The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
At the mooting of the Federal Reserve Board held in the office of the Board on ";:ednesday, October 29, 1919, at 11 " PEEET: The Governer 3trauss Mr. Miller Hamlin Mr. 7iliiams 1.1r. Chapman, secretary. Business was presented and disposed of as follows: The Governor stated that he was in receipt of a communioation from Mr. J.'.;.Wannamaker, criticilng circular letter TIo, 91 of the Federal Reserve Ban": of Richmond relating to loans on cotton, and submitted for approval, draft of reply by him under date of October 29th, as follows: "Your letter 27th received today. Circular of Richmond bunk meets with a2proval of Federal Reserve Board. I think policy outlined is sound and it is in accord with letter and spirit of Federal Reserve Act. Can see no occasion for any bitter feeling in the matter and am prepared to stand by policy adopted, which I believe to be in real interest of cotton producers themselves and absolutely essential in the present circumstances. As you know, I am anxious for cotton producers to -secure every reasonable facility 'hich banks may safely extend them and am amdous that Federal Reserve banks aid member banks to market cotton in orderly manner, but I cannot consent to perversion of the Act and abuse of discount facilities, which would have most unfortunate effect upon general financial and economic situation." Approved unanimously. The Governor stated that the special order business for the meeting was the consideration of the question of whether or not to establish an additional branch of the Federal Reserve Bank of Kansas City in the southwestern portion of the 10th District. 3traucs moved that the following resolution be tab: for consideration at the not meetinguf the Board at the '.3earetary of tnEl Treasury shall be present: "The Federal huserve Board has considered the briefs und oral arguments presented by the respective petitioners in the matter of the establishment of a branch Fes.eral Reserve bank in the southwestern portion of the Tenth Federal ::eserve District by the Federal Reserve Bank of Yansas City, and has reached the fellowins' conclusions: "1. The present facilities for rediscount operations are ample. It is the.op inion of trio Board, however, that a branch with liitud powers in the matter of rediscounts, the activities of which should be levoted mainly to the forwarding and receipt of currency and to transmit operations, would be a convenience to the member banks and the public in the territory served by the branch and would increase the efficieroy of the transit system. In viov, of the technical nature of transit operations, the Board desires the opinion of the directors of the Federal Reserve Bank of Kansas Dity as to the proper location of such a branch bank, together with data on thich that opinion is based." The qavornor reported the purchase of special Z.:; certi:icates of indebtedness of the United ';tates for deposit ith the Comptroller of the Currency as collateral for Federal 7,:erve bank notes, as follows: For'Federal Reserve Bank of: Lew xerh, Richwend, Date Oct.23d It Cct.L:th ;proved. 41mount 3o0,su,) 130,000 7'67 -'The Governor reported rediscount'transactions, pursuant to authority heretofore vested in him; member bunk promissory notes secured by Government obligations; rate 4;!, on paper secured by certificates, of indebtedness and 4 on paper se- cured by Liberty bonds and Victory notes, as follows; Late Bank Eediscounting ith Cot.23d Philadelphia Dallas Philadelphia Chicago Chicago Chicago uct.-7th ount ,,'y'5,000,000 2,000,000 8,000,000 Maturities 11-15 days It Noted. The Governor reported the reserve positions of the 2ederl Reserve bunks as at close of business October -7th, and the status of redisceunts between Federal Reserve banks as of the same date. Letter dated Octeber 6th from the Chairman of the ''ederal Reserve Bark of Dallis, recommending payment of bonuses to employees of that Bank.. Ordered tabled for consideration %then the general question of bonuses is presented to the Board. Letter dated October 6th from the Chairman of the Federal Reserve Bank of Dallas, recommending increase An rate on 15 day paper secured by United :tates certificates of Indebt edness. -4Ordered tabled pending consideration of the' 17enera1 (luestion of discount rates. Lemorandum of the ',.,ecretary dated Cotober .:3d, recommending aplJroval of a:i21i3ation of the Liberty National Bank of Nev. york for permission to invest ,303,,..;00 in stock of the Foreign Credit Corporation of Now York City. Lpproved. The Governor stated that Deputy Governor Treman of the Federal Reserve Bank of New York had requested him by telephone this morning to ascertain whether or not the Board would authorize payment of bonus to employees of the Federal Reserve Bank of Yew York for the quarter endino. Juptember 30, 1919, on the follo'Aing baois: 25 Salaries up to 1.,500 per annum, .3,600.