The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
F E D E R A L R E SE R V E BANK OF NEW YORK Fiscal A g en t of th e U nited S tates r C ircular No. L 4 3 5 6 "I A uR ust 3, 1956 J CASH O FFER] NG 2% Percent Treasury Certificates of Indebtedness of Series B-1957 Dated August 15, 1956 Due March 22, 1957 Tax A nticipation Series To all Banking Institutions, and Others Concerned, in the Second Federal lleserve District: The following statem ent was made public today: The Secretary of the T reasury announced today th a t on Monday, A ugust 6 , the T reasury will offer fo r cash subscription $3 billion of 2% percent Tax A nticipation Certificates of Indebtedness, to be dated A ugust 15, 1956, m aturing M arch 22,1957, and receivable a t p a r plus accrued interest to m aturity in paym ent of income and profits taxes due on M arch 15,1957. The books will be open only for one day on A ugust 6 . Subscriptions from commercial banks, which for this purpose are defined as banks accepting dem and deposits, fo r their own account, will be received w ithout deposit, b u t will be restricted in each case to an am ount not exceeding the combined capital, surplus and undivided profits of the subscribing bank. A paym ent of 3 percent of the am ount of certificates subscribed for, not subject to w ithdraw al u n til a fte r paym ent, m ust be made on all other subscriptions. The new certificates may be paid for up to 80 percent of the am ount allotted by credit in T reasury Tax and Loan Accounts. Commercial banks and other lenders are requested to re frain from m aking unsecured loans, or loans collateralized in whole or in p a rt by the certificates subscribed for, to cover the 3 percent deposits required to be paid when subscriptions are entered. Any subscription addressed to a F ederal Reserve B ank or B ranch, or to the T reasurer of the U nited States, and placed in the mail before m idnight, A ugust 6 , will be considered as timely. The Secretary also announced th a t the T reasury will pay off, on Septem ber 15, 1956, the $982 million of p artia lly tax-exem pt 2% percent T reasury Bonds of 1956-59 which have been called for redem ption on th a t date. The term s of this offering are set forth in T reasury D epartm ent Circular No. 980, dated A ugust 6, 1956, a copy of which is printed on the reverse side of this circular. Please note that the T re a su ry ’s circular provides that cash subscriptions from commercial banks for their own account will be restricted in each case to an amount not exceeding the combined capital, su r plus and undivided profits of the subscribing bank. Qualified depositaries will be perm itted to make paym ent by credit to T reasury Tax and Loan Accounts fo r not more than 80 percent of the amount of certificates allotted to them for themselves and th eir customers, up to the amount fo r which they shall be qualified in excess of existing deposits. Subscriptions will be received by this Bank as fiscal agent of the U nited States. Subscrip tions should be made on official subscription form s and mailed immediately or, if filed by tele gram or letter, should be confirmed immediately by mail on the form s provided. Subscription books will be open for one day only, Monday, A ugust 6,1956; we therefore suggest you file your subscription w ithout delay. Any subscription addressed to a Federal R eserve B ank or Branch or to the T reasu rer of the U nited States and placed in the m ail before midnight, A ugust 6, will be considered timely. Please note that the Secretary of the T reasu ry also announced th a t the $982 million of p a r tially tax-exempt 2% percent T reasury Bonds of 1956-59 will be paid off on Septem ber 15, 1956. A lfred H a y es, President. UNITED STATES OF AMERICA 2% PERCENT TREASURY CERTIFICATES OF INDEBTEDNESS OF SERIES B-1957 TAX A N TIC IPA TIO N SERIES Dated and bearing interest from August 15, 1956 1956 D e p a r t m e n t C ir c u la r N o . 