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CIRCULAR NO. 224 (CfouctJ Federal Reserve Bank of New York OFFERING OF UNITED STATES OF AMERICA 4 ^ % TREASURY CERTIFICATES OF INDEBTEDNESS S E R I E S D 1920 Dated and bearing interest from December 1, 1919. Due February 16, 1920. To all Banks, Trust Companies, Savings Banks, Bankers, Investment Dealers and Principal Corporations in the Second Federal Reserve District, Dear Sirs: The Secretary of the Treasury, under the authority of the act approved September 24, 1917, as amended, offers for subscription, at par and accrued interest, through the Federal Reserve Banks, Treasury certificates of indebtedness, Series D 1920, dated and bearing interest from December 1, 1919, payable February 16, 1920, with interest at the rate of four and onequarter per cent per annum. Applications will be received at the Federal Reserve Banks. Bearer certificates, without coupons, will be issued in denominations of $500, $1,000, $5,000, $10,CC0, and $100,000. Said certificates shall be exempt, both as to principal and interest, from all taxation now or hereafter imposed by the United States, any State, or any of the possessions of the United States, or by any local taxing authority, except (a) estate or inheritance taxes, and (b) graduated additional income taxes, commonly known as surtaxes, and excess profits and war-profits taxes, now or hereafter imposed by the United States, upon the income or profits of individuals, partnerships, associations, or corporations. The interest on an amount of bonds and certificates authorized by said act approved September 24, 1917, and amendments thereto, the principal of which does not exceed in the aggregate $5,000, owned by any individual, partnership, association, or corporation, shall be exempt from the taxes provided for in clause (b) above. If any notes should be offered for subscription by the United States after the offering and before the maturity of such certificates and the subscription price of such notes or the first installment thereof be payable on a date occurring at or before the maturity of such certificates then on and after such date (a) such certificates will be accepted at par with an adjustment of accrued interest in payment on the subscription price when payable at or before the maturity or redemption of such certificates of any such notes subscribed for by and allotted to holders of such certificates; and (b) upon ten days public notice given in such manner as may be determined by the Secretary of the Treasury the certificates of this series may be redeemed as a whole at par and accrued interest. The certificates of this series do not bear the circulation privilege, and will not be accepted in payment of taxes. 2-3 4-- tf*-£ui**ce(„, The right is reserved to reject any subscription and to allot less than the amount of certificates applied for and to close the subscriptions at any time without notice. Payment at par and accrued interest for certificates allotted must be made on or before December I, 1919, or on later allotment. After allotment and upon payment Federal Reserve Banks may issue interim receipts pending delivery of the definitive certificates. Any qualified depositary will be permitted to make payment by credit for certificates allotted to it for itself and its customers up to any amount for which it shall be qualified in excess of existing deposits, when so notified by the Federal Reserve Bank of its district. Treasury certificates of indebtedness of any and all series now outstanding and not overdue, maturing on or before February 2, 1920, (with any unmatured interest coupons attached) will be accepted at par with an adjustment of accrued interest in payment for any certificates of the Series D 1920 now offered which shall be subscribed for and allotted. As fiscal agents of the United States, Federal Reserve Banks are authorized and requested to receive subscriptions and to make allotment in full in the order of the receipt of applications up to amounts indicated by the Secretary of the Treasury to the Federal Reserve Banks of the respective districts. Yours very truly, BENJ. STRONG, Governor. New York, November 24, 1919.