-205 Salaries over :.1.,500 per annum up to salaries over ;3,00 up to it-4,600 per annum, 15; 6alaries over 44,000 up to :5,000 per annum 10 Vo bonus to be paid to employees receiving salaries in excess of ;5,U00 per annum. Voted that the Governor advise the Federal Reserve Bank. of New York that the Board would approve the payment of such bonus. A2plicationo of the following banks for permission to accept drafts and bills of exchange up to 1u0'; of their capital and surplus under the provisions of'.;ection 13 of the Federal Reserve Act: Utica Trust & Deposit Co., Utica, N.Y. First National Bank, Gainesville, Texas. Approved. 7rt'9 -5Application of the Commerce Bank and Trust Company of Charlottesville, Virginia, for membership in the Federal Reserve System. Referred to Executive Committee with pmer. RE2ORTS OF CC=ITT:LE EO. 1: Dated October 29th recommending admission of State institutions as set forth in the auxiliary minute book as of this date, subject to the conditions stated in the individual reports attached to each application. Approved. Dated October 29th,recommending action on applications for fiduciary powers as set forth in the auxiliary winute book as of this date. Approved. Dated October 29th,(3 reports) recommending. changes in stock at Federal Reserve banks as set forth in the auxiliary minute book as of this date. Approved. Dated October 29th,recommending approval of application of Reuel D. Robbins, Jr. for permission to serve at the same time as a director of the Lnglo & London Paris National Balfic., and the Humboldt Savings Bank, both of San Francisco, Cal. Approved. Dated October 29th, recommending approval of application of Frederick S. Chase for permission to serve at the same time as a director of the Citizens National Bank, Waterbury, Conn., and the Union and New Haven Trust Company, New Haven, Conn. Approved. Dated October 23d, recommending increases in salaries of audit clerks at the Federal Reserve bank 770 --6of Philadelphia: J. Meehan, G.'::.Nrea:ner, Jr., )proved. From _ ;1,38y Dated October L:3d, recommending appointment of Miss Florence Spencer as Chief of the, omer's Division Of the Government Loan Organization of the Federal Reserve Bank of rev. York, at ..,;;.:5,000 per annum. Approved. Dated October 23d, recommending a2pointment of B. M. Grant as Manager of the Government ,3ecurities Sales Department of the Federal Reserve Bank of New york, at $5,0O0 per annum. .proved. Dated October 26th,recommendin6 appointment of 25 additional money counters to be assigned to the National Bank Redemption _Agency at a salary each of .1,04U per annum. Approved. Dated October 28th, commending reappointment of Mrs. Genevieve C. Meacham as Key Punch Operator in the Division of Reports and Statistics at a salary of :1,2U0 per annum, plus bonus of :;10 per month, effective November 16, 1919. Approved. Dated October '.:8th,recommendin6' that Carlyle Johnson, Liessenger on the Board's staff, be granted additional credit for six days of sick leave with pay. Approved. Dated October 28th,recommending salaries for recently appointed National Bank Examiners as follows: K. ' harry B. Harvuy i6pcsed of tc v; fol10, ; frss,. m tho '.,1an,1 Trust Lotter . dra',.. fruLl tho :innoLota, . ,;11,uvu&tin6 . that it In vitof it ausurvo- ubility to control mutaeda by which its ith- ir,,- is offered for 5:..1e. Referred to Zxeoutive C:irmitte poter: ziubmitted zn digu of th.0ripzi o 0..immiion billa, of the.. Lldrich with thu Jth 3=— 7.uurv6 4ct lteiard :..ufJrred tu - Ivo datud Cotubur :obth, and Lu.,',oarch, for by tho the of !T:v6tif-7....tion of tho o' ,*4'udufal huc-,rvo bunk6, - rrdu2od cir.:;-71at.Jd.
@FedFRASER