Full text of Mimeograph Letters and Statements of the Board : Letter From Secretary Eddy re Revision of Regulations re Directors of Branch Federal Reserve Banks, Number X-4516, Volume 24, Page 123

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

123

federal reserve board
WASHINGTON
address official correspondence t o
the federal reserve board

X-4516
January 29, 1926,

SUBJECT:

Dear

r
b
a
a

R e v i s i o n

of R e g u l a t i o n s re D i r e c t o r s
Federal Reserve Banks.

of

Branch

Sir:

e g u l a t
ranch
ry 1,
s to r

The Fe
i o n s with
Federal r
1925 (see
ead as f o

deral Reserve
r e s p e c t to th
e s e r v e "banks,
Board's l e t t e
l l o w s :

Board has ame
e appointment
w h i c h "became
r X-3956, Jan

1st. Boards of D i r e c t o r s
Banks shall c o n s i s t e i t h e r of
m e m b e r s , a s m a y "be d e t e r m i n e d
of the d i s t r i c t concerned, su
Federal Reserve Board.
Where
Federal Reserve Branch Banks
s h a l l be appointed by the Fed
by the Federal Reserve Board;
f i v e members, three s h a l l be
R e s e r v e Banks and two by the

c
i
s
c
i
t

2nd. Th
hosen from
n b a n k i n g
erve Board
haracter a
ndustry or
i c a b l e .

a
b
a
c

n
u
n
i

3rd.
d s h a l
t at l
d one
t y in

l
e
a
w

e

D i
t h e
and
s h a
nd s
com

All
r e s
a s t
ppoi
hich

r e c t
ran
the
l l b
tand
merc

D i r
i d e
one
nte
th

e c t
w i
of
d b
e b

o r s a
ks of
D i r e c
e cho
ing,
e, i n

ppoi
men
t o r s
sen
who
s o f a

o r s
t h i
th
y t
ran

hal
the
D i r
Bo
i s

s
n
e
he
ch

l

nde
of
e f f
uar

d

i t
d i r
e c t i
y 25

s r u l
e c t o r
v e as
, 192

of Federal Reserve
seven members or o
by the Federal r e s
b j e c t to the a p p r o v
the Boards of D i r e
c o n s i s t of seven me
eral Reserve Banks
where the Boards c
appointed by the Fe
Federal Reserve Boa

nted
wel
a p p
from
are
r as

by the Ba
l q u a l i f i e
o i n t e d by
the ranks
engaged in
may be p o

be c i t i z e n
t e r r i t o r y s
e c t o r s appoi
ard s h a l l r e
l o c a t e d .

s o
e r v
nte
s i d

e s and
s of
of Janu4), so

Branc
f f i v e
e r v e b
al of
c t o r s
mbers,
and th
o n s i s t
deral
rd.

h
a n k
the
of
four
ree
of

nks s h a l l be
d and experien
the Federal Re
of men of h i g
a g r i c u l t u r e ,
s s i b l e or p r a c

-

f the D i s t r i c t
e d by the branch,
d by the Bank
e o u t s i d e of the

4th. One of the D i r e c t o r s appointed by the Reserve
Bank s h a l l be the a c t i v e manager of the branch bank and
s h a l l have the t i t l e Managing Director.




ced
h

X-4516

- 2 -

I f M

5th. The ter
the Reserve Bank
shall be for one
to year, if such

m o
to
yea
act

f o f f i c e for
act as Managi
r, subject to
ion bo desira

the Director chosen by
ng Director of the branch
reappointment from year
ble.

6th, The f u l l term for other Dire
where Branch Boards consist of s
where Branch Boards consist of f
In order to make p r a c t i c a b l e
of.Branch Directorships, the terms of
the Managing D i r e c t o r , , s h a l l be so a r
expire each year - one, the term of a
the Federal Reserve Board, the other,
appointed by the Federal Reserve Bank.
Reserve Board f e e l s it to be desirable
o f f i c e of Branch Directors the rule is

years
years

7th.
Banks sha
member ap
of o f f i c e

o
f
o
u

tive

f
i
r
n

The
ll a
poin
exp

Board of Directors of
nnually e l e c t as Chairm
ted by the Federal Rese
ires with the current y

8th. In the
Directors of a
l l i n g such vaca
iginal appointm
expired term,

ev
B
nc
en

ent of a v
ranch Fede
y shall be
t and such

acancy
ral Res
made b
appoin

to
of

9th. The Federal Reserve Board
remove, for cause, any member of
a Branch Federal Reserve Bank.

on

and

These r e v i s e d
a f t e r January 1,

rules
1927.

ctors shall be three
even members and two
i v e members.
an orderly r o t a t i o n
Directors, other than
ranged that two w i l l
Director appointed by
that of a Director
(While the Federal
to have r o t a t i o n in
not mandatory).

Federal Reserve Branch
an of the Board the
rve Board, whose term
ear.
occurring
erve Bank,
y the body
tment shal

in th
appo
maki
l be

shall have the right
the Board of Directors

and regulations

are

Very t r u l y y o u r s ,

W a l t e r L. Eddy,
Secretary,

TO CHAIRMEN OF ALL F.R.BANKS.



o Board
intments
ng the
for the

to

become

e f f e c - -