9 8 0 Due March 22, 1957 T R EA SU R Y D E PA R T M E N T , O ffic e o f t h e S e c r e ta r y , F i s c a l S e r v ic e B u re a u o f th e P u b lic D e b t I. OFFERING OF CERTIFICATES 1. The Secretary of the T reasury, p u rsu a n t to the au th o rity of the Second L iberty Bond Act, as amended, invites subscriptions from the people of the U nited States for Tax A nticipation Certificates of Indebtedness of the U nited States, designated 2’Zi percent T reasury Certificates of Indebtedness of Series B-1957. The am ount of the offering is $3,000,000,000, or thereabouts. The hooks will be open only on A u g u st 6 for the receipt of sub scriptions. II. DESCRIPTION OF CERTIFICATES 1. The certificates will be dated A ugust 15,1956, and will bear interest from th at date at the rate of 2 % percent p er annum , payable w ith the principal at m atu rity on M arch 22, 1957. They will not be subject to call for redem ption p rio r to m aturity. 2. The income derived from the certificates is subject to all taxes imposed under the In tern al Revenue Code of 1954. The certificates are subject to estate, inheritance, g ift or other excise taxes, w hether F ed eral or State, b u t are exempt from all taxation now or hereafter imposed on the principal or interest thereof by any State, or any of the possessions of the U nited States, or by any local tax in g authority. 3. The certificates will be acceptable to secure deposits of public moneys. They will be accepted at p a r plus accrued interest to m atu rity in paym ent of income an d profits taxes due on M arch 15, 1957. 4. B earer certificates will be issued in denom ina tions of $1,000, $5,000, $10,000, $100,000 and $1,000,000. The certificates will not be issued in registered form. 5. The certificates will be subject to the general regulations of the T reasury D epartm ent, now or h ereafter prescribed, governing U nited States certificates. W ashington, A u g u st 6, 1956. all others m ust be accompanied by paym ent of 3 percent of the am ount of certificates applied for, not subject to w ithdraw al u n til a fte r allotment. Following allotment, any portion of the 3 percent paym ent in excess of 3 percent of the am ount of certificates allotted may be released upon the re quest of the subscribers. 2. Commercial banks in subm itting subscriptions will be required to certify th a t they have no bene ficial interest in any of the subscriptions they enter for the account of their customers, and th a t th eir customers have no beneficial interest in the banks’ subscriptions for their own account. 3. The Secretary of the T reasury reserves the rig h t to reject or reduce any subscription, and to allot less th an the am ount of certificates applied fo r; and any action he m ay take in these respects shall be final. A llotm ent notices will be sent out prom ptly upon allotment. IV. PAYMENT 1. P aym ent a t p a r and accrued interest, if any, for certificates allotted hereunder m ust be made or completed on or before A ugust 15, 1956, or on later allotment. In every case where paym ent is not so completed, the paym ent w ith application up to 3 percent of the am ount of certificates allotted shall, upon declaration made by the Secretary of the T reasury in his discretion, be forfeited to the United States. A ny qualified depositary will be perm itted to make paym ent by credit for not more than 80 percent of the am ount of certificates allotted to it for itself and its customers (up to the am ount for which it shall be qualified in excess of existing de posits) when so notified by the F ederal Reserve Bank of its D istrict. V. GENERAL PROVISIONS 1. As fiscal agents of the U nited States, Federal Reserve B anks are authorized an d requested to re III. SUBSCRIPTION AND ALLOTMENT ceive subscriptions, to make allotm ents on the basis 1. Subscriptions will be received a t the Federal and up to the am ounts indicated by the Secretary of the T reasury to the F ederal Reserve B anks of the Reserve B anks and B ranches and a t the Office of respective D istricts, to issue allotm ent notices, to the T reasu rer of the U nited States, W ashington. receive paym ent for certificates allotted, to make Commercial banks, which for this purpose are de delivery of certificates on full-paid subscriptions fined as banks accepting dem and deposits, may sub allotted, and they may issue interim receipts pend m it subscriptions for account of customers, b u t only ing delivery of the definitive certificates. the F ed eral Reserve B anks and the T reasury De 2. The Secretary of the T reasury may a t any p artm en t are authorized to act as official agencies. time, or from time to time, prescribe supplem ental O thers th an commercial banks will not be perm itted or am