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FEDERAL RESERVE BANK
OF NEW YORK
Fiscal Agent of the United States

Circular No. 1951
June 21. 1939

REDEMPTION OF HOME OWNERS' LOAN CORPORATION
23/4 PERCENT BONDS, SERIES B, 1939-49

To all Banks and Trust Companies in
the Second Federal Reserve District and Others Concerned:

In our Circular No. 1941, dated May 18, 1939, we transmitted the text of
a public notice dated May 18, 1939, calling for redemption on August 1, 1939,
all outstanding Home Owners' Loan Corporation 2% percent bonds, Series B,
dated August 1, 1934.
We transmit herewith a printed copy of Treasury Department Circular
No. 612, dated June 10, 1939, containing full information regarding the presentation and surrender of the bonds for redemption under the above mentioned call.
It will be noted from Treasury Circular No. 612 that in order to facilitate
redemption of Home Owners' Loan Corporation 2% percent bonds, Series B,
on August 1, 1939, any such bonds should be presented and surrendered in the
manner therein prescribed well in advance of that date, but not before July 1,
1939.




GEORGE L. HARRISON,

President.

REDEMPTION OF HOME OWNERS' LOAN CORPORATION 2% PERCENT BONDS,
SERIES B, 1939-49

1939

TREASURY DEPARTMENT,

Department Circular No. 612

OFFICE OF THE SECRETARY,

Public Debt Service

Washington, June 10, 1939.

To Holders of Home Owners' Loan Corporation 2% percent bonds, Series B, 1939-49, and Others
Concerned:
I. NOTICE OF CALL FOR REDEMPTION BEFORE MATURITY

On May 18, 1939, the following public notice of call for redemption was given:
To Holders of Home Owners' Loan Corporation 2% percent bonds, Series B, and Others

Concerned:

Public notice is hereby given that all outstanding Home Owners' Loan Corporation 2% percent bonds, Series B,
dated August 1, 1934, are hereby called for redemption on August 1, 1939, and will cease to bear interest on that date.
Full information regarding the presentation and surrender of the bonds for redemption under this call will be given in a
Treasury Department circular to be issued later.
Holders of Home Owners' Loan Corporation bonds now called for redemption on August 1, 1939, will be offered
the privilege of exchanging all or any part of their called bonds for other interest-bearing obligations of the Home
Owners' Loan 1
Corporation, concerning which public notice will be given by the Secretary of the Treasury on Monday,
May 22, 1939.
Washington, D. C,
FEDERAL HOME LOAN BANK BOARD
May 18, 1939.
HOME OWNERS' LOAN CORPORATION
APPROVED:
HENRY MORGENTHAU, JR.,
Secretary of the Treasury.

j

O H N

JJ F A H E Y , Chairman.

II. RULES AND REGULATIONS GOVERNING REDEMPTION OF HOME OWNERS' LOAN CORPORATION 2%
PERCENT BONDS, SERIES B, 1939-49

Pursuant to the call for redemption, as set forth in Section I of this circular, the following rules and regulations are hereby prescribed to govern the presentation and surrender of Home Owners' Loan Corporation 2%
percent bonds, Series B, 1939-49, hereinafter referred to as Series B bonds, for redemption on August 1, 1939.
1. Payment of called bonds on August 1, 1939.—Holders of any outstanding Series B bonds will be entitled
to have such bonds redeemed and paid at par on August 1, 1939, with interest in full to that date. After
August 1, 1939, interest will not accrue on any Series B bonds.
2. Presentation and surrender of coupon bonds.—Series B bonds in coupon form should be presented and
surrendered to any Federal Reserve bank or branch, or to the Treasurer of the United States, Washington,
D. C , for redemption on August 1, 1939. The bonds must be delivered at the expense and risk of holders (see
par. 11 of this section), and should be accompanied by appropriate written advice (see Form P. D. 1619 attached
hereto). Checks in payment of principal will be mailed to the address given in the form of advice accompanying
the bonds surrendered.
3. Coupons dated August 1, 1939, which become payable on that date, should be detached from any
Series B bonds, before such bonds are presented for redemption on August 1, 1939, and such coupons should
be collected in regular course when due. All coupons pertaining to such bonds bearing dates subsequent to
August 1, 1939, must be attached to any such bonds when presented for redemption, provided, however, if any
such coupons are missmg from bonds so presented for redemption the bonds nevertheless will be redeemed,
but the full face amount of any such missmg coupons will be deducted from the payment to be made on account
of such redemption, and any amounts so deducted will be held in the Treasury to provide for adjustments or
refunds on account of such missmg coupons as may subsequently be presented.
4. Execution of assignments.—In accordance with the regulations of the Home Owners' Loan Corporation,
all assignments must comply with the regulations of the Treasury Department governing assignments of United
States registered bonds for redemption as set forth in Department Circular No. 300, as amended, except as
otherwise provided herein.
i The exchange offering referred to was terminated on May 24,1939.




