every ,imerican citizen to subscribe according to his means to Liberty bonds, it Is an e,aally imperative duty of the banks to invest in .dberty Bonds, a reasonable proportion of their resources. The opinion has been e.:Tressed by leading bankers, and this Office concurs in that opinion, that the rational Banks of this country could reasonably and conservatively Libscribe, on their own account, at this time to Lib 4 - Bonds to the extent of six per cent of their to1 resources. If all the rational Lanks should do this, it would provide purchasers for about one billion dollars of bonds. If the Ftate Banks and Trust C,orrmanies should subscribe in the same proportion, -,-)re than another billion dollars would be fully ,- ,d; and, with the subscriptions of the people generally and other corporations, the bonds would be many times over-subscribed. Soon after the first of July, the National Banks of the country will be given an opportunity of showing the amount of Liberty Bonds which they shall have purciv.. .2.. for investment for their respective banks; and .1.,o the amount of Liberty Bonds which they may or may have agreed to car:: for customers. be carr:* need be concerned about tis ability to No Bank for ad- reimbursc itself from its ?ederal by It or Liberty Bonds. The Reserve Banks vances have all Iven notice that any member bank in good standing c n receive any reasonable accommodation y desire from its reserve bank zri%instwhich it Liberty Bc,Th or loans made on Liberty Boni: , at from three to thrLo and one-half per cent interest. ,After July first it is proposed to publish a list of the rational Banks whnse own subscriptions to Liberty Bonds shall :. --nant to five per cent or more of which thus shall have contheir total rev) tributed most prac:.7.!•.17 and effectively to the sucould any bank,, however, cess of the'zreat lo whose s.,:a)sorilAon ha_ :Lached the limit indicated pre%son, that its nam should not be pubfer, for any lished, its v.).es will be respected. It is earnestly hoped that this doll of 7onor 'All be a long one. Ij '.')e.ta sent Jor td byte point of view different fror iit ieofore Board. his r(- :....sons for ;.:,,(1-1i5 r. oat the st%ter,',ent in :dv:_nce to ohit,f n_tion-1 tn1, fie ret th%t it be sho,:n to '7ederu1 reservc az;ents. 7c Laid tr.L he h.--d also tele1a1-,hc0 to ,1c-,den..J_ reser7e thA the 1.....tter coo s - the ( , ber to .1;11(3 :.:,..ttentio.r. of .-.-„er.: scribed or hi,.d sqbscribed only in ern!1,et 2' 1 t 4;Aestion.'L - .hether the varioas 7cder:l to : reserve banT:..c laA or hA not esthblished a sper,31L1 raLe of discount on customers' paper secured by bonds, the acretary of the ;Board, on rekiaest,produced the file of commanitions on this subject. ...A this point a recess „"joarmed for t: 7:Ser: 7.1.71d the :.id- inforn.:.1 confefence in the office of the of the 77reL,s4ry. Upon reconvening, Mr. Mc-doo being present, discassion of the .situation • was parsued., and the secretary of the Treasury said that as a matter of fact the loan was already practically over subscribed, so that the Test13.1 rai fith reference to the policy of the Board and of the Comptroller, was really Of no practical importance. Mr. dilliams explained that the Federal reserve banks '1.d in fact estLIblished special rates of discount for customers' paper secured by bond Mr. Miller said that he thoufat the real question was ma in the fact that 1,!r. 7illiams' statement was a formulation of policy as to the holding of bonds by banks, which differed from the plan announced by the Board in its prestatenent. Mr. :;arburg called attention to various iffel.ences between the Board's policy as to -the bonds and the investment policy suggested by the (omptroller.. Mr. McAdoo said that he thought no real harm had been done, esmcially _ 4c, this late date, in the bond selling cjimpaign, .:;hen the pLns of the subscribing banks had pr,c;tically been made up. 7e agreed, however, that it was important the statement had not been shown to the Board in Avance, and expressed the view that there should be mutual 0 cr4 1'O - iouJrocp-: •v . : , GAIj. uoTqoui. uo DAao zloa . UOISSliiiSTC1.11 JO; -»1q1 -,;:o:- VJOIO -)Avtro3y-JO /;(1 IrpOt p=)4.2. --up oq 1I Yulnvirc 7 q -N1 *popoDU '? 1310yit j13 O °tn. pmJ::o .rarqa,-7, pTh pTO t3 3tG otiq •a: .oTA Jo quToJ JO :10U,7)J plrotic :., 3 /4:"[J-Irouani OU pun 41. 4 poromz 00r" 7. "." 11 .7.""T Ott CC-ail. u iu'o ov,.g (1.1.743IP uT 111/10 0111 :-77ui4r. pi)7J1, o ta ' .!..1puog tiqgTiq op o fpor(sTivls0;pq.piro..,..,.. 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