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October 10, 1933
Mr. Morrill

Claims of Reserve Banks for reimbursement of expenses in connection
with banking holiday, e t c .


Attached hereto are l e t t e r s from the Federal Reserve bank of New
York, dated September 6, and from Atlanta, dated July 27, also l e t t e r s from
the 10 other Reserve Banks in response to the Board's telegram of September 30, with reference to claims for reimbursement in connection with
licensing of banks, e t c .
Following is a summary of the r e p l i e s to the Board's telegram of
September 30:

Claims aggregating $18,481.68 for expenses incurred in March

pending; claims for expenses subsequent to March not yet submitted.
Claims aggregating $229.02 covering shipping charges on gold and gold
c e r t i f i c a t e s shipped by nonmembers, either direct or through a Boston
correspondent, prior to April 5 have been disallowed.

Telegraph service "on and a f t e r March 9" allowed in amount

of $2,943.69. All other claims aggregating $6,194.25 disallowed.

Telegraph costs "in March and April" amounting to $431.02

allowed; a l l other claims aggregating $4,278.65 disallowed.
Richmond. Claims allowed: t e l e g r a p h costs "after March 9," $415.62; t e l e phone t o l l s "after March 9," $1,322.15; postage, $1,547.22; office and
other supplies $9.99; Total, $3,295.01.
$l4,425.81 disallowed.

All other claims aggregating

"It also appears that the Comptroller's o f f i c e

has not allowed any item of expense unless it was incurred after March 9,
1933, the date of the Emergency Banking Act."


Mr. Morrill - #2
Chicago- Claims allowed; transportation changes on gold coin and gold
certificates, $2,274.72; telegraphic charges, $26.92; total, $2,301,64.
Claims disallowed $1,984.47: claims pending. $61,784.11.
St. Louis . Claims disallowed $981.63. No statement furnished of claims
allowed, if any.

Claims disallowed were a l l incurred prior to March 9.

Claims allowed, telegraphic charges, $3,500. Bank absorbed

some expenses, such as for circulars and supper money. Apparently no claims
disallowed, except b i l l of approximately $3,000 covering part of shipping
charges on gold coin and gold certificates received. Bank is chiefly concerned about such shipping charges and those on currency shipped to others
than member banks in exchange for gold and gold certificates.
Kansas City,

Claims allowed: telegraph, $3,870.89; telephone, $553.45; p

postage $839.34; total, $5,263.68.

Claims disallowed, $9549.22. Bank states

total additional expense incurred on account of the banking holiday was
approximately $132,000 for which reimbursement was requested in amount of
$l4,812.90 only.

Claims submitted totaled $3,218.91. Bank received advice that

vouchers could not be passed as submitted w i t h suggestion that claim be
re submitted covering cost of telegrams only.
San Francisco. Claims allowed: Telegraph costs on and after March 9,
$4,382.90; telephone t o l l s on and after March 9, $l,96l.75; total, $6,344.65,
Claims disallowed, $l4,880.22.


Mr. Morrill - #3

The New York bank in i t s letter of September 6 states that of a
voucher totaling $51,6l9.59, copy of which is inclosed, only $2,499.45,
representing telegraph costs after March 9, was allowed, also that only
out-of-pocket expenses were included in the claim, a l l questionable items
of expense being absorbed by the Reserve bank.
Atlanta, in i t s letters (2) of July 27, states that a claim of
$2,820.48 covering shipping charges on gold coin, gold certificates and
other currency shipped in exchange therefor was disallowed, and incloses
revised voucher in amount of $3,207.29 for period from March 9 to April 4
inclusive, also that claim in the amount of $3,287.42 covering expenses
incident to the licensing of banks was disallowed except for $515.98
representing telephone and telegraph costs incurred on and after March 9.
Copies of vouchers are attached, the only item out of the ordinary apparently
being a charge of $1,305.89 for services of the bank's general counsel who
is employed on a retainer fee basis. The above-mentioned amount apparently
includes fees of $900 for services at Atlanta and $300 for services in
Washington and traveling expenses in the amount of $105.89•

at board meeting