(1)

2—17937

5. Presentation and surrender of registered bonds.—Series B bonds in registered form must be assigned by
the registered payees or assigns thereof, or by their duly constituted representatives, in accordance with the
general regulations of the United States Treasury Department governing assignments of United States bonds,
except as otherwise provided herein, in the form indicated in the next paragraph hereof, and thereafter should
be presented and surrendered to any Federal Reserve bank or branch, or to the Division of Loans and Currency,
Treasury Department, Washington, D. C , for redemption on August 1, 1939. The bonds must be delivered
at the expense and risk of holders (see par. 11 of this section) and should be accompanied by appropriate written
advice (see Form P. D. 1620 attached hereto). In all cases checks in payment of principal and final interest
due will be mailed to the address given in the form of advice accompanying the bonds surrendered.
6. If the registered payee, or an assignee holding under proper assignment from the registered payee,
desires that payment of the principal and final installment of interest be made to him, the bonds should be
assigned by such payee or assignee, or by a duly constituted representative, to the "Home Owners' Loan Corporation for redemption." If it is desired for any reason that payment be made to some other person, without
intermediate assignment, the bonds should be assigned to the "Home Owners' Loan Corporation for redemption
for the account of
," inserting the name and address of
the person to whom payment is to be made. A representative or fiduciary should not assign for payment to
himself individually, unless expressly authorized to do so by court order or the instrument under which he is
acting; he may, however, assign for payment to himself in his representative orfiduciarycapacity.
7. Assignment in blank or other assignment having similar effect, will be recognized, but in that event
payment will be made to the person surrendering the bond for redemption, since under such assignment the
bond becomes in effect payable to bearer. Assignments in blank or assignments having similar effect should
be avoided, if possible, in order not to lose the protection afforded by registration.
8. Assignments by corporations and unincorporated associations^ for redemption for their own account.—A
bond registered in the name of, or assigned to, a corporation or unincorporated association will ordinarily be
redeemed for the account of such corporation or unincorporated association upon an appropriate assignment
for that purpose executed on behalf of the corporation or unincorporated association by a duly authorized
officer thereof, without proof of the officer's authority. In all such cases payment will be made only by check
drawn to the order of the corporation or unincorporated association.
9. Detached assignments.—The use of detached assignments by registered payees or assignees for redemption for their account (where checks in redemption are to be issued to them) may be authorized in particular
cases.
10. Payment of final interest.—Final interest due on August 1, 1939, on registered Series B bonds will
be paid with the principal in accordance with the assignments on the bonds surrendered. Transfers and
exchanges involving registered bonds will be permitted up to the close of business on July 15, 1939, but not
after that date.
11. Transportation of bonds.—Bonds presented for redemption under this circular must be delivered to a
Federal Reserve bank or branch, or to the Treasury Department, Washington, D. C , at the expense and risk
of the holder. Coupon bonds should be forwarded by registered mail insured, or by express prepaid. Registered bonds bearing restricted assignments may be forwarded by registered mail, but registered bonds bearing
unrestricted assignments should be forwarded by registered mail insured, or by express prepaid. Facilities for
transportation of bonds by registered mail insured may be arranged between incorporated banks and trust
companies and the Federal Reserve banks, and holders may take advantage of such arrangements when available, utilizing such incorporated banks and trust companies as their agents. Incorporated banks and trust
companies are not agents of the United States under this circular.
III.