endatory rules and regulations governing the to en ter subscriptions except for their own account. offering, which will be com m unicated prom ptly to Subscriptions from commercial banks for their own the F ederal Reserve Banks. account will be received w ithout deposit, b u t will be restricted in each case to an am ount not exceed G. M. HU M PH REY , ing the combined capital, su rp lu s and undivided profits, of the subscribing bank. Subscriptions from Secretary o f the Treasury. CS 8-56 Subscription Number CASH SUBSCRIPTION For United States of America 2% Percent Treasury Certificates of Indebtedness of Series B-1957, Tax Anticipation Series, dated August 15, 1956, due March 22, 1957 S ubscription books will b e o p en only o n A ugust 6 for th e receipt o f subscriptions. Important 1. Subscriptions from commercial banks for th eir own account will be received w ithout deposit; subscriptions from all others m ust be accompanied by paym ent of 3 percent of the am ount of certificates applied for. 2. Commercial banks subscribing for account of custom ers should hold the 3 percent deposits paid to them by th eir customers (see certification below). 3. A m ount of certificates applied fo r m ust be in m ultiples of $1,000. F e d e r a l R eserv e B a n k o f N ew Y ork, F iscal A gent of the U nited States, F ederal Reserve P . 0 . Station, New York 45, N. Y. D ear D ated a t .1956 A tte n tio n : Securities D epartm ent—9th Floor S ir s : P u rsu a n t to the provisions of T reasury D epartm ent C ircular No. 980, dated A ugust 6 , 1956, the undersigned hereby subscribes fo r U nited States of Am erica 2% percent T reasury Certificates of Indebtedness of Series B-1957, as follows: F o r own a c c o u n t........................................................................................................................................... $. F o r our customers, shown on reverse side (fo r use of commercial banks) .......................... $. T otal subscription ................................................................ $................................... P a y m e n t f o r th e se s e c u ritie s w ill be m a d e o n o r b e fo re A u g u s t 15, 1956. ( If a commercial bank is subscribing for its own account or for account of customers, the following certification is made a p art of this subscription) W e H ereby Certify th at we have received applications from our customers in the am ounts set opposite the custom ers’ names on the list (on the reverse side hereof) which is made a p a rt of this subscription; th at there has been paid to us by each such customer, not subject to w ithdraw al u ntil after allotment, 3 percent of the amount applied f o r ; that we have not made unsecured loans, or loans collateralized in whole or in p a rt by the securities applied for, to supply the amounts Df such paym ents to any of such custom ers; th a t we have no beneficial interest in the applications of such customers, and that none of our customers has any beneficial interest in the am ount subscribed for our own account. W e F u r t h e r C e r t if y t h a t th e s u b s c rip tio n fo r o u r ow n a c c o u n t does n o t exceed o u r co m b in ed c a p ita l, s u r p lu s a n d .in d iv id e d p ro fits. TO SU B SC R IB E R : M ark (X ) in p roper space to indicate if this is: (Fill in all required spaces before signing) (N a m e of subscriber— P lease p rin t o r typew rite) )riginal su b sc rip tio n ...................... □ Confirmation of a telegram ........... □ Confirmation of a le tte r................. □ B y ................. ....................................................................................................................... ) (Official signature) .............................. (T itle ) A d d re s s ............................................................................. (Spaces below a re fo r th e use of th e F ed eral R eserve B ank) B lotter................................ ALLOTMENT E xam ined.......................... $ Acknowledged.................. Figured C arded............................... Checked Advised (F o r u se o f com m ercial bank subscribers o n ly ) List o f custom ers included in this subscription ( P lea se p r in t o r ty p e w r ite ) Leave blank Name o f C ustom er Address A m o u n t Subscribed Leave blank
@FedFRASER