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SUGGESTIONS U^DE BY THE RESERVE BANKS
REGARDING PROCEDURE TO ACCOkPLIcaH IKIFOHiilTY IN CONDITIONS OF MEMBERSHIP
(Letter 12-17-/16)

Request:

"The Board would be glad to have any suggestions which you may
have concerning the procedure which should be followed in occoai
plishing tho desired uniformity in conditions of membership."

Mo suggestion made by:

NEVJ YORK
CL3VEL/JSD
ST. LOUIS
KANSAS CITY
Elimination of standard conditions
recommended by:

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BOSTON
RICHMOND (Amend statutes)
MIISKEAPCLIS

PHILADELPHIA:

DALLAS:

Review operations and conditions of each State member
bank subject to special conditions. Ascertain which
conditions should be retained. Proposal to substitute
standard conditions plus retained conditions should be
discussed with management by examiner at next examination. If bank favorable to proposal, the Reserve Bank
would transmit letter setting forth conditions acceptable in lieu of old conditions and new conditions would
become operative after proper action by directors.

Following analysis, Reserve Banks should submit to Board for
approval a list of banks subject to special conditions
which may be released upon acceptance of uniform standard
conditions.
Form of resolution should be drawn and approved for
effecting substitution.
Method of bringing matter before affected State
members left to discretion of Reserve Banks.

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SM JR/JSCI3C0: Of the 81 at ate member banks in the District:
26 operate under thi'ee standard conditions.
15 operate under thp?ee standard conditions
and twelve other conditions more or less
standard at one time.
40 operate under special conditions.
Believe careful review would indicate standard
conditions could Ue substituted without risk. Anticipate no difficulty in effecting substitution.

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