TIME OF PRESENTATION OF CALLED BONDS FOR REDEMPTION

1. In order to facilitate the redemption of Series B bonds on August 1, 1939, any such bonds should be
presented and surrendered in the manner herein prescribed well in advance of that date but not before July
1, 1939. Such early presentation by holders will assure prompt payment of principal when due. This is
particularly important with respect to registered bonds, for payment cannot be made until registration shall
have been discharged at the United States Treasury Department.
2. It will expedite redemption if the bonds are presented to Federal Reserve banks, or branches, and not
direct to the Treasury Department.



3
IV. GENERAL PROVISIONS

1. Any further information which may be desired regarding the redemption of Series B bonds under this
circular may be obtained from any Federal Reserve bank or branch, or from the Treasury Department,
Washington, D. C , where copies of the Treasury Department's regulations governing assignments also may
be obtained.
2. As fiscal agents of the Home Owners' Loan Corporation, Federal Reserve banks are authorized and
requested to perform any necessary acts under this circular. The Secretary of the Treasury may at any time,
or from time to time, prescribe supplemental or amendatory rules and regulations governing the matters covered
by this circular, which will be communicated promptly to Federal Reserve banks.




JOHN W. HANES,
Acting Secretary of the Treasury.

(Filed with the Division of the Federal Register, June 12, 1939)

TREASURY DEPARTMENT
PUBLIC DEBT SERVICE
F o r m PD 1619

FOR COUPON BONDS
(For registered bonds use Form PD 1620)

FORM OF ADVICE TO ACCOMPANY HOME OWNERS' LOAN CORPORATION 2% PERCENT BONDS, SERIES B, 1939-49, IN COUPON FORM,
PRESENTED FOR REDEMPTION ON AUGUST 1, 1939
To the FEDERAL RESERVE BANK OF

,

or
TREASURER OF THE UNITED STATES, Washington, D. C:

Pursuant to the provisions of Treasury Department Circular No. 612, dated June 10, 1939, the undersigned presents and
surrenders herewith for redemption on August 1, 1939, $
, face amount of Home Owners' Loan Corporation
2% percent bonds, Series B, 1939-49, in coupon form, with coupon due February 1, 1940, and all subsequent coupons attached,
as follows:
Number of bonds

Denomination

Serial numbers of bonds

$25
50
100
500
1,000
5,000
10,000
100,000

Face amount
$

TOTAL

$

and requests that remittance covering payment therefor be forwarded to the undersigned at the address indicated below.
Signature
Name

(Please print)

Address in full
Date

—

TREASURY DEPARTMENT

FOR REGISTERED BONDS
(For coupon bonds use Form PD 1619)

PUBLIC DEBT SERVICE

Form PD 1620

FORM OF ADVICE TO ACCOMPANY HOME OWNERS' LOAN CORPORATION 2% PERCENT BONDS, SERIES B, 1939-49, IN REGISTERED
FORM, PRESENTED FOR REDEMPTION ON AUGUST 1, 1939
To the FEDERAL RESERVE BANK OF

,

or
TREASURY DEPARTMENT, DIVISION OF LOANS AND CURRENCY, Washington, D. C:

Pursuant to the provisions of Treasury Department Circular No. 612, dated June 10, 1939, the undersigned presents and
surrenders herewith for redemption on August 1, 1939, $
, face amount of Home Owners' Loan Corporation
2% percent bonds, Series B, 1939-49, in registered form, inscribed in the name of
and duly assigned to the "Home Owners' Loan Corporation for redemption," as follows:
Number of bonds

Denomination

Serial numbers of bonds

$1,000
5,000
10,000
100,000

Face amount
$

$

TOTAL

and requests that remittance covering payment of principal and final interest be forwarded to the undersigned at the address
indicated below.
Signature
Name
(Please print)

Address in full
Date



U. S. GOVERNMENT PRINTING OFFICE

2

17937


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102